NWGA Letter to Ashland City Council on Proposed Ordinance 3254 – a 100% Tax on Gas Appliances in New Residential Construction.
- NWGA
- Feb 6
- 2 min read
February 3, 2025
Mayor Tonya Graham
Ashland City Council Members
1175 E Main Street
Ashland, OR 97520
RE: Ordinance to Restrict Natural Gas in New Residential Construction
Dear Mayor Graham and City Councilmembers:
The Northwest Gas Association (NWGA) is concerned about the Ashland City Council’s recent vote to advance to second reading a fee on natural gas pipelines and appliances in new residential construction. We respectfully request that the Council postpone consideration of this proposal until more study is done to fully understand the ramifications of these restrictive and unnecessary costs.
NWGA represents the three natural gas utilities and two transmission pipelines that provide warmth and comfort to 2 million Oregon residents (more than 800,000 households), as well as heat and productive energy for more than 85,000 Oregon businesses, institutions and industries – including natural gas consumers in Ashland. Natural gas plays, and will continue to play an essential role in Oregon’s clean energy future.
NWGA members are committed to smart decarbonization: helping energy consumers reduce their greenhouse gas emissions (GHGs) effectively and affordably by sensibly utilizing the 30,000 miles of existing natural gas transmission and distribution pipelines in Oregon.
Before enacting this measure, we ask the City Council to further study the long-term impacts of the ordinance, including:
Perform a comprehensive economic analysis to fully understand and appreciate the impact of this proposal on the city’s cost of housing, on its businesses and on the community’s economy at large. Ashland citizens deserve to know what this proposal will cost.
Conduct an analysis of the actual GHG reductions that will occur as a result of this ordinance, and by when. Ashland citizens deserve to know whether this ordinance will achieve its objective in any meaningful way.
Consult with the local electric utility to determine the impact that this ordinance will have on the overall reliability of the total energy system serving Ashland’s homes and businesses. Ashland citizens deserve and expect an energy system that they can rely on.
Study the long-term impact of this ordinance on the cost of energy. Ashland citizens deserve to know how this ordinance will affect the cost of the utilities they depend on.
Gain a robust understanding of the many opportunities for decarbonization by utilizing rather than abandoning the existing safe, reliable natural gas system currently serving the community. Ashland citizens deserve to know all of the options available to them to both decarbonize their energy use and preserve energy choice.
Complete a legal analysis to determine whether the ordinance violates state law, federal law and recent federal court decisions regarding similar restrictions on energy choice. Ashland citizens deserve to know the legal risks (and costs) associated with this ordinance.
In conclusion, this ordinance is a de facto ban on natural gas service in new homes. Ashland’s citizens deserve to know as much as possible about the implications of this ordinance before the Council adopts it. What is certain is that, if passed, the ordinance will limit energy choice to only those who can afford it while leaving others behind.
Sincerely,
DAN S. KIRSCHNER
Chief Executive Officer
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