Mexico City, Mexico - Mexico has phased out the sale of 40W lightbulbs, expecting to reduce electricity consumption up to 1 billion kWh annually.

The measure will also generate household savings of around $68.5 million a year, while also saving state utility CFE about $137 million in subsidies.

Lightbulbs of 40W or more will no longer be sold in Mexico, said the Secretaría de Energía de Mexico (Sener.)

The ban is part of the national commission for energy savings' drive to reduce greenhouse gases, and will lower the country's carbon footprint by 500,000 tons of CO2 per year. The ban applies to households, businesses, industry, and street lighting.

Lightbulbs of 100W or more were withdrawn from the market in 2011, while 75W bulbs were banned in 2012. The 60W bulbs were withdrawn starting January 1st.

Halogen and LED light bulbs are more expensive but benefit consumers by guaranteeing lower electricity consumption, according to Mexico's "National Commission for the Efficient Use of Energy."

Sener and the electricity saving trust (Fide) will begin a program to provide families with free light bulbs in towns of fewer than 100,000 residents.