A new tax credit will make energy retrofits for multi-unit residential and commercial buildings more affordable, saving owners 5 per cent on retrofits to help reduce their energy use.
The Clean Building Tax Credit supports the CleanBC commitment to reduce provincewide emissions by 40 per cent from 2007 levels and aligns with B.C.’s target to reduce emissions in buildings and communities by more than half by 2030.
“Building owners want to reduce the energy use of their home, office or retail space but the upfront costs of these retrofits can be a challenge for people,” said Selina Robinson, minister of finance. “This Clean Building Tax Credit will help owners of larger, often older and energy-inefficient buildings invest in cleaner energy retrofits by putting dollars back into their pockets.”
Buildings eligible for the Clean Buildings Tax Credit include residential buildings, commercial spaces and warehouses in the private sector. Examples include office spaces, food retail and purpose-built rentals.
“Our members want to be part of the climate change solution, but retrofits can be costly and do not always make financial sense,” said Damian Stathonikos, president of the Building Owners and Managers Association of B.C. “The tax credit helps reduce the retrofit cost for building owners and lowers energy expenses for tenants, while modernizing buildings to reduce greenhouse gas emissions. It benefits everyone involved, and the environment.”
The credit supports work involving building systems, such as heating, ventilation, air conditioning and building envelopes. A successful retrofit in the public sector is Vancouver’s Kitsilano Community Centre, which underwent heat-recovery improvements that nearly eliminated the need for natural gas to heat the facility. It also reduced greenhouse gas emissions by more than 80 per cent. The Clean Buildings Tax Credit will support commercial and multi-unit residential buildings looking to complete similar retrofits.
To be eligible for the credit, building owners must work with a certified professional to determine that the energy use-intensity of their building has been reduced and is meeting made-in-B.C. targets through a qualifying retrofit before applying for certification with the Ministry of Finance. Qualified professionals include architects, a qualified energy adviser certified by Natural Resource Canada, and engineers.
The Clean Buildings Tax Credit is open and ends March 31, 2025.
