News

Understanding BEPS: A Comprehensive Guide for Building Owners and the AEC Industry
March 25, 2024
Technology for Amenities - Website Header

Building Energy Performance Standards (BEPS) is a policy approach being adopted by states and local jurisdictions to improve energy efficiency in existing buildings. As a building owner or member of the AEC industry within the DMV area, it is essential to understand both the policy and implications of BEPS.

Buildings account for 40% of total energy usage in the United States. Historically, energy efficiency requirements have only been enforced on new buildings and major renovations, impacting a small percentage of overall building energy usage. However, there is now a nationwide movement to implement BEPS to address existing buildings, to significantly reduce overall building energy usage.

The Goals of BEPS

The primary objectives of BEPS are to:

  1. Monitor actual building energy usage.
  2. Set targets to improve energy efficiency in underperforming buildings.
  3. Enforce compliance by levying fines for non-compliant buildings.

Several states like Colorado, Maryland, Oregon, and Washington, and big cities such as Seattle, Denver, Boston, New York, and others have already adopted BEPS, and many more are thinking about it. The EPA tracks implementation on its website.

BEPS in the District of Columbia

The DMV is leading the way for the rest of the nation in the implementation of BEPS. The District of Columbia was the first city in the United States to implement building performance standards for existing buildings, as legislated in Title III of the CleanEnergy DC Omnibus Amendment Act of 2018.

Buildings in the District of Columbia use approximately 70% of the city’s energy, a higher percentage than the national average due to the urban nature of the District and the lack of large industrial areas. BEPS was implemented to achieve a 50% reduction in building energy usage by 2032, in line with the broader goals of the Sustainable DC 2.0 Plan.

The District of Columbia’s BEPS is divided into three cycles, with the first cycle currently underway. A summary of each cycle is as follows:

BEPS 1

Impacts: Private Buildings > 50,000 SF; DC-owned Buildings > 10,000 SF

  • Start: 2021 (Targets set)
  • Stop: 2026 (Evaluation year)
  • Enforcement: 2027

BEPS 2

Impacts: Private Buildings > 25,000 SF; DC-owned Buildings > 10,000 SF

  • Start: 2027
  • Stop: 2032

BEPS 3

Impacts: Private Buildings > 10,000 SF; DC-owned Buildings > 10,000 SF

  • Start: Anticipated 2033
  • Stop: Anticipated 2038

Within each cycle, performance metrics are set based on baseline data gathered. For BEPS 1, baseline data was collected in calendar year 2019. The median Energy Star Score and Normalized Source EUI for each property type were calculated and used to set the 2021 Building Energy Performance Standards. The focus is on bringing the bottom half of buildings up to at least the median performance level. Some example metrics for common buildings are listed below:

Property TypeENERGY STAR ScoreSource EUI
K-12 School36139
Multifamily Housing66110.7
Office71153.7

Building owners are required to elect their compliance path before the evaluation year. Four separate compliance paths are available:

  1. Performance: Demonstrate a reduction in Site EUI by 20%.
  2. Standard Target: Demonstrate compliance with DOEE’s Site EUI or Energy Start Target.
  3. Prescriptive: Complete an Energy Audit, develop an Action Plan for DOEE approval, and submit proof of implementation.
  4. Alternative: Develop a long-term plan to achieve energy reduction goals and submit for DOEE approval (e.g., major renovation during BEPS 2).

All buildings falling under BEPS 1 were required to submit their compliance path to DOEE on April 1, 2023. If electing to pursue the Prescriptive Path, Action Plans are due to DOEE on April 1, 2024. Until the evaluation year of 2026, buildings will be implementing energy improvements to achieve the desired performance.

In 2027, DOEE will analyze building energy data and proof of implementation. If buildings do not meet requirements, fines capped at $10/GSF, prorated based on performance improvement from the baseline, will be levied.

If you are the owner of a private building larger than 50,000 SF, you have likely already decided on your approach and are implementing your strategy for compliance. If you own a building larger than 25,000 SF but less than 50,000 SF, it is time to start thinking about how you will address BEPS 2 in the future. If you are developing a new building or completing a major renovation, it is important to consider not only energy code compliance but also future BEPS requirements.

BEPS is not limited to the District of Columbia. Montgomery County, Maryland, adopted BEPS in 2022, and the entire State of Maryland adopted BEPS in 2023. We anticipate more states to follow suit in the coming years and encourage building owners and design representatives to deepen their understanding of BEPS to stay ahead of the curve. The DOEE has developed a Guide to the 2021 Building Energy Performance Standards to help break down information on the BEPS policy.

Looking Ahead

Still need help navigating BEPS? Engenium Group has you covered. As a trusted design partner, our team can provide energy efficiency strategies related to your MEP systems and infrastructure to help accomplish your BEPS goals.

Related News
More Updates From Engenium Group

Read More Insights