FARMINGTON, N.M. (AP) - Residents in northwestern New Mexico will have an opportunity to weigh in on the future of a coal-fired power plant slated for closure in 2022.
The Farmington Daily Times reports that Public Regulation Commission Chairwoman Theresa Becenti-Aguilar has scheduled a hearing Monday in Farmington to gather public comment. People can also submit written comments to the regulatory panel.
The commission is considering Public Service Co. of New Mexico’s application to shutter the plant and replace the lost capacity with a mix of natural gas, solar, wind and battery storage.
At issue is whether the state’s new energy transition law applies to the case and if the owners of the plant can recover their investments by selling bonds that would later be paid off by utility customers. The plan also includes $40 million in aid to the workforce attached to the plant and local economy.
Gov. Michelle Lujan Grisham’s administration and other leading Democratic lawmakers have claimed the utility commission has overstepped its authority regarding the cost of the shutdown and decommissioning.
Advocates for customers say the plan to issue bonds is skewed to the advantage of utility stockholders and that regulators should balance the costs of the closure. Supporters of the energy act - including a long list of environmental groups - argue that Public Service Co. of New Mexico and other owners of the plant are forgoing future profits.
The state Supreme Court has twice declined requests that it intervene in the disagreement over constitutional authority. In early December, the court received a new petition from Lujan Grisham, Navajo Nation President Jonathan Nez and legislative sponsors who accuse utility regulators of perpetuating “a regulatory atmosphere of uncertainty and risk.”
The Public Regulation Commission began a series of hearings on the case in December in Santa Fe, during which dozens of miners, environmentalists and utility customers were among those to speak out. It’s expected to take months for the commission to issue a decision.
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