Energy News, Gas
Sydney Council to Ban Gas in New Homes from 2026
With gas connections off the table, here’s what the future of energy looks like in Sydney.
- What Answers You’ll Get On This Page
Important Points
-
Starting January 1, 2026, all new residential development applications submitted to the City of Sydney must feature electric cooktops, ovens, and indoor heating/cooling systems, with no gas appliances permitted in these new homes.
-
The ACT and Victoria have already passed similar bans, while other states like Queensland and WA have not announced any plans as of yet.
-
Households could save over $600 annually and reduce indoor air pollution by switching to electric appliances.
With much of Australia pushing towards a more renewable future, this ban doesn’t come as a surprise to many. Let’s break down what this could mean for you, what is actually happening behind the scenes, and what other states are adopting the same measures.
A Breakdown of the Gas Ban
The City of Sydney Council has updated its Development Control Plan to require that new residential developments submitted from 1 January 2026 onwards include electric cooktops, ovens, and heating/cooling systems only, effectively banning indoor gas appliances in those properties
This makes Sydney the first major city in Australia to enforce such a law, even though the NSW state government has not yet implemented a statewide ban.
The reforms require all new homes in the City of Sydney to be built with electric cooktops, ovens, and heating/cooling systems, while gas hot water systems remain temporarily permitted until further regulation.
Existing homes in the City of Sydney won’t be affected by the new gas ban. The rules only apply to new builds and major redevelopments. Here’s what this means for current homeowners:
-
No forced removals or upgrades: You can keep your existing gas cooktops, heaters, and hot water systems indefinitely.
-
Temporary grace period: From 1 March 2027, gas hot water systems in existing homes must be replaced with electric alternatives once they reach the end of their service life. However, existing units can still be repaired if they break down, and may be temporarily removed and reinstalled during renovations.
-
Gas remains an option if you are renovating or altering your existing property, unless local planning rules require otherwise.
The latest council modelling suggests households could save around $626 annually in energy costs under the new rules, along with cutting 1.7 million tonnes of greenhouse emissions over 40 years.
1What Other States and Territories Are Banning Gas
Australian Capital Territory (ACT)
Passed legislation in June 2023 banning gas connections in all new residential and commercial buildings as of December 2023.
Victoria
Victoria implemented a gas ban for new homes as part of its Gas Substitution Roadmap. From 1 January 2024, any new dwelling requiring a planning permit must be all-electric, eliminating gas connections at the outset.
Queensland, South Australia, and Western Australia
These states have ruled out gas bans, focusing instead on renewable energy targets and incentives rather than restricting gas usage in homes for the time being.
2Why is Gas Being Banned?
Several factors are behind the growing push to phase out gas in new homes.
First, public health research has increasingly linked indoor gas combustion to increased risks of respiratory issues, particularly in children.
Studies have shown that pollutants such as nitrogen dioxide, carbon monoxide, formaldehyde, and benzene, commonly emitted by gas appliances for cooking, are found in higher levels indoors, compared to homes using only electric appliances².
Second, climate commitments are playing a major role. Local councils are aligning their planning policies with state and national net-zero targets, viewing a push towards electric appliances as a pivotal step toward eliminating fossil fuel infrastructure and lowering long-term emissions.
Moving away from gas is seen not just as an environmental necessity but also as a future-proofing strategy for cities and households.
Finally, improvements in electric technologies are changing the equation. High-performance induction cooktops and heat pump systems now offer high energy efficiency rates, compared to gas appliances.
These gains make electric alternatives more attractive, both in terms of performance and cost savings over time.
There has also been some pushback to the latest ban.
For one, the gas sector argues that removing access will lower consumer freedom and could increase emissions if electricity remains coal-heavy or customers rely more on expensive gas during transition phases.
Author
Benjamin TomBenjamin is a utility specialist passionate about creating informative content about the energy, internet, and solar markets. With extensive experience in the telecommunications industry, Benjamin drives our unique blog posts, articles, and reviews. He is focused on breaking down the technical jargon so our readers can better understand the telco market and industry. Whether he is comparing the latest internet deals or creating unique guides, Benjamin takes great pride in creating helpful, easy-to-read content.
Sources:
¹Australian Competition and Consumer Commission (ACCC) – Inquiry into the National Electricity Market: December 2024 Report, https://www.accc.gov.au/publications/national-electricity-market-inquiry-december-2024
²Victorian Department of Health, Chief Health Officer Victoria – Environmental Health Report. “Healthy Indoor Environments,” health.vic.gov.au.
