As a result of changes in federal law, our wholesale and large retail customers already have, in varying degrees, alternate sources of economical power, including co-generation of electric power.
In addition, in recent years, both Texas and New Mexico passed industry deregulation legislation requiring EPE to separate transmission and distribution functions, which would remain regulated, from EPE's power generation and energy services businesses, which would operate in a competitive market, in the future.
In Texas, EPE has been exempt from the requirements of the Texas Restructuring Law, including utility restructuring and retail competition. The Texas Commission recently adopted a rule that would delay competition in EPE's Texas service territory until at least the time that an independent regional transmission organization ("RTO") begins operation in its relevant power markets.
In April 2003, the New Mexico Restructuring Act was repealed and as a result, EPE's operations in New Mexico will continue to be fully regulated.
Click below to read more about deregulation in Texas and New Mexico.