1253 Policy Brief
Goal of Bill 1253:
40% reduction of citywide emissions by 2030 and 80% reduction by 2050. These reductions are relative to emissions from 2005. This will begin to be enforced on January 1, 2024, and following this date buildings will be penalized if their emissions increase beyond previous levels.
Important key terms for understanding emissions measurement:
Building Emissions = Metric tons of CO2-equivalent as a result of operating a covered building
Building Emissions Intensity = Buildings Emissions / Gross floor area
When will buildings emissions begin to be regulated?
There will be a fixed cap on emissions from 2024-2029 for building emissions limits, based on a building’s gross area. A building’s emissions will be measured on an annual basis to determine if it is penalized. Limits are determined by occupancy zone.
How will building emissions be calculated?
For 2024-2029, the major component of a building’s emissions is their utility electricity consumed. It will currently be calculated as a fixed rate. Annual gas combusted on the building premises will also be factored in at a fixed rate.
Is Solar an appropriate alternative for emissions?
Yes, Bill 1253 considers “solar photovoltaics” a clean distributed energy resource. A property owner will be able to receive a deduction from their emissions limit requirement when demonstrating the purchase of greenhouse gas offset, renewable energy credits, or the use of clean distributed energy resources.
How will a clean distributed energy resource on my property lead to a deduction?
The Office of Building Emissions and Energy Performance will provide a rate for the deduction based on the type of energy produced. This deduction will be revised every 3 years.
How will a REC lead to a deduction?
A Renewable Energy Credit (REC) is a certificate representing 1 MWh of electricity generated from a renewable energy resource. The electricity must be generated in NYC (Zone J load zone) for an REC to grant a property owner a deduction.
How much is the deduction?
The deduction is not yet determined, but will be by 2023.
Which buildings will be regulated by the emissions reduction guidelines?
Any single building that exceeds 25,000 ft^2
Two or more buildings on the same tax lot that together exceed 50,000 ft^2
Two or more condominium units with same owner exceeding 50,000 ft^2.
Are their exceptions to these emissions guidelines?
Yes, city-owned buildings, public housing, city-owned buildings, places of worship, affordable housing developments.
What are the penalties for non-compliance??
Buildings which exceed their annual building emissions limit will receive a penalty based on amount of tCO2e above the limit, multiplied by no more than $268.
Penalties will be strictly enforced and if a building fails to issue an emissions report, will be charged another large fine on a monthly basis.
Goal of Bill 1253: 40% reduction of citywide emissions by 2030 and 80% reduction by 2050. These reductions are relative to emissions from 2005. This will begin to be enforced on January 1, 2024, and following this date buildings will be penalized if their emissions increase beyond previous levels.
Important key terms for understanding emissions measurement:
Building Emissions = Metric tons of CO2-equivalent as a result of operating a covered building
Building Emissions Intensity = Buildings Emissions / Gross floor area
When will buildings emissions begin to be regulated?
There will be a fixed cap on emissions from 2024-2029 for building emissions limits, based on a building’s gross area. A building’s emissions will be measured on an annual basis to determine if it is penalized. Limits are determined by occupancy zone.
For more specifics, see: Buildings Limit Emissions Table
How will building emissions be calculated?
For 2024-2029, the major component of a building’s emissions is their utility electricity consumed. It will currently be calculated as a fixed rate. Annual gas combusted on the building premises will also be factored in at a fixed rate.
Is Solar an appropriate alternative for emissions?
Yes, Bill 1253 considers “solar photovoltaics” a clean distributed energy resource.
A property owner will be able to receive a deduction from their emissions limit requirement when demonstrating the purchase of greenhouse gas offset, renewable energy credits, or the use of clean distributed energy resources.
How will a clean distributed energy resource on my property lead to a deduction?
The Office of Building Emissions and Energy Performance will provide a rate for the deduction based on the type of energy produced. This deduction will be revised every 3 years.
How will a REC lead to a deduction?
A Renewable Energy Credit (REC) is a certificate representing 1 MWh of electricity generated from a renewable energy resource. The electricity must be generated in NYC (Zone J load zone) for an REC to grant a property owner a deduction.
How much is the deduction?
The deduction is not yet determined, but will be by 2023.
Which buildings will be regulated by the emissions reduction guidelines?
Any single building that exceeds 25,000 ft^2
Two or more buildings on the same tax lot that together exceed 50,000 ft^2
Two or more condominium units with same owner exceeding 50,000 ft^2.
Are their exceptions to these emissions guidelines?
Yes, city-owned buildings, public housing, city-owned buildings, places of worship, affordable housing developments.
What are the penalties for non-compliance?
Buildings which exceed their annual building emissions limit will receive a penalty based on amount of tCO2e above the limit, multiplied by no more than $268.
Penalties will be strictly enforced and if a building fails to issue an emissions report, will be charged another large fine on a monthly basis.