Earlier this year, we wrote about how the repeal of New York’s 100-foot rule might affect Hudson Valley homeowners. Now, as of January of 2026, Governor Hochul has officially signed the legislation, and the clock is ticking.
If you’ve been considering switching from fuel oil to natural gas, 2026 is your last year to take advantage of a subsidy worth thousands of dollars, that has been in place for over 40 years. Here’s what you need to know.
What Just Happened?
In December, Governor Hochul signed legislation S.8417/A.8888, officially ending the era of the “100-foot rule” for residential natural gas hookups.
The 100 foot rule meant that utility companies like Central Hudson or National Grid would subsidize up to 100 feet of gas service line installation costs at no direct cost to the homeowner. That cost was spread across all existing ratepayers’ bills.
Starting in December of 2026, homeowners who are installing natural gas will have to pay 100% of the material and installation costs for gas service lines themselves, a cost that Central Hudson estimates at around $6,500 per connection.
What does this mean for Homeowners in Greene, Ulster or Columbia County?
This primarily affects heating oil customers in Greene, Ulster and Columbia County who are considering replacing aging furnaces with natural gas.
As we found in our analyses of the region, homeowners are slowly switching off of heating oil to either propane, ductless mini-split heat pumps, or natural gas. With the loss of this subsidy, it may force more people to only consider either propane or mini-splits.
In Greene County, there are still 8,800 households with heating oil.
In Columbia County, there are still 12,150 households with heating oil.
In Ulster County, 32,856 households still using heating oil.
The repeal of the 100-foot rule represents a last opportunity for these 50,000 households to have a full choice between natural gas, heat pumps (which enjoy some subsidies), and propane.
How Does the Natural Gas Conversion Process Work?
Once you check if natural gas is available in your neighborhood, the next step is contact Central Hudson via their natural gas inquiry form to schedule an on-site feasibility assessment.
After that, Central Hudson maintains a list of Trade Allies that can work with them to install your gas equipment. Precision HVAC is one of them.
How It Actually Works in the Field
In practice, many homeowners approach Precision HVAC without necessarily having a heating choice in mind. We can help assess your entire heating system, and if natural gas offers advantages that other heating sources don’t, we can handle the coordination with Central Hudson.
We will ensure that your home is ready for the conversion, including venting, equipment sizing and compatibility. Having us as an experienced contractor partner means that you’re not navigating the utility bureaucracy along.
Why Consider Natural Gas Over Other Options?
If you’re weighing your options, here’s how natural gas stacks up in 2026:
Natural Gas Advantages (if you convert in 2026)
- No on-site fuel storage tank to maintain
- Continuous supply—no deliveries to schedule
- Last year to get ~$5,000-7,000 in subsidized line installation
- Modern gas furnaces and boilers are 90-97% efficient
- Lower upfront equipment cost than heat pumps in many cases
What You’re Giving Up
- Natural gas equipment rebates (already ended Jan 1, 2026)
- Future-proofing: New York is shifting toward full electrification long-term
- Potential for rising natural gas prices as infrastructure costs shift to remaining customers
Heat Pumps and Propane are Alternatives
If natural gas isn’t available at your property, there are still ductless mini splits and propane heating available as strong alternatives, especially in well-insulated homes. State and utility incentives for heat pumps still exist, although federal rebates have been scaled back.
The Bottom Line: Act in 2026 If You’re Thinking About Natural Gas
We’ve been serving the Hudson Valley for 26 years, and we’ve seen heating policy change before. But this one is different… it’s a hard deadline with a clear financial impact.
If you’ve been on the fence about converting from fuel oil or propane to natural gas, and Central Hudson service is available in your area, 2026 is your last chance to avoid paying thousands of dollars out of pocket for line installation.
We’ll walk you through the entire process, from the initial feasibility check with Central Hudson, through equipment selection and installation, to final startup and commissioning.
Give us a call at 845-399-0669 to discuss your options. For 26 years, we’ve been a trusted local partner for fair, effective, and efficient heating and cooling systems in the Hudson Valley.
