Section 50131 of the IRA appropriates $330 million to the DOE to carry out activities under Title III, Part D of the Energy Policy and Conservation Act (“EPCA”), in accordance with the requirement to adopt a latest Building Energy Code that aligns with or exceeds the 2021 International Energy Conservation Code for residential buildings, and the ANSI/ASHRAE/IES Standard 90.1-2019 for commercial buildings.
Section 50131 of the IRA also appropriates an additional $670 million to DOE to carry out activities under Title III, Part D of the Energy Policy and Conservation Act, in accordance with the requirement to adopt a Zero Energy Code that aligns with or exceeds the 2021 International Energy Conservation Code, for residential and commercial buildings.
Title III, Part D of the EPCA authorizes the Secretary of the DOE to establish procedures and guidelines for the development and implementation of specific state energy conservation programs and to provide Federal financial and technical assistance to states in support of such programs.
The cost share requirement under the ‘‘Department of Energy—Energy Conservation’’ section in title II of the Department of the Interior and Related Agencies Appropriations Act of 1985, 42 U.S.C. § 6323a, shall not apply to assistance provided under this section. The Department of Energy shall reserve 5% of funds available for administrative costs.
The funds appropriated under section 50131 shall remain available until September 30, 2029.
Eligible Entities:
Current Status:
Trump Administration Actions:
- DOE Secretary Orders Review of 179 Financial Assistance Awards [05/15/2025]
- Litigation Compliance Report Indicates DOE Released Previously Frozen Awards [04/23/2025]
- DOE Creating List of Clean Energy Grants to Cancel [03/21/2025]
- DOE Memo Suspends Funding for Projects Involving Community Benefit Plans [01/27/2025]
- OMB Orders Temporary Pause on Financial Assistance Programs, Later Rescinded [01/27/2025]
- OMB Clarifies Scope of the Order to Halt IRA Spending [01/21/2025]
- Trump Issues Executive Order to Halt All IRA Funding Disbursements [01/20/2025]
Implementation Status at End of Biden Administration:
IRA appropriates $1 billion to DOE to be used by September 30, 2029. DOE released $400 million in formula grants in September of 2023. In December of 2023, DOE announced funding for up to $530 million in technical assistance competitive grants and awarded $242 million in a first round of competitive grants to 19 states and jurisdictions in August 2024. Applications for the second round of competitive grants closed in September 2024. $258 million in competitive grants have not been awarded yet.
Biden Administration Actions:
- DOE Announces Commitment of 94% of IRA Grant Funds to States and Projects [01/17/2025]
- DOE Announces $240 Million for Adoption of Energy Efficient Building Codes [08/27/2024]
- DOE Announces $530 Million in Funding for Building Energy Efficiency Program [12/18/2023]
- DOE Announces $400 Million in Funding for States and Territories to Improve Building Energy Efficiency through Energy Code Implementation [09/19/2023]