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NM-RPS-2020-Proposed-Notice
EXHIBIT A

BEFORE THE NEW MEXICO PUBLIC REGULATION COMMISSION

IN THE MATTER OF

)

SOUTHWESTERN PUBLIC SERVICE )

COMPANY'S ANNUAL 2021

)

RENEWABLE ENERGY PORTFOLIO )

PROCUREMENT PLAN AND

)

REQUESTED APPROVALS THEREIN; )

PROPOSED 2021 RENEWABLE

)

PORTFOLIO STANDARD COST AND ) CASE NO. 20-00___-UT

RECONCILIATION RIDERS;

)

APPLICATION FOR AN RPS

)

INCENTTIVE; AND OTHER

)

ASSOCIATED RELIEF,

)

)

)

SOUTHWESTERN PUBLIC SERVICE )

COMPANY,

)

)

APPLICANT.

PROPOSED NOTICE TO CUSTOMERS NOTICE IS HEREBY GIVEN that:
1. Southwestern Public Service Company ("SPS") filed its Application with the New Mexico Public Regulation Commission ("Commission" or "NMPRC") on July 1, 2020, requesting the Commission enter a final order that:
(a) acknowledges SPS's concurrent filing of its 2019 Annual Renewable Energy Portfolio Report ("2019 RPS Report") required under 17.9.572.19 NMAC;

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(b) approves SPS's 2021 Annual Renewable Energy Act Plan ("2021 RPS Plan")1 for the 2021 Plan Year ("Plan Year") and 2022 Next Plan Year2 ("Next Plan Year") under Rule 572.14,the REA, and prior Commission Orders related to SPS's Plan Year and Next Plan Year RPS requirements;
(c) approves SPS's proposed rate for its 2021 RPS Rider,3 which includes, without limitation, recovery of its RPS-related costs over a 12-month period beginning January 1, 2021;
(d) approves SPS's proposed rate for its 2021 RPS Reconciliation Rider to appropriately credit customers in 2021 for the true-up of amounts associated with periods prior to the effective date of the Energy Transition Act, Senate Bill 489 ("ETA"), when the large customer cap was in effect. Those true-up amounts are comprised of reconciliation of the 2019 RPS Rider and associated interest;
(e) approves SPS's proposal to exercise its Renewable Energy Certificates ("REC") purchase options for the New Mexico retail allocation, for RPS compliance purposes, in five renewable energy Purchased Power Agreements ("PPAs") with NextEra Energy: (i) Bonita Wind Energy, LLC ("Bonita"); (ii) Roswell Solar, LLC ("Roswell");
1 The 2021 RPS Plan is provided in the Direct Testimony of SPS Witness Ruth M. Sakya as Attachment RMS-3.
2 In accordance with 17.9.572.14 NMAC, SPS is submitting its 2022 Next Plan Year for informational purposes only.
3 See In the Matter of Southwestern Public Service Company's Application for Revision of its Retail Rates under Advice Notice No. 245, Case No. 12-00350-UT, Final Order Partially Adopting Recommended Decision (Mar. 26, 2014).
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(iii) Chaves County Solar, LLC ("Chaves"); (iv) Mammoth Plains Wind Project Holdings, LLC ("Mammoth"); and (v) Palo Duro Wind Energy, LLC ("Palo Duro");
(f) approves SPS's proposal to assign the unassigned portion (approximately 80 megawatt) of the Roswell and Chaves PPAs to its New Mexico retail customers and to exercise the associated REC purchase options for meeting the RPS requirements;
(g) approves SPS's application for an incentive related to exceeding the RPS requirements;
(h) approves SPS's proposal to update the SunE PPA imputed REC prices; (i) approves SPS's 2021 Solar*Connect Community Rate Rider and Solar*Connect credit, consistent with the final order in Case No. 18-00308-UT; (j) grants SPS's variance requests to those subsections of Rule 572 that are now inconsistent with the amended REA; (k) grants SPS's permanent variance requests from certain provisions of prior Commission Orders that are now inconsistent with the amended REA; and (l) grants all other approvals, authorizations, and relief that may be required for SPS to implement its 2021 RPS Plan. 2. SPS proposes to collect an estimated $17.3 million in RPS procurement costs over a 12-month period, beginning January 1, 2021 through its RPS Rider approved in Case No. 12-00350-UT. SPS will apply the 2021 RPS Rider using a kilowatt-hour ("kWh") based rate calculated at $0.002217 per kWh that will apply to all of SPS's New Mexico retail rate classes, other than energy purchased under its Solar*Connect rider.
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3. SPS proposes to return an estimated $3.4 million for true-up of amounts associated with periods prior to the effective date of the ETA, when the large customer cap was in effect over a 12-month period, beginning January 1, 2021, through its RPS Reconciliation Rider approved in Case No. 19-00134-UT. These true-up amounts are comprised of reconciliation of the 2019 RPS Rider and associated interest. The 2021 rate for the RPS Reconciliation Rider is a credit of $0.000801 per kWh. The credit is based upon the net true-up of amounts associated with prior periods divided by projected kWh sales to customers other than Large Customers, from January 1, 2021 through December 31, 2021.
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4. The following tables compare the present bills and anticipated bills, including the proposed 2021 RPS rider, under each affected customer class and for the indicated levels of consumption:

