Maryland BEPS Incentives: How Building Owners Can Reduce Compliance Costs

6 August 2026
Maryland BEPS Incentives - Solar and Energy Efficient Commercial Building

Maryland BEPS is often discussed as a regulation, a deadline, or a future penalty risk.

But for building owners, the more practical question is this:

How can we comply without overspending?

Maryland’s Building Energy Performance Standards apply to many large commercial and multifamily buildings across the state. The Maryland Energy Administration explains that the Climate Solutions Now Act of 2022 established statewide BEPS for large commercial and multifamily buildings 35,000 square feet and larger, with the goal of reducing onsite energy use and greenhouse gas emissions over time and reaching net-zero emissions by 2040.

That long timeline matters. Maryland BEPS is not just about one report. It is about using today’s building data to make smarter decisions before the 2030s arrive.

The good news is that compliance planning does not always need to begin with a major capital project. A recent Building Innovation Hub resource highlighted how Maryland building owners and managers can use utility incentives, EmPOWER Maryland programs, and building tune-up strategies to support BEPS compliance while improving building performance.

In other words, the buildings that treat BEPS as a planning opportunity may be better positioned than the buildings that treat it as an annual paperwork burden.

Maryland BEPS Is Now a Business Planning Issue

The first mistake many owners make is thinking of BEPS as a filing requirement only.

Benchmarking matters, but it is only the starting point. The data submitted through ENERGY STAR Portfolio Manager can help reveal how a building is using energy, where performance is weak, and whether future improvements may be needed.

The Maryland Energy Administration notes that benchmarking helps owners track annual energy use, compare performance over time, identify energy-saving opportunities, and manage the business bottom line through regular data collection.

That is the business case.

If an owner waits until a future performance deadline is close, the available options may become narrower and more expensive. If the owner starts reviewing data now, there may be time to identify low-cost improvements, apply for incentives, plan capital work, and coordinate upgrades with regular building operations.

The First Opportunity: Building Tune-Ups

Before assuming a building needs expensive equipment replacement, owners should first look at building operations.

A building tune-up can help identify waste caused by poor scheduling, sensor issues, control problems, simultaneous heating and cooling, ventilation imbalance, stuck dampers, uncalibrated thermostats, or equipment running longer than needed.

These are not always glamorous upgrades, but they can matter.

For many buildings, operational improvements may reduce energy use before major equipment replacement is even considered. The Building Innovation Hub’s recent Maryland BEPS incentives resource specifically identified building tune-up initiatives as part of the practical path for improving performance.

This is especially important for owners who are not yet ready for large capital projects. A tune-up can be a first step that produces useful information and may reduce waste without immediately committing ownership to a full retrofit.

Energy Auditors Reviewing Utility Data and HVAC Controls

The Second Opportunity: Utility Incentives

Maryland building owners should not assume they need to carry the full cost of every energy improvement alone.

The Building Innovation Hub’s recent event on Maryland BEPS and incentives highlighted available opportunities through EmPOWER Maryland and utilities including Delmarva Power, Pepco, and BGE.

Depending on the building, utility incentives may support measures such as lighting upgrades, controls, HVAC improvements, equipment optimization, energy audits, tune-ups, and other efficiency projects.

The key is timing.

Incentives are usually easier to use when they are built into the project planning process early. If an owner makes decisions first and asks about incentives later, they may miss opportunities or fail to meet program requirements.

That is why BEPS planning should include an incentive review before the building commits to a scope of work.

The Third Opportunity: Data-Driven Prioritization

Not every building needs the same plan.

A garden-style multifamily property, a downtown office building, a warehouse, a school, a retail center, and a mixed-use property may all have very different energy profiles.

That is why the benchmarking data should be reviewed carefully.

Owners should look at:

  • Electricity use
  • Natural gas use
  • Delivered fuels, if applicable
  • Seasonal load patterns
  • Energy use intensity
  • Direct emissions exposure
  • Occupancy and operating schedules
  • Meter coverage
  • Major equipment age
  • Building controls
  • Tenant spaces
  • Common areas
  • Utility cost trends

The purpose is not just to file. The purpose is to understand which improvements are likely to matter most.

