Design and Construction, Energy Management and Lighting, Green Building, Maintenance and Operations, Sustainability/Business Continuity

DOE Offering $400M for States to Update Building Energy Codes

The U.S. Department of Energy (DOE) has released program guidance and opened applications for $400 million in formula funding to states and territories for adopting and implementing building energy codes that reduce utility bills, increase efficiency, lower greenhouse gas emissions, and make buildings more resilient to climate disasters.

“A transition to a clean energy economy is about more than adding clean energy to the electric grid; we also need to revitalize, and fortify, the infrastructure we have now,” said U.S. Energy Secretary Jennifer M. Granholm.

According to the DOE, modern building codes for new construction and renovations can dramatically cut energy costs and carbon emissions; however, two out of every three communities in the U.S. have not adopted the latest codes. Funded by $1 billion in the Inflation Reduction Act, the DOE has released a portion of this funding to support state adoption through an Administrative and Legal Requirements Document.

This ALRD provides federal guidance for two categories of codes: 

  • $240 million will be available to adopt and implement the latest building energy code, the 2021 International Energy Conservation Code (IECC) for residential buildings and the ANSI/ASHRAE/IES Standard 90.1–2019 for commercial buildings, or other codes that achieve equivalent or greater energy savings.
  • $160 million will be available to adopt and implement the zero energy provisions in the 2021 IECC, or other codes with equivalent or greater energy savings. 

Interested states will need to opt-in to reserve their funding for these awards, with letters of intent due to the DOE by Nov. 21, 2023.

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