Residential Service
Consumption Level 0 kWh
250 kWh 500 kWh 750 kWh 1,000 kWh 2,000 kWh

Annualized Monthly Bill

Bills Including
2020 RPS Rider

Bills Including Proposed 2021 RPS Rider and Reconciliation
Rider

Present

2021

$9.90

$9.90

$32.76

$33.08

$55.62

$56.26

$78.49

$79.45

$101.35

$102.63

$192.80

$195.36

Bill Change

Proposed $ Change
2021 $0
$0.32 $0.64 $0.96 $1.28 $2.56

Proposed % Change
2021 0.00% 0.98% 1.15% 1.22% 1.26% 1.33%

Residential Heating Service
Consumption Level 0 kWh
250 kWh 500 kWh 750 kWh 1,000 kWh 2,000 kWh

Annualized Monthly Bill

Bills

Including

Bills

Proposed 2021

Including

RPS Rider and

2020

Reconciliation

RPS Rider

Rider

Present

2021

$9.90

$9.90

$29.92

$30.24

$49.94

$50.58

$69.97

$70.93

$89.99

$91.27

$170.08

$172.64

Bill Change

Proposed $ Change
2021 $0
$0.32 $0.64 $0.96 $1.28 $2.56

Proposed % Change
2021 0.00% 1.07% 1.28% 1.37% 1.42% 1.51%

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Small General Service
Consumption Level 0 kWh
250 kWh 500 kWh 750 kWh 1,000 kWh 2,000 kWh

Annualized Monthly Bill

Bills

Including

Bills

Proposed 2021

Including

RPS Rider and

2020

Reconciliation

RPS Rider

Rider

Present

2020

$15.78

$15.78

$34.42

$34.74

$53.06

$53.70

$71.70

$72.66

$90.34

$91.62

$164.91

$167.47

Bill Change

Proposed $ Change
2020 $0
$0.32 $0.64 $0.96 $1.28 $2.56

Proposed % Change
2020 0.00% 0.93% 1.21% 1.34% 1.42% 1.55%

Secondary General Service
Consumption Level 1,500 kWh and 12 kW 7,500 kWh and 35 kW 15,000 kWh and 35 kW 30,000 kWh and 100 kW

Annualized Monthly Bill

Bills

Bills Including
2020 RPS Rider

Including Proposed 2021 RPS Rider and Reconciliation
Rider

Present

2021

$281.82

$283.74

$839.33

$848.93

$1,026.10

$1,045.30

$2,552.93

$2,591.32

Bill Change

Proposed $ Change
2021 $1.92 $9.60 $19.20 $38.39

Proposed % Change
2021 0.68% 1.14% 1.87% 1.50%

Irrigation Service
Consumption Level 1,500 kWh and 12 kW 7,500 kWh and 35 kW 15,000 kWh and 35 kW 30,000 kWh and 100 kW

