Biden requires new HUD-backed homes to be energy efficient

By Thomas Frank | 05/03/2024 06:33 AM EDT

The policy mandates lower emissions for 170,000 homes built each year.

Houses under construction in Mars, Pennsylvania.

A new federal policy requires many new homes to use less energy. Gene J. Puskar/AP

Hundreds of thousands of new homes that will be built or bought with federal help are required to have highly efficient heating and cooling systems under a new Biden administration policy.

The policy, which takes effect May 28, is the administration’s latest effort to address climate change by making new buildings less energy intensive, while increasing their resilience to events such as floods.

But unlike many of President Joe Biden’s other climate programs, which have relied on trillions of federal dollars, the new housing policy has drawn opposition from business groups that say it will be costly to homebuyers, particularly those with lower incomes.


The National Association of Home Builders said the policy could add $31,000 to the price of a new home and “runs completely counter” to the administration’s effort to increase housing supply during a national shortage.