Input Stories

Input Stories

New Mexico Bill’s Stringent Greenhouse Gas Measures Would Harm Manufacturers


A bill making its way through the New Mexico legislature would have a stark negative impact on manufacturers and illustrates the dangers of a patchwork of conflicting state laws in the absence of federal preemption. 

What’s going on: “Senate Bill 18 … would adopt tiered goals of 45% fewer greenhouse gas emissions by 2030, 75% by 2040 and net-zero by 2050. The legislation also directs state agencies to create rules for emission reductions, measure the state’s progress and issue annual reports” (Source NM).

  • The bill also imposes a lower limit so that the rules affect only those emitters that produce 10,000 metric tons of emissions annually.

The NAM’s view: The NAM has long argued that the federal government has primacy over GHG regulation and broader climate policy.

  • Federal law and the history of federal involvement in GHG regulation and broader climate policy clearly establish the federal government as the sole regulatory authority in these areas.
  • The NAM has also warned that drastic action by one state could lead to others also going their own way on policy, putting enormous strain on manufacturers tasked with meeting these conflicting requirements.
  • A state patchwork of laws would not only contravene federal law but also decrease manufacturers’ investments in their workers and their facilities, increase litigation risk and stifle innovation and project development.

Looking ahead: The NAM’s state partner in New Mexico—the New Mexico Business Coalition—is educating state lawmakers on the impacts of this proposal and will continue making manufacturers’ opposition clear throughout the legislative process.
 

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