Rising concerns about wasteful energy usage and growing adoption of energy-saving solutions across various sectors set to expand the market growth
Building energy management systems (BEMS) is an advanced energy management system for commercial buildings that provides monitoring and information specifically focused on energy use and demand systems that facilities managers can then act on to create savings. A BEMS provides monitoring and information focused on energy use and demand systems that facilities managers can then act on to create savings.
BEMS focuses on reducing energy needs by altering energy users' mindsets and behavioral patterns. Building energy management systems provide efficient and economical energy utilization as these systems control the energy needs of residential and commercial buildings. For example, if a utility initiates a demand response event, a BEMS can receive the utility's external signal and respond by sending control instructions to building systems.
BEMS may command lights to dim in specific locations, increase the temperature setpoint or switch from utility production to a battery storage system to reduce overall load. Commercial enterprises such as schools, office buildings, retail stores and hospitals have traditionally been major energy users. Building energy management systems would help commercial entities optimize energy usage and reduce energy bills.
A home energy management system comprises hardware and software components that efficiently regulate energy usage. The system connects three different sectors within a home such as home appliances, metering and the communication network.
When the technology is used in residential buildings, it provides homeowners with information about their energy usage. Residents can use this data to implement conservation activities.
In addition, the technology can provide residents with certain comfort settings. As a result, the information and actions technology may deliver to residents can contribute to social development by boosting comfort and lowering energy use. Moreover, individual households play an important role in transforming global energy consumption to help build a more sustainable world.
In recent decades, building energy management systems in the industrial sector has expanded dramatically. A building Energy Management System is a framework for managing industrial energy consumption. It assists businesses in identifying and improving energy-saving technology, particularly those that may not require a large upfront expenditure. An industrial enterprise can get real-time energy awareness to identify targeted areas to optimize and increase the efficiency and profitability of operations with a building energy management system.
At the back of the factors, along with research and development, the region's BEMS market size is on the course to surpass US$ YY Bn mark by the end of 2030.
Technological innovations in building energy management systems to augment market growth
Building energy management systems is witnessing a technological revolution by implementing various technologies, including artificial intelligence, rising Internet of Things (IoT) enabled devices, data analytics, edge analytics, cloud solutions and business model innovation. For instance, the New Energy and Industrial Technology Development Organization (NEDO) and Hitachi, Ltd. began a cloud-based Advanced Energy Management System demonstration. A cloud-based Advanced Energy Management System (AEMS) installed at a data center would connect Battery Energy Storage Systems (BESS) installed on the consumer side within the demonstration area, energy management systems (xEMS) installed in factories, buildings and homes and a distribution management system (DMS) installed at an electricity distribution company to provide services.
The latest breakthrough in commercial building energy management is IoT-based analytics solutions. Facilities managers can gain unprecedented visibility into their building systems via an IoT-based platform, allowing them to oversee operations and the overall building environment proactively. Because the IoT complements traditional building management systems, IoT-based BEMS are more than just a control system. By understanding where, when and how their building consumes energy, facilities managers can use load-shedding schedules to actively and purposefully reduce energy demand. Wireless IoT sensors installed throughout the building provide real-time, precise information on the energy use of the building.
The adoption of emerging technologies such as artificial intelligence and machine learning is gaining traction within building energy. AI and ML used data analytics to interpret vast amounts of data collected from BEMS sensors. It will greatly enhance the efficiency and productivity of building energy management systems. Innovative technologies in energy management solutions are a driving factor for market growth.
The growing adoption of wireless communication technologies is expected to boost demand for BEMS solutions.
Wireless BEMS are more effective since they save more energy and are more profitable. Wireless systems have a variety of advantages that allow them to be installed in far more buildings than traditional cable systems. Today's majority of commercial buildings are smaller structures ranging from 1,000 to 5,000 square feet. Wireless energy management systems are a boon to building owners in this floor size group since they are more receptive to wireless installation due to its numerous advantages.
Sensors, sub-metering devices and controllers are all part of a wireless system. The network incorporates a vast self-healing mesh, which improves the configuration's reliability. It is developed with a browser-based remote system that allows for simpler monitoring with remote control. It can be used with open protocol automation systems as well.
Wireless BEMS works identical to how wireless networks at home support multiple devices like laptops, desktop PC, printers, etc. Wireless networks are established in buildings, which support several controls for the main energy-using devices in the building
The wireless network also allows real-time monitoring of total energy consumption in kWh for the whole building. The advanced technology allows the complete process to be taken to the internet, thus allowing remote monitoring. It also helps in controlling the system from a centralized location.
The wireless networks utilized in building EMS are extremely dependable. The capacity of the meshes in the configuration to self-heal and self-form adds to the overall reliability. Wireless EMS has consistently functioned in various commercial venues, including hospitals, restaurants, hotels and offices.
Wireless systems are significantly less expensive compared to wired energy management systems. It eliminates the many hours of labor required to draw the long wires through the structure, lowering the investment. The installation is simple and quick, with no disruption to the tenants' daily lives. Installation can also be done without needing employees to leave their offices, which is quite convenient.
The energy consumption of commercial buildings can be significantly reduced if the wireless systems are widely implemented. Smaller buildings can also utilize affordable wireless systems to contribute to energy saving.
The growth in the adoption of wireless communication technologies is projected to act as the driving factor in increasing market sales across the region during the assessment period.
