How Smart Homes Could Benefit from Energy Management Systems
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.
Latest from NAHBNow
Mar 13, 2026
NAHB Commends President Trump’s Executive Orders on HousingNAHB Chairman Bill Owens issued the following statement after President Trump announced today’s executive orders on housing.
Mar 13, 2026
New Training Center Strengthens Florida HBA’s 50-Year Apprenticeship ProgramSince 1973, the Northeast Florida Builders Association’s Apprenticeship Program has trained more than 2,500 skilled trades professionals for careers in residential construction.
Latest Economic News
Mar 12, 2026
Single-Family Starts Remain Soft in January on Affordability ConcernsElevated construction costs and constrained affordability conditions led to a reduction in single-family housing starts in January.
Mar 11, 2026
Inflation Steady Before WarAfter months of downward trend, inflation held steady at an eight-month low in February. This report does not reflect the recent surge in oil prices due to Iran conflict beginning February 28. Higher oil prices will likely translate into higher gasoline costs and impact other sectors associated with transportation including airline tickets.
Mar 11, 2026
Single-Family Permits End 2025 on a Soft NoteSingle-family permitting softened over the course of 2025 and finished the year weaker than the prior year. After showing some resilience in 2024, permitting activity gradually lost momentum as elevated mortgage rates and ongoing affordability constraints weighed on buyer demand.