Perspectives from

the coal industry

in Mexico
A systems approach
 Contents

Project Presentation 4

1. Defining system boundaries 8

2. Main stakeholders in the coal industry and their dynamics 14

Authors:
Ninel Escobar Montecinos and Luli Pesqueira Fernández from WWF Mexico, with inputs developed 3. Building a vision for the future in the Coal-producing Region 22
by researchers from the Center for Socioeconomic Studies of Universidad Autónoma de Coahuila and
consultants from Forum for the Future and Tlalli Energía.

Acknowledgements: 4. Initiatives to promote change 30

We thank Tabaré Arroyo Currás from WWF and Ana Belén Sanchez from the International Labor
Organization for their technical contributions throughout the entire project, as well as Luis Fernando
Camacho and Juan Josué Enciso from the Center for Research in Applied Geosciences of the Uni-
versidad Autónoma de Coahuila and Fernando Mendoza, from FERVIM company, who opened the 5. Factors driving and inhibiting change 33
doors of their facilities in Nueva Rosita and Sabinas, Coahuila, enabling us to learn more about the
extraction process and uses of coal.

For more information: https://www.wwf.org.mx/transicionjusta 6. Final reflections 35

The findings and contents of this report are the responsibility of the authors and do not reflect the
opinions of the Government of the United Kingdom or its embassy in Mexico.

Mexico City, October 2021 References 40

 Project
Presentation
Coal-fired electricity generation is one of the most important In Mexico, there are three power plants that use coal to produce
sources of pollution in the world, significantly contributing to electricity, two of which are in Coahuila and are the main pro-
greenhouse gas (GHG) concentrations in the atmosphere. Al- ducers of key pollutants in the country. Specifically, the Carbón
though in Mexico this activity currently represents about 6% I or José López Portillo coal power plant located in the munici-
of total electricity generation, it generates about 20% (23.6 Mt- pality of Nava (Coahuila) is the main producer of nitrogen oxi-
CO2e) of the sector’s GHG emissions. des in the country (55,871 tons), the first in methane (153 tons),
the second in carbon dioxide (just over 10 million tons), the
For this reason, we seek to promote a progressive phase-out of first in nitrous oxide (229 tons) and the second largest producer
coal in electricity generation and accelerate the transition to re- of mercury (678 kilograms), in addition to being an important
newable energy. In 2017, Mexico signed the Powering Past Coal emitter of small particles PM10 and PM2.5 and sulfur dioxide.
Alliance, committing to gradually reduce its use for electricity
generation. Additionally, the Carbon II coal power plant, located in the
same municipality, is the second source of nitrogen oxides in
A year later, at the United Nations Framework Convention on the country (49,915 tons), third in carbon dioxide (9 million According to the Inter-
Climate Change (UNFCCC) COP24, Mexico signed the Silesia tons), third in methane (136.75) and nitrous oxide (205 tons) and national Labor Organiza-
Declaration, recognizing the importance of solidarity and justice third in mercury (604.79 kilograms), in addition to contributing tion (ILO), a just tran-
sition seeks to generate
policies to facilitate the energy transition to low-emission tech- to the emission of small particles PM10 and PM2.51.
coherent policy packages,
nologies. defined in social dialogue
Coal production and the generation of electricity based on this and respecting funda-
Subsequently, in September 2019, the country joined the Clima- fuel are geographically concentrated in the so-called Coal-pro- mental rights to mini-
te Action for Jobs Initiative, committing to promote fair ener- ducing Region in the state of Coahuila. The origins and cul- mize the destruction of
gy transition policies. These commitments are additional to the tural identity of this region are grounded in coal mining employment when mo-
ving from one economic
climate commitments that Mexico established within the Paris activities dating back 200 years. Mining has been and is the
model to another and
Agreement, equivalent to a 22% reduction in total greenhouse economic pillar for over 160 thousand inhabitants that live maximize the creation
gas emissions regarding a baseline. in the region. of decent employment
opportunities in sustaina-
The use of coal to generate electricity has important im- Considering these factors, it is essential that any strategy or ble companies, conside-
pacts on the formation of acid rain - precipitation that pre- policy focused on the progressive reduction of coal in the power ring the effects on com-
munities and people who
sents high concentrations of sulfuric and nitric acid, in- sector considers the local communities that depend on this ac-
lose their jobs.
creasing the toxicity of aquatic environments, which affects tivity, putting the economic and social impacts, as well as the
trees and insects - and on the deterioration of air quality, alternatives for the recovery and economic restructuring of said
affecting human health, especially the respiratory and car- region, at the center of the discussion.
diovascular systems.
This report is part of the “Creating enabling conditions for a In this process, we have analyzed different factors affecting
just transition away from coal in Mexico” project implemented the Coal-producing Region, as well as having identified the
by WWF Mexico in association with the Universidad Autónoma stakeholders that play an important role from the econo-
de Coahuila (UAdeC) and the International Labor Organization mic, political, and social point of view, and the different
(ILO). The specific objectives of this project focus on the develo- perspectives and preferences that exist regarding the future
pment of strategic information for decision-makers at the natio- of the region. This analysis describes the main findings of this
nal and local levels, the strengthening of capacities of key stake- process using a systems approach as a frame of reference.
holders on the just transition and green jobs, and the creation of
networks between stakeholders to promote the social dialogue. The systems thinking approach stems from the premise that
problems do not happen in a vacuum, but rather are dependent
Throughout the life of the project, different activities and re- of the context and affected by interrelated and interdependent
ports have been developed to address the objectives previously factors which, in turn, generate patterns and dynamics of beha-
mentioned, namely: vior. Consequently, if we want to solve problems, it is necessary
to understand these factors, as well as the relationships and pa-
1. Proposal of a feasible coal power plant retirement scenario tterns that cause them.
and estimation of the economic impacts at the local and
national level. The systems approach has been useful to understand problems
that occur in contexts with a high level of uncertainty and that
2. Identification of strategies for the diversification and econo- are subject to constant change. The purpose of the systems
mic restructuring of the Coal-producing Region. approach is not to simplify a complex reality, but to offer a
more structured analysis to provide clarity about the most
3. Analysis of the configuration of the coal production value relevant stakeholders, issues, and patterns in the system su-
chain, including the main stakeholders and their percep- rrounding a problem. It also allows to identify opportunities to
tions on quality of employment in the Coal-producing Re- facilitate a desired change.
gion.

4. Training on just transition and green jobs for 30 stakehol-

ders from the state government, civil society organizations The information contained in this report has been obtai-
and the private sector. ned through an extensive desk research from reports and
journalistic notes, as well as information obtained during
5. Interviews and a futures workshop with key stakeholders at our exchanges with relevant actors. For a complete list of
the national and local level to discuss feasible prospects for all the people who have been consulted through interviews,
discussion panels and workshops, work meetings, participa-
the Coal-producing Region and coal-fired electricity.
ting in the ILO's Just Transition and Green Jobs course and
during our visit to the Coal-producing Region, please refer
6. Production of an informative video about the coal industry to Annex I.
and the coal region.
 in this sector are firmly driven by Asia, where countries such
Defining as Indonesia and Vietnam have also increased their production
and consumption.
system boundaries
Coal is formed from the decomposition of plant organic matter and the action of
Coal location and extraction anaerobic bacteria, deposited mainly in swampy areas and shallow lagoons. This mat-
ter accumulated millions of years ago and underwent physical and chemical transfor-
The Coahuila Coal-producing Region comprises the municipa- mations due to the tectonic movements of the earth’s crust and the high pressures and
lities of Juárez, Melchor Múzquiz, Progreso, Sabinas and San temperatures to which it was subjected, resulting in mineral coal.
Juan de Sabinas, and concentrates 98% of coal production in
Mexico, of which 45% is used for electricity generation, while
43% is related to the manufacture of coke used in steel produc- Global coal demand is mainly determined by three factors: price
tion processes. An additional 10% is used in the petrochemical and availability of natural gas, temperature, especially in winter,
industry and the remaining 2% is consumed within the activity and plans of European countries to phase out coal use.5 Globa-
itself.2 In 2019, the coal industry generated about 6,500 formal lly, two-thirds of the coal produced is used to generate electri-
jobs with an estimated revenue of about 18 billion pesos. city, while only 15% is used in steel production. By far, China
is the dominant country in terms of using coal for electricity
Within the Coal-producing Region are the Río Escondido and generation, with more than 1,000 coal-fired power plants located
Sabinas basins, which in turn are divided into eight coal-produ- in its territory and with plans to add more. India follows with
cing subbasins. The potential of mineral coal reserves in Mexico 281 plants, next are the United States with 252, Japan with 87
is estimated to amount to 1.387 million tons of coal.3 and Russia with 85 plants.6

