In 2007 the Government adopted a first National Climate Change Strategy with the objective of defining a consensual public policy agenda to tackle climate change. The President also called on representatives from the legislative, executive and judiciary, private sector and civil society to integrate the announced Climate Change National System (eventually launched in 2014) and work for the promotion of a “truly sustainable development”. The launch of the Inter-secretarial Commission on Climate change, formed of 13 secretaries, was also announced.

In July 2013 Mexico adopted the 10-20-40 National Climate Change Strategy. Following from the 2012 General Law on Climate Change, the Strategy outlines actions to be implemented until 2040. It sets out the main focal areas regarding cross-sectorial climate policy, adaptation to climate change and reduction of GHG emissions, presented as “eight axes of action”.

These are: 1) reduce vulnerability to climate change of Mexicans living at risk and strengthen their resilience; 2) reduce the vulnerability of production systems and strategic infrastructure against weather contingencies; 3) foster adaptability of ecosystems to the effects of global warming; 4) accelerate energy transition towards clean energy sources; 5) reduce power consumption intensity through efficiency and rationality schemes; 6) transition to sustainable city models, with intelligent mobility systems, integrated waste management and buildings with a low carbon footprint; 7) encourage better agricultural and forestry practices, with schemes for Reducing Emissions from Deforestation and Degradation (REDD+); and 8) reduce “short life” pollutant emissions, such as black carbon and methane, to improve the health and welfare of Mexicans.

The Strategy also reinforces Mexico’s mitigation goals to reduce emissions by 30% by 2020 with respect to the business-as-usual scenario, and by 50% by 2050, as compared to emissions in 2000.

Internationally, Mexico has been one of the most active developing countries in relation to conducting and updating the UNFCCC’s National Inventories on Greenhouse Emissions. It was the first developing country to submit the Fourth National Communication and is on the verge of presenting its Fifth National Communication. Mexico’s hosting of COP16 in 2010 created momen­tum to address climate change, as evidenced by the four draft laws put forward to Congress by the major political parties that eventually led to the approval of the General Law on Climate Change (GLCC).

The GLCC became law in 2012 and was a major advance in Mexico’s actions to tackle climate change. After a process of negotiation that lasted two years, the key breakthrough was a meeting in October 2011, convened by GLOBE International and addressed by former UK Deputy Prime Minister Lord Prescott. At this meeting legislators from different parties, who had proposed separate drafts of a climate change law, agreed to merge them into one single proposal. The GLCC was voted on, and approved, in the Mexican Senate in December 2011, coinciding with the UNFCCC COP17/CMP7 in Durban, South Africa.

The current National Development Plan (2013-2018), in turn, includes an environmental sustainability axis concerned with reinforcing climate change policy and environmental policy to promote transition to a “competitive, sustainable, resilient and low-carbon economy”. The updated Special Programme on Climate Change (2014-2018) establishes goals, targets and actions necessary to promote climate change mitigation in the short term while securing economic competitiveness and allowing time for the development of adaptation strategies. The Government expects full implementation of the latter to achieve total annual emissions reduction of 83.2m tonnes of CO2–equivalent (PCG100) by 2018 in relation to the business as usual scenario.

Energy supply

The Law on the Use of Renewable Energies and Financing the Energy Transition (LAERFTE) and the Law for Sustainable Energy Use (LASE) were both passed in 2008. They are expected to be merged and updated soon by a new Energy Transition Law, awaiting approval of the Senate at the time of writing. In 2009 a fund for renewable energy was created at the initial value of MXN3bn (USD220m). In a similar vein, the Law on Bioenergy Promotion and Development was passed in 2007 with the purpose of developing bioenergy in the country, thus contributing to energy diversification and sustainable development while supporting rural areas and promoting social inclusion. These bills all outline a broad framework for action and request the estab­lish­ment of multiple bodies and funding mechanisms. In this sense, they represented the first step, a binding commitment of future action, which has been built on by the General Law on Climate Change. In December 2013, Mexico introduced a comprehensive Energy Reform to support competitiveness and efficiency of its energy sector and further promote the development of clean energies in particular in the electricity sector (renewables, smart grid). The reform also introduced the concept of ‘sustainability’ into the Constitution and created or amended a total of 21 laws. The ‘Special Programme on the Use of Renewable Energy’ (2014-2018) was adopted, which notably sets the ambitious targets of 34.6% of renewable and clean electricity generation capacity installed by 2018, and at least 25% share of renewables in gross electricity consumption by 2018.

