Structural reforms in Mexico during the administration of Felipe Calderon: the energy one

Abstract

The lack of implementation of the energy reform approved by the Mexican Congress inNovember 2008 exemplifies well the achievements of the Calderon administration as forstructural reforms is concerned: a number of bureaucratic administrative actions were implementedproving unable to allow the oil industry to reverse the decline that began afterthe Cantarell field reached its peak production in late 2004. On the face of this emergency,the government kept very high levels of crude oil exports and did not implement the mandateof the energy reform: reduction of imports of refined products and natural gas, edificationof the Bicentenario refinery, development of the Aceite Terciario del Golfo project,transformation of resources from the so-called deep sea to the range of proved reserves,financial and management autonomy for Pemex, issue of Citizens Bonds, busting of technologicalcapabilities, and support to the develop of renewable energy resources. Theobvious consequence is the erosion of sectoral structural reforms, making it progressivelymore difficult their debate and future implementation.