The 2030 targets: how the two compliance pathways work

The 2030 standard gives each building two ways to comply, and picking the right one is worth real money. Here is how they differ and when you have to decide.

Pathway one: the property-type target

The state sets a 2030 target for each property type, expressed as site energy use intensity (kBtu per square foot per year) or greenhouse gas intensity. Your building complies if its measured value in the compliance year is at or below the target for its type. This pathway rewards buildings that are already efficient relative to their peers and does not care how far they have come. The target values by property type are published by the Colorado Energy Office; we do not reproduce the table here because it is the kind of thing that gets revised, and the program page is the authority.

Pathway two: the standard percent reduction

Alternatively, reduce by 29 percent from your 2021 baseline by 2030. This pathway rewards improvement and suits buildings that will never hit the peer target because of how they are used. The catch is the baseline year. If 2021 was a low occupancy year for the building, a 29 percent cut from an already low number is hard. The statute allows a 2019 baseline instead, provided 2019 data is filed by November 1, 2027. For many office buildings this election is the single most valuable decision in the program.

The decision calendar

November 1, 2027: last day to file 2019 data and elect a 2019 baseline. November 1, 2028: last day to change pathway without supporting documentation. December 31, 2029: last day to request an individualized target, a target adjustment, or a timeline adjustment. January 31, 2031: last day for a pathway adjustment with documentation. Most requests after 2028 need an energy audit to support them.

What 2030 actually means

Compliance with the 2030 standard is demonstrated in the report filed in 2031, using 2030 data. Performance penalties can begin January 1, 2030 at up to $2,300 per 30 days for a first violation and $5,800 per 30 days after that, adjusted for inflation, but the statute says non-compliance obligations do not apply until 2031 for the 2030 standard. The 2026 interim target is on the books and unenforced; owners may track progress instead. Once met, the 2030 standard is held through 2050, and 2040 standards are not yet adopted.

Funding exists. The $400 enterprise fee funds the Building Decarbonization Enterprise, which has approved initial offerings including audit funding and rebates. Published amounts are not yet available, so ask your consultant what is current.