Legal Expertise at the Heart of Mexico’s Energy Future

Q: What led to the creation of Áurea Partners, and how does the firm positions itself to serve Mexico’s evolving energy and financial sectors?

A: Áurea Partners is the result of a strategic alliance between two firms: one specializing in regulatory and transactional matters in the energy sector, and the other a consultancy focused on financial regulation. . The merger made perfect sense given the growing energy needs of industrial parks and data centers, as well as  the complexity and know-how of two extremely regulated and specialized sectors. We work with  industrial parks and generators to understand current business models,  regulatory constraints, and anticipate upcoming changes, in order to effectively supply energy to the industries located within those industrial parks, particularly to tech companies that decide to install data centers.

We have been working in the sector for a long time, even before former President Enrique Peña Nieto’s energy reform. Throughout this time, we have played  various roles from a legal and regulatory perspective.

Q: How is Áurea Partners helping clients navigate the challenges in transmission and regulatory limits?

A: The lack of investment in transmission networks  has created significant challenges. Industrial parks are actively trying to solve this issue, and the government is also making efforts to resolve  it, which led to the creation of  a simplified process for self-supply projects under 20MW.

There is a lot of interest in projects of this magnitude, as they are profitable for developers  and generator companies, while solving an urgent need for industrial parks. There is no energy more expensive than the energy you do not have. 

Q: How would you characterize the current policy environment for energy, and what risks do you see to regulatory dialog going forward?

A: There is an intention to bring greater order to the sector. While it's still too early to assess the full impact on developments, during this administration, the  dialogue has been notably more open. However, the recent  reform  which weakens the consultation process by amending the regulatory impact authorization process, could slow this dialogue down. 

The consultation process is crucial for a sector like the energy market. For example, not long ago we submitted comments on storage regulations and they were taken into account in the last version of the Storage DACGs. With the upcoming changes, there is a concern that institutional dialog may no longer be encouraged. Nonetheless, communication at the policy and operational levels is being promoted.

Q: What are the key legal challenges foreign companies face when entering the Mexican energy market, and how do you help them bridge the gap between international and local frameworks?

A: Most of our clients are Spanish, and a key challenge is  differentiating Mexican regulation from Spanish regulation. Making sure those  distinctions are clearly understood and internalized is important, which is why legal and tax advisory are essential. Thinking ahead about the corporate and tax structure before entering the country is critical. 

The second challenge I see is understanding that project development in Mexico and Spain is also different. New regulations are emerging in Mexico, bringing with them a series  of new questions that remain open.  That’s where the involvement of lawyers  becomes important once again.

Q: What distinguishes Áurea Partners in its approach to supporting new market entrants in Mexico’s energy sector?

A: ​​At Áurea Partners, we are very well positioned to support clients because we have an understanding of corporate, commercial, and regulatory law. We offer a comprehensive vision not only of how a client’s business’s daily operations will run, but also how to  structure it from the start . That is the legal knowledge and support that we provide. Additionally, we have strategic alliances with different actors that allow us to provide market intelligence and complement areas beyond our direct practice.

Smaller structures are naturally more agile, so they allow for more creative, faster problem-solving, and much more tailored services for the client. That is a bit of what we offer. Our partners have over 15 years of experience in large law firms. We bring that know-how to a smaller and more agile institutional framework.

Q: How has the role of legal advisors evolved in the energy space in recent years, and what expertise is now most valuable to clients?

A: The role of lawyers has changed a lot, especially over the past five years. There was a project finance boom after the energy reform, which was paused during the last couple of years. In the renewable energy sector, the market has become much more mature. At the beginning of the reform, very few people had a deep understanding of the electricity market. However, today, there are a number of participants who, by combining experience from other jurisdictions with their experience in the Mexican market, have become quite knowledgeable about the industry.

Q: What is the long-term vision behind Áurea Partners, and how are you building a competitive edge in highly regulated sectors like energy and finance?

A: I think that our vision is very aligned with who we are and why we built this firm. We are a law firm that works with highly regulated industries, and we turn knowledge of that regulation into a competitive advantage. 

Gradually, we are identifying areas where regulation in the electricity and financial sector come together to create companies, like crowdfunding platforms for renewable energy projects, which already exist in other jurisdictions. These intersections present opportunities where our combined regulatory and transactional experience can add real value.

Áurea Partners is a Mexico City-based boutique legal firm specializing in highly regulated sectors, with a strong focus on energy, infrastructure, and financial regulation.