Memo: The influence of oil and gas on New Mexico’s political landscape

Memo: The influence of oil and gas on New Mexico’s political landscape

The following memo was sent to New Mexico Elected officials and also as an open letter to all New Mexicans on Tuesday May 27. Be sure to click over to our interactive data page to see how and where the oil and gas industry spent money to gain political capital.

MEMORANDUM

TO: New Mexico Elected Officials and Concerned New Mexicans
FROM: ProgressNow NM
DATE: May 27, 2025
SUBJECT: Outsized Influence of the Oil and Gas Industry on New Mexico’s Political Landscape

This memo seeks to inform New Mexico’s political leaders and policy makers of the very real threat posed by the ongoing and undue influence from out-of-state oil and gas corporations on the people of New Mexico. In the last year, these corporations have spent approximately $4,587,452 to influence New Mexico’s political landscape through election contributions and lobbying efforts meant to sway policy makers away from making any policy changes that the corporations deem harmful to their bottom line. That is just from the last reporting period of the 2024 election cycle and the 2025 legislative lobbying reports to date. To put it into perspective, the oil and gas industry alone contributed nearly 10% of every dollar in candidate contributions in 2024, and a whopping 54% of all lobbying expenditures during the legislative session.

As you can see in the attached documents, oil and gas corporations outspend all other industries in their political spending by a significant margin. This spending constitutes “speech” under US legal definitions, and it is the right of all people to be heard by our elected officials. However, the practical effect of the outsized “speech” by out-of-state corporations is to drown out the concerns and cares of everyday New Mexicans. This is especially true when looking at the lobbying reports, showing that over half of all dollars spent lobbying came from the oil and gas industry.

When our state’s policy decisions are made in response to only the loudest and richest voices, the public interest and scientific consensus are ignored—leading to underfunded healthcare, widening inequality, and unstable communities where too many are left behind.

  • A threat to our Democracy 
    • Out-of-state oil and gas corporations exert enormous political sway through their campaign contributions and direct lobbying. In the 2024 elections, oil and gas corporations contributed a total of $2,326,896, far more than any other industry. In fact, in the last 20 years, the 2024 cycle constituted the largest amount that industry has ever contributed. The political capital earned from those investments by oil and gas corporations can be quantified when assessing which candidates received the most overall campaign contributions and the various positions in leadership in both the majority and minority parties in the House and the Senate. 
    • Additionally, the oil and gas lobby continued to exercise political “speech” during the 2025 legislative session at a highly elevated rate, when compared to the spending of other industries specifically. Oil and gas spent a reported $2,260,556 during the 2025 legislative session, constituting 54% of all lobbying dollars reported as of May 8, 2025. 
    • It should be noted that when compared to the ability of everyday New Mexicans to lobby their representatives there is not a comparable data set, but it is reasonable to ascertain that most New Mexicans do not have the resources to directly lobby elected officials at anywhere near the same level.
      • Example: If a community-based organization plans a lobby day for their members, they may provide some funding for those members to travel to Santa Fe and cover some costs such as lodging or meals. However, if a committee does not hear the bill which the organization is concerned with on that day, those members will likely not be able to return or stay until it is heard. This scenario happens all the time for various reasons and on various bills regardless of policy topic. However, for the purposes of this memo and because of the sheer dollar amount wielded by oil and gas corporations, it is fair to assume that the access of oil and gas lobbyists is disproportional to that of the everyday New Mexican. 
    • Directly influencing the legislature and other policy making bodies can be quantified by looking at campaign contributions and to some extent lobbying reports. However, the ability of oil and gas lobbyists to also utilize their outsized war chests for propaganda purposes should not be overlooked. Everyday New Mexicans who seek to have a voice and exercise their right to be heard must also have an equal right to information. That ability is compromised by the deluge of misinformation and disinformation spread through various media outlets through the well-financed oil and gas corporations.
      • Example: During the 2025 Legislative session New Mexico was inundated with a series of TV, Radio, and Internet ads regarding SB4, the Clear Horizons Act, a bill that would have limited harmful climate pollution from various industries, and other bills deemed “anti-industry”. TheNew Mexico Oil and Gas Association spent nearly $130,000 to push out ads against SB4, SB48, the Community Benefit Fund, and HB35, which would have excluded new oil and gas operations within one mile of schools. In this one instance alone it is easy to see how the ability for average New Mexicans to find fair and accurate information on that bill is easily manipulated by a single industry who represents out-of-state interests. 
  • Harming New Mexican families and communities directly 
    • Water- The oil and gas industry poses the greatest threat to New Mexico’s water future, both because of its disproportionate usage that far outweighs the average New Mexican’s water usage but also because again, the nature of their industry poses very real threats to the health and safety of the water itself. Hydraulic fracturing requires many dangerous chemicals being pumped directly into the subsurface of the land and oil and gas pockets are situated close to known water sources. A recent report shows that the oil and gas industry is averaging a spill of so-called “produced water” that contains harmful chemicals every seven hours so far in 2025. Most of New Mexico is currently in “Severe” or “Extreme Drought” conditions, with at least four counties also experiencing Exceptional Drought conditions – all due to climate change. When an entire state is experiencing the three highest tiers of drought conditions all at once, it should be the main priority of policy makers to prioritize water usage for the people of that state.
      • Example: The 2025 Legislature did take some forward-thinking steps to address water concerns, especially in the wake of loss of federal protections around surface waters. The oil and gas industry lobbied hard to include their wastewater in legislation that will commodify brackish water and create a marketplace for New Mexico’s water. While that specific language didn’t ultimately pass, the nature of commodifying brackish water, a resource that is heavily utilized and “owned” by the oil and gas industry already, is deeply troubling. 

