El Paso Electric (EPE) has issued an sll Source request for proposal (RFP) to obtain renewable energy for its New Mexico customers by 2025.
The objective of the RFP is to obtain clean power to meet New Mexico’s increasing Renewable Portfolio Standard (RPS) and capacity required to meet projected energy demand in the US state.
The RPS requires EPE to meet 40% of its New Mexico jurisdictional sales with renewable energy resources beginning in 2025.
EPE’s initial resource planning studies project a New Mexico capacity need of approximately 40MW in 2022 growing to 90MW in 2024, with 90 to 110MW of capacity needed to meet our New Mexico customers’ long-term energy demand in 2025.
President and chief executive Kelly A Tomblin said: “Unlike many other electric utilities around the country who have leveled out when it comes to their customer base, we continue to experience a two percent customer base growth rate year-over-year, which inevitably leads to an increase in energy usage and customer demand.
“It is our commitment to continue to meet this growing demand cost effectively and with the service and reliability that our customers and community have come to expect and deserve.”
New generation is also necessary to offset EPE’s planned retirements of older, less-efficient generating units.
EPE will also need a long-term resource that will generate approximately 175,000 megawatt-hours a year of additional renewable energy by December 2024.
Tomblin added: “The environment has been and will continue to be one of our greatest stakeholders as we continue to develop, modify and innovate how we reliably provide energy in compliance with the New Mexico Renewable Energy Act.
“That is why we are looking forward to integrating greater amounts of renewable energy.”
Prospective bidders for EPE’s All Source RFP have until 31 August to submit an intent to bid.