Femsa to Become Gasoline Retailer

by Murry Page

27 Feb 15 

mazmessenger.com

 

Fomento Economico Mexicano (Femsa), the main bottler of Coca-Cola announced it will acquire 227 Pemex gas stations, which it is actually already operating under the brand Oxxo Gas. The company entered the gasoline business in 1995, but under the law it could only do so through third parties who had Pemex franchises because it had foreigners among its shareholders.

Under the recently passed energy reforms, private operators, including foreigners, will now be permitted in the retail gasoline business. Femsa told reporters it plans to buy the gas station operations where it has agreements with Pemex franchisers and operates under the brand Oxxo Gas.

According to Femsa it will lease, buy or open more stations in the future. In its filing on Thursday with the Mexican Stock Exchange (BMV), in which it submitted its fourth quarter financial report, Femsa said “it decided to pursue a strategy of accelerated growth in this business.”

(from Economía)

Mexican Gov't Says No More Fuel Price Hikes in 2015

banderasnews.com

Xinhua
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January 5, 2015 

A 1.9-percent hike in fuel prices on January 1st will be the last price increase for 2015. Although one of the world's major oil producers, Mexico cannot meet its fuel needs and has to import refined oil.

Mexico City, Mexico - Mexico's finance ministry said on Friday that a 1.9-percent hike in fuel prices announced on January 1st will be the last price increase for 2015.

"The maximum prices ... will remain at the level established at the beginning of the year, and the monthly adjustments will be eliminated," the ministry said, referring to the incremental monthly increases it has been making for several years to compensate for fluctuating international crude prices.

The 1.9 percent increase is below the 3 percent to 4 percent inflation rate forecast for 2015, it noted.

Although one of the world's major crude oil producers, Mexico cannot meet its fuel needs with its current refining capacity and has to import refined oil.

Original Story

New Year’s gas price rise was only 1.9%

The price hike was less than originally announced.

 

Mexico News Daily | Friday, January 2, 2015

   

Finance officials seemed to be having second thoughts about gasoline prices when information appeared yesterday on the government website, Official Journal of the Federation.

It was initially announced and reported that gasoline and diesel fuels would go up 3% January 1 and remain unchanged for the rest of the year. The monthly increase, or “gasolinazo” as it was known, would be eliminated.

But yesterday it was announced that while the New Year increase would be 1.9% rather than 3%, there were no guarantees that prices wouldn’t be hiked during the course of the year in order to address volatility in international energy prices.

Today they backtracked.

 

The finance secretariat advised in a prepared statement that prices now in effect — the December prices plus 1.9% — would be maintained throughout the year. The news release also confirmed that the new prices are actually maximums — individual Pemex franchises will have the freedom to adjust their prices downwards to be more competitive if they wish.

Liquid propane also went up 1.9% yesterday, and that price as well will not be subject to any change in 2015.

Finance officials also made it clear that the price hike is less than the anticipated rate of inflation — 3% to 4% — for the coming year, thereby reducing the cost of fuel in real terms.

Source: Milenio (sp)

 

- See more at: http://mexiconewsdaily.com/news/yesterdays-gas-hike-1-9/#sthash.8DUKsoeT.dpuf

Gasoline Tax for 2015

 by Murry Page

23 Dec 14 

mazmessenger.com

 

The Secretariat of Finance and Public Credit (SHCP) published the Special Tax on Production and Services (IEPS) applicable to gasoline, diesel and other fossil fuels for 2015.

Beginning in 2015 increases in the tax on gasoline and diesel will be based on the rise in inflation instead of the nine centavos per month for gasoline and 11 centavos per month for diesel, as has been the case for the past several years.

For 2015 the tax per liter of gasoline will be 10.81 centavos, 13.11 centavos for the liter of diesel and for propane and butane gas 6.15 centavos and 7.97 centavos, respectively.

At the end of 2014 the tax will be 10.38 centavos; 12.59 centavos for the liter of diesel, and for propane and butane gas 5.91 centavos and 7.66 centavos, respectively.

The 2015 prices were determined by dividing the National Consumer Price Index (CPI) in November 2014, which was 115.493 by the CPI for November 2013, which was 110.872, giving 1.0416.

(from RíoDoce)

Owners of Gasoline Stations Talking to Foreign Firms

by Murry Page

24 Oct 14  

mazmessenger.com

 

México’s gasoline station operators affiliated with the Organization of Petroleum Retailers (Onexpo) have initiated talks with investors from foreign firms regarding operating service stations in México. The foreign operators, such as Shell, BP and Satatoil are investigating into whether it would be best to establish a franchise operation or rent existing gasoline stations.

Angel Garcia Elizondo, president of Onexpo, said small gasoline operators may just want to sell their stations.

Under the energy reforms passed in December of last year, new gasoline operators may begin retail sales on January 1 of 2018.

As of now Petróleos Mexicanos (Pemex) is the sole operator of retail gasoline stations in the country and operates 11,019 gasoline stations.

Garcia Elizondo said Onexpo has talked to investors in North America, Latin America and even Europe.

He said an open question at the present is whether the new stations would be self-serve, as is common in the United States, or full service, which is the operating model in México. He noted that studies have shown that Mexicans prefer full service.

He said he would expect to see some self-serve stations close to the border with the U.S., but is concerned about the 400,000 direct and indirect jobs in the overall sector.

(from Milenio)