These are not new claims or threats, but it is imperative that we not forget just how dire the water situation is in the state and take a serious look at how those resources are being allocated.

  • Air- The oil and gas industry emits tons of greenhouse gases into the air as a part of their business model. It is well documented that these gases cause harm at every level. On the local level, besides the gasses themselves, oil and gas operations create unknown amounts of disturbed soil which also contributes to dust pollution. Taken together, it is a fact that counties in New Mexico are amongst some of the worst for air quality according to the 2025 State of the Air Report. While some measures are in place to mitigate the effects of these issues, New Mexico communities within oil and gas areas continue to show elevated levels of nearly every measured risk factor associated with the known effects of that industry’s pollution. Because of ongoing difficulties to have their voices heard as mentioned above, New Mexicans who’ve been advocating for more oversight of oil and gas emissions have yet to see change on par with the threat and harm they are experiencing. 
  • Land- In addition to the aforementioned degradation of the land itself as a result of oil and gas drilling and associated infrastructure, the effects of the larger oil and gas industry can and are being felt by New Mexicans across the state. Longer, hotter, drier summers have impacted New Mexico’s landscape in myriad ways including a rise in heat-related illness, higher energy costs, and increased desertification. New Mexico has suffered a series of raging wildfires in recent years, coupled with devastating after effects such as flooding. The rising temperatures are scientifically linked to the ongoing production and consumption of oil and gas products. 
  • Jeopardizing New Mexico’s future
    • Financial instability- After 150 years of highly volatile and unscrupulous international marketing, oil and gas markets are notoriously unreliable. Oil and gas lobbyists often flaunt the whole-dollar amounts that state agencies report as revenue as evidence of their industry being indisposable to the state. However, since the early 1970s, oil futures prices have averaged at least two major declines per decade. No matter the high point from which the prices slip, because New Mexico’s budget is so reliant on the performance of oil and gas futures, we have seen time and time again moments when the state must readjust the budget to some massive fall in oil prices.
      • Example: In 2020 as the COVID-19 pandemic ground all international trade to a halt, world oil prices actually dove into negative numbers. The state of New Mexico was forced to call a special session and reevaluate the state’s budget, severely harming the state’s ability to then deal with the pandemic and setting other planned programs back, indefinitely in some cases. Meanwhile, the international reporting for every major oil and gas company showed that two years later, the industry reported record profits across the board. 
    • Projected falling revenue- Oil and gas are both finite resources. Additionally, renewable energy has now been cheaper over the last five years. Starting in 2020 when solar energy outpaced oil and gas in the US and really reaching a stride when it was reported that wind and solar energy combined were cheaper than oil and gas across Asia in 2024. Due to these two factors alone, the risk of falling oil demand and subsequent drop in oil prices put New Mexico at risk financially if we remain reliant on that industry alone for revenue.
      • Example: New Mexico’s workforce in the oil and gas market has never recovered from the layoffs that occurred in 2020. Meanwhile, the renewable energy market for jobs has soared. Advanced energy jobs in New Mexico grew 6% between 2022 and 2023 to 26,900 jobs in the state. Additionally, New Mexico’s Energy Transition Act has already successfully demonstrated that utility companies are investing in renewable energy domestically (within the state) and are already exceeding overall goals for energy production from renewable sources. Continuing to 
    • Increased costs
      • Oil and gas operations—and the climate change they accelerate—are driving up costs for New Mexican families in multiple ways. Pollution from extraction sites contributes to higher rates of asthma, cancer, and other health conditions, leading to increased medical expenses and lost workdays, especially in frontline and rural communities. Rising temperatures and prolonged droughts fueled by climate change are straining water systems, reducing agricultural yields, and pushing up utility bills as families struggle to cool or heat their homes. Wildfires and extreme weather events are becoming more frequent and severe, damaging homes and infrastructure, raising home insurance costs, and displacing entire communities. These are hidden costs that working families bear—not the industry responsible for them.
        • Example: The Hermits Peak/Calf Canyon Fire of 2022, the largest wildfire in New Mexico’s history, exemplifies the escalating costs borne by residents due to climate change exacerbated by fossil fuel emissions. While the fire was caused by a human error, it scorched over 340,000 acres, destroyed more than 900 structures, and forced approximately 15,500 households to evacuate due to exceptionally dry conditions due to climate change. The total estimated losses reached $5.14 billion, with $1.61 billion needed solely for smoke and ash cleanup. While the federal government allocated nearly $4 billion for compensation, many families continue to grapple with unreimbursed expenses, prolonged displacement, and the emotional toll of lost generational homes and livelihoods. This disaster underscores how the environmental and economic consequences of fossil fuel-driven climate change disproportionately impact New Mexican communities, highlighting the urgent need for policies that prioritize public health and climate resilience over industry profits.

