Home Energy Management Systems (HEMS): Efficient solutions for your home

Home Energy Management Systems (HEMS) are becoming increasingly popular as a decentralized operating system in buildings. The climate targets can no longer be achieved without the consistent promotion of technological innovations in real estate and the necessary framework conditions. The legislator has recognized this and has now created the first important foundations.

This blog article presents the Home Energy Management System concept as well as the services of ROCKETHOME and shows the influence of two important legislative initiatives (EEG 23 and smart meter rollout) on the new building infrastructure of the coming years.

A HEMS system as a decentralized operating system in real estate

A home energy management system plays a crucial role in the modern energy management of buildings. As a decentralized operating system, they network all energy components within a house or property in order to optimize energy consumption and reduce costs. By integrating renewable energies such as photovoltaic systems, electricity storage systems and heat pumps, a home energy management system (HEMS) enables seamless interaction between the generation, storage and use of energy.

As a leading provider of home energy management systems (HEMS) solutions for single and multi-family homes and districts, we see enormous potential in the current legislative initiatives. Our main objective in recent years has always been to network renewable energies such as those from a photovoltaic system (PV system) in such a way as to achieve optimum interaction between electricity generators, electricity storage systems, consumers and smart devices in the building.

By integrating energy management as a central component in HEMS and supported by the latest legislation, the efficient use of energy in households is made possible. These technological innovations promote the use of PV electricity and PV self-consumption by optimizing energy flows in the home. In the interaction of these HEMS systems with owners, residents and managers, we can offer a variety of new business models.

The importance of HEMS in buildings

A Home Energy Management System (HEMS) connects and optimizes the energy flows within a household through an intelligent energy management system. It integrates components such as the photovoltaic system (PV system), solar energy storage, wallbox for electric cars and heat pump. The energy management system plays a crucial role in maximizing self-consumption of solar power by coordinating the use of solar power for tasks such as charging electric cars and reducing dependence on the power grid.

By efficiently managing self-generated PV electricity, households can reduce their electricity costs and achieve environmental benefits at the same time. A HEMS system ensures that the energy flows in the home are optimally controlled, leading to greater self-sufficiency and more independence from external energy suppliers. In addition, the home energy management system enables the integration of smart home technologies, which further increases overall efficiency.

These components in the building are connected by a HEMS:

• Photovoltaic system & storage: Integration of PV systems and solar energy storage systems to maximize energy generation and storage.
• Charging infrastructure: Wallboxes and charging stations for electric cars that are seamlessly integrated into the energy management system.
• Heat pump & room thermostats: Efficient control of heating and air conditioning with smart heat pumps and room thermostats.
• Hot water storage tank/heating elements: Optimized use of hot water storage tanks and heating elements for hot water preparation.
• Shading and climate control: Intelligent control of shading and climate control systems to improve energy efficiency.
• Heating systems in the living environment: networking thermostats and underfloor heating systems for optimum heat distribution in the home.
• Smart home and intelligent household appliances: Integration of smart household appliances that help increase efficiency.

The whole system is networked with dynamic tariffs that are variable in terms of time or load in order to adapt energy consumption to variable electricity tariffs and thus reduce costs. In addition, value-added offers from service providers provide additional services and offers that further increase the benefits of the HEMS.

Comprehensive support with the installation, maintenance and financing of the home energy management system ensures that the system works efficiently and smoothly, optimizing energy flows in the home and further reducing electricity costs.

The most important advantages of the Home Energy Management System at a glance:

A HEMS offers a number of advantages that are both economically and ecologically significant:

✓ Energy cost savings, climate protection and more autonomy: A HEMS significantly reduces electricity costs by optimizing energy flows in the household. Through the efficient use of renewable energies, the system actively contributes to climate protection and increases independence from external energy suppliers by increasing self-consumption.

✓ Maximum transparency and automated control: A HEMS offers maximum transparency regarding power generation and consumption, including the efficient distribution of self-generated PV power. Consumers are automatically controlled depending on the available or self-generated electricity, which includes the management of PV surplus for optimal household use.

✓ Incentive-based control and maximization of PV self-consumption: Dynamic energy tariffs enable incentive-based control of the overall system. Intelligent management of PV power distribution to various household appliances maximizes PV self-consumption.

✓ Grid reliability and a new energy experience: A HEMS system creates a new energy experience by revolutionizing the use of electricity and energy in the home. The connection to the smart meter infrastructure improves grid efficiency.

These advantages make a home energy management system a worthwhile investment for private households and companies that want to both reduce their energy costs and contribute to climate protection.

ROCKETHOME's services at a glance

ROCKETHOME offers comprehensive solutions in the field of home energy management systems. Our Climate IoT Cloud and applications enable the integration of all energy modules for different target groups:

• Climate IoT Cloud as a sophisticated integration and solutions platform. A HEMS plays a crucial role by intelligently connecting components such as photovoltaic systems, storage systems and large electricity consumers.
• Applications with all energy modules for different target groups (services alternatively available as API)
• HEMS gateway in different versions (from several manufacturers), including HEMS for optimizing the use of self-generated solar energy.
• Connectivity expertise for integrating the required hardware in the building (Connect program)
• Property management software for managing all properties and HEMS systems
• APIs and interfaces for E2E process integration (e.g. support, service, maintenance)

We also offer consulting and development services to develop customized solutions for your specific needs. With ROCKETHOME, you invest in a future-proof energy management system that reduces your energy costs and maximizes the energy efficiency of your home or property.

