Bend leaders discuss the city's yet to be implemented electrification policy in Bend, Ore., on April 8, 2026. The controversial policy would charge a fee to install gas appliances in newly built homes.
Kathryn Styer Martínez / OPB
Bend could soon become the second city in Oregon to make it more costly to build new homes with gas appliances as part of a commitment to reduce emissions and meet its climate goals.
The proposal has met strong resistance from the natural gas provider and building interest groups, who say it would make housing more costly in one of Oregon’s fastest growing metro areas, while reducing consumers’ options and threatening energy reliability.
The City of Bend held a public roundtable with representatives from housing, energy and building interests this week to discuss the new fee before a vote in June.
The proposal reflects a broader movement that’s taken hold in some other cities nationwide to move away from gas-powered appliances in an attempt to reduce pollution and a reliance on fossil fuels. In Oregon, Ashland approved a similar fee in 2025. Elsewhere, Lexington, Mass. a law banning gas hookups in new buildings and major renovations went into effect in 2024. And, Berkeley, Calif. tried to ban gas appliances in 2019 but a federal court prevented the city from implementing the ban.
(left) Cassie Lacy, senior management analyst for the City of Bend, discusses the electrification policy while City Councilor Steve Platt looks on in Bend, Ore., on April 8, 2026.
Kathryn Styer Martínez / OPB
Bend City Councilor and Summit High School physics teacher Steve Platt said the proposed fees won’t solve the world’s air quality problems but called it a measured first step forward,
“If we want to take a bite out of our carbon impact, one way to do that is to shape the residential housing that’s being built,” he said.
Under the proposal, the fee would be calculated by appliance type, and each appliance that uses gas would trigger its own fee for single-family homes. Gas furnaces, stoves, water heaters, fireplaces and dryers are included in the proposal.
All revenue would be used by the city to promote the installation of heat pumps, electric heat pump water heaters and other energy efficient, electric appliances in homes.
The fees would be calculated using the social cost of greenhouse gases, a monetary value assigned by the U.S. Environmental Protection Agency to the climate damage caused by one metric ton of greenhouse gases. That value would be multiplied by the metric tons of carbon emitted by each specific appliance — and its lifetime — and scaled to the size of the home.
Earlier this year, Bend City Councilors decided to discount the rate by 80%.
The city is still reviewing who would be charged, what types of homes would qualify and what counts as new construction, said Cassie Lacy, a City of Bend senior management analyst.
There could be a wide range of fees, depending on home size and the number and types of gas-powered appliances installed. According to an example in its report, a mid-sized home of between 1,600 and 3,000 square feet — the most common-sized home in Bend — would be charged $2,117 if the house included a gas furnace, stove, dryer, water heater and fireplace.
Opponents say the fee would be added burden in an expensive housing market, and could have unintended consequences on the energy infrastructure if it creates higher demand for electricity.
Representatives from Cascade Natural Gas, Central Electric Cooperative, Inc., and Pacific Power attend the electrification policy discussion in Bend, Ore., on April 8, 2026. Pacific Power representative (far right) Alisa Dunlap said the energy company's infrastructure is "tapped out" due to demand in the region.
Kathryn Styer Martínez / OPB
Cascade Natural Gas says the fee could put too much stress on the electrical grid and might increase costs for rate-payers. Both Pacific Power and Central Electric Cooperative representatives said they would likely need to build more infrastructure to meet the growing demand for electric power in the region.
Pacific Power increased rates this month by 2.9% for most customers and Cascade Natural Gas recently filed to increase their rates by 17.4% this year according to the company’s filing with the Oregon Public Utility Commission.
Others worry about housing costs and economic impacts.
Last year, a state report found that income inequality is surging in Bend as housing starts lag. The city needs to build more than 15,700 homes in the next eight years to address its housing shortfall, according to the 2025 Oregon Housing Analysis.
An additional fee might push housing buyers outside Bend — thus increasing road traffic and pollution, said David Burger, a business agent with United Association Local 290 Plumbers, Steamfitters, HVAC/R, Marine Fitters Union in Central Oregon. The proposal could also cost up to 100 jobs for Local 290 members who work to install and maintain gas pipelines in homes, he added.
City councilors meet again on the proposal on April 22. They are additionally considering exemptions, including for affordable housing and for homes that use solar power, and possibly starting with a pilot program.
