Dive Brief:
- The Albuquerque City Council has voted to withdraw support for Public Service Co. of New Mexico's (PNM) plan to shutter half of the San Juan coal-fired facility, The Herald reports.
- In a 6-3 vote the he city councilors adopted a resolution citing improper economic analysis and concerns over fuel costs.
- Albuquerque joins the city of Santa Fe and a pair of environmental groups in opposing the plan.
Dive Insight:
Support continues to erode for PNM's plan to replace generation from the San Juan coal-fired facility in the northwestern part of the state. The Herald reports the Albuquerque City Council adopted a resolution urging the city to withdraw support for the plan, citing concerns over the economic analysis backing the arrangement and potential hikes in fuel costs.
PNM announced plans in 2013 to retire two units at the coal-fired San Juan power plant in northwestern New Mexico, and replace the units by adding a mixture of nuclear, gas and additional coal-fired generation.
"The costs and economics of certain elements of the agreement have changed to the detriment of the city's ratepayers," the resolution said, according to The Herald.
In January, the Renewable Energy Industries Association and New Mexico Independent Power Producers said they would not support the plan following an unexpected change in costs and a related power deal being canceled, opening up the possibility that more generation could be retired.
