Texas regulators greenlight El Paso Electric plans to build natural gas generation replacement unit

With approval gained from the Public Utility Commission of Texas (PUCT), construction is slated to begin on El Paso Electric’s Newman Unit 6, a natural gas generation replacement unit meant to succeed three older natural gas units and provide balance against added renewable energy resources.

Construction should begin early in 2021, and the company is hopeful the facility will be online by May 2023. El Paso Electric likewise believes this move will help it to meet growing customer demand. Recovery of the replacement unit cannot move forward until Newman Unit 6 is brought online and gains regulatory approval.

“By replacing three aging units, El Paso Electric will use less natural gas, decrease water usage by 600 million gallons per year and improve system reliability,” Kelly Tomblin, El Paso Electric CEO, said. “Our economic development goals cannot be met without the infrastructure and technology to support it. With the construction of this new unit and the addition of 250 megawatts of solar and battery storage, we will demonstrate to the world that we are embarking on a true energy transformation. Our community deserves the same standard of energy that others enjoy throughout the country. It is our duty to provide it; we will not settle for less.”

The new unit will help support a company that services approximately 437,000 customers throughout the Rio Grande Valley, which runs through Texas and New Mexico.