Emissions cap will hinder economic growth in New Mexico

Harry Montoya

While significant advancements are being made on a daily basis around the globe in alternative energy development from a myriad of sources including solar, wind, geothermal, hydrogen and others, our modern energy consuming society is still not at the point where we can cut ourselves off from traditional fossil fuels.

The recent decision by the Obama administration to expand oil and gas development and exploration on the United States Outer Continental Shelf acknowledges this fact. In his announcement, President Obama stated that this approach is “part of a broader strategy that will move us from an economy that runs on fossil fuels and foreign oil to one that relies on homegrown fuels and clean energy. The only way this transition will succeed is if it strengthens our economy in the short term and the long term. To fail to recognize this reality would be a mistake.”

I believe the operative words in the president’s announcement are “economy” and “reality,” especially as they pertain to efforts underway by the New Mexico Environmental Improvement Board (EIB) and New Energy Economy to establish a carbon emissions cap that is 25 percent below 1990 levels by 2020. Given the current economic realities of the global recession and the reality that we cannot make the switch from fossil fuels to clean energy overnight, the proposed emissions cap will have dire consequences for our economy here in New Mexico.

Such a cap, if imposed here, would force our domestic statewide exploration to other states that don’t have an emissions cap. In fact, the proposed cap is more stringent than anything even being considered on the federal level.

As a candidate for commissioner of public lands, I join several industry groups, legislators and Lt. Gov. Diane Denish who have recognized this, and I add my voice to the opposition. We need a reasonable and measured approach to our energy dependence; crippling New Mexico’s economy to achieve an unreasonable goal does not seem to me to be sound public policy.

Develop clean energy opportunities

Key to solving our dependence on foreign oil is full development of renewable energy opportunities. If anything, the biggest takeaway message from the president’s announcement should be that we re-double our efforts to explore and develop clean energy opportunities that already abound in New Mexico.

Our children in New Mexico own 9 million acres of state trust lands. Revenues generated on these lands from energy production and other activities go back into the classroom to support our public education systems. Of the many duties and responsibilities given to the commissioner of public lands by our
Constitution and statutes, I believe generating revenues for our schools, universities and state hospitals to be chief among them.

It was recently reported in Socorro that drilling crews dug a 1,100 foot exploratory well and found water heated by geothermal sources deep under the earth’s surface. The local newspaper reports that the water “could potentially be used to heat every building on the main campus of New Mexico Tech, eliminating virtually all use of natural gas at a cost savings to taxpayers of around $500,000 a year.”

Now, just imagine similar alternative energy projects located adjacent to other universities, schools, teen centers or clinics throughout the state.

Seemingly limitless alternative energy sources

So, why can’t we look at a scenario like the Socorro example where energy developed from renewable sources on state trust lands can be generated for and sold to adjacent public schools at a lower rate than conventional fossil fuel sources? At the same time, participating schools would develop a robust renewable energy curriculum to educate students on the science and practical applications of renewable energy production.

As a candidate for commissioner of public lands, I view this as a win-win situation and, when elected, I would convene a collaborative working group of legislators, utilities, school officials and the state’s Renewable Energy Transmission Authority to explore the feasibility of this concept.

Our state’s seemingly limitless alternative energy sources have made us the envy of the nation. Let’s develop innovative partnerships that will make New Mexico schools and taxpayers benefit economically, ramp up renewable energy production on state trust lands, and help ensure that the eventual road to energy independence is paved and ready for travel.

Montoya is a Santa Fe County commissioner and Democratic candidate for state land commissioner.

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