VIEW FROM THE TOP |
PRODUCTION GOAL UNDERPINS INDUSTRY’S STRATEGIC ROLE MANUEL RODRÍGUEZ President of the Energy Commission in the Chamber of Deputies
Q: What is the role of the oil and gas sector in the National
Q: What do you want to achieve with the construction of the
Development Plan?
Dos Bocas refinery?
A: The energy sector has to be the main engine for
A: The project is perfectly justified and viable. This is taken
Mexico’s economic development. Our strategy regarding
from the perspective that the state’s role is not to generate
hydrocarbons is to increase oil production. In the last
profits, but to provide services in strategic areas. However, it is
10 years, production has decreased approximately 50
also financially sound, because it will be self-financed and will
percent. In 2018, 1.8MMb/d were produced and our goal is
be instrumental in achieving energy independence. Not having
to reach 2.6MMb/d in 2024. Also, we want to bolster the
to spend on transporting fuels from other countries, while
national refining system. It needs maintenance and must be
processing raw materials in Mexico is cheaper than elsewhere.
reconfigured. But existing refineries must come together to
PEMEX will be able to sell fuel at much lower prices than
form a single unit with the new Dos Bocas refinery. By 2024,
today. Dos Bocas will also boost the development of Mexico’s
the goal is to use only 30 percent of imported gasoline
southeast region, which is in need of jobs and wealth.
and only 7 percent of diesel. This will allow Mexico to have energy security and sovereignty.
Q: What talks have taken place regarding the potential restarting of the bidding rounds?
Q: What is the relationship between MORENA’s legislative
A: The rounds will be restarted. In collaboration with
group and PEMEX?
private companies, PEMEX will reach its production goals.
A: It is one of total support. We have approved a
In order to include private investment that is geared toward
reform based on the national Federal Revenue Law on
achieving production goals, the rounds must be put back
Hydrocarbons, which dictates that the country’s revenue
in place. Oil and gas projects are considered medium and
from PEMEX’s operations has to be reduced from 65
long term, so the project pipeline has to be continuously
percent to 58 percent in 2020 and to 54 percent in 2021.
replenished. Not all projects are successful, so we must plan
This reduction will provide PEMEX with additional resources.
ahead. If a clear win-win formula is established, then there
Regarding PEMEX’s debt, which is around US$100 billion,
is no reason not to go forward. What will not be tolerated
the current strategy is already showing promising results.
anymore is corruption, which is an enormous liability that
The company’s debt is clearly diminishing and will continue
is weighing on Mexico’s development.
to do so progressively. The previous administration left the company in critical condition and it will take a major effort
Q: What are the main points on your agenda for 2020?
to put PEMEX back on its feet.
A: We are focusing our efforts on developing mechanisms that give PEMEX the highest possible level of financial
Q: What actions is the Energy Commission taking in matters
health. From a technical perspective, the company is world-
related to directing investment to specific oil fields?
class. Also, we will keep working to open new rounds and
A: We listen to all players in the industry to understand
provide continuity for the next elected administration and
areas of opportunity that should be addressed. Whenever
for the next 30 years. Public policy will therefore be more
the sector evolves and new technologies change the rules
intelligent and efficient and private companies can rest
of the game, we have to adapt the regulations. Strategic
assured that their investments will be protected.
projects such as Dos Bocas and projects awarded to companies after the enactment of the Energy Reform were reviewed to ensure that results are achieved as expected.
Manuel Rodríguez is a lawyer and politician from the state of
Nonetheless, from a technical point of view, PEMEX has
Tabasco who has worked in the labor, fishing, environmental,
complete independence on what fields to exploit and what
cultural and energy sectors. He was elected in 2018 as one of the
kind of financing it will use.
MORENA's federal deputies from Tabasco
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