On March 5, 2024, Governor Michelle Luhan Grisham signed into law House Bill 41 (HB41) to establish a Clean Transportation Fuel Program (CTFP) in New Mexico. With the governor’s signature, New Mexico became the fourth U.S. state to adopt a low-carbon fuel program. The New Mexico Environmental Improvement Board (EIB) was tasked with implementing the program to reduce the CI of transportation fuels by 20% from the 2018 levels by 2030 and 30% by 2040. On January 22, 2026 – after a lengthy rulemaking and public comment process – EIB unanimously adopted regulations to implement the CTFP, effective April 1, 2026. The final regulations, as adopted, have not yet been published – that will occur after the EIB meets on February 12 to adopt the final statement of reasons (FSOR) – but the most-recently published draft of the regulations is available here.
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