New York becomes first US state to ban gas in new buildings – 5/3/2023 – Market

New York has become the first US state to ban the use of fossil fuels, such as gas, in most new buildings starting in 2026, a victory for environmental advocates.

The big win for environmental activists in this Democratic-majority state has its challenges, with a powerful fossil fuel industry and Republicans reluctant to accept the reality of climate change.

“Changing the ways we generate and use energy to reduce our reliance on fossil fuels will help ensure a healthier environment for us and our children,” said state Congress Speaker Carl Heastie after the bill was approved.

The law will go into effect in 2026 for new buildings with less than seven floors and until 2029 for taller ones.

According to the text, the gas used for heating and cooking will be replaced by electricity derived from renewable energies.

Hospitals, essential infrastructure and restaurants will be left out of these measures. It is expected that they will be extended throughout the country, a demand that has intensified since the beginning of the year.

The new law does not affect existing buildings. However, over time, that could undermine the dominance of gas in the state, where 3 out of 5 homes rely on fossil fuel for heating.

According to the Department of Energy, only one in seven homes is heated by electricity.

Buildings already constructed will not be affected by the new law.

The ban also affects diesel and propane heaters, fuels widely used mainly in rural areas of the state.

Critics say the law limits consumer choice and will increase costs, as electricity is more expensive than gas.

About 52% of New York homes use natural gas to heat apartments and cook food, the Department of Energy said.

The US is the world’s leading natural gas producer. With the Russian offensive in Ukraine in 2022, it became the main exporter of LNG (liquefied natural gas).

The new State Budget of US$ 229 billion (R$ 1.5 trillion), approved on Tuesday night (2) by Parliament, contemplates the creation of a Climate Action Fund to help the State in the energy transition to sources cleaner and more sustainable technologies -solar, wind and water – in order to meet its goals of reducing greenhouse gas emissions by 85% by 2050.