/
View from the Top

AMLO Meets with Energy Companies/Proposal to Remove Time Change

By Paloma Duran | Fri, 06/03/2022 - 11:57

AMLO met with US energy companies. President Andrés Manuel López Obrador announced that yesterday he met with 16 US companies to discuss energy, oil and gas and foreign investment issues. López Obrador emphasized that he seeks to remove those contracts authorized in previous governments, which are no longer compatible with current laws. “Yesterday we had 16 meetings with 16 American companies to fix all the mess that was inherited from previous governments. Some of these companies have permits even though there are no transmission lines and therefore no power can be produced. Meanwhile, other companies never had permits, but still they constructed power plants. We will not allow this anymore."The meetings with US Ambassador to Mexico Ken Salazar and US companies began after the reactivation of 2021’s Electricity Industry Law (LIE) reform by the Supreme Court, which modified the order of dispatch. It also gave priority to CFE power plants, to the detriment of private power producers and allowed the review and cancellation of contracts and permits at the discretion of the federal government. For the past months, the public functionaries have negotiated with US companies that hold concessions in Mexico, aiming to reach agreements to avoid lawsuits and meet the USMCA’s provisions. Nevertheless, even though negotiations still stand, López Obrador continues his efforts to revise private energy contracts.

Initiative to eliminate the time change. López Obrador announced that his proposal to eliminate daylight saving time will be announced next week. López Obrador stressed that the initiative came after studies confirmed that it harms the health of Mexican citizens and does not generate significant savings. “We are going to explain our proposal to suspend the time change and why it is important. We have studies that prove that it is the best decision. However, we will conduct a survey so that the will of the people is respected.”

In March, López Obrador said he wanted to eliminate daylight saving time because its effectiveness has never been fully investigated. Consequently, he announced that the Ministry of Energy would investigate its true impact in Mexico. The analysis was carried out with the help of the Ministry of Health and the Federal Electricity Commission (CFE), which determined that the time change only saves the country MX$1 million (US$51,072.13) per year. López Obrador stressed that the savings are minimal and could be obtained through measures that do not harm people's health. Although the damage to health has not been explained, previous research suggests that it leads to psychological, neurological and sleep cycle disorders, which can cause more accidents and even develop diseases.

Hurricane Agatha affected bridges and water infrastructure in Oaxaca: Murat. The Governor of Oaxaca Alejandro Murat reported that so far nine people have died and five have disappeared due to Hurricane Agatha. In addition, Murat emphasized that discussions with municipal presidents have begun.  “Yesterday we had the first meeting with the municipal presidents of several affected municipalities. We have already seen that the most affected infrastructure is the one we use for water and road bridges. Now, we are working with Civil Protection to solve these problems.”

On Monday, Hurricane Agatha was listed as a category two hurricane, the strongest hurricane to hit Mexico's Pacific coast since 1949. The hurricane brought heavy rain that led to landslides and flash floods. Additionally, the hurricane left 30,000 people without electrical power. The Ministry of Defense announced that there are 1,900 officers and 1,500 sailors working on rescuing missions. In addition, the authorities indicated that with the implementation of the DN-II Plan, which establishes how the population will be assisted in the event of natural disasters, human and material resources will be optimized to find missing people more rapidly.

The data used in this article was sourced from:  
Gobierno de México, Milenio
Photo by:   Gobierno de México
Paloma Duran Paloma Duran Journalist and Industry Analyst