California “enhances” its clean fuel standard: gas to increase 67 cents a gallon

New Mexico has not implemented, but HAS adopted (as of the 2024 legislative session) a California-style “clean fuel standard.” A RGF analysis found that (contrary to statements by the MLG Administration) the fuel standard will dramatically increase gas prices paid by New Mexicans.

Well, California just revised its “clean fuel standard” to make it more stringent in terms of its CO2 reduction benefits and, guess what? According to a report by Kleinman Center for Energy Policy, the State’s gas prices are expected to increase by 65-cent per gallon under the revised standards. Furthermore, the report notes that “If LCFS credit prices reach their maximum allowed levels, as has occurred in the past, then retail gasoline price impacts could be $0.65 per gallon in the near term, $0.85 per gallon by 2030, and nearly $1.50 per gallon by 2035.”

The GOOD news for New Mexicans is that even the initial round of cost increases has not occurred yet. We haven’t heard plans (yet) to follow California in further increasing our standard and therefore our gas prices. This DID Happen with New Mexico’s EV mandates which ALSO follow California as that state further increased its EV mandate so did New Mexico. This is one to keep an eye on.