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Mexican CRE approves new rates for electricity providers [free access]

May 29, 2020

Mexico’s energy regulatory commission, Comisión Reguladora de Energía (CRE), has approved the new rates that private electricity providers must pay to the national power utility, Comision Federal de Electricidad (CFE), for power transmission.

 

As per CRE, the new rates will apply to firms that signed contracts with the CFE before the 2013-14 constitutional reform of the energy sector. CRE did not give details of the new charges. In the reform, renewable firms were awarded the right to generate power, in auctions under the last government, and allowed to deliver that power directly to CFE without paying transmission costs.

 

The new transmission rates were approved following a request made by the CFE in March 2019, that the carriage charges do not reflect the fair and proportional costs towards providing the service.

 

The business leaders in the country are opposing this new rule, as it will increase their cost.