Mexico power plant purchases promoted as ‘new nationalization’

Mexico power plant purchases promoted as ‘new nationalization’

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MEXICO CITY — Mexico’s president revealed a offer Tuesday to buy 13 of the power plants run by the Spanish business Iberdrola in the nation for an approximated $5.94 billion, calling it a “new nationalization” of the Mexican electericity sector.

The offer might put an end to President Andrés Manuel López Obrador’s years of verbally sparring with the business, along with fines and limitations on its plants in Mexico.

López Obrador has long appreciated previous President Adolfo López Mateos, who nationalized Mexico’s electrical market in1960 By the 2000s, years of corruption, high domestic electricalpower rates and under-investment led López Obrador’s predecessors to welcome foreign business in to develop brand-new, cleaner power plants.

On Tuesday, López Obrador stated the offer will offer Mexico’s state-owned power business a 55.5% share of the electricalpower market. The energy, the Federal Electricity Commission, now produces simply under 40% of Mexico’s electricalpower.

“This is a brand-new nationalization of the electrical i

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