1-11-2025 12:13pm

Rep John Block Proposes Tax Increase on Renewable Energy

The New Mexico Roundhouse is ramping up to begin its 2025 legislative sessions which officially begins with the opening gavel on January 21st, 2025.

The state Democratic Party has outlined it's priorities for the session and the Republican Party will outline their priorities and agenda on January 13th.

Republican Representative John Block who represents most of Otero County has already filed a pre-bill which would increase taxes on homeowners and businesses that opt to use renewable energy. Block has made himself known as a radical on social issues and against any efforts to increase the use of renewable energy sources. The act as proposed is the Renewable Energy Production Tax Act.

As a note as of Jan 4, 2025, the average annual pay for the Solar jobs category in New Mexico is $85,370 a year. Just in case you need a simple salary calculator, that works out to be approximately $41.04 an hour. This is the equivalent of $1,641/week or $7,114/month per Zip Recruiter.

The bill as proposed would discourage the development of solar and wind farms, biomass and other renewable technologies facilities by imposing an additional tax burden upon the proposed new businesses, thus discouraging new business development and jobs in this sector.

"IMPOSITION OF TAX--RATE-- TAXABLE VALUE--DENOMINATION AS "RENEWABLE ENERGY PRODUCTION TAX".--

A. For the privilege of generating electricity from renewable energy resources, there is imposed on a generating facility an excise tax equal to three and three-fourths percent of the taxable value of each megawatt-hour, or portion thereof, of electricity generated from renewable energy resources in this state."

Block has been an extremist against any renewable energy claiming it devastates livestock and birds with statement such as:

"Ironically, wind turbines are known to break in gusts of extreme wind, (as we have a lot of the time in our state), not to mention how many birds they murder each year. With all the cow and bird murder, you’d think PETA would get involved to tell AOC and Haaland to quit with all the innocent bloodshed of livestock and wildlife. Solar energy is even more unsustainable, with the massive amounts of energy they take to make the panels, and the extreme toxic waste they emit, most likely far more than cow farts. Even more sophomoric is that these energies, being championed as our “saving grace” are all contingent upon the weather. God forbid we get a rainstorm or a tornado advisory."

Thus the legislative session is yet to begin and Otero County Representativ John Block's early prefiling of legislation dies not help with bringing livable wage jobs into the economically depressed Otero County instead he proposes legislation that would harm recruitment of renewable energy jobs into his home county and state by increasing taxes on those projects.

Mr. Block fails to recognize within his own backyard are employers such as the Buena Vista Solar project which is an innovative solar and energy project for Otero County, New Mexico that will have a capacity of up to 120 megawatts of clean, renewable, American-made solar energy, combined with 50 megawatts of battery energy storage. The Buena Vista Solar project is more than solar panels and batteries - it represents a significant capital investment in New Mexico. Once operational, it will create good-paying jobs and millions in additional revenue for the local community. It is a subsidiary of NextEra Energy Resources, LLC, the world’s largest generator of renewable energy from the wind and the sun.

The facility, located near Chaparral in Otero County New Mexico, will supply enough electricity to power about 60,000 homes, according to EPE, which serves about 460,000 electricity customers in West Texas and southern New Mexico. It includes a back-up battery storage system that can supply 50 MW per hour of additional power for up to four hours after the sun goes down, according to renewable developer NextEra Energy Resources, which built the facility and will operate it for EPE over the next 30 years

According to information from NextEra Energy Resources, the Buena Vista Solar project is expected to generate a significant economic impact for the local community, including creating 150 construction jobs and providing $12 Million to Otero County in taxes under the existing tax structure to improve roads and schools.

Editor's Commentary:

Legislation such as the one proposed by Mr Block, more than likely will not even pass the committee. This tax increase legislation as proposed by Mr. Block shows an assault on new business development of 21st Century technologies and jobs for Otero County, New Mexico.

As the headlines locally mention more employers leaving Alamogordo such as Big Lots, Melrose and others, the need for new livable wage industries that create jobs in construction and maintenance of these projects is essential to future prosperity.
Tax increases on businesses are always passed along to the consumer. A tax increase on electricity is a tax increase that will be passed aling to every New Mexico household and business.

It's time that Mr. Block puts his personal agenda aside and actually address legislation that helps the prosperity of his constituents. No more taxes!
Stay tuned the legislative session is just about to begin.