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Renewable Energy

Renewable Energy

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PNM
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El Paso Electric
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Xcel Energy (SPS)
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Database of State Incentives for Renewables & Efficiency (DSIRE) webpage for NM
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Renewable Energy Capacity in New Mexico
New Mexico Incentives for Customer-Owned Solar Photovoltaic Systems
Net Metering FAQs

New Mexico Public Regulation Commission and Renewable Energy in New Mexico

The Public Regulation Commission reviews and approves renewable energy procurement plans and reports of Investor Owned Utilities (“IOU’s”) and Rural Electric Cooperatives (“Coops”) pursuant to the Renewable Energy Act (“REA”), §§ 62-16-1 et seq. NMSA 1978 and Title 17.9.572 NMAC (“Rule 572”). IOU’s in New Mexico are procuring renewable energy and renewable energy certificates from New Mexico renewable generation facilities to meet the Renewable Portfolio Standard (RPS) requirements of the REA and Rule 572.

Investor Owned Utilities and the RPS

The REA and Rule 572 established an RPS applicable to all investor owned electric utilities in New Mexico. In 2006, the RPS will be 5% of retail sales in kWh’s, reaching 10% by the year 2011. Recent legislative changes to the REA (SB418, signed March 5, 2007 by Governor Bill Richardson) have increased the RPS percentages and extended the time lines – IOU’s now must have in their portfolio as a percentage of total retail sales to New Mexico customers, renewable energy of no less than 15% (by 2015) and 20% (by 2020).

Resource Diversity and the RPS

In addition to the RPS, Rule 572 requires that IOU’s must offer a voluntary renewable energy program to their customers. In addition to and within the total portfolio percentage requirements, utilities must design their public utility procurement plans to achieve a fully diversified renewable energy portfolio as follows:
Diversity requirements for IOU’s as % of total RPS requirement:
No less than 30% Wind
No less than 20% Solar
No less than 5% Other technologies
No less than 1.5% Distributed Generation (2011-2014) and 3% Distributed Generation by 2015

Reasonable Cost Threshold

A public utility shall not be required to add renewable energy to its electric energy supply portfolio, pursuant to the renewable portfolio standard, above the reasonable cost threshold established by the Commission. The reasonable cost threshold in any plan year is 3% of plan year total revenues, beginning in 2013.

Rural Electric Cooperatives and the RPS

The recent changes to the REA also included expanding the RPS requirements to rural electric cooperatives. Renewable energy must comprise of no less than 5% of retail sales to New Mexico customers by 2015 and the RPS will increase at a rate of 1% annually until 2020, at which time the RPS will be 10%. In addition to the RPS, Rule 572 also requires that Coops must offer a voluntary renewable energy program to their customers provided their supplier makes renewable resources available.

RPS Compliance

2006 is the first compliance year for New Mexico IOU’s, meaning that IOU’s must demonstrate they have met the RPS requirements in their Renewable Energy Portfolio Reports to the Public Regulation Commission. These reports must be filed with the Public Regulation Commission by July 1 of each year. Compliance estimates by technology type are shown below:

