NM regulators to review line extension policies

Posted at: 02/14/2013 10:43 AM
By: The Associated Press

ALBUQUERQUE, N.M. (AP) - New Mexico utility regulators are going to review New Mexico Gas Co. policies for pipeline extensions and other infrastructure changes to see whether the costs are too burdensome.

The Public Regulation Commission's review approved unanimously Wednesday stems from an Aztec company's concerns about the cost to extend a line by 3.5 miles so it can convert a fuel station to natural gas.

According to the Albuquerque Journal, Aztec Well Servicing now would have to pay the $850,000 charge. That's because New Mexico Gas says other ratepayers shouldn't have to pick up the cost for something that benefits just one customer.

Commissioner Pay Lyons requested the review, saying that the state needs natural-gas stations to support fleet conversions. New Mexico Gas says it welcomes the review.

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