Residential Energy Efficiency Market to Reach Nearly $84 Billion per Year by 2020, Forecasts Pike Research
BOULDER, Colo.--(BUSINESS WIRE)-- The rising energy consumption of the housing sector, which has an impact on nearly every aspect of a country’s economy, is driving diverse and increasing interest in residential energy efficiency for both new homes and retrofits of existing ones. Globally, more than half of the energy consumption in buildings – which is expected to rise from 31,983 terawatt-hours (TWh) to 51,253 TWh by 2050, according to the International Energy Agency (IEA) – comes from residential buildings. According to a recent report from Pike Research, a part of Navigant’s Energy Practice, the energy efficient housing sector will expand rapidly over the remainder of the decade, growing from an annual market value of $14 billion in 2012 to almost $84 billion in 2020.
More than 118 billion square feet of energy efficient residential space will be created over that time period, the study concludes.
“The dynamics of the energy-efficient housing market vary widely across regions and countries,” says research analyst Brittany Gibson. “It has yet to be determined whether or not energy efficient homes – and all the products and services used in them – can be a savior for sluggish housing markets in Organisation for Economic Co-operation and Development (OECD) countries, or provide a demand-side tool to help control rising electricity demand, as it might be for rapidly growing economies like China and India.”
Adding to the complexity of this sector is the fact that definitions and characteristics of energy efficient housing vary widely, as well. The strategies for designing and constructing energy efficient homes can employ a wide range of technologies and services, according to the report, making each energy efficient home potentially different from the next. However, the International Code Council has established a set of design principles which help define energy efficiency in homes and seek to advance its incorporation globally. The International Energy Conservation Code (IECC) sets minimum design energy performance standards for a variety of global climate zones. The IECC has been adopted in many territories and also serves as the foundation for other nationally developed codes.
The report, “Energy Efficient Homes”, analyzes the global market opportunity for energy efficient homes, including a focus on key market segments such as building envelope improvements, lighting, HVAC and major appliances, water heating, energy audits, and soft costs associated with energy efficiency. Market forecasts are provided through 2020 for both new and existing building stock across five world regions. Details of local, regional, and supranational market drivers and barriers are discussed in depth, and a cross-section of key industry players are profiled, highlighting their product and services offerings. An Executive Summary of the report is available for free download on the Pike Research website.
About Pike Research
Pike Research, which joined Navigant’s global Energy Practice on July 1, 2012, provides in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Grid, Smart Transportation, Smart Industry, and Smart Buildings sectors. Additional information about Pike Research can be found at www.navigant.com/pikeresearch.
Navigant (NYSE: NCI ) is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.
* The information contained in this press release concerning the report, “Energy Efficient Homes,” is a summary and reflects Pike Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Pike Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.
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