Energy Policies Could Hold Back Investment, Climate Goals

Authorities form Canada and the US have expressed concerns about Mexico’s energy policy for going against USMCA’s principles. The Mexican Senate has identified the benefits that geothermal energy may bring to the energy transition. In addition, despite its millionaire investment, Iberdrola saw its wind farm cancelled by CRE after a breach in contract regarding the project’s location.

Ready for more? Here is your weekly round up!

Officials Use USMCA to Put Pressure on Mexico’s Energy Policy

Officials from Canada, Mexico and the US reunited this past Friday in Vancouver, Canada, on the eve of USMCA’s second anniversary, to discuss Mexico's recent energy policy and labor issues stemming from President López Obrador’s effort to nationalize the country's energy sources. 

Mexico's Energy Policy Impedes its Transition to Clean Energy

Laura Sima, Director of the Office of the Department of Energy of the US Embassy, said that Mexico's position against permits within the energy sector is holding back the participation of foreign companies and also preventing the country from reaching its climate goals, as it discourages the implementation of renewable projects.

Senate Shines a Light on Geothermal Energy

Mexico’s Senate ascertained that geothermal projects are paramount to the country’s vital energy transition. This led legislators to ask the Ministry of Energy (SENER) and CFE to report on the state utility company’s current geothermal energy-focused programs.

CRE Denies Permit for Iberdrola Wind Farm in Guanajuato

Even though Iberdrola had a recent win when a Mexican judge ruled against a millionaire fine, now the company is unable to start operations at its wind farm in Guanajuato, after having invested US$150 million in the construction of the facility. The project was originally planned for Villa de Reyes, San Luis Potosi. However, in May 2019, Iberdrola asked CRE to authorize moving the project to San Felipe, Guanajuato. CRE denied this request because the LIE expressly prohibits authorizing changes of location from one municipality to another through existing permits.

CRE Denies Data Leak

After Chile-based cybersecurity expert Germán Fernández published that CFE data with more than 14.6 million customer records, including federal tax IDs, names, addresses, among others, was leaked to Breachforums, CFE denied that it happened. The company explained that it noticed a possible illegal publication online on July 7. However, it activated security protocols, which confirmed that no data was copied, shared or altered.