HomeIndustryEnergy & UtilitiesCoalition tells Scutari, Coughlin to stop building-electrification mandates

Coalition tells Scutari, Coughlin to stop building-electrification mandates

More than 2 dozen business, labor groups say regulations will lead to increases in rents, property taxes

About this rush to electrification …

A diverse coalition of 32 business and labor organizations has sent a letter to state Senate President Nick Scutari and Assembly Speaker Craig Coughlin calling on the Legislature to halt the building-electrification mandate until a full analysis of costs can be developed.

The first phase of new regulations is set to take effect Dec. 6.

This group told Scutari (D-Linden) and Coughlin (D-Woodbridge) the new rules not only will be costly — they would be implemented without proper approval.

“Unfortunately, the electrification of the building sector is not only expensive, but is moving forward without Legislative authorization,” the group wrote. “The first regulation mandating building electrification will be acted upon in less than 90 days.

The group said there are approximately 1,500 apartment buildings, 1,500 K-12 public schools, 1,200 commercial, industrial and manufacturing facilities, 195 county government buildings and 143 auto body shops, in addition to religious facilities and other buildings, that would be impacted by the New Jersey Department of Environmental Protection’s pending boiler regulations.

Cost estimates to replace a 1.5 million BTU gas boiler with an electric boiler begin at an estimated $2 million, when including the retrofitting of the building and conversion of the electrical system.

The group said these costs cannot be overlooked.

“The NJDEP has stated it will cost 4-5 times more to heat buildings with electricity as opposed to natural gas,” they wrote. “Additionally, the NJDEP did not provide the cost estimate to convert a building’s electrical system so it can run an electric boiler of that size.

“Compliance with this regulation will lead to significant increases in rents, property taxes and grocery bills, at a time when the Legislature is focused on reducing these costs.”

The group said Gov. Phil Murphy’s administration has not sought input from lawmakers on the electrification mandate of the building sector, which is moving forward without legislative authority.

“We respectfully request that both the Senate and Assembly engage in the building-electrification policy by consideration of these bills or through alternative means,” the letter said.

Pending legislation, S2671 and A3935, would halt the building-electrification mandate until a full analysis of costs can be developed.

The attached letter was signed by the following organizations:

  • Air Conditioning Contractors of New Jersey
  • Alliance of Auto Service Providers – N.J. (auto body shops)
  • Associated Builders and Contractors – N.J.
  • Chamber of Commerce Southern New Jersey
  • Chemistry Council of New Jersey
  • Commerce and Industry Association of New Jersey
  • Engineers Labor-Employer Cooperative (ELEC 825)
  • Fuel Merchants Association of New Jersey
  • International Brotherhood of Boilermakers Local 28
  • International Union of Operating Engineers Local 825
  • Meadowlands Chamber
  • Mid-Atlantic Hearth, Patio and Barbecue Association
  • NAIOP – N.J.
  • National Federation of Independent Businesses – N.J.
  • New Jersey Apartment Association
  • New Jersey Builders Association
  • New Jersey Business & Industry Association
  • New Jersey Chamber of Commerce
  • New Jersey Concrete and Aggregate Association
  • New Jersey Jewish Business Alliance
  • New Jersey Pipe Trades Local 9
  • New Jersey Pipe Trades Local 24
  • New Jersey Pipe Trades Local 274
  • New Jersey Pipe Trades Local 322
  • New Jersey Pipe Trades Local 475
  • New Jersey Pipe Trades Local 692
  • New Jersey Pipe Trades Local 696
  • New Jersey Pipe Trades Local 855
  • New Jersey Restaurant & Hospitality Association
  • New Jersey State League of Master Plumbers
  • Plumbing Heating Cooling Contractors – N.J.
  • Utility & Transportation Contractors Association – N.J.

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