Environmental implications of the Electricity Industry Law reform

A quantitative assessment was conducted on the immediate effects of the modified Electricity Industry Law (LIEm), approved by Mexican Congress on March 9, 2021. The LIEm grants CFE discretionary powers for generator priority dispatch, displacing renewable energy plants. This intensifies the use of outdated CFE-owned thermal plants, increasing CO2 and SO2 emissions significantly, posing health risks. The LIEm aims to stall private investment and renewable energy generation.