Regulators approve rate increase for New Mexico Gas Company

ALBUQUERQUE, N.M.. — The New Mexico Public Regulation Commission gave New Mexico Gas Company the green light to raise their rates this fall.

Commissioners unanimously approved the increased rates come October 1. This will mean the average monthly residential bill — your monthly bill for the gas you use at home — will go up 7.1%

The residential customer fixed monthly access fee will remain at $12.40. Residents in the budget billing program and using an average of 53 therms of gas per month will see an increase of about $4.20 per month.

You can check your usage and estimate bill impacts here.

According to NMGC, an “uncontested settlement agreement” in March 2024 provided a revenue increase of $30 million, instead of their request for about $49 million. They added the authorized return on equity and capital structure used to help set rates were unchanged from their previous rate increase.

“We appreciate the work by all parties to engage in positive discussions and reach a resolution that ensures the Company can continue to safely provide reliable natural gas service to our customers,” NMGC President Ryan Shell said.

A representative for the company says the new rates will help pay for increasing costs they’re experiencing from expanding regulatory requirements in the industry. They also say it supports improvements to gas delivery infrastructure and the replacement of their customer billing and information system.

The company offers payment assistance programs for customers, a budget billing program and energy efficiency programs. Learn more about that here.