What has been holding back widespread adoption of home energy-management systems? Navigant Research, www.navigantresearch.com, Boulder, Colo., looks to address this question in some of its latest research. The outcome could mean an increased need for homebuilders to install these systems in new homes.

The research firm says until 2012, home energy-management systems have struggled to gain market traction, however increased awareness will drive future growth. Navigant says worldwide revenue from home energy-management systems will grow from $512 million in 2013 to $2.8 billion in 2020. After that timeframe, the market is expected to decline to $1.8 billion in 2022.

Senior Research Analyst Neil Strother, Navigant Research, says the uptake by consumers is still low, but with service providers seeding the market, there is reasonable potential throughout the next several years.

The primary drivers, according to Navigant Research, will be the desire to reduce electricity bills and take advantage of smart thermostats with two-way communications capabilities and demand response signals.

For homebuilders, these types of smart technologies in the home can provide a competitive value add. KB Home, www.kbhome.com, Los Angeles, Calif., is one such builder that is bringing AHT (automated home technology) and green functionality to its new homes to offer buyers homes that are highly energy efficient and automated.

In the future, builders will need to consider how home energy-management systems will impact building and selling new homes. When considering the latest projections from Navigant, that time might be coming sooner than most think.