Constitutional amendment published on the dissolution of energy regulators

On December 20, 2024, the Federal Executive Branch published in the Federal Official Gazette the constitutional amendment to Article 28 (the “Constitutional Amendment”), which eliminates seven autonomous bodies, including the Energy Regulatory Commission (“CRE”) and the National Hydrocarbons Commission (“CNH”).

Under the Constitutional Amendment, the current functions carried out by the CRE and the CNH will be transferred to the Ministry of Energy (“SENER”). This entails the transfer of independent agencies with technical expertise and specialized knowledge in the energy sector, centralizing regulatory functions within SENER.

As a next step, Congress must make the necessary amendments to secondary laws in the energy sector within 90 days of the Constitutional Amendment’s entry into force.

Until such amendments are enacted, CRE and CNH will continue operating in accordance with their current function as regulatory agencies in the energy sector.  Acts issued by the CRE and CNH before their dissolution will remain legally valid, while ongoing proceedings at the time of their dissolution shall be taken over by SENER.