Climate Change Data

PNM Resources, Inc.

Climate Impact & Sustainability Data (2019, 2020, 2022)

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:6,141,623 metric tons CO2e (2019)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:21.8% (2019)
Total Energy Consumption:10,820,318 MWh (2019)
Water Consumption:2,865 million US gallons (2019)
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Climate Change
  • Resource Management
  • Energy Efficiency
  • Diversity and Inclusion
  • Community Engagement
  • Governance
  • Safety
  • Supply Chain Sustainability

Environmental Achievements

  • Reduced CO2 emissions by 19% below 2005 levels by 2019.
  • Reduced coal capacity to 762 MW (22% reduction from 2005 levels).
  • Plan to exit all coal generation by 2031.
  • Goal of 100% emissions-free electricity generation by 2040.
  • Reduced freshwater usage by over 38% from 2005 to 2019 (4.63 billion gallons to 2.87 billion gallons).

Social Achievements

  • PNM Good Neighbor Fund provided $440,421 in utility bill support to 3,734 families in 2019.
  • Approximately 850 PNM and TNMP employees and retirees contributed more than 13,300 volunteer hours in 2019.
  • PNM Navajo Nation Workforce Training Scholarship Program provided $500,000 over five years for Navajo students.
  • Light Up Navajo project energized six homes on the Navajo Nation.

Governance Achievements

  • Seven of ten board members have environmental/sustainability expertise.
  • Robust three-tiered leadership development program implemented.
  • Strong corporate governance practices in place, including risk monitoring and oversight by the Board of Directors.

Climate Goals & Targets

Long-term Goals:
  • 100% emissions-free electricity generation by 2040.
  • Reduce freshwater use by 80% by 2035 and 90% by 2040 from 2005 levels.
Medium-term Goals:
  • Exit coal generation by 2031.
  • Achieve 80% renewable energy by 2040.
Short-term Goals:
  • Exceed 26-28% reduction in carbon emissions below 2005 levels by 2025.

Environmental Challenges

  • Transitioning away from coal generation while maintaining reliable and affordable energy for customers.
  • Managing water scarcity in arid regions.
  • Meeting increasing renewable energy standards.
  • Addressing climate change risks and opportunities.
Mitigation Strategies
  • Integrated Resource Plan (IRP) to guide resource planning and deployment.
  • Investments in renewable energy resources (solar, wind, battery storage).
  • Securitization financing through energy transition bonds.
  • Water conservation technologies and strategies.
  • Energy efficiency programs.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier Diversity Program

Climate-Related Risks & Opportunities

Physical Risks
  • Water scarcity
  • Extreme weather events
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Investments in renewable energy
  • Energy efficiency improvements

Reporting Standards

Frameworks Used: Null

Certifications: ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • New Mexico Recycling Coalition awards

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:5,381,589 metric tons CO2e
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:2,771 million U.S. gallons
Waste Generated:1,689,048 tons CCR
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Accelerated full exit from coal by seven years with plans to retire San Juan Generating Station in 2022 and exit Four Corners Power Plant by the end of 2024.
  • Increased renewable energy capacity from 417 MW in 2016 to 650 MW in 2020.

Social Achievements

  • Adapted quickly to ensure the safety of teams and care for customers and communities during the global pandemic.
  • Securitization plan to create greater savings for customers and provide funds to support communities impacted by the transition away from coal.

Governance Achievements

  • Not disclosed

Climate Goals & Targets

Long-term Goals:
  • 100% emissions-free energy by 2040
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Responding to a global pandemic.
Mitigation Strategies
  • Quickly adapted to ensure safety of teams and caring for customers and communities.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:5,276,705 short tons CO2 (2022)
Renewable Energy Share:40% (2022)
Water Consumption:2,493 million U.S. gallons (2022)
Waste Generated:13,590 tons diverted from landfills (2022)
Carbon Intensity:0.46 short tons/MWh (2022)

ESG Focus Areas

  • Climate Change
  • Water Conservation
  • Energy Efficiency
  • Waste Reduction
  • Biodiversity
  • Customer Experience
  • Employee Development
  • Community Engagement
  • Supply Chain Sustainability
  • Governance
  • Cybersecurity
  • Public Policy

Environmental Achievements

  • Retired the coal-fired San Juan Generating Station (SJGS) in 2022, reducing PNM’s resource capacity to less than 10% coal and achieving 2025 interim carbon emission reduction goals ahead of schedule
  • Increased PNM’s resource portfolio capacity to 40% renewables and 55% carbon-free
  • Diverted over 12,000 tons of waste from landfills
  • Reduced PNM’s system-wide emissions by 31% between 2005 and 2022
  • Reduced freshwater usage from 4.63 billion gallons in 2005 to 2.49 billion gallons in 2022 (46% reduction)

Social Achievements

  • Employed a workforce of 53% minorities, 28% women, 14% disabled and 8% veterans, with 33% of employees represented by a bargaining unit
  • Established the PNM Pueblo Education Scholarship Endowment to invest in higher education for pueblo students
  • Contributed $4.2 million to non-profits and community partners, including nearly $1.2 million in PNM Resources Foundation grants
  • Provided utility bill support to 9,171 families through the PNM Good Neighbor Fund

Governance Achievements

  • Enacted a Human Rights Policy and created a formal DEI strategy
  • Maintained a robust, enterprise-wide, risk-based security program, adhering to the guidelines of the National Institute of Science and Technology (NIST) Cybersecurity Framework

Climate Goals & Targets

Long-term Goals:
  • 100% emissions-free electricity generation by 2040
  • Reduce freshwater use 90% by 2040 from 2005 levels
Medium-term Goals:
  • 50% of all new procurements will be electric vehicles by 2030
  • Reduce freshwater use 80% by 2035 from 2005 levels
Short-term Goals:
  • 25% new light-duty vehicle procurements to be electric by 2025

Environmental Challenges

  • Industry disruptions in deliverability and cost pressures associated with approved renewable replacement resources
  • Water scarcity in arid regions
  • Addressing employee turnover
Mitigation Strategies
  • Seeking solutions to maintain system reliability until replacement resources are in service
  • Implementing water conservation technologies and shifting to lower water-intensity resources
  • Regularly monitoring employee turnover to identify separation factors and improve performance

Supply Chain Management

Responsible Procurement
  • Supplier Diversity Program

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Development of energy-efficient products and services

Reporting Standards

Frameworks Used: GRI, GHG Protocol, The Climate Registry’s Electric Power Sector Protocol

Certifications: ISO 14001

Sustainable Products & Innovation

  • PNM Solar Direct program

Awards & Recognition

  • EEI recognition for TNMP’s recovery and assistance efforts following Hurricane Ian