The U.S. Environmental Protection Agency has proposed approving a plan negotiated by the agency, Republican Gov. Susana Martinez's administration and the state's largest electric provider, PNM.
Wednesday announcement kicks off a 30-day public comment period.
The plan aims to curb haze-causing pollution from the San Juan Generating Station in northwestern New Mexico. Critics have long complained that San Juan and other coal-fired plants in the Four Corners region have compromised air quality and visibility at national parks in the area.
EPA officials say air pollution has no geographical boundaries and the plan will go a long way toward improving scenic visibility under the Clean Air Act.