INSIGHTS

What is the MEM?

The 2014 energy reform gave place to Mexico’s deregulated market or MEM. Only large-energy consumers who are certified as a Qualified User may participate. Electricity in the MEM is supplied by Qualified Retailers.

 

Will Enerlogix consultancy maximize my company’s benefit through the MEM?

Yes. Enerlogix Plan 360 Management focuses on a client’s specific energy needs and consumption behavior, allowing each client to focus their expertise on its core business activities while Enerlogix analyzes the energy profile and searches, reviews and customizes the best options to procure electricity. Enerlogix will help your company with the following: 

• Tailor-made products
• Budget certainty
• Risk mitigation
• Achieve savings
• Short-term / mid-term contracts
• Ability to negotiate energy costs

 

How long does the process take to migrate my facilities to the MEM?

Typically, migrating from CFE Basic Service to the MEM takes between 8 to 10 months. An action plan must be put in place to identify all the steps throughout the process. Enerlogix will assist you by scheduling the activities required so that your facilities may transition into the deregulated market.

 

Is my facility allowed to have both a MEM contract and a Self-Supply contract for one load center at once?

No. Self-Supply and the MEM belong to different regimes and do not co-exist. The same goes for CFE Basic Service and the MEM, either the load center remains a Basic Service User or it migrates to the MEM. In the MEM, the Qualified User will be supplied by a Qualified Service Retailer; this Retailer will represent the load center for all its electricity transactions in the market.

Whatever your current contracted condition, reach out to Enerlogix. Enerlogix will assist by analyzing your current situation and will suggest the best available option.

 

When in the MEM, will my company have to handle several invoices? 

No. In the MEM, the Qualified Supplier is responsible for all the Qualified User power needs. Therefore, the Qualified Supplier will only issue one invoice to review and pay. Enerlogix will assist you by auditing your invoices monthly.

 

Once I migrate to the MEM, will my facility struggle with problems with the delivery of electricity? (transmission/distribution lines)

No, there is no difference. While CFE Transmission and CFE Distribution bear the CFE name, they are in fact different entities from CFE Basic Service. Whether you buy your electricity from CFE Basic Service or any other Qualified Supplier in the MEM, all electricity users in Mexico are clients of either CFE Distribution and/or CFE transmission. Thus, if any problems with the distribution/transmission lines took place, CFE Distribution/CFE Transmission would fix it and restore service to all users regardless of the Retailer supplying them.

 

When is the right time to migrate to the MEM and why?

Now is the perfect time to begin the Qualified User Registration. Basic Service users will be subject to higher prices, volatility, and uncertainty. Basic Service users are unable to negotiate prices or different products due to the Basic Service nature. Also, considering the rejection of Constitutional Reform on April 2022, the MEM is positioned as the safer bet for savings and budget certainty. Having Enerlogix as your advisor will allow your company to maximize those benefits.