The Ashland City Council is trying to phase-out natural gas used as an energy source in new homes by passing a new 100% tax increase on natural gas appliances. In an admirable attempt to curb CO2 emissions, they are going to severely restrict one of the most reliable, inexpensive sources of energy available and increase home prices.

Natural gas is essential in helping us transition to carbon neutrality, and, if passed, Ordinance 3254 will put a huge strain on housing affordability and energy reliability in our beautiful city.

The City Council is slated to pass an ordinance that will impose a huge 100% tax increase on natural gas appliances in new homes. Appliances powered by natural gas as an energy source are less expensive than ones powered by electricity, but the city is attempting to make them so expensive, only the wealthy can afford reliable energy so they can continue to cook and heat their homes when the power goes out.

If this tax passes, a natural gas furnace will cost home builders over $4,000 – which will be passed along to the homebuyer. Increasing the cost of a new home during this affordable housing crisis will only put homeownership out of reach for those who are already struggling to save for a down payment.

Ordinance No. 3254 could also lead to housing inequities in Ashland. According to a 2024 State of the State’s Housing Report from Oregon Housing and Community Services, there is a 15.3% gap in homeownership by race and ethnicity, with exclusionary policies, wealth gaps, and institutional barriers that prevent BIPOC communities from buying homes cited as primary drivers. Imposing more taxes only the richest can afford to pay are an example of these exclusionary policies.

With the weather getting more extreme, people need a backup energy source when electricity is knocked out due to winter storms. Natural gas infrastructure is readily available and incredibly reliable. During power outages from extreme weather, appliances powered by natural gas – like stoves and furnaces – are unaffected. This ordinance will eliminate the option of having redundancy for those who can’t afford the higher housing prices, putting the most vulnerable in our Ashland community at risk.

While we work towards carbon-reduction, we can do so with efficient, reliable natural gas in the mix. You can send a message to Ashland City Council today, urging them to keep natural gas in the mix: https://bit.ly/OpposeAshlandTax