House Bill Would Repeal Onerous Energy Codes Grant Program

Legislative
Published
Contact: Heather Voorman
[email protected]
AVP, Government Affairs
(202) 266-8425

NAHB has sent a letter to House Speaker Kevin McCarthy in support of the Lower Energy Costs Act (H.R. 1), legislation that would repeal a section of the Inflation Reduction Act that provides $1 billion to pressure state and local governments to adopt advanced energy codes.

“While NAHB supports the adoption of cost-effective, modern energy codes, we oppose these grant programs that prevent amendments to the energy code that accommodate local conditions and a cost-effectiveness analysis,” the letter to McCarthy stated.

NAHB believes that forcing the adoption of costly energy codes to qualify for these grants would exacerbate the current housing affordability crisis and limit energy choices for consumers. Adoption of the 2021 International Energy Conservation Code can cost a home buyer as much as $22,000 in additional costs and can take as long as 90 years to see a simple payback for these investments.

“Implementation of these grants would result in fewer families being able to achieve the American dream of homeownership,” said the letter to the House leadership. NAHB noted that efforts to push costly and restrictive energy codes across the country without an opportunity for local review overburden new construction and largely ignore the energy performance of the existing housing stock. New homes built to modern codes are already energy efficient which makes increasing code stringency often unnecessary.

H.R. 1 also repeals a provision in the Inflation Reduction Act that addresses energy efficiency in older homes. NAHB stands ready to work with Congress to develop a practical energy efficiency program that addresses the great need for energy efficiency improvements in older homes.

“NAHB supports H.R. 1 as it provides much needed common-sense energy solutions for our country while protecting consumer choice and preserving housing affordability,” the letter said. “We urge the House of Representatives to swiftly pass this legislation.”

Learn more about NAHB's advocacy efforts.

Subscribe to NAHBNow

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

Log in to subscribe

Latest from NAHBNow

Member Benefits | Membership

Jan 28, 2026

NAHB Expands Member Savings Program with New Partners and Big Benefits in 2026

NAHB members saved a total of more than $40 million in 2025 through a variety of member-exclusive offers. And in 2026, the portfolio of partners and programs within the NAHB Member Savings Program continues to grow.

Awards | Leading Suppliers Council

Jan 28, 2026

Transparent Flashing from Typar Earns 2026 Spark Innovation Award

The NAHB Leading Suppliers Council (LSC) recently announced that Typar’s Clear Acrylic Flashing is the winner of the 2026 Spark Award. The flashing is the first and only product of its kind on the market that allows the pattern on window nailing fins to be completely visible upon installation.

View all

Latest Economic News

Economics

Jan 28, 2026

Holding Pattern for the Fed

The Fed paused its easing cycle at the conclusion of the January meeting of the Federal Open Market Committee, the central bank’s monetary policy body. The Fed held the short-term federal funds rate at a top rate of 3.75%, the level set in December. This marked the first policy pause since the Fed resumed easing in September of last year.

Economics

Jan 27, 2026

State-Level Employment Situation: December 2025

With few exceptions, year-over-year nonfarm employment levels were relatively stable across states at the end of 2025, ranging from a decline of 4.2 percent to a gain of 1.8 percent. Construction employment, however, showed considerably greater dispersion, with declines of up to 9.3 percent in some states and gains approaching 9.0 percent in others.

Economics

Jan 26, 2026

Pool Permitting Falls Lower in 2025

After a rapid expansion of residential swimming pool and spa construction following the pandemic, permit levels in the latest monthly index for December fell to their lowest level since 2020.