BDC’s collective head and heart is in California this week with the communities affected by wildfire, many of which are home to our family, friends, and colleagues. I hope that wherever you may be, our first newsletter of the year finds you and your loved ones safe and well.
ICYMI, 2024 was the biggest year yet for the decarbonization movement. One-third of the U.S. population now lives in a state or jurisdiction with a “future of gas” regulatory proceeding, consumers are choosing heat pumps over fossil fuel furnaces for the third straight year, and eight states have approved pilots for thermal energy networks, which were a novel concept just two years ago.
Despite the challenges ahead, I can unequivocally say that we are winning, and at an unprecedented pace. Our movement is poised for more incredible success in 2025. Now let’s get to work!
Yours in decarbonizing, Panama
Events
National Policy Call: Maryland
When: February 25, 2025, 10 a.m. PT / 1 p.m. ET
Join us in February for BDC's national policy call, featuring Maryland's building decarbonization progress. Hosted by BDC's Brian Jenkins, Senior Regional Manager, Mid-Atlantic, this call will explore Maryland's emerging policy landscape and provide real-time updates from the 2025 legislative session. Drawing on a panel of experts, the discussion will offer insights and lessons learned to benefit advocates and stakeholders across the U.S.
We invite you to join us for our monthly discussion of building decarbonization policy in California! Learn about legislation, regulation, and what’s on the climate policy horizon as our coalition works to advance neighborhood-scale decarbonization, statewide healthy air standards, and energy affordability.
BDC’s Associate Director of Thermal Networks, Ania Camargo, and BDC’s Senior New York Legislative & Regulatory Manager, Nicole Abene, are both moderating panels at Geothermal Rising’s 2025 Thermal Energy Network Symposium from February 6th to 8th in Cambridge, Massachusetts. Ania will lead a discussion on “Building Affordable Thermal Energy Networks,” while Nicole will bring her regulatory expertise to “Striking the Balance: The Regulatory Role for TENs.” Connect with Ania and Nicole on LinkedIn if you are attending the conference.
What do you picture when you think about clean energy? Did you picture pipes? It's hard to build what you can’t picture, so in November, BDC led a delegation on a study tour to Vancouver, British Columbia, to see thermal energy networks (TENs) in action. Metro Vancouver boasts more than a dozen significant TENs serving tens of millions of square feet, as well as smaller networks, with many more projects in development.
Heat pumps are highly efficient devices that provide both heating and cooling by transferring heat rather than generating it, making them a sustainable alternative to traditional systems. Advances in technology and financial incentives make now the perfect time to consider switching to a heat pump for energy savings and a more comfortable home.
Extreme weather has made climate change and decarbonization policy top of mind for Marylanders. The state has emerged as a leader in climate action with one of the most ambitious greenhouse gas (GHG) reduction mandates in the United States. Under state law, Maryland must reduce GHG emissions by 60% below 2006 levels by 2031 and achieve net-zero emissions by 2045.
In 2024, California stood at a critical crossroads in its fight against climate change and energy affordability. Record-breaking extreme heat, a longer wildfire season, and worsening air pollution all converged in the summer, underscoring the urgency of the state’s impending climate commitments. Amidst these challenges, our coalition worked to make urgently needed progress in equitable building decarbonization to help create safer, healthier, and more climate-resilient homes and communities.
At a New York State Assembly Higher Education Committee hearing that examined how New York State can lower greenhouse gas emissions at State University of New York (SUNY) campuses, BDC’s Allison Considine recommended that the New York state legislature earmark dedicated funding for building decarbonization at state facilities and campuses.
At a news conference, California state legislators and community activists announced that funds from a $71 million settlement between SoCalGas and the California Public Utilities Commission would be used to encourage people living near the Aliso Canyon gas storage field to transition to electric appliances and reduce reliance on fossil fuels. BDC’s Robin Tung explained how heat pumps will help residents make their homes safer and healthier.
BDC’s Rose Stephens-Booker, Kristin George Bagdanov, and Matt Casale described some of the local, state, and federal policies that were enacted in 2024 to increase heat pump adoption in the United States and ways the building decarbonization movement can build on this success and further accelerate heat pump adoption in 2025 and beyond.
