Dispatches in Decarbonization: Building Performance Standards are Actively Reshaping the Market
This article first appeared in Mahesh Ramanujam’s monthly LinkedIn newsletter, Dispatches in Decarbonization, on May 4, 2026. Subscribe on LinkedIn to receive these updates.
Buildings don’t operate on assumptions.
You have heard me say it before, but it’s worth repeating in the context of Building Performance Standards (BPS): What gets measured gets done, what gets done gets improved, what gets improved gets replicated, and what gets replicated transforms the market.
Buildings operate on energy systems, day-to-day operational decisions, and, most importantly, measured performance — and BPS aren’t another regulatory hurdle. They mark a fundamental shift toward ongoing, measurable outcomes. BPS ensure buildings don't just start as efficient, but stay efficient, improve, and eventually move toward net zero.
The GNFZ Difference: From Compliance to Continuous Performance
As BPS are on the rise, the industry is reaching a fork in the road. To date, 16 jurisdictions have adopted BPS and another 33 have committed to adopting BPS. Many developers and investors are rightfully concerned about the risks of non-compliance — not just the heavy financial penalties, but the lasting damage to institutional reputation and stakeholder trust.
This is where the distinction between GNFZ and traditional certification becomes critical. Most certifications reward design intent and rely heavily on design-phase modeling rather than real-world operational data, whereas GNFZ takes a fundamentally different approach.
With GNFZ, performance and accountability are foundational. Our certification isn’t about a moment in time — it’s about an incremental, data-driven pathway to improvement and ongoing, measurable outcomes.
GNFZ is not just a certification: It’s a performance platform. We aren’t just helping you pass a test — we are providing the infrastructure to manage performance improvement in a BPS-driven world.
Our platform is built for that reality. While GNFZ uses the GHG Protocol as our underlying accounting framework, we’ve designed the platform to be flexible at the local level, adapting to jurisdiction-specific requirements and emissions factors. Teams can override assumptions, align with local compliance frameworks, and manage performance within a single system.
We’re also integrating BPS directly into the platform — so calculations, reporting, and compliance align with local laws. The goals are simple: reduce friction, enable consistency, and support adoption at scale. This is how we see GNFZ evolving — not just as a certification, but as the infrastructure for compliance, implementation, and continuous performance improvement.
Insights from the Front Lines
Last week as part of our 2026 webinar series, GNFZ convened industry leaders to discuss BPS as a cornerstone of net zero process in the United States. The conversation reinforced a clear theme: This is no longer theoretical — BPS is actively reshaping the market.
Nora Wang Esram offered a clear test: Has BPS policy meaningfully shaped market behavior? Not in theory, but in practice across operations, transactions, and supply chains. The success of BPS will be measured by whether they drive real, near-term shifts, not outcomes we have to wait decades to confirm.
That shift toward near-term performance is already underway. Cliff Majersik pointed to 49 jurisdictions advancing BPS, positioning them as one of the largest drivers of investment in existing buildings this decade. But scale alone won’t deliver results. Markets need long-term visibility on incentives, and tighter coordination between governments, utilities, and regulators to ensure that building owners are rewarded — not penalized — for investing in performance.
On the ground, implementation remains uneven. In Denver, Sharon Jaye, D.Ed, SFP highlighted how even small misalignments between city and state policies can create confusion across thousands of buildings. Many owners are still early in the learning curve, lacking the data and clarity needed to comply. The implication is clear: Policy ambition must be matched with education, alignment, and support.
In New York City, Rachel Schiftan underscored the urgency of compliance. She noted that the biggest misconception among building owners is timing and that many still see compliance as a future problem. The compliance clock has already started, and an estimated 60–70% of NYC buildings are expected to exceed their 2024 emissions caps. Meeting this moment will require unlocking capital at scale — from PACE financing to portfolio-level decarbonization lending — to accelerate retrofits now.
That urgency is compounded by uncertainty and policy variability. Kristy M. Walson, PE, LEED Fellow, BEMP described a landscape where mature, predictable programs coexist with newer policies that are still evolving in real time. For building owners, that creates risk, but also a powerful signal. BPS works when compliance pressure is converted into capital investment in performance, not deferred or absorbed as penalties. The takeaway is simple: these programs reward early action, not last-minute response.
Underpinning all of this is data. Christopher Schaffner emphasized that markets perform better when they are given time to build strong data foundations. Early investment in disclosure, consistent policy signals, and integrated utility data systems all help reduce friction and scale adoption. Without that infrastructure, even the best policies struggle to deliver results.
The Bottom Line
The perspectives presented by our panelists tell me that GNFZ’s net zero certification is built for this moment. Our platform provides measurement, benchmarking, and a clear pathway to net zero — grounded in the GHG Protocol and accounting for Scope 1, 2, and 3 emissions. We help building owners assess where they are, demonstrate progress, and report performance with confidence.
In a country defined by Building Performance Standards, success will come down to the ability to measure, manage, and improve performance over time.
That’s exactly what we enable and our team is ready to help you get started.