Alliance members are working to achieve the Paris Agreement’s goal of keeping temperature increases below 1.5 degrees Celsius by reducing emissions, accelerating action, centering equity, and tracking progress. 

Explore New Mexico's policies and actions across the Alliance's 10 key policy areas. Numbers presented below only reflect the number of policies in this database and thus may not reflect all climate policies pursued.

new_mexico

GHG Targets + Governance

Just Transition + Equity

Industry

Pricing Carbon + Valuing Damages

Electricity

Transportation

Resilience

Natural + Working Lands

Climate Finance

Buildings

total

EIB 25-23: In the Matter of Proposed Adoption of 20.2.92 NMAC – Clean Transportation Fuel Program

The New Mexico Environment Department (NMED) has proposed a Clean Transportation Fuel Program to the state's Environmental Improvement Board (EIB).

If approved, New Mexico would become the fourth state in the nation with a clean transportation fuel standard, following Gov. Michelle Lujan Grisham’s signing of House Bill 41 in March 2024.

This innovative market-based program would allow producers, importers, and dispensers of low-carbon fuels to generate and sell credits to those producing high-carbon fuels. 

The New Mexico Environment Department, pursuant to 20.1.1.300 NMAC, Rulemaking Procedures, respectfully petitions the Environmental Improvement Board to adopt the proposed new rule of 20.2.92 NMAC, Clean Transportation Fuel Program. 

Clean Transportation Fuel Program

transportation

SB48: An Act Relating to Public Finance; Creating the Community Benefit Fund

Governor Lujan Grisham signed into law Senate Bill 49, which established the Community Benefit Fund, a non-reverting fund in the state treasury containing $210 million for communities to use for a series of projects to mitigate climate change impacts. These include: train workers in the oil and gas industry for other jobs; reduce oil and gas emissions; improve the electric grid; develop renewable energy projects; modify public buildings to be more energy efficient; reduce the impacts of climate change on human health, agriculture and the environment; purchase electric vehicles and develop charging infrastructure.

The legislation also includes requirements for projects to conduct outreach and consult with overburdened communities, as well as negotiate a community benefit agreement. It also directs the identification of a data tool to identify overburdened communities in the state.

The Community Benefit Fund will fund projects to mitigate climate change impacts. These include: train workers in the oil and gas industry for other jobs; reduce oil and gas emissions; improve the electric grid; develop renewable energy projects; modify public buildings to be more energy efficient; reduce the impacts of climate change on human health, agriculture and the environment; purchase electric vehicles and develop charging infrastructure

Community Benefit Fund

climate_finance

Geothermal Ground-Coupled Heat Pump Income Tax Credit (7-2-18.24)

The Geothermal Ground-Coupled Heat Pump Tax Credit offers homeowners and businesses a refundable credit worth up to 30% of system purchase and installation costs, capped at $9,000. Eligible geothermal heat pump systems must meet minimum efficiency standards (EER ≥ 16 and COP ≥ 3.4) and be installed between January 1, 2024, and December 31, 2034. Applicants can submit directly through EMNRD’s new online portal, with the credit year determined by the date of final inspection.

HB 128: Local Solar Access Fund

Establishes the "Local Solar Access Fund" within the New Mexico Finance Authority to provide grants for solar energy system installations, including interconnection and storage equipment, in local governments, school districts, land Native American tribes or pueblos. The bill directs NMFA, in consultation with the New Mexico Department of Energy, Minerals & Natural Resources (EMNRD), to adopt rules by December 31 2025 to implement the fund. It also authorizes an initial appropriation (subject to related budget bills) for the fund and stipulates that the fund does not revert at fiscal year‑end—making it a standing mechanism for accelerating solar deployment funds in New Mexico.

HB 218: Tax Changes

The bill seeks to modernize and streamline various taxation provisions in New Mexico, particularly focusing on the Metropolitan Redevelopment Code and the Tax Increment for Development Act. The bill enacts a comprehensive tax‑code cleanup and administrative reform package. It repeals around 81 obsolete tax statutes and updates 156 sections of law to streamline tax‑administration processes (including electronic filings, earlier return due‑dates, and organizational code adjustments). While the core aim is administrative and structural rather than climate‑specific, the reforms may indirectly affect the state’s climate finance environment by enhancing transparency of tax expenditures and improving efficiency of tax‑credit programs that could support clean‑energy and resilience investments. For example, it introduces new tax credits, including for renewable energy technologies, while amending existing tax credit provisions related to sustainable building practices and agricultural biomass. It establishes a refundable geothermal ground-coupled heat pump income tax credit covering 30% of purchase and installation costs, up to $9,000 per taxpayer, for systems installed from May 15, 2024, through December 31, 2034. As such, the bill enhances transparency of tax expenditures and improves efficiency of tax‑credit programs that could support clean‑energy and resilience investments.