Recent studies indicate that coal reserves will grow deeper, as Notably, nearly half of the capacity removed in 2019 was in
easily accessible seams have been depleted. However, at a grea- the United States. President Trump increased the withdrawal
ter depth, coal of better quality and higher calorific value are of coal plants by 67% compared to President Obama. While the
found. This type of coal is ideal as coking coal and is applicable US and the European Union are moving away from coal, Japan
in the manufacture of other chemical and metal products and is now the biggest driver with new plants adding 11.9 GW to
by-products. its coal generating capacity and increasing its carbon dioxide
emissions by 50%. Outside its borders, Japan is also financing
As a comparison, in 2021 world coal reserves amounted to 1,074 24.7 GW of new coal-fired capacity, which exceeds Australia’s
billion tons, mostly concentrated in a few countries: USA (24%), current capacity (24.4 GW).7
Russia (15%), Australia (14%) and China (13%).4 Regarding glo-
bal consumption, although in 2020 there was a 4% drop because Back to Mexico, two types of mineral coal predominate in the Sa-
of COVID-19, by the end of that year demand had already re- binas basin: sub-bituminous coal, which is suitable for transfor-
bounded 3.5% above 2019 levels. ming into coke (metallurgical coal), and sub-bituminous type C,
with high volatility and suitable for generating power (thermal
Currently, China and India consume two-thirds of the world’s coal). Of the total mineral coal production, in 2020 it was recorded
total coal production, while the European Union and the Uni- that 39% of total production corresponded to thermal coal, 47% to
ted States account for only 10%, after having reduced their con- metallurgical or coking coal, and the remaining 14% comprised
sumption considerably in the last decade. Thus, world trends washed coal.8 Although thermal and metallurgical coal are traded

8 Perspectives from the coal industry in Mexico 9

 in different markets, one thing they have in common is the fact mechanics, geologists, miners, and metallurgists, as well as gra-
that they have always been traded locally, among few local buyers. duates in administration, law, and labor law. As for the people
who are operators of heavy equipment, welders, diesel and gaso-
line mechanics, operators of fuel stations, and pump operators
Coal applications, uses and market structure usually have a high school education, while some laborers have
some technical education.
There are two forms of mining to extract coal. The first is under-
ground mining, which is obtained using mechanical cutters and Figure 1 illustrates that once extracted, coal goes to the preparation
hydraulic self-advancing supports that temporarily hold the roof stage - also known as washing or beneficiation - in which it is pre-
while mining the coal. Once the area exploration is finished, pared to guarantee its quality according to its final use. This phase
the ceiling collapses. Small/independent miners working in the may involve simple grinding or a more complex treatment process
so-called pocitos* (Spanish term referring to a small well) extract to reduce impurities. The coal is separated from other impurities
the coal by entering vertical mines, between 50 and 150 meters by making it float in a tank with a finely ground magnetite suspen-
deep, in a steel tank pulled from a strap or barrel, which also sion, a liquid with a higher specific gravity, which makes the coal
serves to bring to the surface the coal they extract by spiking the float while the rock and heavier impurities sink and are removed.
soil.

Although this practice is not illegal, it frequently incurs irregu-

larities and omissions, especially in terms of safety. There are
other cases in which canceled lots operate illegally. This type
of mining is highly risky, since the ceiling of these mines is
supported only with wooden beams, and miners become expo-
The national production of coal sed to methane gas poisoning and eye and ear damage as they
satisfies only 70% of the total cannot wear glasses because the coal dust blocks their vision or
demand of the Mexican market. use earplugs, so they are able to hear if a wall is broken by the
The remaining 30% is covered pressure of groundwater.
with imported coal, indicating a
deficit in the commercial balan-
Surface mining, on the other hand, is used when the coal is clo-
ce of coal in Mexico.
se to the surface. This method recovers a higher proportion - up
Thermal coal supply in 2018 to 90% - of the coal deposits than underground mining. These
large open pit mines can cover hundreds of kilometers and use
Total: 14’008,790.39 t large equipment such as dredgers, dump trucks, excavators, and
National: 6’772,528.21 t: 48.3% power shovels.
Imported: 7’236,262.18 t: 51.7%
Colombia: 74.4% On the supply side, coal in this region is produced by a little
USA.: 25.6% more than 50 producing companies, of which 73% are large com-
panies, 16% are medium-sized companies, 8% comprise small
Source: Mexican Geological Survey, 2019. companies and 3% are micro-companies, besides a similar num-
ber of individual producers. Regarding the type of professional
and technical profiles that are required to carry out this activity,
we found that these companies mostly employ civil engineers,

Figure 1. Coahuila’s coal industry value chain

10 Perspectives from the coal industry in Mexico 11
 After preparation is complete, the coal is transported by belts In relation to the steel industry, it was in 1941 when the go-
or trucks over short distances. For longer distances, it is trans- vernment of Mexico and a group of businessmen founded the
ported by trains and ships, or, alternatively, it can be mixed company Altos Hornos de México in Monclova, due to its proxi-
with water to form suspended solid carbon which is transported mity to coal, iron ore and other basic raw material reservoirs.10
through pipelines. In 1944, the first blast furnace was lit and in 1955 the Coking
Plant 1 was inaugurated, converting coal into coke to feed the
On the demand side, the total of Coahuila’s production is con- blast furnaces and melt iron. Since the 70s, Altos Hornos has
sumed almost entirely by a regional market concentrated in five faced debt problems, together with lacking competitiveness and
large consumers, which include AMSHA, CFE, Cemex and Ce- a high environmental impact. In 1991 it was acquired by Grupo
mentos Apasco. The cement industry uses coal in at least three Acerero del Norte (GAN), which, up to this day, has continued
different processes: first, as fuel to create cement clinker; se- to vertically integrate its businesses, allowing it to control the
cond, the ash produced by burning coal in power plants is used process from coal extraction, through its subsidiary Micare, up
as a component for cement kilns; and third, this same ash is to production of national steels for the manufacture of heavy
used as a mineral additive in concrete mixes.9 machinery, rail cars, wind towers and high specification pipes.11

In Mexico, there are three coal-fired power plants; two are in Among the most recent applications of coal in specialized pro-
Nava in the Coal-producing Region of Coahuila and one in ducts, we see the use of coal by-products in the manufacture
Petacalco, Guerrero. All three plants are owned by the Federal of chemical products such as creosote oil, naphthalene, phenol
Electricity Commission (CFE). In 1970, this state company esta- and benzene used in plastics, PVC and textile industries and
blished an experimental plant in Coahuila to test whether the as adhesives in timber and footwear industries and as resins
long-flame coal obtained from the Fuentes-Río Escondido basin for decorative and industrial laminates. Ammonia gas recovered
was useful for generating electricity. It worked and so began the from coke furnaces is used to make fertilizers, while activated
extraction of hard coal, a mineral coal less suitable for use in carbon is used in water filters and air purifiers, as well as in
power plants. kidney dialysis machines. Carbon fiber is an extremely strong,
yet lightweight material used in construction. Other products
The solution CFE found was to mix this hard coal with other that contain carbon include nylon, rayon, dyes, solvents, aspirin,
coal from the United States and the border area to make boilers soaps, water repellants, resins, cosmetics, and toothpastes.12
work. Today, this mixture is known in the sector as “design coal”
and it is used in the Carbón I (also known as Río Escondido or
José López Portillo) plant, inaugurated in 1983, and Carbón II,
which dates from 1993.

