City of Sydney to ban gas appliances in new homes from 2026

The City of Sydney will ban gas appliances in all new homes within months, with some welcoming the move as being on “the right side of history”.

The City of Sydney has unanimously voted to ban gas appliances in all new homes within months, joining a growing list of councils moving toward all-electric buildings.

Under proposed new planning rules, developers will be required to install electric cooktops, ovens, and indoor heating and cooling systems in new homes.

The changes are set to take effect from January 1, 2026. Gas hot water systems will still be permitted for the time being.

The resolution was passed unanimously by councillors at a meeting on Monday night.

The move is part of a broader shift by local governments in NSW toward building electrification.

Sydney becomes the seventh council in the state to adopt similar requirements, following others including the City of Canada Bay, which introduced its own controls earlier this month.

Lord Mayor of Sydney, Clover Moore says the change to all-electric buildings is a “logical next step”. Picture: NewsWire/ Gaye Gerard

Lord Mayor Clover Moore welcomed the new rules, which would require new residential buildings, large commercial buildings and hotels in the City of Sydney to be all-electric by January 1, 2027.

“Relying on fossil fuel gas is bad for the planet, bad for our finances and bad for our health,” she said.

“Ensuring all-electric buildings into the future is simply a logical next step to take.

“These changes will create healthier and more energy-efficient buildings, which will meet future energy standards and avoid expensive retrofitting,”

“They also spare households from being locked into increasingly expensive gas prices and potential shortages.”

The new rules will not apply to industrial uses or existing buildings.

The council cited modelling commissioned by climate group 350 Australia, which estimates that new households in the City of Sydney could save an average of $626 annually on energy bills under the new rules.

The report also projects a reduction of up to 1.7 million tonnes of greenhouse gas emissions in a 40-year period.

“Gas is a dirty fossil fuel that has no place in homes. Stopping new gas connections is a no-brainer for cutting emissions and making sure our homes aren’t making us sick,” 350 Australia Electrify Your Council campaign manager James Conlan said.

“Only developers and gas corporations benefit from keeping our homes and businesses connected to gas.”

Gas appliances will be banned in all new homes. Picture: NewsWire/ Monique Harmer

The City of Sydney will also begin consulting the public on a further proposal to expand electrification requirements to cover all appliances - including hot water systems - in new homes, with the commercial building proposals open for public comment from June 30.

Medical professionals have supported the move, citing health concerns linked to gas appliances.

Neurologist and Doctors for the Environment Australia board member Shaun Watson said indoor gas use contributes to respiratory issues.

“Burning gas in the home releases carbon dioxide which is heating the planet,” Dr Watson said.

“Gas used in the home also releases nitrogen dioxide, benzene and formaldehyde which are known to trigger childhood asthma.

“City of Sydney has just placed itself on the right side of history in the transition towards renewables and electrification which will help the environment and improve people’s health.”

While the NSW government has yet to adopt a statewide policy, the growing number of councils introducing local measures is increasing pressure for broader reform, with similar bans on new gas connections already introduced in Victoria and the ACT.

Originally published as City of Sydney to ban gas appliances in new homes from 2026