The Ministry of Energy (Sener) announced the framework for the Mexican electricity market, under which the Federal Electricity Commission (CFE) will no longer be the sole player in the sector starting next year.
The agency's Undersecretary for Electricity, César Emiliano Hernández Ochoa, noted that these rules are intended to ensure clear and transparent operations in the sector, as well as to promote competitiveness.
In addition, the official noted at a press conference that the rules are aimed at reducing electricity rates in the country.
He noted that the program will take effect on January 1, 2016, and they expect there to be around 4,000 participants over the next four years, consisting of large electricity consumers.
According to the federal official, the wholesale electricity market will see a steady decline in prices, and the rules governing this will be subject to public consultation to gather feedback from interested parties.
Under this new framework, participating generators, retailers, and qualified market users will be able to buy and sell electricity, capacity, and clean energy certificates, among other things.
He also explained that the guidelines will establish clear rules to ensure greater transparency in the sector; in fact, market information will be made public, and measures will be taken to ensure that companies do not inflate their prices, which could harm consumers.
He explained that the rules establish a monitoring unit that will ensure there are no abuses and set forth a code of conduct that participants must follow.
Hernández Ochoa noted that once the program is implemented next year, the thresholds will be lowered so that, within three years, the number of high-consumption users—consuming between one and three megawatts—will reach 4,000, while residential customers will benefit from the CFE’s purchases.
The president of the Energy Regulatory Commission (CRE), Francisco Salazar, acknowledged that moving toward a liberalized market in the sector—where any consumer can choose their supplier—is a complex process, noting that it took Texas about 10 years to achieve this.
In this context, Eduardo Meraz, director of the National Energy Control Center (Cenace), said that the CFE will continue to be the country's primary electricity provider.
