Next-Generation Building Energy Management Systems Market CAGR, SWOT Analysis
The need for simplified building operations is likely to spur the next-generation building energy management systems market. A CAGR of 15.3% is predicted to shape the global market in the upcoming period.
The convergence of conventional and advanced components to augment the management and automation of building systems is expected to drive the next-generation building energy management systems market. The upswing in consumer demand for eco-friendly buildings that are energy-efficient is estimated to add impetus to the next-generation building energy management systems market in the upcoming period.
Next-Generation Building Energy Management Systems Market can be segmented:
By Type
- wired
- wireless
By Application
- commercial buildings
- manufacturing facilities
- educational institutions and hospitals
- government establishments
The market is characterised by the presence of several regional and local providers. Some of the key players in the market are:
- Honeywell
- Johnson Controls
- Schneider Electric
- Siemens
- ABB
- CBRE Group
- CISCO
- Daikin
- Echelon
- GridPoint among others.
The market is categorised as: Middle East, Europe, Africa, Asia-Pacific, North America, and South America. Europe is projected to support the biggest segment in the market in the year 2018. The European regional market has been an initial adopter of BMS. The Asia Pacific regional market is estimated to develop at fast rate for the duration of the forecast due to the intensification in demand for the building of industrial and residential buildings.
Building energy management systems BEMS
Building Energy Management Systems (BEMS) are integrated, computerised systems for monitoring and controlling energy-related building services plant and equipment such as heating, ventilation and air conditioning (HVAC) systems, lighting, power systems and so on.
The phrase Building Energy Management Systems is sometimes used interchangeably with Building Management Systems (BMS), however, strictly speaking, Building Management Systems can be used to monitor and control a wide range of building systems, including fire, smoke detection and alarms, motion detectors, CCTV, security and access control, lifts and so on. Building Energy Management Systems relate specifically to energy-related systems.
Small buildings may have independent controls for energy systems, but for larger or more complex buildings, sites with a number of buildings, or organisations with buildings on a number of sites, the integration of systems operation through a single Building Energy Management System offers greater control and can achieve significant savings. NB Increasingly, simple BEMS are being developed that are suitable for even the smallest buildings.
BEMS provide real-time remote monitoring and integrated control of a wide range of connected systems, allowing modes of operation, energy use, environmental conditions and so on to be monitored and allowing hours of operation, set points and so on to be adjusted to optimise performance and comfort. BEMS can also trigger alarms, in some cases predicting problems and informing maintenance programmes. They allow records to be kept of historical performance, enable benchmarking of performance against other buildings or sites and may help automate report writing.
In 2014, BSRIA reported that the global BEMS market was worth $3.5 billion, or 3 billion Euros, and was growing globally at more than 10% per annum. This increasing interest has resulted from the rising cost of fuel, concerns over energy security, increasingly aggressive environmental targets and the reduced cost of sensors, analytics software and data storage.
Claims for the scale of savings that can be achieved by BEMS range from 10% to 25%. Operated properly, they should allow energy use to be optimised without compromising comfort or performance. However this requires a thorough understanding of how buildings are supposed to perform, and how different systems within them interact.
To function correctly they must be properly designed, installed and commissioned and must have a user interface that is easy to operate. They should then be continually assessed and fine-tuned as performance is better understood over a number of seasons and modes of operation, and changes are made to buildings or operations. Maintenance is also necessary to ensure systems continue to operate correctly, for example, replacing sensors and batteries, checking connections, checking the operation of dampers and valves, upgrading software and so on.
BEMS can be independent installations with separate maintenance contracts, or manufacturer installations which include maintenance. They can be wired or wireless systems. To determine whether a wired or wireless system is the most appropriate, buildings should be audited to test how well signals can be received and how likely disturbances are. Choosing the correct BEMS system then depends on the size and usage of the building, the scale of the project and the budget. As a general rule, larger, more extensive projects tend to be best suited to wireless solutions.
BEMS may have remote outstations that can be interrogated locally, or may be accessible from mobile devices. However, major buildings may be vulnerable to cyber attack, especially when they are associated with prominent organisations. This can be a particular issue where functions operate in the 'cloud', such as cloud-based analytics, and the ability to access and manage multiple buildings remotely. The ability to access live analytics, or receive alarm notifications from hand-held devices has great potential benefits, but may also bring additional risks.
[edit] Related articles on Designing Buildings
- Building energy management systems BEMS.
- BACS building automation controls - the information revolution.
- BS EN 15232 Energy performance of buildings: impact of building automation, controls and building management.
- Building Automation and Control System BACS.
- Building energy efficiency - is building automation the answer?
- Building energy management systems (BEMS) for data centres.
- Building energy simulation software.
- Building management systems.
- Commercial building automation market.
Featured articles and news
We're expanding our collaborative mission by launching DB Intelligence, an exclusive market research advisory panel. Built environment professionals can now get paid to share their expertise on industry trends, products and services.
Panel members receive direct financial incentives for participating in research projects like short surveys, 1-2-1 interviews and focus groups. Register today to shape the future of the construction sector.
Planning condition discharge in England and Wales
A brief exoplanation from a building compliance expert, with further links.
Overheating guidance and tools for building designers
Guidance for dealing with element of building fabric control that have increasing importance.
Shading for housing, a design guide
From the Good Homes Alliance and British Blind and Shutter Association.
UK Standard Skills Classification (SSC)
A shared framework for describing skills needs.
Social media ban consultation comes to close
CIOB urges UK Government to consider social media’s role in careers guidance in ban debate.
The latest of eight Skills England apprenticeship units
The addition of battery manufacturing welcomed by ECA with a warning about the risks of fast-tracked apprenticeship units.
Building Control Independent Panel final report
A precis of a key report led by Dame Hackitt with full recommendations and link to the government response.
Guide to ISO 19650 for Architecture Firms (2026)
A user gives their low down.
A UK training and membership provider for mould remediation professionals.
Building Safety recap April, 2026
A short and longer run-through of the month, with links to further information and sources.
CIAT May 2026 briefing.
Independent NSI and BAFE study exploring how organisations are changing the way they buy fire safety services.
From medieval scribes to modern word art.
ECA welcomes crackdown on late payment and push for clean energy, whilst CIOB seek fixed cladding removal timeframes.
Cyber Security in the Built Environment
Protecting projects, data, and digital assets: A CIOB Academy TIS.
Managing competence in the built environment
ITFG publishes new industry guide on how to meet the ICC principles.
The UK's campaign to reduce noise pollution: Mythbusting, articles and topic guides.























