Southern California Gas Company (SoCalGas), a subsidiary of Sempra, filed a petition with the California Public Utilities Commission on February 4 2026 to eliminate the 5% hydrogen‑blending demonstration requirement that was imposed in a 2022 CPUC decision. The petition preserves the 5‑20% demonstration mandate for higher blends while arguing that blending up to 5% hydrogen can be done safely without appliance modifications.
The petition cites new safety data and operational experience from utilities worldwide that demonstrate the feasibility of 5% hydrogen blends in medium‑pressure pipelines. SoCalGas argues that the 5% demonstration project was a precautionary measure taken before sufficient data existed, and that the current evidence shows no need for a separate pilot program at that blend level.
By removing the 5% demo requirement, SoCalGas expects to cut regulatory costs and accelerate the deployment of hydrogen in California’s gas system. The company estimates that the change could lower capital expenditures for its pipeline and distribution network, reduce operating expenses associated with monitoring and testing, and enable earlier revenue generation from hydrogen sales. The move also aligns with Sempra’s broader decarbonization strategy, which includes expanding hydrogen production and blending as a low‑cost pathway to reduce greenhouse‑gas emissions in the state’s energy mix.
Environmental groups and some residents have expressed concerns about the petition. Critics point to potential increases in nitrogen‑oxide emissions, the long‑term durability of existing pipelines, and the overall cost of hydrogen blending projects. A coalition of environmental organizations has filed a motion to dismiss similar pilot projects, arguing that the costs outweigh the benefits and that the projects conflict with California’s climate goals.
The CPUC will review the petition and is expected to issue a decision within the next 12 to 18 months. If approved, the change could set a precedent for other utilities in the state and potentially influence federal hydrogen blending standards. The outcome will be closely watched by stakeholders in the energy transition, as it could reshape the economics of hydrogen integration across California’s natural gas infrastructure.
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