Here's a quick rundown on important code and legislation news that will impact the housing industry.
We continue to highlight some states that are still moving forward on energy and/or water efficiency measures. There’s also a landmark ruling featured here from the International Court of Justice.
Hopefully this continues to inspire and motivate you in your efforts.
Completed
New Hampshire—On February 27, 2025, the bi-partisan SB 4, “An Act Relative to Commercial Property Assessed Clean Energy and Resiliency (C-PACER)” was signed by Governor Kelly Ayotte. This update to the 2010 Property Assess Clean Energy (PACE) program includes an implementation plan and can unlock housing development funding for multifamily properties and make them more energy-efficient, water-efficient and/or resilient.
The bill has provisions for both new and existing construction. In each case, C-PACER financing could apply to “installing renewable energy systems, energy efficiency improvements, water efficiency improvements and resiliency improvements, including the costs of necessary equipment, materials, and labor, financing costs, ancillary costs, the costs of each related energy or water audit or feasibility study, and the cost of verification of such renewable energy system and energy efficiency, water efficiency, and resiliency improvements.”
Maine—The state’s newest triennial energy efficiency plan went into effect on July 1, 2025 and will run until June 30, 2028. The focus for this three-year-plan targets 38,000 homes heated entirely with heat pumps (of which 6,500 must be low-income households), and 9,000 homes in need of weatherization (including 1,500 low-income, 1,800 moderate-income, and 6,600 all-income households).
Focusing on these targets will help Maine meet its statuary goals of lowering emissions from their 1990 levels by 45% by 2030 and becoming a carbon-neutral state by 2045. Click here for more details.
One new aspect of the updated plan is a Home Energy Scoring system for residential buildings. This voluntary reporting option is fully available and will populate a statewide database where homebuyers can be more informed about the energy performance of a home.
The state legislature also passed a bill that prohibits the sale of certain appliances that do not meet Department of Environmental Protection (DEP) water and energy efficiency standards.
Beginning in January 2027, efficiency requirements will apply to commercial battery chargers, dishwashers, food steamers, fryers and ovens, computer server power supplies and residential ventilating fans. The law does not apply to appliances currently in use and there is no mandatory upgrade required. Click here for more info.
United Nations—Climate change has been affecting some countries more than others. For years, these disproportionately affected nations have pleaded their case for reparations from the world’s heaviest polluters. In late July, the International Court of Justice finally ruled on their case … and agreed.
The Court’s ruling has cleared the way for countries to sue each other over climate change, including over the effects of emissions of planet-warming gases. However, the judge cautioned that untangling who caused which part of climate change could be difficult.
The ruling is advisory and non-binding, but legal experts say it could have wide-ranging consequences. Joie Chowdhury, Senior Attorney at the Centre for International Environmental Law (CIEL), told the BBC, "The ruling is a watershed legal moment."
The judge also said that if countries do not develop the most ambitious possible plans to tackle climate change, this would constitute a breach of their promises in the Paris Agreement. Even if countries are not signed up to the Paris Agreement, or want to leave (like the United States), broader international law applies and they would still be required to protect the climate and the environment.
If a country wants to bring a case to the International Court of Justice to make a ruling on compensation, then it can only do so against countries which have agreed to its jurisdiction.
This does not include the U.S. or China, the two biggest polluters on our planet. But a case can be brought in any court globally, whether that be domestic or international, citing the International Court of Justice’s opinion, explained Chowdhury. In that instance, a country may choose to take their case to a court where those countries are bound, such as a federal court in the U.S.
Unresolved
District of Columbia—The 2025 Construction Code is scheduled to be adopted by the end of 2025. It will incorporate the 2021 I-codes, including the IECC, and ASHRAE 90.1-2019.
Texas—In mid-June, Gov. Greg Abbott signed pieces of a new legislative financial package that aims to help the state access new sources of water over the next two decades, in addition to investments for flood prevention, water infrastructure repairs, and conservation efforts. However, voters will ultimately need to approve a ballot referendum in November 2025 for the state to spend “$1 billion per year for water-related projects over the next two decades, beginning in 2027,” according to reporting from the Washington Post.
In addition to that $20 billion potential funding boost, lawmakers also set aside a one-time investment of $2.5 billion into the Texas Water Fund, a special reserve created in 2023 to spur investment in water infrastructure across the state.
Finally, the state legislature advanced other water-related measures during this session, including support for research on groundwater modeling and data collection, and a common-sense provision that bans HOAs from imposing fines on residents who have brown lawns when such conditions result from complying with local water restrictions.
Connecticut—The Codes and Standards Committee approved the draft state building code based on the 2024 ICC codes, as well as the 2024 IECC, in May 2025. To view any of the code change proposals filed to date, please click here. A 45-day public comment period is tentatively set to begin in late September 2025, with implementation of the final code in mid-2026.
A voluntary Connecticut Climate Resilient Energy Code is being developed by numerous stakeholders and will be published later this year. It looks to provide guidance on the installation of climate-resilient energy systems and ensure power for critical services during grid outages in affordable multifamily housing through solar, energy storage, and efficient heating and cooling systems.
This Housing 2.0 presentation is sponsored by: Panasonic andLG HVAC
Mike Collignon, author of our Code Watch and Housing 2.0 Program Manager, is Executive Director and Co-Founder of the Green Builder Coalition, a not-for-profit association dedicated to amplifying the voice of green builders and professionals to drive advocacy and education for more sustainable homebuilding practices.
2025—Rays of Hope
Here's a quick rundown on important code and legislation news that will impact the housing industry.
We continue to highlight some states that are still moving forward on energy and/or water efficiency measures. There’s also a landmark ruling featured here from the International Court of Justice.
