exports

Regulatory and policy changes in Mexico have dented investor confidence in the energy sector, according to a recent U.S. State Department report on the investment climate in the country.

The report cites moves that favor state firms Petróleos Mexicanos (Pemex) and Comisión Federal de Electricidad (CFE). 

“The changes have led private companies to file lawsuits in Mexican courts and several are considering international arbitration,” the authors said in the report.

Published on September 8, the report alludes to new policies that enable power grid operator Centro Nacional de Control de Energía (CENACE) to favor CFE in power dispatch. 

“The main non-market-based advantage CFE and CENACE receive vis-a-vis private businesses in Mexico is related to access to...