Connect with us

Hi, what are you looking for?

CleanTechnica

Consumer Technology

Home Energy Management Revenue Set To Hit $22 Billion

New numbers from Navigant Research, examining the regional and global trends in the home energy management market, have predicted the industry to generate more than $22 billion in revenue from 2014 to 2023.

“Competition is heating up among vendors and, at the same time, [Home Energy Management] HEM products are becoming more accessible to consumers, with retailers such as Best Buy, Staples, and Lowe’s marketing products that include energy management features,” says Neil Strother, principal research analyst with Navigant Research. “Even though the HEM market is still in its early stages of growth, 2015 is shaping up to be a pivotal year for expansion.”

Everyone across the industry, including product vendors, utilities, service providers, retailers, and other stakeholders, are all reporting increased activity in the market. There is also a growing awareness amongst consumers about the new tools that exist to manage home energy usage, thanks in part to big news items such as Google’s acquisition of Nest Labs in January of 2014.

As such, Navigant Research is predicting the HEM market to grow from $586.9 million in 2013 to $2.4 billion in 2023, growing at a compound annual growth rate of 15.2%.

HEM Revenue by Region, World Markets: 2013-2023 

Navigant-7

Annual revenue is expected to peak in 2020 thanks to a government-mandated deployment of millions of smart meters and similar HEM equipment in homes and businesses, which is expected to be completed throughout Great Britain.

“Competitors in the HEM market have been active as well,” the authors of the report write in the executive summary.

Honeywell announced its Lyric smart thermostat in June 2014, which features a geofencing capability. The following month, thermostat maker Carrier and Ceiva Energy formed a partnership to jointly offer a solution to utilities that enables them to deploy demand response (DR) and energy efficiency programs. In addition, retailers like Best Buy, Staples, and Lowe’s have all been marketing products that feature energy management as part of their feature sets.

The author’s highlight several “key drivers” they believe are behind the HEM market success: desire to reduce the energy bill; regulatory mandates; the rise of smart thermostats; a desire to be green; smart meters; and the sheer convenience of such technology. However, unsurprisingly, there are several “key inhibitors” that present the HEM market with “notable challenges”: consumer indifference to electricity costs; upfront costs and difficulty of new technology; and weak utility support.

Nevertheless, according to Nest, learning thermostats can save you money, and are continuing to grow in popularity.

 
Appreciate CleanTechnica’s originality? Consider becoming a CleanTechnica Member, Supporter, Technician, or Ambassador — or a patron on Patreon.
 
 

Advertisement
 
Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Written By

I'm a Christian, a nerd, a geek, and I believe that we're pretty quickly directing planet-Earth into hell in a handbasket! I also write for Fantasy Book Review (.co.uk), and can be found writing articles for a variety of other sites. Check me out at about.me for more.

Comments

You May Also Like

Autonomous Vehicles

A few days before the Q1 2021 Tesla Earnings Call, CEO Elon Musk touched upon the idea of Tesla as a leader in artificial...

Climate Change

Michael E. Mann and other scientists say climate deniers have stopped attacking global warming but have started challenging green policies in new ways.

Autonomous Vehicles

Wowza — that’s a top-tier troll to start the weekend. This autonomous driving space is getting especially saucy in 2021. There have been hot...

Clean Transport

To take a bite out of transportation energy use and emissions and combat climate change, the National Renewable Energy Laboratory (NREL) is partnering with...

Copyright © 2021 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.