New York City’s Local Law 97 (LL97), part of the larger Climate Mobilization Act, was developed as a means of transforming and limiting commercial energy consumption in NYC. With a primary purpose of reducing greenhouse gas emissions by 40% by 2030 and 80% by 2050, the legislation imposes strict energy efficiency standards on large buildings, including those that house restaurants and commercial kitchens. For restaurant owners and operators, Local Law 97 is more than just another environmental law—it is a piece of legislation that has the potential to seriously impact commercial kitchen operations, warranting real attention.
Commercial kitchens are among the most energy-intensive spaces in any building, particularly considering their constant use of high-powered cooking equipment and ventilation. Restaurant hoods and exhaust systems, play a critical role in any commercial kitchen, but they also significantly impact energy consumption and emissions.
Here we’ll go deep into Local Law 97, covering a basic overview of the law itself, while digging deep into what it means for commercial kitchen owners.
What Is Local Law 97?
Local Law 97 is a core component of New York City’s Climate Mobilization Act, enacted in 2019 to address the significant greenhouse gas (GHG) emissions from buildings, which account for approximately two-thirds of the city’s total emissions. The law mandates that substantial emissions reductions should be realized by large buildings, throughout New York City. Specifically, with the intention of driving a 40% decrease by 2030 and an 80% reduction by 2050.
Applicability of Local Law 97
Local Law 97 applies to most buildings in New York City that exceed 25,000 gross square feet. This includes:
– Individual buildings over 25,000 square feet.
- Two or more buildings on the same tax lot that together exceed 50,000 square feet.
- Two or more condominium buildings governed by the same board of managers that together exceed 50,000 square feet.
Key Compliance Milestones of Local Law 97
The law establishes specific compliance periods with progressively stricter emissions limits:
2024–2029
Initial emissions limits are set based on building occupancy types, requiring buildings to begin reducing their GHG emissions.
2030–2034
More stringent emissions limits come into effect, necessitating further reductions in emissions.
Building owners are required to submit annual emissions reports to the New York City Department of Buildings (DOB), with the first report due by May 1, 2025, covering the 2024 calendar year.
Why Commercial Kitchens Are at Risk With Local Law 97
Local Law 97 (LL97) presents unique challenges for commercial kitchens due to their high energy usage and emissions. As part of buildings subject to LL97, commercial kitchens often contribute disproportionately to a property’s overall greenhouse gas (GHG) emissions, putting them at significant risk for non-compliance.
While Local Law 97 (LL97) primarily targets buildings in New York City that exceed 25,000 square feet, restaurants can still be affected under certain conditions:
- Location Within a Larger Building: If the restaurant operates within a building or complex whose total area surpasses 25,000 square feet, the entire property falls under LL97’s jurisdiction. In such cases, the building owner is responsible for ensuring compliance with the law’s emissions limits.
- Shared Emissions Responsibility: While the building owner holds the primary responsibility, tenants like restaurants contribute to the building’s overall energy consumption and emissions. High-energy-use tenants can influence the building’s compliance status, potentially leading to increased operational costs or necessitating energy efficiency improvements.
- Lease Agreements: Lease terms may include clauses that pass on compliance costs or require tenants to implement energy-saving measures. It’s essential for restaurant owners to review their leases to understand any obligations related to LL97.
Restaurant Hood & Exhaust Systems: The Biggest Culprit in Local Law 97 Risk
Restaurant hoods and exhaust systems are critical for safety and compliance with health codes but are also among the largest energy consumers:
- High energy consumption: Traditional exhaust systems run continuously, regardless of the actual cooking load, leading to inefficiencies.
- Outdated technology: Many kitchens still rely on outdated systems that lack energy-saving features.
- Unmaintained systems: Dirty or poorly maintained hoods and filters reduce efficiency, increase fire risk, and exacerbate energy waste.
Energy Consumption and Inefficiencies of Outdated Commercial Kitchen Exhaust Systems
Traditional ventilation systems often operate at full capacity regardless of actual cooking activity, leading to:
- Excessive energy use: Running fans and heating, ventilation, and air conditioning (HVAC) systems at maximum levels consumes significant energy.
- Increased operational costs: Higher energy consumption translates to elevated utility bills.
- Elevated GHG emissions: Contributing to a building’s overall emissions profile, potentially impacting LL97 compliance.
For instance, a study by the U.S. Department of Energy highlights that commercial kitchen ventilation can account for up to 30% of a restaurant’s energy consumption.
Demand-Controlled Ventilation (DCV) Systems
To address these inefficiencies, Demand-Controlled Ventilation (DCV) systems have been developed. DCV systems adjust ventilation rates based on real-time cooking activity, offering:
- Energy savings: By reducing fan speeds during periods of low cooking activity, energy consumption decreases.
