HEARING EXAMINER RECOMMENDS PNM'S SALE OF 50 MW SAN JUAN 4 TO ANAHEIM, CALIF.
ALBUQUERQUE, N.M., March 2 /PRNewswire/ -- Yesterday, the New Mexico Public Service Commission ("NMPSC") hearing examiner recommended that the NMPSC allow the regulatory decertification of 50 MW of San Juan Unit 4 PNM previously agreed to sell to Anaheim, California. The recommendation calls for full approval of the stipulated agreement reached between the company, the commission staff, and intervenors on Dec. 21, 1992. The stipulation requires PNM to flow back to its New Mexico jurisdictional customers $5 million of the estimated $10.5 million after-tax gain expected to be realized on the sale. The agreement also requires PNM to apply an $864 KW price cap to the next 50 MW of generating resources added prior to Dec. 31, 2005, and to seek NMPSC approval before purchasing power to meet future resource requirements. As a result of the sale, PNM expects to realize ongoing annual earnings benefits between $0.06 and $0.08 per share. Because of the reduction in excluded capacity, customers will receive benefits of approximately $8.4 million (net present value) through a greater allocation of off-system sales. PNM anticipates an NMPSC ruling on the hearing examiner's recommendation before the end of April 1993. -0- 3/2/93 /CONTACT: Michael Temple, 505-848-2210, Sam Brothwell, 505-848-2287, or Pam Lett, 505-848-4673, all of PNM/
CO: PNM ST: New Mexico IN: SU:
BP-JB -- DV004 -- 2051 03/02/93 14:52 EST
|Printer friendly Cite/link Email Feedback|
|Date:||Mar 2, 1993|
|Previous Article:||BIG PRINTING PRESS GETS ROLLING IN DETROIT|
|Next Article:||CENTURY COMMUNICATIONS CORP. SELECTS DIGITAL MUSIC EXPRESS(R) FOR EXCLUSIVE MULTIPLE SYSTEM OPERATOR DEAL|