Improve energy efficiency by complying with energy codes, says Institute for Market Transformation

by Shane Henson — April 6, 2012—Strategies to reduce energy costs within buildings abound, but perhaps one of the most effective ways—simply complying with a building’s energy code—is often not given the attention it demands to really produce energy savings, says the Institute for Market Transformation (IMT), a nonprofit organization dedicated to the promotion of energy efficiency.

In fact, according to IMT research, compliance with building energy codes is low—around 50 percent. So, says IMT, a lot of the gains from strong codes are not being realized as past IMT research shows that every dollar spent on energy code compliance yields $6 in energy savings, for a 600-percent return on investment.

But how can cash-strapped local governments improve energy code compliance? After researching best practices, IMT has released case studies on low-cost, compliance-boosting strategies. They include:

  • Streamlining regulatory processes: Streamlining makes building departments more effective, improves customer service, and provides cost savings. For example, after buying a new software package to help streamline its permitting and inspections, Ventura County, California reportedly saved more than $1 million over a six-year period. Time and money saved by streamlining can be rededicated to improving compliance.
  • Utilizing certified third parties: Assigning some functions to third parties can be an effective strategy when building departments are under-resourced. A third party can bring objectivity and additional expertise to the energy-performance testing process. In Austin, Texas, all new homes must pass energy performance tests administered by third-party companies. The state of Georgia has a similar requirement.
  • Holding design professionals accountable for compliance: This has been successful in Wisconsin, says IMT. In that state, licensed architects and engineers must not only ensure that building plans meet local codes, but that final construction is code compliant. According to a study funded by the U.S. Department of Energy (DOE), energy code compliance for commercial buildings in Wisconsin reached 95 percent in 2011. It is important to note that the requirement has not caused architects and engineers’ insurance premiums to go up, adds IMT.