NAHB Opposes Energy Codes Provision in Build Back Better Act

Codes and Standards
Published

NAHB has sent a letter to House Energy and Commerce Committee Chairman Frank Pallone (D-N.J.) and members of his committee expressing strong opposition to a provision in the Build Back Better Act that would exacerbate the current housing affordability crisis and limit energy choice to consumers as a result of aggressive energy efficiency requirements in model building energy codes.

Specifically, the legislative language appropriates $300 million to provide incentive funding for states and local governments to adopt a building energy code that meets or exceeds the zero-energy provisions in the 2021 International Energy Code Council (IECC).

In expressing our opposition to this plan, NAHB stated that “these targets are not appropriate or cost-effective for many jurisdictions; rather, the Department of Energy should help states advance the codes in a manner that best fits the needs of state and local governments. Section 30433 [the building codes section of the bill] will result in an increase in the cost of homes, which may encourage people to remain in older, less energy-efficient homes.”

NAHB further told lawmakers that a failure to consider the true economic costs of required energy-use reductions in model building energy codes and declining to establish reasonable payback periods for these investments will result in fewer families being able to achieve the American dream of homeownership. We continue to work with lawmakers to find more appropriate and cost-effective ways to increase energy efficiency.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

IBS

Jul 27, 2026

Precision Planning Keeps The New American Home 2027 on Track

As construction quickly progresses on the 2027 exhibit home of the International Builders' Show, the project is strategically navigating one of its most demanding phases: the rough-in.

Advocacy | Economics

Jul 24, 2026

Podcast: Exploring Next Steps on the ROAD to Housing

On the latest episode of NAHB’s podcast, Housing Developments, CEO Jim Tobin and COO Paul Lopez discuss what’s next following the enactment of the 21st Century ROAD to Housing Act, how state and local HBAs are tackling key issues in their areas, and the latest economic data.

View all

Latest Economic News

Economics

Jul 27, 2026

Share of Apartments Built in Buildings with 50+ Units Moves Higher in 2025

Following the highest number of multifamily completions in nearly 40 years in 2024, completions declined in 2025 to 484,000, according to NAHB analysis of the Census Bureau’s Survey of Construction. For the ninth consecutive year, a majority of new multifamily units were in buildings with 50 or more units (labeled as high-density buildings) at 57%, the highest share since 2021.

Economics

Jul 24, 2026

New Home Sales Edge Higher as Affordability Challenges Persist

Affordability challenges continued to weigh on the new-home market in June, as elevated mortgage rates, rising inflation and broader economic uncertainty kept many prospective buyers on the sidelines.

Economics

Jul 23, 2026

Acquisitions Increasing Among Home Builders

At the start of 2026, most home builders predicted that high mortgage rates and hesitancy among buyers would be their toughest challenges this year. They weren’t wrong: the 30-year mortgage rate averaged 6.49% in June and housing demand has weakened, as reflected by flat mortgage applications in the first half of the year.