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New Mexico Other Filings - 2010 Energy Efficiency Incentive Filing (Case No. 10-00161-UT)

On June 2, 2010, Southwestern Public Service Company (“SPS”) filed, with the New Mexico Public Regulation Commission (“Commission”), a proposal and supporting testimony to increase its Energy Rider (“EER”) to incorporate the incentive (“Adder”) pursuant to NMSA 1978, Section 62-17-6(A) of the Efficient Use of Energy Act and the Commission’s Energy-Efficiency Rule (17.7.2 NMAC).

The Adder is calculated based on the lifetime energy savings projected for SPS’s energy efficiency programs in effect in 2010, consistent with the Commission’s Energy-Efficiency Rule. SPS estimates the Adder will increase the EER by $4,282,683 and proposes to collect this amount over a 12-month period. If necessary, SPS will adjust the Adder and file a request for revision of its EER, based on measured and verified 2010 savings.

Complete Filing (PDF)

New Mexico Other Filings - SPS Energy-Efficiency Discincentives and Incentives (Case No. 10-00197-UT)

SPS’s Proposal to Address Recovery of its New Mexico Energy-Efficiency Disincentives and Incentives (Case No. 10-00197-UT)

On July 1, 2010, Southwestern Public Service Company (“SPS”) filed, with the New Mexico Public Regulation Commission (“Commission”), an application for: (1) approval of SPS’s proposed lost revenue adjustment mechanism (“LRAM”) that will allow SPS to recover its regulatory disincentives attributable to SPS’s approved energy efficiency programs; (2) approval of SPS’s proposed incentive mechanism that will provide incentives for SPS to develop energy efficiency and load management programs (collectively, its demand side management (“DSM”) programs) and make DSM investments; (3) authorize SPS to recover the disincentives and incentives based on 2011 savings verified by the Independent Program Evaluator beginning June 1, 2012 through SPS’s approved energy efficiency rider (“EE Rider”); and (4) grant all other approvals, authorizations and actions that may be required under the EUEA, the Rule, and the New Mexico Public Utility Act (NMSA 1978, Sections 62 3-1 et seq., “PUA”) for SPS to recover its proposed disincentives and incentives attributable to its approved DSM programs.

In accordance with the amended EUEA and Rule 17.7.2.9(K), SPS proposes the LRAM to remove SPS’s regulatory disincentives by providing for the recovery of fixed cost revenues from lost sales (“lost margins”) due to the implementation of SPS’s cost effective energy efficiency programs. In addition, SPS proposes to implement an incentive mechanism that will promote the development of DSM programs in SPS’s energy resource selection process. SPS’s proposal to address regulatory disincentives and incentives, appropriately balances the interests of consumers, shareholders, and the public.

SPS proposes that both the LRAM and incentive mechanism will apply to annual savings to accrue beginning January 1, 2011, and each year thereafter. SPS’s proposed recovery of its incentives would be based on each calendar year’s verified savings and would extend until such time as the incentive mechanism is modified in a subsequent proceeding. The proposed rate changes will affect all retail customer classifications.

The Commission has assigned Case No. 10-00197-UT to this filing.

Complete Filing (PDF)
Key Dates in the Notice to Customers (PDF)

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