The Mexican Senate has approved a constitutional reform to strengthen state-owned Pemex and CFE. The bill expects to reverse the constitutional amendments made in 1992 and 2013, that opened the energy sector to private capital, through a series of reforms. According to the document, the government plans to restore the Federal Electricity Commission (CFE) and the national oil company Pemex to the title of "state-owned enterprises" instead of "productive enterprises" that compete with private companies, expecting to lose their operational autonomy to be under governmental control once the bill becomes a law. In addition, the CFE will have the right to generate 54% of the national electricity without being considered a monopoly and obliges the National Energy Control Center (Cenace) to first dispatch the energy produced in plants of the state company, even if it is more expensive and polluting than that of private companies.
The constitutional reform must now be approved by at least 17 of the 32 Mexican state congresses that make up the country. The amendment aims to provide the electricity and Internet services at the lowest possible price and protect the country’s energy sovereignty. The CFE, holds around two thirds of electricity capacity (61.4 GW by the end of 2023) and contributes 60% of electricity production, while Pemex dominates Mexico’s oil production, transformation, and distribution of crude oil and oil products
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