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

Sponsored Content

Nov 26, 2025

6 Practical Ways Builders Can Cut Cycle Time When Every Day Costs Money

Cycle time isn’t just a scheduling issue. It’s a profit issue — one that grows quietly until it owns your entire operation. But there are strategies to help mitigate those challenges to keep your business running smoothly.

Housing Finance

Nov 25, 2025

Fannie Mae, Freddie Mac Conforming Loan Limits to Rise to $832,750 in 2026

The Federal Housing Finance Agency (FHFA) today announced that the maximum baseline conforming loan limits for mortgages acquired by Fannie Mae and Freddie Mac in 2026 will rise to $832,750, an increase of $26,250 from 2025.

View all

Latest Economic News

Economics

Nov 26, 2025

Property Taxes by State – 2024

Nationally, across the 87 million owner-occupied homes in the U.S., the average amount of annual real estate taxes paid in 2024 was $4,271, according to NAHB analysis of the 2024 American Community Survey.

Economics

Nov 25, 2025

Share of New Homes with Decks Edges Lower

The share of new homes with decks edged down from 17.6% in 2023 to a new all-time low of 17.4% in 2024, according to NAHB tabulation of data from the HUD/Census Bureau Survey of Construction (SOC).

Economics

Nov 25, 2025

Building Material Prices Continued to Rise in September

Aggregate residential building material prices rose at their fastest pace since January 2023 in the latest Producer Price Index release from the Bureau of Labor Statistics. Input energy prices increased for the first time in over a year, while service price growth remained lower than goods.