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N.M. regulators stir debate over fracking water | Arkansas Democrat Gazette

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N.M. regulators stir debate over fracking water | Arkansas Democrat Gazette


SANTA FE, N.M. — Environmental officials in New Mexico took initial steps last week toward regulating the treatment and reuse of oil industry fracking water as the state grapples with scarce water supplies and fossil fuel producers confront shrinking opportunities for wastewater disposal.

A state water quality commission opened a weeklong series of hearings as the nation’s No. 2 state for petroleum production begins to build out a series of rules that initially prohibit the release after treatment of so-called produced water from oil and gas production while still opening the way for pilot projects.

“The rule is prohibitive when it comes to any type of release of any type of produced water, whether treated or untreated,” said Andrew Knight, assistant general counsel to the state Environment Department, in opening statements. “At this point, we couldn’t even tell you what testing would be needed to determine that a certain treatment technology or combination of technologies would be protective.”

He said the agency’s initial rule would be “as protective as possible while still allowing the science to advance through pilot and then demonstration projects.”

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The proposal is generating public protests that give voice to fears of undisclosed contaminants used in the oil- and gas-drilling process. At the same time, oil producers and at least one water service provider say the regulations don’t provide specific water quality standards that might help effective treatment projects move forward.

The Environment Department “apparently wants a regulation to be able to deny a permit based on the source of the water, not its quality,” said Liz Newlin Taylor, an attorney for Select Water Solutions, a Houston-based water-management company for energy producers with operations in Carlsbad. “New Mexico certainly needs additional sources of water, and treated produced water could be part of this solution. These proposed regulations, however, failed.”

Several environmental groups are urging the Environment Department to strike definitions that refer to the reuse of treated water in agriculture, recreational fields, rangeland and potable water.

“The public, understandably, is concerned that the rule allows land application of produced water, and that produced water will infiltrate and pollute groundwater,” said Tannis Fox, an attorney representing environmental groups Amigos Bravos and The Sierra Club. “This is not what the rule says, but it is what members of the public are concerned about.”

New Mexico Gov. Michelle Lujan Grisham has pitched plans for the state to underwrite a strategic new source of water by buying and selling treated water that originates from the used, salty byproducts of oil and natural gas drilling. Related legislation stalled at the Legislature in February without a House or Senate floor vote, but the governor has said she’ll persist.

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Several dozen protesters gathered recently outside the state Capitol to condemn the oil wastewater rule.

They included the lead plaintiff in a lawsuit alleging the state has failed to meet constitutional provisions for protecting against oil and gas pollution.

Another protester, Reyes DeVore, of Jemez Pueblo and the Native American environmental rights group Pueblo Action Alliance, said, “We collectively stand in opposition to the reuse of toxic oil and gas wastewater outside of the oil field.”

“The strategic water supply that Gov. Grisham announced, it’s not a real solution,” she said.

Expert testimony submitted by the New Mexico Oil and Gas Association paints a dire portrait of competition in New Mexico for water resources among cities, farms, industry and wildlife — even as oil-industry water demands grow for fracking.

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“Over the next 50 years, New Mexico will have approximately 25% less water available in rivers and aquifers,” said John D’Antonio, who previously served as New Mexico’s top water regulator — the state engineer. “It impacts everything from municipal planning to population growth to economic activity.”

Other expert testimony from the association notes that oil companies have more and more produced water to dispose of as they increase drilling activity — with decreasing capacity for disposal because of concerns including earthquakes linked to high-pressure injection wells.

The industry generates four or five barrels of wastewater for every barrel of oil produced, said Robert Balch of the Petroleum Research Recovery Center at New Mexico Tech in Socorro.

    Members of the New Mexico Water Quality Control Commission, including Chairman Bruce Thomson, center, gather in Santa Fe, N.M., Monday, May 13, 2024. Environmental officials in the nation’s No. 2 state for petroleum production are taking initial steps toward regulating the treatment and reuse of oil-industry fracking water. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. (AP Photo/Morgan Lee)
 
 
  photo  Protesters gather outside the New Mexico Statehouse to denounce a proposed rule for the treatment and recycling of oil-industry fracking water, Monday, May 6, 2024, in Santa Fe, N.M. Environmental officials in the nation’s No. 2 state for petroleum production are taking initial steps toward regulating the treatment and reuse of oil-industry fracking water. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. The state’s Water Quality Control Commission opened a weeklong series of hearings on Monday, May 13. (AP Photos/Morgan Lee)
 
