Mexico Moves Closer to Fuel Controls With AMLO’s Bill Approval

04/14/2021

Source: Bloomberg

Mexican President Andres Manuel Lopez Obrador’s controversial proposal to tighten control over the country’s fuel market has cleared the lower house of congress, another step in his long-sought goal of resuming the state’s energy monopoly.

With 292 lawmakers in favor, 153 opposed, and 11 abstaining, the chamber approved in general terms the president’s proposal to give national oil company Petroleos Mexicanos greater control over the recently liberalized fuel market that lured investments from Royal Dutch Shell PlcBP PlcChevron Corp. and Exxon Mobil Corp. After debate on certain articles, the bill will be taken up by the senate, where the ruling Morena party and its allies have a majority.

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Mexico’s Senate passes divisive bill to strengthen state utility CFE

03/03/2021

Source: Reuters

MEXICO CITY (Reuters) – Mexico’s Senate passed on Tuesday a divisive bill aimed at strengthening state utility CFE that has angered private businesses and could cause disputes with some of the country’s top trade partners.

The bill was approved with 68 votes in favor and 58 against. The lower house had approved the bill on Feb. 23 without changes and President Andres Manuel Lopez Obrador, who had sent it to Congress, must now sign it.

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AMLO insists electricity bill doesn’t violate constitution but a court challenge is likely

03/03/2021

Source: Mexico News Daily

President López Obrador has dismissed suggestions that a law overhauling the country’s electricity market to favour a state-owned utility is unconstitutional, hours after it was passed by the Senate.

“There is nothing in it that violates constitutional rights, nothing, nothing, nothing,” López Obrador told his morning news conference on Wednesday.

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Mexico’s Proposed Energy Laws Market Positive, Analysts Say

07/17/14 Bloomberg

energy -wind_energyThe energy legislation draft approved by Mexican senate committees yesterday is favorable given low national content requirements and short-term economic growth prospects, according to analysts.

The proposed secondary energy laws call for a 25 percent national content minimum for incoming companies by 2015 that will increase to 35 percent by 2025. The minimum requirements for national content, which is the amount of obligatory Mexican supplies in each new energy project, “won’t bother anybody” and are reasonable compared to other countries, according to Steve Otillar, partner at Akin Gump Strauss Hauer & Feld LLP.

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Mexico Parties in Final Phase of Energy Bill Negotiations

MEXICO CONGRESSBloomberg News, 4/24/14

Mexico’s two biggest parties reached agreement on key points of legislation needed to implement an energy overhaul that will end a more than seven-decade state oil monopoly, top party negotiators said.

While the ruling Institutional Revolutionary Party, or PRI, and the National Action Party, or PAN, are working out details, such as how much autonomy regulators will be granted, negotiations are in the “final phase,” said Juan Molinar Horcasitas, who runs the PAN’s political policy body.

David Penchyna, a PRI lawmaker who heads the Senate’s energy committee, said the oil proposal the federal government sends to Congress next week will be welcomed by the opposition as “a very good initiative,” declining to elaborate on contents of the bill. It will be presented before April 30, the last day of Congress’ spring session, he said by telephone.

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Energy Bill Advancing Through Mexican Congress

energy - oil_rigThe New York Times, 12/12/2013

Mexico’s lower house of Congress gave general approval to historic legislation that would open the state-run oil industry to private investment, but final passage was delayed by a debate on its provisions that continued throughout the night and past dawn on Thursday.

Just hours after the measure passed the Senate Wednesday on a 95-28 vote, members of the House of Deputies took up the bill after overriding attempts by leftist opponents to block discussions.

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Mexican Senate Approves Energy Overhaul Aimed at Production Boom

Bloomberg, 12/11/2013

natural gas drillMexico’s Senate approved an energy bill that supporters say will make the country the world’s  fifth-largest oil producer in about a decade, spurring growth in Latin America’s second-biggest economy.

Mexican senators passed the bill in general terms 95 to 28 last night to permit foreign companies such as Exxon Mobil Corp. (XOM) and Chevron Corp. (CVX) to drill for national oil for the first time since 1938. Senators are still debating the bill’s specifics and can make amendments before sending it to the lower house. The plan would change the constitution to allow production sharing and licenses for outside companies that will also be able to log crude reserves for accounting purposes.

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Mexico energy bill to open power generation, sales to privates

logo-cfeBusiness Insight in Latin America, 12/9/2013

Mexico’s senate unveiled an energy bill Saturday (Dec 7) that would end the state monopoly over the power sector and open generation and sale of power to privates.

The bill, currently being discussed by senate committees, confirms the proposed power sector as laid out by energy ministry Sener’s head of electricity, Lourdes Melgar, in an August interview with BNamericas.

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