Aside from the massive cost of constructing a physical barrier along the entire U.S.-Mexico border, factors such as private and tribal land ownership and the impact on the environment must be taken into account.
Mexico is gradually laying the foundation for an oil and gas sector where private—along with some state-owned—international companies are taking central stage. However, authorities should not ignore the necessity of developing a domestic oil and gas sector, writes Adrian Duhalt in a post for the Baker Institute blog.
The energy reform in Mexico has implemented far-reaching changes in the political, economic, and legal spheres of the country. Any process whereby an industry is opened to private investment investment gives rise to the possibility of disputes that need to be settled within an environment of legal certainty. International arbitration in general, and investment arbitration in particular, are tools that serve both the investor and the state to properly resolve disputes that arise in the energy sector. However, the author argues that a balance must be sought between the legitimate interests and expectations of an investor and the public policy interests of the state, particularly whenever a sector as significant as energy is concerned.
To gain public support for Mexico’s energy reforms, the government promised a future of low gas prices. The author documents the fallout when gas prices instead shot up 20 percent.
The extent of fuel theft from pipelines in Mexico is now so great that it is becoming a serious financial burden for state-owned petroleum company Pemex and, more broadly, may pose a challenge to the implementation of policies designed to liberalize Mexico's gasoline market, writes postdoctoral fellow Adrian Duhalt.
The authors calculate nodal prices for Mexico's power system and analyze how the allocation of financial transmission rights can be used to mitigate resulting effects on electricity distribution. The Energy Journal: http://bit.ly/2UKrw9R
Friedrich Kunz, Juan Rosellón, Claudia KemfertJune 17, 2017
Mexico should consider expanding its 2014 energy reform legislation by further designing policies that seek to promote enhanced generation output and capacity, which could expand economic growth, the authors write in this study: http://bit.ly/2DpaDai
This study analyzes the new legal framework and definitions governing Mexico's energy sector as a result of the constitutional reform, and the implications for the hydrocarbons and electrical sectors.
A universally agreed-upon definition of the U.S.-Mexico border region is elusive, to say the least. The boundaries vary widely depending on the government entity or academic institution involved. This brief reviews the many officially sanctioned definitions of the region, and explains why a consensus is necessary for effective border management.
OPEC may opt to continue or deepen its oil production cuts at its upcoming May meeting, as a growing number of highly efficient U.S. shale operators now appears able to maintain oil production — and even expand it — at prices that likely are unsustainably low for many major exporters’ national budgets, writes energy fellow Gabriel Collins.