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mexico, support for the development and uptake of - Unido

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Despite those barriers, during <strong>the</strong> last three years all <strong>the</strong> increment in install generation capacity <strong>for</strong><br />

electric public service has come from independent producers, selling electricity to CFE (at June<br />

2005 87 , this type <strong>of</strong> generation covered 17% <strong>of</strong> <strong>the</strong> 46,171 MW total effective generating capacity <strong>of</strong><br />

<strong>the</strong> Country). On o<strong>the</strong>r h<strong>and</strong>, this year, 27.4% <strong>of</strong> <strong>the</strong> total generation, has come from alternative<br />

energy (hydro, nuclear <strong>and</strong> geo<strong>the</strong>rmal, with <strong>the</strong> addition <strong>of</strong> a still small wind component).<br />

The Country has a large endowment <strong>of</strong> renewable energy sources. Besides <strong>the</strong> high solar factor at<br />

<strong>the</strong> largest part <strong>of</strong> <strong>the</strong> territory (2 million Sq Km), <strong>the</strong>re is <strong>the</strong> possibility <strong>of</strong> a larger <strong>development</strong> <strong>of</strong><br />

wind <strong>and</strong> biomass, <strong>and</strong> still a large capacity to improve cogeneration (only in PEMEX an additional<br />

potential <strong>of</strong> 3,800 MW has been identified).<br />

The impacts <strong>of</strong> any possible re<strong>for</strong>ms in <strong>the</strong> energy sector on <strong>the</strong> future potential <strong>for</strong> <strong>the</strong> <strong>development</strong><br />

<strong>of</strong> CDM projects in Mexico, will largely depend on <strong>the</strong>ir possible effects on <strong>the</strong> CDM criteria, <strong>for</strong><br />

example if is consider that is converted to a common practice. Is to be noted that present CDM<br />

additionality criteria are a perverse incentive against policies in favor <strong>of</strong> renewable energy, in<br />

Mexico, <strong>the</strong> energy policy favors but is not comm<strong>and</strong>ed by CDM criteria, hence <strong>the</strong> effect on CDM<br />

could be large. See <strong>the</strong> CDM-EB Additionality criteria at Annex I-H.<br />

Latest Developments in Energy Transition<br />

The day (September 12, 2005) <strong>the</strong> author <strong>of</strong> this study sent it to UNIDO, <strong>the</strong> Mexican President<br />

announce to <strong>the</strong> Nation <strong>the</strong> immediate delivery to <strong>the</strong> Legislative <strong>of</strong> <strong>the</strong> Country several measures<br />

<strong>and</strong> initiatives <strong>of</strong> Law, including:<br />

• Initiative <strong>for</strong> Constitutional Re<strong>for</strong>ms to allow private investment in <strong>the</strong> exploration,<br />

exploitation <strong>and</strong> o<strong>the</strong>r activities related to natural gas non-associated with oil.<br />

• Initiative <strong>for</strong> Constitutional Re<strong>for</strong>ms to allow private investment in <strong>the</strong> infrastructure <strong>for</strong><br />

storage <strong>and</strong> <strong>for</strong> transport ducts <strong>of</strong> oil <strong>and</strong> derivates.<br />

• Governmental investment <strong>for</strong> <strong>the</strong> use <strong>of</strong> renewable energy sources, including <strong>the</strong><br />

<strong>development</strong> <strong>of</strong> sizable wind projects at <strong>the</strong> State <strong>of</strong> Oaxaca.<br />

Environmental Planning<br />

The National Program on <strong>the</strong> Environment <strong>and</strong> Natural Resources 88 (2001-2006) looks <strong>for</strong>:<br />

• Development in harmony with nature<br />

• Growth with human <strong>and</strong> environmental quality<br />

• Environmental administration with legality <strong>and</strong> accountability<br />

• Alliances with social actors.<br />

The six main guidelines <strong>of</strong> <strong>the</strong> environmental policy are:<br />

• Integrality in <strong>the</strong> management <strong>of</strong> natural resources<br />

• Commitment between sectors <strong>of</strong> <strong>the</strong> Federal Government<br />

• Environmental management to avoid ecosystems degradation<br />

• Economic <strong>and</strong> social valuation <strong>of</strong> natural resources<br />

• Combat to environmental impunity.<br />

The National Program on Environment incorporates important voluntary actions <strong>for</strong> sustainable<br />

<strong>development</strong>. Those activities have been rein<strong>for</strong>ced through <strong>the</strong> Program to Promote Sustainable<br />

87<br />

Generation, June 2005, www.cfe.gob.mx<br />

88 Programa Nacional de Medio Ambiente y Recursos Naturales (2001-2006), SEMARNAT. See<br />

http://www.semarnat.gob.mx/comunicacionsocial/in<strong>for</strong>me2.shtml<br />

Chapter I, UNIDO-AUSTRIA 56

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