 
  photo  Andrew Knight, an attorney for the New Mexico Environment Department, introduces proposed rules for regulating the treatment and reuse of oil industry fracking water in Santa Fe, N.M., Monday, May 13, 2024. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. The state’s Water Quality Control Commission opened a weeklong series of hearings on Monday. (AP Photo/Morgan Lee)
 
 
  photo  Members of the New Mexico Water Quality Control Commission, including Chairman Bruce Thomson, second from left, gather in Santa Fe, N.M., Monday, May 13, 2024. Environmental officials in the nation’s No. 2 state for petroleum production are taking initial steps toward regulating the treatment and reuse of oil-industry fracking water. New Mexico has been grappling with scarce water supplies, and fossil fuel producers are confronting shrinking opportunities for water disposal. (AP Photo/Morgan Lee)
 
 



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New Mexico

14 indicted in alleged Permian Basin crude‑oil theft scheme spanning New Mexico and Texas, prosecutors say

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14 indicted in alleged Permian Basin crude‑oil theft scheme spanning New Mexico and Texas, prosecutors say


A federal grand jury in Lubbock has indicted 14 people accused of stealing crude oil in eastern New Mexico and hauling it into Texas to resell at cut‑rate prices.

Prosecutors say the scheme targeted the Permian Basin’s vast production network, the oil‑rich region spanning southeastern New Mexico and West Texas that covers more than 86,000 square miles and accounts for the majority of U.S. crude oil production.

All 14 defendants are charged with conspiracy to transport stolen property across state lines, and several also face counts of interstate transportation and receipt, possession, or sale of stolen property, according to the U.S. Attorney’s Office for the Northern District of Texas.

Indictment outlines alleged operation 

Returned April 8, the indictment alleges the group stole crude oil in eastern New Mexico, some stored on U.S. government-leased land, and resold it to co‑conspirators at prices below the standard U.S. market benchmark.

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Prosecutors say the conspirators transported the stolen oil into Texas for resale at a profit, knowing it was stolen.

Texas, New Mexico defendants identified by prosecutors

Texas defendants are James Darrell Reid, 65, and Randell Wayne Reid, 41, owners of Texas-based Reidco Enterprises and both of Electra – about 25 miles northwest of Wichita Falls and 115 miles from Fort Worth – along with Christopher Frederick Harris, 22, of Seminole, about 80 miles west of Midland.

The remaining 11 defendants are from Lovington, a southeastern New Mexico community of about 11,690 people, roughly 20 miles west of the Texas state line and squarely inside the Permian Basin.

They include:

  • Louis George Edgett, 68;
  • Brenden Floyd Strickland, 25;
  • Sixto Herrera-Estebane, 43;
  • Gyardo Gonzalez, 47;
  • Jesus Martin Hernandez-Borja, 51;
  • Diana Marquez Rojo, 45;
  • Jose Luis Rojo, 49;
  • Jose Mario Rivas-Mendoza, 37;
  • Miguel A. Soto, 41;
  • Tavares Montrail Cole, 48; and
  • Danny Dale Brown Jr., 42.

Potential penalties outlined by DOJ 

According to prosecutors, the defendants face up to five years in prison for conspiracy and up to 10 years per count for interstate transportation, possession, or sale of stolen property.

The investigation was conducted by the Bureau of Land Management, the FBI, the Texas Department of Public Safety’s Criminal Investigation Division, and sheriff’s offices in Lea and Eddy counties in New Mexico.

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CBS News Texas will provide updates as additional information becomes available.



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New Mexico

Governor establishes Energy Affordability and Grid Reliability Council – 13-member council designed to protect ratepayers, modernize the grid  – Office of the Governor – Michelle Lujan Grisham

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Governor establishes Energy Affordability and Grid Reliability Council – 13-member council designed to protect ratepayers, modernize the grid  – Office of the Governor – Michelle Lujan Grisham


SANTA FE — Governor Michelle Lujan Grisham today signed an executive order establishing the New Mexico Energy Affordability and Grid Reliability Council to address the rising cost of electricity in a rapidly changing energy landscape.

The Council will convene state agency leaders, utility executives and experts in rural cooperative utilities, tribal energy, consumer advocacy, and energy policy and infrastructure to develop strategies for keeping energy affordable while ensuring the grid can meet the demands of a growing, modernizing New Mexico economy.

