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Camimex: 8 positions on the electricity reform initiative

The Mexican Mining Chamber (Camimex) issued eight positions on the electricity reform initiative.

 The following are the textual points argued by Camimex

1.- This reform causes uncertainty for companies that invest in our country.

 The restriction on the use of any mineral considered “essential for the energy transition” is a factor of uncertainty for investors who intend to develop mining projects in the country. This has a negative impact on the sectors that contribute significantly to the economic reactivation necessary for Mexico.

2.- It puts at risk the mining operations that already exist in the national territory.

The minerals are property of the Nation, as established by Article 27 of the Constitution.

Consideration of other minerals as essential for the energy transition should be eliminated from the Reform, this generates uncertainty and puts at risk existing mining operations, the supply of minerals for other value chains, as well as its consequent economic spillover, generation of well-being in more than 690 communities in the country and the more than 2.3 million jobs and families that depend directly and indirectly on this activity.

3.- Legal provisions cannot be retroactive.

The reform proposal violates the principle of non-retroactivity.

4.- This reform in the electricity sector can be an obstacle for the Mexican industry to be sustainable.

The cancellation of electrical permits would prevent mining operations from having access to clean sources of electricity generation.

Currently, 34% of the total energy consumption of mining companies affiliated to Camimex that operate under high commitments and standards of environmental protection comes from clean sources such as wind or solar.

This reform would oblige all productive sectors in Mexico to purchase energy from the CFE, no matter how dirty, expensive and inefficient it may be.

Additionally, the Reform would reduce Mexico’s competitiveness in the international market.

5.- A monopoly in the supply of electricity can make energy use more expensive for families and industries.

The increase in electricity generation costs could make a large number of mining projects that are necessary for the development of the country economically unviable.

6.- This is a fundamental issue that deserves a serious and responsible debate.

Camimex calls on the Legislative Power to hold an open parliament that truly listens to all the expert voices and in which it reflects objectively on all the effects of this initiative for the present and future of Mexico, of the children and youth.

7.- Camimex is in favor of a solid electricity sector.

The Mining Chamber of Mexico is in favor of a strong electricity sector that guarantees the security and energy sovereignty of Mexico through a robust, reliable, diversified, fair, balanced electricity system with competitive prices that ensure sustainable development.

We join the concern of other Chambers, which group key sectors of the economy, groups of university students, young people, academics and specialists who have expressed regarding the consequences and implications of this Reform.

8.- Close collaboration between the public and private sectors, as well as civil society, will be essential

Close collaboration between the public and private sectors will be essential to guarantee, in the present and in the future, an orderly and necessary energy supply for all Mexicans.

 

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