The federal district court for the District of Maryland granted the Maryland Department of the Environment’s motion to dismiss a preemption challenge to Building Energy Performance Standards (BEPS) adopted in 2024. The BEPS require covered buildings to have net-zero greenhouse gas emissions by 2040. The plaintiffs challenging the law alleged that the BEPS emissions standards are facially invalid because they penalize gas appliances covered by the Energy Policy and Conservation Act. The court found that EPCA did not preempt the BEPS because the BEPS “do not ‘refer to’ or have an impermissible ‘connection with’ the ‘energy use’ or ‘energy efficiency’” of consumer or industrial appliances.

Lawsuit asserting that federal law preempted the Maryland Building Energy Performance Standards.

Maryland Building Industry Association v. McIlwain

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Maryland Federal Court Rejected Preemption Challenge to Maryland's Building Energy Performance Standards

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Maryland Federal Court Rejected Preemption Challenge to Maryland's Building Energy Performance Standards

Target

Policy instrument

Impacted group

Just transition

Renewable energy

Fossil fuel

Greenhouse gas

Economic sector

Finance