Colorado Building Performance Standards: A Guide to Compliance and Energy Efficiency

Colorado is a leader in climate action, setting ambitious targets to reduce greenhouse gas (GHG) emissions and improve building energy performance. House Bill 19-1261 (HB19-1261), also known as the Climate Action Plan to Reduce Pollution, establishes legally binding emissions reduction targets:

• 26% reduction by 2025 (compared to 2005 levels)
• 50% reduction by 2030
• 90% reduction by 2050

To achieve these goals, Colorado has introduced Building Performance Standards (BPS) that set energy efficiency and emissions benchmarks for large commercial and multifamily buildings. If you own or manage a building in Colorado, understanding these new standards is critical for compliance and long-term sustainability.

What Are Building Performance Standards (BPS)?

Building Performance Standards are mandatory regulations that require existing buildings to reduce energy consumption and carbon emissions over time. Unlike energy codes that apply to new construction, BPS focus on improving existing buildings through benchmarking, performance tracking, and efficiency upgrades.

Key Elements of Colorado’s BPS

• Energy Benchmarking: Building owners must track and report energy use annually.
• Performance Targets: Buildings must meet specific Energy Use Intensity (EUI) or GHG emissions per square foot standards.
• Electrification Requirements: Property owners are encouraged to replace fossil-fuel systems with electric alternatives.
• Compliance Deadlines: Buildings must meet interim energy efficiency milestones before full compliance in 2050.

Who Must Comply With Colorado's BPS

Colorado’s Building Performance Standards apply to:

• Commercial buildings over 50,000 square feet
• Multifamily residential buildings with five or more utility accounts
• Institutional and mixed-use buildings that meet the size threshold

If your building falls under these criteria, you must benchmark, report, and improve performance to meet compliance requirements.  

Steps To Comply With Colorado’s BPS

1. Benchmark Your Building’s Energy Performance

• Use ENERGY STAR Portfolio Manager to track your building’s energy use intensity (EUI).
• Submit annual energy benchmarking reports to state agencies.

2. Identify Energy Inefficiencies

• Conduct an energy audit to determine where your building can improve efficiency.
• Compare your current EUI against Colorado’s required performance targets.

3. Implement Energy Efficiency Upgrades

• Upgrade to high-efficiency HVAC systems, LED lighting, and smart building controls.
• Improve insulation, windows, and building envelope to reduce heating and cooling demands.

4. Transition To Electrification

• Replace gas-powered heating, water heating, and cooking systems with electric alternatives.
• Upgrade electrical infrastructure to accommodate higher electric loads.

5. Adopt Renewable Energy Solutions

• Install solar panels and battery storage systems to offset energy use.
• Participate in community solar programs to access clean electricity.

6. Monitor Progress and Report Annually

• Track energy efficiency improvements and submit updates as required.
• Stay informed about policy changes and additional compliance deadlines.

Benefits of Compliance

Aligning with Colorado’s Building Performance Standards offers significant business advantages:

• Lower Energy Costs: Improved efficiency reduces electricity and water bills.
• Increased Property Value: Energy-efficient buildings attract tenants and investors.
• Regulatory Preparedness: Compliance ensures readiness for future energy policies.
• Sustainability Leadership: Supports Colorado’s goal of carbon neutrality and environmental resilience.

What Building Owners Should Do Next

If your building is covered under Colorado’s Building Performance Standards, take these steps now:

1. Determine if your building qualifies under state benchmarking and performance requirements.
2. Register with ENERGY STAR Portfolio Manager and start tracking energy use.
3. Request utility data to compare your building’s performance against the required standards.
4. Develop an energy efficiency strategy to meet future compliance deadlines.
5. Apply for state and federal incentives to help fund building upgrades and electrification.
6. Stay updated on evolving regulations and prepare for additional mandates.

Colorado’s climate goals are ambitious, but early compliance and proactive energy management will help businesses stay ahead of regulatory changes while reducing costs and enhancing building performance.