AMH2 Talks About the Future of the Industry

Israel Hurtado, President, Mexican Association of Green Hydrogen and Sustainable Mobility (AMH2), defended the continued existence of energy regulatory bodies, emphasizing their role in providing legal certainty for investments and protecting consumers. At the same time, he highlighted the potential of a US$60 billion investment in hydrogen for the benefit of the industry. 

"Regulators have played an important role in providing legal certainty for investments, fostering competition, and ultimately protecting consumers," Hurtado stated during a press conference. "I do not think it would be good for them to disappear. I understand that their functions would be absorbed by other agencies, but it is better if they do not disappear or get absorbed," Hurtado mentioned. 

Claudia Sheinbaum announced that she would begin promoting certain reforms from the package of mostly constitutional amendments sent by López Obrador to Congress. The first on the agenda is the judiciary reform, which hopes to have an impact on further reforms like the ones previously proposed by López Obrador in energy matters. MORENA’s potential qualified majority in Congress has caused uncertainty among participants and experts in the energy sector, considering that among López Obrador’s plans was also to terminate autonomous regulatory bodies such as the CRE, CNH, and even the COFECE.

Hurtado also mentioned that he will present a proposal to the incoming government to promote the development of green hydrogen in the country. He explained that the potential investment by 2050 is US$60 billion, which could create up to 3 million jobs. "Current projects have potential investments of US$20 billion from private players. PEMEX estimates that its hydrogen market could be worth US$4 billion by 2040," he highlighted. Green hydrogen is poised to be one of the fuels of the future, as it is more environmentally friendly and can generate a broad value chain to drive economic development, said Hurtado.

Claudia Sheinbaum has committed to decarbonizing the energy matrix as quickly as possible by building photovoltaic, wind, hydroelectric, geothermal, and green hydrogen plants, as well as promoting solar panels and water heaters in homes and businesses. In addition, she vowed to promote the circular economy through the processing of organic waste and biomass to produce green energy. 

The implementation of appropriate policies that encourage investment in the energy sector, regulatory stability, and legal certainty will be crucial to attract long-term investment and new energy technologies, such as energy storage using lithium-ion batteries and the development of green hydrogen, which are of crucial importance to the evolution of the Mexican energy sector, Ariel Garfio, Partner, Von Woberser y Sierra, told MBN.