NAHB Opposes Energy Codes Provision in Build Back Better Act

Codes and Standards
Published

NAHB has sent a letter to House Energy and Commerce Committee Chairman Frank Pallone (D-N.J.) and members of his committee expressing strong opposition to a provision in the Build Back Better Act that would exacerbate the current housing affordability crisis and limit energy choice to consumers as a result of aggressive energy efficiency requirements in model building energy codes.

Specifically, the legislative language appropriates $300 million to provide incentive funding for states and local governments to adopt a building energy code that meets or exceeds the zero-energy provisions in the 2021 International Energy Code Council (IECC).

In expressing our opposition to this plan, NAHB stated that “these targets are not appropriate or cost-effective for many jurisdictions; rather, the Department of Energy should help states advance the codes in a manner that best fits the needs of state and local governments. Section 30433 [the building codes section of the bill] will result in an increase in the cost of homes, which may encourage people to remain in older, less energy-efficient homes.”

NAHB further told lawmakers that a failure to consider the true economic costs of required energy-use reductions in model building energy codes and declining to establish reasonable payback periods for these investments will result in fewer families being able to achieve the American dream of homeownership. We continue to work with lawmakers to find more appropriate and cost-effective ways to increase energy efficiency.

Subscribe to NAHBNow

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

Log in to subscribe

Latest from NAHBNow

Sustainability and Green Building
Aug 28, 2026
NGBS: An Alternative Energy Code Compliance Option

As energy efficiency mandates are becoming more difficult and costly to meet, the National Green Building Standard (NGBS) is emerging as an attractive alternative. Alternative code compliance options - like NGBS Green - are beneficial to local jurisdictions and builders alike, as they provide compliance flexibility without compromising energy performance, and can streamline permitting processes and timelines.

Membership Recruitment and Retention
Aug 27, 2026
Fall Recruitment Competition Set to Begin Sept. 1

Builder and Associate members will work to recruit as many new members as they can by Nov. 30. Winners can earn prizes including LG laundry products and 2027 International Builders' Show perks.

View all

Latest Economic News

Economics
Aug 28, 2026
Multifamily Absorption Rate Remains Below 50%

The percentage of new apartment units that were absorbed within three months after completion was down five percentage points in the first quarter, according to the Census Bureau’s latest release of the Survey of Market Absorption of New Multifamily Units (SOMA).

Economics
Aug 27, 2026
Small Decline for Single-Family Home Size

New single-family home size had been falling since 2015 in response to declining affordability conditions. An exception occurred in 2021, when new home size increased as interest rates reached historic lows.

Economics
Aug 26, 2026
PCE Inflation Remains Sticky

The latest report shows the Federal Reserve’s preferred inflation gauge remains sticky in July, complicating the Fed’s path to its long-term 2% target. Meanwhile, consumer spending remains resilient but is showing signs of slowing, with real consumer spending unchanged in July. Households are pulling back on spending amid persistent inflation.