Construction Insights

BC Energy Step Code Explained for Vancouver and Burnaby Homeowners

If you’re planning a new house, duplex, multiplex or laneway home, you’ll hear the words “Step Code” early in design. It decides how well-insulated and airtight your home has to be, how it can be heated, and which tests it must pass before you can move in. It also explains why an energy advisor joins your project team.

This guide explains the BC Energy Step Code and the Zero Carbon Step Code in plain language, what Burnaby currently requires, how Vancouver’s own building by-law handles the same goals, and what to plan for before your building permit application.

In short: since May 1, 2023, most new homes in BC must meet at least Step 3 of the BC Energy Step Code. A separate Zero Carbon Step Code limits greenhouse gas emissions, mostly from heating and hot water. Burnaby has adopted the highest emission level for new small residential buildings. Vancouver isn’t governed by the BC Building Code and sets its own energy and emissions rules in the Vancouver Building By-law, which Council voted in May 2026 to loosen for gas heating. Always confirm the current rules for your permit date.

Two codes, two different questions

BC now has two “step” standards that work side by side. They answer different questions about your home:

BC Energy Step CodeZero Carbon Step Code
What it measuresHow much energy the home uses and how much heat it losesHow much greenhouse gas the home emits in operation
LevelsSteps for Part 9 homes, up to Step 5 (net-zero energy ready)Emission Levels EL-1 (measure only) to EL-4 (zero carbon)
Main design driversInsulation, windows, airtightness, ventilation, mechanical efficiencyFuel used for space heating, hot water and, at the top level, other equipment
Provincial minimumStep 3 (since May 1, 2023)EL-1 (since March 10, 2025)
Long-term provincial goalNet-zero energy ready new buildings by 2032Zero carbon new buildings by 2030

Local governments can require higher levels than the provincial minimum, which is why the rules differ from city to city.

What the Energy Step Code actually asks for

The Step Code is a performance standard. Instead of only listing insulation values, it sets targets for how the finished home performs, and the higher steps are harder to reach. In practice, meeting a step comes down to a handful of things your designer, builder and energy advisor work out together:

  • Airtightness: how little air leaks through the walls, roof, windows and penetrations. This is measured with a blower door test.
  • Insulation and windows: how well the envelope keeps heat in. Window size, orientation and quality matter more than many people expect.
  • Heating, cooling and ventilation: efficient equipment such as heat pumps and heat recovery ventilators (HRVs).
  • Design shape: simple forms with fewer corners and bump-outs are easier and cheaper to make efficient.

Step 3 was described by the Province as making new construction about 20% more energy efficient than the previous base code. Step 5, the top step, is the “net-zero energy ready” level: a home efficient enough that renewable energy, such as solar panels, could cover its yearly energy use.

The energy advisor and the tests

Step Code compliance is checked with an energy model and on-site testing, usually by a certified energy advisor hired by the owner or builder. A typical sequence looks like this:

  1. Design stage: the energy advisor models the home from the drawings and confirms the design can meet the required step. This report goes in with the building permit application.
  2. Mid-construction: once the air barrier, windows and doors are in, but before drywall, a blower door test checks airtightness while leaks are still easy to fix.
  3. Completion: a final airtightness test and an updated “as-built” energy model confirm the home meets the target. The City needs this before it issues the occupancy permit.
Good to know: the mid-construction test is the one that saves money. Air leaks found before insulation and drywall are cheap to seal; leaks found at the final test can mean opening finished walls. Bring the energy advisor in during design, not after the permit is issued.

When Burnaby first introduced energy advisor and airtightness testing requirements, the City estimated the advisor and testing would cost about $2,000. That figure is older and approximate; fees vary with the size and complexity of the home, so get a quote from an energy advisor for your project.

What Burnaby requires

Burnaby follows the BC Building Code and has moved faster than the provincial schedule on emissions:

  • Energy: new Part 9 residential buildings (generally up to 3 storeys and under 600 m², such as houses and duplexes) must meet Step 3, with an energy advisor, energy modelling and airtightness testing.
  • Emissions: from January 1, 2024, new single- and two-family homes had to meet EL-3, Strong Carbon Performance. The City announced that EL-4, Zero Carbon Performance would apply to smaller residential buildings from 2025.
  • How to comply: Burnaby says builders can either complete an energy model or sign a declaration that systems such as space heating, water heating and cooking will use electric power.

For most new Burnaby homes, that means planning for an all-electric home: a heat pump for heating (and usually cooling), electric or heat pump hot water and an electric or induction range. Confirm with the Building Division whether any gas appliances could be accepted for your project before you design around them.

How Vancouver is different

The City of Vancouver has its own building by-law (the VBBL) instead of the BC Building Code, so the Step Code isn’t applied there in the same way. For 1 to 3 storey residential buildings, the City’s guide to the 2025 VBBL (effective for permits submitted after September 15, 2025) sets out three energy paths:

PathWhat it involvesHeating fuel
1. PrescriptiveEvery envelope, mechanical and airtightness item must meet a set value; no trade-offsSpace heating and hot water must be electric; small gas fireplaces allowed
2. PerformanceWhole-home energy model must meet heating and energy-use targets aligned with Step 4Gas allowed, if the home meets a greenhouse gas limit
3. Passive HouseCertified Passive House home is deemed to complyNot restricted by the GHG paths

Paths 1 and 2 require an air leakage test (for example, 2.5 air changes per hour at 50 Pa), and an energy advisor usually prepares the model and the City’s energy checklist. Gas cooking is permitted on all paths.

In May 2026, Vancouver City Council voted to repeal the City’s zero-emission heating requirements for new homes and directed staff to bring back by-law changes and align more closely with provincial rules. At the time of writing we couldn’t confirm whether those amendments are in force, so check the current VBBL requirements with the City for your permit application date.

What this means for your project

  • Decide on your heating system early. It affects the emissions level, the electrical service size and where mechanical equipment goes.
  • Check your electrical service. All-electric homes, especially duplexes and multiplexes with several heat pumps and EV chargers, may need a larger service from BC Hydro.
  • Design for airtightness. Simple shapes, careful window details and a clear air barrier make the tests easier to pass.
  • Look at rebates. Programs for heat pumps and high-performance new homes change often; check BC Hydro and CleanBC before you finalize the design.
  • Keep the timing in perspective. Energy modelling and testing happen alongside design and construction. They add steps, but on a straightforward lot, construction still takes about 10 months from foundation to finish once permits are in hand (design and permit time come before that).

Related reading

Please note: This page is general information, not legal, financial or professional advice. The facts, figures, bylaws, fees and code requirements described here were accurate to the best of our knowledge when it was published or last updated. These rules change often and differ from city to city, so some details may have changed since. Before you make decisions, please confirm the current requirements with your city’s planning and building department and with qualified professionals. We’re always happy to help you check what applies to your property.

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