Attention Developers: California Energy Commission Finalizes New Building Energy Standards, Effective 2026
Background
On September 11, 2024 the California Energy Commission adopted the 2025 Building Energy Efficiency updates, expected to save $4.8 billion in energy costs and cut greenhouse gas emissions by 4 million metric tons.
The updates apply to new construction, renovations, additions, and certain building alterations. The standards are designed to be cost-effective and economically feasible, according to the CEC.
The 2025 updates will be submitted to the California Building Standards Commission in December 2024. If approved, they will take effect on January 1, 2026. The Energy Commission will provide documentation, training, and technical support to builders and officials over the next year.
What Will The Updates Focus On?
Expanding heat pump use for space heating and water heating in new single-family, multifamily, and select nonresidential buildings. For homes and low-rise multifamily buildings, this builds on the 2022 baselines.
Encouraging electric-ready buildings for cleaner water heating and cooking.
Updating standards for photovoltaic, battery storage, space conditioning systems, and ventilation in multifamily and nonresidential buildings to improve efficiency and air quality.
In Conclusion
The new standards emphasize decarbonization through energy efficiency, heat pumps, on-site clean energy, and shifting energy use during peak times.
They also aim to improve buildings' resilience to extreme weather and climate change, according to the commission.
Attorneys and developers in California should familiarize themselves with the new standards taking effect in 2026.
For the Fact Sheet with more information about the updates to the building standards: https://www.energy.ca.gov/sites/default/files/2024-09/2025_California_Energy_Code_Fact_Sheet_ada.pdf
For a timeline of the 2025 Building Energy Efficiency Standards and information about the rule-making, supporting documents, docket logs, and public participation: https://www.energy.ca.gov/programs-and-topics/programs/building-energy-efficiency-standards/2025-building-energy-efficiency
Questions?
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