Public Service Co. of New Mexico will exit from its ownership stake in a doomed coal-fired plant seven years earlier that first planned.
PNM and Navajo Transitional Energy Co. agreed that the New Mexico utility could shed its stake in the Four Corners Power Plant by 2024. PNM has a minority ownership interest in Four Corners, which is planned to retire by 2022.
“Our accelerated exit means significant savings on PNM customer bills, and timely financial support for the Navajo Nation while it continues to navigate its transition to a renewable energy economy,” said Pat Vincent-Collawn, PNM Resources chairman, president and CEO. As we manage the challenges of today and focus on solutions for the clean energy future, we continue to do what’s right for our customers, communities and our tribal neighbors.”
The early exit could save PNM customers about $100 million and will provide close to $16 million in economic aid for the Navajo Nation.
PNM currently has a 13 percent ownership stake in the combined 1,540-MW Units 4 and 5 at the Four Corners Power Plant. These 200 megawatts comprise less than 10 percent of PNM’s total energy portfolio and reflect the last of PNM’s remaining coal-fired generation capacity.
The tribal Navajo Transitional Energy Co. acquired its stake in Four Corners recently.
The plant, which is near Fruitland, N.M., began generating power with Units 1 and 2 in 1963. Units 4 and 5 were commissioned in 1969 and 1970, respectively.
It is one of the top 60 generating stations in the U.S.
— — — — —