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Ease of Doing Business in

Mexico

Mexico Download Profile (2060.2KB, pdf)
Region Latin America & Caribbean
Income Category Upper middle income
Population 127,017,224
GNI Per Capita (US$) 9,710
City covered Mexico City, Monterrey

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 47 45 down
2
72.29 71.95 down
0.34
Starting a Business 93 72 down
21
85.74 86.92 down
1.18
Dealing with Construction Permits 83 87 up
4
69.79 68.91 up
0.88
Getting Electricity 98 84 down
14
68.32 70.11 down
1.79
Registering Property 101 111 up
10
61.05 56.89 up
4.16
Getting Credit 5 5
-
90.00 90.00
-
Protecting Minority Investors 53 51 down
2
60.00 60.00
-
Paying Taxes 114 112 down
2
65.81 65.85 down
0.04
Trading across Borders 61 60 down
1
82.09 82.09
-
Enforcing Contracts 40 42 up
2
67.01 65.69 up
1.32
Resolving Insolvency 30 29 down
1
73.11 73.03 up
0.08

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

Viewing the data for

DB 2017 DTF (% points):

65.76

DB 2016 DTF (% points):

68.03

Change in DTF (% points):

down2.27

STANDARDIZED CONNECTION
Price of electricity (US cents per kWh) 6.7
Name of utility CFE
City Mexico City
Indicator Mexico City Latin America & Caribbean OECD high income
Procedures (number) info_outline 7 5.5 4.8
Time (days) info_outline 112 66.0 76.2
Cost (% of income per capita) info_outline 357.9 999.0 62.5
Reliability of supply and transparency of tariff index (0-8) info_outline 6 4.2 7.5
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Request feasibility study from CFE

    Agency: Comisión Federal de Electricidad (CFE)

    The client request a feasibility study to the Comisión Federal de Electricidad (CFE). The energy demand and a sketch of the localization of the warehouse are requested by the CFE.


    5 calendar days MXN 0
    2

    Hire electrical contractor to design connection and submit plans to CFE for approval

    Agency: Comisión Federal de Electricidad (CFE)

    Once the feasibility of the project has been confirmed by Comisión Federal de Electricidad (CFE), the clients electrical contractor obtains the design specifications from CFE, prepares the design of the electrical works needed to carry out the connection on the basis of these specifications and awaits approval of the plans from CFE.

    18 calendar days MXN 0
    * 3

    Receive technical inspection by CFE for design approval

    Agency: Comisión Federal de Electricidad (CFE)

    This external inspection is necessary to validate the design of the connection works.

    1 calendar day MXN 0
    4

    Obtain permit from municipality for external works

    Agency: Municipality district, Public Works Secretary and Civil Protection Secretary

    The customer or the electrical contractor obtains the authorization from the Municipality to carry out the connection works in public land. Authorizations from the Public Works Secretary and from the Civil Protection Secretary are also needed.

    65 calendar days MXN 2,620
    5

    Await completion of external works by electrical contractor

    Agency: Comisión Federal de Electricidad (CFE)

    The installation of the transformer substation and the external connection works are the responsibility of the customer, who can choose to hire a private contractor to do the works.

    20 calendar days MXN 475,000
    * 6

    Obtain approval of internal wiring installation from specialized firm

    Agency: Empresa privada

    The monitoring of the internal wiring installations is done by a specialized firm (Unidad de Verificación de Instalaciones Eléctricas ) which is responsible for checking that the wiring was done according to Mexican standards.

    The applicant must go to a Unidad de Verificación de Instalaciones Eléctricas (UVIE), accredited with the Entidad Mexicana de Acreditamiento (EMA) and registered with the Ministry of Energy (Secretaria de Energia). The firm will verify that the electrical installation meets the safety standards established in NOM-001-SEDE 2012; the UVIE also oversees the external work that is performed by the client (construction of the electrical substation).

    A certificate issued at the end of the inspection is needed by the time the supply contract is signed. This procedure may be performed simultaneously with other procedures. The costs associated with this procedure are determined by the Unidad Verificadora and the applicant. If the wiring is done within the provisions of the Mexican Standards, usually one inspection is sufficient to issue the approval (Dictamen de Verificación), but if the applicant did not perform its electrical work within the rules, then the Unidad Verificadora must make several visits to ensure that the wiring corresponds to the standards.

    Link to http://www.sener.gob.mx/webSener/portal/index.jsp?id=120

    2 calendar days MXN 25,000
    7

    Sign supply contract, pay security deposit and await meter installation by CFE

    Agency: Comisión Federal de Electricidad (CFE)

    At the signing of the contract for providing electrical service connection the certificate of verification for the internal wiring installation must be submitted. The process of signing the supply contract is done after the security deposit has been paid for. Payment is made at the offices of the company. It is possible to settle the security deposit with a bank guarantee.
    The meter installation is done by the Área comercial which coordinates with the Departamento de Distribuccion.

    4 calendar days MXN 4,508.67

    * Takes place simultaneously with previous procedure.

  • Measure of quality
    Answer
    Reliability of supply and transparency of tariff index (0-8)
    Total duration and frequency of outages per customer a year (0-3)
    System average interruption duration index (SAIDI) 0
    System average interruption frequency index (SAIFI) 1.54
    Mechanisms for monitoring outages (0-1)
    Does the distribution utility use automated tools to monitor outages? Yes
    Mechanisms for restoring service (0-1)
    Does the distribution utility use automated tools to restore service? Yes
    Regulatory monitoring (0-1)
    Does a regulator—that is, an entity separate from the utility—monitor the utility’s performance on reliability of supply? Yes
    Financial deterrents aimed at limiting outages (0-1)
    Does the utility either pay compensation to customers or face fines by the regulator (or both) if outages exceed a certain cap? No
    Communication of tariffs and tariff changes (0-1)
    Are effective tariffs available online? Yes
    Link to the website, if available online http://app.cfe.gob.mx/Aplicaciones/CCFE/Tarifas/Tarifas/tarifas_industria.a...
    Are customers notified of a change in tariff ahead of the billing cycle? Yes
    Answer
    Price of electricity (US cents per kWh) 6.7

    Note:

    If the duration and frequency of outages is 100 or less, the economy is eligible to score on the Reliability of supply and transparency of tariff index.

    If the duration and frequency of outages is not available, or is over 100, the economy is not eligible to score on the index.