Big Buildings Hurt the Climate. New York City Hopes to Change That

Big Buildings Hurt the Climate. New York City Hopes to Change That

As per all relevant climate treaties, the most important being the Paris Agreement, CO2 emissions must be eliminated by 2040 to keep our planet habitable at 1.5 degrees Celsius. The buildings and real estate sector needs to buckle seriously because of the total emissions; building operations are responsible for 28%, and materials and construction are responsible for another 11%!

The pressing need has been realized and addressed well in the Climate Mobilization Act, a comprehensive legislation enacted in May 2019. It was designed to reduce New York City’s greenhouse gas emissions by 40% (2030) and up to 80% (2050), ideally achieving net zero by 2050.

GHG is the primary driver of the unprecedented rate at which climate change is taking place. Reducing emissions from buildings is thus most significant as buildings contribute nearly three-quarters of citywide emissions owing to the consumption pattern vis-a-vis electricity use, HVAC, etc. 

With its package of bills, the legislation aims to evolve these consumption patterns for optimum efficiency and via cleaner energy sources. It is also estimated that 2/3rd of these buildings will continue to exist come 2040, making retro-commissioning, re-commissioning, or commissioning a necessity.

What exactly constitutes the CMA, and how does it address climate change?

To facilitate the ambitious goal, a series of bills were passed. The centerpiece of the legislation is Local Law 97, among other laws. This part of the bill specifically mandates the greenhouse emissions limits for each building type. More than 50,000 buildings will be impacted overall. In 2024, about 25% of those will be directly affected by the carbon emissions limit and practically every building in NYC by 2030. 

A typical commercial office building in midtown Manhattan of 250,000 sq ft. producing over 1.5 tons of stipulated carbon limits will look at a fine of over $100,000, progressively for each year that follows.

Local Law 97 was enacted in 2019 as part of the Climate Mobilization Act to essentially place hard carbon caps on various building types—residential or commercial—larger than 25,000 sq. ft. The law will be implemented in 2024 and become more stringent with time to accomplish its goal of 80% carbon reduction by 2050. 

Many buildings have significantly reported being way over permissible limits, requiring immediate intervention with retrofitting and alternative compliance.

The Climate Mobilization Act impacts multiple stakeholders in NYC’s real estate marketplace. To remain ahead of the curve and protected from heavy penalties, seeking expert consultancy is best recommended. It does so by ensuring compliance vis-à-vis the following as well:-

• Local Laws 92 & 94: These laws mandate green architecture on all new construction or renovation of a certain scale in NYC, in the form of green roofs, wind power, and solar PV.
• Local law 95: The law enables better-suited labels and guides the adjustment of metrics used for letter grades to assess a building’s energy performance.
• Local law 96 – PACE: The law helps establish clean energy financial tools for building owners by laying the groundwork for the Property Assessed Clean Energy Program (PACE). The program finances retrofits for buildings to comply with LL97.
• Local Law 98: The law obligates the Department of Buildings to include wind energy generation in its toolbox of renewable energy technologies.

The Global Context: Buildings as Climate Change Contributors

While New York City’s Climate Mobilization Act represents a pioneering approach, it reflects a broader global recognition of buildings’ critical role in climate mitigation. Internationally, buildings account for approximately 39% of global carbon emissions, with operational emissions (from energy used to heat, cool, and light buildings) representing 28% and embodied carbon from construction materials and processes contributing 11%.

Technological Innovations Driving Building Sustainability

Emerging technologies are revolutionizing how buildings approach energy efficiency and carbon reduction. Advanced building management systems now integrate artificial intelligence and machine learning to optimize energy consumption in real time. These smart-systems can:

• Predict and adjust heating and cooling based on occupancy patterns
• Automatically regulate lighting and electrical systems
• Identify potential energy inefficiencies before they become significant problems

Cutting-edge materials are also transforming building sustainability. Innovations such as phase-change materials, which can absorb and release thermal energy, and advanced insulation technologies are helping buildings maintain optimal temperatures while dramatically reducing energy consumption.

Technological and Policy Synergies

The success of New York City’s climate strategy hinges on creating synergies between technological innovation and policy frameworks. Emerging blockchain technologies, for instance, are being explored to create transparent carbon tracking and trading mechanisms. These systems could revolutionize building emissions monitoring, verifying, and potentially offset, providing building owners with more flexible compliance strategies.

Moreover, the city is increasingly exploring the potential of circular economy principles in building design and renovation. This approach emphasizes material reuse, adaptive retrofitting, and lifecycle assessment, transforming buildings from static structures to dynamic, evolving systems that can continuously adapt to changing environmental and technological landscapes.

Economic Implications of Climate-Responsive Building Strategies

The transition to low-carbon buildings is an environmental imperative and an economic opportunity. According to the International Energy Agency, energy-efficient building retrofits can create significant job opportunities while reducing operational costs. In New York City, this transition is estimated to generate thousands of green jobs across engineering, construction, and technology sectors.

Financial Incentives and Challenges

While the initial investment in sustainable building technologies can be substantial, the long-term financial benefits are compelling:

• Reduced energy costs through improved efficiency
• Potential tax credits and incentives
• Increased property values
• Lower maintenance expenses

However, building owners face significant challenges, including:

• High upfront retrofit costs
• Complex technological implementations
• Navigating evolving regulatory landscapes

Beyond Carbon: Holistic Environmental Considerations

The Climate Mobilization Act represents more than just a carbon reduction strategy. It embodies a comprehensive approach to urban sustainability that considers:

• Water conservation technologies
• Urban heat island mitigation
• Biodiversity support through green infrastructure
• Resilience against climate change impacts

Interdisciplinary Collaboration

Achieving these ambitious goals requires unprecedented collaboration among architects, engineers, policymakers, environmental scientists, and technology experts. Universities and research institutions are developing specialized programs to train professionals who can navigate this complex, interdisciplinary landscape.

International Benchmarking and Knowledge Exchange

Global metropolitan areas seeking innovative climate solutions closely watch New York City’s approach. Cities like Copenhagen, Singapore, and Amsterdam are developing similar frameworks, creating a global knowledge network focused on urban sustainability.

The potential for knowledge transfer and collaborative problem-solving presents an exciting frontier in addressing climate change through urban infrastructure transformation.

Conclusion: A Transformative Urban Vision

New York City’s Climate Mobilization Act is more than legislation—it’s a comprehensive urban reimagining. By targeting buildings, the city’s most significant carbon contributors, the city demonstrates that meaningful climate action requires systemic, integrated approaches that blend technological innovation, economic strategy, and environmental stewardship.

The Cotocon Group has a history demonstrating its devotion to addressing climate change by offering compliance services that help ensure institutional safety through certifications like the LEED.
Our highly skilled team ensures building owners meet all the requirements, from strategizing, budgeting, and handling documentation and curating the information that needs to be shared by conducting energy audits and retro-commissioning to generating and submitting the Energy Efficiency Report within the deadline.
We will demonstrate that the greatest return on investment for building owners is investing in energy efficiency, which positively impacts the whole ecosystem.