Key Points

3 US Energy Policies and Programs Critical to Commercial Building Owners

As the demand for sustainable and energy-efficient buildings continues to grow, commercial building owners are increasingly looking for ways to reduce their energy consumption and costs. One of the most effective ways to achieve this is through a deeper understanding of energy policy and programs.

Accelerate the energy transition through a better understanding of the energy efficiency policy landscape

Explore three high-impact energy efficiency policies in the United States that commercial building owners should be aware of including the Energy Efficiency Resource Standards (EERS), building energy codes, and Property Assessed Clean Energy (PACE) financing.

These policies, along with many others, offer a range of incentives and financing options that building owners can utilize to make energy-saving upgrades to their properties while reducing their environmental impact and boosting long-term cost savings.

Whether you're a building owner, property manager, or building portfolio (REIT) manager, understanding these policies is crucial to achieving a more sustainable and energy-efficient future.

Energy Efficiency Resource Standards (EERS): This policy requires utilities to reduce energy consumption through energy efficiency measures, such as building retrofits and education programs. It is implemented at the state level and commercial builder owners can leverage available utility incentives to make energy-saving upgrades to their properties. More than 25 states currently have EERS policies in place.

Building Energy Codes: Building codes are developed and adopted at the state or local level, and they set minimum energy efficiency requirements for new and renovated buildings. Building technologies and design elements that are addressed in a building code typically include the building envelope; heating, ventilation, and air conditioning (HVAC) systems; lighting; and service water heating systems. Building energy codes can help commercial building owners reduce energy consumption and costs, while also improving the overall energy performance of their properties.

Property Assessed Clean Energy (PACE) Financing: PACE is a financing mechanism that allows commercial building owners to finance energy efficiency and renewable energy upgrades through a special assessment of their property tax bill. There are two different programs for PACE;  one for residential (R-PACE) and one for commercial (C-PACE) which more than 37 states currently offer. This policy can help building owners make energy-saving upgrades to their properties, even if they lack the up-front capital to pay for the improvements.

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