A new test for the Pacto por México: energy reform — key points for energy companies

By Miguel B de Erice Rodriguez, Carlos R Valencia Barrera and Jack Langlois

President Enrique Peña Nieto has submitted a sweeping Energy Reform Bill (ERB) to Mexico’s Congress.

In his recent State of the Union Address, Nieto confirmed his commitment to move forward decisively with this energy reform and to move it through Congress within 180 days.

The ERB would amend parts of the Mexican Constitution to open the basic petrochemical industry to private investment through licensing and to permit profit-sharing agreements. In addition, the ERB lays the groundwork for greater private investment in the power sector with the aim of spawning a competitive market while still maintaining state control over the power transmission grid…

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