BID a job today to install a 200 amp service replacing 100 amp service in a single family home. I called the inspector to schedule the job he told me they hade a new rule and all 120 volt breakers in the new service had to be AFCI breakers. the house is 40 years old. has anyone heard of this?
No offense intended; but if you do this type of work normally, then why would you NOT know of this requirement in the jurisdiction?
With that said, simply ask for the reference he is using to make this a requirement. Each city must tell you what code they are enforcing, and if they are taking any exceptions to that code, then that also needs to be published public knowledge.
Tread lightly, even if you win this, he will look for others ways to get back at you.
Hopefully, there is a clause in your bid documents that qualifies what your doing and anything else is T&M; if not, you probably have learned a valuable lesson about bidding.