Roberto Aguirre-Luzi, Isabel Fernandez de la Cuesta, Lauren Friedman and Fernando Rodriguez-Cortina of King & Spalding. (Courtesy photos)
On March 2, and after a short-lived debate, the Mexican Federal Senate approved a bill that will modify Mexico’s Electricity Industry Law, effectively reversing rights granted to private investors in that sector. The reform bill will be sent now to the executive for enactment and is expected to come into effect in the following days.
Mexico’s president, Andrés Manuel López Obrador, sponsored the bill in January 2021, calling upon Congress for swift approval. Ever since coming into power in 2018, López Obrador’s administration has taken a series of measures geared toward gradually dismantling Mexico’s 2013 energy privatization reforms. The reform bill to the Electricity Industry Law is the most drastic measure taken against private actors in the energy sector thus far.
