UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549



                                    FORM 8-K
                                 CURRENT REPORT



                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITES EXCHANGE ACT OF 1934


     Date of Report (Date of earliest events reported)   May 1, 2000
                                                         -----------------
                                                         April 25, 2000
                                                         -----------------

                      PUBLIC SERVICE COMPANY OF NEW MEXICO
                      ------------------------------------
             (Exact name of registrant as specified in its charter)


          New Mexico              Commission                  85-00019030
  ---------------------------     File Number 1-6986    ----------------------
 (State or Other Jurisdiction                 ------       (I.R.S. Employer
      of Incorporation)                                 Identification) Number)



        Alvarado Square, Albuquerque, New Mexico             87158
        ----------------------------------------             -----
        (Address of principal executive offices)           (Zip Code)



                                 (505) 241-2700
                                 --------------
              (Registrant's telephone number, including area code)


                         ------------------------------
              (Former name, former address and former fiscal year,
                         if changed since last report)






Item  5.   Other Event

The following is the Company's  press release  announcing the New Mexico Supreme
Court decision.

N.M. Supreme Court Overturns PNM Gas Rate Order

ALBUQUERQUE,  NM,  April 25,  2000 - The New Mexico  Supreme  Court has ruled in
favor of PNM, Public Service Company of New Mexico (NYSE:PNM),  in overturning a
$6.9  million rate  reduction  imposed on the  company's  natural gas utility by
state regulators in 1997.

The company has not yet calculated the potential  financial  impact of the court
decision.  PNM had  supported a $13.3  million rate  increase  when the case was
originally filed.

Although  the court  upheld  certain  portions of the gas rate case order by the
state's former Public Utility  Commission  (PUC),  it labeled other  significant
sections  "arbitrary and capricious."  The five-member  court vacated the entire
order as "unreasonable and unlawful," because certain  disallowances  ordered by
the PUC  unreasonably  hindered  PNM's  ability  to earn a fair rate of  return.
Unless any of the parties in the case ask the Supreme Court for a rehearing, the
case will be  remanded  to the New  Mexico  Public  Regulation  Commission,  the
regulatory body that replaced the PUC in 1998.

The case was the second PUC gas rate  decision  overturned  by New Mexico's high
court in recent weeks and the latest of several PUC cases PNM has won on appeal.
The decision is significant  because it demonstrates the Supreme Court's support
of fair treatment for utility investors, said PNM General Counsel Pat Ortiz.

"In its  opinion  in this  case,  the court  repeatedly  emphasized  the need to
properly balance the interests of customers and shareholders," Ortiz said. "This
decision  re-emphasizes  what the court has done recently in reversing  punitive
decisions of the old PUC. If investors  are not treated  fairly,  we can look to
the Supreme Court for a remedy."

PNM  operates a combined  electric  and gas utility  serving  approximately  1.3
million people in New Mexico and sells power on the wholesale market. Avistar, a
wholly-owned subsidiary of PNM, operates an advanced meter servicing business in
California  and  Nevada,  offers  energy  and  water  management  solutions  for
government  and  institutional  clients  in  the  Southwest,  and  is  assisting
e-commerce  provider  AMDAX.com in launching an  Internet-based  energy  auction
system. PNM stock is traded primarily on the NYSE under the symbol PNM.



SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                                   PUBLIC SERVICE COMPANY OF NEW MEXICO
                                   ------------------------------------------
                                              (Registrant)


Date:  May 1, 2000                             /s/ John R. Loyack
                                   ------------------------------------------
                                                   John R. Loyack
                                        Vice President, Corporate Controller
                                            and Chief Accounting Officer
                                   (Officer duly authorized to sign this report)





                                       4