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

Economics

Jan 16, 2026

Builder Sentiment Loses Ground at Start of 2026

Builder confidence in the market for newly built single-family homes fell two points to 37 in January, according to the NAHB/Wells Fargo Housing Market Index (HMI) released today.

Housing Affordability

Jan 15, 2026

NAHB Participates in Capitol Hill Housing Forum

NAHB Chief Lobbyist Lake Coulson participated in a Housing Affordability Roundtable hosted by the New Democrat Coalition. Lawmakers and housing stakeholders discussed ways to address affordability challenges and enact federal housing finance reforms.

View all

Latest Economic News

Economics

Jan 16, 2026

December Mortgage Activity Softens Even as Rates Ease

Mortgage application activity declined in December despite a modest easing in mortgage rates. The Mortgage Bankers Association’s (MBA) Market Composite Index, a measure of total mortgage application volume, fell 5.3% from November on a seasonally adjusted basis, though it remained 47.1% higher than a year ago.

Economics

Jan 16, 2026

Builder Sentiment Loses Ground at Start of 2026

Builder confidence moved lower to start the year as affordability concerns continue to weigh heavily with buyers, and builders continue to contend with rising construction costs.

Economics

Jan 15, 2026

Remodeling Market Sentiment Strengthens in Fourth Quarter of 2025

In the third quarter of 2025, the NAHB/Westlake Royal Remodeling Market Index (RMI) posted a reading of 64, increasing four points compared to the previous quarter.