“Energy reform is 90% the same as 2013”; passes in committees

Amidst controversy, because the opposition claimed that it is a plagiarism of the current rules and the government reiterated that it is about the recovery of the sector, joint commissions of the Senate approved the secondary reform in energy matters, which maintains private investment, leaves private investments intact and reestablishes the preponderance of CFE and Pemex, as state-owned companies.

With 22 votes in favor, one against and eight abstentions, the Senate's joint committees on Energy and Legislative Studies approved the reform that modifies the rules of the energy sector. In the case of the hydrocarbons area, it is the third this century; for the electricity and renewable energies area, it is the second.

After nearly five hours of discussion, the senators approved eight new laws and reforms to three others, to be discussed and approved by the full Senate on Wednesday.

The PT member Yeidckol Polenvsky said that “the energy reforms implemented by the past six-year terms; the neoliberal six-year terms, were a complete fiasco; they attacked the national interest.

“His promises of modernization, tariff reduction and increased oil production were never fulfilled. And here it is worth clarifying that, in fact, there were no gasoline hikes during the six-year term of President Andrés Manuel López Obrador and support was maintained on the issue of IEPS” (Special Tax on Products and Services).

But the PRI member Claudia Anaya and the PAN member Ricardo Anaya, pointed out that 90% of the new laws and reforms are identical to the current laws, which were approved in 2013-2014, and that is the best way to show that they are not really against this reform, since they also maintain private investments, which was the essence of the reform carried out during the government of Enrique Peña Nieto.

"What a relief to know that we were right. They know that taking more than 90% of a text is plagiarism, if they don't provide a reference source. Well, this ruling that they present to us today has 90% of the laws in force (…) The heart of the 2013 energy reform prevails, persists, because it is private investment. Are they cancelling private investment?

“No, comrades, it persists. Even all the contracts already assigned remain; that is, if they want to speak badly of the businessmen who got involved since 2013, they would be speaking badly of them from now on, because they remain,” Claudia Anaya stressed.

“It is true. They say that the 2014 reform was the worst in history, but 90% of what is in these documents is the 2014 reform, which they do not change a comma from. Not everything that is here is bad, nor is everything good.

“What clearly divides us? What we want is electricity with three characteristics: clean, that is why we want solar panels and wind turbines; cheap, that is why we want to give priority to those who can generate it at a lower price; and accessible and abundant. The problem with you is that it is not that you do not want those three things, it is that above all that you give priority to state control, to your addiction to state control and opacity,” said Ricardo Anaya.

Morena member Patricia Sosa stated that this reform facilitates well-being and national strategic development.

“What did the opposition do with power? They agreed to auction off the nation's assets and privatize the energy sector. What are we doing with power? We are recovering energy sovereignty for the benefit of the people of Mexico and we are resuming state planning,” he said.

Clemente Castañeda, from Movimiento Ciudadano, explained that this reform should combat corruption in the sector. He cited the scandal with the Odebrecht company and the allegations by various civil organizations that the family of former President Andrés Manuel López Obrador has benefited from the energy sector, as well as the cost overruns for building the Dos Bocas refinery.

“The misappropriation of resources, conflict of interest and lack of transparency are problems that have diminished the capacity of companies such as Pemex and CFE; dubious tenders, subsidies at the expense of Mexicans and many other scandals. Unfortunately, the current reform does not provide guarantees to prevent corruption, strengthen transparency and end impunity,” he said.

Morena member Beatriz Robles said that when the opposition talks about corruption it is “the donkey talking about ears,” and PRI member Carolina Viggiano accused the Morena government of turning Pemex into a “junkyard.”

The reform will be read for the first time in the Senate today, Tuesday, and will be discussed for approval on Wednesday.