Fannie Mae’s green bond program to spur efficiency upgrades may be falling far short of its goals, according to analysis by Grist.
A Grist report says that about 1,600 of the 3,800 properties that had loans packaged into “green” mortgage-backed securities saw improvement in their energy scores within a median period of about two years. But more than 800 properties that the online publication examined saw lower or identical energy scores in the most recent data year compared to their scores at loan issuance.
“Whether or not Fannie Mae’s green bonds program is driving significant decarbonization and efficiency improvements is very much an open question,” Grist says. “The value of the program is unclear even in cases where energy savings did improve: About a fifth of the buildings enrolled from 2016 through 2019 performed worse than the median U.S. building even after fulfilling program requirements.”
Another criticism: Participation is highest in states and cities that already have stringent building energy efficiency codes. That means some of these building owners may have pursued green improvements without Fannie Mae’s incentives.
Related Stories
Sustainability | Aug 30, 2016
New federal project plans must include climate impacts
Agencies must quantify the specific impacts when possible.
Green | Aug 29, 2016
Vancouver, B.C., to require zero emissions on new buildings by 2030
No net GHG emissions will be allowed.
Codes and Standards | Aug 25, 2016
Freddie Mac extends efforts to fund multifamily energy/water efficiency projects
The Multifamily Green Advantage targets existing buildings.
Codes | Aug 24, 2016
Weak building codes no match for recent natural disasters, say industry experts
The recent floods and wildfires in Alberta are being cited as proof.
Legislation | Aug 24, 2016
World Trade Center contractor found guilty of minority-owned business fraud
The company used two minority firms as fronts in a nearly $1 billion scheme.
Codes and Standards | Aug 22, 2016
Federal construction contractors propose reforms to federal project delivery
Industry leaders offer how procurement system could be improved.
Legislation | Aug 19, 2016
California lawmakers may take action to address contractor negligence
An assembly committee heard testimony on deadly balcony collapse that occurred last year.
Energy Efficiency | Aug 17, 2016
Investor Confidence Project aimed at raising trustworthiness on energy efficiency projects
The new initiative screens projects to see if they are investor-ready.
Standards | Aug 17, 2016
U.K.’S BREEAM green building standard enters U.S. market
The standard is touted as a cost-effective alternative to LEED.
Standards | Aug 16, 2016
Standard for conducting, reporting energy audits open for review
A joint ASHRAE/ACCA proposal seeks comments from industry professionals.