Mexico Approves New General Water Law and Amends National Water Law

The Mexican Senate on Dec. 5, 2025, approved the General Water Law (Ley General de Aguas) and amendments to the National Water Law (Ley de Aguas Nacionales), marking a significant shift in the regulatory framework governing water resources in Mexico. The decree still needs to be published in the Federal Official Gazette (Diario Oficial de la Federación or DOF), but it will enter into force upon publication.

Key Changes

The following are key changes resulting from the decree:

• Human Right to Water: The law reinforces water as a fundamental human right, prioritizing personal and domestic consumption over other uses.
• Restrictions on Transfers: Water concessions can no longer be transferred between private parties. The National Water Commission (Comisión Nacional del Agua or CONAGUA) will exclusively manage reassignment processes.
• Restriction on Water Use: Water use originally assigned in the concession title can no longer be changed (i.e., from agricultural use to industrial use).
• National Water Registry: A new registry replaces the former Public Registry of Water Rights (Registro Público de Derechos de Agua), introducing stricter controls and transparency measures.
• Sanctions and Water Crimes: The reform establishes new criminal offenses related to water misuse and imposes fines of up to 50,000 Units of Measurement and Update (Unidades de Medida y Actualización or UMA) (approximately MX$5,657,000) for severe violations.
• Preservation of Rights in Land Transfers: When land associated with water concessions changes ownership, the new owner may retain water rights through expedited procedures.
• Implementation Period: States must harmonize their local laws within 180 days of the reform's entry into force.

Implications for Concession Title Holders

The following are implications for concession title holders:

• Agricultural and Industrial Users: Entities holding water concessions should review their compliance strategies, as transfers between private parties are now prohibited.
• Real Estate Developers: Land transactions involving water rights will require careful planning to ensure continuity of use.
• Industrial Parks: Supply services commonly offered by industrial parks need to be reconsider now that third-party use of water is prohibited.
• Corporate Compliance: Companies should anticipate stricter enforcement and potential criminal liability for unauthorized water use.

Next Steps

Organizations should take the following steps:

• monitor publication in the DOF
• review existing water concession agreements and operational practices
• prepare for local regulatory adjustments within the 180 day harmonization period

For further guidance on how these changes may affect your operations, please contact the authors.

Information contained in this alert is for the general education and knowledge of our readers. It is not designed to be, and should not be used as, the sole source of information when analyzing and resolving a legal problem, and it should not be substituted for legal advice, which relies on a specific factual analysis. Moreover, the laws of each jurisdiction are different and are constantly changing. This information is not intended to create, and receipt of it does not constitute, an attorney-client relationship. If you have specific questions regarding a particular fact situation, we urge you to consult the authors of this publication, your Holland & Knight representative or other competent legal counsel.