EPA grants a 90-day stay for San Juan Generating Station

Albuquerque, N.M., July 3, 2012 — PNM Resources' New Mexico utility, PNM, was notified that the Environmental Protection Agency granted a 90-day stay in the effectiveness of the federal plan for San Juan Generating Station to meet visibility requirements of the Clean Air Act in New Mexico.

Two different plans were developed for New Mexico to meet regional haze requirements of the Clean Air Act: one by the state and the other by the EPA. Both plans meet the requirements of the Clean Air Act, but provisions of EPA's plan related to San Juan Generating Station are estimated to cost significantly more than the state's plan, with almost no discernible difference in visibility.

On Oct. 21, 2011, the New Mexico Environment Department and New Mexico Gov. Susana Martinez petitioned EPA to issue a stay of the implementation of the federal plan. On Sept. 16 and Oct. 21, 2011, PNM petitioned EPA to issue a stay of the rule. On April 26, 2012, Gov. Martinez sent a letter to EPA Administrator Lisa Jackson reiterating the state's request for a stay and encouraging consideration of alternative approaches.

At the same time, PNM has taken its case to federal court to appeal EPA's mandate. The Governor of New Mexico and the NMED are also in federal court appealing EPA's decision to adopt a federal plan. The court has not yet ruled on the matter.

PNM Resources is an energy holding company based in Albuquerque, N.M., with 2011 consolidated operating revenues of $1.3 billion, excluding First Choice Power. Through its regulated utilities, PNM and TNMP, PNM Resources has about 2,550 MW of generation capacity and serves electricity to more than 735,000 homes and businesses in New Mexico and Texas.

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