BATON ROUGE, La. (BRPROUD) — New building and energy codes are in the fine print for the new year, adding an extra cost of $2,000 to $3,000. Officials say these new codes could provide potential savings for energy bills.

After Hurricane Katrina, the Louisiana Legislature mandated periodic adoption of the most current building codes around every five years.

Starting July 1, residential construction will be inspected for compliance with the energy code, which hasn’t been looked over or changed since 2009.

Louisiana’s adoption of new energy codes from the federal government has the potential to reduce energy. It could save the use of new residential buildings by more than 20% plus new commercial buildings for 32% savings.

Public Affairs Director Ashley Rodrigue, with the Louisiana State Fire Marshal, says doing this should result in lower insurance costs.

“When our buildings are stronger and safer, insurance companies and insurance rates will favor that,” says Rodrigue. “They’ll be more willing to stick around because the risk is a little bit lower.”

According to a nonprofit organization, ACEEE, they found through a study that Louisiana is the No. 1 state that could benefit the most from these energy codes.

One local realtor with Coldwell Banker One Matt Noel says he believes these new codes aren’t not adding value to homes.

“It’s costing the consumer more money,” Noel added. “It’s easy to sell a consumer on something that’s going to bring value to them and bring value to that asset.”

Noel says with the new codes, it could potentially reduce a new homeowner’s expectations when building a new home.

For instance, when building a new home, the buyers choose a certain type of upgrade that depends on size, quality and quantity. In the end, all cost thousands of dollars. With the high cost of lumber, tools and labor, could take a toll on the homebuyers from adding a luxury.

He believes it’s concerning that there is not a clear answer on when insurance costs will go down because of these new codes.

Click here to view the new construction codes for 2023.