The Public Regulation Commission is investigating whether it should encourage or discourage public utilities from constructing and owning DG facilities — including solar PV facilities — that serve one or more retail customers. This development arose from a discussion in a PRC case that considered whether El Paso Electric could construct, own and operate a 5-MW solar PV facility on behalf of Holloman Air Force Base. The PRC adopted the hearing examiner’s recommended decision, which noted that traditionally, public utilities have not been allowed to build generation plants dedicated to single customers, but still recommended granting a CCN.

The PRC is now exploring whether it is beneficial to allow utilities to create arrangements like that offered to Holloman AFB to retain load, including large C&I customers and residential rooftop solar customers.