Lewisville, Texas — Texas-New Mexico Power Company (TNMP) announced today that it has reached a comprehensive settlement with consumer groups, cities, large customers, and the Public Utility Commission of Texas (PUCT) Staff regarding its 2026 rate review. The agreement resolves all issues in PUC Docket No. 58964 and is now pending final approval by the Commission.

According to the settlement, the agreement “is in the public interest… and will conserve the parties’ and the public’s resources.”

What This Means for Customers

A Remarkably Small Adjustment to Delivery Rates

In its first rate filing in seven years, TNMP secured a modest increase—about 1%—to electric delivery rates, a rare outcome at a time when affordability is a top concern for Texas households and businesses. This minimal adjustment supports continued investment in the poles, wires, and equipment that bring electricity to communities across the state.

Strengthening Reliability

The new rates will help TNMP continue upgrading aging infrastructure, improving system resilience, and supporting growth in fast‑growing Texas communities.

Hurricane Beryl Restoration Costs

The settlement allows TNMP to recover $20.5 million in costs related to restoring power after Hurricane Beryl. These costs will be spread over five years to reduce the impact on customers.

Customer Protections Related to Debt Refinancing

The agreement incorporates provisions ensuring that TNMP’s refinancing of older company debt does not negatively impact customers. These protections are consistent with commitments made during the acquisition process and help support long‑term rate stability.

Supporting Financial Stability

The settlement supports TNMP’s continued financial stability, helping maintain strong credit quality and cost‑effective access to capital—both of which contribute to keeping customer costs lower over the long term.

Next Steps

The settlement has been filed with the Public Utility Commission of Texas. Interim rates will remain in effect until the Commission issues a final order. If approved, new rates will take effect later in 2026. TNMP will provide required notices to Retail Electric Providers (REPs) before any changes appear on customer bills.

About TNMP

Texas-New Mexico Power (TNMP) is a transmission and distribution service provider that delivers power to more than 280,000 homes and businesses throughout Texas. TNMP is committed to reliability, safety, and supporting the communities where its employees live and work.

Media Contact

Sara Yingling Media.Relations@tnmp.com