The carbon tax will impact residential building by increasing costs. Once passed, facilities emitting over 25,000 tons of carbon dioxide annually will pay $23-25 per ton from 2012-2015. For others, the tax will be embedded in electricity, gas, and materials like steel and cement. Modeling estimates the tax will increase the cost of an average new home by $5,000 to $6,000, or 1.2-1.4%. A final analysis of cost increases for specific materials will be available within two weeks. Builders should factor increased material costs into projects spanning the tax's implementation.