Thursday, December 17, 2009

17mn home energy management systems forecast to ship in 2014

SCOTTSDALE, USA: Starting from a negligible base, the market for systems that help homeowners improve management of their energy consumption is expected to grow rapidly, with 17 million such systems forecast to ship in 2014, according to the latest data from ABI Research.

“There’s a lot of flux in the home energy management systems market,” comments practice director Sam Lucero. “Companies of many different kinds are trying to enter it, offering four main configurations: standalone systems, components of larger home automation systems, managed systems from service providers, and those offered by electrical utilities, often as part of their Demand/Response deployments. Large software companies such as Microsoft and Google are also making a play in this market.”

Of the four main avenues for home energy management, standalone systems are expected to remain the smallest part of the market, and to show the least growth over the forecast period. Systems provided by utilities will form the market’s largest segment, accounting for more than half of the total system shipments in 2014.

Those offered as part of home automation packages, and those delivered as managed services by providers such as telcos, will occupy the market’s middle ground. ABI Research expects this market to start taking off seriously in 2010-2011.

Google and Microsoft, which offer user-interface solutions and application software for some systems, might at first seem unlikely contenders in this area. Indeed, says Lucero, “HEMS vendors should not be overly concerned” by their entrance into the market: “HEMS are well outside their areas of core competency and it will take these companies considerable time and effort to catch up with the leading innovators in this space.” However their interest is symptomatic of a wider drive towards smarter energy management as part of the “clean tech” movement.

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