COVID-19 Pandemic had a positive impact on the market
During the forecast period, the COVID pandemic has benefited the building energy management system market, owing to a shift in working culture. Domestic energy usage increased as many companies and businesses mandated work from home (WFH) to ensure business continuity. Increased usage of home appliances and electronics and residential building heating, cooling and ventilation systems contributed to growth in overall energy demand.
Therefore, the COVID-19 epidemic has considerably impacted when and how electricity is consumed due to these profound lifestyle changes. The COVID-19 pandemic provides an opportunity for the building energy management system market as people need to manage their energy utilization, particularly in residential buildings such as flats, homes and apartments. With the receding pandemic, commercial buildings are slowly returning to normal operations. Building energy management systems will likely increase in commercial buildings in the coming years.
DataM Analysis Report
North America Building Energy Management Systems (BEMS) market is expected to expand at a CAGR of YY% during the forecast period. The growing adoption of energy-efficiency solutions and concerns regarding energy wastage are primarily driving its expansion. Building energy management systems govern the energy needs of a residential or commercial building, resulting in efficient and cost-effective energy usage. Market players should monitor new market trends closely and introduce optimal changes in BEMS.
Market Overview
- According to DataM Intelligence's latest research report on the building energy management systems market in North America for the historic period, 2019 and the forecast period 2020–2030, the rising adoption of energy-efficiency methods due to its advantages in terms of cost reduction and prevention of energy wastage is a factor expected to boost the market in North America during the forecast period.
- In terms of revenue, the BEMS market size in North America is estimated to surpass US$ YY Bn by 2030, expanding at a CAGR of YY% throughout the forecast period.
Key Driver
- Rapid advancements in BEMS hardware, such as sensors and communication highways, have made BEMS a preferred management system. The rapid developments significantly reduced the costs of a sophisticated management system. Technological advances have also improved the opportunities for a BEMS and, therefore, increased its potential.
- Wireless sensors, such as wireless CO2 sensors, occupancy sensors and photosensors, are energy-harvesting or battery-powered sensors with integrated radios enabling wireless data communication. Wireless occupancy and photosensors may be deployed in a factory or office without causing disruption, resulting in a cost-effective lighting management system for even the most price-sensitive market sector. Similarly, wireless CO2 sensors allow for cost-effective, simple-to-install demand-controlled ventilation systems to improve HVAC system energy efficiency.
- To optimize lighting continuously, wireless dimming switches communicate with wireless-enabled sensors such as occupancy sensors or photosensors. Wireless dimming switches can adhere to the wall with glue. Through wireless transmission, the switch transmits commands to a tiny receiver attached to the circuit at the fixture level. This technology promises to drastically minimize the labor required to install modern lighting systems in new construction and retrofit applications.
- The energy-harvesting sensors and controls are self-powering devices that draw energy from the surrounding environment— heat, vibrations, light or motion- to convert it to usable electricity. Energy-harvesting sensors facilitate the cost-effective, non-invasive integration of a BEMS.
- Thus, focusing on new hardware development is expected to offer lucrative opportunities for the BEMS market in North America during the forecast period.
The rise in adoption of BEMS by commercial buildings will propel market growth
- According to industrial analysis, commercial buildings, such as schools, hospitals, retail stores and office buildings, have been discovered to waste 30% of the energy they require on average. In addition, an average office building spends more than US$ 30,000 on electricity each year.
- Further, most building operators have no idea where or how energy is spent in their facilities, nor do they understand or recognize the consumption pattern. As a result, the power bill may gradually increase month after month without notice.
- Therefore, there are more options today for "baking in" energy management technologies from the start, allowing for better energy control, one of which is a building energy management system.
- BEMS utilizes integrated hardware and sensors and IoT-based platforms that can monitor and measure different aspects of a building and bring in a variety of other data inputs to draw inferences from anomalies, make correlations and assist end-users in gaining intelligence to make smart operational decisions that affect the bottom line.
- BEMS helps commercial buildings optimize energy usage, reduce wastage and energy bills.
- As a result, the rise in adoption of BEMS by commercial buildings is expected to boost the demand.
Competition Landscape
- Detailed profiles of major market players providing BEMS solutions are provided in the report, including financials, company profile analysis, market revenue analysis, import and export, recent developments and market strategies analysis, key product/service offerings and an overview of the company
- Key players operating in North America's BEMS market are ABB, Cisco Systems Inc, C3.ai, Inc, Engie, Honeywell International Inc, General Electric, BuildingIQ, Johnson Controls, Siemens AG and Schneider Electric, among others.
New Product Launches
- Major market players of BEMS solutions in North America include Honeywell International Inc., ABB, Schneider Electric and General Electric, focusing on launching new products and technologies to expand their footprint. Some other key market strategies in the BEMS market in North America are highlighted below:
- In October 2021, Schneider Electric announced the launch of Ecostruxure Automation Expert, a completely integrated energy management solution for the wastewater treatment industry.
- In September 2020, Siemens AG launched a new range of controllers designed for the Desigo System. The building automation controllers, PXC4 and PXC5, are designed for small and medium-sized buildings and are compatible with scalable automation.
- In January 2022, Johnson Controls launched OpenBlue Indoor Air Quality. It is a new addition to its energy management system that provides tracking and monitoring for indoor air quality.
- In North America Building Energy Management System (BEMS) market report, we have discussed individual strategies, followed by company profiles of providers of BEMS solutions. The 'Competitive Landscape' section is included in the report to provide the readers with a dashboard view and competitive analysis of key players operating in the North American BEMS market.
