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Incentives/Policies for Energy Efficiency

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Energy Efficiency Program for State Government Buildings   

Last DSIRE Review: 08/04/2014
Program Overview:
State: Kentucky
Incentive Type: Energy Standards for Public Buildings
Eligible Efficiency Technologies: Comprehensive Measures/Whole Building
Applicable Sectors: State Government
Goal:New public buildings or major renovations must be designed to high performance building certification; the level of certification required depends on a life-cycle cost analysis.
Equipment/Products:Energy Star certified appliances
Web Site:
Authority 1:
Date Enacted:
Date Effective:
KRS ยง 56.770 - 56.784
Authority 2:
Date Effective:
200 KAR 6:070

In April 2008, Kentucky enacted legislation (HB 2) to improve the energy performance of all state-owned and state-leased buildings. The legislation requires that all construction or renovation of public buildings for which 50% or more of the total capital cost is paid by the state must be renovated or designed to meet high-performance building standards. In general, a high-performance building is defined as a public building that is designed, constructed and capable of being operated in a manner that:

  • Increases environmental performance and economic value over time
  • Safeguards the health of occupants
  • Enhances satisfaction and productivity of workers through energy-efficient systems
  • Incorporates environmentally friendly materials and products; and
  • Reduces waste

The High-Performance Buildings Advisory Committee assisted the Finance and Administration Cabinet with setting out the standards and benchmarks by which to evaluate buildings. Leadership in Energy and Environmental Design (LEED) certification is required for new buildings; the level of LEED certification depends on the project budget. The committee will assist in the review of state building projects to ensure that building performance, including Energy Star, LEED, and Green Globes rating are maximized to the extent economically feasible using a life-cycle cost analysis.

This legislation also requires that all building leases for the state or any of its agencies meet Energy Star high-performance building standards after July 1, 2018. Public buildings must purchase ENERGY STAR qualified products if life-cycle cost analysis determines they are cost-effective.

Note: HB 2 was enrolled in 2008, and re-codified in 2010 by HB240. On February 7th 2005, the governor of Kentucky signed Executive Order 2005-122 establishing a Utility Savings Council. The Council was created in order to evaluate all state agencies’ energy costs and to make recommendations, such as energy savings performance contracting and improved energy management, with the goal of saving at least 10% in energy costs annually throughout the state government. The governor of Kentucky also announced that Kentucky joined the Energy Star Challenge to improve the energy efficiency of state-owned buildings by 10%.

  Dick Mink
Division of Facility Finance and Administration Cabinet
403 Wapping Street
Frankfort, KY 40601
Phone: (502) 564-5850
Phone 2: (502) 330-7094
Web Site:
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2014 - 2015 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.