How Smart Homes Could Benefit from Energy Management Systems

Sustainability and Green Building
Published

As smart technology and connected devices increase in demand, so does the importance of managing their energy use and software. The new ENERGY STAR Smart Home Energy Management Systems (SHEMS) Program establishes standards in this arena. For instance, many home buyers want security cameras, video doorbells and programmable thermostats for security and an increased sense of control. These features can increase the energy load in the home, so the Environmental Protection Agency (EPA) developed a standard for the energy management of all these systems.

Falling under the robust ENERGY STAR brand, SHEMS is a package of other ENERGY STAR-certified devices and services.

The goal of the program is to ensure that devices are running efficiently and only when needed. In other words, it’s a smart-home service platform and a combination of smart-home devices that connect and subsequently:

  • Sense occupancy in the home;
  • Schedule and automate energy based on occupancy;
  • Report that energy to users; and
  • Control devices based on time-of-use electric rates.

To be considered a package, devices must include at least one ENERGY STAR-certified smart thermostat, at least two connected lighting devices (such as an ENERGY STAR bulb or fixture), and one plug load control/management device (home energy monitor, smart plug, etc.). To optimize control of other devices, encouraged (but optional) technologies include refrigerators, clothes washers and dryers, pool pumps, air conditioners and other ENERGY STAR-certified devices.

Version 1 of the SHEMS specification was finalized in fall 2019; performance metrics and the first certified SHEMS packages are expected to be rolled out later in 2020. SHEMS becomes an ENERGY STAR-certified product when many devices are bundled and combined with various services that monitor and control energy use in the home, communicate with the cloud, and interact with the grid.

A program like this could be vital for saving consumers money through smart energy management, particularly as residents become more educated about ongoing home maintenance costs, the total cost of homeownership, and have the desire to keep utility bills low. To learn more about becoming a partner and to view webinars based on your company’s services, visit ENERGY STAR's website.

For more information about NAHB’s sustainable and green building programs, visit nahb.org. To stay current on the high-performance residential building sector, follow NAHB’s Sustainability and Green Building team on Twitter.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Membership

Mar 10, 2026

NAHB Announces 7 Fall Recruitment Competition Winners

For their efforts, top Builder winners earned LG laundry machines, and Associate winners and all runners-up earned International Builders’ Show (IBS) VIP ticket packages, including registration to the show, IBS House Party tickets, opening ceremony seat reservations and VIP Closing Concert tickets.

Building Systems Councils

Mar 09, 2026

Laura Dwyer Wins SA Walters Lifetime Achievement Award for Systems Built Housing

The NAHB Building Systems Councils has awarded the S.A. Walters Award for Lifetime Achievement in Systems Built Housing to Laura Dwyer, recognizing her decades of leadership, innovation, and service to the homebuilding industry.

View all

Latest Economic News

Economics

Mar 10, 2026

AD&C Loan Volume Falls Despite Declining Financing Costs

Single-family construction lending fell in the fourth quarter, according to data released by the Federal Deposit Insurance Corporation (FDIC).

Economics

Mar 09, 2026

Lower Mortgage Rates Boost Refinancing While Purchase Activity Slows

Mortgage application activity increased month-over-month as the 30-year fixed mortgage rates reached a three-year low.

Economics

Mar 06, 2026

U.S. Economy Loses 92,000 Jobs in February

The U.S. labor market weakened in February, as payroll employment declined and the unemployment rate rose to 4.4%. The cooling labor market could place the Federal Reserve in a challenging position as policymakers weigh slower job growth against inflation pressures from rising oil prices.