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

Advocacy | Environmental Issues

Dec 17, 2025

NAHB Weighs In on New WOTUS Rule

In November, the Environmental Protection Agency (EPA) and U.S. Army Corps of Engineers (Corps) announced a proposed updated definition of “waters of the United States” (WOTUS), followed by a 45-day comment period to gather input on the proposed rule. NAHB members and HBA staff provided comments at three public sessions hosted by the agencies to solicit feedback.

Advocacy | Economics | IBS

Dec 17, 2025

Podcast: 2025 - The Year of Housing

On the latest episode of NAHB's podcast, Housing Developments, CEO Jim Tobin and COO Paul Lopez recap top events and priorities for the year, and what to expect for 2026, including the 2026 International Builders' Show in Orlando.

View all

Latest Economic News

Economics

Dec 16, 2025

Job Market Shows Signs of Cooling in November

In November, job growth slowed, and the unemployment rate rose to 4.6%, its highest level in four years. At the same time, job gains for the previous two months (August and September) were revised downward. The November’s jobs report indicates a cooling labor market as the economy heads into the final month of the year.

Economics

Dec 15, 2025

Builder Sentiment Inches Higher but Ends the Year in Negative Territory

Builder confidence inched higher to end the year but still remains well into negative territory as builders continue to grapple with rising construction costs, tariff and economic uncertainty, and many potential buyers remaining on the sidelines due to affordability concerns.

Economics

Dec 11, 2025

Homeownership Rate Inches Up to 65.3%

The latest homeownership rate rose to 65.3% in the third quarter of 2025, according to the Census’s Housing Vacancy Survey (HVS).