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ARTICLE · 06 OCTOBER 2021

AMLO Submits New Energy Reform Initiative

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On October 1, 2021, an initiative sent by Mexican President Andrés Manuel López Obrador ("AMLO") to reform Articles 25, 27 and 28 of the Mexican Constitution (the "Initiative") ...

MexicoEnergy and Natural Resources
Francisco Mendez
Francisco Mendez
Claudia Ramos
Claudia Ramos
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On October 1, 2021, an initiative sent by Mexican President Andrés Manuel López Obrador ("AMLO") to reform Articles 25, 27 and 28 of the Mexican Constitution (the "Initiative") was published in the Parliamentary Gazette (Gaceta Parlamentaria) of the House of Representatives.

Although intended to strengthen the finances of the Federal Electricity Commission (Comisión Federal de Electricidad "CFE"), the Initiative would certainly have negative repercussions for all companies involved in the energy sector.

In general terms, the Initiative can be summarized as proposing three main actions: (i) empowering CFE through various modifications, (ii) eliminating the Energy Regulatory Coordinated Bodies [i.e., the Energy Regulatory Commission (Comisión Reguladora de Energía), National Hydrocarbons Commission (Comisión Nacional de Hidrocarburos) and National Energy Control Center (Centro Nacional de Control de Energía)], and (iii) granting the Mexican government

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