Judge Suspends SENER Policy; Ministry Will Fight Back

A federal judge indefinitely suspended SENER’s policy that aimed to gain deeper control of Mexico’s National Electric System. As soon as the policy was made public on May 15, the entity Defensa Collectiva (Collective Defense) requested an amparo, which has now been made definitive until SENER challenges the decision. Rocío Nahle, Mexico’s Minister of Energy, has already announced that SENER will challenge the suspension immediately, reported El Universal. It is the second amparo won against SENER’s measure; the first one was awarded in the beginning of June to GreenPeace.

The decision was made by judge Rodrigo de la Peza, who presides over the first Court specialized in economic matters and telecommunications. The definite suspension follows temporary suspensions and is considered a second step in a legal dispute that experts say could be resolved in months. De la Peza mentioned that establishing barriers for players seeking to generate clean energy did not go in line with existing provisions regarding free economic competition.

SENER’s policy was issued after CENACE’s controversial measure to halt new renewable power plant tests needed to connect the projects to Mexico’s grid. Arguments were raised by the government regarding COVID-19’s impact on Mexico’s weakened grid. Intermittent renewable energy would further complicate power transmission, CENACE argued. SENER’s policy expanded on the powers CENACE had at its disposal, aiming to increase tests and other entry barriers for new renewable energy projects. One of these barriers is related to location, which is how SENER hopes to achieve what it considers a healthier balance of renewable energy nationwide. The measure furthermore took stronger control of the National Electric System and aimed to favor CFE over private energy generators.

Nahle was quick to respond to the judge’s ruling. She said that the ministry will fight the resolution and added that “not a single economic right can prevail over the general interest of the nation when it affects the reliability of supplying electricity. This is because it is a necessary service, of strategic and national security importance. The state needs to guarantee this for all Mexicans,” Nahle said. From SENER’s point of view, the building of renewable energy projects has become rampant, has been

irresponsible and without planning as to where projects might be needed or would be relevant. Nahle argues that SENER’s policy will grant legal certainty to projects that do comply with the ministry’s requirements.