5 Key Trends in Energy Management Software in Buildings (and 10 Technology Players)

Buildings are responsible for 37% of global energy-related CO2 emissions, with rising demand for air conditioning driving future energy needs. We explore how energy management software plays a role in reducing energy consumption in buildings.

Written by 
Joanna Kolomanska
Edited by 
Saba Kakabadze
Updated on 
September 2, 2024
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Introduction

The buildings sector is responsible for 37% of global energy-related CO2 emissions (IEA). Air conditioning is a significant contributor, with energy demand projected to nearly triple by 2050, accounting for 37% of the expected growth in electricity use (IEA).

While improving insulation or installing heat pumps can reduce energy consumption at home, simple behavioral changes, like lowering the thermostat when away, can cut energy use by up to a third.

Given the substantial impact of these small adjustments, integrating advanced energy management technologies, particularly energy management software, is essential. Energy management software can help reduce consumption, increase efficiency, and lower costs, offering far greater benefits than expected.

What is energy management software in buildings?

Energy management software used in buildings is a digital solution that serves three main functions:

a. It is a tool for collecting and analyzing energy-use data

Energy management software gathers historical and real-time data on energy use. The data is collected from interval meters, Building Automation Systems (BAS), utilities, and sensors. It allows users to analyze this information and track the effectiveness of energy-saving measures.

b. It reports and monitors energy performance

The software offers tools for comprehensive reporting and monitoring of energy performance. By tracking data with fault detection and continuous monitoring, it helps users identify inefficiencies and optimize energy usage across buildings and facilities.

c. It optimizes energy usage

The software optimizes energy generation, consumption, and storage patterns. By managing assets efficiently, it minimizes costs, balances demand, and ensures equipment operates at peak efficiency, preventing energy wastage and reducing overall consumption.

What is the purpose of using energy management software in buildings?

a. Automate processes that reduce the workload of energy monitoring and management

Through digital remote reading and integration with various data sources, energy management software collects and categorizes consumption data automatically, without human involvement. This automation reduces manual effort, allowing to focus on strategic decision-making rather than routine data entry and analysis.

b. Enhance comfort and productivity of building occupants

Energy management software helps create a more comfortable environment by optimizing HVAC systems, lighting, and indoor conditions. This not only improves comfort but also boosts productivity and well-being for those using the building.

c. Generate detailed Insights into energy use and carbon footprint

The software provides in-depth visibility into energy consumption patterns, offering insights into the CO2-equivalent of the energy consumption, and sometimes in other metrics like water usage and waste generation. It helps to identify areas of inefficiency, track energy performance, and monitor progress toward sustainability goals, enabling more informed decision-making, particularly in managing Scope 1 and 2 emissions.

d. Find energy savings and reduce energy costs

By identifying inefficiencies and optimizing energy use, the software helps reduce overall energy consumption, leading to lower utility bills. by supporting the implementation of energy-saving measures, resulting in both financial savings and a smaller environmental impact.

5 Key development trends of energy management software for buildings (+ 10 tech players)

1. Smart Home Climate Control

Smart home technologies are leveraging detailed data on energy usage, occupancy, and environmental conditions to optimize energy management. These systems ensure that energy is used more efficiently by adjusting settings based on real-time conditions. tado° and ecobee are two of the players developing solutions that empower homeowners to reduce their energy consumption while maintaining comfort.

2. AI and Machine Learning Integrations

Artificial intelligence (AI) and machine learning (ML) are transforming energy management by analyzing consumption patterns, predicting future energy needs, and optimizing energy use in real time. Companies such as Sense and Edgecom Energy use AI-driven solutions to maximize energy efficiency, lower costs, and reduce carbon footprints.

3. Building Automation Integration

Building automation systems are integrating multiple systems—including lighting, security, and HVAC—to optimize energy use, reduce operational costs, and improve overall building efficiency.  DABBEL AI and Bisly - Scalable Building Automation are companies creating smart environments that enhance both energy management and operational performance.

4. Multi-Site Energy Management

For organizations managing multiple locations, real-time monitoring, control, and optimization of energy use across different sites are crucial. Companies like BrainBox AI and Citron® are applying data analytics to provide centralized platforms for managing energy consumption, which leads to reduced costs and increased energy efficiency across multiple sites.

5. Demand Response

Demand response technology adjusts energy usage during peak periods to help balance the grid, reduce strain on the energy system, and generate cost savings for users. Companies like 75F and Elyos Energy are developing innovative solutions that allow users to shift energy consumption in response to real-time grid demands, optimizing both energy use and cost-effectiveness.

Conclusion

Energy management software is revolutionizing energy use in buildings. By automating data collection and providing insights into consumption, it helps reduce energy use, lower costs, and support sustainability goals. These tools are essential for creating a more efficient and sustainable future.

>> See our list of companies in Building Energy Management Systems here

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