Energy demand

Mexico’s energy efficiency and demand side management policy is also based on the above-mentioned LAERFTE and LASE laws. The ‘National Programme for Sustainable Use of Energy 2014-2018’ was adopted on 28 April 2014 (following the first edition 2009-2012). The Programme sets six main objectives: develop measures to promote optimal energy use in the processes and activities of the national energy chain; strengthen the energy efficiency standards for appliances manufactured and/or marketed in the country; strengthen energy efficiency governance at the federal, state and municipal levels in co-operation with public, private, academic and social institutions; support the development of sustainable development technical capabilities; contribute to the dissemination of energy-saving culture among the population; and promote research and technological development related to energy efficiency. In addition, a number of programmes have been introduced, such as the ‘National Project for Support of Efficient Municipal Lighting’ (2010) and the ‘Programme for Energy Savings and Efficiency by Companies’ (2011).

Carbon pricing

Building on the existing National Emissions Registry and the recent tax reform (October 2013) that introduced a carbon tax on fossil fuels starting 2014 allowing companies to pay the levy with carbon credits, Mexico launched a voluntary emissions trading scheme (MEXICO2) in 2013 and announced a cap-and-trade system for carbon emissions from energy sector in February 2014.

LULUCF

In 2012 Congress passed a series of legal reforms on the Environmental Law (1988, last amended in 2014) and on the Sustainable Forest Development Law (2003), to facilitate the implementation of the REDD+ mech­anism in Mexico. The amendments focus on harmonising the definitions of key terms, the development of economic instruments that benefit forest owners and users and the inclusion of REDD+ safeguards.

The development and passing of these legal reforms was led by the Mexico Programme of the GLOBE Legislators’ Forest Initiative and highlight the beginning of a transition towards integrating REDD+ within national legal frameworks. Until then, the REDD+ mechanism has predominantly been discussed within the UNFCCC and the executive branch of governments. The legal reforms also take a critical step towards ensuring that local communities, which sustainably manage their forests, receive economic benefits derived from any future carbon payment scheme. The definition of environmental services has been adapted to emphasise the relationship between the benefits and the functionality of the natural ecosystem and the individuals settled in the territory.

The National Strategy for Reducing Emissions from Deforestation and Forest Degradation (ENAREDD+) was prepared in April 2014 by the Inter-secretariat Committee on Climate Change and is offered for public consultation until 2015, when it will be officially adopted. It aims to “reduce GHG emissions from deforestation and degradation of forest ecosystems and maintain and increase forest carbon stocks in the context of sustainable rural development in Mexico”. The new National Forestry Programme 2014-2018 creates a basket of 17 indicators to evaluate the implementation of the Strategy objectives for 2018. In parallel, national and municipal forest inventories are to be created and linked to the REDD+ Measure, Reporting and Verification (MRV) system based on the latest UNFCCC guidelines. All economic instruments will be considered to promote environmental forest services, thus establishing a legal basis for new “payment for ecosystem services” mechanisms, so that forest land owners are the direct beneficiaries of the economic revenues generated by the sustainable management of their forests. In June 2014, there were 11 REDD+ projects and around 38 forest initiatives initiated in Mexico.

Adaptation

Due to its geographical features, Mexico is one of the countries most vulnerable to the effects of climate change, in particular droughts, floods, rising sea levels and frequent extreme events. Moreover, more than half of the population lives in poverty with limited adaptation capacity. In response to the adaptation challenges, the Special Programme on Climate Change 2013-2018 has been adopted. It defines two main objectives: “Reduce vulnerability of the population and productive sectors and strengthen the resilience of the strategic infrastructure” and “Protect, restore and sustainably manage ecosystems supporting the related environmental services for climate change adaptation and mitigation” and proposes a number of related measures.

