Power question isn’t source; it’s how much for what price

As New Mexico moves forward to comply with an Environmental Protection Agency mandate to clean up the air in the Four Corners, and as a proposed EPA rule on reducing carbon emissions moves through the bureaucratic system, state regulators, utility officials and intervenors alike need to remember the real bottom line:

The New Mexicans who depend on reliable power, who breathe the air and who pay the bills.

So trying to reopen a discussion on whether or not PNM should include nuclear in its replacement power portfolio as it shutters two coal-fired units at the San Juan Generating Station should be a non-starter. Nuclear done right is a reliable, safe and zero-emissions energy source. What should be up for discussion is how much of each energy source, and at what price.

The San Juan retrofit that will shutter two-coal-fired units is running ratepayers an estimated $77 million. That proposed EPA rule and its supporting documents cover more than 1,500 pages. It’s a complex process and a changing landscape — consider that in 2012 PNM criticized the EPA’s nine-figure retrofit plan as too expensive because it would have run ratepayers around an extra $85 a year. In 2016 PNM is proposing a replacement energy mix that will run them an extra $90 a year.

It shows the challenge in striking the right balance of affordability, reliability and environmental responsibility for New Mexicans, as well as the need to keep every energy source on the table including coal, natural gas, solar, wind and, significantly, nuclear.

The Public Regulation Commission will hear arguments on the replacement power issues in October. Some vocal critics believe PNM is not doing enough to move away from coal and who want nothing but the sun and the wind in the power portfolio — a completely unrealistic scenario. And there is the quiet majority who will be flipping the switches, breathing the air and paying the bills for years to come.

And the needs of those everyday consumers need to be considered in any potential power mix.