ALBUQUERQUE, N.M., April 1, 2020 /PRNewswire/ -- 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, the wholly owned New Mexico utility subsidiary of PNM Resources (NYSE: 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. Our focus will now turn to an early exit of the Four Corners Power Plant, and we will look for the right opportunities to execute on this."
PNM remains committed to its strategy to exit coal-fired generation and is now developing plans to facilitate the exit of its remaining interest in coal consisting of its 200-megawatt ownership interest in the coal-fired Four Corners Power Plant (Four Corners). While the Four Corners ownership and coal supply agreements currently expire in 2031, PNM recognizes the opportunity for additional customer savings and benefits in taking steps to exit sooner. Additionally, the ETA also applies to the abandonment of Four Corners and will include economic and workforce benefits. An earlier exit from Four Corners also opens the door for PNM to bring additional renewable resources onto its grid in support of New Mexico's renewable energy standards and goal of carbon-free energy.
Upon receipt of today's order, it will be available at: https://www.pnmresources.com/investors/rates-and-filings.aspx
PNM Resources (NYSE: PNM) is an energy holding company based in Albuquerque, N.M., with 2019 consolidated operating revenues of $1.5 billion. Through its regulated utilities, PNM and TNMP, PNM Resources has approximately 2,761 megawatts of generation capacity and provides electricity to approximately 789,000 homes and businesses in New Mexico and Texas. For more information, visit the company's website at www.PNMResources.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Statements made in this news release for PNM Resources, Inc. ("PNMR") and Public Service Company of New Mexico ("PNM") (collectively, the "Company") that relate to future events or expectations, projections, estimates, intentions, goals, targets, and strategies are made pursuant to the Private Securities Litigation Reform Act of 1995. Readers are cautioned that all forward-looking statements are based upon current expectations and estimates. PNMR and PNM assume no obligation to update this information. Because actual results may differ materially from those expressed or implied by these forward-looking statements, PNMR and PNM caution readers not to place undue reliance on these statements. PNMR's and PNM's, business, financial condition, cash flow, and operating results are influenced by many factors, which are often beyond their control, that can cause actual results to differ from those expressed or implied by the forward-looking statements. For a discussion of risk factors and other important factors affecting forward-looking statements, please see the Company's Form 10-K and Form 10-Q filings with the Securities and Exchange Commission, which factors are specifically incorporated by reference herein.
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SOURCE PNM Resources, Inc.