In the last few weeks, NYC Council has passed legislature to cap carbon emissions for NYC buildings over 25,000 square feet, with different limits for commercial, industrial and residential buildings. This law will cover an estimated 60% of NYC buildings. The cap is aimed at reducing building green house emissions 40% by 2030 and 80% by 2050.
Buildings that violate the cap will face fines of $268 for every ton of carbon they put out. The maximum penalty is the difference between a buildings annual emission limit and its actual emissions multiplied by $268. For a small property owner this would equate to a multi-million dollar annual fine and be as much as a billion dollars for large property portfolio owners. The cap will go into effect 2024 and tighten up by 2030 and 2040. The first report is due May 1, 2025.
So don’t wait. Fortunately there are many federal and state incentives, along with subsidies from Con Edison to help building and property portfolio managers offset the necessary investment to achieve their energy efficiency targets. ECM can help you develop and execute the best plan for your building. Call us today.