12 Perspectives from the coal industry in Mexico 13

 At state level, the Ministries of Economy, Environment and Labor
Main stakeholders stand out when managing developments and investments in the lo-
cal energy sector, safeguarding natural resources and enforcing their
in the coal industry correct use, as well as ensuring the creation of decent jobs in the
territory.
and their dyanmics In 2020, in collaboration with the Energy Cluster and the Univer-
sidad Autónoma de Coahuila, the state government presented the
Systems analysis allows to analyze the dynamics between the diffe- program Rescue and Economic Diversification of the Coal-producing Region,
rent stakeholders that make up a system and how these dynamics in which it proposed to work on three lines of action: strengthening
have positive and negative effects on the change we intend to achie- tourism, taking advantage of the new rules on national content in-
ve. The most relevant stakeholders include those that are responsi- cluded in the T-MEC to attract investment from companies in the
ble for change, those that can influence or pressure to favor or block automotive sector and investing in the integral use of coal, especially
change, those that can use or not use the results of change and, in the carbo-chemical industry. Unfortunately, formal activities re-
finally, those who would benefit from the change that occurred. lated to this program have not yet started.

By nature, coal production in Mexico has a complex structure that

spans from the Coal-producing Region population up to the Federal
Government. In this section we present all the stakeholders inclu-
ded in the system and analyze in greater detail the stakeholders that
are most relevant from our perspective.

As shown in Figure 2, stakeholders of all types and sizes affect and

are affected by coal industry. First, we have the federal government,
which establishes the applicable regulatory frameworks and the ma-
jor development guidelines for the sector. The Ministry of Energy
(Sener) and the National Center for Energy Control (Cenace), as
well as the CFE, are the most relevant stakeholders. Year after year,
CFE negotiates coal purchase contracts based on its energy plan-
ning. This process is largely managed together with the Mining De-
velopment Promoter (Prodemi), a decentralized body that since its
creation in 2003 has promoted the development of the coal industry,
organizing producers to fulfill CFE contracts and providing techni-
cal and financial advice to modernize the coal industry.13

During the most recent signing of supply contracts with CFE in

2019, preference was given to small coal producers, granting 73%
of the contracts to 39 micro and small producers, 16% to medium
producers and the remaining 10% to large companies.14 Although
this has clear advantages for some producers, there are other stake-
holders who are concerned about the capacity of micro and small
companies to increase their production in record time and comply
with labor and safety regulations to fulfill such contracts.
Figure 2. Stakeholders related to the coal industry in Coahuila
14 Perspectives from the coal industry in Mexico 15
 In relation to the private sector, there are about 50 formal coal pro- terests. During the development of our research and project activi-
ducing companies, 21 of which are micro, small, and medium-si- ties, we repeatedly tried, without success, to contact representatives
zed enterprises (MSMEs), and the rest are larger companies. Re- of the trade union organizations mentioned here.
garding the so-called pocitos, in 2012 the ILO estimated that there
were 290.15 It is also estimated that between that date and today Regarding civil society organizations (CSOs), the majority of those
about 100 people have died working squatting more than 100 m we identified in this study oppose the use of coal for electricity
deep, without any safety measured. It is also estimated that be- generation due to its environmental, health and working condi-
tween that date and today about 100 people have died working tions impacts in small-scale mining. A quick search of the Federal
squatting more than 100 m deep, without any safety measures.16 Register of CSOs revealed that there are only between 10 and 15
Other companies that provide products and services to the coal organizations in the Coal-producing Region dedicated to environ-
industry are also considered, such as transporters and firms provi- mental and social development issues.19
ding technical, legal, accounting and financing advice.
The Coahuila Energy Cluster One of the associations that has gained recognition in recent years
was established in 2014 to coor- With regards to the unions, the oldest organization is the National is Familia Pasta de Conchos, made up of the relatives of the 63
dinate efforts to attract invest- Union of Mining, Metallurgical, Steel and Similar Workers (SNT- miners buried in 2006 in the Pasta de Conchos mine, operated
ment, obtain permits and do MMySRM), created in 1934 in Pachuca (Hidalgo) and currently by Grupo México. This organization mainly seeks the rescue of
commercial promotion for the chaired by Napoleón Gómez Urrutia. During his exile in Canada the miners’ bodies, in addition to denouncing users who conti-
different types of energy genera- and because of the legal proceedings against him for the controver- nue to buy coal from mines that do not comply with the legality
ted in the region. It is constitu- sial disappearance of 55 million dollars, the union’s membership and safety measures in the law.20 Another relevant organization is
ted as a civil association and has decreased significantly, until it fragmented and led to the creation the Ecological Council for Citizen Participation (CEPACI) of the
about 100 associates from all of two new unions. Coal-producing Region, which brings together a small number of
sectors whom it helps to articu- citizens committed to sensitizing and training governments, busi-
late collaborative projects. One of them is the Don Napoleón Gómez Sada National Mining nesses and educators about protecting the environment, specifica-
Metallurgical Union (Frente), founded in 2010 and led by Carlos lly the Sabinas River, and the afforestation of the region.
Pavón, who served for many years as a political operator and spokes-
person for Gómez Urrutia. There is almost no public information Finally, regarding the academic sector, the Instituto Tecnológico
on the membership and activities of the unions, but it is estima- de Estudios Superiores de la Region Carbonífera (ITESRC), the
ted that Frente has around 8,000 members.17 Finally, the National Universidad Americana Noreste (UANE), and Universidad Autó-
Mining Alliance (AMN), founded in 2009 in Coahuila, brings to- noma de Coahuila stand out, including the Center for Socioecono-
gether around 14,000 members belonging to the union sections of mic Research and the Center for Research in Applied Geosciences.
Altos Hornos de México (AHMSA). The National Mining Alliance These institutions provide training to technicians and professio-
promotes “a new mentality” based on the common good, away from nals who work in the coal sector and are a key element to ensure
the proletarian line of the 1970s and 1980s –characterized by a logic its permanence and modernization.
of struggle through strikes and popular mobilization–, incorpora-
ting the union as an active part in the introduction of systems and Based on the system presented in Figure 2, we have identified
techniques such as total quality and just in time. some stakeholders as central due to their ability to influence the
future of the coal sector. In the following table, we analyze each
Additionally, some sections of the SNTMM and SRM have decla- of these groups in greater detail, based on their goals, visions and
red to be independent and there has been a rise in the creation of expectations for the future and their level of power and influence
“company” unions that negotiate directly with the respective ma- within the system. The information presented was obtained from
nagement of the companies’ salary reviews, productivity bonuses, interviews, informal conversations, workshops, and publications.
collective contracts, and labor regulations18. Hence, labor represen- See Annex 1 of this report for a detailed list of people consulted
tation in recent years has largely focused on serving particular in- during this project.
16 Perspectives from the coal industry in Mexico 17
 Stakeholder Goals Vision for the future of coal Level of power and influence
• Ensure a dispatch model that prioritizes the entry of electricity generated • According to 2020 National Electricity System De- • Very high.
by CFE plants into the Mexican Energy System, over that generated by velopment Program (Prodesen), coal-fired electrici-
private companies. ty generation is ensured until 2035. Even if there is • They define CFE’s policies and
Ministry of still no clarity on the type of contracts that will be planning. They are also responsible
Energy and CFE • Maintain coal in electricity generation in a similar proportion to the cu- granted, the companies that will supply it, or the for complying with international
rrent one until the year 2035.
21
price that will be paid for it. commitments on climate change
and can contribute to strengthening
and diversifying the Coal-producing
Region.

