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Summary
The federal ENERGY STAR program must be preserved as a voluntary, non-regulatory public-private partnership. Proposed budget cuts and agency staff reorganizations from the Trump administration indicate that it may eliminate the program. Commercial, residential, and manufacturing stakeholders all rely on the program heavily and are united in advocating for its preservation.
Meanwhile, a number of progressive cities and states (map) have enacted building performance standards (BPS) mandates—with widely varying rules on 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 them the Science Based Targets Initiative (SBTi) and the World Resources Institute’s Greenhouse Gas (GHG) Protocol. These NGO standards increasingly influence both regulatory policy and private capital markets. Many real estate lenders and equity investors have adopted SBTi and GHG Protocol frameworks to align with their ESG investment principles.
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.
Defend 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.
Increase Federal Oversight on BPS Mandates: The U.S. government should not award federal grants to induce states and localities to enforce BPS regulations on the real estate industry.
Building Performance Standards
