New Mexico did not have a rate change on October 1, 2026 that we could find. The state’s largest utility, PNM, finished a two-step increase in April. The larger pending case is El Paso Electric’s.
This article covers PNM and El Paso Electric’s New Mexico territory. It mentions Southwestern Public Service (Xcel Energy) briefly and does not cover cooperatives.
Quick Summary
| Item | Utility | Date | Residential impact | Status |
|---|---|---|---|---|
| Phase 1 | PNM | July 2025 | Not stated in notice | In effect |
| Phase 2 | PNM | April 1, 2026 | About +$6.23 a month | In effect |
| Base rate request | El Paso Electric | Two phases from 2027 | More than +$40 a month | Not approved |
PNM: Second Phase in April
The New Mexico Public Regulation Commission (PRC) approved PNM’s rate change in May 2025 (Docket 24-00089-UT) and split it in two. The PRC’s customer notice says:
- April 1, 2026: the second phase, about $6.23 a month for an average customer.
- What it funds: wildfire prevention, grid upgrades and large battery storage.
- Protections: capped service fees and a $1.5 million PNM contribution to the Good Neighbor Fund, which helps customers pay bills.
When the settlement was announced, the Santa Fe New Mexican described the whole deal as raising the average bill about $10 a month.
El Paso Electric: Large Request Pending
El Paso Electric serves Las Cruces and southern New Mexico.
- Request: $70.4 million more in base rates.
- Bills: more than $40 a month for an average household.
- Timing: two phases starting in 2027.
- Reason given: more than $400 million invested in its New Mexico system.
- Status: the PRC held a public hearing in Las Cruces in June 2026. No decision date has been set.
Southwestern Public Service
Xcel Energy disclosed a $90 million rate stipulation for Southwestern Public Service in New Mexico in 2026. We saw only the headline of that filing, so we give no bill impact.
What This Means for Homeowners With Solar
We did not verify New Mexico’s current net metering or export credit rules for this article, so we give no export rates here. Ask your utility for its current solar tariff, and check how exported energy is credited before sizing a system. Fixed monthly charges are not reduced by solar.
Our solar payback guide shows how the retail rate and the export credit change the math.
What to Check on Your Bill
- The customer charge.
- The energy charge blocks. Compare March and April 2026 to see the PNM step.
- The fuel and purchased power line.
For help sorting the lines on your bill, see our guide to reading your electric bill.
Limitations
PNM figures come from the PRC’s customer notice, which gives a dollar amount but no percentage. El Paso Electric figures come from a TV report. We did not open the dockets.
Sources
- New Mexico PRC, “Customer Notice: PNM Rate Change Effective April 1, 2026”
- KFOX, “NM PRC hears pushback on El Paso Electric rate hike that could add $40 a month,” June 2026
- Santa Fe New Mexican, “PNM reaches deal that could raise average monthly bill about $10”
Frequently asked questions
Did New Mexico electric rates change on October 1, 2026?
We found no change on that date. PNM's most recent change was April 1, 2026.
How much did PNM rates go up in 2026?
About $6.23 a month for an average residential customer from April 1, 2026, according to the Public Regulation Commission's customer notice. It was the second phase of an increase approved in May 2025.
Is El Paso Electric raising rates in New Mexico?
It has asked to. The request is $70.4 million, more than $40 a month for an average household, phased in from 2027. The Public Regulation Commission held a hearing in Las Cruces in June 2026 and has not ruled.
