CFE reports MXN$60 billion loss due to power theft

Mexico’s Federal Electricity Commission (CFE)

has estimated that the cost of power theft rose to MXN$25.7 billion during the first half of 2018 , which is why the new administration will also work to fight this crime, assured the company director of Corporate Communication, Luis Bravo .

In a press conference, the statesman explained that the company had accumulated both technical and non-technical losses worth MXN$59.95 billion .

However, losses due to the company’s own operation were higher since energy wasted through the system’s physical properties as well as energy conductors for transmission and distribution cost the company around MXN$34.25 billion .

The director explained that the company’s main focus was to eliminate “ diablitos ” ( power thieves ), since they were largely responsible for the company’s losses.

The Development Program for the National Electric System 2018-2032 proposes several actions to fight power theft, including the regularization of around 40,900 users who consume electric power without a contract , which will represent a MXN$758 million investment between 2018 and 2022.

In so doing, the company intends to incorporate said consumers, which would imply an expansion of the energy-distribution network in some neighborhoods that currently lack proper electrical infrastructure and thus engage in irregular usage of electrical power.

The program also proposes replacing 5.3 million energy meters that are currently damaged or obsolete , which would require an investment of MXN$7.5 billion .

Luis Bravo claimed that whether CFE clients’ debts would be pardoned in southeast Mexico —notably in the state of Tabasco -, which was one of President Andrés Manuel López Obrador ’s campaign promises, was yet to be seen.

According to the state-owned company, there are currently 677,168 defaulting debtors , out of which 489,569 accounted for MXN$8.81 billion worth of debt as of July 2018.

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