Electricity reform affects power plants opknapbare, advises Fitch Ratings

The caliper Fitch Ratings warning that the cambios to the Ley de la Industria Eléctrica promoted by the president Andrés Manuel López Obrador could negatively affect renewable energy and thermal thermal power plants, as well as energy independent producers or generators and those that have bilateral agreements to buy energy, heredated by the Federal Electricity Commission (CFE).

Fitch Ratings agrees that the 1992 Public Electricity Service Act also had an impact.

Detail that projects with highly capitalized capital expenditures expended on risks, reducing traders in particular vulnerability to the pressure of ingress.

For this reason, it is possible to hope that the project of law “encompasses legal challenges in accordance with Mexican constitutional and legal principles, such as antimonopoly laws, legal certainty and no retroactivity of international treaties and protections”.

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“The questions can impede that the project of their entry into force”, underlined Fitch Ratings.

Note that the new ley project Revised the deregulation of energetic market and debilitated with the confidence of the red to give priority to the more ancient energy plants, more caras and less efficient CFEs, about the more new plants operating in the private sector ”.

By means of a communication, the calculator indicates that, although the regulations have to be codified, it is hoped that the volatility of the precedents will be intensified as they CFE plants exceeding the offer of the system to assign its marginal costs to the curve of economic merit, presumably displacing the curve of demand and taking precedence over low prices on account.

In addition, the incremental operating costs of the deberían electric power company will be covered by additional charges of the system, “tariff increases for final users obliging the federal government to subsidize CFE’s tariff rates”.

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También destacó que debido a su ubicaciona un un uni regie muy congestionada, la nueva ley agravaría el riesgo de reducuch existing para las Aeolian power stations Oaxaca Dos, CE Oaxaca Cuatro.

The projects also are subject to a possible renegotiation or review of the contract, especially due to the prices of the bilateral agreements energy sales are very high in terms of current account prices.

The negotiation of the contract requires the consent of the bonus holder, “on the contrary, results in a technical event of completion and a possible acceleration of the debt. The forced termination of the contract is less likely, as CFE tends to pay the plants the value present in all future futures, which will be sufficient to pay the due debt ”.

Indicated that there are energy purchase contracts with buyers who have been hired after the Energy Reform, as the FEL Energy VI (Tierra Mojada) project, which is currently undergoing a possible renegotiation of the contract.

Some of these projects are ubiquitous in areas where hay energy deficit, which makes it less likely to be affected by the reduction risk.

cev / lsm

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