Seattle Building Emissions Performance Standard (BEPS)

Seattle’s Building Emissions Performance Standard (BEPS) Policy was passed in December 2023 to improve energy efficiency and reduce climate impacts in existing buildings. Seattle BEPS is overseen by the city’s Office of Sustainability & Environment (OSE). The BEPS policy will complement the existing Seattle Energy Benchmarking Law that annual energy performance benchmarking for buildings (commercial and multifamily) greater than 20,000 square feet. 

What will the impact be?

The city projects that this policy will reduce building related emissions by 27% by 2050 from a 2008 baseline and reduce greenhouse gasses (GHGs) by 325,000 metric tons of)  existing large buildings. This policy covers 4,100 existing buildings over 20,000 square feet in the city, which includes an indeterminate number of multifamily sites. The city of Seattle’s Climate Action Strategy aims for the buildings sector to be net-zero carbon emissions by 2050.  

Who is affected by this policy?

Existing commercial and multifamily buildings larger than 20,000 square feet must comply with this regulation. 

What are the requirements?

Compliance starts with reporting and data verification requirements for owners to prepare and plan to meet emissions targets, if they are not already meeting them. The verification and reporting requirements start in 2027 with performance requirements (meeting emissions targets) starting in 2031. Seattle requires the following every 5 years (the exact years depend on the size of the building) by October 1st: 

Benchmarking and Verification

Seattle’s Energy existing Benchmarking Law requires annual benchmarking to be reported by June 1st for the previous calendar year’s energy consumption. Benchmarking must be completed using ENERGY STAR Portfolio manager. 

Starting in 2024, data submitted for the BEPS benchmark must be verified by a qualified third party who has training, expertise, and at least three years of professional experience in building use analysis and has a certification or license such as a professional architect or engineer. Verification and reporting years depend on the gross floor area in square feet of your building. Building owners will calculate GHG emissions using specific formulas and emissions factors that the Director of the OSE establishes. 

Reporting

Building owners must document current performance, equipment, and actions to achieve performance targets as set by BEPS. A verification report completed by a qualified third party (as defined above) must be submitted in addition to the data reported through ENERGY STAR Portfolio Manager to confirm correct data and calculations.

Performance

Buildings must meet the set performance greenhouse gas intensity targets (GHGITs) which decrease every 5-year period until the building achieves net zero  by 2050. GHGI is measured in kgCO2e/SF/year and will need to be calculated using specific formulas and emissions factors approved by the Director of OSE.

Penalties

Benchmarking Penalty: 

Flat fines are attributed to failure to report or inaccurate reporting are based on building size ($15,000 or $7,500).

Target Penalty: 

Non-compliance for performance has a penalty of $2.50/square foot for low-rent multifamily buildings and $7.50/square foot for other multifamily buildings. 

Are there exemptions?

Requests for exemptions, extensions and alternative compliance may be made and must be approved by the Director of the OSE or their designee.

Compliance Pathways

There are three different pathways to compliance: 

Pathway A: Meet GHGITs every 5 years or exempt if your building is already fully-electric. This pathway includes the standard GHGIT pathway, alternative reduction targets for specific reasons, or exemption if the building is fully electric. 

Pathway B: Small modifications can be made for specific energy uses or compliance payment. Affordable multifamily housing, district energy, deductions, and other specifics that impact your energy usage may impact your compliance requirements under approved circumstances. 

Pathway C: Special consideration for extenuating circumstances may be given. Buildings must be eligible and must still have a plan to show emissions reduction for the requirements they have been approved for.   

How do I fund my upgrades?

The Seattle Clean Buildings Accelerator is a support program created by the city to help building owners. It provides training and technical support to building owners along with other resources for funding opportunities. This year, OSE made $4.5 million available to pay for capital and engineering support for owners to implement emissions reduction upgrades in affordable housing. 

GreenT Climate Software now offers our comprehensive BPS Management Solution that combines both performance data and metrics, with BPS/Benchmarking regulation to provide complete visibility into the portfolio exposure and financial risk down to the building level.For more information, please contact us

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