New York Governor Announces $30 Million to Promote Carbon-Neutral Construction

New York Governor Kathy Hochul on Dec. 20 launched a new $30 million initiative aimed at building market capacity and demand for healthy and decarbonized housing. The initiative will create a network of carbon-neutral builders and developers that will receive training and technical support to advance the market for single-family housing. The program supports the goals of the 2019 Climate Leadership and Community Protection Act to achieve  85 percent emissions reductions by 2050. This program is funded through the New York State Energy Research and Development Authority (NYSERDA) $6 billion Clean Energy Fund.

NYSERDA will administer the initiative, titled “Building Better Homes – Emissions Free and Healthier Communities,” allocating  $5 million under the first phase of the program. The program will also improve building designs and construction practices in a cost-effective and eco-friendly manner to achieve high-quality, healthy, resilient, and sustainable homes that are carbon neutral. As part of the Building Better Homes initiative, NYSERDA has partnered with New York State Builders Association and the Asthma and Allergy Foundation of America to promote carbon-neutral construction and improvements in indoor air quality.

Decarbonizing single-family homes is part of a multi-year investment. Subsequent phases will fund entire carbon-neutral neighborhoods to educate homebuyers on the health and energy benefits of these homes. The program’s second phase will be launched in mid-2022, with a $10 million funding for a design competition to award exceptional carbon-neutral multifamily building designs, similar to its Buildings of Excellence Competition. The agency will also launch the initiative’s third component in 2022 to facilitate consumer demand through awareness on healthy and emissions free construction.

Energy efficiency and electrification have the potential to lessen pollution and improve sustainable and healthy buildings. New single-family home construction accounts for over 12,000 new homes every year, making this a key market for achieving the state’s climate and energy goals. Across the state, over $6.8 billion have been invested in decarbonizing buildings through NYSERDA and utility programs. These projects will benefit the environment while helping the state meet its target to reduce on-site energy consumption by 1.8 million homes by 2025.

Applications for participation in the program, with up to $250,000 available per partner, will be accepted through Dec. 31, 2023.