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Weekly Report - 01 June 2022 (WR-22-22)
MEXICO: Self-supply permits in the firing line
After the lower chamber of deputies rejected President Andrés Manuel López Obrador’s electricity reform on 17 April, the Mexican president announced plans to review and revoke energy self-supply permits. The permits allow private companies to generate electricity on their own, lessening their reliance on the supply of state-run electricity firm Comisión Federal de Electricidad (CFE). However, the government claims almost half of the 234 self-supply permits in Mexico are illegal. The government has said its review of permits would eliminate business that had been “inherited” from previous governments and that “benefitted private foreign investment”, naming Spanish energy company Iberdrola as one such benefactor.
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