Decarbonization: BERDO 2.0 Impact

Discover key information, ordinance timelines, and how Trane can support Boston building owners on their journey toward BERDO compliance.
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BERDO 2.0: What is it and who does it Impact?

In the fight to curb greenhouse gas emissions in Boston, buildings remain the largest obstacle. Buildings account for nearly 70% of greenhouse gas emissions in Boston. The 2021 amendment to BERDO gives the City authority to set carbon emissions standards for large existing buildings. The emissions standards will decrease over time, with all buildings achieving net zero emissions by 2050.

The ordinance requires covered buildings to report their annual energy and water performance to the City. Covered buildings are defined below. A detailed 2023 BERDO Covered Buildings List can be found within the "BERDO Covered Buildings List."

  • Nonresidential buildings that are 20,000 square feet or larger (excluding parking). 
  • Residential buildings that have 15 or more units.
  • Any parcel with multiple buildings that add up to at least 20,000 square feet (excluding parking) or have 15 or more residential units. All buildings on the parcel must report their annual energy and water use individually.
  • Buildings owned by the City of Boston and Boston Housing Authority.

Buildings account for nearly 70% of greenhouse gas emissions in Boston. The 2021 amendment to BERDO gives the City authority to set carbon emissions standards for large existing buildings. The emissions standards will decrease over time, with all buildings achieving net zero emissions by 2050.

How do I ensure my building(s) comply with the BERDO 2.0 Ordinance?

Starting in 2025, Berdo 2.0 requires that all covered buildings reduce their annual emissions below the set building emissions standard (emissions limit). This can be achieved directly—by upgrading equipment, for example—or indirectly by purchasing renewable energy or making compliance payments. BERDO 2.0 also requires that buildings comply with annual reporting, due by May 15th of each year, which include three (3) main components:

  1. Energy Star Portfolio Manager: Used for reporting key building characteristics and energy and water usage.
  2. BERDO Reporting Form: Captures data required for BERDO 2.0 that isn’t included in Energy Star Portfolio Manager.
  3. Third-Party Data Verification: Third-party verification of buildings is required for the first year of reporting under BERDO 2.0. If thirdparty verification was completed in 2022, it is not required in 2023.

The City of Boston has published a step-by-step guide to completing annual energy and water reporting and third-party data verification for BERDO 2.0 in 2023. 

Understanding and navigating the new limits introduced in accordance with BERDO 2.0 can be overwhelming and stressful for building owners. Each journey toward compliance may look different but rest assured, the right collaborator will meet you at any point. The path to compliance can be summed up in one word—decarbonization. The journey to decarbonize your building is uniquely yours and Trane® is the right collaborator to help guide you.

How do I take action?

Trane is dedicated to helping building owners comply with BERDO. We offer a range of energy services, including energy assessments/audits, formulating action plans, and implementing those plans.

Here's how Trane can assist you:

  • Energy Assessments/Audits: We conduct thorough energy audits to identify cost-saving opportunities and areas for improvement.
  • Formulate Action Plans: Based on the audit results, we create tailored action plans to enhance your building's energy efficiency.
  • Implement Plans: We help you implement these plans using our innovative technologies and extensive experience.

Trane provides end-to-end support to help you meet performance requirements, whether it's heat electrification, benchmarking, or performance data collection and analytics. Our comprehensive solutions ensure you adhere to regulations while achieving long-term energy savings and reducing environmental impact.

You don't need to become an expert in decarbonization. Trane will handle the complexities, helping you navigate regulations, implement energy-efficient systems, and improve your building’s performance. We are committed to making buildings more comfortable and cost-effective now and for future generations.aging with our customers.

When will Bardo be implemented?

2022: Energy and Water Reporting

  • Buildings between 20,000-35,000 square feet or residential buildings between 15 to 35 units began reporting their energy use.

2023: Third-Party Verification

  • Third-party verification of buildings is required for the first year of reporting under BERDO 2.0. If thirdparty verification was completed in 2022, it is not required in 2023. After the first year, third-party verification is required on a consistent schedule outlined in the BERDO Reporting Guide.

2025: 35,000 + GSF Compliance

  • Buildings over 35,000 GSF are required to comply with ordinance or bldgs with more than 35 units.

2030: 20,000-35,000 GSF Compliance

  • Buildings between 20,000 and 35,000 GSF are required to comply with ordinance or bldgs with 15-35 units.

2031: Emission Standards Take Effect

  • Emission standards take effect which will utilize reporting for 2030 emissions.

2050: Carbon Neutrality Reached

  • All Boston buildings achieve net zero emissions by 2050. 

Disclaimer: Trane does not provide tax, legal, or accounting advice. This material is for informational purposes only and it should not be relied on for tax, legal, or accounting advice. Tax law is subject to continual change. All decisions are your responsibility, and you should consult your own tax, legal, and accounting advisors. Trane disclaims any responsibility for actions taken on the material presented.

Footnotes

  1. https://www.boston.gov/departments/environment/building-emissions-reduction-and-disclosure
  2. https://docs.google.com/document/d/1bTCjWuJzL-kfmM_nA_sIo9fm5BU5vwihdtbaq8OB3iU/edit
  3. https://www.markey.senate.gov/imo/media/doc/ira_implementation_guide.pdf
  4. https://www.buildingengines.com/campaign/3-sustainability-mandates-in-commercial-real-estate-and-how-to-prepare/
  5. “Driving Customer Engagement Through Portfolio Advisory Solutions,” Trane Technologies and Guidehouse Insights, published 2Q 2021.
  6. “Refrigerant Management,” Project Drawdown