Bipartisan Legislation to Encourage Cleaner Construction Passes Committee

The bill would leverage existing financing tools and tax incentives to increase low-carbon materials in construction

DENVER, CO – Bipartisan legislation to advance Colorado’s climate goals by reducing embodied carbon emissions released during the production, transportation, and use of construction materials passed the Senate Transportation and Energy Committee today. 

SB25-182, sponsored by Senators Matt Ball, D-Denver, and Cleave Simpson, R-Alamosa, would expand incentives for the private sector to use sustainable materials in construction and strengthen the emerging industry of low-carbon material innovators. 

“Colorado consistently ranks as one of the top ten states for population growth and new commercial real estate development, which is why we must take construction-related greenhouse gas emissions seriously,” said Ball. “We already lead the nation with innovative policies to cut emissions from buildings, and this legislation builds on that success by making it easier for private developers to use low-carbon materials. By expanding financing tools and incentives, we can ensure that Colorado’s dynamic construction sector drives progress towards our climate goals while creating demand for the highest quality, climate-positive materials – many of which are being developed and pioneered right here in the state.”

The bill would expand the Commercial Property Assessed Clean Energy (C-PACE) financing program to include low-carbon construction materials, which would reduce upfront cost for developers to buy sustainable materials, which are often more expensive than traditional building materials. The bill would also add embodied carbon improvements to the list of greenhouse gas reduction improvements that may qualify for the Industrial Clean Energy Tax Credit. 

SB25-182 would help ensure that the state’s rapidly expanding construction sector becomes a driver of clean economic growth rather than a roadblock to climate progress.

SB25-182 now heads to the Appropriations Committee for further consideration. Track its progress HERE.