Solar Energy Zone Market Analysis for the Afton Region of New Mexico

Summary

This report analyzes the commercial viability of solar development in the Afton Solar Energy Zone (SEZ) in New Mexico. It identifies robust market demand driven by New Mexico's mandate for 100% zero-carbon electricity by 2045 and voluntary utility targets. NREL estimates the cost of solar in Afton between 3.2 and 4.2 cents/kWh, which is competitive against 2021 average utility generation costs ranging from 5.7 to 9.0 cents/kWh. While existing transmission offers up to 868 MW of capacity from Afton to Luna, significant new infrastructure, including the 1,000 MW Southline project by 2028 and the 1,500 MW SunZia Phase 2 by 2026, will enhance access to broader markets, especially in Arizona.

Key Facts

Source Document

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