Hopefully this continues to inspire and motivate you in your efforts.
Completed
New Hampshire—On February 27, 2025, the bi-partisan SB 4, “An Act Relative to Commercial Property Assessed Clean Energy and Resiliency (C-PACER)” was signed by Governor Kelly Ayotte. This update to the 2010 Property Assess Clean Energy (PACE) program includes an implementation plan and can unlock housing development funding for multifamily properties and make them more energy-efficient, water-efficient and/or resilient.
The bill has provisions for both new and existing construction. In each case, C-PACER financing could apply to “installing renewable energy systems, energy efficiency improvements, water efficiency improvements and resiliency improvements, including the costs of necessary equipment, materials, and labor, financing costs, ancillary costs, the costs of each related energy or water audit or feasibility study, and the cost of verification of such renewable energy system and energy efficiency, water efficiency, and resiliency improvements.”
The bill goes into effect on January 1, 2026. Click here for more info.
Maine—The state’s newest triennial energy efficiency plan went into effect on July 1, 2025 and will run until June 30, 2028. The focus for this three-year-plan targets 38,000 homes heated entirely with heat pumps (of which 6,500 must be low-income households), and 9,000 homes in need of weatherization (including 1,500 low-income, 1,800 moderate-income, and 6,600 all-income households).
Focusing on these targets will help Maine meet its statuary goals of lowering emissions from their 1990 levels by 45% by 2030 and becoming a carbon-neutral state by 2045. Click here for more details.
One new aspect of the updated plan is a Home Energy Scoring system for residential buildings. This voluntary reporting option is fully available and will populate a statewide database where homebuyers can be more informed about the energy performance of a home.
The state legislature also passed a bill that prohibits the sale of certain appliances that do not meet Department of Environmental Protection (DEP) water and energy efficiency standards.
Beginning in January 2027, efficiency requirements will apply to commercial battery chargers, dishwashers, food steamers, fryers and ovens, computer server power supplies and residential ventilating fans. The law does not apply to appliances currently in use and there is no mandatory upgrade required. Click here for more info.
United Nations—Climate change has been affecting some countries more than others. For years, these disproportionately affected nations have pleaded their case for reparations from the world’s heaviest polluters. In late July, the International Court of Justice finally ruled on their case … and agreed.
The Court’s ruling has cleared the way for countries to sue each other over climate change, including over the effects of emissions of planet-warming gases. However, the judge cautioned that untangling who caused which part of climate change could be difficult.
The ruling is advisory and non-binding, but legal experts say it could have wide-ranging consequences. Joie Chowdhury, Senior Attorney at the Centre for International Environmental Law (CIEL), told the BBC, "The ruling is a watershed legal moment."
The judge also said that if countries do not develop the most ambitious possible plans to tackle climate change, this would constitute a breach of their promises in the Paris Agreement. Even if countries are not signed up to the Paris Agreement, or want to leave (like the United States), broader international law applies and they would still be required to protect the climate and the environment.
If a country wants to bring a case to the International Court of Justice to make a ruling on compensation, then it can only do so against countries which have agreed to its jurisdiction.
This does not include the U.S. or China, the two biggest polluters on our planet. But a case can be brought in any court globally, whether that be domestic or international, citing the International Court of Justice’s opinion, explained Chowdhury. In that instance, a country may choose to take their case to a court where those countries are bound, such as a federal court in the U.S.
Unresolved
District of Columbia—The 2025 Construction Code is scheduled to be adopted by the end of 2025. It will incorporate the 2021 I-codes, including the IECC, and ASHRAE 90.1-2019.Texas—In mid-June, Gov. Greg Abbott signed pieces of a new legislative financial package that aims to help the state access new sources of water over the next two decades, in addition to investments for flood prevention, water infrastructure repairs, and conservation efforts. However, voters will ultimately need to approve a ballot referendum in November 2025 for the state to spend “$1 billion per year for water-related projects over the next two decades, beginning in 2027,” according to reporting from the Washington Post.
In addition to that $20 billion potential funding boost, lawmakers also set aside a one-time investment of $2.5 billion into the Texas Water Fund, a special reserve created in 2023 to spur investment in water infrastructure across the state.
Even if all this proposed funding gets approved, it still won’t meet all of the state’s needs. A recent report by Texas 2036, a nonpartisan public policy think tank, found that Texas will need to spend “at least $154 billion over the next 50 years in order to sufficiently address its water supply and deteriorating infrastructure challenges.” The same study also projects that state and federal water funding programs will provide less than a third of that amount.
Finally, the state legislature advanced other water-related measures during this session, including support for research on groundwater modeling and data collection, and a common-sense provision that bans HOAs from imposing fines on residents who have brown lawns when such conditions result from complying with local water restrictions.
Connecticut—The Codes and Standards Committee approved the draft state building code based on the 2024 ICC codes, as well as the 2024 IECC, in May 2025. To view any of the code change proposals filed to date, please click here. A 45-day public comment period is tentatively set to begin in late September 2025, with implementation of the final code in mid-2026.
A voluntary Connecticut Climate Resilient Energy Code is being developed by numerous stakeholders and will be published later this year. It looks to provide guidance on the installation of climate-resilient energy systems and ensure power for critical services during grid outages in affordable multifamily housing through solar, energy storage, and efficient heating and cooling systems.
This Housing 2.0 presentation is sponsored by: Panasonic and LG HVAC
By Mike Collignon
Mike Collignon, author of our Code Watch and Housing 2.0 Program Manager, is Executive Director and Co-Founder of the Green Builder Coalition, a not-for-profit association dedicated to amplifying the voice of green builders and professionals to drive advocacy and education for more sustainable homebuilding practices.Also Read