Mexico's 'cutting edge' energy laws near approval, senator says

Tuesday, July 1, 2014

Mexico will have the "cutting edge" energy laws that it needs in the next four or five weeks, according to senator David Penchyna of the governing PRI party.

The reforms will allow private sector participation in the production of the country's hydrocarbons as well as electricity generation, breaking the seven-decade monopoly of state oil firm Pemex and state utility CFE.

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Half of the energy legislation pending debate has already been approved by the senate and the remaining bills will be given the nod by September, Penchyna said at an oil and gas summit in Mexico City, according to state news agency Notimex.

The laws approved cover hydrocarbons, mining, foreign investment, public private partnerships, the electricity industry and geothermals, he said.

Penchyna is president of the senate's energy committee.

In August, the proposals for the green energy sector will be debated, including the energy transition law, and it is expected that the package will be approved in September to complement the total of 21 energy laws already approved, the report said.

The energy reform debate was delayed by spats between political parties last month, with both opposition parties PAN and PRD walking out of the debate.