Join us in taking a stand against rules that hurt California developers and exacerbate our housing shortage crisis.
As part of a last-minute change to its Building Decarbonization Proceeding, the California Public Utilities Commission (CPUC) is considering a proposal that would make it more expensive for developers to connect to gas distribution lines, slowing efforts to expand our affordable housing stock. This is senseless. Every agency should be joining forces to accelerate housing development right now.
Under current gas line extension rules, when a building is constructed, the entity that owns the building applies for connection to the gas utility’s system. The total cost is paid by the owner, but that owner can receive an allowance, discount, and/or refund of some of those costs as long as certain criteria are met.
The CPUC is considering removing these discounts in order to make building with gas connections more expensive in an effort to encourage electric-only construction.
Eliminating gas distribution main and service line extension allowances, refunds, and discounts adds new costs to commercial and residential development.
California is experiencing a housing crisis that has been exacerbated by record-breaking construction costs in commercial and residential development driven by supply chain issues, outdated environmental review processes, and a plethora of growing taxes and fees.
What's more, many commercial and industrial businesses have core operations that cannot be electrified. These include manufacturing equipment, boilers, large pools, and other uses that require high-heat loads where there isn’t an electric alternative.
The CPUC needs to hear from business organizations across the region that are committed to holding commissioners accountable. We need to send a strong, unified message that we oppose regulations that make housing construction more expensive and eliminate energy choice among consumers. Make your voice heard by adding your logo to our coalition letter!
BizFed supports energy choice over one-size-fits-all policies because it keeps energy reliable and affordable. We hope you join us as we mobilize to defeat this misguided proposal. If you have any questions, please contact sarah.wiltfong@bizfed.org.
In your corner,
Tracy Hernandez,
Founding CEO, BizFed
