Swiss-based ABB is elevating its North American buildings energy efficiency commitment by making an investment in U.S.-based energy management solutions firm Lumin, the company announced Tuesday morning.
The latest investment in Lumin highlights ABB’s focus on electrification and decarbonization in the buildings sector, which consumes 40% of energy globally. The latest deal will focus on residential sector energy management.
Lumin and ABB Electrification’s Smart Buildings Division will develop a joint offering on accessible home energy management solutions. In the U.S., the residential sector accounts for 21% of energy consumption nationwide.
“Our focus is on meeting the growing demand for integrated, easy-to-use, flexible products and solutions to help customers effectively manage their energy usage and lower energy costs as fast as possible,” Mike Mustapha, president of ABB Electrification Smart Buildings Division, said in a statement. “This latest collaboration is a testament not just to our commitment to the North American residential sector, but to strengthening customer value through partnerships globally. The data gathered through this partnership will hone future product innovation as customer needs evolve.”
The $100 billion global energy management and efficiency markets are growing as home, commercial, and industrial customers seek cost and environmental benefits through lower consumption at their facilities. Since 2020, investments worldwide in efficiency technologies have increased by nearly 45%, according to the International Energy Agency.
ABB itself has invested close to $400 million from its capital venture arm since 2009 to accelerate its commitment to electrification, robotics, automation, and motion efforts. Earlier this year, the company acquired German smart homes technology provider Eve Systems.
The deal aligns with ABB’s focus on next-gen tools to cut energy use through devices that communicate seamlessly with each other and owners and operators. One of those is the Matter and Thread interoperational standard and wireless connectivity technology, in which Eve Systems is considered a leader.
Tech giants such as Google, Apple, and Amazon also are backing the Matter and Thread approach to interoperability. Improving global energy intensity is a priority in helping reach the Paris Agreement emissions goals, which are now in danger according to reports.
Home energy management can drive emissions and consumption down significantly, emissions advocates noted. Lumin produces smart panels and its Edge energy management system.
“Lumin is thrilled to partner with ABB, setting the stage for jointly developed, responsive energy management products,” Lumin CEO Kelly Warner said in a statement. “We’re redefining how homes interact with and contribute to the energy grid.”
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