U.S. Energy Department Announces $90 Million to Expand Energy Efficient Building Code Use

The U.S. Energy Department on Sep.16 announced $90 million in funding to implement updated energy codes for residential and commercial buildings in several cities, states, and tribal nations. The awards will support 25 projects across several states to ensure buildings utilize the latest energy-saving technology. The funding is an allocation from the 2021 Infrastructure Investment and Jobs Act, which provides $225 million for the Resilient and Efficient Codes Implementation initiative, or RECI.

In July 2023, the first phase of RECI also allocated $90 million to 27 projects across several states and municipalities. The selection process prioritized projects with strategic collaborations from local building code agencies, codes, and standards developers.

This augments the recent $240 million funding from the 2022 Inflation Reduction Act to update building standards and energy codes. The department selected 19 projects across several states to improve the energy efficiency of buildings, reduce utility costs and carbon emissions.

According to the department, updating energy codes effectively reduces energy loss from buildings and saves energy costs. From 2010 to 2040, the department estimates that energy codes will save $180 billion in utility costs and cut 900 million metric tons of carbon emissions. Data from the National Building Performance Standard Coalition show that around 25 percent of commercial buildings do not meet building performance standards.

Some projects in the recent selection round received more than $4 million in funding. For example, the California Energy Commission received $4 million to establish a network of energy code experts who will aid in reviewing compliance documentation and plans during the permit application and construction process. Regional Energy Efficiency Organizations received $7.5 million to implement energy codes and updated building standards across the U.S. The Midwest Energy Efficiency Alliance received $4.8 million to implement energy codes in the states of Alaska, Arizona, Illinois, Iowa, Kansas, Minnesota, Nevada, New Mexico, North Dakota, Wisconsin, and Wyoming.