REGULATORY UPDATES FOR SEPTEMBER
On the Transition to Renewable, Clean Energy Economy
Renewable Energy Working Group Meets Wednesday, September 27, 2023
COMMUNITY SOLAR PROGRAM-PRC HEARINGS
We updated you on the community solar program administered by the New Mexico Public Regulation Commission in the Environmental Justice Caucus’s July newsletter. As we explained, the Community Solar Act allows for-profit companies, non-profit organizations, and tribal and local governments to form subscriber organizations to build community solar projects that sell the energy generated to subscribers. Community Solar is an alternative to the predominant system in which investor-owned utilities such as PNM or rural electric cooperatives generate or buy electricity to sell to residential and commercial/industrial customers. Subscriber organizations distribute solar energy through IOU-owned systems. IOUs must give subscribers a community solar bill credit offset for costs of distribution. The CS Act allows renters and others who cannot place solar panels on their own properties to participate in the renewable energy transition and save on electricity, too. See the EJC July newsletter for more background information.
The PRC held a hearing on August 23 on the Stipulation reached between the solar developers and IOUs (PNM, El Paso Electric, and SPS/Excel Energy) in Phase 1 of this regulatory case (No. 23-00071-UT). In this Stipulation, the parties agreed to the form of the agreements between the subscriber organizations and the IOUs. In the negotiations, the IOUs agreed to reduce certain burdens on the subscriber organizations including the scope and frequency of data reporting and facility inspections. These concessions will not compromise the safety or reliability of the community solar program but they will reduce the cost of energy sold to consumers. We are waiting to hear whether the PRC (three governor-appointed commissioners) will approve the Stipulation as consistent with the public interest.
More importantly, the PRC has begun Phase 2 of this case in which it must approve the interconnection agreements and tariffs (rates) for the community solar program. In the next few months, the parties will file testimony. A hearing on Phase 2 issues is scheduled to begin on January 17, 2024. The New Mexico People’s Energy Cooperative (several principals of which belong to the EJC) will continue as intervenors in Phase 2. Please join us for an important discussion on this case at our next Renewable Energy Working Group meeting on Wednesday, September 27, at 7:00 p.m.
HEALTH, ENVIRONMENT AND EQUITY IMPACTS RULEMAKING
The Albuquerque Bernalillo County Air Quality Control Board is currently conducting a rulemaking on the Health, Environment and Equity Impacts Regulation. Under this proposed rule, the Air Quality Control Board would consider the public health and environmental impacts from air pollution in Albuquerque and Bernalillo County neighborhoods already disproportionately affected by existing polluting facilities before granting new permits. In other words, the Board would be required to consider the cumulative impact of the pollution added by proposed facilities in the permitting process. See Los Jardines Institute’s website for an excellent summary of the rulemaking.

A hearing on this rule will begin the week of October 23.
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