Biden Administration Releases Decarbonization Plan for Homes and Buildings

Advocacy
Published
Contact: Susan Asmus
[email protected]
SVP, Regulatory Affairs
(202) 266-8538

The U.S. Department of Energy (DOE) recently released an ambitious blueprint for decarbonizing buildings in the country, including homes. The stated goal of the plan is to reduce carbon emissions from buildings 90% by 2050 compared with the 2005 baseline, with an interim goal of a 65% reduction by 2035.

Although the blueprint was created in consultation with other federal agencies and includes many state, local and federal policy ideas, it is a non-binding document that does not make specific regulatory or policy proposals.

NAHB is supportive of finding ways to reduce carbon emissions and increase energy efficiency in homes. But the plan laid out by the administration relies heavily on building code changes and a shift to electrification in homes, which would decrease choice for home buyers and owners and increase construction costs for new homes.

The plan does note that existing buildings and homes, especially in disadvantaged communities, are a major source of carbon emissions and most buildings that exist today will still exist in 2050, necessitating an extensive retrofit effort. The document, however, does not offer any new funding solutions for what it notes is the main driver of heating and cooling loads in buildings: The envelope in residential buildings and ventilation in commercial buildings.

In discussing retrofitting or remodeling, DOE noted that it may need to develop contractor standards to “increase the likelihood of quality work performance,” and offered its Energy Skilled certification as an example.

NAHB has consistently argued that the only way to meaningfully reduce carbon emissions from homes is to address existing homes. And many of the required updates will be expensive and should be voluntary for owners.

DOE’s blueprint leans heavily on required changes through standards, codes and regulatory actions. For example, when discussing what actions can be taken at the federal level to “lock in cost-effective performance gains,” the options given are:

  • Appliance efficiency standards
  • Support building energy code development and adoption
  • Support other state/local regulatory actions

As climate risks become more widespread, governments will need to take bold action. But huge leaps in standards, rules, codes and other regulations will disrupt a housing market that is already in an affordability crisis. We must remind policymakers that homes aren’t just units of carbon production; they are where people live, and everyone needs one.

Subscribe to NAHBNow

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

Log in to subscribe

Latest from NAHBNow

Leading Suppliers Council

Dec 24, 2025

10 Ways to Turn Your Business Into a Lean, Mean Building Machine

Myriad industry challenges are adding time and cost to home building projects. But with the right technology, you can better anticipate and manage those challenges to help optimize your business' performance and profits.

Sponsored Content

Dec 23, 2025

The 5 Types of Builders — and the One Built to Prosper

Most builders want the same things: predictable profits, less stress, and a business that doesn’t grind them down year after year.

View all

Latest Economic News

Economics

Dec 22, 2025

State-Level Employment Situation: September 2025

In September 2025, nonfarm payroll employment was largely unchanged across states on a monthly basis, with a limited number of states seeing statistically significant increases or decreases. This reflects generally stable job counts across states despite broader labor market fluctuations. The data were impacted by collection delays due to the federal government shutdown.

Economics

Dec 19, 2025

Existing Home Sales Edge Higher in November

Existing home sales rose for the third consecutive month in November as lower mortgage rates continued to boost home sales, according to the National Association of Realtors (NAR). However, the increase remained modest as mortgage rates still stayed above 6% while down from recent highs. The weakening job market also weighed on buyer activity.

Economics

Dec 18, 2025

Lumber Capacity Lower Midway Through 2025

Sawmill production has remained essentially flat over the past two years, according to the Federal Reserve G.17 Industrial Production report. This most recent data release contained an annual revision, which resulted in higher estimates for both production and capacity in U.S. sawmills.