House passes bills giving New Mexico control over underground carbon storage and a fund for long‑term monitoring

The House passed two linked measures on carbon dioxide storage after hours of debate about safety, local control and economic opportunity. Lawmakers approved House Bill 4 57, a bill to allow New Mexico to apply for federal “primacy” to administer Class 6 underground injection wells for carbon storage, and House Bill 4 58, which establishes a long‑term stewardship fund to pay ongoing monitoring and closure costs.

Supporters said the bills let the state set stricter conditions than the U.S. Environmental Protection Agency would impose and require tribal consultation, community engagement and community‑benefit planning. They described primacy as a way to require clearer rules for site selection, unitization, monitoring, emergency response and financial assurance, and to give New Mexico energy and research firms a role in developing carbon‑management jobs.

Opponents raised safety and track‑record concerns. Members who argued against the measures pointed to high‑profile carbon‑capture projects that failed elsewhere, the risk of leakage and the possibility that captured carbon might be used for enhanced oil recovery — which critics said would undercut climate goals. Some speakers urged stricter limits on unitization or questioned whether permitting new projects should proceed until legacy contamination is better addressed.

Key technical and policy points debated - Scope: House Bill 4 57 defines ‘‘pore space’’ and makes explicit that pore‑space ownership can belong to surface owners; the bill also clarifies that eminent‑domain authority is not expanded by the measure. Supporters said that definition follows New Mexico case law and stakeholder discussion. Opponents said giving a new property right requires careful review. - Primacy: Supporters argued state primacy lets New Mexico tailor rules to local geologies, require tribal consultation and add public‑benefit conditions; opponents feared rushed approvals and questioned whether state agencies have capacity. - Unitization and compensation: The bill calls for a high threshold (85%) for forced unitization and equal compensation to pore‑space owners inside a unit; proponents said that is a stronger protection than some other jurisdictions. - Monitoring and duration: Backers said models, pre‑injection site evaluation and continuous monitoring (including 50 years of post‑closure monitoring) are required under the statutory framework and under expected rules. - Long‑term stewardship funding: House Bill 4 58 creates a fund financed by operator fees (noted in debate as not less than $0.10 per metric ton) to pay monitoring and potential remediation once an operator stops injections.

Who spoke and how the House acted - The long debate included question‑and‑answer exchanges with the sponsor and with staff and experts. Speakers included a bill sponsor identified in debate as the Representative from Bernalillo (led the presentation and explanation), several other legislators who pressed on technical details, and references to expert witnesses (including a university researcher and agency staff) who had briefed members. - House Bill 4 57 passed on final passage by a vote of 48 in favor and 15 opposed. House Bill 4 58 passed by a vote of 51 in favor and 11 opposed.

Why it matters If New Mexico obtains federal primacy for Class 6 wells, the state Energy, Minerals and Natural Resources Department would write and enforce many of the operating rules, permitting conditions and monitoring requirements for CO₂ injection projects rather than the EPA. Supporters say that improves local oversight and allows the state to require tribal consultation and community benefits; critics say it shifts risk to communities and that carbon‑capture technology has a mixed track record.

What comes next Both bills now move to the governor for consideration (and to any additional transmittals required by legislative rules). If the governor signs the primacy bill and the state applies for primacy with the EPA, a separate federal review and rule‑making process would begin before New Mexico could fully assume permitting authority for Class 6 wells. The stewardship fund created by House Bill 4 58 will require rule‑making guidance and administrative implementation details from state agencies.

Votes at final passage: House Bill 4 57 — 48 yes, 15 no; House Bill 4 58 — 51 yes, 11 no.