Susan Herrera House District 41 | Sierra Club Rio Grande Chapter
Community groups and New Mexico Gas Company have reached a settlement regarding the utility's rate case, which initially included plans for a hydrogen blending pilot and compressed-natural-gas fueling stations. The agreement involves several parties, including the Coalition for Clean Affordable Energy (CCAE), Western Resource Advocates (WRA), Public Regulation Commission staff, the New Mexico attorney general, New Mexico Affordable Reliable Energy Alliance, New Energy Economy, and the Incorporated County of Los Alamos.
The utility also committed to collaborating with various groups on legislative proposals aimed at reducing utility rates for lower-income residents in New Mexico.
Sara Gersen, a senior attorney at Earthjustice representing CCAE, commented on the settlement: “New Mexico Gas Company originally requested millions of dollars to test a blend of hydrogen and methane on a section of the company’s system that serves hundreds of customers. But the company has not even completed its initial tests of the safety and air-quality impact of running appliances on a hydrogen blend in a laboratory setting.” She further noted that "the company agreed to conduct additional analysis before using hydrogen in its distribution system."
Cara Lynch from CCAE stated: “We not only negotiated lower residential rates than the company proposed in its application, but we successfully advocated for New Mexico Gas Company to study important health impacts of residential hydrogen-blend projects.”
Tammy Fiebelkorn from Southwest Energy Efficiency Project highlighted the benefits for low-income families: “The agreement to work with advocates to develop a low-income rate proposal is wonderful news!”
Pat O’Connell from WRA remarked on improvements made through the settlement: “This settlement agreement makes important improvements to New Mexico Gas Company’s initial request.”
Thomas Singer from Western Environmental Law Center criticized aspects of the original proposal: “Hydrogen derived from natural gas... faces nearly insurmountable challenges avoiding emissions...”