BDC’s Panama Bartholomy predicted that building decarbonization will advance in 2025 as local governments continue to upgrade their building codes, the trend towards a neighborhood-scale approach to building decarbonization accelerates, and state governments further ramp up their efforts to implement policies that make building decarbonization more cost-effective.
Report Roundup
Furthering our commitment to knowledge sharing, we are excited to continue our seasonal ‘Report Roundup’ segment to highlight insightful reports from other organizations across the building decarbonization movement and share the latest developments, best practices, and strategies.
Center for Energy Poverty and Climate, December 2024
This brief connects rising temperatures to increased health risk concerns related to extreme heat and energy affordability, noting that low-income Americans disproportionately feel the burden of higher temperatures and are at higher risk for extreme heat exposure. It recommends solutions ranging from ensuring energy affordability and access to long-term funding goals to increasing access to home cooling for low-income households.
Thermal energy networks are uniquely compatible with unionized trades, and utility-owned thermal energy network (UTEN) pilots are poised to bring jobs to union members and local economies. This primer advocates for robust labor standards, union engagement, and workforce training to integrate fossil fuel workers into TENs pilot programs. A companion webinar on December 11th featured BDC’s Lisa Dix alongside key New York labor, climate, and environmental justice leaders.
This paper explores the evolution of district heating and cooling (DHC) systems and thermal energy networks (TENs), distinguishing their origins, design principles, and goals. The authors propose a clear, standardized definition for TENs and geothermal energy networks (GENs) to ensure these systems deliver on their promises of efficiency, equity, and scalability.
Policy Updates
California
California Assembly and Senate Kicked Off Their 2025-2026 Legislative Session: BDC anticipates that the legislature will focus on passing legislation this year that addresses energy affordability while also defending the state’s climate goals with a new presidential administration on the horizon.
Colorado Lawmakers Meet in Denver for the Start of 2025 Legislative Session: Colorado’s 100 state lawmakers will convene in Denver on the second week of January to begin their 120-day 2025 legislative session, during which they will face tough decisions on how to tackle the state’s looming $1 billion budget shortfall and other issues affecting residents and businesses alike.
Minnesota
Minnesota Utility Commission Convenes Stakeholder TENs Workgroup: The workgroup will meet through 2025 to develop a report with recommendations for the Minnesota state legislature on policy changes Minnesota should make to accelerate the deployment of TENs by the state’s regulated gas utilities.
New York
New York Begins its 2025 Legislative Session; NY HEAT Remains a Priority: New York State Senators and Assemblymembers returned to Albany on January 8, and Governor Hochul is scheduled to deliver her State of the State address on January 14. The New York Heat Act, which came close to passing last year, remains a top priority for decarbonization and environmental advocates this legislative session.
Grid of the Future Studies to Include Thermal Energy Networks: Following the submission of a letter by BDC and its partners to the Public Service Commission’s Proceeding on the Grid of the Future proceeding, the Department of Public Service (DPS) has decided to include thermal energy storage and thermal energy networks in a future Grid of the Future study.
New York Begins the Review Process for its State Energy Plan: BDC is actively engaged in this process and, on December 16, submitted comments jointly with 42 other organizations highlighting six main priorities for the buildings sector that these groups recommend including in the Scope for the forthcoming draft State Energy Plan.
New Governor Takes Office in Washington: Bob Ferguson, a Democrat and former Washington State Attorney General, is expected to prioritize fiscal responsibility, public safety, and how to respond to the incoming administration of President-elect Donald Trump.
Washington State Legislature Convenes: Washington lawmakers kicked off their 2025 legislative session in Olympia on January 13, during which they will confront the $10-$12 billion budget deficit facing the state over the next four years.
Lawsuits Filed on Anti-building Decarbonization Law, Initiative 2066: Pro and anti-decarbonization parties have filed competing lawsuits over the anti-building decarbonization effort, Initiative 2066, which Washington voters narrowly approved to ban state and local governments from encouraging decarbonization.
