PNM Resources, the parent company of PNM, and AVANGRID, Inc. have renewed their commitment to a merger by entering into an amendment to extend their merger agreement to April 20, 2023. Both companies have filed a Notice of Appeal with the New Mexico Supreme Court of the December 2021 New Mexico Public Regulation Commission (NMPRC) order rejecting a stipulated agreement reached with 13 parties in the NMPRC proceeding that considered the companies’ application for approval of the merger.
“We believe this merger is unquestionably in the best interests of the state. If we did not believe this was right for New Mexico, we wouldn’t keep pursuing it,” PNM’s Chairman, President and CEO Pat Vincent-Collawn said. “We are merging with a company that is making a commitment to New Mexico beyond just a financial transaction.”
PNM expressed that they understand the concerns of some stakeholders. The stipulated agreement also addressed these stakeholder issues by adding measures that protect New Mexicans from any increased risks.
The merger received approval in 2021 from five federal agencies and the Public Utility Commission of Texas, leaving only the NMPRC approval remaining. The NMPRC voted in December 2021 to reject a stipulated agreement. AVANGRID says expertise and financial backing would help accelerate PNM’s path to carbon-free and grid modernization.
“Our appeal to the New Mexico Supreme Court preserves and protects the benefits to customers and communities in our stipulated agreement, which are unprecedented,” said PNM President Pat Vincent-Collawn added. “We will continue to prioritize our customers, communities and employees and move forward, irrespective of the pending merger, to execute our business plans and invest in infrastructure and systems to meet customers’ needs and advance the transition to clean energy in New Mexico.”
Following the Notice of Appeal, the companies will have 30 days to file a Statement of Issues outlining the argument for appeal. There is no timeframe for the New Mexico Supreme Court to act on the appeal.