Recently, Public Service Company of New Mexico filed an application to charge higher electricity rates to its customers in order to recoup money spent on so-called “renewable” energy projects.
Not surprisingly, the very same environmental groups who convinced policymakers to impose the “Renewable Portfolio Standard” have challenged the rate increase on the grounds that the application “gives the false impression renewable energy is responsible for increased rates.” Of course, as the Rio Grande Foundation has pointed out, the RPS will cost New Mexico utility rate-payers $2.3 billion over the next 10 years if it is not altered.
The chart below illustrates how the cost differentials stack up:
