Legislature Passes Efficiency First Bill-SB 5854

The Senate passed SB 5854, Efficiency First, bill, sending it to the governor. The governor is expected to sign the bill into law. Here is a quick summary of the bill as passed.

1. Energy codes

Residential and non-residential construction permitted under the 2031 Code must achieve a 70 percent reduction in energy use, using the 2006 Code as the baseline. The Council must adopt state energy codes between 2013 and 2031 that incrementally move the state towards achieving the 2031 Code standards.

2. Strategic Plan

The Department of Community, Trade and Economic Development (DCTED) must develop and implement a strategic plan for enhancing energy efficiency and reducing greenhouse gas emissions from homes, buildings, districts, and neighborhoods. This plan must be used to direct future increases in the Code.

3. Commercial building benchmarking

Beginning January 1, 2010, qualifying utilities must maintain records of energy consumption data for all non-residential and qualifying public agency buildings for which they provide service. Upon receiving authorization from a non-residential building owner or operator, the qualifying utility must upload all of the energy consumption data associated with that building to the Portfolio Manager. Non-public, non-residential building performance data must be uploaded either in 2011 or 2012, depending on the size

4. Public buildings

Establishes performance standards, benchmarking, and other reporting requirements for public buildings. Any reporting public facility with a National Energy Performance Rating score below 50 must undertake a preliminary energy audit by July 1, 2011. If potential cost-effective energy savings are identified, an investment grade energy audit must be completed by July 1, 2013, with implementation of the cost-effective energy conservation measures by July 1, 2016.

5. Leased public buildings

A qualifying public agency may not enter into a new lease or a lease renewal on or after January 1, 2010 for a facility with a National Energy Performance Rating score below 75, unless: (1) a preliminary energy audit has been conducted within the last two years; and (2) the owner or lessor agrees to perform an investment grade audit and implement any cost effective energy conservation measures within the first two years of the lease agreement, if such measures are identified in the preliminary audit.