New Mexico Gas Co. on Monday filed a $13.23 million rate increase request with the New Mexico Public Regulation Commission that would add up to a 4.2 percent gas bill increase.
The gas company anticipates a PRC decision in the fall with new rates expected to go into effect in January 2021.
The gas company estimates an average 50 therms monthly residential bill would increase about $1.71 from $40.71 to $42.32 and will also include an increase in the residential customer access fee from $11.65 to $12.70.
The rate increase will recover significant New Mexico Gas capital investments from September 2017 through 2021. These include adding a new $50 million mainline from Bernalillo to Santa Fe; purchasing the company’s Albuquerque headquarters building that it had been leasing for 10 years for $11.2 million; and building a $15 million Malaga pipeline south of Carlsbad to bring natural gas directly from the gas fields to the New Mexico Gas system.
New Mexico gas rates increased 7 cents per month for the average customer in August and will increase another 8 cents in August 2020. These were the first New Mexico Gas rate increases since 2012, spokesman Tim Korte said.