The Microgrid Oversight Act establishes a regulatory framework for microgrids in New Mexico, requiring the Public Regulation Commission to create a renewable portfolio standard for these systems. The Act mandates that by July 1, 2027, the Commission must implement rules that ensure microgrids achieve incremental benchmarks for electricity generation from renewable and zero carbon resources, ultimately reaching 100% generation from zero carbon sources by 2045. Additionally, microgrid owners or operators are required to submit annual reports detailing their energy generation, compliance status, and water usage, among other metrics.

The Act also includes provisions that prohibit public utility rate increases to cover costs associated with microgrid infrastructure development. It clarifies the definitions of key terms such as "microgrid," "self-source generation resource," and "zero carbon resource." Furthermore, it allows microgrid operators to purchase energy from electric public utilities, provided that such purchases do not lead to increased rates for infrastructure development. The legislation aims to promote sustainable energy practices while ensuring that the costs of transitioning to microgrid systems do not burden consumers.

Statutes affected:
introduced version: 62-17-12