RFI 042916 – Wholesale Electric Power Supply

Description

REQUEST FOR INFORMATION FOR WHOLESALE ELECTRIC POWER SUPPLY FOR CITY OF SOCORRO, NEW MEXICO City of Socorro 111 School of Mines Rd. Socorro, NM 87801 ISSUE DATE: March 29, 2016 DUE DATE: April 29, 2016 1 City Of Socorro, New Mexico Request for Information for Wholesale Electric Supply 1.0 Introduction The City of Socorro, New Mexico (Socorro or City) is issuing this Request for Information (RFI) for wholesale electric supply to serve portions or all of the retail electric load located within the city limits of Socorro for a term of five (5) or ten (10) years beginning July 1, 2017. Socorro is seeking non-binding proposals from wholesale power suppliers (Suppliers) to provide the requirements set forth in this RFI to residential, commercial and industrial customers located in Socorro under a fixed price long term power purchase agreement. Socorro will arrange transmission service for final delivery to its system at a later date but requires that delivery under this RFI be assumed to be to either Four Corners 345kV, San Juan 345kV or Tri-State Generation and Transmission Association, Inc.’s (TSGT) 230kV system in central/southern New Mexico (Delivery Points). Other Delivery Points may be acceptable to Socorro. Suppliers should assume that Socorro will obtain the transmission rights to deliver from the Delivery Points to Socorro through Public Service Company of New Mexico (PNM) Transmission and/or TSGT transmission as required based on the Delivery Point indicated in the Suppliers proposal. 2.0 Background Socorro and its residents and businesses receive electric service from Socorro Electric Cooperative (SEC), a cooperative electric distribution utility regulated by the New Mexico Public Regulation Commission. Wholesale electric supply is provided to SEC by and through TSGT. Such SEC electric supply is delivered by TSGT over TSGT transmission facilities in accordance with a transmission service agreement between TSGT and Public Service Company of New Mexico (PNM). The City of Socorro has conducted both a preliminary estimate of value and a municipal utility feasibility study investigating the acquisition or (more likely) the construction of electric utility assets within the City and is interested in conducting this RFI for wholesale electric supply subsequent to formation of a municipal electric utility system to be owned and operated by the City of Socorro. The City contracted with Forsgren Associates, Inc.