Heating in San Jose, and why heat pumps are in the conversation
We repair and replace gas furnaces and repair and install heat pumps. If you have a furnace that is failing, you will probably be asked whether to replace it with another furnace or move to a heat pump.
Both are reasonable answers, and the right one depends on your house.
One reason the question is more urgent in the Bay Area is the Bay Area Air Quality Management District, now called the Bay Area Air District. In 2023 it adopted a rule under Regulation 9, Rule 4 that sets a zero NOx emissions standard for new gas furnaces sold and installed in the district, starting January 1, 2029.
Santa Clara County is inside the district. The rule does not force you to remove a working furnace, and it does not apply to gas stoves.
It does mean that when a furnace dies after the effective date, the replacement will need to be zero NOx, and the products that meet that standard today are electric, such as heat pumps.
The Air District has said its board would consider flexibility amendments in 2026, so check the Air District for the date that applies when you replace.
San José Clean Energy explains the policy in plain language on its appliance policy page.
Two practical points follow from that. First, a heat pump replacement may need an electrical panel with enough capacity, and we check that during the estimate.
Second, a heat pump also cools, so if your air conditioner is old too, one system can replace both.