Paving way for clean cars

State environmental boards vote to adopt rules phasing in EVs, phasing out emissions

New Mexicans will see tens of thousands more electric vehicles available to buy in 2026 when a rule approved by two environmental boards takes effect.

The rule calls for 43% of new cars and light-duty trucks delivered to New Mexico to be electric models by 2026 and 82% by 2032.

At the same time, 15% to 20% of new, heavier-duty commercial trucks delivered to the state must be electric by 2026, and 40% to 70% must be zero emissions by 2034, depending on their class.

Dubbed the Advanced Clean Cars and Trucks rule, it aligns with California’s standards and is part of the larger effort to cut planet-warming greenhouse gases as well as ground-level ozone and particulates that can cause respiratory problems.

The state Environmental Improvement Board split 3-2 and the Albuquerque Bernalillo County Air Quality Control Board voted unanimously Thursday night to adopt the rule.

The votes came after several days of impassioned testimony from advocates who argue supplying more zero-emission vehicles is vital to combat climate change and make the air more breathable, and car dealers who fiercely oppose a government mandate they contend will force them to carry far more of the vehicles than they can sell.

The two boards cast their votes after hearing hours of testimony from car dealers Thursday who said they supported cleaner air and accepted electric vehicles as the industry’s future but argued the rule would push the transition too fast in New Mexico.

Dennis Armijo, an air quality board member, said the change will be tough for some dealers, but the transition to electric vehicles will happen no matter what.

“I’m not a big fan of kicking the can down the road,” Armijo said. “So I totally believe in my heart that we should go ahead and implement the thing.”

A conservation group cheered the outcome.

“The boards said ‘yes’ to one of the most effective climate policies New Mexico could possibly adopt,” Camilla Feibelman, director of the Sierra Club’s Rio Grande Chapter, texted after the rule passed. “We look forward to New Mexico implementing the charging infrastructure and incentives to make EVs and plug-in hybrids accessible for everyone.”

Electric cars offer long-term savings because they require less maintenance and repairs, and electricity is cheaper than gasoline, she said.

Still, auto dealers made dire predictions of how the rule will hurt their businesses and further reduce rural residents’ already slim choices for cars. If customers can’t get the internal-combustion cars they want, they won’t settle for electric vehicles but instead will go buy gasoline cars in other states, the dealers said.

Clifton Horace, a Farmington car dealer, estimated that if he is forced to make electric vehicles 43% of his inventory, his gas-powered cars will run out within seven months after the rule goes into effect.

He called that “a death spiral.”

“When you hear and feel pushback from dealers, it’s not about EVs — there’s nothing political about it,” Horace said. “It’s just simply we are fearful it will put us in a position that we’ve reduced the choices that our customers have to literally zero.”

Horace and other dealers say they have difficulty selling even a few electric cars. They’re still pricey, have limited traveling range and take too long to charge, Horace said.

It makes more sense to increase the supply of hybrids, he said, adding they are becoming more popular among rural people who, until recently, wanted nothing to do with them. For these folks, a hybrid could act as a stepping stone to pure electric vehicles, he added.

“We can get there, we just need time,” Horace said.

The dealers’ woeful forecasts made an impression on both boards’ members, even those who voted in favor of the rule.

“I heard a lot more to be concerned about than I expected to coming into this hearing,” said Maxine Paul, air quality board chairwoman. “Especially for the impacts of rural New Mexicans and disadvantaged New Mexicans.”

It will be important to ensure the rule doesn’t impose a greater burden on them, Paul added.

Karen Garcia, a state environmental board member, expressed sympathy for manufacturers and dealers who will be affected. But she said this challenge is inevitable in the changing car market.

“If we don’t pass this now, what would be different if we wait?” Garcia said. “Wait how long? Two years, three years? Would the dealers be coming back saying the same thing?”

Environmental board member Sandra Ely said increasing the number of electric vehicles in the state will reduce pollutants and help bring counties into compliance with federal air quality standards.

The rule will reduce nitrogen oxide emissions by more than 40% by 2050, Ely said, calling the reduction “huge.”

Nine counties, including Santa Fe and Bernalillo, exceed state ozone standards, according to state Environment Department data. Three exceed the federal standards, and five — including Santa Fe — are within 95% of the federal ceiling.

Garcia asked one panel of car dealers whether they supported phasing out polluting cars to reduce emissions and, if so, what would be an acceptable transition into electric vehicles.

A couple dealers said the solution wasn’t to artificially pump up supply of electric vehicles. Manufacturers are already cutting emissions on gasoline cars, they said.

In an interview outside the hearing, a climate advocate said the rule’s intention actually is to boost electric car supply to meet demand. And there will be flexibilities built in, such as counting hybrids, that will lower the quotas to as low as 24% for some dealers, he said.

“I think this regulation is all about getting the cars that people want in New Mexico,” said Travis Madsen, transportation program director for the Southwest Energy Efficiency Project. “We need the manufacturers to make the cleaner vehicles that perform better that save us money.”

Attorney Pete Domenici Jr., representing car dealerships, called the rule “a disaster.”

The rule’s timeline is not feasible, Domenici said, arguing it’s fanciful to think demand for electric cars will rise exponentially in 24 months and enough charging stations will be built to accommodate 28,000 vehicles.

“You’ll be asked most importantly that price affordability will improve by January of 2026,” Domenici said. “That’s not believable.”

But Feibelman of Sierra Club said demand now far surpasses supply, and this rule will correct the market. The state is building charging stations, so between those and home chargers, which can be bought for several hundred dollars, electric car owners will have no trouble, she said.

Many commenters told the boards they bought electric cars for less than $25,000 and plug them into a wall outlet to charge the battery, Feibelman said, adding most people had to go out of state to buy the cars.

“These [new] standards will allow everyone to find the clean cars they want in New Mexico and support New Mexico dealers,” she said.