HB5835 Summary: UTIL-2050 Heat Decarbonization

• Establishes a "Heat Decarbonization Standard" requiring natural gas utilities to reduce greenhouse gas emissions 20% by 2030, increasing 4 percentage points annually until reaching 100% zero emissions by 2050, with compliance achieved through customer emission reductions and tradable clean heat credits.

• Creates the Clean Building Heating Law (Article XXIII) setting emissions standards for new furnaces and water heaters beginning January 1, 2025, prohibiting sale of high-emissions heating equipment with progressively stricter standards through 2030.

• Requires gas utilities to implement cost-effective energy efficiency programs targeting 0.6-1% annual savings reductions starting 2025, with at least 50% of budgets spent on building envelope and heating distribution improvements, and 20% on income-qualified household measures.

• Establishes a statewide Navigator Program to help residents access electrification services, energy efficiency programs, federal incentives (including Inflation Reduction Act rebates), and weatherization assistance, with at least 40% of funding directed to equity investment eligible communities.

• Mandates gas utilities file biennial gas infrastructure plans by July 1, 2025, aligned with decarbonization standards and based on independent demand forecasts, and prohibits new gas service extensions to buildings after June 30, 2027, with limited exemptions for emergency backup power and specialized commercial uses.