Dive Brief:
- Three staff members at the New Mexico Public Regulation Commission (PRC) previously worked for PNM and had continued financial ties to the utility, which opponents of a power replacement plan have called into question.
- The Santa Fe New Mexican reported that at least one staff member owned stock in PNM, but has since sold it, while two others received pensions form the utility.
- New Energy Economy, an advocacy group opposed to PNM's plan to continue coal burn at its San Juan generating facility, has asked regulators to take the connections into account as it decides the case.
Dive Insight:
Opponents of PNM's plan to shutter two of four coal units at its San Juan facility want regulators to consider what they say may be improper ties between the utility and regulatory staff apparently supporting the proposal. But at least two of the ties appear to comply with state law, and one is an older connection that seems to be accidental.
The Santa Fe New Mexican reported that the PRC's electrical engineering bureau chief was a previous PNM employee and owned 300 shares of stock in the utility when hearings on the power replacement plan began last month. The employee has since divested the stock, worth about $9,000, and said he has owned the shares since 1978.
Two other employees receive pensions from PNM, which is allowed under state law.
“The staff’s purpose is to balance the interest of the utility and the consumer,” New Energy Economy Executive Director Mariel Nanasi told the newspaper. “I just think anybody who has analyzed their actions will say they came in heavily on the utility side. That’s not supposed to happen.”
PNM remains confident that its plan is the most economical but a coalition supporting the proposal appeared to dissolve in recent weeks, worried about the mix of power and potential for rising costs. And most recently, a coalition of Arizona community groups and businesses began putting pressure on Tucson Electric Power to divest its interest in the San Juan Generating Station in New Mexico.