Mexico Proposes Major Energy Reforms

President Claudia Sheinbaum has presented a reform package aimed at restructuring energy laws in Mexico, creating the National Energy Commission (CNE) to enhance regulatory efficiency.


Mexico Proposes Major Energy Reforms

President Claudia Sheinbaum presented a package of reforms to secondary laws in energy matters, highlighting the creation of the National Energy Commission (CNE), an administrative body of the Ministry of Energy (SENER) that will absorb functions from the National Hydrocarbons Commission (CNH) and the Energy Regulatory Commission (CRE). The Secretary of Energy, Luz Elena González, explained that the CNE will strengthen the functions of planning, regulation, supervision, and direction of energy policy with technical and operational independence.

In the area of electricity, an orderly participation of the private sector will be promoted, existing legal figures will be recognized, and migration schemes to figures recognized in law will be proposed. The CNE will have the authority to grant permits in generation and marketing of electric energy, as well as in the hydrocarbons sector for the entire logistics chain of natural gas, petroleum, and petrochemicals, including the possibility of establishing rates.

Regarding Petróleos Mexicanos (Pemex) and the Federal Electricity Commission (CFE), subsidiaries will be eliminated with the aim of horizontally integrating both public state companies. A new simplified tax regime called "Petroleum Law for Welfare" will also be established. The reform seeks to end the legal separation that hindered the operational efficiency of these companies for the benefit of Mexicans.

In summary, the proposed reforms aim to modernize and strengthen the Mexican energy sector, paving the way for greater transparency and efficiency in decision-making, as well as in the supervision and regulation of the industry.