• The requirements to obtain prior permits for importing and exporting hydrocarbons and petroleum products are amended.
• New permits for importing and exporting petroleum products and hydrocarbons are established.
• The criteria for expiry and revocation of import and export permits for hydrocarbons and petroleum products are modified.
- REGULATORY BACKGROUND.
On December 26th, 2020, the "Agreement establishing the goods whose import and export is subject to regulation by the Ministry of Energy" (Acuerdo que establece las mercancías cuya importación y exportación está sujeta a regulación por parte de la Secretaría de Energía) (the "Import and Export Agreement") was published in the Federal Register ("DOF") and it can be consulted here. As well as its subsequent modification published on November 22, 2022, in DOF, see here.
On October 23rd, 2023, the "Decree establishing measures to combat the illicit fuel market, related to the import of goods regulated by the Ministry of Energy" (Decreto por el que se establecen medidas para el combate al mercado ilícito de combustibles, relacionadas con la importación de mercancías reguladas por la Secretaría de Energía) (the "Decree"), was published in the DOF, which, under the premise of combating the illicit fuel market and smuggling, temporarily restricted the import of certain petroleum products and hydrocarbons. See the Client Alert issued by Campa & Mendoza here
As a result of the publication of the Decree and under the strategy that the Federal Government has implemented to combat the illicit fuel market, on November 6th, 2023, the "Agreement that modifies the various that establishes the goods whose import and export is subject to regulation by the Ministry of Energy" (Acuerdo que modifica al diverso que establece las mercancías cuya importación y exportación está sujeta a regulación por parte de la Secretaría de Energía) (the "Agreement”) was published in the DOF to strengthen the requirements for import and export permits related to hydrocarbons and petroleum products.
II. CONTENT OF THE ORDINANCE.
The Agreement, which can be consulted at the following link, establishes, among others, the following modifications to the Import and Export Agreement:
• New definitions are incorporated, such as: (i) goods for own use, (ii) goods for testing and research, (iii) goods for sporting events.
• Import and export permits are amendments with different durations of validity: 60 (sixty calendar days), will only apply to sporting events, testing, and research. 1 (one) year, and 5 (five) years.
Applications for prior permits and extensions can only be submitted through the digital platform (Ventanilla Digital).
The requirements for applying for the prior permit are modified to include: (i) the opinion of compliance with tax obligations in a positive sense (ii) specifications in the presentation of free pleadings and requirements for a permit.
New requirements and deadlines are established for extensions to import and export permits.
The extension of the validity of the permits will not give the right to increase the authorized volume; it will only authorize the extension of the permit's duration with the volume initially authorized by the Ministry of Energy.
New obligations are included for permit holders: (i) submit monthly reports, and (ii) import or export at least 60% of the volume projected and indicated by the permit holder.i) mensualmente presentación del reporte establecido, y (ii) importar o exportar, por lo menos el 60% del volumen proyectado y señalado por el titular.
New cases of termination are established for import and export permits for hydrocarbons and/or petroleum products when the permit holders do not use the rights conferred in the permit within the following periods:
More than 30 (thirty) consecutive calendar days, for one-year permits, and.
More than 1 (one) consecutive year, for five-year permits.
New cases of revocation of import and/or export permits are established: (i) during 3 (three) consecutive months, the permit holder does not import or export, at least, 60% of the volumes indicated in its monthly projections, (ii) for 2 (two) consecutive months the permit holder does not deliver the monthly reports to the Ministry of Energy, and (iii) Others.
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This document in not legal advice. If you have any question or require advice, please contact us.
Campa & Mendoza
