Policies
Bills and Policies that Reduce Air Pollution from Homes & Buildings
Gas appliances are bad for our health and an obstacle to meeting climate objectives. The technology exists today to replace them, but outdated policies give preference to fossil fuels. Comprehensive policy reform is needed.
To ensure that homes and buildings are electrified both equitably and expeditiously, decision-makers must employ a mix of mandates, incentives, and education. The following are foundational policies to achieve this goal.
Establish the goal of a zero-emission buildings sector no later than 2045 with interim enforceable targets;
Strengthen standards for buildings and appliances to require zero emissions;
Improve affordability of electrification through incentives, rate reform, and financing, with a priority focus on low-income residents;
Educate and inspire consumers and the workforce; and,
Remove roadblocks and common barriers to electrification, particularly for low-income and environmental justice communities.
City action on new construction and existing building
The Denver Climate Action Task Force, of which Sierra Club is a member, released recommendations for how to achieve 80% GHG emissions reductions by 2050, including a recommended requirement of highly efficient, all-electric, grid-flexible new residential homes in the 2024 base building code and in all new buildings in the 2027 base building code. The City of Denver has immediately gotten to work on net-zero existing building implementation work as well. Sierra Club, NRDC, and SWEEP are now participating in the Energize Denver Task Force, which will make final recommendations in August 2021 about how the City of Denver can move forward on a building performance policy on existing buildings that improves health and equity, creates jobs and drives climate solutions in buildings.
2021 Policy & Legislative Victories
Some Major Wins in Colorado
New requirement that gas utilities develop plans to reduce GHGs: Senate Bill 21-264 - Adopt Programs Reduce Greenhouse Gas Emissions Utilities creates a requirement for gas utilities to reduce GHG pollution by 4 percent by 2025 and 22 percent by 2030. Investor owned utilities must file plans with the PUC, which is directed to ensure the plans are cost-effective.
City action on new construction and existing buildings: The Denver Climate Action Task Force, of which Sierra Club is a member, released recommendations for how to achieve 80% GHG emissions reductions by 2050, including a recommended requirement of highly efficient, all-electric, grid-flexible new residential homes in the 2024 base building code and in all new buildings in the 2027 base building code. The City of Denver has immediately gotten to work on net-zero existing building implementation work as well. Sierra Club is now participating in the Energize Denver Task Force, which will make final recommendations in August 2021 about how the City of Denver can move forward on a building performance policy on existing buildings that improves health and equity, creates jobs and drives climate solutions in buildings.
Killed a pre-emption bill: The oil and gas industry’s attempt to introduce a pre-emption bill in the Colorado legislature was defeated by advocates. We quickly mobilized elected officials from across the state, conservation and health organizations to stop HB21-1034 during its House committee hearing in March 2021.
New requirement for utilities to establish BE programs: Senate Bill 21-246- Electric Utility Promote Beneficial Electrification promotes the use of energy-efficient electric equipment in place of less efficient fossil-fuel-based systems by requiring Xcel Energy and Black Hills Energy to file plans with the PUC that support all cost-effective electrification including the full social cost of carbon and methane emissions in cost-effectiveness evaluations. The bill provides guidance to the PUC on how to implement cost-effective programs that provide incentives to customers. Note: we were able to secure some labor trades as well.
New requirement to set gas reduction targets: House Bill 21-1238 - Public Utilities Commission Modernize Gas Utility Demand Side Management Standards requires the PUC to set energy reduction targets, updates the way the PUC reviews the cost-effectiveness of utility plans and requires the PUC to use science-based costs for GHG emissions (“the social cost of carbon and of methane”) as part of its cost effectiveness evaluations.
New requirement for large existing buildings to reduce GHG emissions: House Bill 21-1286 - Energy Performance for Buildings requires building owners of commercial, multifamily and public buildings 50,000 sf or more to report the building’s annual energy use starting in 2022. It provides exemptions for certain building types and creates a process for a building owner to seek a waiver. Beginning in October 2021, the Colorado Energy Office will convene a task force of building and efficiency experts, industry stakeholders and local government representatives to develop and provide recommendations on building performance standards that achieve a 7 percent reduction in GHG emissions by 2025 and a 20 percent reduction by 2030 from a 2021 baseline.