Latin America Advisor

Energy Advisor

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Why Is AMLO at Odds With Mexico’s Energy Regulators?

Mexican President Andrés Manuel López Obrador recently said he wanted to integrate independent regulators, including those in the energy sector, into government secretariats. // File Photo: Mexican Government.

Mexican President Andrés Manuel López Obrador is seeking to integrate the country’s independent energy, telecommunications and competition regulators into government secretariats, saying the agencies “have only served as smoke screens for illicit activity and hiding information.” To what extent has Mexico’s energy regulator been involved in illegal activity and cover-ups, as López Obrador alleges? What are the benefits and risks of integrating regulators into Mexico’s ministries? Is the measure likely to gain enough support for approval in Mexico’s Congress?

Víctor Rodríguez, professor at the National Autonomous University of Mexico: “President Andrés Manuel López Obrador usually places his political initiatives within the framework of the fight against corruption, illegalities, injustices, the waste of public resources and other similar inflections. It’s a strategy that allows him to maintain his popularity, limit the debate to his chosen areas and justify economic policy decisions. Beyond his personal style of governing, there is also the primary objective of his energy policy: to stop privatization and place Pemex and the Federal Electricity Commission (CFE) at the forefront of the energy sector, from the idea that the oil and electricity are strategic sectors that must be in the hands of the state. In this sense, regulators are a hindrance, and any argument is good to justify their reduction, merger or cancellation. The president blames regulators for having damaged Pemex and the CFE, in addition to having promoted and facilitated the privatization of energy supply, as well as regulating the president’s…”

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About the Energy Advisor

A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Erik Brand, publisher of the Advisor, at ebrand@thedialogue.org.


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Staff

Erik Brand

Publisher
P. 202.463.2932
E. ebrand@thedialogue.org

Gene Kuleta

Editor
P. 202.463.2920
E. gkuleta@thedialogue.org

Anastasia Chacón González

Reporter & Associate Editor
P. 202.463.2562
E. achacon@thedialogue.org

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