PNM announces new rate hike

Last week PNM scaled back its rate increase by almost half, from 21% to 10.8%.  The company also announced that they are no longer going to pursue the 8 cent per kilowatt hour "solar access fee" that they had originally asked for from the Public Regulation Commission.

The second part is particularly good news for people interested in solar, as the 8 cents per kilowatt-hour charge would have severely undercut the financial incentives for going solar. 

The rate increase will increase average electricity bills in northern and central New Mexico by about $41 annually starting May 15th and an additional $35 per year starting January 1st, 2012.  Of course people who have already bought solar systems and signed agreements with PNM will benefit from the additional avoided costs associated with this rate hike.

In an attempt to encourage green habits in their customers PNM has not raised their charge on the first 200 kWh a customer uses.  This helps customers who have small usages, or customers whose usage is mostly covered from going solar!