Annualized Monthly Bill

Bills Including
2020 RPS Rider

Bills Including Proposed 2021 RPS Rider and Reconciliation
Rider

Present

2021

$152.68

$153.91

$623.84

$633.44

$1,158.03

$1,170.26

$2,350.20

$2,374.65

Bill Change

Proposed $ Change
2021 $1.23 $9.60 $12.23 $24.45

Proposed % Change
2021 0.81% 1.54% 1.06% 1.04%

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Primary General Service
Consumption Level 1,500 kWh and 12 kW 7,500 kWh and 35 kW 15,000 kWh and 35 kW 30,000 kWh and 100 kW

Annualized Monthly Bill

Bills

Including

Bills

Proposed 2021

Including

RPS Rider and

2020

Reconciliation

RPS Rider

Rider

Present

2021

$271.79

$273.71

$784.66

$794.26

$935.60

$954.80

$2,345.65

$2,384.04

Bill Change

Proposed $ Change
2021 $1.92 $9.60
$19.20 $38.39

Proposed % Change
2021 0.71% 1.22% 2.05% 1.64%

Large General Service Transmission (69 kV)

Annualized Monthly Bill

Bills

Including

Bills Including
2020 RPS Rider

Proposed 2021 RPS Rider and Reconciliation
Rider

Consumption Level

Present

2021

500,000 kWh and 800 kW

$19,919.93

$20,559.78

1,000,000 kWh and 1,500 kW

$38,102.06

$39,641.06

4,000,000 kWh and 6,100 kW

$150,119.11

$156,320.01

8,000,000 kWh and 12,200 kW

$296,287.81

$308,336.80

Bill Change

Proposed $ Change
2021 $639.85
$1,539.00 $6,200.90 $12,048.99

Proposed % Change
2021 3.21% 4.04% 4.13% 4.07%

Large General Service Transmission (115+ kV)

Annualized Monthly Bill

Bills

Including

Bills Including
2020 RPS Rider

Proposed 2021 RPS Rider and Reconciliation
Rider

Consumption Level

Present

2021

500,000 kWh and 800 kW

$19,839.68

$20,479.52

1,000,000 kWh and 1,500 kW

$39,128.96

$40,647.83

4,000,000 kWh and 6,300 kW

$151,854.56

$158,021.44

8,000,000 kWh and 13,000 kW

$304,237.02

$316,130.13

Bill Change

Proposed $ Change
2021 $639.84
$1,518.87 $6,166.88 $11,893.11

Proposed % Change
2021 3.23% 3.88% 4.06% 3.91%

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Large Municipal and School Service

Annualized Monthly Bill

Bills Including

Bills

Proposed 2021

Including

RPS Rider and

2020

Reconciliation

RPS Rider

Rider

Consumption Level

Present

2021

10,000 kWh and 30 kW

$669.93

$682.72

20,000 kWh and 45 kW

$1,110.17

$1,135.76

30,000 kWh and 75 kW

$1,741.95

$1,780.34

Bill Change

Proposed $ Change
2021 $12.79 $25.59 $38.39

Proposed % Change
2021 1.91% 2.31% 2.20%

Small Municipal and School Service

Annualized Monthly Bill

Bills

Including

Bills Including
2020 RPS Rider

Proposed 2021 RPS Rider and Reconciliation
Rider

Consumption Level

Present

2021

500 kWh

$47.93

$48.57

1,000 kWh

$80.29

$81.57

2,000 kWh

$145.00

$147.56

Bill Change

Proposed $ Change
2021 $0.64 $1.28 $2.56

Proposed % Change
2021 1.34% 1.59% 1.77%

5. SPS's proposed rate changes are for informational purposes only and the
final 2021 RPS Rider and Reconciliation Rider rates may vary.
6. By order issued in this case on ___________________, 2020, the Hearing
Examiner has established the following procedural schedule and requirements for this
case:
A. Any person desiring to intervene to become a party ("intervenor") in this case must file a motion for leave to intervene in conformity with NMPRC Rules of Procedure 1.2.2.23(A) and 1.2.2.23(B) NMAC on or before ___________, 20__.
B. A settlement meeting between and among the parties to this case shall be held on _________, 20__ at a location to be determined.

