Round Up Of New York Climate Litigation In 2025

Published on October 30, 2025iBuilding Management,Climate Change & Resiliency,NYC Environmental Issues,New York Environmental Law,Renewable Energy

As we approach the close of 2025, one key takeaway is that this year has been an especially active one for climate litigation in New York. On October 24, 2025, the New York Supreme Court granted the petition in Citizen Action of New York et al. v. New York State Dept. of Environmental Conservation (No. 903160-25), and directed the New York State Department of Environmental Conservation (NYSDEC) to promulgate regulations implementing the Climate Leadership and Community Protection Act (CLCPA). In addition, New York courts in 2025 have so far upheld several of New York State and New York City's landmark climate laws related to the built environment, allowing for the full implementation and enforcement of building energy efficiency and decarbonization requirements.

NYS CLCPA

In March 2025, four environmental and climate justice groups filed a suit against NYSDEC, captioned Citizen Action of New York et al. V. New York State Dept. of Environmental Conservation (No. 903160-25 (Sup. Ct., Albany Cnty.)), claiming that NYSDEC unlawfully neglected to design and implement a regulatory framework to achieve the CLCPA-mandated emissions reduction of 40% by 2030 and 85% by 2050. Specifically, the Petitioners claim that NYSDEC failed to release its draft regulations implementing a "cap-and-invest" program, which as explained by the State, would "establish a declining cap on greenhouse gas emissions delivering cleaner air and limiting potential costs to New Yorkers."

New York State responded to the litigation, arguing that NYSDEC has already finalized "emissions reduction regulations" in furtherance of the CLCPA goals, including regulations phasing out hydrofluorocarbons (HFCs) and sulfur hexafluoride (SF6), both GHGs. The State also argued that regardless of its progress, the Petitioners cannot direct how the NYSDEC should comply with the CLCPA, as that is "a matter left to the Department's discretion within the confines of the Legislature's directives."

The lawsuit also claims that by failing to enact emissions reduction regulations, New York State is infringing on its residents' constitutional right to "clean air and water, and a healthful environment," enshrined through the Green Amendment to the New York Constitution, which was adopted in 2021. In response, the State argued that the Green Amendment only sets a "prohibitory constraint on the State and contains no [] affirmative mandate requiring the State to continuously improve the environment," and thus, the Green Amendment cannot be used to compel the government to take affirmative action to improve the environment.

This lawsuit marks one of a handful of attempts to use the Green Amendment to force government action, including two petitions aimed at implementing the congestion pricing program in New York City by vacating Governor Hochul's decision to pause the program (see City Club of N.Y. et al. v. Hochul, et al. (No. 156696/2024 (Sup. Ct., N.Y. Cnty.)) and Riders Alliance, et al. v. Hochul, et al. (No. 156711/2024 (Sup. Ct., N.Y. Cnty.)), both of which were voluntarily dismissed after the congestion pricing program began to collect tolls and before any decision was issued on the merits.

On October 24, 2025, the court issued a decision granting the petition. The court explained that while NYSDEC has taken "other, commendable regulatory steps to reduce greenhouse gas emissions," NYSDEC "concedes that the impact of those regulations would fall far short" of the CLCPA's mandated reductions, and therefore "such regulations do not 'ensure' compliance with the CLCPA." The court further explained that given the CLCPA mandate for NYSDEC to "promulgate rules and regulations to ensure compliance with the statewide emissions reductions limits," NYSDEC "does not have the discretion to say no or to decide that it has the authority to choose not to follow the express legislative directive at issue." Rather, the Legislature "has specified a result and required [NYS]DEC to issue regulations that 'shall' fulfill it."

The court directed NYSDEC to promulgate regulations that comply with the CLCPA no later than February 6, 2026. The court noted that it was purposely choosing a date that falls after the next regularly scheduled legislative session to give the Legislature the opportunity to amend the CLCPA. Because the court granted the petitioners relief under Article 78, it did not address the Constitutional questions.

NYC Local Law 154

Local Law 154, enacted in 2021, prohibits the onsite combustion of fuels that emit more than 25 kilograms of carbon dioxide per million British thermal units (kgCO2/MMBtu) in new construction. Based on current federal combustion coefficients, Local Law 154's prohibition covers the onsite combustion of almost all types of fossil fuels, including natural gas and home heating fuel. The Law took effect for the first category of new construction (buildings under seven stories) on December 31, 2023, with additional phase-in dates in 2025 through 2027 for larger buildings and affordable housing.

On December 29, 2023, a group of industry groups and a plumbers labor union challenged the Law in Association of Contracting Plumbers of The City of New York, Inc. et al. v. City of New York (No. 1:23-cv-11292 (SDNY)). The Plaintiffs claimed that the federal Energy Policy and Conservation Act (EPCA) of 1975 expressly preempts state and local laws concerning the energy use of products covered by EPCA, and that Local Law 154 falls into that category of preempted laws. Specifically, the Plaintiffs argued that under EPCA, "energy use" includes the actual ability of covered products to consume energy and that, by setting the permissible carbon dioxide emissions levels for EPCA-covered products so low, Local Law 154 essentially "prohibits all fuel gas appliances" and therefore violates federal law.