- Improved indoor air quality: Ensuring adequate ventilation when needed without over-ventilating.
- Extended equipment lifespan: Reduced operational strain on ventilation equipment.
Implementing DCV can lead to energy savings of 30% to 50% in commercial kitchens while also significantly reducing greenhouse gas emissions
Maintenance and Upgrades Of Hoods and Exhaust
Regular maintenance and timely upgrades are crucial for optimal performance:
- Cleaning: Regular restaurant hood cleaning, exhaust cleaning, and filter cleaning / replacement prevents grease buildup, which can impede airflow and increase fire risk.
- Inspections: Routine inspections help identify and rectify issues before they lead to significant energy losses or safety hazards.
- Upgrades: Replacing outdated equipment with energy-efficient models can substantially reduce energy consumption and emissions.
For example, upgrading to high-efficiency exhaust fans and incorporating heat recovery systems can enhance energy performance
Consequences of Non-Compliance with Local Law 97
Failure to comply with Local Law 97 (LL97) can have significant financial and operational repercussions for building owners, including those with commercial kitchens. Understanding these consequences is critical to motivating timely action.
- Financial Penalties
Non-compliance with LL97 results in steep fines, calculated based on the extent to which a building exceeds its greenhouse gas (GHG) emissions limits:
- Excess Emissions Penalty: $268 per metric ton of CO₂ equivalent emissions over the allowable limit.
- Example: A full service, 3,000 square foot restaurant may emit roughly 190 metric tons of CO₂ annually, creating the potential for tens-of-thousands of dollars in fines.
- Reporting Penalties: Failure to submit the required annual emissions report can result in fines of $0.50 per square foot per month. For large properties, these fines can add up quickly.
- Legal and Regulatory Consequences
- Violation Notices: Non-compliance can lead to notices of violation from the NYC Department of Buildings (DOB), requiring immediate corrective actions.
- Increased Scrutiny: Repeated non-compliance could result in more frequent inspections and heightened regulatory oversight.
- Call to Action: Act Before It’s Too Late
- Proactive Measures: Building owners, particularly those operating commercial kitchens, should conduct energy audits, implement upgrades, and develop compliance strategies now to avoid future fines.
- Resources: Utilize programs like the NYC Accelerator and financial incentives to minimize costs and streamline the compliance process.
Addressing compliance proactively not only avoids fines but also positions businesses as leaders in sustainability and energy efficiency, enhancing their reputation and operational efficiency in the process.
Recommended Vendors for Hood and Exhaust Upgrades
Upgrading your commercial kitchen’s hood and exhaust systems is crucial for compliance with Local Law 97 (LL97) and for enhancing energy efficiency. Selecting a reputable vendor ensures that installations meet regulatory standards and contribute to emission reductions.
- Done Right Hood & Fire Safety
Done Right Hood & Fire Safety specializes in comprehensive services for commercial kitchens, including:
- Hood Design and Installation: Custom fabrication of kitchen hoods adhering to NFPA 96 standards.
- Electrostatic Precipitators: Installation, routine service, cleaning, and repair to improve air quality and reduce emissions.
- Restaurant Hood Cleaning: Certified cleaning services to maintain system efficiency and safety.
With over a decade of experience, Done Right serves clients from New York to Florida, including major brands like Amazon, Facebook, Burger King, and Five Guys. Their commitment to quality and compliance makes them a reliable partner for your kitchen ventilation needs.
Contact Information:
Northeast Headquarters:
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- 317 Liberty Ave, Brooklyn, NY 11207
- Phone: (212) 660-3232
- Email: info@donerighthfs.com
South Florida Headquarters:
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- 6600 NW 16th St. Suite 11, Plantation, FL 33313
- Phone: (954) 399-6161
- Email: office@donerighthfs.com
For more information, visit their website: Done Right Hood & Fire Safety
Wrapping Up
Local Law 97 represents a continued and accelerating shift in how New York City holds businesses accountable to sustainability. It requires commercial kitchens to adapt or face significant financial penalties. While the financial risks of non compliance are significant, for restaurant owners, this is not just a challenge but an opportunity to modernize operations, reduce energy costs, and contribute to a greener city.
By prioritizing energy-efficient upgrades—particularly for hoods and exhaust systems—and working with trusted partners like Done Right Hood & Fire Safety, compliance becomes achievable. Taking proactive steps today ensures not only adherence to the law but also long-term benefits for your business and the environment.
The time to act is now—embrace the change and lead the way in sustainable commercial kitchen practices.
