New Jersey 2026-2027 Regular Session

New Jersey Assembly Bill A1862

Introduced
1/13/26  

Caption

Establishes "Zero Energy Construction Act"; requires all new residential and commercial developments to be zero energy ready; requires developers to offer zero energy construction.

Impact

If enacted, A1862 will significantly reshape construction practices across the state. The bill requires that developers not only inform prospective buyers about the option to construct 'zero energy buildings' but also disclose potential costs associated with such construction. This is intended to provide transparency and encourage the adoption of energy-efficient practices in the real estate market. Additionally, the bill places regulatory power in the hands of the Commissioner of Community Affairs, who will work in consultation with various departments to create support materials and incentives for developers and owners, thereby fostering an environment conducive to sustainable building practices.

Summary

Assembly Bill A1862, titled the 'Zero Energy Construction Act', seeks to mandate that all new residential and commercial buildings in New Jersey be constructed to be 'zero energy ready' by January 1, 2025. This initiative is aimed at addressing climate change by ensuring that new developments are designed to consume only as much energy as can be generated on-site through renewable resources. By adopting these standards, the bill aims to reduce greenhouse gas emissions as well as long-term energy costs for both homeowners and business owners.

Contention

While the bill has garnered support from climate advocacy groups and progressive lawmakers, opposition is anticipated from some within the construction industry who may see the new standards as costly and burdensome. Critics argue that requiring builders to implement such stringent energy efficiency measures may increase initial construction costs, potentially making housing less affordable. Furthermore, the bill's supporters must navigate concerns related to the feasibility of widespread adoption of renewable technologies and the flexibility needed for developers to address differing market conditions.

Companion Bills

NJ A2091

Carry Over Establishes "Zero Energy Construction Act"; requires all new residential and commercial developments to be zero energy ready; requires developers to offer zero energy construction.

NJ S2302

Carry Over Establishes "Zero Energy Construction Act"; requires all new residential and commercial developments to be zero energy ready; requires developers to offer zero energy construction.

NJ S3576

Same As Establishes "Zero Energy Construction Act"; requires all new residential and commercial developments to be zero energy ready; requires developers to offer zero energy construction.

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