El Paso Electric seeks sources for short and long-term generation in New Mexico by 2025
In order to address increased demand and meet requirements under the New Mexico Renewable Energy Act, El Paso Electric (EPE) issued an all source request for proposals of short- and long-term generating resources and renewable energy in the state by 2025.
In 2025, New Mexico’s increased Renewable Portfolio Standard goes into effect, and El Paso Electric will have to meet 40 percent of its jurisdictional sales with renewable energy sources from then onward. According to initial resource planning studies, EPE concluded that it would need approximately 40 MW next year to meet capacity in New Mexico, with an increase to between 90 and 110 MW by 2025.
“Unlike many other electric utilities around the country who have leveled out when it comes to their customer base, we continue to experience a 2 percent customer base growth rate year-over-year, which inevitably leads to an increase in energy usage and customer demand,” El Paso Electric President and CEO Kelly Tomblin said. “It is our commitment to continue to meet this growing demand cost-effectively and with the service and reliability that our customers and community have come to expect and deserve.”
New resources will also be needed to offset planned retirements of aging and less-efficient generating units. Primarily, though, EPE is working to address the long-term resource demands of the RPS, which will require the generation of approximately 175,000 MW hours per year from additional renewable energy by December 2024.
All bids to fill these needs must be in by the end of August 2021.
