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 Environmental Improvement Board today unanimously adopted
regulations establishing the Clean Transportation Fuel Program, setting April 1 as the opening
date for the Southwest's first clean fuel market.

Signed into law by Gov. Michelle Lujan Grisham in 2024, the Clean Transportation Fuel
Program is a market-based initiative that incentivizes and expands access to lower-carbon
transportation fuels, including ethanol, biofuels, renewable diesel, renewable natural gas,
electricity, and supporting infrastructure.

By 2030, the Clean Transportation Fuel Program is projected to reduce PM2.5 by 144 tons,
VOCs by 200 tons, and NOx emissions by 169 tons. The program will move New Mexico closer
to meeting the state’s goal of cutting climate pollution 45% by 2030 and achieving net-zero
emissions by 2050.

New Mexico is the first state in the Southwest to adopt a Clean Transportation Fuel Program and
only the fourth state in the United States to do so.

In accordance with HB 41 (2024), the Clean Transportation Fuel Program establishes a clean transportation fuel standard to decrease the carbon intensity of transportation fuels used in the state by at least 20 percent below 2018 levels by 2030, and at least 30 percent below 2018 levels by 2040. The program sets corresponding standards for gasoline and gasoline substitutes, diesel and diesel substitutes, and alternative jet fuel, and provides opportunities for credit generation when electricity is used as a transportation fuel.

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

Executive Order 2024-152: Building New Mexico's Workforce to Foster the Clean Energy Transition, Infrastructure Investments, and Resilient Communities

The Executive Order sets the framework for a strategic and unified approach to enhance infrastructure and clean energy workforce training, including: 
Collaborative Effort Across 11 State Agencies and Offices: Key state agencies—including the Departments of Workforce Solutions, Transportation, Environment, Energy, Minerals and Natural Resources, Public Education, and Higher Education—will coordinate efforts to plan, develop, and track infrastructure and climate-ready workforce training.  
Equity and Inclusion:  Workforce policies and programs will prioritize equity and expand opportunities for workers from rural, underrepresented, and underserved communities.  
Infrastructure and Climate-Ready Workforce Goals: New Mexico will train 2,000 workers in climate-ready professions by 2026. 
Support for Workers and Communities: Innovative strategies, including wraparound services such as childcare and transportation, will help ensure that workers can successfully enter and advance in clean energy careers. The order also calls for strong collaboration with Tribes, pueblos, nations, and other local communities.

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.

New Mexico Climate Action Plan

New Mexico's 2026 Climate Action Plan charts a path to net-zero emissions and achieving the climate pollution reduction targets set by Governor Lujan Grisham's 2019 executive order. The plan proposes 45 action items related to addressing industry emissions, decarbonizing the grid, energy-efficient buildings, climate-smart agriculture, protecting natural resources, waste reduction, and cleaner transportation. When implemented, the plan is expected to prevent $294 billion in health care costs, property damage, and other impacts caused by climate pollution.