Dive Brief:
- Zurich-based electrification and automation company ABB has acquired Lumin, a provider of residential energy management systems in the United States, the companies announced Tuesday. Financial terms were not disclosed.
- The deal expands ABB’s U.S. residential offerings at a critical time, the company said. Approximately 48 million existing homes in the country require electrification upgrades, and that figure “increases significantly when including new construction and other North American markets,” ABB said.
- Electricity currently makes up 44% of U.S. residential energy consumption, but this share is expected to grow by 14% to 22% between 2022 and 2050, creating a “strong opportunity” for the newly-acquired resources, ABB said.
Dive Insight:
“By acquiring Lumin, we gain not only an advanced product portfolio but also access to key partnerships within residential-renewable-focused organizations — an essential move in driving future innovations for smart homes and communities across the region,” Mike Mustapha, president of ABB Electrification’s Smart Buildings Division, said in a statement.
In December, Lumin revealed a new all-in-one home energy management and electrification system designed to dynamically manage loads.
“We’re fully aligned with ABB’s mission to drive innovation, sustainability, and smarter energy solutions,” Lumin President Alex Bazhinov said. “As part of ABB, we’ll help empower homeowners to reduce energy waste, integrate renewable energy sources, and create more sustainable, efficient communities.”
After nearly two decades of stagnant electricity demand growth in the United States, electrification of building systems and transportation, data centers and manufacturing are driving the need for additional generation and load management systems. U.S. electricity demand could rise 128 GW over the next five years, Grid Strategies estimated in December.
Lumin’s platform “allows for the seamless integration of any brand of load centers, battery systems and generators,” the companies said in the deal announcement. “It also provides deep insights into behind-the-meter consumption and dynamically manages energy loads — such as electric vehicle chargers, hot tubs and heat pumps — paving the way for more efficient and sustainable communities.”
