IRP Meetings 2016-2017 - pnmprod

2017 IRP

July 3, 2017

PNM is proposing a future energy resource portfolio that would eliminate the company's use of coal-fired generation by the end of 2031. The proposal is explained in a very long and detailed report about the costs and benefits of changing our energy mix.

The results presented in this report point strongly toward shutting down San Juan after the current coal supply agreement runs out in 2022, and also toward exiting Four Corners Power Plant in 2031 when its coal supply agreement runs out. This will result in no coal in PNM's energy supply mix.

The benefits of PNM eliminating the use of coal are:

Cleaner environment and a significant reduction in carbon emissions
Lower costs and more energy options for customers over the long run because it fits better with future energy needs
Improve New Mexico's leadership in the transition to cleaner, more sustainable energy resources. New Mexico is ideally suited this, given our wealth of sun, wind and technological/research talent based in the state.

That said there are some downsides as well:

It would mean job losses, and these good-paying positions will not be easily replaced.
It would likely increase customer electricity costs in the short-term.

If we do shut down San Juan, we will -- of course -- need to replace it with something else to make sure we have power whenever needed. To preserve the environmental benefits from eliminating coal generation, PNM is also planning to: