A powerful New Mexico regulatory authority is requiring the state’s largest utility to bill Facebook $39 million for a new transmission line construction.
The Albuquerque Journal reported that the Public Regulation Commission ordered Public Service Company of New Mexico to charge Facebook for nearly half the cost of the $85 million transmission project for its New Mexico data center that opened this year.
The Menlo Park, California-based Facebook says the ruling could affect its long-term operations in the state. It says the requirement raises costs and puts in doubt plans to use 100 percent renewable energy to run the facility.
State officials and economic development professionals say the decision could be seen as reneging on the commission’s previous commitments and hurt New Mexico’s efforts to attract more large companies.
This story originally appeared on our sister-site, Electric Light & Power.