Complete Guide to Local Law 97 NYC | IAG Energy
Complete Guide to Local Law 97 NYC | IAG Energy
Blog Article
A Complete Guide to Local Law 97 Compliance in New York City
Local Law 97, part of New York City’s ground breaking Climate Mobilization Act, stands as one of the most ambitious building emissions reduction laws ever enacted by any city worldwide. Passed in 2019, New York LL97 mandates aggressive cuts in greenhouse gas emissions from large buildings—those over 25,000 square feet—with the ultimate goal of reducing emissions by 80% by 2050.
As we move deeper into the compliance periods that began in 2024, it’s critical for building owners and managers to understand how LL97 impacts them and how to navigate its complex requirements efficiently. This guide, informed by the expertise of IAG Energy, will break down what you need to know about Local Law 97, how to stay compliant, and how IAG Energy’s proven strategies have helped property owners save thousands of dollars while improving energy efficiency.
What is Local Law 97?
Local Law 97 is a cornerstone of the Climate Mobilization Act, which was passed by the New York City Council on April 18, 2019. The law sets annual carbon emissions caps for buildings larger than 25,000 square feet. These caps are designed to become stricter over time, with the first compliance period covering 2024–2029, and a second, more stringent period starting in 2030.
If a building exceeds its emissions limits, owners face stiff financial penalties—up to $268 per metric ton of carbon dioxide equivalent (CO2e) over the allowed limit.
How Do You Know if Your Property is Subject to LL97 New York?
If your property is already subject to New York City’s benchmarking laws (which require annual reporting on energy and water use), it is almost certainly subject to LL97. Covered buildings include residential, commercial, and mixed-use properties that exceed 25,000 square feet.
Understanding the Difference Between Carbon Emissions and Energy Consumption
It’s important to note that energy consumption and carbon emissions are not the same. While buildings consume various energy sources—like electricity, natural gas, fuel oils, and steam—each source releases different levels of carbon dioxide. LL97 measures a building’s carbon footprint, not just its energy use, using “emission factors” to convert energy usage into greenhouse gas emissions.
How IAG Energy Simplifies LL97 Compliance
Navigating LL97 New York requirements can be complex, but IAG Energy has developed a streamlined process to help building owners stay compliant, minimize penalties, and even reduce utility bills. Here’s how IAG Energy can help:
1. Initial Energy Evaluation
IAG Energy provides a detailed carbon emissions report for each building, showing where the property stands for both the 2024–2029 and 2030–2034 compliance periods.
If a building is under its emissions allotment, no further immediate action is required. However, for buildings that exceed the carbon limit, the report outlines projected fines and the steps needed to avoid them.
2. Energy Audit & Retro-Commissioning Plan
A comprehensive evaluation of the building’s current facilities and systems is conducted, including:
- Boilers and controls
- Hot water systems
- HVAC systems and components
- Building envelope (roofs, doors, windows)
- Lighting systems and control equipment
- Building management systems
The audit includes:
- Analysis of energy consumption in landlord and tenant spaces
- Recommended emissions-reducing upgrades
- Estimated costs, available rebates, incentives, and projected payback timelines
3. Implementation of Energy Upgrades
Where needed, IAG Energy creates customized energy upgrade plans to ensure LL97 compliance. These upgrades:
- Leverage all applicable rebates and incentives to reduce project costs
- Are fully managed by IAG Energy from start to finish, minimizing hassle for building owners
Benefits of Early LL97 Compliance
Starting your LL97 New York compliance process early has two critical advantages:
- Avoiding penalties by ensuring emissions stay within legal limits
- Lowering utility costs through improved energy efficiency
IAG Energy offers free Local Law 97 energy evaluation reports to all new and existing clients, detailing:
- Current emissions
- 2024 and 2030 carbon allotments
- Estimated penalties (if applicable)
Proven Results: IAG Energy Success Stories
Renaissance Properties – 260 5th Ave, New York, NY
IAG Energy performed an advanced Energy Assessment at this 61,600 sq. ft. industrial warehouse located in Jamaica, Queens. The audit exceeded ASHRAE Level II Energy Evaluation standards and fulfilled NYC Local Law 87 requirements.
Assessment Highlights
- FY11 energy usage: 4,655,876 kBtu
- Annual energy costs: $43,410.31
- Building Energy Utilization Index (EUI): 71.63 kBtu/Ft² (vs. national median of 111 kBtu/Ft²)
- Target EUI: 67 kBtu/Ft² (6% improvement goal)
- 19 Energy Efficiency Measures identified
- $150,641 in independent energy efficiency opportunities recognized
Benefits & Savings
- Demand Savings: 1,496.11 kW
- Electricity Savings: 325,834.21 kWh
- Gas/Fuel Savings: 2,703.8 therms
- Total Annual Cost Savings: $150,640.91
What Clients Say About IAG Energy
“IAG technicians were extremely quiet and careful while working inside our hotel building. Totally professional and will recommend.”
— Property Manager, Brooklyn, NY
“The staff at IAG was knowledgeable and fluent in all aspects of the benchmarking requirements. Their professionalism allowed the benchmarking of a significantly sized portfolio to be executed smoothly.”
— Property Manager, Brooklyn
“Excellent, accurate, and timely service. The staff made a tedious project very easy. We recommend them highly!”
— Property Manager, Manhattan
How to Reduce Carbon Emissions in Your Building
The most effective ways to cut carbon emissions include:
- Targeting carbon-intensive fuels first
- Training building operations staff in energy efficiency best practices
- Adjusting equipment schedules and temperature setpoints
IAG Energy offers Operations and Maintenance Essentials training to equip building teams with actionable strategies that can reduce emissions and cut costs—often with minimal upfront investment.
Ready to Get Started With LL97 Compliance?
Compliance with LL97 New York doesn’t have to be daunting. By partnering with IAG Energy, building owners can:
- Receive free energy evaluations
- Access expert guidance on cost-effective upgrades
- Secure all available rebates and incentives
- Ensure full compliance and avoid penalties
Contact IAG Energy today to schedule a free consultation and start making your building LL97 compliant and penalty-free.
Frequently Asked Questions (FAQ)
1. What is the penalty for not complying with Local Law 97?
If a building exceeds its carbon emissions limit under Local Law 97, owners can face fines of up to $268 per metric ton of CO2e over the allowed limit. These penalties can quickly add up to thousands—or even millions—of dollars annually.
2. How do I calculate my building’s carbon emissions under LL97?
Carbon emissions are calculated by multiplying your building’s energy use (electricity, natural gas, fuel oil, etc.) by emission factors established by NYC. Working with an energy consultant like IAG Energy simplifies this process by providing a detailed carbon emissions report.
3. What types of buildings are subject to Local Law 97?
LL97 applies to residential, commercial, and mixed-use buildings over 25,000 square feet in New York City. If your property is required to comply with NYC’s benchmarking laws (Local Law 84), it is almost certainly subject to LL97 as well.
4. What are the benefits of early LL97 compliance?
Early compliance helps building owners avoid steep fines, lower utility costs, and maximize available rebates and incentives for energy upgrades. It also improves property value and future-proofs the building against stricter emission limits in 2030 and beyond.
5. How can IAG Energy help with Local Law 97 compliance?
IAG Energy provides free energy evaluations, identifies cost-effective upgrades, manages LL97 filings, and ensures clients maximize incentives—all while minimizing hassle. Their proven strategies have saved property owners hundreds of thousands of dollars. Report this page