Energy Transition Law (2015)

The Energy Transition Act's purpose is to promote sustainable and efficient use of energy, regulate the obligations of power companies related to the mandatory share of clean energies (including natural gas, and CCS with emissions not exceeding 100 kg/MWh), and push for the reduction of the polluting emissions of the electric power industry while ensuring competitiveness of the clean power sector…read more

Energy Reform Package (2013)

The Constitutional Reform on Energy (Energy Reform Decree and related 9 newly created laws and 12 modified laws) aims to modernise the energy system by introducing greater competitiveness and efficiency to the hydrocarbons sector, supporting shift towards low-carbon electricity generation and introducing the concept of ‘sustainability’ into the Constitution. The new laws adopted within the…read more

General Law on Climate Change (2012 / Mitigation and Adaptation Framework)

The approval of the GLCC gives certainty and continuity to climate policy in Mexico and sets the country on a path to a low carbon economy. It establishes the basis for the creation of institutions, legal frameworks and financing to move towards a low carbon economy. As a General Law, it specifies the different responsibilities…read more

Law for Bioenergy Promotion and Development (2007)

This law seeks to reduce GHG emissions as per the international instruments to which Mexico is a signatory. The Secretariat of Agriculture is charged with developing the Programme of Sustainable Input Production for Bioenergy and Scientific and Technological Development. The Inter-sectoral Commission for Bioenergy Development, in the context of the Development Plan, will promote the…read more

Accelerated Depreciation for Investments with Environmental Benefits (2005)

The bill establishes that investments in environmentally friendly technologies, including renewable energy, could profit from accelerated depreciation. The information of the bill involves the Secretariat of Natural Resources and Environment as well as the Secretariat of Finance. The bill allows investors to deduct up to 100% of the investment in renewable energy projects from tax…read more

General Law for Sustainable Forest Development (2003)

The bill seeks to regulate and promote the conservation, protection, restoration, production, organisation, agricultural activity and management of Mexico’s forests in order to secure sustainable forest development. To this end, it creates the National Forest Service, formed by different government authorities and the Mexican Forest Fund, charged with preparing and updating National Forestry and Soils…read more

Special Tax Law on Production and Services (carbon tax) (1980)

The 2012 amendments to the Special Tax Law introduced Mexico’s carbon tax. It covers fossil fuel sales and imports by manufacturers, producers, and importers and is capped at 3% of the sales price of the fuel. Rather than imposing a levy on the full carbon content of fuels, it taxes the additional amount of emissions…read more

National Climate Change Strategy (2013)

The strategy sets out the main focal areas regarding cross-sectorial climate policy, adaptation to climate change and reduction of GHG emissions, presented as “eight axes of action”. These are: 1) Reduce vulnerability to climate change of Mexicans living at risk and strengthen their resilience; 2) Reduce the vulnerability of production systems and strategic infrastructure against…read more

Emissions More information

Rank as emitter (including LULUCF):
11-20
GHG Emissions 2007-2011 (MtCO2e)
Mexico
Country-reported GHG emissions (incl. LULUCF) (MTCO2):711.65 (reporting year: 2006)
Country-reported GHG emissions (excl. LULUCF) (MTCO2):641.45 (reporting year: 2006)

Information More information

GHG inventory:1990-2010 (Fifth National Communication 2012)
Climate risk assessment:5th National Communication to the UNFCCC (2012)

Targets

Economy wide targets - Up to (and including) 2020

Reduce emissions by 30% by 2020 compared to business-as-usual

Source:
Economy-wide targets - Beyond 2020

Reduce emissions by 50% by 2050, from 2000 levels

Source:
Targets - Energy demand

Limit energy intensity to 2012 levels; Apply energy efficiency regulation to at least 51% of national energy consumption: Establish at least 24 State Energy Commissions; Increase by 10% the number of professionals competent in energy efficiency technologies or technical capabilities (compared to 2012); Increase by 3% the number of persons informed on benefits of energy efficiency measures (compared to 2012); Increase by 5% the amount of finance allocated to energy efficiency projects (baseline 2012)

Source:
  • National Programme for Sustainable Use of Energy 2014-2018 (2014)
  • 1450
Targets - LULUCF

Ensure that: 58.7% of forest resources are harvested sustainably by 2018; 94% of forest areas certified under “good forest management practice” by 2018; at least 10.2% of forest area is included in the ‘payment for ecosystem services’ scheme; at least 5.45% forest areas are restored by 2018 (out of the areas designated for restoration); Reduce the annual net deforestation rate by 18% over 2010-2015; 0% of wood sold on illegal markets in 2018 (proxy indicator); 8.75Mt of avoided CO2e emissions from deforestation and forest degradation by 2018; Increase by 30% between 2012 and 2018 the number of credits allocated for forestry development and conservation programmes by the Development Bank of Mexico

Source:
Targets - Renewables

Increase share of renewables in electricity mix to 35% by 2024; Increase share of renewable/clean electricity generation capacity to 34.6% in 2018 and at least 25% share of renewables in gross electricity consumption by 2018.