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C. Staff shall, and any intervenor may, file direct testimony on or before _______________, 20__; alternatively, a stipulation may be filed on or before _______________, 20__.
D. If a stipulation is filed as provided above, direct testimony in support of it shall be filed no later than ________________, 2020. Alternatively, if a stipulation is not filed, any rebuttal testimony shall be filed by _______________, 2020.
E. A public hearing will be held beginning at ___ __m. on ________________, 2020, and continuing as necessary at the Commission's offices in the P.E.R.A. Building, 1120 Paseo de Peralta, Santa Fe, New Mexico, for purposes of hearing and receiving testimony, exhibits, arguments, and any other appropriate matters relevant to the Application.
7. SPS's Application, 2019 RPS Report and 2021 RPS Plan, together with
supporting pre-filed direct testimony and any exhibits and related papers, may be
examined by any interested person online at the SPS website
http://www.xcelenergy.com/regulatory, or the Commission's website Case Lookup
E-Docket http:/www.nmprc.stat.nm.us/, or in person at the offices of SPS or the
Commission at the following addresses once such buildings are re-opened following the
Public Health Emergency declared as a result of the Covid-19 virus. All inquiries or
written comments should refer to Case No. 20-00___-UT.
Mike McLeod Southwestern Public Service Company 111 East Fifth Street Post Office Box 1937 Roswell, New Mexico 88201 577-625-5499 or 1-800-895-4999
Linda Hudgins, Regulatory Case Specialist II Southwestern Public Service Company 790 S. Buchanan
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Amarillo, Texas 79101 Records Management Bureau New Mexico Public Regulation Commission PERA Building  1120 Paseo de Peralta Santa Fe, New Mexico 87501 505-827-6956 8. Any interested person should contact the Commission at 505-827-6956 for confirmation of the hearing date, time, and place since hearings are occasionally rescheduled. 9. Any interested person may appear at the time and place of the hearing and make written or oral comment pursuant to 1.2.2.23.F NMAC without becoming an Intervenor. Interested persons may also send written comments to the Commission at the address set out above. All such comments will not be considered as evidence in this case. 10. Anyone filing pleadings or testimony will serve copies thereof on all parties of record and the Utility Division Staff by first class mail or hand-delivery and by e-mail as provided by the Procedural Order. Any person whose testimony has been prefiled will attend the hearing and submit to examination under oath. 11. All documents mailed to the Commission and its personnel shall be mailed to: P.O. Box 1269, Santa Fe, New Mexico, 87504. The physical address of the Commission shall be used only for special or hand deliveries. Copies of all filings shall be served on all parties of record and Staff as specified in the most recent Certificate of Service issued in this case. Copies of all filings shall also be e-mailed on the date of filing to the Hearing Examiner at ________________ by no later than 5:00 p.m. MST.
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12. The Commission's Rules of Procedure found at 1.2.2 NMAC will apply to this case unless modified by order of the Commission or Hearing Examiner. A copy of such Rules may be obtained from the offices of the Commission and are available online at the official NMAC website http://www.nmprc.state.nm.us/nm.
13. Any person with a disability requiring special assistance in order to participate in this case should contact the Commission at 505-827-6956 at least 24 hours prior to the commencement of the hearing.
14. The procedural dates and requirements provided herein are subject to further order of the Commission or hearing examiner.
ISSUED at Santa Fe, New Mexico, this ______day of ____ 2020. NEW MEXICO PUBLIC REGULATION COMMISSION ___________________________________________ Hearing Examiner
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