OPINION: Our utilities belong to our people — not Wall Street

For years, New Mexicans have faced rising utility costs, unpredictable bills and constant uncertainty about whether the companies we depend on for electricity and heat are truly working in our best interest. Now, with private equity firms seeking to purchase the New Mexico Gas Company and Public Service Company of New Mexico (PNM), we are facing two of the most consequential decisions in our state’s energy future. And let me be clear: These deals are bad for consumers, bad for our long-term economic security and bad for the future of clean energy in New Mexico.

Private equity is not in the business of public service, it is in the business of extracting wealth. Its track record in essential public utilities across the country is unmistakable and troubling. When private equity takes over a utility, rates go up, investments go down, workers are cut and safety is compromised. We have not seen one example — not one — where private equity ownership has resulted in lower costs, better service or healthier outcomes for consumers. What we have seen is the exact opposite: private equity enriches billionaire investors at the expense of working families, frontline communities and the basic infrastructure we all rely on.

Why would we ever choose to sell a monopoly — one that every home, school and business depends on — to an industry whose sole focus is short-term profit and asset stripping? Unlike normal companies, utilities are not optional. We cannot shop around for another gas company. We cannot switch to a different electric grid. These corporations are granted monopoly power with the understanding that they must serve the public interest safely, reliably and affordably. That deal collapses the moment we hand over essential public services to out-of-state private equity firms that are accountable only to investors, not to the people of New Mexico.

New Mexicans are already suffering. Families are choosing between heating their homes and buying groceries. Seniors on fixed incomes are struggling to pay rising utility bills. Our small businesses, still rebuilding from economic disruptions, cannot absorb unpredictable energy costs. The last thing people need is an ownership model that has repeatedly failed consumers while padding the pockets of a wealthy few.

Rather than selling off our energy future, New Mexico should pursue a majority public stake in the New Mexico Gas Company and PNM. Our energy system should be owned by and accountable to the people — not Wall Street. Majority public ownership gives us the ability to prioritize affordability, long-term planning, grid resilience and the clean-energy transition without the pressure to maximize profits.

This is not a radical idea — it is a responsible one. Across the country, publicly owned utilities consistently perform better than investor-owned ones. They offer lower rates, make smarter long-term investments and reinvest revenues back into communities rather than sending them out of state to shareholders. Public ownership gives us the tools to align our utility system with our values: transparency, accountability, affordability, resiliency and sustainability.

And as we transition to renewable and clean energy, we cannot afford to let private equity slow-walk investments, cut corners or prioritize returns over reliability. This transition must be guided by science, public need and long-term stewardship — not corporate greed. If New Mexico wants to lead the nation in protecting consumers, expanding renewable energy, and ensuring families have access to safe and affordable utilities, then we must be willing to think boldly about how we structure and govern our energy system.

New Mexico should oppose the private equity takeovers and instead take a majority stake in our utilities. Our families, our economy and our clean-energy future depend on it.

Harold Pope, D-Albuquerque, represents District 23 in the New Mexico Senate.