Overview

• New Mexico Gov. Michelle Lujan Grisham has proposed a plan to turn the waste water from oil and natural gas drilling into a new water source.
• The plan involves setting water purification standards and purchasing treated water that originates from oil fields and the state's natural underground reservoirs of brine.
• The governor has asked the Legislature to set aside $500 million to underwrite the acquisition of treated water. The funding would come from the state's bonding authority and financial reserves in the Severance Tax Permanent Fund.
• The treated water would be made available to businesses ranging from microchip manufacturers to hydrogen fuel producers.
• However, there is skepticism from some lawmakers and industry experts about the feasibility of scaling up water treatment and dealing with the large amounts of salt produced in the process.