MEXICO CITY – Mexico’s lower house of Congress passed controversial bill that prioritizes public utility power over private generators, threatening to overthrow the electricity market and jeopardizing billions of dollars private investment.
Lower house lawmakers voted 304-179 to pass the bill overturning key parts of the 2013 energy overhaul, giving private and foreign investors a greater role in the electricity sector.
The ruling Morena party backed the legislation, which was introduced earlier this month by President Andrés Manuel López Obrador, a staunch opponent of the energy opening made under his predecessor.
Mexico’s main opposition party, the Conservative National Action Party, said the changes would increase production costs and electricity tariffs, prove damaging to the environment, and trigger international arbitrations and constitutional challenges.
Opposition lawmakers opposed a number of articles in the bill, although objections were to be rejected by the majority. The bill will then go to the Senate, where approval is almost guaranteed, Senate Majority Leader Ricardo Monreal said.
“The majority will support the president on this point. I don’t think there will be any changes to what the lower house approves, ”Mr. Monreal said.
Write to Anthony Harrup at firstname.lastname@example.org and Juan Montes at email@example.com
Copyright © 2020 Dow Jones & Company, Inc. All rights reserved. 87990cbe856818d5eddac44c7b1cdeb8