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AlwaysFree: Mexican Energy Sector Slows As Virus Response Begins

Author: SSESSMENTS

Some Mexican energy regulatory agencies are suspending select operations while demand for gasoline, diesel and jet fuel is expected to fall as the coronavirus cases in the country climb. The government officials said the country is transitioning to the second phase of prevention measures — focused primarily on delaying transmission within the country. 

Still, the federal government has not been specific about what measures it will take and has insisted that key projects, such as building the 340,000 b/d Dos Bocas refinery, will continue, but with precautions.

Phase 2 should begin when a country has more than 100 confirmed cases, according to the World Health Organization (WHO). Mexican officials have said that so far infections have not been transmitted within the country.

Over the weekend President Andres Manuel Lopez Obrador said that the government lowered gasoline prices to strengthen the economy. But the government has not directly controlled fuel prices since 2017. It does control a weekly variable tax deduction and state-owned Pemex still supplies about 85 percent of the country's about 12,500 retail stations.

Tags: AlwaysFree,Crude Oil,English,Mexico

Published on March 24, 2020 1:12 PM (GMT+8)
Last Updated on March 24, 2020 1:12 PM (GMT+8)