Appeals court wrestles with NYC and New York state gas bans

By Niina H. Farah | 01/30/2026 04:23 PM EST

A three-judge panel heard arguments Friday on New York restrictions on gas hookups in certain buildings.

Flames emerge from burners on a natural gas stove.

Flames emerge from burners on a natural gas stove on June 21, 2023, in Walpole, Massachusetts. Steven Senne/AP

An appeals court in New York City may be the next federal bench to find that a federal energy efficiency law prevents cities and states from restricting new gas infrastructure.

On Friday, the 2nd U.S. Circuit Court of Appeals heard back-to-back oral arguments on whether New York City and New York state laws, respectively, were barred under the Energy Policy and Conservation Act.

Trade and industry groups are challenging Local Law 154, which bars new gas hookups in residential buildings in New York City, and the state’s new building and energy codes in the amended Energy Law and New York Executive Law that prevent gas infrastructure in certain buildings.

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At least one judge appeared reluctant to reach a decision that would directly contradict a landmark 2023 ruling that found that Berkeley, California’s ban on new gas hookups in new construction violated EPCA. The 9th U.S. Circuit Court of Appeals later upheld that decision, invalidating a slew of local ordinances on the West Coast aimed at restricting gas infrastructure.

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