News Release

Apr. 7, 2011

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PNM Issues RFP for Renewable Energy

Albuquerque: PNM has issued a request for proposals (RFP) for renewable energy projects which will decrease its dependence on fossil fuels and help PNM meet the state’s renewable portfolio standard (RPS).

Through the RPS, PNM earns renewable energy certificates (RECs) for each kilowatt hour of electricity that it generates or buys from clean, renewable energy sources such as solar and wind. PNM is required to increase its renewable generation to 10 percent of its retail energy beginning this year. In 2015, the requirement will be 15 percent, and by 2020, it will reach 20 percent.

“PNM wants to evaluate all alternatives that may be available to meet the increasing renewable requirements,” said Cynthia Bothwell, Director, Integrated Resource Planning.

The RFP is seeking multiple proposals for wind, solar, hydropower, geothermal and bio-fuel that will help PNM achieve a fully diversified resource portfolio. The state’s RPS contains specific requirements for diversification, but there are other important benefits related to diversity.

“Having a variety of renewable resources in the generation portfolio allows PNM to best capture the benefits of each resource and best operate the electric system when resources are intermittent,” said Bothwell.

PNM is also seeking biofuels that can offset dependence on natural gas in existing generation facilities owned by PNM. The RFP does not include electric energy generated by fossil fuels or nuclear power.

The RFP seeks renewable energy sources that can be available no later than 2014. Depending on complexity, it could take between six months and two years to develop a renewable energy facility.

The deadline for submissions is June 10, 2011. A pre-bid conference is planned for April 18. Interested parties can learn more about the RFP process at pnm.com/rfp. Questions related to the RFP must be submitted in writing to RenewableRFP@pnmresources.com.

About PNM
PNM is a subsidiary of PNM Resources, an energy holding company based in Albuquerque, N.M. PNM provides electric utility service to 500,000 customers in New Mexico. PNM Resources stock is traded primarily on the NYSE under the symbol PNM. For more information, visit PNM.com.