Sen. Shannon Pinto Senate District 3 | Sierra Club Rio Grande Chapter
On January 29, the Public Regulation Commission (PRC) gave the green light to PNM's 2020 Renewable Energy Plan. This plan includes the construction of the 140-megawatt La Joya Wind Farm in Torrance County, New Mexico, slated for completion by the end of the year. The approval is a step toward meeting PNM's legal obligation to supply 20 percent of its electricity from renewable sources in 2020.
Previously, under New Mexico’s Renewable Energy Act, there was a cap on how much large users like Intel paid for renewable energy. This limitation reduced funds available for developing renewable resources and allowed large customers to benefit from savings funded by other customers. As a result, even though state law mandated 15 percent renewables by 2015 and 20 percent by 2020, PNM was only meeting its requirement with just 13 percent. Additionally, this cap meant that industrial users paid less for renewables compared to residential ratepayers.
The Energy Transition Act addressed these issues by closing loopholes and compelling PNM to increase its use of renewable energy significantly. It also ensured that large users contributed their fair share towards renewable energy costs.
Interestingly, those large customers who once opposed increased purchases of renewable energy now support the La Joya Wind Farm. They recognize that utilizing renewable energy can reduce their expenses.
PNM will need to continue improving its energy portfolio in upcoming years—specifically in 2025 and 2030—and again when it plans to exit the Four Corners Coal Plant by 2031.
More information about this project is available through Avangrid Technologies.