IOU
2011 Retail Sales (Actual, MWh)
RPS %
RPS Obligation (MWh)
Generated (Total MWh)
Year=2011 (Wind)
Solar
Biomass
PNM
SPS
EPE
IOU
2010 Retail Sales (Actual, MWh)
RPS %
RPS Obligation (MWh)
Generated (Total MWh)
Year=2010 (Wind)
Solar
Biomass
PNM
9,090,828
6
497,915
565,829
552,242
13,587
SPS
4,366,190
6
261,971
739,488
739,243
245
EPE
1,646,976
6
98,819
102,791
96,323
1,001
5,467
IOU
2009 Retail Sales (Actual, MWh)
RPS %
RPS Obligation (MWh)
Generated (Total MWh)
Year=2009 (Wind)
Solar
Biomass
PNM
8,867,533
6
509,103
539,821
533,289
6,532
SPS
4,116,931
6
247,016
642,593
642,584
9
EPE
1,602,769
6
96,166
126,642
85,802
24,942
15,898
IOU
2008 Retail Sales (Actual, MWh)
RPS %
RPS Obligation (MWh)
Generated (Total MWh)
Year=2008 (Wind)
Solar
Biomass
PNM
9,162,354
6
503,401
581,179
577,506
3,673
SPS
4,168,103
6
250,086
768,677
768,677
EPE
1,594,493
6
95,670
121,788
89,789
22,894
9,105
IOU
2007 Retail Sales (Actual, MWh)
RPS %
RPS Obligation (MWh)
Generated (Total MWh)
Year=2007 (Wind)
Solar
Biomass
PNM
8,726,294
6
502,755
502,321
500,560
1,760
SPS
4,106,037
6
246,362
687,911
687,911
EPE
1,596,870
6
95,812
97,290
97,290
IOU
2006 Retail Sales (Actual, MWh)
RPS %
RPS Obligation (MWh)
Generated (Total MWh)
Year=2006 (Wind)
Solar
Biomass
PNM
7,933,552
5
373,162
528,944
528,626
171
SPS
3,883,263
5
194,163
724,660
724,660
EPE
1,537,449
5
76,872
78,320
78,320

Sources: EPE, PNM, SPS Rule 572 Compliance Filings, Annual Reports – Form 1.
Note: EPE purchased all wind RECs from PNM to meet the full RPS requirement for years 2006 and 2007.

Renewable Energy Certificate Tracking

The acquisition, sale or transfer, and retirement of any renewable energy certificates used to meet renewable portfolio standards on or after January 1, 2008 must be registered with the Western Renewable Energy Generation Information System (WREGIS). WREGIS is the Western Governors’s Association’s independent regional tracking system to provide data necessary to substantiate and support verification and tracking of renewable energy generation.

Annual Renewable Energy Portfolio Procurement Plans

Public utilities (IOU’s) must file with the Commission an annual portfolio procurement plan on July 1 each year. Rural Electric Distribution Cooperatives must file with the Commission by March 1 of each year, a report on its purchases and generation of renewable energy during the preceding calendar year. Rural Electric Distribution Cooperatives must also report to their membership, a summary of its purchases and generation of renewable energy during the preceding calendar year. Renewable energy plans and reports that public utilities file with the Public Regulation Commission are also required to be made available on the utility’s website. Below are links to the utility website where the most recently filed renewable energy plans and report documents are made available.

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Public Service Company of New Mexico’s Regulatory Page
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El Paso Electric’s Compliance with the New Mexico Renewable Energy Act and the New Mexico Public Regulation Commission Renewable Energy Rule 572
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SPS (Xcel Energy): New Mexico Rates and Tariff Information

Renewable Energy Capacity in New Mexico

New Mexico has several utility scale renewable generation facilities. Below is a list of utility scale facilities in New Mexico.

Electric Utility or Coop
New Mexico Wind Projects
Location
Date Online
MW
PNM
New Mexico Wind Energy Center*
DeBaca & Quay Counties
2003
204
PNM
Red Mesa Wind Energy Center*
Nextera Energy
Cibola County
2010
102
Western Farmers Electric Coop (OK)
Brahms Wind Project
(formerly Broadview Energy)
Curry County near Grady
2014
20
SPS
Llano Estacado (Texico phase II)
Cielo Wind Power
Curry County
2003
2
SPS
Caprock phase I & II*
Cielo Wind Power
Quay County
2004 & 2005
80
SPS
San Juan Mesa*
Roosevelt County
2005
120
SPS
High Lonesome Mesa*
Torrance County
2009
100
Arizona Public Service
Aragonne Mesa*
Guadalupe County
2007
90
Tucson Electric Power
Macho Springs Power
Luna County
2014
50
Exelon / LCEC Generation
Wildcat Wind Ranch
Lea County near Lovington
2012
27
Anderson Wind Project
Chaves County
under construction
By BayWa r.e. Wind LLC
15
Guadalupe Mountains
Chaves County
under construction
134
Roosevelt Wind Farm
Roosevelt County
under construction
By EDF Renewable Energy
250
El Cabo Wind Farm
Torrance County near Willard
pending
by Iberdrola Renewables
278

