Tulsa Journal of Comparative and International Law Volume 4 | Issue 2 Article 4 Spring 3-1-1997 Mexico: Constitutional and Political Implications of the 1995 Natural Gas Regulations Danielle Homant Follow this and additional works at: http://digitalcommons.law.utulsa.edu/tjcil Part of the Law Commons Recommended Citation Danielle Homant, Mexico: Constitutional and Political Implications of the 1995 Natural Gas Regulations, 4 Tulsa J. Comp. & Int'l L. 233 (1996). Available at: http://digitalcommons.law.utulsa.edu/tjcil/vol4/iss2/4 This Article is brought to you for free and open access by TU Law Digital Commons. It has been accepted for inclusion in Tulsa Journal of Comparative and International Law by an authorized administrator of TU Law Digital Commons. For more information, please contact
[email protected]. MEXICO: CONSTITUTIONAL AND POLITICAL IMPLICATIONS OF THE 1995 NATURAL GAS REGULATIONS Danielle Homant* For the first time in sixty years, a new implementing regulation to Article 27 of the Mexican Constitution permits foreign investment in natural gas distribution, transmission, and storage. It allows foreign investors to compete for new energy projects triggered by Mexico's energy shortages, impending clean air mandates, and a desire to develop its immense and relatively untapped natural gas reserves. Foreign ener- gy companies are pondering what level of legal certainty exists under the new law, and how new natural gas projects are going to make eco- nomic sense in Mexican markets.' With power consumption in Mexico growing at over twice the United States rate and its leaders gradually opening up the power sector to foreign investors, Mexico has long been viewed as a promised land for United States energy companies.' Power consumption in Mexico has grown by an average annual rate of five percent in the last ten * J.D., California Western School of Law, San Diego, California (1996); Certified Investi- gator, California State (1989); B.A., San Diego State University, San Diego, California (1982).