California’s Gas Appliance Phase-Out: What Landlords Need to Know

John David Sarmiento • August 5, 2025

Based on insights from Mehigan Law's August 2025 California Rental Housing Legal Update.

 

California is making new rules that landlords can't use gas-powered appliances, like stoves or heaters, because these appliances create pollution that harms the environment. Landlords must replace them with electric appliances. It's a big change, and landlords need to prepare early.

 

Why is California Phasing Out Gas Appliances?

California regulators, especially the South Coast Air Quality Management District (AQMD), are enforcing rules to phase out gas appliances to reduce harmful pollutants called nitrogen oxides (NOₓ). These pollutants damage air quality, contribute to smog, and worsen climate change.


Timeline and Scope of the Phase-Out

This transition won’t happen overnight. Instead, it will occur gradually, with specific timelines for different types of appliances and locations. Key appliances impacted include:

  • Gas stoves

  • Gas water heaters

  • Gas furnaces

Landlords should stay informed on specific local timelines to ensure compliance.

 

Potential Impacts on Landlords

Switching from gas to electric appliances isn't a simple swap. It often involves extensive electrical upgrades, such as improved wiring and updated electrical panels, which could be costly. Without preparation, landlords may face significant financial and logistical hurdles.

 

How Landlords Can Prepare (Briefly)

  • Assess Current Appliances: Identify and document all gas appliances currently in use.

  • Electrical Upgrades: Evaluate the need for electrical system improvements.

  • Budget Planning: Prepare financially by researching costs for appliances, upgrades, and potential rebates.

  • Stay Informed: Regularly check for new developments, potential incentives, and legal updates.

Ongoing Legal Challenges

Several groups, such as the California Apartment Association, are challenging these rules in court. Outcomes from these cases might introduce delays, exceptions, or modifications to the regulations. Staying updated on these developments is crucial for landlords.


What This Means for the Future

The gas appliance phase-out is part of California's broader effort to reduce environmental impact. For landlords, proactive planning and education on these new requirements will be essential to managing this significant change effectively.

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