San Francisco could force renovation projects to get rid of natural gas lines

The San Francisco Board of Supervisors will decide Monday night on a plan to ban gas appliances in homes and businesses that undergo substantial renovations. The proposed ordinance could take effect in 2026 and require property owners to transition from gas utilities to electric systems when seeking permits for major renovation projects.
The measure would affect about 785,000 square feet of residential renovations and 250,000 square feet of commercial projects annually, according to city estimates. Board of Supervisors President Rafael Mandelman, who sponsors the bill, cited climate change as the motivation for the proposal, which builds off a 2020 ban on gas appliances in new buildings, according to reporting by the San Francisco Chronicle.
The proposal is the latest attempt by San Francisco city leaders to reduce building emissions from buildings as part of an effort to reach net-zero emissions by 2040. However, if the measure passes, it will likely face legal and practical hurdles that have already forced other California cities to reconsider similar bans.
How would San Francisco’s gas ban on new renovations work?
Under the ordinance, property owners would be required to ditch gas whenever a renovation project involves alterations to walls or ceilings on more than two-thirds of a building, or alterations to load-bearing elements supporting over 30% of floors or ceilings.
“You’re already taking out the mechanical systems, you’re doing these really major alterations in the property,” said San Francisco Environment Director Tyrone Jue, in the San Francisco Chronicle. During construction is an ideal time to electrify instead of “rebuilding with legacy systems,” Lue added.
The electrification requirement would also apply to substantial additions that involve the installation of new utility systems. However, the bill includes numerous exceptions designed to avoid legal challenges that have derailed similar policies elsewhere.
How are legal concerns being addressed?
San Francisco learned hard lessons from a natural gas ban in neighboring Berkeley, which a federal appeals court struck down in 2024. The Ninth Circuit ruled that Berkeley’s ordinance conflicted with federal law by indirectly regulating gas appliances, which fall under federal jurisdiction.
The court decision led San Francisco to amend its existing new construction gas ban to exempt appliances covered by the Energy Policy and Conservation Act. The renovation ordinance includes a similar carve-out for federally regulated appliances, such as furnaces, water heaters and stoves.
The exemption could allow motivated property owners to claim that their gas installations serve federally regulated appliances, potentially undermining the ban’s effectiveness.
What are the industry and political reactions?
The proposal also includes an exemption for buildings with commercial food service, which the Golden Gate Restaurant Association supported. The group’s Executive Director, Laurie Thomas, called cooking with gas “integral to restaurants” and warned that excluding gas would harm the industry.
Some developers and building officials worry the requirements could discourage necessary repairs. Developer Eric Tao supports banning gas for voluntary renovations but fears additional requirements might prevent property owners from making critical safety upgrades that trigger the ban.
Commissioner Kavin Williams, the lone dissenter, called the bill “red tape for the sake of red tape,” arguing that electrification is already underway due to market forces and the existing policy for new construction.
The Land Use and Transportation Committee will hear the bill on Tuesday. Mandelman told the San Francisco Chronicle that he’s confident it will pass despite the proposed amendments his office is still considering.