Here's how new electric vehicle rules could affect car and truck sales in New Mexico

Most cars and trucks sold in New Mexico will be electric or pose no air pollution after a state environmental board voted to adopt new rules proposed by the New Mexico Environment Department (NMED).

The New rules would require 82 percent of vehicles be zero-emission by 2032 and sought to reduce the allowable level of emissions from the remaining combustion-based cars and trucks. They were proposed by NMED to its governing Environmental Improvement Board following a public hearing held Nov. 13.

Starting on model year 2027, 42 percent of of the vehicles would face these requirements, and that percentage would gradually increase each year after until model year 2032.

The rules do not outlaw the sale, purchase or use of combustion-engine vehicles, but call on automakers to provide more zero-emission vehicles to dealerships in New Mexico.

The Board voted to approve the rules Thursday.

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NMED justified the requirements as needed action to curb greenhouse gas emissions from the transportation sector, aligning with New Mexico’s goals to address climate change.

“This is an important step forward for our climate and air quality goals, especially in environmental justice and frontline communities,” said NMED Cabinet Secretary James Kenney said upon the rules' passage. "To accelerate the benefits of the rules, we need more clean cars and clean trucks on the road and the Environment Department will work with New Mexico’s urban and rural auto dealerships to make that happen.”

Here’s what to know about the rules approved by the Board.

Who and what does the rule apply to?

The proposed regulations would apply to auto manufacturers, dealers, state agencies and any other entity that delivers cars and trucks for sale or sells vehicles in the state.

They would apply to model years 2027 to 2032, passenger cars, light, medium and heavy-duty trucks and vehicles.

If enacted, the rules would go into effect Jan 1, 2024.

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What are the rules?

Auto manufacturers sending fleets to New Mexico dealers for sale would be required to send 82 percent electric vehicles, or vehicles without tailpipe emissions, within about 10 years.

The rules were intended to conform New Mexico’s standards with California’s. This would mean the rules would bar any manufacturer, dealers, rental car agency, local government or person from delivering for sale any vehicles not certified by California vehicle emissions standards.

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Military, emergency and agriculture vehicles would be exempt from the rules, along with any that have mileage higher than 7,500 or any rented with a destination outside of New Mexico.

The rules would complement existing clean car rules adopted by the EIB in 2022, the State said, along with other initiatives aimed at reducing transportation pollution in New Mexico, such as a $38 million appropriation to build a network of EV charging stations along the highways in the state.

It would also increase reporting requirements for auto manufacturers selling into New Mexico as to the emissions of their vehicles.

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Why are auto dealers concerned about the rules?

During the public hearing and in submitted written comments, representatives of the auto industry worried the goals set out in the rules were too aggressive and could unduly burden the industry.

Pete Domenici Jr., attorney for the New Mexico Automotive Dealers Association said requiring such a large portion of vehicles sold in New Mexico to be electric would be problematic for rural and low-income New Mexicans.

He argued EVs were still too expensive and could not travel far enough to meet the needs of drivers in remote areas.

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“I respectfully request you all be concerned about transportation security. People and their families rely on their transportation for the heart of their safety and livelihoods,” Domenici said to the board. “You are being asked basically to rely on complete speculation based on out of New Mexico statistics.

“Our reliability is going to be upended by a decision you make four days from now.”

Paul Gessing with conservative policy advocate the Rio Grande Foundation argued New Mexico lawmakers themselves previously voted to not adopt the standards, largely due to concerns with the range EVs could travel without charging.

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“The elected officials of New Mexico have not seen fit to go down such an extreme path,” Gessing said to the board. “Range issues are real. No matter how much money is plowed into EV charging stations, there will never be enough in our state.”

He also contended that while EVs lacked tail pipe emissions, they “are not clean vehicles,” pointing to the mining of battery elements in “third-world” countries.

How much pollution would the rules prevent?

Angela Raso with NMED’s Climate Change Bureau said transportation was the state’s second-biggest contributor to greenhouse gas emissions, and these rules would cut emissions by 64 percent.

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NMED estimated the rules when enacted would reduce greenhouse gas emissions like carbon dioxide by 62 percent, and nitrogen oxides by 43 percent, and save up to $62 million in healthcare costs by 2050.

She also said the federal Environmental Protection Agency (EPA) was likely to lower its allowable standards for ground-level ozone, which is contributed to by emissions from cars and trucks.

This could mean that without more stringent requirements, Raso said, New Mexico could soon be in violation of federal law.

“On road sources contribute significantly to ozone concentrations in parts of the state,” she said during the hearing.

Climate Change Bureau Chief Claudia Borchert said automakers could meet these requirements via federal incentives offered for the development of EVs, and the rules would position New Mexico to be a national leader in curbing air pollution.

“The proposed rule prevents and abates air pollution by enacting more stringent requirements. The car and truck manufacturers can reasonably meet the requirements,” she said. “By adopting these rules, New Mexico will continue to show its leadership in climate change and clean on road transportation.”

Adrian Hedden can be reached at 575-628-5516, achedden@currentargus.com or @AdrianHedden on X, formerly known as Twitter.

This article originally appeared on Carlsbad Current-Argus: Here's how new electric vehicle rules could affect sales in New Mexico