Bay Area air regulators voted 16-1 on Wednesday to delay the state's first phaseout of gas water heaters by a year, CalMatters reported. They also let up to half of property owners who replace one skip the switch to electric heat pumps.

Starting in January 2028 instead of 2027, most owners replacing a gas water heater will need a model that emits no nitrogen oxides, typically a heat pump. The rule does not require replacing a working unit and does not apply to stoves, dryers or fireplaces, the Air District said.

Exemptions cover owners earning under 80% of area median income, those paying more than 28% of income toward mortgage and property taxes, and homes with tight spaces or electrical limits such as panels under 100 amps. Multifamily buildings and deed-restricted affordable housing get until Jan. 1, 2033.

A heat pump water heater costs about $3,500 more to install than a gas model, KQED reported. Air District staff estimate the exemptions will cover roughly half of Bay Area households. CalMatters reported staff also estimate the exemptions could put about half of the rule's projected pollution cuts out of reach.

San Francisco Supervisor Shamann Walton voted no over affordability concerns, and Benicia Mayor Steve Young abstained, according to CalMatters. "If we can reduce harm with this rule, we should do it," said East Bay board member Lena Tam.