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Consumer groups urge FHFA to update climate standards for GSE-backed homes

A social media campaign aims to pressure FHFA on energy-efficiency standards for GSE-backed homes, which Senate Republicans recently pushed back on

A coalition of interest groups oriented around climate issues has launched a social media campaign designed to pressure the Federal Housing Finance Agency (FHFA) into adopting up-to-date energy-efficiency standards for homes backed by the government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac.

The Campaign for Lower Home Energy Costs launched its effort on Tuesday. The group said in a statement that “delays in adopting these standards are costing Americans money through high utility bills and leaving them vulnerable in inadequate housing. Policy experts and advocates highlighted how the new standards would lower energy costs, improve home resilience, and protect homeowners from financial strain.”

The seven groups simultaneously posted to social media platform X, calling for “immediate action from the FHFA to reduce energy costs and provide critical financial relief to homeowners,” the coalition stated. “By focusing on the potential cost savings — nearly $1,000 annually and up to $15,000 over a 30-year mortgage — the campaign underscored the significant financial benefits that these standards could bring to millions of households.”

Groups participating in the campaign include the American Council for an Energy-Efficient Economy, Americans for Financial Reform, Sierra Club, Earth Advantage, the Insulation Institute, the National Consumer Law Center (NCLC) and the U.S. Green Building Council.

In April, the U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of Agriculture (USDA) settled on new standards for the construction of single-family and multifamily homes. They aim to fulfill a requirement laid out in a 2007 law that directs the departments to adopt the most recently published energy-efficiency standards following reviews by HUD and the U.S. Department of Energy (DOE).

But earlier this month, a coalition of nine Republican senators led by Mike Braun of Indiana took aim at these standards, citing the additional costs they would add to the purchase of new homes.

They proposed a bill that would roll back the HUD/USDA standards while also “clarifying” that the FHFA has “no statutory authority to impose similar mandates.” They also seek “reforms (to) the underlying law by prohibiting HUD and USDA from adopted new efficiency mandates unless 26 states have already adopted similar standards.”

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