Palo Alto is set to adopt significant local amendments to its energy code, pushing forward with new regulations aimed at enhancing sustainability and energy efficiency. During the Climate Action and Sustainability Committee meeting on September 5, 2025, city staff outlined proposed changes that go beyond state requirements, with a focus on residential and non-residential energy use.

Key among the proposals is the introduction of air conditioning replacement requirements, which will mandate that homeowners either implement additional efficiency measures or install heat pumps when replacing their air conditioning units starting in 2027. This move is designed to promote electrification and reduce reliance on gas-powered systems. The effective date has been strategically delayed to allow for the expansion of local HVAC programs, ensuring a smoother transition for residents.

Additionally, a new "flex path" compliance option will be introduced for remodel projects exceeding 1,000 square feet. This pathway allows homeowners to achieve energy efficiency targets by selecting from a flexible list of measures, encouraging the installation of heat pumps and other energy-saving upgrades.

The urgency of these amendments is underscored by the recent passage of AB 130, which restricts local jurisdictions from adopting new residential reach codes after October 1, 2025. To comply, Palo Alto is accelerating its timeline, with the residential reach code proposals scheduled for council review on September 8, 2025.

Community feedback sessions held in August revealed strong support for these initiatives, with residents and professionals alike contributing valuable insights. The committee is now recommending that the city council adopt these energy code amendments, which, if approved, will be submitted to the California Energy Commission for further review.

The anticipated outcomes of these amendments are significant: if approved, the new requirements will take effect on January 1, 2026, for the heat pump regulations and January 1, 2027, for the air conditioning replacements. This proactive approach positions Palo Alto as a leader in climate action and sustainability, setting a precedent for other jurisdictions to follow.