• Promote the development of the state of Coahuila, enhancing productivity • Strengthen and diversify the economy of the • Very high.
in each region. Coal-producing Region.
• It has the capacity to promote regula-
• Promote alternatives to diversify income in the Coal-producing Region to • Promote a diverse and healthy environment for the tions and investments that strengthen
State government overcome recurrent economic crises and unemployment largely caused by inhabitants of the state, centered in the conserva- the Coal-producing Region. Ability
dependence on CFE. tion of bodies of water, clean air, endemic species, to organize and mobilize relevant
and natural beauty in general. local stakeholders around a common
vision.
• Position the energy sector in Coahuila, taking ad-
vantage of all available sources in the region: coal,
oil, shale gas, solar and wind energy.

• Continue to exploit existing coal reservoirs for the next 15 years. • Promote investments and technologies that reduce • Moderate.
the environmental impacts of coal production.
• Promote a more positive narrative of coal, sensitizing consumers to its va- • Although they are an important
rious applications and the role it plays in their lives. • Offer good job prospects to young people, since 1/3 economic stakeholder, they are also
Coal mining of the region’s population are students. affected by the largest mining compa-
• Obtain a fair price for their product, in line with coal’s international price. nies, smuggling, the ups and downs
industry
• Stop being a “booty” region from which politicians in political decisions and the bad
• Access more markets and a greater number of customers. and other external stakeholders’ benefit. reputation created by miners who
operate illegally.
• Develop greater capacity to produce coke and other by-products with grea- • Be consulted before signing international declara-
ter added value. tions that seek the elimination of coal and in any
decision that affects them.

• Access decent and safe employment opportunities in the region. • Greater demand for coal to secure their work and • Moderate.
livelihoods.
Workers • Benefit from the good salaries offered by the coal industry (between $ 3,000 • It is a relatively fragmented group,
and $ 5,000 pesos compared to $ 900 in the maquila per week). • For their children to have more work options without a common vision or effective
besides mining, given the risks that this activity collaboration mechanisms.
• Professionalize to access a better position. implies.

18 Perspectives from the coal industry in Mexico 19

 Stakeholder Goals Vision for the future of coal Level of power and influence
• Protect and restore the Sabinas River, recognized as a Ramsar site. • Improve public sanitation systems to avoid pollu- • Low.
tion of the Sabinas River.
• Implementation of participatory processes to promote ecologically sustaina- • These organizations do not have a
ble, socially just and economically viable societies. • Integrate and promote a touristic corridor that large membership/ donor base from
CSO's includes sightings of bison and butterflies, Cuatro- which to derive their legitimacy, and
• Social justice for mining workers, rescue of the bodies of workers who have ciénegas and the Sabinas River. they have very limited resources.
died and assignment of responsibilities for accidents that have occurred.22 However, they are key stakeholders
• Expand the education and training curriculum in to increase citizen participation in
universities and technical schools to include careers the transformation of the Coal-pro-
related to the arts and humanities. ducing Region.

• Contribute to the development and implementation of energy projects in • Innovate in the coal industry, taking advantage of • High.
Coahuila and a model for other states in the country. wet gas to produce petrochemicals.
• Due to its structure, the cluster is in
• Position Coahuila as a leading state in energy generation using all the re- • Work together with CFE to plan the construction a good position to coordinate activi-
sources of the region, including renewable energy, gas, shale gas, coal and of new coal plants with more modern and efficient ties with a diverse group of stakehol-
oil. technology. ders. This allows access to investors,
Energy Cluster
state and federal government offi-
• Streamline procedures related to the planning and development of energy • Develop a local supply system, linking small local cials, as well as civil associations and
projects to attract investment to the state of Coahuila. companies with larger companies in the region. academia. The cluster has good expe-
rience obtaining funds from scientific
and/or philanthropic sources, which
provides it with a certain degree of
autonomy in relation to other institu-
tions.

• Carry out applied research for the development of the local coal industry. • Help coal producers move away from the conve- • High.
nience of focusing on a single customer.
• Train competent technicians and professionals who contribute to the deve- • Although the UAdeC and the ITES-
lopment of the region. • Promote investment to develop coke plants in the RC cannot define the direction of the
state and add value to the local industry. coal industry, they are key players in
• Provide coordination and implementation services for energy projects. the modernization of the sector, the
Academy
• Support the modernization of existing coal plants. promotion of innovation and training
• Train public officials on basic issues related to coal mining. professionals to be equipped with the
latest technological developments. In
addition, due to their nature as pu-
blic universities/institutes, they have
a specific political weight that allows
them to influence the public agenda.

Table 1. Analysis of the main players in the coal sector

20 Perspectives from the coal industry in Mexico 21

 • The coal region emerges as an attractive tourist destination.
Building a People from all over the country and other parts of the world
come to visit the tourist corridor that extends from the plains
vision for the future of the bison in Maderas del Carmen in the north of the re-
gion, following the migratory route of the monarch butterfly
in the Coal-producing Region to the magical town of Múzquiz and its Kikapú population,
followed by a hike through the mountains and water activi-
ties along the Sabinas river, and closing with a guided visit
to the coal mines, swimming in the Cuatrociénegas pools,
In this section we will use the three horizons framework23 to and seeing the house of Venustiano Carranza. An industry of
define the main characteristics of a desired future for the coal re- tourist services develops along this route, including accom-
gion, according to the analysis presented in the previous section. modation, food, transportation, tourist guides and shops.
We will also define the current situation and identify the most im-
portant challenges that exist to achieve that desired future (see • The dynamism of the region generates decent jobs in a
Figure 3). Finally, we will analyze some change signals that are diversified and modernized coal industry, as well as in
opening opportunities to approach that situation. complementary green sectors such as tourism, sustainable
construction, solar energy, high-end agriculture, waste ma-
The desired future for the Coal-producing Region nagement, and comprehensive of water management.

• The next generation of entrepreneurs in the coal region • The new coal and tourism industries are founded on a logic
develop value-added products applying best practices in the of responsibility, honesty, trust, and social equity. There are
fields of environmental protection, occupational safety, and new opportunities for more people to prosper and succeed.
circular economy. Entrepreneurship is facilitated and rewarded, seeking to create
a new generation of businessmen and businesswomen who do
• The use of coal to generate electricity is progressively aban- not come from the “usual” families and who take advantage of
doned as the Carbon I, Carbon II and Petacalco coal plants the opportunities offered by technology and connectivity.
end their lifecycle. A plan is put in place to harness the
skills and competencies of workers from coal-fired power • Through existing higher education institutions, new professio-
plants and the coal-processing industry, so they are able to nal careers are offered in the areas of humanities and admi-
find jobs in alternative sectors. nistrative sciences such as sociology, anthropology, psychology,
communication and marketing, business administration, fi-
• The region attracts young, talented professionals and can nance, tourism, and hospitality to train the professionals who
integrate the new families that come to live in the region will lead the transformation of the Coal-producing Region.
seeking prosperity and safety.
• The origins and cultural identity of the Coal-producing
• The Sabinas River is restored and protected. Its manage- Region are honored and preserved, while the coal industry
ment and exploitation models are a success story among is driven towards modernization based on innovation, sus-
Ramsar sites. Two new water treatment facilities are put tainability, and competitiveness. An international outlook
into operation. The river is no longer the dump of the re- is adopted and relationships with other markets are built
gion. through research, trade and the exchange of best practices.

