(PNM Resources, 21.Sep.2023) — Today the New Mexico Public Regulation Commission (NMPRC) approved the unanimous settlement agreement reached by Public Service Company of New Mexico (PNM), a wholly-owned subsidiary of PNM Resources (NYSE: PNM), and parties in the case resolving all remaining steps involved in the retirement of the San Juan coal plant under New Mexico’s Energy Transition Act. These steps include bill credits issued to customers and the issuance of lower-cost securitization bonds to fund the energy transition.
“We are looking forward to completing the retirement of the San Juan coal plant under the Energy Transition Act and are pleased to have reached the unanimous agreement with parties approved today,” said Pat Vincent-Collawn, CEO of PNM. “As we continue to bring new renewable resources and battery storage capabilities to our system, we remain focused on reliably meeting New Mexicans’ energy needs and achieving our clean energy goals.”
The unanimous settlement agreement to resolve outstanding issues was reached on August 18, 2023, and a New Mexico Supreme Court order granting the unopposed joint motion for abeyance and remand of the associated case to the NMPRC was issued 14 September 2023.
Under the terms of the agreement, $115mn in rate credits will be provided to customers over a one-year period. In addition, customers will be protected from rising interest rates if the weighted-average rate on the securitization bonds exceeds 5.5%.
Parties to the settlement agreement are PNM, the New Mexico Office of the Attorney General, Western Resource Advocates (WRA), New Energy Economy (NEE), New Mexico Affordable Reliable Energy Alliance (NM AREA), Albuquerque Bernalillo County Water Utility Authority (ABCWUA), Coalition for Clean Affordable Energy (CCAE), Prosperity Works and Utility Division Staff of the New Mexico Public Regulation Commission (Staff).
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