🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

California city can't enforce natural gas ban, appeals court says

Published 18/04/2023, 04:58 am
© Reuters.
NG
-
BKGFD
-

By Clark Mindock

NEW YORK (Reuters) -Berkeley, California, cannot ban natural gas hookups in new buildings because a U.S. federal law preempts its rule, a federal appeals court said Monday, siding with a challenge the state's restaurant industry made.

The 9th U.S. Circuit Court of Appeals in San Francisco said Berkeley's 2019 ban on new gas hookups effectively barred appliances that use the fuel, and that the U.S. Energy Policy Conservation Act preempts such a move.

The federal appeals court is the first to weigh in on bans against new natural gas hookups. New York City, San Francisco, San Jose and Seattle are among dozens of U.S. municipalities that have enacted similar restrictions since Berkeley adopted its rule, citing environmental and health concerns.

The California Restaurant Association challenged the ban in court in 2019 alongside other industry groups including natural gas utilities and homebuilders, claiming the ordinance would introduce major costs and burdens. The restaurant group said the ban would mean restaurants can no longer prepare popular dishes.

A spokesperson for the restaurant association welcomed the 9th Circuit decision, saying Berkeley's ordinance "is an overreaching measure beyond the scope of any city."

Representatives for the city of Berkeley did not immediately respond to requests for comment Monday.

Gas ban supporters say switching from natural gas to electric heating and cooking is necessary to reduce carbon emissions that promote climate change and cut down on pollutants that can cause asthma and other health issues.

The 9th Circuit's Monday ruling reverses a 2021 decision by U.S. District Judge Yvonne Gonzalez Rogers, who concluded that federal law did not preempt Berkeley's ordinance.

At least 20 states with Republican-led state legislatures have enacted so-called preemptive laws to prohibit local governments from banning natural gas hookups, including Arizona, Ohio and Texas.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.