Mexico Energy Regulatory Commission Issues Provisions For Distributed Generation

José Antonio Prado Carlos A. Ochoa Valenzuela are partners and Alberto Esenaro is an attorney in Holland & Knight's Mexico City office.

Under Mexico's Energy Reform of 2013, the private sector may participate and invest in a number of energy-related activities. One of the most attractive activities is power generation, especially considering that distributed generation systems, also known as on-site or decentralized generation (DG), have reached technology maturity for execution by the private sector, eliminating the costs and complexity of using infrastructure for transmission and distribution.

Under the Power Industry Law, DG will have open and non-discriminatory access to general distribution networks, as well as to markets where the power may be sold.