Today the New Mexico Public Regulation Commission (NMPRC) unanimously approved an order for the abandonment and securitization of the San Juan Generating Station (San Juan) under the Energy Transition Act (ETA). PNM, filed on July 1, 2019 a consolidated application requesting the abandonment of San Juan in June 2022 upon the expiration of the participation and coal supply agreements, securitization of the unrecovered investment in the plant and approvals for replacement power resources. The request for approvals of replacement power resources was separated into a separate NMPRC docket.

“We are pleased with the decision by the Commission and the Hearing Examiners’ recommended decisions to approve the abandonment and securitization of San Juan,” said Pat Vincent-Collawn, PNM Resources’ chairman, president, and CEO. “Our customers, communities, and environment will benefit as we move to exit all of our coal-fired generation and replace it with lower-cost, cleaner energy resources. The use of securitization tool under the ETA provides $40 million to help workers and the communities affected by the closure. We will continue to look for the right opportunities to provide cost-effective, environmentally friendly energy to our customers.”  

This decision by the Commission will make a positive impact on our customers, and the communities affected most by the closure of the plant. We applaud the Commission’s actions. We have not yet seen the final written order but understand that it adopts the Recommended Decisions in their entirety.