Energy Management Systems Market Size, Share, and Trends 2024 to 2034

Energy Management Systems Market Size and Growth 2024 to 2033

The global energy management systems market size was valued at USD 52.67 billion in 2023 and it is projected to surpass around USD 203.99 billion by 2033 with a registered CAGR of 14.5% from 2024 to 2033.

Energy Management Systems Market Key Takeaways

• By system type, the industrial energy management system (IEMS) segment has held highest market share of 71% in 2023.
• By component, the hardware segment has accounted highest market share of around 62% in 2023.
• By deployment, the on-premises segment has generated market share of around 82% in 2023. 
• By vertical, the manufacturing segment has captured market share of around 23% in 2023.
• The North America region has contributed highest market share of around 37.14% in 2023.

U.S. Energy Management Systems Market Size and Growth 2024 to 2033

The U.S. energy management systems market size was estimated at USD 13.72 billion in 2023 and is predicted to be worth around USD 56.15 billion by 2033, at a CAGR of 15.1% from 2024 to 2033.

Asia-Pacific dominated the energy management systems market in 2023. The lack of electricity in some areas of Asia-Pacific is creating demand for energy management systems on a large scale. The rapid industrialization and urbanization are also driving the market growth. The high investments in the development of energy management systems are contributing towards the growth of energy management systems market in Asia-Pacific region.

North America is expected to develop at the fastest rate during the forecast period. The stringent government regulations regarding energy storage and management are driving the market growth. In addition, the government is implementing favorable policies that support the adoption of the energy systems. This factor is driving the growth of the energy management systems market in North America region.

Europe Energy Management Systems Market Size and Growth 2024 to 2033

The Europe energy management systems market size was calculated at USD 13.38 billion in 2023 and is projected to expand around USD 55.08 billion by 2033, poised to grow at a CAGR of 15.2% from 2024 to 2033.

Energy Management Systems Market Growth Factors

The energy management systems are helping in the reduction of energy costs. Even government of established and emerging nations is implementing various programs and policies in favor of adoption and acceptance of energy management systems in the global market. The energy management systems are being considered as one of the innovative technologies for the power and energy sectors.

The small and medium enterprises along with every type of industry are deploying energy management systems. Due to benefits provided by energy management systems, the demand for energy management systems is increasing at a rapid pace. One of the prominent factors driving the growth of the global energy management systems market is technological developments. In addition, the government is highly investing for the development of the energy management systems. This factor is boosting the growth of the global energy management systems market over the projected period.

The energy management systems are gaining momentum in the global market. Since few decades, the adoption of automatic energy management systems had increased at a rapid pace. The growing concerns regarding pollution and carbon emissions are supporting the expansion and development of the energy management systems market. Furthermore, the government is emphasizing the importance of energy consumption which is boosting the energy management systems market growth.

In addition, the growing use of renewable energy sources is driving the demand and need for energy management systems. The major market players are collaborating with government agencies for the development of the global energy management systems market. The energy management systems are cost effective and efficient in nature, which is creating growth prospects for the energy management systems market growth and development globally during the forecast period.

Energy Management Systems Market Scope

Product Insights

The industrial energy management systems (IEMS) segment dominated the market in 2023. The energy management systems are highly adopted in various industries and sectors. The energy management systems are adopted in manufacturing sector on large scale.

The building energy management systems (BEMS) segment is fastest growing segment of the energy management systems market in 2023. The growing awareness about energy management systems combined with growing number of building and construction projects is contributing to the expansion of the segment over the forecast period.

Component Insights

The sensors segment accounted largest revenue share in 2023. The factors such as technological developments and adoption of innovative products are boosting the segment growth. There is surge in demand for sensors due to rising emphasis on tracking and monitoring data. In addition, the sensors are efficient in nature, which is boosting the growth of the energy management systems market.

The software segment is fastest growing segment of the energy management systems market in 2023. The major market players are integrating data analytics and software with energy management systems, which is driving the growth of the global energy management systems market over the projected period.

Solution Insights

The carbon energy management segment led the market in 2023. The factors such as depletion of fossil fuels and growing concerns for environment are driving demand for carbon energy management systems. Furthermore, the carbon energy management systems are used to curb the adverse effects of carbon emissions and greenhouse gases emissions in the environment.

The utility billing and customer information system segment is fastest growing segment of the energy management systems market in 2023. The utilization of utility billing and customer information system helps in the management of customer information effectively and efficiently. This system or solution helps to reduce high costs associated with the management of customer information. It also helps to carry out day to day operations smoothly.

Vertical Insights

The power and energy segment garnered largest market share in 2023. The energy management systems are widely used in power and energy sectors. The energy management systems help to track and monitor energy utilization on a regular basis. This also helps to smooth out the operations of the industries. Thus, this factor is driving the growth of the segment.

The retail and offices segment are fastest growing segment of the energy management systems market in 2023. The adoption of energy management systems for retail and offices help to utilize energy and power without any wastage. Also, the energy consumption can be tracked through energy management systems.

End Use Insights

The residential segment accounted largest market share in 2023. The energy management systems are being utilized for residential sector. The rising electricity billing costs in residential areas are propelling the growth of the global energy management systems market over the forecast period.

The commercial segment is fastest growing segment of the energy management systems market in 2023. The energy management systems are being utilized in various shopping malls, theatres, and business spaces. This is creating demand for energy management systems for the commercial areas and sectors.

Energy Management Systems Market Recent Developments

• Yokogawa India Ltd. bought a stake in APB Corporation, a Japanese energy management systems company, in March 2020 to expand its operations. 
• Opus One Solutions Energy Corporation, a software firm that helps optimize energy operations and planning was purchased by General Electric in December 2021. This agreement will assist General Electric in planning, optimizing, and trading renewable and distributed energy resources in order to enable a contemporary system.

Energy Management Systems Market Companies

• Siemens AG
• Honeywell Inc.
• General Electric Company
• Emerson Process Management
• Elster Group GmbH
• Daintree Networks
• Schneider Electric
• C3 Energy
• Daikin Industries
• Gridpoint Inc. 

Segments Covered in the Report

By Product

• Industrial Energy Management Systems (IEMS)
• Building Energy Management Systems (BEMS)
• Home Energy Management Systems (HEMS) 

By Component

• Sensors
• Controllers
• Software
• Batteries
• Display Devices
• Others

 By Solution

• Carbon Energy Management
• Demand Response Management
• Utility Billing and Customer Information System

By Deployment

• On-Premises
• Cloud

By Vertical

• Power & Energy
• Telecom & IT
• Manufacturing
• Retail & Offices
• Healthcare
• Others

By End Use

• Residential
• Commercial

By Geography

• North America
• U.S.
• Canada
• Europe
• U.K.
• Germany
• France
• Asia-Pacific
• China
• India
• Japan
• South Korea
• Malaysia
• Philippines
• Latin America
• Brazil
• Rest of Latin America
• Middle East & Africa (MEA)
• GCC
• North Africa
• South Africa
• Rest of the Middle East & Africa