Approval of Unopposed Stipulation in PNM 2028 Resource Application

Rhea-AI Summary

TXNM Energy (NYSE: TXNM) announced that the New Mexico Public Regulation Commission (NMPRC) has approved an unopposed stipulation for its subsidiary PNM's 2028 Resource Application. The approval encompasses significant renewable energy expansion plans, including 450 megawatts (MW) of new solar and battery storage capacity to be implemented by 2028.

The approved resources include:

• Extension of Valencia Purchase Power Agreement for 167 MW through 2039
• Addition of 300 MW capacity through two 150 MW battery storage facilities
• A new 150 MW solar and battery storage facility (100 MW solar, 50 MW battery) with a $252 million capital investment from 2026-2028

The initiative aligns with New Mexico's Energy Transition Act's zero-carbon requirements and received support from multiple stakeholders, including the NMPRC Utility Division Staff and various energy advocacy groups.

Positive

• None.

Negative

• Significant capital expenditure of $252 million required through 2028

News Market Reaction

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+0.11% News Effect

On the day this news was published, TXNM gained 0.11%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

ALBUQUERQUE, N.M., June 30, 2025 /PRNewswire/ -- In its open meeting held June 26, 2025, the New Mexico Public Regulation Commission (NMPRC) approved the unopposed stipulation filed in PNM's 2028 Resource Application. PNM is a wholly owned subsidiary of TXNM Energy (NYSE: TXNM).

The approved resources add 450 megawatts (MW) of new solar and battery storage capacity in 2028 to serve customers and continue progress towards the zero-carbon requirements of New Mexico's Energy Transition Act, including:

• extension of a Valencia Purchase Power Agreement (PPA) for 167 MW through 2039 (current agreement expires in 2028),
• addition of 300 MW capacity through Energy Storage Agreements (ESAs) for two, 150 MW battery stand-alone storage facilities, and
• addition of a 150 MW solar and battery storage facility (100 MW solar, 50 MW battery storage) to be located in the Central Consolidated School District and owned and operated by PNM with a capital investment of $252 million in 2026 through 2028.

Parties to the stipulation included Utility Division Staff of the New Mexico Public Regulation Commission, Coalition for Clean Affordable Energy, New Energy Economy, New Mexico Affordable Reliable Energy Alliance, Western Resource Advocates and Prosperity Works. Central Consolidated School District supports the stipulation.

The NMPRC order and other filings related to the application are available at https://www.txnmenergy.com/investors/rates-and-filings/pnm-nmprc-filings.aspx.

Background:
TXNM Energy (NYSE: TXNM), an energy holding company based in Albuquerque, New Mexico, delivers energy to more than 800,000 homes and businesses across Texas and New Mexico through its regulated utilities, TNMP and PNM. For more information, visit the company's website at www.TXNMEnergy.com.

Contacts:
Analysts	Media
Lisa Goodman	Corporate Communications
(505) 241-2160	(505) 241-2743

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Statements made in this news release for TXNM Energy, Inc. ("TXNM"), Public Service Company of New Mexico ("PNM"), or Texas-New Mexico Power Company ("TNMP") (collectively, the "Company") that relate to future events or expectations, projections, estimates, intentions, goals, targets, and strategies, including the unaudited financial results and earnings guidance, are made pursuant to the Private Securities Litigation Reform Act of 1995. Readers are cautioned that all forward-looking statements are based upon current expectations and estimates and apply only as of the date of this report. TXNM, PNM, and TNMP assume no obligation to update this information. Because actual results may differ materially from those expressed or implied by these forward-looking statements, TXNM, PNM, and TNMP caution readers not to place undue reliance on these statements. TXNM's, PNM's, and TNMP's business, financial condition, cash flow, and operating results are influenced by many factors, which are often beyond their control, that can cause actual results to differ from those expressed or implied by the forward-looking statements. For a discussion of risk factors and other important factors affecting forward-looking statements, please see the Company's Form 10-K, Form 10-Q filings and the information included in the Company's Forms 8-K with the Securities and Exchange Commission, which factors are specifically incorporated by reference herein.

 

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SOURCE TXNM Energy, Inc.

FAQ

What renewable energy capacity did TXNM's PNM subsidiary get approved by NMPRC?

The NMPRC approved 450 MW of new solar and battery storage capacity, including 300 MW of battery storage facilities and a 150 MW combined solar and battery facility.

How much is TXNM investing in the new solar and battery storage facility?

TXNM will invest $252 million between 2026 and 2028 for the 150 MW solar and battery storage facility.

When will TXNM's new renewable energy resources be operational?

The approved resources are scheduled to be implemented by 2028 to serve customers and meet zero-carbon requirements.

What is the duration of the extended Valencia Purchase Power Agreement for TXNM?

The Valencia PPA has been extended through 2039, adding 167 MW of capacity (current agreement expires in 2028).

How many customers does TXNM Energy serve across Texas and New Mexico?

TXNM Energy delivers energy to more than 800,000 homes and businesses across Texas and New Mexico through its regulated utilities, TNMP and PNM.