You will recall that on October 28th 2014, the Mexican Government published in the Federal Official Gazette, the Regulations to the General Law on Climate Change in the area of the National Emissions Registry (the “Regulations”). That became effective on October 29th 2014 and requires reporting establishments to file a report to the Ministry of Environment and Natural Resources (“SEMARNAT”), if they generate 25,000 metric tons or more of greenhouse gases (“GHGs”) per year.
On August 14, 2015, an Accord was published in the Official Federal Gazette, describing the information that a Yearly Operating Report (the “Report”) must contain with respect to the generation of GHGs.
Reportable emissions are those that stem from stationary and mobile sources, as well as direct and indirect emissions. Direct and indirect emissions are defined as follows by the Regulations:
- Direct emissions: GHGs or compounds generated a Reporting Establishment process or activity, either by stationary or mobile sources, whether owned or leased and used in the performance of its activities.
- Indirect emissions: GHGs or compounds generated outside of a Reporting Establishment, as a result of its consumption of electrical or thermal energy.
Reportable GHG emissions
GHGs and compounds that will have to be reported are the following:
Carbon dioxide, methane, nitrous oxide, black carbon, chlorofluorocarbons (CFCs), hydrochlorofluorocarbons (HCFCs), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulfur hexafluoride, nitrogen trifluoride, halogenated ethers, halocarbons, mixtures comprising these substances and other GHGs and compounds that SEMARNAT may regulate for reporting purposes, based on data from the Intergovernmental Panel on Climate Change (“IPCC”).
The threshold that will trigger a reporting requirement, taking into account direct and indirect emissions, will be based on an annual sum, as long as the result is equal or higher than 25,000 metric tons of carbon dioxide equivalent (CO2e).
Reporting establishments are comprised of the following sectors:
- transportation (land, rail, air and maritime);
- agriculture and farming;
- waste; and
- commerce and services.
The Regulations also describe the specific sub-sectors that will have reporting obligations. We are happy to provide information regarding the specific sub-sectors upon request.
Term to submit the Report
Reporting Establishments will have to submit their Report within the period running from August 15th to December 15th 2005, with regard to GHG emissions generated in 2014.