2023 Rate Adjustment Request
On December 13, 2021, New Mexico Gas submitted a request to the New Mexico Public Regulation Commission for a rate increase in 2023 to pay for increasing operating costs, as well as investments in our system and our people. Our focus is to make sure our customers have safe, uninterrupted access to natural gas for their homes and businesses.
If approved by the New Mexico Public Regulation Commission, the bill for an average residential customer (using 53 therms of gas a month) would increase $5.63 a month to about $68 a month. That represents a 9.1% increase. The actual change would depend on each customer’s specific circumstances and usage. If approved, the proposed rates will take effect in January 2023.
The request is to recover costs for things we have already done, or things are planning to do by the end of 2023. These include:
- Conducting a pipeline integrity program, including requirements by government agencies and regulators, as well as other system investments to enhance reliability across the state
- Upgrading our technological capabilities to better serve customers
- Reducing NMGC’s greenhouse gas emissions, including part of the cost of a pilot project where hydrogen will be blended with natural gas
About half of the requested increase is to pay for higher costs to operate our business -- everything from inflation and labor costs to insurance, taxes and medical expenses.
The request represents an increase of about $40.7 million in cost-of-service revenues, compared to the Company’s current forecast for 2023.
We do understand that any increase in rates is challenging. We will continue to work with customers who need help on payment options and to provide them with access to assistance programs. As always, customers seeking assistance can call us weekdays from 7:30 a.m. to 6 p.m. at 1-888-664-2726, visit one of our many walk-in payment centers or visit our assistance page on our website.
If you have questions, please contact us.