Residential Energy Optimization: Profitability Analysis of Smart Home Energy Management Systems (SHEMS)

Abstract

This thesis evaluates the economic viability and energy performance of Smart Home Energy Management Systems (SHEMS) in residential contexts under evolving regulatory and pricing frameworks in Wallonia. The main objective is to assess the profitability of various system configurations (PV, battery) and the management of main residential loads (EV, heat pump) under static and dynamic electricity tariffs, with a focus on the transition to dynamic pricing expected in 2025.

The methodology follows a four-phase approach. First, traditional fixed and variable tariffs are used to establish a baseline for self-consumption-based installations. Then, a custom Energy Management System is simulated, integrating dynamic control based on day-ahead market prices, local consumption forecasts, and weather predictions. In a third phase, the participation of residential systems in grid services (e.g., FCR and imbalance response) is analyzed. Finally, commercial EMS platforms (ENIRIS, SIGENERGY) are tested and analyzed.

The results demonstrate that dynamic EMS strategies significantly improve profitability and energy autonomy, especially when integrated with batteries and flexible loads. Battery systems become more economically viable post-net metering, with shorter payback periods under optimized control. Grid service participation offers additional revenue potential but requires careful regulatory alignment. A user interface was developed to assist the commercial department in estimating the profitability of battery installations.

In conclusion, intelligent EMS represent a key component of the residential energy transition, enabling consumers to lower bills, decrease grid-dependence, and actively contribute to grid flexibility.