News Release

Nov. 1, 2006

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NEWS MEDIA CONTACT Susan Sponar Telephone: (505) 241-2768

PNM Campaign Promotes Efficiency Through Rebates

With rising November gas costs, making your home energy efficient is more important than ever.

PNM is set to launch a campaign to promote efficiency and rebates that reward customers for taking steps to cut energy use and save money.

"Now is the time to make home improvements that can save energy and money and keep you comfortable this winter. The rebate program helps to make those improvements more affordable,” said Steve Bean, PNM energy efficiency program manager.

Beginning November 8, PNM customers will see increased promotion of the energy efficiency program that will include television, radio, and other media encouraging customers to take advantage of the energy efficiency rebates to help manage continued high heating costs similar to last winter.

The cost of natural gas in November is 82 cents per therm, up from 61 cents in October. PNM predicts that the average customer will use 43 therms and pay about $58 this month.

The cost of gas typically rises during the winter heating season as demand increases. November is considered the start of the winter heating season. To help gas customers lower their winter heating bills, PNM customers can receive rebates for steps that will save energy this winter and in the future. For purchases customers can make at any retail store, PNM offers these mail-in rebates:

• $25 for ENERGY STAR®-qualified programmable thermostats
• $10 for water heater insulation wraps

PNM customers can also take advantage of a 25 percent rebate (up to $500) for having a participating contractor install attic, roof, wall and crawl space insulation, for ductwork leakage testing and sealing, and for air infiltration testing and sealing. The rebate program was launched late last winter. PNM wants to increase awareness to allow more customers to take advantage of the program. Advertising will start next week.

There are a number of simple steps customers can take to reduce energy consumption without sacrificing comfort, such as lowering the thermostat by five degrees at night. PNM also recommends that customers have a professional furnace inspection yearly to keep the furnace running both efficiently and safely.

For more information about PNM rebates, additional programs, rebate forms and a list of participating contractors, visit PNM.com/rebates or call 1-866-REBATES (1-866-732-2837).

PNM is a subsidiary of PNM Resources, an energy holding company based in Albuquerque, N.M. PNM provides electric utility service to 426,000 customers and natural gas service to 481,000 customers in New Mexico. The company also sells power on the wholesale market in the West. PNM Resources stock is traded primarily on the NYSE under the symbol PNM. For more information, see the company's Web site at PNM.com.