What does FPPCA stand for?

The Commission's order also allows PNM's continued use of a fuel and purchased power cost adjustment clause, or FPPCAC, with certain revisions.

Public Regulation Commission, the agreement, or stipulation, also would allow PNM to replace its emergency fuel and purchased power cost adjustment clause with a more conventional mechanism.

Filed today with the Commission, PNM's request includes: * The continued use of a fuel and purchased power cost adjustment clause, which includes a proposal for a 75-25 sharing of off-system sales margins, with 75 percent going to customers.

Filed late yesterday with the New Mexico Public Regulation Commission, PNM's proposal also includes: * A fuel and purchased power cost adjustment clause; * A mechanism that would allow the timely recovery of costs incurred for environmental improvements through a bill surcharge; * The introduction of summer and consumption-based rates designed to encourage energy efficiency and better reflect the seasonal nature of PNM's cost to provide power.

6% decrease in its fuel and purchased power cost adjustment (FPPCA) in October 2006, to pass-through $156 million in annual revenues back to its customers.

The fuel and purchased power cost adjustment charge (FPPC) was revised to allow current year recovery of such costs, providing greater cash flow stability in periods of volatile fuel commodity prices, as is the case today.