New York Gov. Kathy Hochul is catching the ire of climate activists and lawmakers after a hat trick of fossil fuel-friendly moves, including reaching a deal to delay a law aimed at electrifying new building construction that was set to take effect in January.
The state agreed on Wednesday to halt the All-Electric Building Act until an appellate court rules on a lawsuit brought by a coalition of building and fossil fuel companies and organizations, including the New York State Builders Association and National Propane Gas Association.
Last week, Hochul’s administration approved a key water-quality permit for a proposed natural gas pipeline off the coast of New York City, reversing prior denials. The state’s environmental regulators also struck a new agreement with a controversial Bitcoin mining operation that will allow it to continue operating its fossil fuel plant in the Finger Lakes.
Environmental groups, advocates and some lawmakers are viewing the actions as a sign that Hochul is changing her views on renewable energy and climate change mitigation.
“I am disgusted to learn about Governor Hochul’s indefinite delay of the All-Electric Buildings Act,” Assemblymember Emily Gallagher, who represents the Brooklyn neighborhoods of Greenpoint and Williamsburg neighborhoods, wrote in a statement. “It is enraging, but not surprising. Given this governor reversed course on a toxic gas pipeline, cryptocurrency mining and now the All-Electric Buildings Act – in the last week alone.”
The all-electric law passed in 2023 as part of the state budget and was set to ban new gas hookups in new buildings under seven stories in January. The law is expected to expand to all other new buildings in 2029. The groups suing to overturn the law say it is preempted by the federal Energy Policy and Conservation Act, which calls for increasing energy supplies while also decreasing energy demand. The law prompted the creation of fuel economy standards for cars.
Hochul continues to support the law despite the agreement to delay it, said Ken Lovett, the governor's adviser on energy and environment.
"The governor remains committed to the all-electric-buildings law and believes this action will help the state defend it, as well as reduce regulatory uncertainty for developers during this period of litigation,” Lovett said in an email. “Governor Hochul remains resolved to providing more affordable, reliable and sustainable energy for New Yorkers."
Earlier this month, a group of 19 Democratic assemblymembers sent a letter to the governor asking her to delay the law because of affordability concerns.
The deal “bolsters the argument I've been making alongside a growing coalition of colleagues: The grid isn't ready. This is not the time to add to its load,” said Assemblymember William Conrad, who represents parts of Western New York and who spearheaded the letter, on social media.
Hochul said last week in announcing the pipeline permit that she has to “govern in reality,” noting the Trump administration’s view on renewable energy. Hochul has also repeatedly cited affordability concerns for climate-friendly measures.
“We are facing war against clean energy from Washington Republicans, including our New York delegation, which is why we have adopted an all-of-the-above approach that includes a continued commitment to renewables and nuclear power to ensure grid reliability and affordability,” she said last week.
Environmental groups deny claims that the All-Electric Buildings Act is not affordable. According to a report by Switchbox released last month, new all-electric homes can save households more than $1,000 annually. That savings more than doubles for homes in rural parts of the state. An analysis by Switchbox also showed that the state’s grid can handle implementation of the law.
"After following the science and signing the All-Electric Buildings Law to save families money and fight climate change, Governor Hochul is taking a machete to state law,” Lisa Marshall, director at New Yorkers for Clean Power, wrote in a statement. “In record timing, she's dashed all her progress on New York's climate and energy affordability goals."
Aside from the financial benefits, advocates said that the law cuts climate emissions and provides public health benefits. According to a 2023 study, about 19% of childhood asthma cases can be linked to having a gas stove at home.