The Fourth Opportunity: Avoiding Rushed 2030 Decisions

MDE’s current BEPS page notes that covered buildings may need to make building improvements over time to meet performance standards in the 2030s.

That phrase — “over time” — is critical.

Buildings do not improve overnight. Owners may need time for board approval, budgeting, financing, design, procurement, tenant coordination, utility applications, contractor availability, and installation.

A building that waits too long may be forced into rushed decisions.

A building that starts now can ask better questions:

  • Which systems are near end of life?
  • Which upgrades can be paired with planned capital work?
  • Which measures qualify for incentives?
  • Which projects reduce energy cost and compliance exposure?
  • Which improvements can be phased?
  • Which measures should not be done yet because better timing is available later?

This is where BEPS becomes a capital planning issue, not just a compliance issue.

The Fifth Opportunity: Using Compliance to Communicate with Owners and Boards

Property managers often face a communication problem.

The building may be covered. The deadlines may be real. The future standards may matter. But ownership may not understand why action is needed now.

A BEPS incentive strategy can make that conversation easier.

Instead of saying, “We have another regulation,” the manager can say:

“We have building data. We have future performance requirements. We may have incentive opportunities. We should review the property now so we can reduce energy waste, plan capital work, and avoid rushed decisions later.”

That is a much stronger conversation.

What Owners Should Do Now

Maryland building owners should begin with a practical review.

  • First: Confirm that the building is covered under Maryland BEPS and that the correct Unique Building ID is being used. The MDE BEPS Portal allows owners to search for covered buildings, find the UBID, and view the building dashboard.
  • Second: Review the benchmarking file and confirm that the building data is accurate.
  • Third: Identify the largest energy loads and the most obvious operational issues.
  • Fourth: Review whether utility incentives may apply before finalizing any project scope.
  • Fifth: Create a phased compliance plan that separates low-cost operational improvements, incentive-supported upgrades, and longer-term capital projects.

The Bottom Line

Maryland BEPS compliance does not have to be treated only as a cost.

For many buildings, the better approach is to use BEPS as a reason to organize data, identify waste, improve operations, apply for available incentives, and plan upgrades before future deadlines become urgent.

The buildings that wait may face rushed decisions.

The buildings that plan early may have more options, better pricing, better documentation, and a clearer path to compliance.

How The Cotocon Group Can Help

The Cotocon Group helps Maryland building owners and property managers review BEPS compliance from both a regulatory and operational perspective.

We can help confirm covered building status, review the BEPS Portal and UBID, analyze benchmarking data, identify compliance risks, coordinate next steps, and help ownership understand where incentives and phased improvements may fit into the plan.

Maryland BEPS compliance should not start with guesswork.

The Cotocon Group can review your building’s BEPS status, benchmarking data, and potential improvement pathway before future deadlines become expensive.

Get Compliance Review

Frequently Asked Questions

Are there incentives for Maryland BEPS compliance?

Yes. Recent Building Innovation Hub resources highlight utility incentives, EmPOWER Maryland opportunities, and building tune-up strategies that may help building owners reduce costs while improving performance.

Do incentives automatically make a building BEPS compliant?

No. Incentives can help reduce the cost of improvements, but owners still need accurate benchmarking, proper reporting, and a long-term compliance strategy.

What is the first step for reducing Maryland BEPS compliance costs?

The first step is reviewing the building’s benchmarking data, utility usage, UBID, and operational performance before selecting projects.

Should owners wait until 2030 to start planning?

No. MDE notes that covered buildings may need to make improvements over time to meet performance standards in the 2030s. Early planning gives owners more time to phase work and evaluate incentives.

Can The Cotocon Group help with Maryland BEPS incentives?

Yes. The Cotocon Group can help review your BEPS status, organize benchmarking data, identify likely areas of improvement, and help ownership understand where incentives may fit into the compliance plan.

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