Emissions

Net-Zero Emissions and Oil & Gas’ Commitment to Stewardship

In response to climate change, the oil and gas industry has undertaken massive efforts to decarbonize, including electrification and the increased use of renewable energies to reduce fossil fuel use by 2050, when experts expect renewable power to account for roughly 80% of global demand.

Technological innovations, companies’ commitments to environmental stewardship, and New Mexico’s stringent regulations are creating significant decreases in emissions. For example, according to S&P Global, annual methane emissions stemming from oil and gas production operations in the Permian Basin, decreased 26% in 2023 from the previous year—equal to the total amount of carbon emissions avoided by every electric vehicle on the road in the United States that year.

According to the following reports by the New Mexico Environment Department, the state is projected to achieve a 29% reduction in emissions by 2025 compared to 2005 levels, keeping on track to meet Gov. Michelle Lujan Grisham’s climate goals.

These reports, along with an overview presentation, are available on the NMED’s Climate Change Bureau webpage.

 

Proposed Senate Bill 4 – Clear Horizons & Greenhouse Gas Emissions Legislation

Senate Bill 4, also known as the Clean Horizons Act, is a bill that aims to reduce greenhouse gas emissions in New Mexico. The bill would require the state to reduce emissions by 45% by 2030, 75% by 2040, and 100% by 2050. The bill's goals are based on the state's 2005 emissions levels. 

  • NMOGA opposes this bill.
  • In principle, the bill’s goal of lower GHG is laudable, but with current technology and regulatory burdens the percentages are impossible to achieve in the time set with no offsets.
  • Achievable goals should be created through innovation not regulation.
  • The bill will impact all industries in New Mexico, large and small, and require them to meet the unrealistic standards and required reporting.
  • New Mexico Environment Department does not have the capacity or funding to support these regulations. The bill’s passage would require rulemakings, spendings taxpayers’ dollars for unnecessary measures.
  • The bill ignores the industries’ immense progress in GHG emission reductions and will force companies out of regulatory compliance by setting unachievable goals in the proposed timelines.
  • The bill will drive current business out of New Mexico and make diversification more difficult.