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NEW ENERGY SECTOR REGULATIONS

October 29th, 2025

On October 3, 2025, regulations updating the legal framework of Mexico’s whole energy industry were published in the Diario Oficial de la Federación (Official Gazette of the Federation, “DOF”), covering hydrocarbons, electricity, biofuels, and energy transition.

  • These regulations implement the laws enacted on March 18, 2025, stemming from the 2024 constitutional reform through which regulatory authority over the energy sector was transferred to the jurisdiction of the Secretaría de Energía (Ministry of Energy, “SENER”) and the newly established Comisión Nacional de Energía (National Energy Commission, “CNE”), replacing the now defunct Comisión Reguladora de Energía (Energy Regulatory Commission, “CRE”) and the Comisión Nacional de Hidrocarburos (National Hydrocarbons Commission, “CNH”).
  • In general, the new regulations will have retroactive effect on proceedings initiated under the repealed legal framework. Further details are provided in the individual analyses prepared by the Firm, available at here.
  • The regulations establish that SENER will issue the general administrative provisions concerning the “planeación vinculante” (binding planning directives) no later than December 30, 2025. Such planning will be directed toward the development of strategic areas and projects that ensure, among other things, “Justicia Energética ” (Energy Justice) and the regulation of green energy transition obligations. SENER and CNE shall consider this planning framework when granting allocations, contracts, permits, concessions, and authorizations.
  • Furthermore, with the publication of the regulations, the suspension of procedural deadlines decreed on March 18, 2025, for proceedings before SENER and CNE is rendered void, and the previous regulatory framework is repealed.

RepealedReplaced By
Regulations of the Hydrocarbons Law. (DOF 10/31/2014)
Regulations of the Hydrocarbons Sector Law.
Regulations governing the activities referred to in Title Three of the Hydrocarbons Law. (DOF 31/10/2014)
Regulations of the Geothermal Energy Law. (DOF 31/10/2014)Regulations of the Geothermal Law.
Regulations of the Electricity Industry Law. (DOF 31/10/2014)Regulations of the Electricity Sector Law.Regulations of the Electricity Sector Law.
Regulations of the Law on the Promotion and Development of Bioenergy. (DOF 18/06/2009)Regulations of the Biofuels Law.
Regulations of the Energy Transition Law. (DOF 4/05/2017)Regulations of the Energy Planning and Transition Law.

1. General Provisions.

1.1. Regulations of the Hydrocarbons Sector Law.

  • Consolidates, in a single regulatory instrument, the regulation of all activities within the hydrocarbons industry; whereas previously, they were contained in two separate regulations: (i) the Reglamento de la Ley de Hidrocarburos (Regulations of the Hydrocarbons Law), and the (ii) Reglamento de las actividades a que se refiere el Título Tercero de la Ley de Hidrocarburos (Regulations on the activities referred to in Title III of the Hydrocarbons Law), each respectively, for oil & gas exploration and extraction activities, and for all other hydrocarbons-related activities such as gasoline retail sales, etc..
  • Incorporates the new, specific figure of self-supply dispatch as a permitted activity in the hydrocarbons sector, which was not previously contemplated in the Ley de Hidrocarburos (Hydrocarbons Law) or in the Reglamento de las actividades a que se refiere el Título Tercero de la Ley de Hidrocarburos (Regulations on the activities referred to in Title III of the Hydrocarbons Law), both now repealed, and which had been regulated through interpretative resolutions issued by the CRE.
  • Eliminates the possibility of renewing permits upon expiration, and therefore new permits must be sought under all applicable requirements and paying the corresponding fees.
  • Modifies the validity periods of permits, depending on the activity (such as processing, liquefaction, regasification, compression, decompression, transportation via pipelines or alternative means, storage, distribution via pipelines or by other means or by plant, retail sales, self-supply dispatch, marketing, importation, and exportation) for crude oil, natural gas, liquefied petroleum gas, refined petroleum products, and petrochemicals, as well as the management of integrated systems.

1.2. Regulations of the Electricity Sector Law.Regulations of the Electricity Sector Law.

  • Assigns jurisdiction for the resolution of permits and authorizations between CNE and SENER, with SENER retaining its authority to allow the import or export of electricity and to approve the social impact assessment.
  • Seeks to guarantee the preeminence of the State in electricity generation, through the Comisión Federal de Electricidad (Federal Electricity Commission).
  • Redefines the procedures for permits and authorizations in the electricity sector.
  • Incorporates provisions related to SENER’s obligation to promote mechanisms of Energy Justice.

1.3. Regulations of the Energy Planning and Transition Law.

  • Regulates the binding planning directives of the energy sector, the energy transition, as well as the sustainable use of energy.
  • Incorporates obligations related to clean energy and the reduction of pollutant emissions.
  • Harmonizes the planning instruments within the energy sector.
  • Integrates energy policies and indicators under a common framework to strengthen the national sustainability strategy.

1.4. Regulations of the Biofuels Law.

  • Distributes jurisdiction over biofuels among SENER and the (i) Secretaría de Agricultura y Desarrollo Rural (Ministry of Agriculture and Rural Development), and (ii) Secretaría de Medio Ambiente y Recursos Naturales (Ministry of Environment and Natural Resources), for the purposes of authorizations and permits related to biofuels.
  • Includes provisions regarding the traceability, quality, production, and responsible use of biofuels, aligned with environmental policy objectives.

1.5. Regulations of the Geothermal Law.

  • Establishes jurisdiction of SENER and the Comisión Nacional del Agua (National Water Commission) for the resolution of authorizations and permits.
  • Regulates the use of geothermal energy for the generation of electricity, as well as the use of wastewater.

1.6. Amendment to the Regulations of the Hydrocarbons Revenue Law.

  • Establishes new provisions related to the migration of exploration and production allocations into contracts as provided under the Hydrocarbons Sector Law.
  • Regulates the coordination among the Secretaría de Hacienda y Crédito Público (Ministry of Finance and Public Credit), SENER, the Servicio de Administración Tributaria (Tax Administration Service), the Fondo Mexicano del Petróleo (Mexican Oil Fund), and Petróleos Mexicanos (PEMEX) for the monitoring of contracts and the delivery of technical and economic information.

2. Transitional Provisions.

In accordance with the transitional regime of the regulations, the normative provisions applicable today will remain in effect until the entry into force of those that replace them. This specifically includes the resolutions, agreements, and general administrative provisions issued by CRE and CNH.

Likewise, all permits and concessions granted prior to the publication of the secondary laws and the regulations will continue to be valid until their expiration.

Furthermore, although the processing of proceedings and applications submitted before the entry into force of the secondary laws will continue, in accordance with the Reglamentos (Regulations) of the Ley de Geotermia (Geothermal Law), Ley del Sector Hidrocarburos (Hydrocarbons Sector Law), and the Ley del Sector Eléctrico (Electricity Sector Law), all applications for authorizations, permits, and concessions related to said regulations must be resolved in accordance with the new laws and regulations.

Although it has been stated that “the foregoing shall not be considered retroactive to the detriment of the applicants, since being unresolved, they did not confer any previously acquired right,”this does not preclude the legal remedies and arguments that interested parties may assert in seeking a permit, authorization, or concession.

For specific consultation of each regulation referenced, the corresponding analysis with further information will be published in due course.

Should you have any questions regarding the scope or implementation of this note, please contact us.

Bernardo Mendoza
Partner
bmendoza@k-g.com

Dorothy Lerch
Counselor
dlerch@k-g.com.mx

Gerardo H. Estrada
Attorney
gestrada@k-g.com.mx