New Mexico Passes bill to reduce vehicle emissions by 20% by 2030

New Mexico's Legislature has passed a bill to significantly reduce climate-warming emissions from cars and trucks by introducing financial incentives for businesses producing cleaner fuels. The Senate approved the bill with a 26-15 vote, sending it to Governor Michelle Lujan Grisham, who has expressed her support for the initiative. If signed into law, New Mexico would become the first state to implement such measures, joining the ranks of California, Oregon, and Washington in enforcing low carbon fuel standards.

Emission reduction targets and mechanisms

The bill aims to lower the intensity of greenhouse gas emissions from transportation fuels by 20% by 2030 and 30% by 2040. It proposes a system where producers of high-polluting fuels would need to purchase credits from producers and importers of low-carbon fuels. This would create a market for carbon credits, overseen by the state Environment Department and set to be established by mid-2026. The legislators behind the bill anticipate that it will drive investments in new fuels and technologies.

Impact on greenhouse gas emissions

The transportation sector is the second largest source of greenhouse gas emissions in New Mexico, following the oil and natural gas industry. The sponsors of the bill highlighted the potential health benefits stemming from reduced airborne pollution, particularly in addressing ozone levels in the state.

Response and concerns

While the bill faced some opposition, with Republican senators expressing concerns about potential impacts on fuel prices, Democratic sponsors emphasized that the aim is not to burden consumers. They highlighted the importance of addressing emissions without disproportionately affecting lower-income residents.

Senator Mimi Stewart of Albuquerque pointed out the significant interest from companies, including Chevron, in the low-carbon fuel market. She emphasized the potential for job creation and economic development in the sector.

Republican Senate Leader Greg Baca of Belen cautioned against imposing new pollution regulations on rural communities, arguing for a balanced approach and urging legislators to consider the implications for less populated areas.

Budget and future plans

In addition to the emissions bill, the state also passed a $10.2 billion budget, which includes provisions for tuition-free college and measures to diversify the state's economy in anticipation of a transition to cleaner energy sources.

The combined efforts signal New Mexico's commitment to addressing climate change and transitioning towards a cleaner and more sustainable future.