PNM finalizes Western Spirit transmission line purchase
Public Service Company of New Mexico (PNM) officials said the energy firm has finalized its purchase of the Western Spirit transmission line.
The transaction would support development of new wind resources in eastern New Mexico and represents a $285 million net investment.
“This project demonstrates one way New Mexico’s renewable potential can be used to advance the state’s economy, and it also highlights the critical need for transmission investment to achieve the clean energy future,” Pat Vincent-Collawn, PNM Resources’ chairman, president and CEO, said. “We support NM RETA’s goal to encourage renewable investment in the state and look forward to additional future opportunities.”
In May 2019 PNM declared it had entered an agreement with affiliates of Pattern Energy Group 2 LP and the New Mexico Renewable Energy Transmission Authority (NM RETA) to acquire Western Spirit — with NM RETA and Pattern partnering to develop and construct the Western Spirit transmission project.
PNM said the additional capacity strengthens the current PNM transmission system while providing upgrades to accommodate 800 megawatts of new wind energy.
Per the agreement, Pattern affiliates are slated to totally fund the investment via an incremental PNM wholesale transmission customer rate approved by the Federal Energy Regulatory Commission (FERC) with no impact to present PNM customers existing retail and wholesale rates.
