Energy, Mining and Infrastructure México
August 2014 Visit our site: www.bakermckenzie.com/mexico Visit our blog: www.mexicoenergybrief.com Guadalajara Blvd. Puerta de Hierro 5090 Fracc. Puerta de Hierro 45110 Zapopan, Jalisco, México Tel. +52 33 3848 5300 Fax +52 33 3848 5399 Juárez P.T. de la República 3304, Piso 1 32330 Juárez, Chihuahua, México P.O. Box 9338 El Paso, TX 79995 Tel. +52 656 629 1300 Fax +52 656 629 1399 México Edificio Scotiabank Inverlat, Piso 12 Blvd. M. Ávila Camacho 1 11009 México, D.F., México Tel. +52 55 5279 2900 Fax +52 55 5279 2999 Monterrey Oficinas en el Parque, Torre I Piso 10 Blvd. Antonio L. Rodríguez 1884 Pte. 64650 Monterrey, Nuevo León, México Tel. +52 81 8399 1300 Fax +52 81 8399 1399 Tijuana Blvd. Agua Caliente 10611, Piso 1 22420 Tijuana, B.C., México P.O. Box 1205 Chula Vista, CA 91912 Tel +52 664 633 4300 Fax +52 664 633 4399
Mexico’s Energy Reform Law of the National Agency of Industrial Safety and Environmental Protection of the Hydrocarbons Sector On August 11th 2014, a Decree enacting the Law of the National Agency of Industrial Safety and Environmental Protection of the Hydrocarbons Sector (the “Law”) was published in the Official Federal Gazette. This Law will become effective as of August 12th 2014. The National Agency of Industrial Safety and Environmental Protection of the Hydrocarbons Sector (the “Agency”) is a de-concentrated administrative organism of the Ministry of Environment and Natural Resources (“SEMARNAT”), with technical and procedural autonomy, in charge of regulating and supervising industrial and operative safety, as well as environmental protection in the case of the following regulated activities: Surveillance and surface exploration, as well as the exploitation and extraction of hydrocarbons; Oil treatment, refining, transfer, marketing, transportation and storage; Natural gas processing, compression, liquefaction, decompression and regasification as well as its transportation, storage and distribution through pipelines; Liquefied petroleum gas transportation, storage and distribution by pipelines; Transportation, storage and distribution of petroleum products and Pipeline transportation and storage linked to petrochemical product pipelines;
The Agency will have a mandate to issue guidelines that will have to be met by parties carrying out regulated activities, whether in the area of industrial safety or in the area of environmental protection. These guidelines will have to be published in the Official Federal Gazette. The Agency will be entrusted with issuing the following authorizations, permits and licenses: I. Environmental impact and risk authorizations for oil ducts, gas ducts, coal ducts and multi-ducts of the hydrocarbon and petrochemical industry; hazardous waste treatment, confinement or elimination installations; forestry use authorizations in tropical jungles and involving endangered species, as well as works and activities in wetlands, mangroves, lagoons, rivers, lakes and waterways connected to the sea, coastlines or federal zones in any of the above areas; II. Authorizations to emit odors, gases or solid and liquid particles into the atmosphere, by installations of the hydrocarbons sector; III. Authorizations in the area of hazardous waste of the hydrocarbons sector; IV. Remediation proposal authorizations for contaminated sites, and final approvals upon completion of the corresponding remediation program; V. Authorizations in the area of special waste handling; VI. Registration of waste management plans and programs for the installation of systems destined to their collection, storage, transportation, treatment, valorization and final disposal; VII. Forestry land use change authorizations and VIII. Permits for the environmental liberation of genetically-modified organisms for bioremediation of sites contaminated with hydrocarbons, as well as follow-up to compliance with the conditions and measures that these activities may be subject to. The Agency will also have a mandate to carry out inspections to verify compliance with federal environmental laws, regulations and Mexican Official Standards, and may impose safety measures such as the temporary shutdown of regulated activities, if there is critical risk, as well as to impose penalties such as fines that may range from 750,000 to 7,500,000 times the minimum wage in Mexico City. In the case of repeat offenses, the fine may be doubled and a permanent shutdown may be ordered. We are of the opinion that several laws will have to be amended in
order to grant a mandate to the Agency to initiate legal actions for environmental harm, pursuant to the Federal Law of Environmental Liability and laws governing collective actions. It is also likely that the Internal Regulations of SEMARNAT will be amended, to further define the attributions of the Agency and to modify the attributions that corresponded to the Federal Bureau of Environmental Protection. We will be happy to answer any questions you may have regarding this Law. ContactsBenjamin Torres Barron email@example.com Jorge Guadarrama Yañez firstname.lastname@example.org Luis Carbajo Martinez email@example.com Carlos Alberto Linares-Garcia firstname.lastname@example.org Hector Reyes Freaner email@example.com Jose M. Larroque firstname.lastname@example.org Federico Ruanova Guinea email@example.com Juan Carlos Valles Zavala firstname.lastname@example.org Eduardo Romero Ramos email@example.com Alejandro Sepulveda firstname.lastname@example.org Gaspar Gutierrez Centeno email@example.com Juan Bernardo Garcia Garza firstname.lastname@example.org Jorge L. Ruiz email@example.com Fabian Monsalve Agraz firstname.lastname@example.org
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