S.F. needs to ban fuel in all buildings. However transferring to electrical may value as much as $5.9 billion
San Francisco wants to ban gas appliances and electrify buildings to combat climate change. There is only one catch – with nine zeros.
Electrifying more than 240,000 gas-powered homes in San Francisco could cost between $ 3.5 billion and $ 5.9 billion, the city estimated in a new report. The report said a “major obstacle” to electrical retrofitting is the “financial burden” that would be placed on property owners, the city government, or both.
Supervisor Gordon Mar, who commissioned the Earth Day report, called for a hearing to find solutions.
“Given the urgency of the climate crisis, it’s important that the plan has an aggressive timeframe, but we also need to make sure it’s fair and doesn’t place undue financial burdens on homeowners and renters,” Mar told The Chronicle. “That is the challenge given the high costs.”
San Francisco has set a goal of zero net greenhouse gas emissions by 2050, and California is targeting a 40% reduction in greenhouse gas emissions by 2030. Natural gas in buildings – primarily water heaters, stoves, stoves, and stoves – currently accounts for 38% of the city’s greenhouse gas emissions, according to the San Francisco Department of the Environment.
The Board of Supervisors unanimously banned natural gas in new homes last year, but new homes are the low-hanging fruits of electrification that dozen of cities across California have already plucked. The real challenge is retrofitting and the question of who and how will pay for it with such a conspicuous price tag.
“In all honesty, it would not be possible or feasible to mandate a retrofit on this scale,” said Charley Goss, manager of government and community affairs for the San Francisco Apartment Association, in an emailed statement. “It is more practical for the city to focus on eliminating greenhouse gases by building dense housing near transit corridors and eliminating parking requirements.”
To ease the financial burden, the Board of Supervisors could mandate retrofitting at the time of the building’s sale, natural replacement, or as an incentive for retrofits by charging owners a greenhouse gas emissions fee, New York City for higher amounts elevates buildings.
The requirement to retrofit the natural replacement cycle could bring the total cost to $ 642 million to $ 2 billion – but it could take decades to manufacture gas appliances like stoves with a lifespan of up to 30 years.
Electricity also costs more than natural gas, although electrical appliances are often more energy efficient. However, experts predict that the costs could even out in the coming decades and electricity could become cheaper.
San Francisco may choose to fund a retrofit program, the report said. If residential energy users were charged a tax similar to what commercial users are now paying, it could generate $ 11.5 million annually. Another option is discounts: The Sacramento Utility District gives tariff payers a discount of up to $ 13,750 to convert their homes from gas to electricity. San Jose Grant Funds grant up to $ 6,000 for low income and $ 4,500 for a limited number of others.
Mallory Moench is a contributor to the San Francisco Chronicle. Email: mallory.moench@sfchronicle.com Twitter: @mallorymoench
