NAHB, Other Groups File Suit Against Southern California Gas Bans
NAHB and nine other business and housing groups seeking to overturn a regulation that would ban gas appliances have filed a lawsuit against Southern California air regulators.
In their complaint filed in the U.S. District Court for the Central District of California, the groups contended that South Coast Air Quality Management District’s (SCAQMD) regulation violates the Energy Policy and Conservation Act (EPCA) of 1975.
NAHB and the other plaintiffs argued that SCAQMD’s effective ban on certain gas appliances will harm their members.
“Plaintiffs face significant costs in having to replace gas appliances with electric appliances in existing buildings, which may also necessitate building modifications, disrupt business operations, or require the temporary relocation of tenants,” the lawsuit stated. “The increased cost of retrofitting or building for electric appliances will raise the cost of housing and limit supply. Plaintiffs also have members that include plumbers and pipefitters who will see a decrease in the amount of gas plumbing work, affecting their hours, job opportunities, and hiring and training in the industry. In short, the District’s rule will impose enormous financial costs and disruption on businesses and individuals, including Plaintiffs.”
The lawsuit seeks to void the SCAQMD’s rule to ban certain gas appliances because it is pre-empted by federal law since it concerns the energy use of appliances covered by the EPCA. The suit cites an appellate court decision last year that stated the city of Berkeley’s ban on natural gas connections in new construction was prohibited by the EPCA, which forbids state and local governments from setting efficiency standards for appliances.
Therefore, the lawsuit asserts that SCAQMD’s regulation is “void and unenforceable.”
Latest from NAHBNow
Jul 24, 2026
Latest Tariff Actions Add Uncertainty to Housing MarketRecent tariff developments could create more uncertainty for home builders over building material supply chains and pricing.
Jul 24, 2026
New Home Sales Edge Higher as Affordability Challenges PersistSales of newly built single-family home rose 1.6% in June to a seasonally adjusted annual rate of 628,000, up from an upwardly revised May estimate, according to newly released data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The pace of new home sales is down 5.6% from a year earlier.
Latest Economic News
Jul 24, 2026
New Home Sales Edge Higher as Affordability Challenges PersistAffordability challenges continued to weigh on the new-home market in June, as elevated mortgage rates, rising inflation and broader economic uncertainty kept many prospective buyers on the sidelines.
Jul 23, 2026
Acquisitions Increasing Among Home BuildersAt the start of 2026, most home builders predicted that high mortgage rates and hesitancy among buyers would be their toughest challenges this year. They weren’t wrong: the 30-year mortgage rate averaged 6.49% in June and housing demand has weakened, as reflected by flat mortgage applications in the first half of the year.
Jul 22, 2026
What Do Home Buyers Purchase After They Move InBuying a home typically generates a wave of consumer spending beyond the purchase of the home itself. Following a home purchase, households often buy appliances and furnishings and undertake remodeling and repair projects to make the home fit their needs and preferences.