City of Petaluma Withdraws Gas Ban after DOJ Challenge

On March 23, 2026, the U.S. Department of Justice (DOJ) voluntarily dismissed its lawsuit against the City of Petaluma and Morgan Hill after both withdrew their gas bans within the past few weeks. The City of Petaluma withdrew its gas ban recently, Morgan Hill withdrew its ban a few weeks ago.  NPGA previously noted these lawsuits and engaged with the DOJ on these efforts.

As the DOJ noted in January upon filing:

“These natural gas bans hurt American families and are outright illegal” said Attorney General Pamela Bondi. “Alongside the Department of Energy, the Department of Justice is working around the clock to end radical environmentalist policies, restore common sense, and unleash American energy.”

“Especially during winter, Americans deserve reliable, affordable energy,” said Assistant Attorney General Brett A. Shumate. “Radical local efforts to undermine American energy dominance must be stopped.”

NPGA has long raised concerns about local fuel bans and has been in regular communication with the DOJ for months, outlining the legal and practical problems these ordinances create as well as helping identify local laws in conflict with federal law. In earlier communications, NPGA emphasized that municipal energy bans can restrict consumer choice, increase costs, undermine energy reliability, and conflict with federal statutes governing energy policy.

Questions? Contact Director of Regulatory Affairs and Associate General Counsel Kate Gaziano.