The California Energy Efficiency Strategic Plan, first published by the California Public Utilities Commission in 2008 and updated in 2011, outlines California’s strategic goals to increase energy efficiency across myriad market sectors. The primary goal of CEESP is for all new single and low-rise multi-family homes to reach zero net energy (ZNE) by 2020. To accomplish this goal, this month the CPUC and the California Energy Commission launched the Residential New Construction Zero Net Energy Action Plan 2015-2020. The Plan will function as a guide for local agencies and governments to develop a self-sustaining market for ZNE homes by 2020.

Recognizing the importance of regulatory support, the Plan encourages local agencies and governments to develop and implement codes and standards supporting ZNE residential objectives over the next six years. By 2020, the Plan envisions that residential ZNE developments will be completely regulated by codes and standards in the California Building Standards Code. Accordingly, the Plan advocates for local jurisdictions to adopt ordinances and “reach codes”—local building energy standards that are more stringent than statewide standards—to set the groundwork for mandatory ZNE code provisions in 2020.

In conjunction with reach codes and local ordinances affecting building construction, the Plan identifies other regulatory opportunities for local governments to align ZNE goals with environmental and municipal obligations. Local governments could, for instance, connect ZNE goals with greenhouse gas reductions mandated by climate action plans. Zoning codes and urban design guidelines also offer opportunities for local governments to begin incorporating ZNE goals into mandated long-term general plans.

In order to facilitate the alignment of already (or soon to be) imposed statutory obligations with ZNE goals, the Plan stresses the importance of multi-agency cooperation. The Plan identifies multi-agency cooperation as a bedrock for the adequate implementation of ZNE goals and makes clear that many market players, such as investor-owned utilities, publicly-owned utilities and associated agencies must understand and work together to properly execute ZNE requirements. An atmosphere of increased cooperation among agencies, utilities and local governments is foreseeable in the statewide effort to develop a self-sustaining residential ZNE marketplace by 2020.