CCE Business Group Criticise President's Proposal

AMLO's proposal to change the constitution to give more power to state utility CFE would hurt families and the environment, according to a statement from the CCE business group. (BBG)

• Reform implies an increase in production costs and would require significant investment from the state to ensure power supply.
• It would eliminate Mexico's ability to contribute to the global effort to combat climate change by allowing obsolete and polluting plants that use diesel, fuel oil and coal to increase their market participation. This would inevitably increase emissions, generation costs and the need for subsidies to maintain constant rates. Additionally, the reform would imply that modern, clean and efficient plants stop operations, violating international agreements.
• Change would drive away investment and impede economic recovery, the CCE says. (BBG)