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Palm Desert council adopts resolution expressing concerns about South Coast AQMD proposals to phase out gas appliances

2439717 · February 28, 2025
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Summary

Council adopted a resolution expressing concern with proposed South Coast Air Quality Management District rules that would phase out gas-burning furnaces and water heaters, citing cost, grid strain and equity worries while noting district revisions and available incentives.

Palm Desert city council adopted a resolution expressing concern with proposed amendments under consideration by the South Coast Air Quality Management District (AQMD) to phase out certain natural-gas-burning furnaces and water heaters, citing potential high costs, grid strain and consumer impacts.

Staff told the council the AQMD originally proposed a mandate requiring renters and homeowners to switch to zero-emission devices, but that the district has revised draft rules to focus more on manufacturer incentives and consumer rebates. Staff also confirmed that available rebates would apply to Palm Desert residents.

"I wanna be on the record that I believe in clean air," Council member Nastandi said, "but banning natural gas or imposing fees on manufacturers that just get passed back to the consumer or the builder... I am opposed to any type of rules that are aiming to ban natural gas." Other council members voiced similar concerns about costs, the reliability of the electric grid, and equity for residents who may face higher bills if forced to convert appliances.

Staff said the AQMD has delayed implementation and is expanding incentives; the next AQMD stationary-source committee meeting was scheduled for March 21. With the recent evolution away from a direct homeowner mandate, staff recommended the council adopt a resolution to record local concerns and to ask for clearer information as rulemaking proceeds.

Council approved the resolution 5-0.

The staff report listed the primary concerns as high costs of equipment and replacement, potential increased strain on the electric grid, and uncertain implementation timelines for rebates and incentives. Staff indicated the AQMD now intends to emphasize manufacturer deployment of zero-emission devices and to make rebates available to residents who voluntarily convert.