New York has finalized rules that prohibit fossil fuel systems in most new buildings, making it the first state in the U.S. to implement such a policy. Approved on July 25, 2025, by the State Fire Prevention and Building Code Council, the new requirements will ensure that homes and commercial buildings rely on electricity rather than natural gas or heating oil. Smaller buildings must comply by the end of 2025, with larger buildings following in 2029 (Canary Media).
A Policy Rooted in Climate Law
The ban stems from the 2023 All-Electric Buildings Act, a measure tied to New York’s broader climate law, the Climate Leadership and Community Protection Act. Buildings account for nearly one-third of the state’s greenhouse gas emissions, largely from space heating and cooking. By requiring electrification, the state aims to reduce carbon pollution while also improving public health and indoor air quality (Columbia Climate School).
What the Law Requires
From December 31, 2025, all new buildings under seven stories and under 100,000 square feet must install all-electric systems such as heat pumps and induction stoves. Taller buildings face the same requirement beginning in 2029. Exemptions apply for certain facilities, including restaurants, hospitals, crematoriums, and some industrial or laboratory uses. Even exempt buildings must be constructed “electrification-ready” to allow for future retrofits (Phillips Lytle Law Firm).
Pushback and Court Approval
Industry groups, including the New York State Builders Association, opposed the policy, arguing that the measure would raise construction costs and strain the electric grid. A lawsuit was filed on the grounds of federal preemption, drawing comparisons to the 2023 case where Berkeley’s citywide gas ban was struck down. On July 23, 2025, a federal district court sided with New York, ruling that the state retains the authority to regulate building codes to achieve climate and health goals (Reuters).
Costs, Savings, and Health Benefits
Studies suggest that while electrification may increase some upfront construction costs, households will save significantly over time. Research by the New Buildings Institute found that building all-electric homes could cut construction costs by about $8,000 compared to installing gas infrastructure. Over a 30-year period, homeowners may save around $5,000 in utility bills, with energy use reduced by roughly 17 percent (EcoWatch).
Health experts also highlight the benefits of phasing out gas appliances. Gas stoves contribute to elevated indoor nitrogen dioxide levels, increasing risks of asthma and other respiratory conditions. A Columbia University study linked building-related fossil fuel use in New York to nearly 2,000 premature deaths and over $21 billion in health costs in 2017 alone (Columbia Climate School).
Environmental Justice Dimensions
The electrification code is also framed as an environmental justice measure. Communities of color and low-income neighborhoods bear the brunt of air pollution from fossil fuels. By mandating all-electric buildings, the state aims to improve health outcomes for these populations while reducing long-term reliance on polluting fuels (Times Union).
A Model for Other States
New York’s statewide ban builds on earlier action by New York City, which passed its own gas ban in 2021 through Local Law 154. Cities like Berkeley, San Francisco, and Seattle have pursued similar policies, though New York is the first to apply electrification rules across an entire state (Reuters).
With its new building codes, New York sets a precedent for how states can use electrification as both a climate and public health tool. The state now faces the challenge of grid modernization, expanded renewable generation, and ensuring affordable implementation, but the policy sends a clear message: the future of construction is electric.