22 Perspectives from the coal industry in Mexico 23

Figure 3. Transition towards the desired future for the Coal-producing Region
 Current dynamics in the system and challenges faced by
the Coal-producing Region • Because since its inception the coal sector has fully relied
on local companies to purchase its output for producing
• There are conflicting views about the future of coal: while electricity and steel, companies in the Coal-producing Re-
some groups seek to reduce coal use to generate electricity, gion did not enter international markets in the 1990s. The
others seek to reactivate this market. There are currently vision and scope of the coal sector continues to be very
no spaces for dialogue and exchange between both groups localized. Entering new markets new involves significant
where a common path of action could be outlined. barriers given the global conditions.

• The expansion of fossil fuels over renewable energies in the • In 2021, a new accident was registered in a small mine in
electricity sector in Mexico puts climate goals at risk. Mexi- Múzquiz, leaving seven miners buried under tons of coal
co is far from meeting the targets set in the Paris Climate and mud. Civil society organizations affirm that such ac-
Accord and the national Energy Transition Law. cidents frequently occur among small producers who do
not comply with occupational safety provisions and pro-
• There is no long-term policy for the development of the mote irregular mining.25 This situation increases tensions
Coal-producing Region that contemplates the moderni- between local stakeholders, reducing the possibilities for
zation of the coal industry, as well as the development of communication and collaboration.
other employment and wealth generation alternatives.
• There are few spaces for dialogue between government
• The Coal-producing Region has been in an economic cri- officials, businesses and citizens. Effective mechanisms for
sis since 2015, when the demand for thermal coal dropped dialogue and participation are required to address econo-
drastically. Many people have lost their jobs. Only Micare, mic, social, and environmental problems in the region.
a subsidiary of Altos Hornos de México located in Nava,
has had to let go around 3,000 people since 2020 given the
cancellation of supply contracts with CFE.24

• EIn 2021, the demand for coal increased slightly because

of the announcement of new tenders put forward by CFE.
The resulting supply contracts, however, have a duration
of less than three years, leaving producers in a precarious
situation, without the possibility of investing to grow their
businesses.

• The coal value chain is structured around a local mar-

ket, which implies that any change in coal supply and/or
demand has immediate impacts on the entire production
chain and the economies of families in the region.

26 Perspectives from the coal industry in Mexico 27

 Some change signals • The economic crisis caused by the low demand for coal to
produce electricity made clear that it is essential to achieve
• Most developed and developing countries are transitioning a more diversified local economy, to avoid depending almost
to decarbonized, decentralized and digitized electrical sys- exclusively on contracts with CFE. Many employers, wor-
tems.26 In a context of climate emergency, this implies wor- kers and government representatives are convinced that this
king towards an accelerated reduction of electricity produ- is necessary.
ced from fossil fuels, starting with the most polluting ones
(i.e., coal and fuel oil) and advancing towards a sustained • In other countries, tests are being carried out to produce
expansion of renewable sources, predominantly solar and steel free of fossil fuels. Green hydrogen-based alternatives
wind, which are the most competitive worldwide. and renewable energy are emerging as good alternatives to
coal in steelmaking, while the use of waste-derived fuels
• Electricity generated from renewable sources continues and thermal efficiency minimize the environmental impacts
to get cheaper, as more regions and countries successfully of cement and concrete production.29
manage to fully integrate it into their electrical systems.27
Projects awarded from public bids in Mexico added 2,500
MW of capacity to the system at record costs from 2014
through 2019.28

• In 2020, the state government of Coahuila presented the

Rescue and Economic Diversification of the Coal-producing Region
Program in collaboration with the Universidad Autónoma
de Coahuila and the Energy Cluster, with the aim of pro-
moting an economic reactivation plan through diversifying
investments and developing new economic activities to ge-
nerate quality jobs. Up to date, plans for implementing the
program, sources of financing and the expected impacts in
the short and medium terms, remain unknown.

• There are talks to create a Coal Cluster, a multisectoral

non-profit organization dedicated to developing additional
applications and market outlets for the coal produced in
Coahuila.

28 Perspectives from the coal industry in Mexico 29

 2 Developing a regional economic development program, designed and managed by a mul-
tisectoral local committee and operated through a transexenal trust. The trust invests and
Initiatives helps attract complementary investments.

to promote change • Create and promote the tourist corridor from Maderas del Carmen Natural Protected
Area to Cuatrociénegas, triggering investment in infrastructure and the necessary tourist
services along the corridor.

• Invest with universities and professional training institutions to broaden the education
Based on the elements described in the previous section, we and training offering and introduce professional studies in the areas of humanities, ad-
have identified five initiatives to enable a brighter future for ministration, and tourism.
Coahuila’s Coal-producing Region. Actions
• Expand existing study programs on Earth sciences to include studies and research rela-
ted to the conservation of ecosystems and biodiversity, as well as the sustainable use of
These are described below: natural resources.

• Provide seed capital for the creation of entrepreneurial ventures and new businesses in
the infrastructure and tourism services sectors, as well as local supply companies for the
mining and manufacturing sectors.
1 Designing an industrial policy to promote coal in other industrial applications under a lo-
gic of modernization, sustainability, diversification of the client portfolio, and participation • Place women at the center of the program and generate new opportunities for economic
in global markets. and professional development that help shape a new identity for the region.
• Overcome the uncertainty surrounding the coal industry, placing local producers in a
better position to enter other markets. Stakeholders Ministries of Tourism, Economy and Labor of the government of the state of Coahuila,
involved municipal governments, universities and professional training centers, civil society organiza-
• Provide technical assistance for companies to adopt new and more efficient coal extrac- tions, businesses and youth/student groups.
tion and transformation technologies, improve their marketing and management sys-
tems, and address their environmental impacts.
Actions
• Promote the adoption of standards/certifications that guarantee the responsible produc- 3 Shaping an environmental agenda at the local level and activating networks of stakeholders
to facilitate implementation.
tion and purchase of coal.
• Identify organized social groups that pursue environmental objectives.
• Support the creation of cooperatives that bring together and organize small coal pro-
ducers so that they have access to better financing options, can enter new markets, and • Create spaces for dialogue and exchange where environmental organizations can meet.
diversify their business to start venturing into other industries, such as solar energy. Ensure participation of young people and entrepreneurs, as well as representatives of
CSOs and academia.
Actions
Stakeholders Ministry of Economy of the state government of Coahuila, municipal governments, Energy
Cluster, businesses, academia and research centers. • Strengthen the creation of a coordinated agenda to ensure synergies between organiza-
involved tions.

• Identify pathways to influence public policies.

• Raise awareness and mobilize citizens around critical environmental issues in the re-
gion.

Stakeholders Civil society organizations, youth groups, the state government's Ministry of the Environ-
involved ment, businesses, universities and professional training centers.

30 Perspectives from the coal industry in Mexico 31

 4 Defining a just transition strategy around phasing out of coal in the electricity sector, consi-
dering local effects and impacts.
Factors
• Raise awareness among the local population about the impacts of the pollution produced
by Nava’s coal-fired power plants on human and ecosystem health. driving and
• Creation of a multisectoral committee in charge of defining and guiding the transition inhibiting change
process, as well as guaranteeing transparency and accountability.