On March 18, 2025, the U.S. District Court for the Southern District of New York (SDNY) granted the City's motion to dismiss the complaint. The Court reasoned that EPCA does not preempt Local Law 154 because "it does not concern energy use as EPCA defines that term." The Court explained that EPCA does not "reach the actual use of covered products, nor does it grant consumers an absolute right to use such products." Rather, EPCA's definition of "energy use" is limited to a covered product's characteristics as
"manufactured." Here, the Court concluded that Local Law 154 does not address a product's characteristics as manufactured. "It instead regulates, indirectly, the type of fuel that a covered product may consume in certain settings, irrespective of that product's energy efficiency or use."

With its holding, the Court declined to adopt the interpretation of "energy use" used in California Rest. Ass'n v. City of Berkeley (No. 21-16278 (9th Cir.)), where the U.S. Court of Appeals for the Ninth Circuit held that EPCA preempted a Berkeley municipal ordinance that prohibited natural gas piping in new buildings. There, the Ninth Circuit held that because EPCA defines "energy use" as the quantity of energy consumed by a consumer product at "point of use," EPCA is in fact "concerned with the end-user's ability to use installed covered products at their intended final destinations." The SDNY rejected this position, arguing that the Ninth Circuit rested on a flawed belief that the term "point of use" means the "place where something is used," and failed to account for the term's specialized meaning.

The Plaintiffs have appealed the SDNY's decision (No. 25-977 (2nd Cir.)).

NYS All-Electric Building Act

The NYS All-Electric Building Act (AEBA) was adopted in 2023 as part of the Fiscal Year 2024 New York State Budget. The landmark legislation was the first in the country to prohibit the installation of certain fossil fuel equipment in new buildings. Under the law, new single-family homes, new residential construction seven stories or shorter, and new commercial and industrial buildings up to 100,000 square feet that are constructed by January 1, 2026 must essentially be electric (i.e., not use certain prohibited fossil fuel equipment). Almost all new buildings will be phased into the AEBA program by 2029.

In October 2023, the law was challenged by a group of gas companies, trade groups, and labor unions in Mulhern Gas Co. et al. v. Mosely et al. (No. 1:23-cv-01267 (NDNY)). The Plaintiffs moved for summary judgment, claiming that the portion of New York's AEBA prohibiting "the installation of fossil-fuel equipment and building systems" in certain new buildings was preempted by EPCA because the AEBA "impose[s] what amounts to a regulation on the energy use of fossil-fuel equipment, including for appliances that are covered by the EPCA." The State opposed the motion, arguing that although the AEBA restricts the type of equipment and infrastructure permitted for use in some new construction, it does not impose design requirements on appliance manufacturers.

On July 23, 2025, the U.S. District Court of the Northern District of New York (NDNY) ruled that EPCA does not preempt the AEBA. The court rejected the Plaintiffs' argument that the challenged statutes were regulations concerning "energy use," citing the analysis outlined in Ass'n of Contracting Plumbers of the City of New York, Inc. and the State's opposition papers. Once again, this Court also rejected the Ninth Circuit's interpretation of "energy use" articulated in California Rest. Ass'n v. City of Berkeley.

On August 21, 2025, the court sua sponte entered judgment as a matter of law with respect to the last remaining Defendant on the sole claim of preemption and dismissed the Plaintiffs' Complaint. The Plaintiffs have appealed the SDNY's decision (No. 25-2041 (2nd Cir.)).

NYC Local Law 97

Local Law 97 of 2019 aims to reduce the GHG emissions of most buildings over 25,000 square feet in New York City by 40% by 2030 and to net zero by 2050. With certain exceptions, such as some types of affordable housing, covered buildings must meet annual GHG emissions limits starting in 2024, with the limits becoming stricter in 2030 and every five years thereafter.

In May 2022, a group of building cooperatives, residents, shareholders, and a real estate company sought to invalidate Local Law 97 in Glen Oaks Village Owner, Inc., et al. v. City of New York, et al. (No. 154327/22 (Sup. Ct., N.Y. Cnty.)). The initial complaint was dismissed by the trial court. In May 2024, the New York Appellate Division, First Department, affirmed the dismissal of four of the five claims, but found that the City Defendants failed to show that the CLCPA did not preempt Local Law 97. (App. Div. No. 2024-00134 (1^st Dep't.). This decision was covered in a previous SPR blog.

On May 22, 2025, the New York State Court of Appeals held that the CLCPA does not preempt the field of regulating GHG emissions and rather that "the [CLCPA] recognizes that local government plays an important role in this area." The Court further held that "[t]he absence of any statement that local efforts would be superseded is particularly significant here given that Local Law No. 97 was enacted before the [CLCPA]." This decision may provide persuasive authority if similar preemption challenges are brought against other local laws and is therefore encouraging for the durable prospects of local climate regulation nationwide.

The first Local Law 97 compliance reports for most covered buildings are due to the New York City Department of Buildings in 2025, along with potential requests for penalty mitigation.

Round Up Of New York Climate Litigation In 2025

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