As California prepares to begin implementing new zero-emission forklift regulations in January, 2026, facility managers nationwide have an opportunity to evaluate their material-handling operations. While these regulations currently apply only to California — where businesses will be unable to purchase or lease new internal combustion forklifts — they provide a timely catalyst for all facilities to assess and optimize their fleets.

The shift to zero-emission equipment presents more than just a change in power sources; it's an opportunity to examine your entire material-handling strategy. This evaluation can reveal ways to right-size your fleet, upgrade aging equipment, enhance operational efficiency, improve workplace safety, reduce long-term costs, and strengthen corporate reputation through environmental stewardship. However, success requires careful planning and a comprehensive understanding of the challenges involved. Following are the essential steps to guide your planning process.

Assess your fleet requirements. Begin by conducting a thorough inventory of your current fleet. Identify which units would need replacement under zero-emission requirements, and create a detailed timeline for changes. This assessment should go beyond simple replacement planning — it's an opportunity to optimize your fleet size and composition based on your specific operational needs. Review existing lease contracts carefully, as you may have equipment agreements that extend into future years. By evaluating these financial obligations early, or engaging fleet management experts to explore contract flexibility or cost mitigation strategies, you can help ensure that your transition plan accounts for both existing commitments and future zero-emission requirements.

Address infrastructure challenges. Perhaps the most overlooked aspect of zero-emission conversion is infrastructure readiness. Electrical infrastructure upgrades can represent up to 15% of the total project cost. Facility managers should conduct thorough electrical assessments before committing to specific equipment choices. This includes evaluating current power capacity, identifying necessary upgrades, and developing contingency plans for power outages or peak usage periods.

Select equipment and power solutions. When selecting replacement equipment, two critical factors demand attention: total cost of ownership and power infrastructure requirements. The choice between lead-acid batteries, lithium-ion technology or other power solutions must be based not only on your operational requirements and facility layout, but also on your existing electrical infrastructure capacity.

Many facilities have learned a costly lesson after receiving new lithium-powered equipment — discovering too late that their electrical infrastructure couldn't support it, bringing operations to a halt. Preventing such disruptions requires evaluating your electrical capacity and backup power needs before selecting equipment. The lowest initial cost option rarely proves most economical once infrastructure upgrades are factored in.

Create your implementation plan. Success requires more than just equipment replacement. A complete plan must include maintenance protocols for new equipment, backup power strategies, and a clear approach for retiring existing equipment. The plan should also encompass operator and maintenance staff training programs, along with effective power-management systems and charging infrastructure.

Coordinate vendor relationships. Execution of the plan involves multiple aspects and complexities, including equipment sourcing, power solutions, infrastructure upgrades, maintenance planning, financial and budget alignment, and management of multiple suppliers. While some facilities successfully manage these relationships independently, working with an independent fleet manager to help coordinate all elements and reduce project complexity can be a great asset.

While California's regulations currently affect just one state, they signal industry shifts that are likely to continue. Early preparation allows facilities to capture immediate operational benefits, while laying the groundwork for future operational flexibility.

Blake Tucker is executive vice president at TFS.