In a poll conducted across eight western states this year, New Mexicans rank the lowest in their perception of the state being prepared for major or extreme weather events. New Mexico’s federal delegation recently announced that in fact New Mexico is not prepared for this year’s fire season, specifically, due to changes at the federal level. These concerns both from the public and our delegation should highlight the drastic need for action from state officials. 

  • Conclusion
    • New Mexico is often described as an “energy” state in reference to being the second largest producer of oil in the US. It is of course predictable that the oil and gas industry would have a strong presence in the political arena to protect those interests. But when taken as a whole, it is becoming increasingly evident that these corporations are:
      • Based outside of New Mexico and extracting not just resources from our state, but also our economic independence and our political hegemony. 
      • Focused solely on protecting their bottom line rather than acting in good faith as neighbors to ensure their industry is not causing harm at various levels. 
      • Able to spend millions of dollars to influence policy making rather than investing that capital into their operations in ways that would positively impact many of the concerns addressed in this memo.
    • The oil and gas industry has created an environment that keeps our policy makers reliant on the revenue of their industry without fostering new and more sustainable areas of economic growth. This impacts everyday New Mexicans by:
      • Not having a fair shot at meaningful discourse with their representatives over their concerns for stable, family-supporting jobs, the health of their families or quality of life in their communities. 
      • Risking our future by not being prepared for the eventuality of oil and gas revenue falling significantly as Permian shale has, by all accounts, reached peak production and will likely be played out within the next decade. 
      • Limiting innovation into new economic and technological opportunities that the youth of New Mexico could be leaders in such as solar, wind, and geothermal energy production; land and water restoration and remediation; and outdoor recreation. 


The information provided here is a snapshot of the political climate in New Mexico taken over just the last year. When combined with larger historical data over our state’s history, it is clear that the oil and gas industry is a major factor in the state’s economic and political fabric, but also one that has grown so large that we are now struggling to contain it. New Mexico is a diverse state culturally and geographically; we are a people proud of our history and land. That diversity is not reflected in the political influence and economic stranglehold of the oil and gas industry and their Wall Street stakeholders. 

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