Although still nascent, the market for ZNEH is expected to be led by new construction in North America, according to Navigant Research. In fact, Navigant predicts total units in the region will grow from 750 in 2015 to nearly 27,000 in 2025.

Building codes are evolving to require increased residential energy efficiency; onsite generation is proving useful in tackling grid load; and the latest technologies are becoming more mainstream. Builders are increasingly embracing near-zero net energy (ZNE) and ZNE-ready homes as part of their efforts to offer enhanced efficiency options to meet higher standards and satisfy energy-conscious consumers.

California is leading the drive toward ZNEH worldwide with its goal of having 100 percent of newly constructed residential homes be ZNE beginning in 2020.

"ZNEHs are still quite rare, however, the market is poised for growth over the next decade, particularly in California, where a strong regulatory framework calls for all new homes to be zero net starting in 2020," said Neil Strother, principal research analyst with Navigant Research. "In addition, the market is expected to get a boost as builders incorporate the latest technologies to meet the increased energy efficiency standards, and to satisfy consumers seeking to significantly lower or eliminate their monthly energy bills and reduce their impact on the environment."

Outside of North America, the ZNE market is gaining momentum in Asia Pacific and Europe, where a 2010 European Union directive requests all new buildings be near-ZNE by the end of 2020.

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