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Summary
US-EPA’s ENERGY STAR is a critical voluntary, non-regulatory public-private partnership focused on energy efficiency in buildings and products. Commercial, residential, and manufacturing stakeholders all rely heavily on ENERGY STAR certifications and other offerings.
The good news is that Congress is poised to pass sufficient ENERGY STAR funding for FY’26—a very positive development given the Trump administration’s signals last sping to potentially de-fund and privatize the program.
Meanwhile, a number of progressive cities and states (map) have enacted building performance standards (BPS). These mandates impose rules regarding building emissions, electrification, and compliance timelines. The regulatory specifics vary from jurisdiction to jurisdiction—making compliance exceedingly complex and expensive. To help bring consistency to the nationwide “patchwork” of BPS regulations, RER has developed a peer-reviewed policy guide outlining 20 key considerations for any jurisdiction adopting a BPS law.
In addition, non-governmental organizations (NGOs) have developed their own BPS-type standards and climate accounting frameworks. Chief among these is the World Resources Institute’s Greenhouse Gas (GHG) Protocol, and the Science Based Targets Initiative (SBTi). These NGO standards increasingly influence decisions of certain pension and sovereign wealth funds, pressuring CRE and other companies to “align” with “net-zero” targets as a condition to providing investment capital.
Key Takeaways
Voluntary, non-regulatory federal guidelines like ENERGY STAR recognizing “high performance” real estate remain critical. These programs help quantify energy savings, attract capital, place less strain on the grid, and promote innovation in U.S. buildings.
More than 330,000 buildings—representing nearly 25 percent of U.S. commercial building floor space—utilized EPA’s Portfolio Manager software last year.
ENERGY STAR-certified buildings achieve an average of 35 percent less energy usage compared to similar non-certified buildings. The program has saved businesses and families nearly $200 billion in utility bills since 1992, including $14 billion in 2024 alone
States and cities are adopting BPS mandates that often impose rigid electrification or net zero emissions targets. These laws vary significantly and frequently penalize buildings already recognized as high-performance assets under federal programs.
See the full fact sheet.
Support ENERGY STAR: Programs like EPA’s ENERGY STAR and “NextGen” certified buildings and DOE’s Better Buildings initiative signify “high performance” real estate and are critical to unleashing America’s energy dominance.
Ensure Fair and Reasonable BPS Laws: States and localities should ensure their building performance mandates reflect the 20 points raised in RER’s peer-reviewed policy guide, which provides extensive guidance and detailed stakeholder input.
GHG Protcol’s Proposed Changes to Scope 2 Guidelines are Impractical — and Should Not be Adopted:
Building Performance Standards
