Mexico’s regulatory framework is not ideal for carbon capture and storage, but it could be adjusted, according to a report released last week by the World Bank. The report explores the potential for developing a regulatory framework for carbon capture, utilization, and storage in Mexico. “A systematic approach was followed for the review of international best practices and of the Mexican regulatory framework for CCUS activities, to identify possible gaps and barriers, and, ultimately, to develop recommendations,” the report explains.
First, it is important to note that Mexico currently has no specific CCUS regulatory framework. CCUS activities related the hydrocarbons sector are regulated under the nation’s hydrocarbons law. “No such legal basis currently exists for other CCUS activities outside of this sector. However, it was also noted that certain other aspects of CCUS activities, such as those related to the capture of CO2, could be covered by existing regulation,” the report says.
For example, “There is currently no specific regulation for CO2 transport either via pipeline, road, railroad or sea transport. However, existing regulations for the transport of natural gas via pipelines and for the transport of materials, hazardous materials and hazardous waste via other means of transport, could be amended or serve as an example for the broad regulatory framework for CO2 transport,” the report explains.
