New York Assembly Passes Bill to Repeal 100-Foot Rule

New York — In a move that could impact the cost of natural gas service, the New York State Assembly has passed a bill to repeal the longstanding 100-foot rule, which has been in place since 1986. This rule prevented utility companies from charging customers for the cost of new gas service if their properties were located within 100 feet of an existing gas line. The legislative change comes during the 2025 session and is primarily supported by the Democratic leadership.

The repeal of this rule is set to shift the financial burden for new natural gas hookups from utility companies to individual consumers. Homeowners and businesses seeking to establish new gas service may face thousands of dollars in upfront construction costs, potentially making natural gas prohibitively expensive for some. Currently, it is estimated that utility ratepayers across New York spend between $200 million to $300 million annually subsidizing these hookups.

If the bill is signed into law by Governor Kathy Hochul, individuals looking for new natural gas services will bear the costs associated with connecting to the gas grid. The financial impacts could vary significantly based on the geographic location of properties.

Assembly Speaker Carl E. Heastie clarified that the bill does not eliminate access to natural gas but warns it could hinder affordability and accessibility. The implications of this legislation have drawn sharp criticism, with opponents highlighting that it aligns with an aggressive climate agenda that may lead to increased utility costs, loss of energy jobs, and an exodus of residents from New York.

Critics, including gas company representatives, caution that discouraging reliance on natural gas could negatively impact residents in colder areas who depend on gas for heating, thereby raising overall greenhouse gas emissions during the winter months. Furthermore, Assemblyman Patrick Chludzinski raised concerns about energy reliability, referencing instances where natural gas appliances provided necessary heat during power outages.

With the bill promoting an all-electric approach for new construction, homeowners may see their expenses more than double when adopting electric heating solutions and appliances. In Western New York, electricity costs significantly outpace natural gas prices, complicating budget considerations for new constructions.

This legislative action follows the introduction of the Climate Leadership and Community Protection Act (CLCPA), which has been linked to a 50% increase in electricity rates across New York since its enactment. Critics of the bill assert that the electric grid’s current infrastructure is insufficient to meet the anticipated demand that would arise from a significant shift toward electrification.

In related developments, the National Fuel Gas Company has commenced renovations on its service center in Buffalo’s East Side, investing over $3 million to enhance local job opportunities and community outreach programs. Meanwhile, the NYS HEAT Act, aimed at further reducing reliance on natural gas, faces opposition from many lawmakers in Western New York who worry it would increase costs and compromise energy reliability.

Recent polling signifies a majority of upstate residents supports the NY HEAT Act, although it consistently struggles to gain traction in the legislature. The ongoing discourse surrounding energy policy in New York reflects a significant divide between urban and rural interests, highlighting the ongoing challenges of balancing environmental objectives with the immediate energy needs of local communities.