September 21, 2023
FOR IMMEDIATE RELEASE
Santa Fe, NM – Today, the Public Regulation Commission (PRC) approved the settlement that was reached on August 18th between our office and the Public Service Company of New Mexico (PNM). The settlement, as reported in August, was meant to resolve the outstanding appeal related to the closure of the San Juan Generating Station (SJGS).
With today’s PRC approval, ratepayers will receive a $115 million rate credit over a one-year period and PNM will be permitted to issue bonds under the Energy Transition Act (ETA). In addition, the parties have agreed that the interest rate on the bonds will be capped at 5.5%, with an additional rate credit to be paid if the interest rate exceeds the cap.
“We are pleased that the New Mexico Supreme Court remanded this case and that the PRC approved the settlement agreement,” said AG Torrez. “This settlement was a great achievement for all parties and is in the best interest of ratepayers. The cap on interest rates is an important tool that will protect ratepayers during economic uncertainty.”
Intervening parties involved in this settlement include Western Resource Advocates, New Energy Economy, New Mexico AREA, the County of Bernalillo, Albuquerque Bernalillo County Water Utility Authority, Coalition for Clean Affordable Energy and Prosperity Works.
The previous press release announcing the settlement in August can be found here.