EV Policies:

New Mexico’s Alternative Fuel Acquisition Act, signed into law in 2002 and amended in 2007, requires that 75% of vehicles bought by state agencies and educational institutions meet or exceed national CAFÉ standards, are hybrid vehicles, can use alternative fuel, or are plug-in electric vehicles (EVs). The state provides grants for state fleets and political subdivisions to acquire EVs and alternative fuel vehicles. New Mexico’s Grid Modernization Grant Program also offers grants for grid modernization technologies including EVs (HB 233, 2020). 

In 2019, the state established a personal income tax credit for purchasing or leasing a qualified EV or plug-in hybrid, with the credit amount based on the vehicle’s specification and the buyer’s income level (HB 185), see more here.  

In 2023, New Mexico adopted California’s Advanced Clean Cars II Program and Clean Trucks regulations, setting progressively stricter emissions standards for passenger vehicles and heavy-duty trucks, aiming for a significant increase in new zero-emission vehicle sales by 2032. Key targets include: 

• 43% by 2026
• 80% by 2030 

The state established a framework for recycling and repurposing EV batteries, promoting sustainability in the EV sector in 2025 (HB 310).