New 2022 "Electric-ready" Requirements for Multifamily Buildings

You may have heard that newly constructed single-family homes in California have to be “electric ready,” but did you know that under the new 2022 Energy Code, that requirement has been extended for new multifamily buildings of all sizes? 

Under the 2022 Energy Code to take effect January 1, 2023, gas appliances installed for individual dwelling units must also include the electrical infrastructure to allow for the easy transition to electric heat pump technology for space conditioning and hot water generation, and energy-efficient electric options for cooking and cloths drying. 

For multifamily project this could be a significant cost consideration. The Energy Code does not dictate whether a project uses natural gas, but it does prevent a new project from precluding the current owner or future ownership from easily and cost effectively making the necessary switch to electric and presumably cleaner energy.

The Energy Code includes language for accommodating minimum physical space for future heat pump water heaters, adjacency requirements for the location of dedicated circuitry, and panel/subpanel wiring and labeling.

Additional Resources

• For more information and to preview the approved code language see the CEC’s webpage on 2022 Building Energy Efficiency Standards.

• Or visit the 3C-REN Resource Library for code information and case studies.

• See also the new Multifamily Energy Code Sections 160.4 and 160.9 for the complete code language.

New Incentive Program for Electrification

The TECH Clean California initiative was recently launched with the aim of accelerating progress toward California’s mission to achieve carbon neutrality by 2045. The initiative, which incentivizes home electrification, is geared toward eligible contractors and focuses on both Heat Pump HVAC and Heat Pump Water Heater installations in existing single and multifamily homes. It will target 40% of the program benefits to low-income and disadvantaged communities, supporting more equitable access to sustainable technologies.

Enrolled contractors can earn at minimum $3,000 per installation, and up to $6,600 depending on the location of the project. For single family existing homes, contractors can earn:

• $3,000 for any Heat Pump (HP) HVAC installation

• $3,100 for replacing a gas water heater with a Heat Pump Water Heater (HPWH)

• $1,000 for replacing an electric water heater with a HPWH.

For multifamily existing homes, the incentives vary based on whether upgrades are for individual or multiple apartment units, as well as the type of system being replaced. There are also incentives available for HVAC systems serving common areas and for electrical panel upgrades. A full outline of the incentives can be found here.

Additionally, certain regions of California, including parts of the Central Coast are located within enhanced regions where local utilities, like Central Coast Community Energy, have partnered with TECH to offer an increased incentive for contractors enrolled and participating in the partner program. The enhanced incentives for Heat Pump HVAC installations in single family homes increase with the efficiency of the unit installed and by following Quality Installation Measures, such as duct sealing/replacement and testing.

Contractors interested in participating can fill out an online enrollment form or contact TECH.contractor@energy-solution.com. Those looking to find enrolled contractors can visit The Switch Is On’s Contractor Directory. Visit https://energy-solution.com/tech-incentives/ for more information on the program, including handouts outlining the incentives, maps showing baseline and enhanced regions, and more.

Hurdle to an All-Electric Home – Panel Amperage

As California and local jurisdictions continue to push our homes toward electric appliances, a hurdle that building professionals must consider is the electrical panel size. In the 1950s it was a 30-amp panel; the 1960s saw the 60-amp panel become common and since then, it has increased to 100-, 150-, or even a 200-amp panel typically for a new home today. In some of our largest custom home projects we are seeing the build team opt for an even larger 400-amp panel.

Some of this increase is coming from generally more electrified lives, but in California, new codes requiring panel space or minimum breaker sizes for water heating, EV charging and PV solar systems are also contributing factors.

Some panel basics. Within each panel, appliances are assigned circuit breakers sized to an amperage. Each circuit breaker only allows so much current (amps) through, before it turns power off (aka “trips”) through that breaker. This is a safety precaution, to keep you from plugging too many things into the same outlet. This means that the home’s electrical panel must have enough space, in amps, to accommodate each device in the home. Breakers need to be oversized for each circuit or appliance since an appliance’s maximum amp draw is typically at startup and then idles to a lower amp draw as it operates.

However, it’s important to note that a 200amp panel can house more than 200amps in breakers, this is why you need to have a Electric Load Calculation prepared to determine the actual panel requirement.

As many new construction single-family residences switch their appliances over from gas to electric. Here is a short list of the average breaker size by appliance for many of the transitioning appliances.

Utilizing these ballpark estimates of appliances, we see how important it is to consider your home’s breaker requirements, especially in a remodel. If you’re planning to build a new home or tackling a remodel it’s important to discuss the electrical requirements of your proposed appliance package with your building professionals.