US consumer group puts gas ban cost at $26,000/home

Consumer Energy Alliance (CEA) said January 27 a new report puts the cost of forced-electrification in the US mid-Atlantic state of Maryland at $26,000/household, dovetailing with previous CEA research which estimates banning natural gas use in homes could cost as much as $258bn.

The report, The Hidden Costs of a Maryland Natural Gas Ban, examined the high costs to Maryland families and businesses associated with denying natural gas service.

“Misguided policies could greatly impact Maryland families and households that rely on natural gas for home heating, by forcing a conversion to electric service either with punitive building codes during construction or with equipment replacement and home remodeling costs,” the CEA said.

Beyond studying the costs associated with appliance replacement, the report also looked at costs associated with bolstering the power grid to support an “electrify everything” policy. Investments to support higher loads on existing systems, Princeton University found in an October 2021 report, would add $14,000/household, while capital investments for additional wind and solar capacity, to replace natural gas, would push the grid-related costs to $29,000/household, the CEA report said.

“Maryland has achieved remarkable reductions in emissions even as natural gas use increased and pipeline infrastructure expanded, and the state’s economy surged,” said Mike Butler, the CEA’s mid-Atlantic executive director. “Misguided attempts to ban energy services will only lead to undue financial burdens on Maryland’s families, seniors and small businesses and work against our economic and environmental goals.”