New Mexico governor thanks oil and gas, cheers hydrogen plan

SANTA FE, N.M. (AP) — New Mexico’s Democratic governor is seeking legislation to help jump-start hydrogen production from natural gas in her state, a process that generates harmful greenhouse gases but could one day be harnessed to provide environmental benefits.

Gov. Michelle Lujan Grisham outlined the effort briefly at a convention of oil executives Monday in a speech that acknowledged the state’s reliance on industry tax revenue while pledging to enforce pro-environment regulations.

It’s the latest tightrope walk for the governor who has promised action on climate change while also working to shield the state’s oil and gas producers from a federal drilling moratorium on public lands issued by fellow Democrat President Joe Biden.

Lujan Grisham's first message to the executives was to put on their masks, citing her own emergency regulations issued weeks ago in response to the surge of the delta variant of the coronavirus.

She paused while some 300 attendees complied, before launching into a 20-minute speech thanking oil and gas producers for their contributions to the economy and tax revenues that form the backbone of state education funding.

She pledged to kick-start the hydrogen fuel industry in New Mexico with legislation in February.

“We are working on that as we speak,” Lujan Grisham said, adding that it’s part of an effort to turn New Mexico into a hydrogen fuel “hub.”

The bill could include taxes and incentives for energy producers to produce hydrogen, legal frameworks to facilitate production and storage, refueling corridors for truck traffic and training programs for workers in the industry.

“The Hydrogen Hub Act will continue (to) help us reach our ambitious climate goal of decreasing greenhouse gas emissions by at least 45% by 2030 — and boost our economy...