UTILITIES IN REGIONAL TRANSMISSION ORGS.

SM026

SENATE MEMORIAL 26

57
th legislature
- STATE OF NEW MEXICO -
second session
, 2026

INTRODUCED BY

Peter Wirth and Pat Woods

A MEMORIAL

REQUESTING THAT THE NEW MEXICO SENATE SUPPORT NEW MEXICO
UTILITIES PARTICIPATING IN REGIONAL TRANSMISSION ORGANIZATIONS
AS A MATTER OF LOCAL AND STATEWIDE CONCERN TO ADVANCE REGIONAL
COORDINATION, IMPROVE RELIABILITY AND AFFORDABILITY OF
ELECTRICITY SERVICE, PROVIDE THE STATE'S RESIDENTS WITH
DEPENDABLE ACCESS TO POWER AND SUPPORT THE STATE'S ENERGY
TRANSITION.

WHEREAS, New Mexico's energy transition and long-term
economic growth depend on a reliable, affordable and
efficiently coordinated regional electric grid that ensures all
New Mexico residents have access to dependable power; and

WHEREAS, participation in regional energy markets has been
shown to lower electricity costs for consumers by enabling
utilities to share generation resources, optimize energy
dispatch across multiple states and reduce the need for costly,
redundant generation and reserves, thereby delivering economic
benefits directly to utility customers; and

WHEREAS, full regional integration through participation
in organized wholesale markets, such as regional transmission
organizations, independent system operators or voluntary energy
markets, offer substantial benefits by reducing system costs,
promoting competition and providing transparent price signals
that encourage efficient investment and protect ratepayers
while also supporting the long-term sustainability of the
electric grid; and

WHEREAS, regional coordination among utilities within
organized wholesale markets plays a critical role in advancing
renewable energy integration by allowing wind, solar,
hydroelectric and other clean resources to flow freely across
state lines, minimizing energy curtailment, reducing carbon
emissions and ensuring that New Mexico can meet its statutory
decarbonization and renewable energy portfolio goals; and

WHEREAS, market coordination further advances New Mexico's
energy transition roadmap goals by strengthening grid
reliability and resilience through coordinating operations
among utilities, providing real-time situational energy supply
and demand and enabling mutual support among utilities during
extreme weather events, emergencies or supply disruptions; and

WHEREAS, participation in regional market structures
supports transparent and competitive electricity pricing, which
fosters innovation, increases accountability and promotes
fairness in the wholesale energy market, ultimately benefiting
consumers through lower costs and improved service quality; and

WHEREAS, a regional transmission organization, independent
system operator or voluntary energy market helps to coordinate
transmission planning, allowing for strategic infrastructure
investment, cost sharing and efficient development of
transmission projects needed to deliver renewable energy from
rural areas to population centers, further enhancing both
reliability and access; and

WHEREAS, New Mexico has a strong interest in maintaining a
leadership role in shaping the evolution of regional energy
markets in the western United States to ensure that market
rules reflect the state's values of sustainability, equity and
affordability while providing utility service that serve
communities; and

WHEREAS, allowing New Mexico's transmission utilities to
participate in voluntary energy markets provides an important
transitional step toward eventual full market integration,
giving utilities and regulators the opportunity to gain
operational experience, build trust in regional collaboration
and provide New Mexico residents with more reliable and
cost-effective electricity; and

WHEREAS, such participation does not preclude future
participation in an organized wholesale market and is intended
as an interim mechanism to advance regional coordination while
protecting the public interest and ensuring continued progress
toward statewide energy goals; and

WHEREAS, ensuring participation in voluntary energy
markets, subject to public regulation commission oversight,
helps verify that it provides net benefits to New Mexico's
ratepayers, supports the state's energy and reliability goals
and does not impede progress toward full market integration
while maintaining transparency and accountability;

NOW, THEREFORE, BE IT RESOLVED BY THE SENATE OF THE STATE
OF NEW MEXICO that the New Mexico senate support New Mexico
utilities participating in voluntary energy markets as a matter
of both local and statewide concern to advance regional
coordination, improve reliability and affordability of
electricity service, provide New Mexico residents with
dependable access to power, support the state's energy
transition and strengthen oversight by the public regulation
commission; and

BE IT FURTHER RESOLVED that copies of this memorial be
transmitted to the governor, the public regulation commission
and the energy, minerals and natural resources department.

- 4 -