Source:
Targets- Transport

None

Policies

GHG Mitigation framework More information

General Law on Climate Change (2012)

Source:
Adaptation framework More information

General Law on Climate Change (2012)

Source:
Policies - Carbon pricing

Carbon tax on fossil fuels starting 2014; Cap-and-trade system subsidies for electricity and water to be gradually removed; Voluntary emissions trading scheme (MEXICO2, launched in November 2013)

Source:
Policies - Promotion of low-carbon energy (inc. renewables)

Net metering, self-supply and small-scale producer schemes (up to 0.5MW); Clean energy certification; Accelerated depreciation for investment in renewable energy; Renewable energy fund

Source:
  • 1451
  • Special Programme on the Use of Renewable Energy (2014-2018)
  • Law on the Electricity Industry (2014)
Policies - Energy demand

Energy efficiency standards (appliances); Support to efficient municipal lighting; Support for energy savings in companies

Source:
  • 1450
  • National Programme for Sustainable Use of Energy 2014-2018 (2014)
Policies - Transport

None

Policies - LULUCF

REDD programmes; Forest certification; Payment for ecosystem services scheme

Source:

The United Mexican States (Mexico) has a bicameral legislature (Congress) made up of the Chamber of Deputies and the Senate. The Lower Chamber is formed by 300 members elected in a system of electoral districts, and 200 members elected through a system of regional lists for a three-year term. The Senate has 128 senators, two of whom are elected and one assigned for each of the 31 states and the Federal District for a six-year term. The last Senate election was held in 2012 and the last Chamber of Deputies election in June 2015 (next election for both Chambers is scheduled for 2018).

The Constitution establishes that only the President and members of the Congress can introduce a bill in Congress. In practice, most bills are initiated by the executive branch. With a few exceptions, the legislative process requires the discussion and approval of a draft bill by both the Senate and the Chamber of Deputies. The Senate addresses all matters concerning foreign policy, approves international agree¬ments and confirms presidential appointments. The Chamber of Deputies addresses all matters pertaining to the government’s budget and public expendi¬tures.

If passed in both Chambers, a bill becomes law once it has received presidential approval and been published in the official gazette. If not sanctioned, the bill is sent back to one of the chambers with suggested amendments, re-launching the legislative process for the adoption of that law.

Bionero, 2008. Qué quiere Alberto Cárdenas Jiménez con su propuesta de Ley sobre cambio climático? [What does Alberto Cárdenas Jiménez want with his proposed law on climate change law?] [in Spanish]. Bionero website, 29 April 2010 [URL: http://www.bionero.org/cambio-climatico/bfque-quiere-alberto-cardenas-jimenez-con-su-propuesta-de-ley-sobre-cambio-climatico%5D. Accessed 15 December 2012.

Cámara de Diputados (2014). Ley del impuesto especial sobre producción y servicios. http://www.diputados.gob.mx/LeyesBiblio/pdf/78.pdf. Accessed on 16 November 2014.

Cámara de Diputados (2015). Ley de transición energética. http://www.diputados.gob.mx/LeyesBiblio/pdf/LTE.pdf. Accessed on 15 January 2016.

CONAFOR (April 2014). Estrategia nacional para REDD+ (ENAREDD+). http://www.conafor.gob.mx:8080/documentos/docs/35/5559Elementos%20para%20el%20dise%C3%B1o%20de%20la%20Estrategia%20Nacional%20para%20REDD_.pdf. Accessed on 14 November 2014.

Critchley, A. (2016). Will Mexico’s New Wholesale Power Market Help or Hinder Renewables Developers? Greentechmedia. https://www.greentechmedia.com/articles/read/expectations-high-as-mexicos-wholesale-power-market-launches. Accessed on 15 January 2016.

Garcia, D.A. (27/11/2013). [Mexico launches first carbon exchange to cut CO2 emissions]. Reuters. http://in.reuters.com/article/2013/11/27/mexico-carbon-idINL2N0JB1JL20131127. Accessed 14 November 2014.

GLOBE Mexico, 2012. Legislative Developments on Climate Change in Mexico. Email communication, October 2012.

Government of Mexico (2013). Reforma Energética. http://cdn.reformaenergetica.gob.mx/explicacion.pdf. Accessed 15 November 2014.

Government of Mexico. 2003. General Law on Sustainable Forest Development [URL: http://www.diputados.gob.mx/LeyesBiblio/pdf/259.pdf%5D. Accessed 15 December 2012.

