Baker Institute experts explain how Friday's arrest of Mexican drug lord Joaquin "El Chapo" Guzman will affect the Peña Nieto administration, the Sinaloa Cartel and the Mexican government's "kingpin strategy" to destroy the cartels.
Tony Payan, Gary J. Hale, Nathan P. JonesJanuary 9, 2016
Although there are enormous potential benefits for Mexico's energy sector in the future, there are also important challenges the country must overcome to fully realize its energy potential. One of them has to do with the land ownership and land use regime in Mexico. As the legislative debate on the new Ley de Petróleos and the Ley de la Comisión Federal de Electricidad (Petroleum Act and Federal Electric Utility Act) proceeded in the summer of 2014, the Mexican Congress anticipated potential land-related conflicts associated with exploration and production activities related to hydrocarbons and new energy-related infrastructure projects. These potential conflicts stem from the fact that all of these projects will necessarily require the right of way to access and work on the resources in the subsoil of privately owned as well as on so-called “socially owned” lands in regions targeted for energy development. Thus, the Mexican Congress sought to avoid land-related conflicts by including language related to land ownership and use in the new energy legislation. The legislation, however, may not be able to prevent such conflicts.
Tony Payan, Guadalupe Correa-CabreraOctober 29, 2014
Mexico's organized crime groups have expanded into areas that include the theft of crude oil, gas and gasoline. The impact of organized crime on the energy sector is a real threat to the intended effects of Mexico's energy reforms.