On December 15th the Public Regulation Commission voted 5 to 0 to deny PNM's application for the sale and transfer of its shares in Four Corners Coal Plant to NTEC. PNM’s application to “abandon” the Four Corners Power Plant (FCPP) is denied because:
a. PNM did not propose specific replacement resources; b. PNM unilaterally decided to breach its contractual agreement in 16-00276-UT to model replacement resources.
PNM’s abandonment is denied, and therefore its request for $300M in securitization is denied.
PNM’s sale to transfer their 13% share of the plant to Navajo Transitional Energy Company (NTEC) is denied.
The Commission will require the prudence review to take place in a future proceeding.
The application sought to foist $300M in imprudent costs onto ratepayers under the auspices of the Energy Transition Act while violating the letter and spirit of the same law, extending the life of the coal plant in clear violation of the requirement that any abandonment application serve the public interest.
The Commissioners have affirmed that PNM is not above the law. So called “abandonment” is denied and securitization of $300Million is also denied. Abandonment was not going to close the plant and PNM’s sale to NTEC would have prolonged the burning of coal! Additionally, the Commission required PNM to live up to its past obligations agreeing to a prudence review for its investments and life extension of Four Corners. The Commission has acted in the public interest.
Thank you to the Commissioners who ruled for the people, thank you to all those who stood with us to oppose this injustice, thank you to all the activists who have written, spoken, marched, and organized to accelerate the end of fossil fuels. There is so much more to do, but today we celebrate this victory!