In a landmark decision, the New Mexico Public Regulation Commission (NMPRC) has granted approval for the implementation of pioneering battery storage projects by the Public Service Company of New Mexico (PNM), a wholly-owned subsidiary of PNM Resources (NYSE: PNM). The approved projects entail the installation of 12 megawatts of utility-owned distribution-level battery storage, strategically positioned to alleviate the strain on overloaded feeders at two distinct locations.
This solution, given the green light by the NMPRC, aims to bolster the reliability and resilience of the grid while fostering the integration of more renewable energy sources. PNM, in its visionary approach, has signaled the potential for widespread adoption of similar solutions throughout its system. The NMPRC decision not only endorses the immediate projects but also underscores the importance of evaluating additional installations within the broader framework of grid modernization and distribution investment plans.
Pat Vincent-Collawn, CEO of PNM, expressed satisfaction with the Commission’s nod to these groundbreaking projects and its broader endorsement of discussions surrounding distribution and grid modernization investments. “We are pleased with the Commission’s approval of these projects and support for broader discussions on distribution and grid modernization investments,” said Vincent-Collawn. “As we look forward, we continue to see a need for increased investments to meet growing demand with a reliable and resilient grid through this clean energy transition.”
The 12-megawatt battery storage initiative represents a substantial $26 million capital expenditure embedded in PNM’s comprehensive investment plans. Anticipated to become operational in 2024, the proposal encountered no opposition from intervening parties, emphasizing the widespread consensus on the significance of such projects in advancing the state’s clean energy objectives.
