• INJUNCTION: A Mexican judge issued an injunction that halts the implementation of a wide-ranging policy by the López Obrador administration to change rules in the country’s electric market that critics say give preference to state-owned power plants over private renewables companies.
• LITIGATION: Issued by federal judge Juan Pablo Gómez Fierro in favor of civil group Derecho Colectivo, today’s injunction will be in place while litigation over the merits of the administration’s “power reliability policy” ensues. Energy associations argue that US $44 billion in private investments are at risk.
• IMPACT: “(This policy) potentially impacts all private projects in the sector, both renewable energy and conventional energy sources, from large-scale projects to distributed generation projects”, says a document published Wednesday by five Mexican energy associations.
• RELIABILITY: As Mexico faced the coronavirus emergency, the López Obrador administration said in May that the country’s electric system could not rely on renewables given an alleged lack of reliability. Critics argue that the policy seeks to give preference to state-owned utility CFE.
