SENATE BILL 456
56th legislature - STATE OF NEW MEXICO - first session, 2023
Elizabeth "Liz" Stefanics and Jeff Steinborn and
Meredith A. Dixon and Reena Szczepanski
RELATING TO PUBLIC UTILITIES; CREATING AN ENERGY STORAGE DEVELOPMENT TARGET; REQUIRING ENERGY STORAGE PROCUREMENT AND DEPLOYMENT TO BE ADDRESSED AS PART OF INTEGRATED RESOURCE PLANNING.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. A new section of the Public Utility Act is enacted to read:
"[NEW MATERIAL] ENERGY STORAGE DEPLOYMENT TARGET.--
A. New Mexico shall adopt a target for energy storage deployment brought to commercial operation after December 31, 2022 in New Mexico as follows:
(1) by December 31, 2028, one thousand megawatts of new energy storage capacity capable of cumulatively delivering more than four thousand megawatt-hours of electricity; and
(2) by December 31, 2033, an additional one thousand megawatts for a total of two thousand megawatts of new energy storage capacity capable of cumulatively delivering more than eight thousand megawatt-hours of electricity.
B. The amount of energy storage capacity that an individual qualifying utility may be required to procure or deploy by the commission, as part of the statewide energy storage target set forth in Subsection A of this section, shall be determined by the commission.
C. The commission shall require qualifying utilities to incorporate the amount of energy storage capacity that an individual qualifying utility may be required to procure or deploy by the commission into integrated resource plans pursuant to the Efficient Use of Energy Act starting with planning cycles commencing after October 1, 2023.
D. Each qualifying utility shall petition the commission for necessary approvals to construct or acquire the energy storage systems to achieve its required procurement or deployment of energy storage capacity.
E. Any type of energy storage system installed and operational in New Mexico after July 1, 2023 shall qualify toward the targets set forth in this section.
F. As used in this section:
(1) "deploy" or "deployment" means to bring an energy storage system to commercial operation or to establish a contractual right to use the energy from, or the capacity of, an energy storage system;
(2) "energy storage capacity" means the nameplate capacity of an energy storage system or systems, measured as the maximum rate or amount of energy that can be stored or delivered, in megawatts or kilowatts;
(3) "energy storage system" means commercially available technology that is capable of retaining energy, storing the energy for a period of time and delivering the energy after storage by chemical, thermal, mechanical or other means;
(4) "procure" or "procurement" means to acquire by ownership or by a contractual right to use the energy from, or the capacity of, an energy storage system; and
(5) "qualifying utility" means an investor-owned electric public utility certified by the commission to provide retail electric service in New Mexico pursuant to the Public Utility Act."
SECTION 2. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2023.
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