Actions • Creation of a national coal transition fund for granting: The systems approach points out that there are factors that ena-
ble or complicate change at different levels. Structural factors
- Remediation of accumulated environmental costs/liabilities derived from an inclusive
process involving all affected groups. refer to the physical and social spheres, including the political
and economic environment and its institutions. Attitudinal fac-
- Direct compensation to workers and their families to support the transition to another tors include beliefs, values, norms, and intergroup relationships,
employment/productive activity. which affect the way we think and behave. And finally, tran-
sactional factors have to do with the processes and interactions
- Voluntary early retirement.
used by people when dealing with social, political, and economic
• Channel opportunities for skills reconversion and professional updating among workers problems and can include lobbying, blackmail, influence, media-
who want to access jobs in other industries or are interested in creating new business tion, or rhetoric.30
ventures of their own.
In Table 2 we present the most important factors of change that
Stakeholders Federal and state government, unions, CFE, civil society organizations, universities, and we found throughout the activities of this project.
involved professional training centers.
Types of factors Inhibitors Drivers
Perceived tension between environmental Interest of local stakeholders to remain
sustainability objectives and economic grow- living in the Coal-producing Region.
th among coal industry representatives.
5 Supporting Coahuila’s Ministry of Labor to increase supervision, monitoring, and law en-
forcement capacity. Belief that natural resources exist to be Coal miners’ expectation of their children
exploited until they are extinguished and a no longer being engaged in extraction due
• Ensure proper implementation of the existing safety regulations to reduce the number subsequent rejection of the idea of energy to the risks involved.
of accidents and deaths among coal workers. transition.
Lack of long-term vision. Strong sense of work ethic and search of
• Design a recognition and promotion campaign for mines that effectively implement the
Attitudinal individual improvement.
protocols, seeking to provoke an attitude change towards safety issues among employers,
miners, and their families. Large dependance of contracts with CFE Poor implementation of safety regulations at
Actions and AMSHA, waiting for them to be re- work and penalties for irregular practices,
• Promote tripartite dialogue between employers, workers, and unions around labor ri- newed instead of exploring new market which encourages young people to search
ghts, safety conditions at work, and the future of the coal sector. outlets. for other job opportunities.

• Contribute to the reorientation of technical-professional training towards new employ-

ment opportunities in other sectors and other productive activities. Limited interest from unions to engage in A common sense of belonging and pride
dialogue with other actors. associated to the extraction of minerals.
Stakeholders Ministry of Labor of the State of Coahuila, International Labor Organization, universities,
involved training centers, and businesses.
Table 2. Factors that affect the future of coal in Mexico’s electricity sector

32 Perspectives from the coal industry in Mexico 33

 Types of factors Inhibitors Drivers
The regional nature of the market structure of the Cheaper, cleaner, and more efficient
coal industry. alternatives for electricity generation. Final
Existence of three coal-fired plants, one of which
still has ahead a few years of operation and two
Natural attractions in the state of
Coahuila (i.e., Cuatrociénegas, Sabinas
reflections
whose life can be extended. River, natural protected areas, ende-
mic species).
Deciding about the future of coal-fired power plants will have
Lack of public demand for the elimination of coal Growing interest in mining tourism. important economic, environmental, and social implications in
use in the electricity system.
the Coal-producing Region. The Río Escondido plant is close
No political gain in promoting the elimination of Proximity to the U.S. border, Monte- to completing its cycle, while Carbón II still has 13 years to go.
coal use in power generation. rrey and Saltillo. Good land connecti-
Planning an early retirement of these plants will avoid emitting
vity.
Structural a significant amount of greenhouse gases, as well as making
Widespread perception of corruption in the state Low perception of insecurity among inefficient investments to guarantee the continued operation
of Coahuila with major scandals involving former the citizens of the state of Coahuila.31 of the plants. However, a just energy transition also demands
governors, senators, and union representatives.
considering the jobs and wealth that are lost by shutting down
Fragmented land tenure system, linked to the entire industries.
allocation of mining permits, which limits large
investments.
While the proportion of electricity produced in coal-fired power-
Rivalry among unions.
plants in Mexico is small in comparison to countries like China,
Fragmented worker’s goups in the coal industry.
India, the United States, Japan, and several European Union
Limited vocational training options, except for countries, it is worth to bring this discussion to the public agen-
certain engineering degrees. da and outline an economic development plan for the Coal-pro-
Low population density. There are not enough ducing Region. Using coal to generate electricity will continue
workers to meet the demand of new companies. to shrink as Mexico grows more and more dependent of impor-
ted, cheaper natural gas and other growing technologies that
already compete in price and efficiency with coal, such as solar
and wind.

Types of factors Inhibitors Drivers In the case of coal produced in Coahuila, it is important to
Evident connections between politics and business, Entrepreneurs’ commitment to their remember that only about half of it is used in electricity ge-
which reinforces the existence of an elite that con- region. Investments in public infras- neration. In the steel and cement sectors, coal substitution is
trols economic activity and helps propagate cliente- tructure.
list dynamics.
still difficult and expensive. Although the first samples of fossil
fuel-free steel are already reaching the market, the complete eli-
Contract negotiations and allocations established Contract negotiations and alloca- mination of the coal industry in Mexico and the world is hardly
Transactional based on pacts rather than open processes with tions established based on pacts feasible.
transparent rules. rather than open processes with
transparent rules.
In this sense, talking about a just transition away from coal in
Tension between civil society organizations, govern- the electricity sector in Mexico requires reflection on several
ment authorities, and the private sector. levels. The first has to do with the progressive retirement of
coal-fired power plants in Mexico and the loss of jobs and weal-
th that this implies for the people living where coal is extracted
and burned. From an environmental point of view, while a batt-

34 Perspectives from the coal industry in Mexico 35

 le would be won, the war against the emissions associated to the Accompanying a coal phase-out strategy in the electricity sector
extraction and transformation of coal would remain vital. From with a transformation strategy for the region would allow explo-
a social viewpoint, the precarious working conditions, associated ring, among other things, the development of new applications
to health problems, and the large dependence of the coal sector and industrial uses of coal, applying existing technologies to
to provide employment are topics that require attention too. It reduce emissions and taking advantage of the coal industry as a
will be necessary to also consider the extraction of coal for the transition platform towards renewable technologies. This would
steel and cement industries. The conditions of production and also provide extractive companies with more room for maneu-
trade, price, the associated environmental and health impacts, ver, allowing them to continue their business based on a broader
market access and distribution of its benefits are relevant issues customer market, while adopting stricter environmental and so-
that cannot be neglected. cial criteria to comply with global standards.

The transition narrative is not binary. Rather, it is a process that While phasing out the use of coal in electricity generation is not
encompasses the future of various industries linked to a produ- the only measure required to limit the rise of global temperatu-
cing region and its inhabitants. The identity of the Coal-produ- re and the devastating consequences of climate change, it would
cing Region remains closely linked to its productive vocation place Mexico on a path towards ambitious climate action and
and it is difficult to think that it can mutate and redefine itself would serve as example for other countries in the region. A tran-
when it has been shaped by and around coal for more than 200 sition process away from coal, however, must be driven taking
years. a justice approach and putting the impacts and alternatives for
economic diversification in the Coal-producing Region at the
center of the discussion. It requires a comprehensive strategy
that considers the system as a whole and creates pathways of
transformation for all local stakeholders, minimizing difficul-
ties for workers and their communities through active political
and financial support, while considering the implications for
the national power sector. •

36 Perspectives from the coal industry in Mexico 37

 References
León Salazar, C. (2017). La fragmentación del sindicalismo minero-metalúrgico: Entre la persecución a Gómez Urrutia y las estrategias
17/18

