To our Valued El Paso Electric Customers,
We have some important news to share with you.
On July 29, 2020, El Paso Electric (EPE) announced that the acquisition of our Company by the Infrastructure Investments Fund (IIF) has been completed and that Kelly Tomblin has been appointed by the new EPE Board of Directors as the Company’s incoming Chief Executive Officer. Together, these developments help ensure that EPE can continue to meet our ongoing commitment to providing safe, clean, affordable and reliable energy to our customers.
This is truly an exciting time for EPE as we begin our partnership with IIF and deliver the benefits of the transaction under the leadership of Kelly Tomblin, a seasoned industry executive with three decades of experience leading utilities both in the United States and internationally.
At EPE, we have served our customers and community for 119 years and our commitment to you is as strong as ever: EPE will continue to invest in our neighborhoods while delivering safe and reliable service to all our customers. This long-term partnership with IIF represents a shared vision for local job retention and development, creates a sustainable path to grow our investment in the community and ensures the future of our more than 1,100 employees, their families, and the customers we serve.
IIF has a proven record of helping other utility companies grow and thrive, including through investments in innovation and delivering essential services that are vital to the economic health and productivity of the communities that it partners with and serves.
In connection with the transaction, the following commitments have been made to support EPE and its employees, customers and communities:
- Electric Bill Rate Credits for Customers: EPE customers will receive rate credits on their electric bills over 3 years, representing a $21 million credit for Texas customers and an $8.7 million credit for New Mexico customers.
- Local Workforce Retention and Development Opportunities: Provision for continuity of EPE’s workforce, including union and non-union employees and management. EPE will develop entry-level job training programs in the engineering, management, and finance areas at The University of Texas El Paso (UTEP), New Mexico State University (NMSU) and El Paso Community College (EPCC). EPE will also develop apprenticeships for technical and professional jobs in high schools and colleges within our service area.
- Community Contributions: At least $1.2 million in annual charitable contributions will continue to be made under EPE’s existing Community Partner Program, which provides employee engagement and financial support to many local organizations that positively impact EPE’s service area.
- Economic Sustainability Fund: EPE and IIF will dedicate a total aggregate amount of $100 million to promote economic development in EPE’s service territory. Of that amount, $80 million will be allocated to EPE’s Texas service area, to be distributed over 15 years, and $20 million will be allocated to EPE’s New Mexico service area, to be distributed over 20 years.
- Renewable Energy Efforts: EPE will remain committed to the Texas Renewable Portfolio Standard and the New Mexico Energy Transition Act. EPE will also study the growth of electric vehicles, renewable energy resources, and battery storage in partnership with UTEP, NMSU, and EPCC.
- Local Leadership and Headquarters: EPE will continue as an independently-operated, locally led, regulated utility. EPE’s management will retain day-to-day control of EPE’s operations and will be the primary point-of-contact for EPE’s customers, regulators and other stakeholders. EPE will continue to be headquartered in El Paso, Texas.
This partnership better positions EPE, with the enhanced financial strength, to meet the growing energy needs of our fast-growing service area all while continuing to develop and maintain a strong and dedicated local workforce.
Our team continues to be here and is ready to answer any questions you may have. You can contact our Customer Care Team at (915) 543-5970 or (575) 526-5555, or by email at CustomerCare@epelectric.com.
Finally, we appreciate the support our local, state, and federal leaders provided for the benefit of our customers, communities, employees and the Company as we take this exciting next step forward.
Vice President of Customer and Community Engagement
El Paso Electric Company