“At a time of dramatically rising energy prices, it’s imperative that we do everything we can to protect New Mexico ratepayers while ensuring abundant clean energy supply,” said Governor Lujan Grisham. “The experts I’ve appointed to the New Mexico Energy Affordability and Grid Reliability Council are well-positioned to make smart, insightful recommendations and I look forward to their findings.”

The Council will evaluate and recommend strategies across four interconnected areas:

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  • Ratepayer protection: Ensuring that large-load growth — including data centers and onshore manufacturing — does not disproportionately increase costs for residential, rural, tribal and small business customers.
  • Grid modernization and reliability: Recommending rate designs and financing strategies that enable prudent infrastructure investment while minimizing long-term rate escalation.
  • Clean energy progress: Advancing New Mexico’s net-zero goals under the Energy Transition Act by expanding zero-carbon generation and storage while maintaining affordable access.
  • Permitting efficiency: Identifying opportunities to streamline and coordinate state and local permitting for electricity infrastructure — accelerating deployment of clean energy projects without compromising environmental review, tribal consultation, or regulatory safeguards.

The Council will deliver a final report — including legislative, regulatory and administrative recommendations — to the Governor and the Legislature by November 1, 2026.

The Council consists of 13 members representing state government, utilities, rural cooperatives, tribal communities and independent experts:

  • Erin Taylor, acting secretary, Energy, Minerals and Natural Resources Department
  • Rob Black, secretary, Economic Development Department
  • Cholla Khoury, chief of staff, Public Regulation Commission
  • Lynn Mostoller, executive director, Renewable Energy Transmission Authority
  • Sunalei Stewart, deputy commissioner for operations, State Land Office
  • Don Tarry, president and CEO, TXNM Energy (PNM)
  • Kelly A. Tomblin, president and CEO, El Paso Electric
  • Zoe Lees, regional vice president, regulatory policy, Xcel Energy
  • Vince Martinez, CEO, New Mexico Rural Electric Cooperative Association
  • Javier Bucobo, vice president of markets and regulatory affairs, Avangrid (grid infrastructure expert)
  • Joseph Yar, attorney, Velarde & Yar (consumer/ratepayer advocate)
  • Sandra Begay Keeto, retired, Sandia National Laboratories; member, Navajo Nation (tribal energy expert)
  • Rep. Meredith Dixon, New Mexico House of Representatives, District 20 (energy policy expert)

The Council is administratively attached to the Department of Finance and Administration. Members will serve without compensation, other than per diem and mileage as permitted by law.

The executive order can be viewed here.



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Duke Rodriguez challenges state’s universal child care in lawsuit

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Duke Rodriguez challenges state’s universal child care in lawsuit


ALBUQUERQUE, N.M. – Republican candidate for governor Duke Rodriguez is suing Governor Michelle Lujan Grisham over her executive order that started universal free child care before a new law takes effect.

The governor enacted the program through executive order in November.

Lawmakers passed a universal child care law during the past session, but that law does not take effect until May 20.

Rodriguez says he objects to some of the rules and to how the governor started the program. The suit asks the Second Judicial District Court to prohibit further enforcement of any regulations tied to the program. 

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“You could understand an outgoing governor trying to do it for political capital, for expediency just to say, I’m first in the nation.” Rodriguez said.

Rodriguez says he is confident he will win and that the rules he is challenging will be struck down.

“We also now have what we call pre emptive eligibility, which means you don’t even have to prove you’re eligible and you’re covered the moment you walk in,” Rodriguez said. “All of those things individually and collectively that have been proposed and changed probably invite fraud, waste and abuse and you know it.”

The governor’s office responds

The governor’s office sent a statement saying the program was properly implemented and that the governor is confident the lawsuit will be rejected.

A spokesperson for the governor sent KOB 4 the following statement:

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This lawsuit makes clear that Mr. Rodriguez has a fundamental misunderstanding how state government works.  He states that ECECD did not have the authority to undergo rulemaking regarding universal childcare. They do. He states that ECECD did not have the funding to implement the program when they did their rulemaking. They did. That is why the program was operational in December – before the 2026 Legislative session started.  Perhaps more importantly, the lawsuit ignores that the legislature passed SB 241, which codified the program and its future funding into law. The governor is confident that the courts will reject his meritless claims.



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