News Release

July 1, 2014
PNM Files 2014 Integrated Resource Plan

Albuquerque: PNM today filed its 2014 Integrated Resource Plan with the New Mexico Public Regulation Commission.  The Integrated Resource Plan outlines how the company plans to provide a reliable, cost-effective, and environmentally responsible power supply in the future. The report has a 20-year planning horizon and includes specific recommendations for the next four years.

"The plan is the result of more than a year of rigorous, scientific analysis and significant and ongoing input from the public, including a number of key stakeholder groups," said PNM Director of Planning and Resources Pat O'Connell. "The plan responsibly balances the need for a robust power supply for our customers with our commitment to protect the environment and keep electricity affordable for New Mexico families." 

To create the plan, PNM analyzed thousands of potential energy resource combinations to identify the best possible mix of generation sources.  PNM considered future changes in the cost and reliability of each resource mix over time. Based on the results of the analysis, the company expects to add significant renewable energy resources to its power portfolio in the coming years. 

Since the previous Integrated Resource Plan filing in 2011, PNM has made a $269 million commitment to solar energy, will add more wind generation in 2015, is using energy from the state's first geothermal plant and worked with the EPA and the State of New Mexico to begin taking steps toward closing down two coal units at the San Juan Generating Station. These initiatives are consistent with PNM's focus on maintaining a balanced fuels portfolio. 

While it is unclear exactly how the EPA's newly proposed carbon rules will affect PNM's power sources in the future, the company considered carbon regulation in the modeling. PNM will be fully engaged in efforts to help New Mexico comply with these rules once they are finalized. 

Highlights of the specific four-year elements of the PNM Integrated Resource Plan include:

  • Close two units of the coal-fired San Juan Generating Station by 2018 to meet federal haze requirements, reduce greenhouse gas emissions and cut water usage.  The company plans to replace the retired power by adding more solar and natural gas facilities and using energy from an existing nuclear plant. 
  • Participate in developing New Mexico's statewide plan to comply with newly proposed federal rules to reduce carbon emissions at existing power plants.
  • Create new energy-saving programs to meet the 2020 requirement of 658 gigawatt-hours saved. PNM is on track to meet a requirement of 411 gigawatt-hours of energy savings this year.
  • Monitor and evaluate emerging technologies, particularly battery storage, for use in the future.

O'Connell said the 2033 power supply envisioned today will almost certainly change, shaped by many things including the possible emergence of new technologies that we can't even imagine today.  PNM begins the planning process again in 2016.  

PNM's 2014-2033 Integrated Resource Plan is filed with the N.M. Public Regulation Commission and will be posted at PNM.com/irp.  

With headquarters in Albuquerque, PNM is the largest electricity provider in New Mexico, serving more than 500,000 customers in dozens of communities across the state. PNM is a subsidiary of PNM Resources, an energy holding company also headquartered in Albuquerque. For more information, visit PNM.com.