Government of Mexico, 2008. Law for the Promotion and Development of Bioenergy [URL: http://www.diputados.gob.mx/LeyesBiblio/pdf/LPDB.pdf%5D. Accessed 15 December 2012.

Government of Mexico, 2008. Law for the Sustainable Use of Energy (LASE) [URL: http://www.diputados.gob.mx/LeyesBiblio/pdf/LASE.pdf%5D. Accessed 15 December 2012.

Government of Mexico, 2008. Law for the Use of Renewable Energies and for Financing the Energy Transition (LAERFTE) [URL: http://www.diputados.gob.mx/LeyesBiblio/pdf/LAERFTE.pdf%5D. Accessed 15 December 2012.

Herrera, H. (2015). A Brief Overview of Mexico’s Energy Transition Act. HaynesBoone. http://www.haynesboone.com/news-and-events/news/alerts/2015/12/28/a-brief-overview-of-mexicos-energy-transition-act. Accessed on 14 January 2016.

Instituto Nacional de Ecología, 2011. Instituto Nacional de Ecología website [in Spanish] [URL: http://www.ine.gob.mx/index.php%5D. Accessed 15 December 2012.

Instituto Nacional de Ecología, 2011. Climate Change Portal for Mexico website [in Spanish] [URL: http://cambio_climatico.ine.gob.mx/%5D. Accessed 15 December 2012.

International Energy Agency, 2011. Relation with Member Countries – Mexico.International Energy Agency website [URL: http://www.iea.org/country/m_country.asp?COUNTRY_CODE=MX%5D.

Krishnamurthy, K., 2010. Mexico Proposes Ambitious Law on Climate Change.Climatico website, 23 July 2010 [URL: http://www.climaticoanalysis.org/post/mexico-proposes-ambitious-law-on-climate-change-2/%5D. Accessed 15 December 2012.

National Congress (2012) General Law on Climate Change. 6 June. Available at: http://www.diputados.gob.mx/LeyesBiblio/pdf/LGCC.pdf (accessed on 15 October 2013).

Secretary of Environment and Natural Resources (2013). National Climate Change Strategy. Vision 10-20-40. Available at: http://www.encc.gob.mx/ (accessed on 15 November 2013).

Secretary of Environment and Natural Resources (2012). Mexico’s Third National Communication to the UNFCCC. Available at: http://unfccc.int/resource/docs/natc/mexnc5s.pdf (accessed on 17 November 2013).

SEGOB (11/08/2014). Decreto por el que se expiden la Ley de la Industria Eléctrica, la Ley de Energía Geotérmica y se adicionan y reforman diversas disposiciones de la Ley de Aguas Nacionales. Diario Oficial de la Federación. http://www.dof.gob.mx/nota_detalle.php?codigo=5355986&fecha=11/08/2014. Accessed 14 November 2014.

SEGOB (20/12/2013). Decreto por el que se reforman y adicionan diversas disposiciones de la Constitución Política de los Estados Unidos Mexicanos, en Materia de Energía. Diario Oficial de la Federación. http://www.dof.gob.mx/nota_detalle.php?codigo=5327463&fecha=20/12/2013. Accessed 14 November 2014.

SEGOB (2014). National Forestry Programme 2014-2018. Diario Oficial de la Federación. http://www.dof.gob.mx/nota_detalle.php?codigo=5342498&fecha=28/04/2014. Accessed on 14 November 2014.

SEGOB (28/04/2014). Programa Especial de Cambio Climático 2014-2018. Diario Oficial de la Federación.  http://dof.gob.mx/nota_detalle.php?codigo=5342492&fecha=28/04/2014. Accessed 15 November 2014.

SEGOB (28/04/2014). Programa Especial para el Aprovechamiento de Energías Renovables. Diario Oficial de la Federación. http://www.dof.gob.mx/nota_detalle.php?codigo=5342501&fecha=28/04/2014. Accessed 15 November 2014.

SEGOB (2014). Programa Nacional para el Aprovechamiento Sustentable de la Energía 2014-2018. Diario Oficial de la Federación. http://dof.gob.mx/nota_detalle.php?codigo=5342503&fecha=28/04/2014. Accessed on 15 November 2014.

SEMARNAT (2014). Federal Laws Concerning the Environment and Natural resources. http://www.semarnat.gob.mx/leyes-y-normas/leyes-federales. Accessed 15 November 2014.

Last modified 25 January, 2016