Whopping Summer Rates for Electric: CFE Increases

Whopping Summer Rates for Electric: CFE Increases

Tara A. Spears

For the fourth year in a row, the Mexican electricity monopoly, CFE, has increased the cost per kilowatt of usage. The ‘summer season’ rates- which are in effect from May 1 through October 31- have always been higher. The first bill at the new summer rate got my attention because even though I had reduced my usage by a couple of hundred kilos the amount due was the highest I’ve had in more than 20 years as a customer! The charge was almost triple what I paid last year. I am shocked and apprehensive for the future charges for the sweltering months of August-September

Many newbies to Mexico are confused by the consumer charges for electric use. Electricity rates in Mexico are segmented into different plans that consider factors such as average summer temperatures and electricity consumption.

According to the official CFE website, during this summer in Basic Rate 1, the cost for every 75 kWh will be 1,031 pesos (up from 0.945 in 2023).  “In the case of electricity, the new scheme implies an increase of 22.8% in June for the high-income sector; 155.8% for middle-income sectors; and 99% for low-income sectors.” The customers who consume electricity are generally divided into three categories: industrial, commercial, and residential.

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The cost to serve customers depends upon a number of factors including the type of service (for example, high or low voltage) and the customer’s location with respect to generating and delivery facilities. In addition, Mexico subsidizes the low usage (low-income) category. Unfortunately, if a consumer’s usage goes into the high category, you are charged at the top rate for at least six months. I know many people that tried unsuccessfully to get their rate changed to the low/moderate range without success. The CFE office holds firm: “Pay it or do without.”

The variations between “Rate 1” and categories 1A, 1B, 1C, 1E and 1F are due to the greater demand for energy during the hot seasons that are driven by the use of cooling devices such as air conditioning.      

Residential electric use is the most difficult to provide because households use much of their electricity in the morning and evening and less at other times of the day. This is less efficient to provide and is therefore a more expensive use of generating facilities.

What you can do: It is crucial that users carefully review their electricity bills, whether digital or paper, to identify the rate applicable to their specific situation. In addition, the adoption of efficient consumption practices is recommended to mitigate the economic impact of the increase in electricity rates. 

How you can pay the bill: The electric bill is stuck in your door or mailbox -but even if you do not receive a bill, you are liable for paying PRIOR to the cutoff date “Fecha del corte” If you are paying after the deadline, the only way you can pay is in person at a CFE office. Banks and partner establishments don’t accept late payments for the electric bill. In JB, the office is in La Penita.

Although there are five possible ways to pay, several are iffy. #1, Pay directly in person at the office. #2: Pay CFE bill through a Mexican bank. The Mexican banks that accept CFE payments (before the deadline) are Afirme, Banco Ahoro Famsa, Banco Azteca, Banco de Mexico, BBVA Bancomer, Banbajio, Banjercito, Banorte, Bansefi, HSBC, Inbursa, IXE, and Santander. You don’t need to have a bank account in these banks to be able to pay your CFE bill.

#3: Pay CFE bill using your bank mobile app. This method has only worked for me about once every six months. #4: CFE Mexico online payment (desktop computer.) The website actually works well most of the time. Payment via credit card is also secure. There is an option to charge your credit cards for automatic payments and you will be charged every two months.  Lastly,  #5: Pay via partner establishments: Calimax, Chedraui, Ley, Commercial Mexicana, Coppel, Oxxo, Sam’s, Soriana, Suburbia, Telecomm, larger Walmarts and Western Union office. With all of the in-person methods, there will be lines.

Because the Mexican government offers economic incentives to lower your usage, Mexicans are far more conscious of their daily power consumption. They turn off the lights when they leave a room and will even unplug appliances when they aren’t being used. Moderate your lifestyle and the cost of electricity is reasonable.