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Mexico Unveils Water Law Overhaul to End Private Transfers and Toughen Penalties

Forthcoming proposals would end private trading of water rights through tougher penalties.

Overview

  • President Claudia Sheinbaum said two initiatives will be sent to Congress on Monday: a reform to the Ley de Aguas Nacionales and a new General Law to regulate the constitutional right to water and halt transfers between private parties.
  • Conagua reports reviewing roughly 90% of about 536,000 concession titles and finding nearly 59,000 inconsistencies, including falsified or duplicated documents, misuse of agricultural or public‑urban permits, and erroneous coordinates, even pointing to locations overseas.
  • Planned legal changes include a new chapter on water crimes, higher fines proposed up to 50,000 UMAS, and the option of asset forfeiture in serious or repeat cases to deter illegal extraction and sales.
  • Enforcement actions to date include 3,912 verification visits and 490 closures or suspensions, recovery of about 4,475 million cubic meters of water, and a 15% increase in collections equivalent to 2,938 million pesos.
  • Administrative steps ahead include a Decreto de Facilidades in early October to regularize users, expansion of a digital Ventanilla Única this fall, and full digitalization of Conagua procedures targeted for January 2026.