Nov. 17, 2014: Home Energy Management Systems Market to Surpass $2 Billion by 2020
North America Is Expected to Emerge as the Most Dominant Regional Market
SAN FRANCISCO — The global home energy management systems (HEMS) market is expected to exceed $2 billion by 2020, according to a new study by Grand View Research Inc. Owing to increasing energy cost coupled with growing environmental concerns, energy management has emerged as a priority, which is expected to fuel the HEMS market. The need to conserve and optimize energy use is expected to serve as a key market driver. Increased connectivity and widespread adoption of smartphones is also expected to favorably impact market growth. Energy management product demand has gained momentum over the last few years owing to use of variable pricing schemes offered by service providers. Favorable regulatory initiatives in the United States pertaining to energy conservation are expected to propel regional HEMS market growth.
High installation cost coupled with system complexity, however, is expected to pose a challenge to market growth over the forecast period. Lack of consumer awareness regarding home energy management systems and the benefits they offer may also hinder the HEMS market. Technological proliferation along with decreased sensor and display costs, improved device-level information processing capability, and roll-out of smart utility meters provide avenues for market growth.