Abstract:

As California strives to achieve its goal of carbon neutrality by 2045, the state has increasingly focused on reducing greenhouse gas (GHG) emissions from buildings, which account for more than one-third of total GHG emissions in the state. Several policies and programs aim to transition buildings from gas-based systems to zero-emission alternatives—part of a process called building decarbonization. This document addresses key questions about residential building decarbonization in California, with a focus on Senate Bill (SB) 1221, an initiative that establishes a neighborhood decarbonization pilot program to explore how entire residential blocks or neighborhoods can transition away from gas service in a coordinated way. As the state agency responsible for SB 1221 implementation, the California Public Utilities Commission (CPUC) is working with stakeholders to develop the program design and guidelines for deployment in 2026. This FAQ provides our interpretation of statutory materials and information published by the CPUC, to answer common questions about building decarbonization and SB 1221—and note where important questions are yet to be answered publicly.