Funding Will Support State and Local Adoption and Implementation of Building Energy Codes to Dramatically Cut Carbon Emissions, Generate Up To $138 Billion in Savings for Homes and Businesses, and Improve Health and Safety 

WASHINGTON, D.C. — The Biden-Harris Administration, through the U.S. Department of Energy (DOE), today announced $45 million in competitive grants to help states and partnering organizations implement updated building energy codes and lower energy bills for American families and businesses. This funding is the first installment of a 5-year, $225 million program established by President Biden’s Bipartisan Infrastructure Law to support building energy code adoption, training, and technical assistance at the state and local level. Modernizing the nation’s building codes is crucial to driving the development of more energy efficient commercial and residential buildings and is a key component of DOE’s efforts to address the climate crisis and meet President Biden’s goal of a 100% clean electrical grid by 2035 and net-zero carbon emissions by 2050.     

“Building codes continue to be one of the most critical tools we have to improve energy efficiency and resilience in homes and businesses, which together account for more than one third of emissions across the country,” said U.S. Secretary of Energy Jennifer M. Granholm. “Thanks to President Biden’s Bipartisan Infrastructure Law, this transformative investment will help more states bring their energy codes into the 21st Century—putting money back into the pockets of Americans everywhere while substantially cutting carbon emissions and tackling the climate crisis.” 

Building energy codes establish minimum acceptable energy efficiency standards for new buildings, additions, and major renovations in residential and commercial buildings. Successfully implementing and adopting updated building codes can substantially improve energy efficiency, save consumers energy and money, and reduce greenhouse gas emissions. DOE estimates that by 2040, these modern energy codes would save homes and businesses $138 billion on their utility bills—equivalent to $162 in annual savings per residential unit. By preventing 900 million metric tons of carbon emissions through 2040, the climate benefits will be the equivalent of taking 195 million gas-powered vehicles off the road for a year.  

Building energy codes also ensure buildings are healthier, safer, and more resilient. The energy code is a critical component of the broader collection of building codes, which include provisions for fire, structural, mechanical, and plumbing systems that save lives, reduce property damage, and lower utility bills. Despite these benefits, two out of every three communities in the United States have not adopted the latest building codes. DOE’s actions today to spur nationwide code adoption supports the Biden-Harris Administration’s National Initiative to Advance Building Codes, which the National Climate Task Force unveiled in June 2022 to boost energy efficiency and make communities more resilient to hurricanes, flooding, wildfires, and other extreme weather events that climate change is intensifying. 

Applicants may now apply for the Resilient and Efficient Codes Implementation Program first $45 million disbursement, which was announced earlier this year in a Notice of Intent and shaped by responses to a Request for Information. Applicants must include a state agency to be eligible, and they may apply in strategic partnership with other organizations, such as state or local building departments, builders, contractors, architects, engineers, other design and construction professionals, academia, research, trade organizations, consumer advocates, regional energy efficiency organizations, and other stakeholder interests who play an important role supporting the successful implementation of building codes.  

To apply for this Funding Opportunity Announcement, applicants must register with and submit application materials through EERE Exchange here. Applicants must submit a Concept Paper by 5:00 p.m. ET on the due date to be eligible to submit a Full Application.