Data centers and the Blackstone/PNM merger

A slick, well-produced video on the Internet (posted below) is making several spurious arguments about a number of issues relating to both data centers and the purchase of PNM by a private equity firm called Blackstone. RGF is generally supportive of data centers, but we have not taken a position on the PNM purchase.

Regardless of this we want the debate over these issues to be factual. The following video (specific to NM and with 580,000 views at last count) produced by the left wing group More Perfect Union needs a good fact-check, so here it is.

1. Whether you support the PNM merger with Blackstone or not the fact is that PNM is hunting for a buyer (previously this was Avangrid) that has deeper pockets and a better bond rating. PNM is having to rework its grid AND spend massive sums on new, “renewable,” power sources and power lines because of the Energy Transition Act of 2019. If Blackstone’s bid is rejected it will only be a matter of time before PNM looks for yet another buyer. This is left out of the video because the group behind it doesn’t care to publicize this “inconvenient truth.”
2. Utility costs in New Mexico have already risen and will rise even further due to the shuttering of coal-fired San Juan Generating Station which was caused by the Energy Transition Act and the need to replace all that power with diffuse and redundant wind, solar, and battery.
3. No matter who owns PNM it is a heavily regulated utility. It is amusing that leftists in the video express such support for a traditional publicly traded company (which they usually hate) and such concern about a private equity firm. The regulatory structure will remain the same.
4. There is simply no connection between Blackstone’s takeover of PNM and data centers. Under New Mexico law these data centers like Project Jupiter operate on “Microgrids.” There was a bill filed in the 2026 session to specifically limit these Microgrids by forcing them to use so-called “renewable energy” for Microgrids/data centers. The bill failed, but with Microgrids instead of the grid being used to provide electricity to data centers New Mexicans won’t be affected.

The video in question is below. It is full of distortions and implications. It ignores the forced push to “renewables” and it lumps our left-wing Gov. and numerous Democrats into alignment with President Trump which is simply not the case. Whatever your views on data centers and the purchase of PNM decisions should be made on facts. RGF has written and researched extensively on the Energy Transition Act and its negative impacts.