* projects are considered utility-scale with enough generating capacity for commercial viability

Electric Utility or Coop
New Mexico Solar Projects
Location
Date Online
MW
Mora-San Miguel Electric Coop
Standard Solar
San Miguel County
May 2014
1.5
Otero County Electric Coop
OCEC-owned
Alamogordo substation,
Otero County
January 2014
76 kW
Kit Carson Electric Coop
KCEC-owned

Concentrated PV & PPAs

Taos County
2010
3
Kit Carson Electric Coop
Owned by Washington Gas Energy
RCCLA Amalia Solar Array 1
Taos County
May 2012
1.5
Springer Electric Coop
currently building one
Colfax County
estimate early 2015
1
Tri-State G&T
Cimarron Solar Facility – First Solar
Colfax County
December 2010
30
Tri-State G&T
Escalante Station- case study with Electric Power Research Institute
McKinley County near Prewitt
 
 
El Paso Electric
Macho Springs Solar facility
Luna County
May 2014
50
El Paso Electric
NRG Energy Roadrunner Solar Generating Facility
Doña Ana County
2011
20
El Paso Electric
Hatch Solar Energy Center
Doña Ana County
2011
5
El Paso Electric
Centennial Solar Farm – Sun Edison
Doña Ana County
May 2012
12
El Paso Electric
El Chaparral Solar Farm
Doña Ana County
June 2012
10
El Paso Electric
Rio Grande carport
Doña Ana County
2009
64 kw
PNM
Manzano Solar Energy Center
5 plants (Los Lunas, Deming,
Alamogordo, Las Vegas, Albuquerque)
Valencia, Bernalillo, San Miguel, Otero, and Luna Counties
2011 & 2013
36.5
PNM
La Luz Solar Energy Center
Otero County
December 2013
7.5
PNM
Meadowlake Solar Energy Center
Valencia County
2014
9.1
PNM
Sandoval County Solar Energy Center
Sandoval County
2014
6.1
PNM
Cibola Solar Energy Center
Cibola County
2014
7.6
SPS / Xcel Energy
Sun Edison solar project
Lea and Eddy Counties
2011
50
SPS / Xcel Energy
NM Community Solar Project
Curry, Lea, and Chaves Counties
 
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Total Distributed Generated
estimate across all IOUs and electric cooperatives
various
 
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Other Renewable Energy Programs

While IOU’s are complying with the RPS through primarily power purchases from non-utility or independent power producers (“IPP’s”), there are other programs that purchase REC’s from customer sited photovoltaic installations of 10kW or less. One such program is PNM’s Small PV Program

Voluntary (Green Power) Programs

Investor Owned Utilities

As required by Rule 572, IOU’s must offer a voluntary renewable energy program to their customers. New Mexico’s three IOU’s programs are listed in the tables below with links to their program websites.