Badillo, Diego (June 20, 2020). "Centrales eléctricas de Coahuila y el lado oscuro de la fiesta del carbón". El Econo-
1
corporativas de cambio organizacional. El Cotidiano, 201, 107-118. https://www.redalyc.org/pdf/325/32549629012.pdf
mista. https://www.eleconomista.com.mx/politica/Centrales-electricas-de-Coahuila-y-el-lado-oscuro-de-la-fiesta-del-car-
bon-20200620-0004.html 19
IDESOL (2021). Directorios de organizaciones de la sociedad civil inscritas en el Registro Federal de las OSC al 30 de junio de 2021. Regis-
tro Federal de las Organizaciones de la Sociedad Civil. Datos y recursos. https://datos.gob.mx/busca/dataset/registro-fede-
2
WWF México (April 19, 2021) Del carbón a las renovables: Análisis económico para la transición eléctrica en México. https://www.wwf. ral-de-las-organizaciones-de-la-sociedad-civil
org.mx/?366570/Del-carbon-a-las-renovables-Analisis-de-la-transicion-electrica-en-Mexico
Centro de Derechos Humanos Miguel Agustín Pro Juárez (June 11, 2021). A 15 años de Pasta de Conchos familias exigen
20/22

3
Secretaría de Economía (January 2020). Perfil de mercado del carbón. SE. https://www.gob.mx/cms/uploads/attachment/ materializar el #RescateYa. Centro Pro dh. https://centroprodh.org.mx/2021/02/18/a-15-anos-de-pasta-de-conchos-familias-
file/564112/Carb_n_2020__ENE_.pdf exigen-materializar-el-rescateya/ Múzquiz, tragedia minera inevitable. Centro Pro dh. https://centroprodh.org.mx/2021/06/11/
muzquiz-tragedia-minera-evitable/
4
BP (2021) Statistical review of world energy. https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/ener-
gy-economics/statistical-review/bp-stats-review-2021-coal.pdf Secretaría de Energía (June 30, 2021). Programa para el Desarrollo del sistema eléctrico nacional. SENER. https://www.gob.mx/
21

sener/articulos/programa-para-el-desarrollo-del-sistema-electrico-nacional
5
Fernández Alvares, C. (March 23, 2021). Global coal demand surpassed pre-Covid levels in late 2020, underlining the world’s emissions
challenge. International Energy Agency. https://www.iea.org/commentaries/global-coal-demand-surpassed-pre-covid-levels- International Training Center (2008). Three horizons framework. International Labor Organization. https://training.itcilo.
23

in-late-2020-underlining-the-world-s-emissions-challenge org/delta/Foresight/3-Horizons.pdf; Sharpe, B., A. Hodgson, G. Leicester, A. Lyon, and I. Fazey. (2016) Three horizons: a
pathways practice for transformation. Ecology and Society 21(2):47. http://dx.doi.org/10.5751/ES-08388-210247
6
Statista (2021). Number of power plants by country. Statista. https://www.statista.com/statistics/859266/number-of-coal-power-
plants-by-country/ 24
Sánchez, A. (June 21, 2021). La CFE y AHMSA traen ´pleito´… y se profundiza la crisis del carbón https://www.elfinan-
ciero.com.mx/empresas/2021/06/21/conflicto-entre-la-cfe-y-ahmsa-profundiza-la-crisis-del-carbon/
7
Schearer, C. (March 25, 2020). Global coal power under development declined for the fourth year in a row, but much steeper reductions
needed for Paris climate agreement. Endcoal. https://endcoal.org/2020/03/new-report-global-coal-power-under-development-de- Centro de Derechos Humanos Miguel Agustín Pro Juárez (June 11, 2021). Muzquiz, tragedia minera inevitable. Centro
25

clined-for-fourth-year-in-a-row/ Pro dh https://centroprodh.org.mx/2021/06/11/muzquiz-tragedia-minera-evitable/

8
Trujillo Batiz, J. & Herrera Durán, J.L. (September 1, 2020). "Importancia de la red de carbón mineral en el estado de 26
International Energy Agency (2017). Digitalization and Energy. IEA. https://www.iea.org/reports/digitalisation-and-energy;
Coahuila". El Economista. https://www.eleconomista.com.mx/opinion/Importancia-de-la-Red-de-Valor-Carbon-Mineral-en- BloombergNEF. (November 7, 2017). Market for digitalization in energy sector to grow to $64BN by 2025. Bloomberg. https://about.
el-estado-de-Coahuila-20200901-0113.html bnef.com/blog/market-digitalization-energy-sector-grow-64bn-2025/; Barrientos, Omar. (23 octubre 2020). Descarboniza-
ción, digitalización, descentralización: Las 3Ds que cambiarán el futuro energético de México. Global Energy. https://globalenergy.mx/
9
Global Cement (March 1, 2016). Coal for cement: Present and future trends. Global Cement. https://www.globalcement.com/ma- noticias/alternativas/cambio-climatico/descarbonizacion-digitalizacion-y-descentralizacion-las-3-ds-que-cambiaran-el-futu-
gazine/articles/974-coal-for-cement-present-and-future-trends ro-energetico-en-mexico/

10/11
Altos Hornos de México (2019). Nuestra historia. AMSHA. https://www.ahmsa.com/sobre-ahmsa/nuestra-historia/ 27
Climate Council. (January 13, 2019). 11 countries leading the charge on renewable energy. Climate council. https://www.climate-
council.org.au/11-countries-leading-the-charge-on-renewable-energy/; World Smart Cities Forum. (5 noviembre 2020). 5
12
World Coal Association (2020). Other uses of coal. WCA. https://www.worldcoal.org/coal-facts/other-uses-of-coal/ places running on 100% renewable energy. Cities Forum. https://worldsmartcities.org/5-places-running-on-100-renewable-ener-
gy/; McKenna, John. (18 septiembre 2017). Most of the world’s countries could run on 100% renewable energy by 2050, says study.
Periódico oficial del estado de Coahuila. (March 28, 2003). Creación de la Promotora del Desarrollo Minero (PRODEMI). Coahuila
13
Weforum. https://www.weforum.org/agenda/2017/09/countries-100-renewable-energy-by-2050/
Transparente. http://www.coahuilatransparente.gob.mx/decretos/documentos_decretos/1.%20PERIODICO%20OFICIAL%20
28-MAR-20031.pdf; https://www.sefincoahuila.gob.mx/sistemas/entidades_paraestatales/documentos/saep_marco_juridi- Ramírez Cabrera, V. C. (September 17, 2020). "Las subastas y la CFE, la gran beneficiaria". Nexos. https://www.nexos.
28

co/10710001-3-PRODEMI.REGLAMENTO_INTERIOR.pdf; http://ru.iiec.unam.mx/3278/1/019-Muller-Cardenas.pdf com.mx/?p=49966

Solís, A. (July 14, 2020). "CFE gastará 2,000 millones de pesos en carbón para generar electricidad". Forbes. https://www.
14 29
Global Cement (March 1, 2016). Coal for cement: Present and future trends. Global Cement. https://www.globalcement.com/maga-
forbes.com.mx/negocios-cfe-carbon-electricidad/ zine/articles/974-coal-for-cement-present-and-future-trends;

Organización Internacional del Trabajo (2015). Convenio sobre seguridad y salud de los trabajadores, 1981 (núm. 155). OIT. ht-
15 30
The Omidyar Group. Systems practice. https://docs.kumu.io/content/Workbook-012617.pdf
tps://www.ilo.org/dyn/normlex/es/f?p=1000:13100:0::NO:13100:P13100_COMMENT_ID:3190263
INEGI (April 19, 2021). Encuesta nacional de seguridad pública urbana. https://www.inegi.org.mx/contenidos/saladeprensa/bo-
31

Heinrich Böll Stiftung y Organización Familia Pasta de Conchos. (2018). El carbón rojo de Coahuila. Aquí acaba el silencio.
16
letines/2021/ensu/ensu2021_04.pdf
México y el Caribe. https://mx.boell.org/sites/default/files/el_carbon_rojo_web.pdf

