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

Codes and Standards
Aug 13, 2026
Sept. 1 Deadline Looms for Code Changes on Outdoor Outlets, GFCIs

On Sept. 1, 2026, a temporary exception in the National Electrical Code (NEC) is scheduled to expire, which requires ground-fault circuit interrupter (GFCI) protection for outdoor HVAC equipment.

Membership | Advocacy | Leadership Meetings
Aug 12, 2026
Chairman's Update: What the Industry Pulse Check Told Us About Our Federation

In his August update, 2026 NAHB Chairman Bill Owens spotlights the feedback received through NAHB’s Industry Pulse Check and next steps on the 21st Century ROAD to Housing Act implementation.

View all

Latest Economic News

Economics
Aug 13, 2026
Building Material Prices Show Growth In July

Residential building material prices, excluding energy, rose 0.4% in July and were up 5.0% from a year ago. Energy prices fell again in July but remained significantly higher than a year ago. Meanwhile, prices for services were down 0.3% over the month but were 6.2% higher than a year ago.

Economics
Aug 13, 2026
Homeownership Rate Edges Down to 65%

The latest homeownership rate declined to 65% in the second quarter of 2026, according to the Census’s Housing Vacancy Survey (HVS). The homeownership rate was unchanged from a year ago, and not statistically different than the rate in the first quarter of the year (65.3%).

Economics
Aug 12, 2026
Inflation Eased Slightly in July

Led by declines in gasoline and diesel prices, inflation eased for the second consecutive month after reaching a three-year high in May. As energy prices moderated, shelter resumed its role as the largest driver of headline inflation, accounting for one-third of the annual increase and over two-thirds of the monthly increase.