Carlos del Razo participates in the discussion “Insights into Secondary Laws of the Energy Sector”
On February 21, Carlos del Razo, senior partner of the Sustainability and Environment practice at ECIJA Mexico, participated in the discussion “Insights into Secondary Laws of the Energy Sector,” which addressed the changes and challenges facing energy legislation in Mexico.
During his presentation, Carlos highlighted that highly significant changes are being proposed in terms of energy transition and sustainability, as they significantly alter the structure of state-owned companies in the sector.
A central focus of the discussion was the new sustainability mandate in the laws regulating the Federal Electricity Commission (CFE) and Petróleos Mexicanos (PEMEX). These provisions establish the obligation to develop sustainability programs, as well as to submit detailed annual reports on the environmental and social impact of their operations.
Furthermore, the key role that boards of directors will play in decision-making and in defining guidelines for contracting and procurement within both sectors was emphasized. CFE and PEMEX will be subject to stricter environmental, social, and governance (ESG) compliance, which represents a significant change in their operations and business strategies.
Regarding the hydrocarbon sector, del Razo mentioned that natural gas production is projected to triple, as well as an increase in electricity generation of more than 21,000 MW by 2030, with an estimated investment of $20 billion.
This expansion must necessarily be accompanied by a modernization of regulatory processes, including the updating of environmental and social impact assessments. In particular, specific standards will be established for social impact statements (EVIS), and mandatory annual amounts will be set for social management plans.
Another highlight was the creation of a new National Energy Commission, which will operate under a more dynamic model aligned with the sector’s new regulations. This body’s primary function will be to oversee the implementation of the provisions established in secondary laws.
Del Razo also highlighted the initiative to align biomethane regulation with that of natural gas, which will benefit companies operating under circular economy schemes and focused on the production of the former. This regulatory adjustment will offer greater certainty to investors, allowing them to plan long-term investment strategies within the framework of the new Energy Reform.
Finally, the discussion concluded with a reflection on the challenges and opportunities faced by both state-owned and private companies in this new regulatory landscape. Private companies must resume stricter regulatory compliance controls, re-adopt environmental auditing and certification schemes, such as clean industry programs, and, in general, prepare for more demanding contracting and participation in the sector, both in terms of environmental and social issues.
It was mentioned that CFE and PEMEX have set ambitious goals through 2030, aligned with the ongoing legislative process. The discussion highlighted the importance of ensuring a sustainable, competitive energy sector aligned with international environmental commitments.
ECIJA Mexico
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