NYC’s 2024 HVAC Energy Benchmarking Laws Are Here – Don’t Let Penalties Drain Your Building’s Budget
New York City’s aggressive push toward carbon neutrality has reached a critical juncture in 2024, with building owners across the five boroughs facing unprecedented energy compliance requirements. The NYC Benchmarking Law requires owners of buildings on the covered list to submit their energy and water usage data by May 1, 2024, with annual benchmarking data required to be submitted to the City by May 1st of every year. For building owners struggling to navigate these complex requirements, professional HVAC consulting services have become essential partners in avoiding costly penalties and achieving compliance.
Understanding NYC’s Energy Benchmarking Requirements
The NYC Benchmarking Law states that owners of large buildings and settlements are required to measure, report, and audit their water and energy consumption in a process known as benchmarking, mandated by Local Law 84 of 2009 and LL133 of 2016. The 2016 amendment under Local Law 133 reduced the size requirement from 50,000 square feet to 25,000 square feet, significantly expanding the number of buildings required to comply.
This is a standardized procedure that requires owners to utilize the USA’s Environment Protection Agency (EPA) benchmarking tool and publicly disclose their data by May 1st. The process involves more than just data collection – failure to timely display the Building Energy Efficiency Rating label will result in a fine of $1,250, with the label required to be accessed in the DOB NOW Public Portal annually between October 1 and October 31.
The High Cost of Non-Compliance
The financial implications of failing to meet these requirements are severe and escalating. Failure to submit the report by May 1 will result in a penalty of $500.00, with continued failure to report usage by the next quarterly deadline potentially resulting in additional violations penalties of $500 per violation, up to $2000 per year.
Failure to benchmark may result in a penalty of $500, issued on a quarterly basis until the benchmarking report is submitted, totaling up to $2000 per year. These penalties compound quickly, making professional assistance not just advisable but financially prudent for most building owners.
How HVAC Consulting Services Ensure Compliance
Professional HVAC consulting services provide comprehensive support that goes far beyond simple data collection. Expert consultants relieve the stress of compliance and eliminate the need to train staff by managing and executing the entire, complex process, performing every compliance phase from determining obligations under the law to filing a complete report or update whenever necessary, and producing the initial benchmark report while performing benchmarking data maintenance to meet the City’s continuing compliance requirements.
For buildings requiring more extensive work, Local Law 87/09 Energy Audit & Retro-commissioning requires New York City buildings over 50,000 square feet every ten years to complete an ASHRAE Level II energy audit and retro-commissioning or “tune-up” of their base building systems including building envelope, boilers, furnaces, HVAC, elevators, escalators, domestic hot water, electrical and lighting systems.
The HVAC System Connection
HVAC installations account for more than 60% of energy consumption in many NYC buildings, meaning improvements that reduce HVAC energy consumption can yield an attractive return on investment. This makes HVAC systems central to both compliance and cost savings strategies.
Expert HVAC New York County, NY consulting services can identify inefficiencies and recommend upgrades that not only ensure compliance but also reduce operational costs. HVAC consulting can make buildings greener as a side-effect of energy efficiency, and building owners can also switch to cleaner energy sources for HVAC equipment, such as upgrading space heating and domestic hot water systems to use natural gas instead of heating oil, or deploying electric heat pumps to avoid combustion appliances completely.
Brothers Supply: Your Compliance Partner
Brothers Supply Corporation, established in 1964 and based in Long Island City, New York, exemplifies the type of comprehensive HVAC consulting support building owners need. Brothers Supply is a turnkey solution for all HVAC equipment needs, carrying the largest selection of AC, HVAC and PTAC units, parts and accessories, with the knowledge to assist or consult with building owners, engineers and contractors.
As a full line stocking wholesale supplier specializing in Original Equipment Manufactured (OEM) and hard-to-find parts and equipment replacement, Brothers works diligently to ensure customers receive the best heating, cooling and refrigeration products at the best prices through one-on-one consultation and custom evaluations to help customers find the system that will provide optimal service at an affordable price.
Brother’s experts consult to produce an in-depth evaluation of building HVAC needs, with the supplies and experience to tailor and deliver end-to-end HVAC services. With offices in New York, New Jersey, Long Island and Pennsylvania, they have built their reputation on commitment to delivering on time, offering the widest selection and best prices on HVAC units and parts, and superior knowledge of HVAC systems.
The Strategic Advantage of Professional Consultation
Full-service energy consultants view Local Law 84 compliance as an important cost-saving opportunity, and as they evaluate a building for benchmarking, they can also perform a comprehensive survey of the energy use. This dual approach transforms compliance from a regulatory burden into a strategic investment.
Professional services help building owners prepare for LL97 of 2019 Building Energy and Carbon Emissions Limits, prioritize energy efficiency projects to improve grades, and access utility company, NYC, NY State and Federal incentives and tax benefits, including PACE loans, to create savings and achieve other operational goals.
Acting Now to Avoid Future Penalties
With the first compliance period starting on January 1, 2024 and running through 2029, building owners must file a report with the New York City Department of Buildings (DOB) by May 1, 2025, detailing the building’s annual greenhouse gas emissions for the preceding calendar year. The regulatory landscape will only become more stringent, making early action essential.
As we approach compliance deadlines, time is of the essence to kickstart the process and prevent steep penalties, with implementing energy upgrades being a multi-year endeavor often involving significant capital investments, making acting promptly key to prevent or mitigate hefty penalties down the line.
For building owners in New York County and throughout the tri-state area, partnering with experienced HVAC consulting services isn’t just about meeting today’s requirements – it’s about positioning your building for long-term success in an increasingly regulated environment. The investment in professional consultation and system optimization pays dividends through avoided penalties, reduced energy costs, and enhanced property values in a market that increasingly values energy efficiency and environmental responsibility.