Gov. Bill Richardson has painted a target on New Mexico's coal-fired power plants, saying they provide a major source of electricity for homes and businesses in the state but pump far too much pollution into the air.

Richardson called out the coal plants during his State of the State speech before the Legislature on Tuesday, but his administration says they're not the only polluters the governor is after.

"It could be any kind of entity that has an air permit. We're talking about really gross violators of our air pollution laws," said Sarah Cottrell, the governor's energy policy adviser.

Part of Richardson's solution includes legislation to give state regulators the power to deny new permits or revoke existing permits after a track record of air quality violations. State laws that govern water, solid wastes and hazardous materials already include a so-called "bad actor" clause, but the air quality act does not.

Richardson also plans to tackle emissions blamed for global warming with legislation that would lay the groundwork for a future cap-and-trade program, either as part of the Western Climate Initiative's plan to reduce greenhouse gas emissions or as a mandate from the federal government.

The measure would allow state regulators to establish rules for early reduction credits, offsets and the reporting of greenhouse gas emissions for electricity imported to New Mexico.

Jim Norton, director of the New Mexico Environment Department's Environmental Protection Division, said Richardson's proposals would be an important step toward reducing greenhouse gas emissions.

But would the measures have an immediate impact on New Mexico's biggest source of emissions — the coal plants?

Norton said that depends on what kind of permitting actions come up in the future.

The San Juan Generating Station near Farmington recently completed $330 million in improvements to reduce emissions, settling thousands of air quality violations that occurred over the course of a few years. New Mexico's largest utility, Public Service Company of New Mexico, owns a large stake in the plant.

The neighboring Four Corners Power Plant, one of the largest coal-fired plants in the United States, also meets or exceeds all state and federal environmental regulations, said Damon Gross, a spokesman for Arizona Public Service Co., which owns part of that plant.

Despite their efforts to stay in compliance, Norton said coal-fired plants are still a leading source of the pollutants that make up greenhouse gases.

Tom Singer, a senior policy analyst with the Natural Resources Defense Council, applauded Richardson for highlighting New Mexico's heavy reliance on coal.

"Unless New Mexico electricity consumers shuck all that coal power, we're not really going to change the game," he said. "We need to dip our toe into efficiency and renewables."

The problem is that coal-fired plants produce most of the electricity that powers New Mexico, and there are currently no alternatives with limited emissions that could produce enough electricity to meet demand.

"For better or for worse, coal is a key part of our energy mix and it is a major reason why our rates are so low compared to other states," PNM spokesman Don Brown said. "We absolutely acknowledge that there are environmental impacts from coal and are seeking to reduce the impacts as much as possible."

Brown said PNM is expanding its portfolio to include more renewable-energy projects. He pointed to a new partnership with First Solar of Arizona to build five photovoltaic facilities that could produce enough electricity for 7,000 homes.

Arizona Public Service is doing the same by investing in wind, geothermal and solar projects, including a 280-megawatt concentrated solar project south of Phoenix.

There's no certainty Richardson's air quality bills will get through the Legislature this year, as lawmakers are busy scrambling to close a whopping budget shortfall.

The "bad actor" bill didn't get far when it was introduced last year, and anything concerning greenhouse gases is expected to result in a long floor debate.




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