Building-to-Grid Technology Market - Size, Share, Industry Trends, and Forecasts (2025-2032)

By Technology Type:

Based on technology type, the market is categorized as demand response (DR), energy storage systems (ESS), smart meters & sensors, distributed energy resources, building energy management systems, and others.

Trends in Technology Type:

• Buildings are using smart building energy management systems for real time energy monitoring and energy optimization.
• The rise in the trend for energy solutions such as solar panels require advanced energy storage systems.

The building energy management systems segment accounted for the largest market share in 2024.

• The building energy management systems are dominating the building-to-grid technology market trends.
• These devices control and manage building’s consumption of energy.
• They enhance the working of systems present in buildings such as HVAC, lighting, and appliances.
• In building-to-grid solutions they act as the interface between the building's internal energy consumption and external grid signals.
• This allows for automated response to grid requirements.
• Automated management systems are introduced to manage energy consumption and operational effectiveness.
• For instance, in January 2024, Honeywell introduced an automated building management platform. The platform consists of energy management systems to support energy efficiency and improve operational efficiency.
• Thus, development and use of building management systems is influencing the segment trends.

The energy storage systems (ESS) segment is expected to grow at the fastest CAGR over the forecast period.

• The energy storage systems are expected to grow at the fastest CAGR in the coming years.
• ESS allows buildings to store excess energy generated from on-site renewable resources.
• This stored energy is discharged during peak requirement periods. It reduces the reliance on the grid and lowers energy costs for building owners.
• ESS improves the stability of grids by providing additional services, such as frequency regulation and voltage support.
• They help balance supply and requirement on the grid.
• Advancements in battery technology, mainly lithium-ion batteries, have led to increased energy density, longer lifespans, and reduced costs.
• Thus, based on the market analysis, these factors are influencing the development of the segment in the coming years.

By Component:

Based on components, the market is categorized into hardware, software, and services

Trends in Components

• The rise in the use of cloud-based platforms allows for remote monitoring and predictive analysis of energy.

The software segment accounted for the largest market share in the year 2024 and is expected to grow at the fastest CAGR over the forecast period.

• The software component improves the management of energy, grid interaction and building automation.
• B2G software solutions consists of a range of functionalities. They include energy management in buildings for communication and coordination with the grid.
• Building energy management systems use software to monitor and control building systems like HVAC, lighting, and appliances.
• B2G software platforms allows communication between buildings and the grid, transmitting data on energy consumption and generation from distributed energy resources such as solar panels.
• The software is incorporating Ai-driven analytics, real time energy optimization, and cloud-based platforms.
• They are known to enhance the resilience of the grid.
• For instance, GE Vernova in February 2024, introduced GridBeats. It is a software that is used for grid digitalization and enhances the grid resilience.
• Thus, as per the market analysis, these factors are influencing segment growth currently and in the coming years.

By Application:

Based on applications, the market is categorized into commercial buildings, residential buildings, and industrial facilities.

Trends in the Application:

• Buildings are using integrated biophilic design, enhanced ventilation, and air purification to promote the well-being of individuals.
• Rise in trend for advanced security systems to improve the energy efficiency of commercial buildings.

The commercial building segment accounted for the largest building-to-grid technology market share of 47.89% in the year 2024.

• Commercial buildings generally consist of shopping malls, hotels, hospitals, office spaces and others.
• These spaces consume a high amount of energy. This leads to the adoption of B2G solutions for management of energy and cost reduction.
• Many commercial buildings incorporate demand response programs. This allows them to adjust the use of energy on the basis of real time grid conditions and reduce the peak loads.
• Large commercial spaces incorporate solar PV systems and battery storage which enhances their interaction with the grid.
• Advanced technologies are being incorporated in commercial buildings to improve the grid-interactive capabilities.
• For instance, In August 2024, Infogrid introduced IOT’s adaptive buildings technology for commercial building. It consists of grid-interactive capabilities that enhance the AI driven product building energy efficiency and decarbonization.
• Thus, based on the market analysis, these factors are influencing the building-to-Grid technology market.

The industrial facilities segment is expected to grow at the fastest CAGR over the forecast period.

• These industrial facilities are large consumers of energy. They use leverage B2G systems to optimize their energy usage and contribute to grid stability.
• B2G technology enables facilities to monitor real-time energy prices and adjust their consumption, accordingly, taking advantage of off-peak rates and reducing peak demand charges.
• They optimize energy use within the facility by analyzing data from various sources, such as production schedules, equipment performance, and environmental conditions.
• This leads to significant energy savings and reduces operational costs.
• These systems make it easier for industrial facilities to incorporate renewable energy sources, such as solar panels or wind turbines, into their energy mix.
• Thus, these factors are influencing the development of the segment in the coming years.