CFE income rises by US$179.8mn in first half of year.

MEXICO CITY, Aug 12, 2002

The increase in electricity prices as a result of the reduction in subsidies implemented in January, has boosted Federal Electricity Commission (CFE) income by 1.77 billion pesos (US$179.8 million) in the first half of the year, according to the financial statements of the State-owned company. Although the figure is impressive, the firm set itself a goal of obtaining an extra 5 billion pesos (US$507.9 million) this year. Despite having fallen well short of the goal so far, Francisco Santoyo head of Administration of Finances of the CFE, said he was optimistic that sales in the remainder of the year would make up the deficit.Demand for electricity increased considerably in some regions of the country in the first half of the year, especially in states such as Nuevo Leon, Tamaulipas, Sonora, Baja California, Durango and Zacatecas, where the use of air conditioning rises steeply during the extremely hot summer months.In the Jan-June period of this year, the CFE obtained 74.37 billion pesos (US$7.55 billion) from electricity sales, compared to 72.89 billion pesos (US$7.40 billion) sold last year.

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