New York delays all-electric building mandate amid federal lawsuit

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New York Construction Report staff writer

New York State’s push to require most new buildings under seven stories to use only electric appliances has been put on hold, officials said Wednesday, citing a federal lawsuit challenging the law’s constitutionality.

The All-Electric Buildings Act, part of the state’s broader climate strategy, would have gone into effect Jan. 1, 2026, for smaller buildings and in 2029 for larger projects. The law was designed to reduce reliance on fossil fuels and promote cleaner energy, as part of the state’s Climate Leadership and Community Protection Act, which identifies buildings as a major source of greenhouse gas emissions.

The delay follows a federal court filing in which New York agreed to pause implementation until the lawsuit is resolved. Trade groups and labor organizations argue the law is pre-empted by federal regulations that govern energy standards for appliances such as furnaces and water heaters.

Opponents also cite increased costs for installing electric systems, potentially raising the price of new homes and slowing development. Developers and construction groups have warned that rapid electrification could further strain an already tight housing market and create permitting delays in areas needing grid upgrades.

The federal appeals court’s decision will determine the law’s future. In the meantime, exemptions in the law for certain existing buildings, emergency systems, and some manufactured homes remain in place.

Gov. Kathy Hochul, through a spokesperson, is said to still support the law originally passed in 2023.

“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,” the statement to the media said. “Governor Hochul remains resolved to providing more affordable, reliable, and sustainable energy for New Yorkers.”

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