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Blackstone Infrastructure Acquisition of TNMP Approved by PUCT
The Public Utility Commission of Texas (PUCT) issued an order approving the unanimous settlement filed in the application by Texas-New Mexico Power Company (TNMP) for TXNM Energy, the parent company of TNMP, to be acquired by Blackstone Infrastructure.
“On December 11, 2025, Commission Staff, the Office of Public Utility Counsel (OPUC), the Texas Industrial Energy Consumers (TIEC), Cities Served by TNMP (Cities), Walmart Inc., and Texas Energy Association for Marketers (TEAM) (collectively, the signatories) entered into, and filed in this docket, an agreement that resolves all matters in dispute between them (the agreement). The only other party to this proceeding, Valero Refining-Texas, LP, does not oppose the agreement. For the reasons discussed in this Order, the Commission approves the agreement and finds that the acquisition at issue in this proceeding is in the public interest under PURA §§ 14.101, 39.262, and 39.915, provided that all regulatory commitments described in this Order are met.”
Under the settlement, among other things, TNMP will provide a direct financial benefit to customers in the form of a rate credit of $45.5 million to be paid over 48 months following the closing of the acquisition. “No more than 45 days after the closing of the acquisition, TNMP must make a tariff filing in the compliance docket for this Order to implement the $45.5 million rate credit to be provided to 1)IMP’s customers.”
“Under the agreement, the following regulatory commitments addressing code of conduct and affiliate standards will apply:
Competitive Affiliate Commitment: TNMP, including the TNMP Board, and Blackstone Infrastructure will comply with all the requirements of PURA and the Commission’s rules governing aspects of any relationship and dealings between TNMP and all affiliates. TNMP, including the TNMP Board, and Blackstone Infrastructure will not share TNMP’s confidential information as defined under 16 Texas Administrative Code (TAC) § 25.272(c)(3) with affiliates, except as allowed for corporate support services.
Code of Conduct: TNMP will file with the Commission for authority to amend and update its code of conduct to incorporate all applicable conditions and limitations on affiliate transactions required by the regulatory commitments identified in this Order. TNMP may not provide any affiliated large load (as defined by ERCOT) any preference over a non-affiliated large load. Transactions between TNMP and affiliated large loads must be at arm’s length, except that transactions governed by tariffs must be in accordance with the applicable tariffs.
Arm’s-Length Transactions: TNMP will maintain arm’s-length relationships with all affiliates and comply with all Commission affiliate standards when negotiating and entering into contracts with affiliates.
Option 1 Retail Electric Providers: If a controlled affiliate of Blackstone Infrastructure seeks certification from the Commission to become an Option 1 retail electric provider (REP), TNMP will provide notice of the docket in which such certification is being sought to the parties to this proceeding.
The PUCT found the regulatory commitments addressing code of conduct and affiliate standards identified above are reasonable.”
Other regulatory approvals are also required before the transaction is finalized including Federal Energy Regulatory Commission (FERC) and the Nuclear Regulatory Commission, and the New Mexico Public Regulation Commission.
