PNM - Performance-Based Solar PV Program (New Mexico)
This is the approved revision of this page, as well as being the most recent.
Last modified on February 12, 2015.
Financial Incentive Program
|Name||PNM - Performance-Based Solar PV Program|
|Incentive Type||Performance-Based Incentive|
|Applicable Sector||Commercial, Residential|
|Eligible Technologies||Solar Thermal Electric, Photovoltaics|
|Energy Category||Renewable Energy Incentive Programs|
|Amount|| These prices will step down over time as certain MW goals are met|
Prices below are current as of 08/30/2014; see program website for current prices
|Maximum Incentive||None specified|
|Terms|| Systems up to 10 kW: 8-year contract|
Systems greater than 10 kW up to 1 MW: all contracts terminate on 12/31/2020
|Date added to DSIRE||2006-01-17|
|Last DSIRE Review||2014-09-09|
|References||DSIREDatabase of State Incentives for Renewables and Efficiency|
In March 2006, PNM initiated a renewable energy credit (REC) purchase program as part of its plan to comply with New Mexico's renewable portfolio standard (RPS). PNM will purchase RECs from customers who install photovoltaic (PV) and solar thermal electric systems up to 1 megawatt (MW). PNM will then be able to apply these RECs towards their obligations under the state's RPS, which requires 4% of the total generation capacity to come from solar electricity and 0.6% from distributed generation by 2020.
REC payments are based on the system's total output. PNM will purchase RECs from each participant as part of the regular monthly billing process. Participants will receive a monthly bill documenting the number of kilowatt-hours (kWh) produced by the PV system, the number of RECs purchased by PNM, the purchase price per REC and the total price of RECs purchased that billing period. REC purchase payments will be applied as a credit to the participant's electric bill on a monthly basis. REC prices will decline over time as certain MW targets are met. The prices included here are current as of August 30, 2014.
Systems up to 10 kW
PNM will purchase RECs generated by small PV systems at a rate of $0.035 per kWh for 8 years of the system's operation. If the amount paid for the RECs is greater than the total of the customer's monthly electric service plus kWh charges, the balance of the REC payment will be carried forward as a credit for the following month's bill if $20 or less. If the REC payment balance is greater than $20 after credits to the customer's electric bill have been made, the entire REC payment balance will be paid directly to the customer.
Systems greater than 10 kW up to 1 MW
PNM will purchase RECs associated with the electricity generated by large PV systems and used on-site. All contracts terminate on 12/31/2020. The incentive rate paid depends on the size of the system:
- Systems larger than10 kW up to 100 kW: $0.045 per kWh
- Systems larger than 100 kW up to 1 MW: $0.02 per kWh
These incentive levels will each step down independently over time as certain MW goals are reached. If the amount paid for the RECs is greater than the total of the customer's monthly electric service plus kWh charges, the balance of the REC payment will be carried forward as a credit for the following month's bill if $200 or less. If the REC payment balance is greater than $200 after credits to the customer's electric bill have been made, the entire REC payment balance will be paid directly to the customer. PNM is granted at no cost any RECs associated with net excess generation.
|Contact Name||PV Incentive Program|
|Division||Customer Generation Programs|
|Address 2||MS 0510|
|Place||Albuquerque, New Mexico|
- Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.