Last Friday, the Australian state of Victoria announced plans to ban natural gas connections to new homes starting in January 2024 (Reuters). Under the new reform, all new residential properties that require planning permits, along with new public buildings such as schools and hospitals, must be powered by all-electric networks (Reuters). Lily D'Ambrosio, Victoria’s Minister for Climate Action, said the reform will curb emissions while lowering energy bills. 

The gas sector is currently the dominant fuel source in Victoria, powering 80% of homes in the state and accounting for 17% of the state’s emissions. Advocates see the energy reform as critical for the state to reach its emission reductions targets of 75%-80% by 2035 and net zero by 2045 (ABC News). 

Environmentalists have welcomed the reform, but note that its benefits would be undermined by the government’s support for coal and gas projects elsewhere in the state (Guardian). According to the Australian Petroleum Production and Exploration Association, “the ban will do little to help the climate because it will push households onto the coal-based electricity grid” (Reuters). The Andrews government is expected to release a road map outlining its gas substitution plans and further measures for electrification later this year (Guardian).