NEW MEXICO (KRQE) – PNM has asked the New Mexico Public Regulation Commission for a 9.7% base rate increase. PNM says they need the hike to pay for improvements like the recently announced $344 million grid modernization plan.

They claim the actual impact on a customer’s bill will be closer to .9% increase. “This rate change request reflects hundreds of millions of dollars of investment in the electric grid, our communities and our environment since our last rate change request, ensuring reliability and resilience for the future,” said Pat Vincent-Collawn, PNM’s CEO, in a news release. “At the same time our departure from coal and transition to renewable energy is allowing us to keep our requested increase to a minimum and our rates for residential customers low in comparison to others in the region and nation.”

PNM says on average, each customer’s bill will go up .75 cents a month. This is PNM’s first rate hike since 2016. If the PRC approves, the rate hike will go into effect in 2024.