...Ambitious Regulatory Agendas Major initiatives this year have been mixed in terms of improving existing frameworks. Positive reform measures in Mexico should allow independent power producers to enter into bilateral contracts with industrial consumers, leading to additional private sector investment in competitive generation. In Brazil, federal assistance to electric distributors facing rising spot prices is a sign of increasing government involvement in the sector. Chile's government is seeking to reduce end-consumer energy prices, among the highest in Latin America, while enacting increases in both corporate and emission taxes. Manageable Capex Capex for power companies should be 15%19% of revenues, consistent with the last five-year period. On aggregate, issuers are funding 100% of capex via internally generated cash flow. 2014 issuances are expected to be mostly used for refinancing existing debt. Utility companies have only issued USD850 million of international debt, year to date....
