Market for Energy Efficient Homes will be Worth $84 Billion Annually by 2020

According to a new report by Pike Research the market for energy efficient homes will reach an annual value of $84 billion by 2020, and have produced nearly 120 billion square feet of energy efficient residential space.

The rise in residential energy consumption, a growing demand on power infrastructures, and concerns over contribution to levels of greenhouse gas emissions, have increased interest in the construction of new energy efficient homes, and retrofits on existing buildings.

Due to energy efficiency and carbon mandates the EU is currently the largest market for energy efficient homes, and will continue to grow the most through to 2020, at a rate of 44 percent. North America promises the least growth, whereas the expanding economies in the Asia Pacific region are leading to higher levels of residential construction, and therefore it is predicted that there will be strong growth of energy efficient homes there as well.

Brittany Gibson, an analyst from Pike Research said that, “Pike Research defines energy-efficient homes as properties that are built to exceed the 2009 International Energy Conservation Code by at least 15 percent on a kilowatt-hour per square foot basis.”

“Achieving such energy savings, in new construction or in existing building stock, is a design problem complicated by factors such as local climate, availability of materials, funding and legislation. In order to achieve this level of energy savings, home builders and retrofitters must adopt a systems approach to home design and construction, integrating all aspects of home assembly and operation.”

By. Charles Kennedy of Oilprice.com