The bill amends the Efficient Use of Energy Act to allow the incorporation of the value of avoided greenhouse gas emissions into the utility cost test used by the Public Regulation Commission (PRC) for investor-owned electric utilities. Specifically, it modifies the definition of "utility cost test" to include this value, thereby enhancing the cost-effectiveness evaluation of energy efficiency and load management programs. Additionally, the bill updates the definitions of "advanced grid technology" and "grid-enhancing technology" to include new technologies that improve the efficiency, capacity, or reliability of electric transmission and distribution systems.

Furthermore, the bill mandates that the PRC consider public utility acquisition of cost-effective energy efficiency and load management resources as being in the public interest. It requires the commission to evaluate and approve energy efficiency programs based on their cost-effectiveness, which now includes the value of avoided greenhouse gas emissions. The commission is also tasked with identifying and removing regulatory disincentives for public utilities to invest in these programs, ensuring that utilities can earn a profit on cost-effective energy efficiency initiatives. Overall, the bill aims to promote energy efficiency and reduce greenhouse gas emissions in New Mexico's utility sector.

Statutes affected:
introduced version: 62-17-4, 62-17-5