Investor Owned Utility
El Paso Electric (EPE)
Program Title:
Energy Source:
Wind from Hueco Mountain Wind Ranch, located east of Horizon City, Texas
Solar from Rio Grande PV installations, located in NM
Programs Offered:
Fixed Monthly Cost:  $5.84 per month/ per 100kWh block (residential), $4.26 per month/ per 100kWh block (small commercial).  Must commit to a one-year program subscription.
2013 MWh:
Participation:  approximately 75 customers
Sales:  907,740 kWh
2012 MWh:
Participation:  approximately 75 customers
Sales:  926,640 kWh
2011 MWh:
Participation:  approximately 100 customers
Sales:  950,900 kWh
Investor Owned Utility
Public Service Company of New Mexico (PNM)
Program Title:
Energy Source:
Wind (85%) from NM Wind Energy Center near Fort Sumner, NM
Solar (15%) from solar panels located in Los Lunas, NM
Programs Offered:
Option 1:  Fixed Monthly Cost
$1.70 per 100kWh block above normal electricity cost, maximum number of blocks purchased cannot be greater than 90% of minimum monthly use in past 12 months.
Option 2:  Variable Monthly Cost
$0.017 per kWh above normal electricity cost, can purchase between 1% – 90% of monthly electricity usage
2013 MWh:
Participation:  approximately 3,600 residential, 100 non-residential customers
Sales:  36,973 MWh
2012 MWh:
Participation:  approximately 12,250 residential and 450 non-residential customers
Sales:  84,805 MWh
2011 MWh:
Participation:  approximately 13,000 residential and 450 non-residential customers
Sales:  106,397 MWh
Investor Owned Utility
Southwestern Public Service
Program Title:
Energy Source:
Wind (100%) from Llano Estacado Wind Ranch, located in Texico, NM
Programs Offered:
Fixed Monthly Cost:  $3.00 per month/ per 100kWh block, can purchase from one block per month up to 100% of electricity usage
2013 MWh:
Participation:  approximately 850 residential and 100 non-residential customers
Sales:  4,454 MWh
2012 MWh:
Participation:  approximately 1000 residential and 100 non-residential customers
Sales:  4,394 MWh
2011 MWh:
Participation:  approximately 1,100 residential and 100 non-residential customers
Sales:  5,505 MWh

Rural Electric Cooperatives

As required by Rule 572, Coops must offer a voluntary renewable program to their customers to the extent that their energy suppliers make such renewable resources available. Sales for 2005 are shown below for 2005. For a website listing of the New Mexico cooperatives see the New Mexico Rural Electric Cooperative Association’s website. Currently Tri-State Generation & Transmission supplies energy to most New Mexico Coops, as well as green power for the Coops voluntary programs. Current rates for green power sold through Tri-State’s Renewable Energy Program are $1.25 per 100 kWh block. Check with the individual cooperative for program details.

 

Source: COOP Rule 572 compliance filings to the Public Regulation Commission for 2006 and 2007.

Links and Resources

For more information regarding the technologies, environmental initiatives, Federal and other regional programs to promote and support renewable energy technology and markets, please see the following links:

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Western Renewable Energy Generation Information System (WREGIS)

Western Governors’s Association’s independent regional tracking system to provide data necessary to substantiate and support verification and tracking of renewable energy generation.

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New Mexico Climate Change Advisory Group (CCAG)

Recognizing the profound implications that global warming and climate variation could have on the economy, environment and quality of life in the Southwest, New Mexico Governor Bill Richardson signed Executive Order 05-033 on June 5th, 2005, establishing the New Mexico Climate Change Action Council and the New Mexico Climate Change Advisory Group (CCAG). The Climate Change Action Council shall review and provide recommendations to the Governor’s office regarding climate change policy.

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Energy Conservation and Management Division (ECMD) of the NM Energy, Minerals and Natural Resources Department

ECMD is responsible for planning and administering energy efficiency and renewable energy technology programs.

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National Renewable Energy Laboratory

The National Renewable Energy Laboratory (NREL) is the DOE’s primary laboratory for renewable energy and energy efficiency research and development.

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U.S. EPA’s Green Power Partnership

The U.S. EPA’s Green Power Partnership is a voluntary program designed to reduce the environmental impact of electricity generation by promoting renewable energy.

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U.S. Department of Energy - A Consumer’s Guide to Energy Efficiency and Renewable Energy
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U.S. Department of Energy Green Power Network

GPN provides news and information on green power markets and related activities. You will find up-to-date information on green power providers, product offerings, consumer issues, and in-depth analyses of issues and policies affecting green power markets.

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U.S. Department of Energy - Glossary of Energy-Related Terms