02 Apr New York City Local Law 95 – Energy Efficiency Grades
Real Estate Sustainability Is Constantly Evolving. Just Like The New York City Local Law 33 Has Been Amended To New York City Local Law 95 and it is Now in Full Effect
With the Grading Law now in full effect, it is imperative that your building’s data submission is performed accurately and concisely an that the letter grades are displayed at a visible location at the entrance of your building.
We have seen 8-13-point decreases in building scores, simply because it was not simulated correctly, or if information was missing. Be Advised – this will have a tremendous impact on your Energy Grade.
The New York City Local Law 95 requires all buildings over 25,000 sq. ft. to publicly post their letter grades. The first letter grades are based on the 2019 calendar year ENERGY STAR Scores that were submitted to the Department of Buildings earlier this year.
This is a yearly process. Buildings that are not eligible for a score will receive an “N” and may be required to post the building Energy Use Intensity (EUI).
Who Does It Apply To?
The Local Law 95 applies to all commercial buildings over 25,000 sq ft. Any buildings that are subject to the Local Law 84 and Local Law 133 – need to comply with Local Law 95 as well. Importantly, property owners and managers who fail to submit a score will be fined, in addition to receiving a letter grade of “F” that must be posted.
What Is NYC Local Law 95 All About?
Local Law 95 consists of the publication of values that measure the energy consumption and efficiency of a building. The value being the EPA ENERGY STAR Score measured on a scale of 1-100 and translated to an energy grade which is represented with a letter between A and F. The energy grade is a comparative measure meaning that a score of 50 represents median energy performance while a score of 75 or better is top performance indicator. Therefore, receiving an ‘A’ indicates that your building is amongst the top 15% in energy efficiency. Your building is compared in a national data set amongst buildings with similar primary use, rather than based on location or portfolio. These scores are assigned by US Environmental Protection Agency’s ENERGY STAR Portfolio Manager.
Where Do You Have To Display the Grades?
The grades must be posted in a conspicuous location at the building entrance visible to tenants and visitors. The physical scorecard should include:
- The letter grade
- An illustration of the grading scale and where the building falls
- The building’s Energy Star score
- The NYC average Energy Star score
- An explanation of how the score is calculated
- The building energy efficiency rating for the last two years
- Building street address, borough, block and lot
What Is The Purpose?
The purpose of showcasing the Energy Grades in public is to make the public aware about Energy Efficiency. The department aims to do that by showcasing the grades in a public place like the building entrance.
Potential tenants may be drawn to buildings with higher scores and away from lower performing buildings. The letter grade is also an intentional move in order to move away from a very technical description of the Energy Efficiency, but rather a much more digestible format. The focus of the law is primarily on the visibility and publicness of the grade so while owners will not be penalized for scoring poorly they can be penalized for not displaying their grades correctly or at all. It also means an increased property value for buildings with good NYC Local Law 95 Energy Grades.
Concerned on how to go about it? Get in Touch with Experts at The Cotocon Group. We have over 10 years of expertise in the industry with a team of Engineers and Sustainability Consultants that will help you in getting High Energy Grades.