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

Awards

Feb 26, 2026

2026 National Housing Center Award Recipients Announced

The National Housing Center Board of Governors has announced the recipients of the 2026 National Housing Center Awards. The induction and award ceremonies will take place during the 2026 Spring Leadership Meeting at the National Housing Center in Washington, D.C.

Advocacy | Codes and Standards

Feb 25, 2026

House Approves NAHB-Supported Energy Codes Bill

The House today approved the Homeowner Energy Freedom Act, NAHB-supported legislation that would repeal burdensome provisions from the Inflation Reduction Act, including a provision that provides states $1 billion to incentivize the adoption of the 2021 International Energy Conservation Code (IECC).

View all

Latest Economic News

Economics

Feb 25, 2026

Housing’s Share of GDP Declined Further at the End of 2025

Housing’s share of the economy was 16.0% in the fourth quarter of 2025, according to the latest estimates of GDP produced by the Bureau of Economic Analysis. This share is down from 16.1% in the third quarter and is also lower than 16.3% as registered just one year ago.

Economics

Feb 24, 2026

Young Adult Headship Rates in 2024: Cyclical Slip or New Equilibrium?

Reversing the post-pandemic rebound, the headship rates among young adults (the share of the population heading their own households) declined in 2024, according to NAHB’s analysis of the American Community Survey (ACS) data.

Economics

Feb 23, 2026

A 25-Basis-Point Decline in the Mortgage Rate Prices-In 1.42 Million Households

Housing affordability remains a critical challenge nationwide, and mortgage rates continue to play a central role in shaping homebuying power. Although rates have declined from the recent peak of about 7.6% in 2023 to around 6.01% as of February 19,2026, they remain elevated relative to typical levels in the 2010s.