City Council has adopted an ambitious strategy to reduce community-wide greenhouse gas (GHG) emissions in Toronto to net zero by 2040. Existing buildings account for approximately 55 per cent of the total emissions in Toronto, mainly from the use of fossil fuels like gas for space and water heating.

To meet its net zero by 2040 target, the City’s TransformTO Net Zero Strategy and Net Zero Existing Buildings Strategy identified building emissions performance standards (BEPS) as one of the most impactful policies it can implement. BEPS are intended to catalyze actions that will drive the scale and depth of emission reductions needed in existing buildings. BEPS would also look to enhance and/or create supporting policies, programs and resources, and facilitate access to incentives, recognizing that some buildings may face more challenges to decarbonize.

The City is developing a proposed approach to implementing BEPS, guided by engagement with various sectors represented in the BEPS Advisory Groups and Committees, and the Council-approved design principles listed below.

If you have any questions, please email buildingemissions@toronto.ca.

In developing the BEPS, City staff are following these design principles:

  1. Cross-cutting equity and affordability considerations: Following the guiding principles in TransformTO, the City is committed to the integration of equity and affordability considerations in the development and implementation of BEPS.
  2. Broad and inclusive engagement and consultation: Input to inform the standards will be gathered from groups and communities that could be impacted, such as tenants, residents, owners, industry organizations and professionals, to understand the concerns and needs of all those who may be impacted.
  3. Attainable standards: BEPS will be designed to be reasonable and achievable, looking to strike a balance between pace of change and feasibility. Alternative options and flexibility for how to achieve compliance will be provided to accommodate equity, affordability or special use considerations.
  4. Supportive programs and policies: To motivate and assist building owners to undertake retrofits, the City will look to expand and/or create tools to support awareness, education, and training, in addition to financial or technical resources and programs.
  5. Data driven standards: The City will use the most up-to-date data to ensure continuous improvement and will perform frequent check-ins regarding pace, feasibility and impact.

To learn more about the development of the Building Emissions Performance Standards, see the July 2024 council report and/or contact buildingemissions@toronto.ca.

The City has established two Committees and six Advisory Groups, composed of multi-sectoral community and business leaders. These groups are in place to help inform the recommendations for BEPS in Toronto.

Building Emissions Advisory Committee

The Building Emissions Advisory Committee (BEAC) is made up of building industry representatives with a range of perspectives, who can offer technical input.

BEAC members:

  • Represent their organization and the diverse perspectives and interests of their sector.
  • Provide strategic guidance and oversight on the development of BEPS.
  • Help to “stress test” the relevancy and accuracy of the results of research and analysis that will inform BEPS.

Equity Advisory Committee

The mandate of the Equity Advisory Committee (EAC) is to help shape the equity components of the BEPS. This includes highlighting potential negative impacts, working together to form tangible solutions such as supplementary policies and alternative compliance pathways, enabling the realization of co-benefits and representing equity-deserving communities throughout the BEPS development process.

Organizations on the Equity Advisory Committee include:

  • Association of Community Organizations for Reform Now (ACORN)
  • Black Environmental Initiative
  • BuildingUP
  • Canadian Health Association for Sustainability & Equity
  • Confederation of Resident & Ratepayer Associations
  • Cooperative Housing Federation of Toronto
  • Efficiency Canada
  • Habitat for Humanity
  • Indigenous Climate Action
  • Labour Education Centre – Working Green 2050
  • Low Income Energy Network (LIEN)
  • Raising the Roof
  • The 519
  • The Neighbourhood Organization
  • Toronto Association of Business Improvement Areas (TABIA)
  • Toronto Environmental Alliance
  • Toronto Community Benefits Network
  • Woodgreen

BEPS Advisory Groups

The BEPS advisory groups provide industry-specific or building-specific insights into the development of BEPS recommendations to ensure they are reasonable and feasible. The advisory groups include:

  • Retrofit Industry
  • Finance and Research
  • Low-rise Buildings, Residential, Commercial and Community Housing
  • Special-use and Critical Infrastructure
  • Property Management and High-rise Buildings
  • Government, Utilities and Agencies

Advisory Group Members:

  • Learn about emissions performance standards, how they contribute to emissions reductions, how they are implemented and operated in other jurisdictions and what BEPS could look like for the City of Toronto.
  • Represent the interests of their sector, act as a sounding board for EAC and BEAC members, City staff and consultants, and deliberate on any challenges or opportunities presented by BEPS.
  • Review components of BEPS and any accompanying complementary policies to ensure its suitability.

