Aqueduct Construction to Reactivate Nuevo Leon’s Industry: CMIC

As Nuevo Leon struggles with water shortages, the construction of new water supply infrastructure becomes an urgent need, requiring close cooperation between the government and the private sector. According to the Mexican Chamber of the Construction Industry (CMIC), 
 the El Cuchillo II aqueduct would be a benefit for both the water supply and the construction sector. 

CMIC said that the construction of the El Cuchillo II aqueduct, which is considered the optimal project to address the state’s water scarcity in the mid and long-term, will engender an economic spill-over worth US$1.5 billion. This will boost the construction sector, especially regarding construction materials suppliers, as well as other industries. In addition, the project could create over 10,363 direct and indirect jobs. “We calculate the number of jobs based on the initial investment. We estimate that [the project] will create 7,772 direct jobs and 2,591 indirect jobs,” said Roberto Macías, President of the Nuevo Leon District, CMIC, in an interview with El Economista

According to Macías, the aqueduct, which requires an investment of US$774.6 million, will have a multiplying effect driven by the demand for construction materials, shown

On May 30, 2022, MBN reported that the mobility and water infrastructure projects in Nuevo Leon, which jointly would require an investment of US$5 billion, would increase the production value of construction companies by 60 percent during the six-year term of the current administration. According to Macías, that investment was unprecedented. “Imagine the positive impact this investment will have. Even when infrastructure investment was low in 2019, Nuevo Leon ranked as the main contributor to the sector’s GDP, the third in national GDP and the second federal tax contributor,” said Macías at that time. 

The construction of the El Cuchillo II aqueduct is expected to start on Sept. 2, 2022. It was declared a “national security” matter, therefore issues regarding permits and construction will be carried out quicker. The project will have a 10 months deadline and will be segmented into 10 sections. The National Defence Ministry (SEDENA) and the National Water Commission (CONAGUA) will oversee its construction. As requested by President López Obrador, the tenders will be oriented primarily toward Nuevo Leon-based companies. All the steel used must be acquired from local companies as well.