38 Perspectives from the coal industry in Mexico 39

 Annex I: People consulted throughout the project Name
Jesús M. Montemayor Garza
Organization
Partido Revolucionario Institucional (PRI)
Position
Local Legislator
Jorge Gutiérrez Villareal Presidencia Municipal de Sabinas Coahuila Head of Economic Development
Name Organization Position Josdeny A. Alarcón González Secretaría de Relaciones Exteriores (SRE) Head of Climate Change Department
Abdelali Soto Vázquez Ministry of Labor, state of Coahuila Planning Director José Á. Alvarado Delgado Presidencia Munipal San Juan Sabinas
Adriana M. Ochoa Lagunas Britsih Embassy in Mexico UK PACT Support Officer José A. Pacheco Hernández Cámara de Diputados Policy Advisor
Alberto E. Dueñas Sánchez Grupo Parlamentario del Partido Acción Nacional Policy Advisor
José C. Muñoz Lara Federación de Trabajadores de Coahuila (CTM) Sec. General of Nueva Rosita Del.
Alejandro Dávila Flores Centro de Investigaciones Socioeconómicas (CISE) de la Research Professor
José L. Guadiana Tijerina Materiales Industrializados SA de CV (MINSA) General Manager
Universidad Autónoma de Coahuila
Juan J. Guajardo Lara Universidad Autónoma de Coahuila Head of the Environmental Agenda
Ana Belén Sánchez International Labor Organization (ILO) Regional Specialist in Green Em-
ployment for Latin America and the Juan M. Beltrán Minera del Norte (MINOSA), Grupo Acerero del Norte Operation and Control Manager
Caribbean Juan Veloz Minería y Energía Project Manager
Andrea Cano Tlalli Energía Business Developer Judith A. Maldonado Cruz Centro de Investigaciones Socioeconómicas (CISE) PhD student in Regional Economics
Araceli Moreno Loera Frente Amplio Nacional por la Defensa del Ambiente Coordinator Judith A. Flores Aguilar Consejo Ecológico de Participación Ciudadana Región Coal-producing Region representative
Armando Díaz Cárdenas Minera del Norte (MINOSA), Grupo Acerero del Norte General Manager Carbonífera de Coahuila México
Arturo Bueno Asociación Ingenieros Minas, Metalurgistas y Geólogos President Julio Valle Asociación Mexicana de Energía Eólica, A.C. Spokesman
de México Luis A. Rodríguez Garza Confederación Nacional de Organizaciones Populares Secretary General Coal-producing
Arturo Bueno Tokunaga Universidad Autónoma de Coahuila Research Professor Region
Arturo Siller Rodríguez Presidencia Munipal San Juan Sabinas Luis A. Silva Guajardo Cyclonova, S.A. DE C.V General Manager
Blanca R. Medina López Federación de Trabajadores de Coahuila (CTM) Union Planning and Strategy Luis Fuentes Nexus Industrias SA de CV General Manager
Bogar Montemayor Garza Unión de Productores de Carbón de México President Marco Cantú Vega Ministry of Labor, state of Coahuila Deputy Secretary of Labor
Carlos E. San Juan Terrones Asociación Mexicana de Energía Solar, A.C. Project Manager Margarita Alba Gamo Ministry of the Environment, state of Coahuila Director of Environmental Culture
César U. H. España Petatán Polea AC Public Policy Advisor María H. Maeda Sánchez Ministry of the Economy, state of Coahuila Technical Secretary of the Ministry of
Cesia Pacheco Valtierra Ministry of the Economy, state of Coahuila Sub-directorate of Business Information Economy
and Statistical Monitoring María T. Salinas Azaola Britsih Embassy in Mexico UK PACT Officer
Cynthia V. Vázquez Valdez Presidencia Munipal San Juan Sabinas Mariene Gutiérrez Neri Tlalli Energía CEO
Daniela Medina Gallegos Asociación Mexicana de Energía Eólica, A.C. Coordinator Mario Guerrero Mar y Sierra Salvaje, A.C. Projects Director
Diego del Bosque Villareal Movimiento Regeneración Nacional (Morena) Federal Legislator, Coahuila Melissa Rodriguez Gutierrez Centro de Investigación en Geosciencias Aplicadas Coordinator of the Department of
(CIGA) de la Universidad Autónoma de Coahuila Administration of Projects Services and
Dr. Josué Enciso Cárdenas Centro de Investigación en Geosciencias Aplicadas Deputy Manager Outreach
(CIGA) de la Universidad Autónoma de Coahuila
Miriam Valdez Centro de Investigaciones Socioeconómicas (CISE) Research Professor
Eglantina Canales Gutiérrez Ministry of the Environment, state of Coahuila Secretary of the Environment
Néstor Zamarripa Belmare Instituto Tecnológico de Estudios Superiores de la Re- Head of Division of the Academy of
Elvia Ramírez Cabrera Conacyt Energy and Climate Change Director
gión Carbonífera Petroleum Engineering
Ernesto Navarro Hinojoza Universidad Autónoma Agraria Antonio Narro Research Professor
Nora E. Salinas Alejandro Federación de Trabajadores de Coahuila (CTM) Consultant
Feliciano Heredia Mar y Sierra Salvaje, A.C. Project Manager
Patricia Burciaga Neme Ministry of the Environment, state of Coahuila Director of Environmental Education
Fernando Mendoza FERVIM S.A. de C.V. General Manager
Rafael Fonseca Chávez Centro de Colaboración Cívica (CCC) Sustainable Development Program
Francisco Treviño Aguirre Ministry of the Economy, state of Coahuila Coordinator of Strategic Projects for the
Officer
Energy Sector
Rafael Medina Portugal Ministry of the Economy, state of Coahuila Director of Regional Economic Develo-
Genaro de la Rosa Rodríguez Universidad Autónoma de Coahuila; Asociación Ingenie- Lecturer; Coordinator Región Noreste
pment
ros Minas, Metalurgistas y Geólogos de México
Ramon Falcón Corporativo 88 Managing Director
Gloria Yáñez Rodríguez Ministry of the Environment and Natural Resources, Deputy Director of Economic and Fi-
Mexico nancial Evaluation René del Castillo Aceves Federación de Trabajadores (CTM) President of the Institute of Innovation
Graciela González Velez Consorcios Mineros GOVE S.A de C.V. Counselor Reyna E. Rodríguez Pérez Universidad Autónoma de Coahuila Research Professor
Gregorio Garza CANACO President Rogelio Montemayor Seguy Clúster Energético Coahuila President
Guillermo Cena Pacheco Presidencia Munipal San Juan Sabinas Rubén G. Muñoz Ortega Ministry of the Environment and Natural Resources, Deputy Director of Administrative
Guillermo García Alcocer Instituto tecnológico Autónomo de México (ITAM) Excomissioner CRE. Lecturer Mexico Procedures
Héctor J. Treviño González Asociación Mexicana de Energía Eólica, A.C. Executive Director Sergio Colín Castillo Centro de Investigaciones Socioeconómicas (CISE) Research Professor
Iliana Valdés Clúster Energético Coahuila Communications Director Tereso Medina Ramírez Federación de Trabajadores de Coahuila (CTM) Secretary General of the Federation of
Workers of Coahuila
Israel Castrejón Mar y Sierra Salvaje, A.C. Project Manager
Violeta Contreras Ramírez Ministry of Labor, state of Coahuila Planning Department
Iván Pérez Pérez Canacintra/Grupo Fox General Manager
Ylsel A. Gutiérrez Alonso Centro de Investigaciones Socioeconómicas (CISE) PhD student in Regional Economics
Jesús M. Hernández Carmona Asociación Mexicana de Energía Solar, A.C. ) Regulatory Manager
41
© 1986 Símbolo Panda WWF - World Wide Fund For Nature (también conocido como World Wildlife Fund).
® “WWF” es una marca registrada de WWF México, Ave. México #51, Col. Hipódromo, México, D.F., C.P. 06100 Tel. +52 (55) 5286-563.