BUILDING CODES

& ENERGY EFFICIENCY:

ECONOMIC BENEFITS
Consumers save money by reducing utility bills,
minimizing the negative impacts of fluctuations in
energy supply and cost, and by conserving available
energy resources. Retail and office buildings con-
structed to meet the requirements of the IECC can
be over 30 percent more energy efficient than
typical buildings not constructed to meet national
model energy standards.
Monetary savings derived from codes increase a

B
uildings account for roughly 40 percent of the consumer's purchasing power, and help expand the
total energy use in the United States and 70 state’s economy by keeping local dollars in Louisi-
percent of our electricity use, representing a ana.
significant opportunity for energy savings. Energy effi-
ciency—through the adoption and enforcement of BUILDING INDUSTRY BENEFITS
strong building energy codes—is the quickest, cheap-
The national model code, the 2009 IECC, offers
est and cleanest way to reduce energy consumption and
flexibility to Louisiana builders and design profes-
achieve a sustainable and prosperous future. For the
sionals, allowing them to optimize the cost-
state of Louisiana, the next step should be the adoption
effectiveness of energy efficient features in their
of the U.S. model energy codes—the 2009 Interna-
building products, and to satisfy a variety of con-
tional Energy Conservation Code (2009 IECC) and
sumer preferences.
ASHRAE Standard 90.1-2007.
The 2009 IECC also simplifies guidelines for build-
In February 2009, the American Recovery and Rein- ers, providing a uniform code across the state with
vestment Act (Recovery Act) – the federal stimulus multiple options for compliance.
legislation appropriating funds for a variety of state
initiatives – allocated $3.1 billion for the U.S. Depart- Uniformity throughout Louisiana will enable local
ment of Energy’s State Energy Program (SEP) to assist jurisdictions to pool limited resources and combine
states with building energy efficiency efforts. As one personnel to form county-wide, regional, and state-
of the requirements to receive this funding, Gov. wide enforcement and educational programs.
Bobby Jindal certified to DOE1 that Louisiana would
implement energy standards of equal or greater strin-
UTILITY AND ENVIRONMENTAL BENEFITS
gency than the latest national model codes—the 2009 Energy codes improve the energy efficiency per-
edition of the IECC and Standard 90.1-2007. formance of new buildings and reduce demand on
power generators, therefore improving the air qual-
Having already received $35.8 million2 in SEP funds, ity of local communities throughout Louisiana.
Louisiana is eligible to receive $71.7 million in total
grants upon demonstration of the successful implemen- Electricity use is a leading generator of air pollution.
tation of its energy plans submitted to DOE. It is in Rising power demand increases emissions of sul-
Louisiana’s best economic interest to adopt the 2009 fur dioxide, nitrous oxides and carbon dioxide. En-
IECC and Standard 90.1-2007 statewide and begin ergy codes are a proven, cost-effective means for
enjoying the benefits of an efficient building sector. addressing these and other environmental impacts.
1850 M St. NW Suite 600
Washington, DC 20036
www.bcap-ocean.org
 A MODEL STATE ENERGY CODE FOR LOUISIANA

L
ouisiana’s current energy standards for residen-
tial and commercial construction (in place since
January 2007) are based on the 2006 International
Residential Code (2006 IRC) and ASHRAE Standard
90.1-2004, respectively.3 These codes, however, do not
achieve all of the energy savings potential of the 2009
IECC and Standard 90.1-2007. DOE has stated that the
2009 edition of the IRC is not as stringent as the 2009
IECC and would not comply with the requirements of the
Recovery Act.4
The 2009 IECC improves substantially upon the state’s
codes and makes it simpler to provide Louisiana house-
holds and businesses lower utility costs, increased com-
fort, and better economic opportunity.5 A limited DOE Kenta Canal at Barataria Preserve in Louisiana
analysis of the changes from the state's current residential (Credit—Jan Kronsell)
code to the 2009 IECC resulted in estimated energy
Louisiana’s economy is the most energy-intensive in
savings of 16 percent, or $171 to $206 a year for an
America, ranking first in energy consumption per real
average new house at recent fuel prices.6 Another DOE
analysis of the changes from the state's current commer- dollar of GDP.11 Energy expenses comprise an economic
cial code to Standard 90.1-2007 estimates energy savings drain on low-income communities. Low-income house-
of up to 8 percent.7 holds typically spend 17 percent of their total annual
income on energy, compared with 4 percent for other
When states regularly update and enforce their energy households. According to some estimates, more than four
codes (in coordination with the three-year model code -fifths of energy expenses leave low-income communi-
update cycles), they ensure the consistency and contin- ties. Higher energy costs deprive these communities of
ued enhancement of the benefits of model building prac- vital resources to generate additional economic activity.
tice. By maintaining this commitment, Louisiana can
demonstrate leadership on energy efficiency issues by AN UNTAPPED RESOURCE
meeting national standards. Energy prices are projected to rise sharply over the next
ENERGY CONSUMPTION AND SUPPLIES decade. By using energy codes to increase the signifi-
cant potential energy supply improved building energy
Louisiana is rich in crude oil and natural gas, ranking efficiency produces, Louisiana can enhance its energy
fourth in the nation in crude oil production and second in security by reducing energy demand within its borders.
natural gas production. Per capita residential electricity Wise management of statewide energy policy should
consumption is high, due in part to high demand for air- include seizing the low-hanging fruit that is the energy
conditioning during the hot summer months and the savings improved building energy codes offer:
widespread use of electricity as the primary energy
If Louisiana began implementing the 2009 IECC and
source for home heating.8 Reducing local demand for
Standard 90.1-2007 statewide in 2011, businesses and
electricity and natural gas would free up more of the
homeowners would save an estimated $67 million
state’s energy resources for export, decrease costs for
annually by 2020 and $135 million annually by 2030
consumers, and increase profits for businesses.
in energy costs (assuming 2006 prices).
HOUSEHOLD PROSPERITY Additionally, implementing the latest model codes
As recently as 2005, Louisiana ranked last in the nation would help avoid about 17 trillion Btu of primary
in per capita personal income,9 yet in 2007 the state annual energy use by 2030 and annual emissions of
ranked third in per capita energy expenditures.10 In fact, more than 1.2 million metric tons of CO2 by 2030.
** NOTES ** For more information, please visit www.bcap-ocean.org.
1
US DOE (http://www.energy.gov/media/Jindal_Louisiana.pdf) Residential_Louisiana.pdf)
2 7
US DOE (http://apps1.eere.energy.gov/news/progress_alerts.cfm/pa_id=211) US DOE (http://www.energycodes.gov/implement/state_codes/reports/commercial/
3
BCAP (http://bcap-energy.org/node/71) Commercial_Louisiana.pdf)
4 8
US DOE (http://www.energycodes.gov/codedevelop/ US EIA (http://tonto.eia.doe.gov/state/state_energy_profiles.cfm?sid=LA)
9
pdfs/2009_IRCvsIECC_ARRA_23Sep09.pdf) US BEA (http://www.bea.gov/newsreleases/regional/spi/2007/spi0307.htm)
5 10
BCAP (http://bcap-energy.org/node/330) US EIA (http://www.eia.doe.gov/emeu/states/sep_sum/html/pdf/rank_pr.pdf)
6 11
US DOE (http://www.energycodes.gov/implement/state_codes/reports/residential/ US EIA (http://www.eia.doe.gov/emeu/states/sep_sum/html/pdf/rank_use_gdp.pdf)

1850 M St. NW Suite 600