Climate Advisory Group

The City’s Climate Advisory Group (CAG) also provides input to help inform BEPS recommendations. The CAG was created in 2022 to provide advice, facilitate ongoing communication, and guide the effective and equitable implementation of Toronto’s climate strategy, the TransformTO Net Zero Strategy.

The City’s Challenge with Building Emissions

Existing buildings are Toronto’s largest source of GHG emissions (55 per cent), contributing to annual emissions of 8.8 million tonnes (MTCO2e) (2023). The largest contribution comes from residential buildings at 51 per cent, followed by commercial and institutional buildings at 38 per cent, and industrial buildings at 11 per cent (see graphic below).

A pie graph showing the total building sector emissions by building type in 2023 in Toronto at 8.8 MTCO2e and a breakdown of residential at 51% (4.5MTCO2e), commercial and institutional at 38% (3.3 MTCO2e) and industrial at 11% (1.0 MTCO2e).
A breakdown of emissions from building types in 2023.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Voluntary action is insufficient to drive the pace of change required to decarbonize the buildings sector, so mandatory requirements, and supportive policies and resources are needed. City Council adopted the accelerated climate action strategy after declaring a climate emergency in 2019.

Benefits of Upgrading Existing Buildings to Net Zero

Through the Better Buildings Partnership, the City provides funding, guidance and resources to help building owners improve energy efficiency and reduce emissions.

In addition to reducing GHG emissions and helping to mitigate climate change, upgrading buildings could also improve resilience and yield co-benefits for social equity, health and Toronto’s local economy.

For example, better insulated buildings are better at maintaining consistent indoor temperatures, even during power outages. This can improve year-round comfort for occupants and increase safety and resilience when extreme weather events arise. Systems like electric heat pumps provide both heating and cooling – with no need for separate air conditioning systems – which could mean some residents would have access to cooling in their buildings or building units for the first time. Other benefits include cleaner air and better health from upgraded air filtration and ventilation systems, which could improve the indoor conditions of some of Toronto’s oldest buildings.

City modelling also suggests that retrofit investment in buildings could be an estimated $240 billion across the city, which would generate approximately 16,000 jobs over the next few decades in local construction, energy services and supportive work.

Difference between BEPS and Toronto’s Energy and Water Reporting Bylaw

Toronto Energy & Water Reporting Bylaw requires property owners to report their buildings’ energy and water use to the City annually. This annual reporting lets building owners track their buildings’ performance over time and compare it with other similar buildings. The energy and water reporting requirement is the foundation for establishing BEPS, and will provide the data needed to inform those standards.

If approved by Council, BEPS would also fall under Chapter 367 of Toronto’s Municipal Code.

BEPS: Building Types and Timelines

The City’s BEPS development work, including the technical analyses, legal advisory and targeted engagement will inform recommendations on building types and sizes, and a proposed timeline approach for BEPS.

Low-Rise Residential Sector

The City will exempt low-rise residential buildings from any BEPS proposal to Council. In this context, this refers to buildings that are used for residential purposes and are no greater than 3 storeys (for example: detached house, semi-detached house, townhouse, multiplex, laneway house or garden suite, and residential over low-rise commercial buildings).

In order to address GHG emissions from this building sector, the City has undertaken broad public consultation from November 2024 to April 2025 to gather input that will help inform future programs and resources aimed at accelerating voluntary retrofit action. This consultation included the Residents’ Reference Panel on Inclusive Climate Action, community-led discussions and an online survey.

Learn more about existing retrofit support for low-rise residential buildings.

Subscribe for e-Updates

Stay informed about TransformTO to learn what the City of Toronto and its partners are doing to reduce greenhouse gas emissions in the city. Regular updates sent monthly. You may unsubscribe at any time.

 

The personal information on this form is collected by the Environment, Climate & Forestry Division under the authority of the City of Toronto Act, 2006, s.136 (c) and By-law 890-2007. This information will not be shared with any other business or government entity and is only used to provide you a card, regular newsletter and to inform you of upcoming events and promotions.

Questions about this collection can be directed to the Program Manager – Partnerships & Innovations, Environment, Climate & Forestry at Metro Hall, 2nd Floor, 55 John Street, (C/O Union Station East Wing) Toronto, M5V 3C6 or 416-392-9714.