New legislative initiatives to promote a home energy management system

In recent years, politicians have passed a number of new legislative initiatives to promote climate protection and renewable energies. These measures aim to facilitate the integration of renewable energies, increase energy efficiency in private households and companies and reduce dependence on fossil fuels.

Through incentives and regulatory support, these laws create ideal conditions for the introduction and optimization of HEMS, leading to cost savings, greater self-sufficiency and sustainable energy use.

EEG makes self-generated electricity from PV systems a key technology

The Renewable Energy Act (EEG) is the biggest energy policy amendment in decades and lays the foundations for Germany to achieve its climate targets.

The new version of the EEG has the ambition to accelerate the expansion of renewable energies. It sets high targets for this - as 80% of electricity in Germany is to come from renewable energies by 2030. A significant part of EEG 23 focuses on the expansion of photovoltaics across the board.

In this context, the EEG 23 focuses on incentives for investments that are intended to simplify and improve the expansion of PV systems:

• Introduction of full and partial feed-in: It is now possible to both feed in electricity and use it yourself.
• Reduced bureaucracy requirements: As of January 1, 2023, there will no longer be any restrictions on how much of a photovoltaic system's output can be fed into the public grid.
• Photovoltaic systems as an investment: depending on the size and self-consumption, the system is paid off after around 15 years and then continues to supply cheap electricity for at least 10-15 years. This leads to a long-term profit, increases the independence of the electricity grid and reduces CO₂ emissions at the same time.
• Simply save taxes: Photovoltaic systems with an output of up to 30 kWp are exempt from income and trade tax.

Smart meter rollout

Another legislative package was passed by the Federal Cabinet at the beginning of February 2023 (source: Handelsblatt v. 6.2.23). The "Act to Restart the Digitization of the Energy Transition" primarily provides for intelligent electricity meters, so-called "smart meters", to be installed in many households. And this is how the smart meter rollout works:

• Mandatory for high consumption: The law is to stipulate that by 2030 all consumers who use more than 6,000 kilowatt hours of electricity per year must have a smart meter. To put this in perspective, the average four-person household has a consumer of 3,500 kilowatt hours.
• Low-cost devices: Consumers who use less than 6,000 kilowatt hours can apply for the installation of a digital device and must then be supplied with a smart meter within four months. The price for using the devices is capped at 20 euros per year. This makes it no more expensive than a conventional electricity meter.
• New electricity tariffs: Starting in 2025, the bill would require all electricity suppliers to offer dynamic tariffs to allow consumers to shift electricity purchases to lower-cost periods when renewable energy feeds into the grid are high.
• Fewer bureaucratic hurdles: Previously, for example, a device could only be approved for use by the Federal Office for Information Security (BSI) if it had all the minimum functionalities required by law at that time, including complex functions such as the remote control of systems and consumer devices. However, a gradual market launch with subsequent application updates was not previously planned. This is now changing, as the law allows an "agile rollout": functions may be introduced gradually via updates in a time-limited phase.

Conclusion: The future of energy management in the smart home

The future of energy management lies in the use of home energy management systems (HEMS). These systems enable the efficient use of energy, reduce costs and increase independence from external energy suppliers.

By integrating photovoltaic systems, heat pumps and smart household appliances, HEMS create a sustainable and cost-efficient energy environment in your home. Let's shape the new energy world of tomorrow together.

Are you interested in a HEMS solution? Our experts at ROCKETHOME will help you with your home energy management system project. Make an appointment with us now and invest in the future of your energy supply.

Make an appointment with us now.

Frequently asked questions (FAQ)

What is a home energy management system?

A Home Energy Management System (HEMS) optimizes the energy flows in a household by integrating and controlling various energy generation and consumption components such as PV systems, heat pumps and battery storage. The aim is to maximize self-consumption of self-generated electricity and reduce electricity costs.

How does a HEMS help with the use of PV systems?

A HEMS efficiently manages the energy production of PV systems by optimally distributing the solar power generated to various consumers in the home. This includes storing the surplus electricity in battery storage units and using it for household appliances, electric cars and water heating to increase independence from the grid.

What are the advantages of a HEMS for households?

A HEMS offers numerous benefits, including reduced electricity costs, increased self-sufficiency and independence from energy suppliers. The intelligent control of electricity consumers such as washing machines, heating systems and charging stations for electric cars increases energy efficiency and maximizes self-consumption of solar power.

Can a HEMS system contribute to reducing emissions?

Yes, a HEMS helps households reduce their emissions by promoting the use of renewable energy such as solar power. By efficiently managing energy production and use, the need for fossil fuels is minimized, which helps to reduce CO₂ emissions.