Source: California Energy Commission, 2022 Building Decarbonization Coalition. Analysis by Beacon Economics
  • The 2022 Building Energy Efficiency Standards (Energy Code) reorganized low-rise and high-rise multifamily buildings into one building type.179 Furthermore, California became the first U.S. state to commit to ending the sale of new fossil fuel appliances, specifically furnaces and water heaters by 2030.180 As of October 18, 2023, 68 cities and counties had adopted local ordinances exceeding the current (2022) energy code. Requiring additional photovoltaic and/or solar thermal is the most frequently adopted building efficiency standard (43 jurisdictions), followed by all-electric (42 jurisdictions) and electric-preferred (33 jurisdictions). In 2022, the California Legislature appropriated $30 million for capacity grants to tribes and community-based organizations (CBOs) for participation in the CPUC decision-making process and to make clean energy programs more accessible to underserved and underrepresented communities.181

179 The 2022 Energy Code encourages efficient electric heat pumps, establishes electric-ready requirements for new homes, expands solar photovoltaic and battery storage standards, strengthens ventilation standards, and more. Buildings whose permit applications are applied for on or after January 1, 2023, must comply with the 2022 Energy Code. Adopted on August 11, 2021. Accessed June 22, 2023.  Available at:

180 California Public Utilities Commission. CPUC Now Accepting Applications for New $30 Million Equity and Access Grant Program. September 15, 2023. Assessed October 18,2023. Available at:

181 Ibid.

  • Only one jurisdiction (Los Gatos) has adopted an ordinance requiring new buildings to be prewired for battery storage. Given that battery storage will play an increasingly important role in grid resiliency and accelerating renewable energy, the lack of such adoption could be a missed opportunity. However, a recent Ninth Circuit Court Ruling also threatens to undermine this local governments’ ability to regulate energy efficiency measures.182

182 United States Court of Appeals for the Ninth Circuit. Available at: