Building Energy Management System Market Size was valued at USD 5.2 Billion in 2022. The Building Energy Management System market Type is projected to grow from USD 5.9 Billion in 2023 to USD 15.9 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 13.20% during the forecast period (2023 - 2032). An increase in energy use management across commercial, industrial, and public sector entities as well as an uptick in construction industry activity, are the key market drivers enhancing the market growth.
Figure1: Building Energy Management System Market, 2018 - 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The demand for energy management systems (EMS) has increased due to an increase in the management of energy use across commercial, industrial, and public sector enterprises. In order to reduce greenhouse gas emissions, reduce potential susceptibility to changing energy prices, and increase productivity, sophisticated energy-efficient technologies should be implemented. According to figures cited by the World Resources Institute in February 2020, human-induced greenhouse gas emissions are primarily caused by energy use. Industry players may look for IoT-based solutions to optimize energy usage and manage the flow of energy in light of the current trend.
The rapid rate of energy industry digitization and the paradigm shift brought about by electrification have fueled demand for energy management system software. When it comes to assisting businesses in locating and implementing energy-saving technology, EMS is crucial. To provide consistency in energy provision, flexibility in power generation, and to increase energy efficiency, EMS is anticipated to gain encouragement. The framework for ecologically friendly energy consumers will also prioritize occupancy and quality sensors to control energy use. Technologies that reduce energy use could contribute to the decarbonization trend, which forgoes the use of fossil fuels.
Modern innovations like edge AI have become very popular in both developed and developing economies, mostly as a result of the COVID-19 pandemic's onslaught. The popularity of blended work environments and revolving class schedules contributed to the growth of the smart building management movement. Building management systems (BMS) have also been highlighted by edge AI in order to improve occupant comfort, reduce energy usage, and boost safety. Building managers prioritized AI-enabled BMS and automated and optimized energy use as a result of the outbreak. According to the post-COVID vision, emphasizing EMS could open the door for low-carbon economic growth.
Increased construction activity, which includes work on buildings and infrastructure, drives demand for HVAC control and energy management systems and supports the market's expansion. Building energy management solution market growth is driven by an increase in the use of wired energy management systems in HVAC and non-HVAC spaces due to user level security control, faster data scan, energy-saving capability, and LCD screen display for meters. Furthermore, the sector for building energy management solutions is being driven by an increase in demand for HVAC housing as a result of the world's rapid population rise. The market is being served by major firms including Johnson Controls, Walmart Inc., Schneider Electric, and others through the sale of building energy management solution products. Thus, driving the Building Energy Management System market revenue.
The Building Energy Management System Market segmentation, based on type, includes wired and wireless. Wired segment dominated the global market in 2022. An increase in construction-related activities, such as those related to building and infrastructure construction, is driving. However, the market for building energy management solutions is significantly constrained by the high initial cost associated with establishing energy management systems and the price volatility in energy management.
The Building Energy Management System Market segmentation, based on component, includes hardware, software, and services. Software segment dominated the Building Energy Management System Market in 2022. Optimization of asset performance, data management, application platforms, lighting systems, and heating, ventilation, and air conditioning (HVAC) are all included in the software category.
The Building Energy Management System Market segmentation, based on application, includes HVAC and Non-HVAC. HVAC segment dominated the global market in 2022. Future revenue growth of the software platforms market is anticipated to be supported by increasing investments made by key market players like Schneider Electric, IBM Corporation, and Honeywell International Inc. for the integration of data analytics software in their existing building energy management systems.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Building Energy Management System Market dominated this market in 2022 (45.80%). The United States and Canada are anticipated to offer opportunities for making money due to the growing use of smart grids and investments in infrastructure. The IEA predicted that investments in electricity grids will rise by 10% in 2021, with the United States ranking among the top infrastructure investors. Furthermore, the demand for smart energy has grown dramatically throughout the region, encouraging investors to put money into EMS. The commercial, residential, and building industries are anticipated to have the most demand for IoT-based solutions. Further, the U.S. Building Energy Management System market held the largest market share, and the Canada Building Energy Management System market was the fastest growing market in the North America region.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Building Energy Management System market accounted for the healthy market share in 2022. The manufacturing industry in the area has expanded as a result of numerous government initiatives. Further, the German Building Energy Management System market held the largest market share, and the U.K Building Energy Management System market was the fastest growing market in the European region
The Asia Pacific Building Energy Management System market is expected to register significant growth from 2023 to 2032. The manufacturing sector has grown as a result of the government initiatives "Make in India" and "Made in China 2025" from both China and India. Building energy management systems are anticipated to become more prevalent in industries over the next several years due to the region's rapid growth in the manufacturing sector. Moreover, China’s Building Energy Management System market held the largest market share, and the Indian Building Energy Management System market was the fastest growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Building Energy Management System market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Building Energy Management System Industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Building Energy Management System Industry to benefit clients and increase the market sector. In recent years, the Building Energy Management System Industry has offered some of the most significant advantages to medicine. Major players in the Building Energy Management System market, including General Electric Company, Honeywell International Inc, Siemens AG, Schneider Electric, Hitachi Ltd, Rockwell Automation Inc., Emerson Electric Co, Rockwell Automation Inc, Mcloud Technologies Inc, and ABB Ltd, are attempting to increase market demand by investing in research and development operations.
Energy technology business Siemens Energy AG (Siemens Energy). Multi-megawatt wind turbines, gas turbines, gas engines, steam turbines, and entire systems are developed, produced, sold, and installed by this company. The business provides a variety of goods and services for mechanical drives, automation, smart grid, compression and expansion, power generation, renewable energy, power transmission, and distribution. Additionally, it offers solutions for the extraction, processing, and movement of crude oil and gas. Siemens Energy also provides hydrogen generation green energy solutions. The business provides services to a number of different industries, including air separation, construction, ceramics, chemicals and pharmaceuticals, food and beverage, manufacturing, marine, metals, power, oil and gas, pulp and paper, sugar, and textiles. Germany's Munich, in the state of Bavaria, is home to Siemens Energy. For more than 80 production sites throughout the world, Syntax's new SAP Digital Manufacturing Cloud (DMC) infrastructure will be built and installed by Siemens Energy and Syntax, a well-known multi-cloud and multi-ERP managed cloud provider for mission-critical applications.
Electricity and automation technology and solutions are offered by ABB Ltd (ABB). The business provides goods, systems, services, and solutions for electrification, motion, and industrial automation. Its offers harness power reliability, boost industrial productivity, and improve energy efficiency, and its solutions incorporate engineering know-how and software. ABB offers its goods directly to consumers as well as through third-party channel partners as distributors, installers, wholesalers, machine manufacturers, original equipment manufacturers, and system integrators. The company offers customers in the utilities, industry, transportation, and infrastructure sectors throughout Asia, the Americas, the Middle East, Africa, and Europe industrial equipment and systems that are digitally connected and enabled. The headquarters of ABB are in Zurich, Switzerland. ABB introduced its ABB Ability OPTIMAX energy management system to the green hydrogen industry in November 2022 in an effort to reduce production costs by providing real-time awareness of energy use across operations.
Key Companies in the Building Energy Management System market include
September 2022 The next iteration of IBM's LinuxONE server was introduced; it is a highly scalable Linux and Kubernetes-based platform created to run thousands of workloads inside the confines of a single system.
July 2022 The Flow Consortium, which is supported by the European Union, and Eaton worked together to develop and showcase an Integrated Electric Vehicle Charging Infrastructure.
North America
Europe
Asia-Pacific
Rest of the World
Middle East
Africa
Latin America
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 5.2 Billion |
| Market Size 2023 | USD 5.9 Billion |
| Market Size 2032 | USD 15.9 Billion |
| Compound Annual Growth Rate (CAGR) | 13.20% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Type, Component, Application, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, U.K, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | General Electric Company, Honeywell International Inc, Siemens AG, Schneider Electric, Hitachi Ltd, Rockwell Automation Inc., Emerson Electric Co, Rockwell Automation Inc, Mcloud Technologies Inc, and ABB Ltd |
| Key Market Opportunities | Government initiatives toward the construction of new smart homes |
| Key Market Dynamics | An uptick in the management of energy use across commercial, industrial, and public sector organizations and increase in activities in the construction sector |
Building Energy Management System Market Highlights:
Frequently Asked Questions (FAQ) :
The Building Energy Management System Market size was valued at USD 5.2 Billion in 2022.
The global market is projected to grow at a CAGR of 13.20% during the forecast period, 2023-2032.
North America had the largest share in the global market
The key players in the market are General Electric Company, Honeywell International Inc, Siemens AG, Schneider Electric, Hitachi Ltd, Rockwell Automation Inc., Emerson Electric Co, Rockwell Automation Inc, Mcloud Technologies Inc, and ABB Ltd
The Wired Type dominated the market in 2022.
The Software Component had the largest share in the global market.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
