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New Mexico

New Mexico

Incentives/Policies for Renewables & Efficiency

Printable Version
Interconnection Standards   

Last DSIRE Review: 09/10/2014
Program Overview:
State: New Mexico
Incentive Type: Interconnection
Eligible Renewable/Other Technologies: Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Fuel Cells, Municipal Solid Waste, CHP/Cogeneration, Small Hydroelectric, Fuel Cells using Renewable Fuels, Microturbines, Other Distributed Generation Technologies
Applicable Sectors: Commercial, Industrial, Residential, Nonprofit, Schools, Local Government, State Government, Fed. Government
Applicable Utilities:Investor-owned utilities, electric cooperatives
System Capacity Limit:80 MW
Standard Agreement:Yes
Insurance Requirements:Generally not required for systems up to 250 kW. Utilities may require insurance for systems > 250 kW, with limits set by PRC.
External Disconnect Switch:Not required for inverter-based systems up to 10 kW; utility's discretion for all other systems
Net Metering Required:No
Authority 1:
Date Enacted:
Date Effective:
NMAC 17.9.568
Authority 2:
Date Enacted:
Date Effective:
NMAC 17.9.569
Authority 3:
Date Enacted:
The New Mexico Interconnection Manual

The Public Regulation Commission (PRC) adopted revised standards and procedures for the interconnection of generating facilities in New Mexico in July 2008.

Rule 569 applies to all qualifying facilities (QFs) under the federal Public Utility Regulatory Policies Act, which generally includes all renewable energy systems and combined heat and power (CHP) systems up to 80 megawatts (MW) in capacity.

Rule 568 applies to renewable energy systems and CHP systems up to 10 MW in capacity. The purpose of Rule 568 is to simplify the interconnection requirements for QFs up to 10 MW and to encourage the use of small-scale, customer-owned renewables or alternative energy resources.


All utilities subject to PRC jurisdiction must offer net metering and comply with these standards. (Municipal utilities, which are not regulated by the commission, are exempt.) 

New Mexico’s three IOUs each offer performance-based incentives to interconnected customers in exchange for the customer’s generated renewable energy certificates (a compliance mechanism for the state’s renewable portfolio standard). For more information, click on the program of interest:

System Capacity Requirements

Interconnection applications will generally follow this review path:

  • Systems up to 10 kilowatts (kW) in capacity are eligible for the "Simplified Interconnection Process," which includes simplified applications.
  • Systems greater than 10 kW and up to 2 MW are eligible for the "Fast Track Process," which might include supplemental review.
  • Systems greater than 2 MW and up to 10 MW must follow the "Full Interconnection Study Process."
  • Systems greater than 10 MW must follow the "Case Specific Study Process."


All systems must comply with all relevant local and national standards (including the NEC, IEEE and UL standards) and meet any additional requirements approved by the PRC. A redundant external disconnect device is required for all interconnected systems. For systems greater than 10 kW, the disconnect switch must be visibly marked and accessible to and lockable by the utility.

The PRC may require the owner of a generating facility with a rated capacity of up to 250 kW to obtain general liability insurance prior to connecting with a utility if the utility provides a sufficient reason for doing so. A utility may directly and independently require owners of systems greater than 250 kW to provide proof of insurance, with reasonable limits not to exceed $1,000,000, or other reasonable evidence of financial responsibility. A mutual indemnification agreement between the customer and the utility is required.

Interconnected customers must pay an application fee that varies according to the size of the system. Systems up to 10 kW must pay $50; systems greater than 10 kW and up to 100 kW must pay $100; and systems greater 100 kW must pay $100 plus $1 per kW. In addition to these fees, a small utility with fewer than 50,000 customers may charge reasonable consulting fees for systems greater than 10 kW.

  Heidi Pitts
New Mexico Public Regulation Commission
1120 Paseo de Peralta
Sante Fe, NM 87501
Phone: (505) 827-6971
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2014 - 2015 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.