Trade Group Slaps California With Lawsuit Over Effort To Restrict Gas-Powered Forklifts

The Western Propane Gas Association (WPGA) filed a lawsuit Friday challenging the California Air Resources Board’s (CARB’s) zero-emission forklift (ZEF) rule due to the alleged costs it would impose, according to court documents.

The regulation from CARB, which was issued on June 27, requires dealerships to stop selling most gasoline-powered forklifts by Jan. 1, 2026, and for companies to begin phasing out the non-electric forklifts by Jan. 1, 2028, the documents state. Now, propane gas trade group WPGA has challenged the California rule, claiming CARB failed to account for the immense costs of compliance, estimated at $27 billion, as well as the environmental damage from the electric grid expansion and mineral mining required to execute the transition.

“Costs include building infrastructure necessary to charge and store the electric batteries used by ZEFs and the need for operators to use three ZEFs to replace one combustion-engine-powered forklift,” the WPGA lawsuit states. “California law requires an approach to its legitimate environmental concerns that is based on substantial evidence and that accurately considers the benefits and costs of the proposed plan. The ZEF Regulation fails this test.”

The WPGA’s $27 billion cost estimate is largely comprised of the $10 billion-plus net cost of replacing California’s gas-powered forklifts, as well as the nearly $3 billion in costs for replacing forklift batteries between 2026 and 2038.

The lawsuit also asserts CARB’s Environmental Impact Analysis (EIA) failed to take into account the strain a transition to electric forklifts will have on California’s