BEPS: The New Standard for Energy Efficiency

December 13, 2023

Transcript

ARE YOU READY FOR THE NEW D.C. BUILDING ENERGY PERFORMANCE STANDARD (BEPS)?

WHAT IS D.C. BEPS?
The Washington, D.C. Building Energy Performance Standard (BEPS) establishes minimum energy performance standards for existing buildings in the District. The BEPS is part of the District’s Clean Energy D.C. Omnibus Act of 2018, which has some of the most ambitious energy and climate goals in the nation. The purpose of the standard is to help meet energy and climate goals of the Sustainable D.C. Plan, most notably to reduce greenhouse gas emissions 50% by 2032. The District estimates that more than 2,700 buildings will be affected by BEPS.

Compliance with BEPS is based on the Energy Star Score of reporting buildings. Buildings that are ineligible to receive an Energy Star Score are scored by Source Energy Usage Intensity (EUI) (kBtu/sqft/yr). Beginning in 2021, BEPS sets a minimum standard for the next six years, known as a BEPS period.
Privately owned buildings larger than 50,000 square feet must achieve compliance within the first BEPS period (2021-2026).

Compliance Cycles
All building operators must comply with annual benchmarking requirements. Buildings that do not already meet the minimum standard established for a BEPS period will be placed in a five-year compliance cycle. The building operator will have until the end of the cycle for the building to meet energy performance requirements following one of the available compliance pathways outlined in the BEPS regulations.
Since compliance thresholds were set using the local median Energy Star Score for each property type, 50% of buildings in each category will not be in compliance.

KEY MILESTONES FOR BUILDINGS >50,000 SQUARE FEET

2021: First BEPS compliance cycle begins. Annual benchmarking due April 1.
2022: Annual benchmarking due April 1.
2023: Compliance pathway must be chosen by April 1. Annual benchmarking due April 1. Third-party verification due April 1.
2024: Annual benchmarking due April 1.
2025: Annual benchmarking due April 1.
2026: Annual benchmarking due April 1. Third-party verification due April 1. First BEPS compliance cycle ends.
2027: Data analysis and enforcement for period 1 begins.

COMPLIANCE PATHWAYS

The District has outlined four compliance pathways for building operators to choose from to meet the minimum standard by the end of the period:

  • Performance Pathway: Reduce site energy usage intensity by 20%.
  • Prescriptive Pathway: Conduct an audit, create an action plan, implement energy efficiency measures, and complete monitoring, evaluation, and verification.
  • Standard Target Pathway: For high-performing properties with a standard above the national median, operators can choose to reach the standard by the last year of the cycle.
  • Alternative Compliance Pathway: Owners who meet specific criteria can propose their own pathway, to be approved at the Department of Energy & Environment’s (DOEE) discretion.

How D.C. BEPS Will Affect You

Penalties for non-compliant buildings are $10/square foot and could be as high as $7,500,000 for a single building. Choosing the correct compliance pathway can significantly reduce a building’s penalty exposure.

Building operators must start monitoring total energy performance well before the compliance cycle ends. Penalties are assessed based on the total energy performance in the previous year, meaning that equipment must be installed before the start of that year to have an optimal impact on energy savings.

That means the end of its cycle 1 is Dec 31, 2025, not April 1, 2027.

PREPARE FOR BEPS COMPLIANCE WITH ABM

ABM can help you understand BEPS requirements, identify energy-related operational improvements, and deliver a turnkey program, along with funding solutions for the project. We also help you monitor and reduce energy and facility cost management throughout the supply chain.

A TURNKEY SOLUTION

  • Analyze: Review utility spend, capital budget, and conduct a preliminary site survey.
  • Develop: Create energy baseline calculations and modeling to inform scope. Detail final savings, pricing, and funding options
  • Execute: Research rebates and incentives, while performing construction management.
  • Operate: Ongoing operations, maintenance, measurement, and benchmark reporting.

SERVICES THAT HELP YOU MEET THE STANDARD

  • HVAC improvements
  • Chiller plant improvements
  • Building automation systems (BAS)
  • Lighting improvements
  • Building envelope modifications
  • Chilled water, hot water, and steam distribution systems
  • Electric motors and drives
  • Refrigeration
  • Distributed generation
  • Renewable energy systems
  • Energy-related operational improvements
  • Commissioning
  • Advanced metering systems
  • Appliance/plug-load reductions

LIMITED CAPITAL? WE CAN HELP

ABM is experienced in helping clients fund energy performance projects entirely or in part with thefollowing mechanisms:

  • Rebates, grants, and other incentives
  • Client capital dollars
  • Financing
  • Property assessed clean energy (PACE) funding
  • Capital lease financing
  • Infrastructure-as-a-service

TAKE THE FIRST STEP TOWARDS COMPLIANCE

TO LEARN MORE about how ABM can support your operations, visit ABM.com or call 866.624.1520 to speak with a specialist.

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