SMART HOME ENERGY OPTIMIZATION USING AI

Research Article • Article ID: IJREK-2026-00139

Authors & Institutional Affiliations
Taware SrushtiCorresponding Author
Dattakala Group of Institutions, Faculty of Engineering, Pune, Maharashtra, India
srushtitaware104@gmail.com
Guide / Supervisor:Ms. Hole S.S.

Abstract

Residential electricity consumption varies with occupancy, weather, appliance use, and household routines. Conventional energy monitoring often provides limited visibility into which devices consume the most electricity and when demand is highest. This paper proposes an AI-assisted smart home energy optimization framework that combines smart-meter or appliance-level measurements, Internet of Things (IoT) communication, consumption analytics, and automated control recommendations. The system collects time-stamped energy data, validates readings, forecasts short-term demand, and identifies opportunities to shift flexible loads or reduce unnecessary consumption. A rule-based controller provides a transparent baseline, while machine-learning models may be evaluated when sufficient historical data are available. The design includes a dashboard for energy trends, estimated costs, alerts, and user-approved automation. Privacy, device security, reliability, and manual override are treated as core requirements. An evaluation plan is presented using prediction error, energy-use comparisons, peak-demand measures, and system reliability. This paper describes a proposed design and does not claim measured energy savings or field-tested model accuracy.

Keywords

Smart homeenergy optimizationartificial intelligenceInternet of Thingsenergy forecastingsmart appliancesdemand managementautomation

I. INTRODUCTION

Electricity is used across lighting, heating and cooling, kitchen appliances, entertainment systems, and home office equipment. Consumption changes throughout the day and can be affected by weather, occupancy, appliance efficiency, and user behaviour. Without clear feedback, residents may find it difficult to identify avoidable consumption or understand how their daily routines affect electricity costs. Smart meters, connected plugs, sensors, and home automation platforms can provide more detailed information about energy use. Artificial intelligence can help analyse this information, estimate future demand, detect unusual consumption patterns, and recommend actions. However, optimization should not compromise comfort, safety, or residents’ control over household devices. A. Problem Statement Many households have limited visibility into appliance-level energy use and lack simple tools to translate consumption readings into practical decisions. Fixed schedules may not adapt to changing routines, while unvalidated predictions can lead to ineffective or inconvenient control actions. The problem addressed in this paper is the design of an intelligent, privacy-aware system that monitors household energy use and supports responsible optimization. B. Aim and Objectives The objectives are to collect and validate energy measurements; summarize consumption by time and appliance where supported; forecast short-term demand; identify unusual usage and potential savings opportunities; recommend or automate selected low-risk actions; and evaluate the system using transparent energy and reliability metrics. C. Scope and Contribution The proposed framework is intended for a student-scale smart home prototype. It can use smart-meter data or compatible smart plugs and sensors, a backend service, a database, an AI analytics module, and a dashboard. The design focuses on monitoring, forecasting, and optional control of flexible loads. It does not assume access to every appliance or claim guaranteed reductions in electricity bills.

II. LITERATURE REVIEW AND RELATED WORK

Table 1. Related approaches and their design implications.
Research areaPotential benefitDesign consideration
Smart meteringProvides time-stamped energy observationsCheck gaps, units, and device status
AI forecastingEstimates near-term demandCompare with simple baselines
Demand responseShifts flexible loads when appropriatePreserve comfort and user control
Home automationApplies selected rules to devicesUse permissions and manual override

III. PROPOSED SYSTEM AND METHODOLOGY

A. System Architecture The system contains five logical layers: measurement, local gateway, secure communication, analytics and storage, and user interface/control. Smart meters or compatible energy-monitoring devices provide consumption readings. A gateway timestamps and validates data, then sends records through an authenticated channel. The backend stores observations and calculates summaries. An AI service may estimate near-term demand, while a policy module decides whether to present a recommendation or request approval for a control action. Energy sensors Meter / plugs Home gateway Validate data Secure API Send readings AI + storage Forecast use Dashboard Alerts / control Cross-cutting controls: privacy

  • permissions
  • manual override
Table 2. Main system components.
ComponentPurposeDesign consideration
Smart meter / plugMeasures household or appliance energy useUse compatible devices and documented units
IoT gatewayCollects readings and manages connectivityBuffer data during temporary network loss
Backend and databaseValidates and stores time-series recordsAuthenticate devices and restrict access
AI analyticsForecasts demand and flags unusual patternsTrack model versions and prediction uncertainty
Dashboard / controllerShows trends and manages approved actionsProvide manual override and clear alerts

IV. ALGORITHM AND SYSTEM WORKFLOW

TABLE III
StepOperation
1Acquire energy readings and attach timestamp and device identifier.
2Validate units, measurement range, device status, and missing fields.
3Store raw readings and mark invalid or stale records.
4Calculate interval, daily, and monthly consumption summaries.
5Run a validated demand forecast when a suitable model is available.
6Compare usage with user-defined rules and flexible-load constraints.
7Display trends and alerts; request approval where required.

Fig. 2. Energy data processing and control workflow. C. Safe Control Logic The controller should distinguish recommendations from actions that change appliance states. Low-risk actions may follow user-configured schedules, while consequential or unfamiliar actions should request confirmation. Essential devices and safety-critical equipment should not be switched off solely on the basis of a forecast. A manual override must remain available, and the system should record the reason for each automated action.

V. IMPLEMENTATION PLAN

Table 4. Suggested implementation stack.
LayerCandidate technologyPurpose
MeasurementSmart meter or compatible smart plugsCollect power / energy readings
GatewayESP32 or local home hub where suitableBuffer, timestamp, and transmit data
BackendPython API or Node.js serviceValidation, rules, and data access
StoragePostgreSQL or time-series databaseStore readings and model metadata
AI analyticsPython and scikit-learn; time-series model if justifiedForecast demand and detect anomalies
DashboardWeb interface with charts and controlsShow trends, alerts, and user choices

VI. EVALUATION PLAN AND DISCUSSION

Table 5. Proposed evaluation metrics.
MetricMeasurementPurpose
Mean Absolute Error (MAE)Average absolute difference between forecast and observed useMeasures forecast error
Energy consumptionkWh over comparable periodsCompares usage against baseline
Peak demandMaximum demand in a defined intervalAssesses peak-load changes
Data completenessValid readings divided by expected readingsMeasures continuity
Override rateUser overrides divided by automated actionsHelps assess acceptability

VII. LIMITATIONS, ETHICS, AND FUTURE SCOPE

A. Limitations Household data may be incomplete, and some meters provide only whole-home readings rather than appliance-level information. Forecasts may perform poorly when routines or weather change. Device compatibility, network failures, installation costs, and local electricity tariffs can affect usefulness. Savings cannot be assumed without measurements over comparable conditions. B. Responsible Use and Privacy Energy patterns can reveal occupancy and household routines. The system should minimize collected data, explain what is monitored, restrict access, and avoid sharing detailed records without consent. Automated control must preserve safety, essential services, and user choice. Recommendations should communicate uncertainty and should not imply guaranteed cost savings. C. Future Scope Future work may include renewable-energy and battery coordination, tariff-aware scheduling, occupancy-aware control with privacy protections, multi-room monitoring, explainable forecasts, and local edge inference. A larger study could compare different model types and test whether recommendations reduce consumption without lowering comfort or increasing device wear.

VIII. CONCLUSION

This paper proposes an AI-assisted smart home energy optimization framework integrating energy sensing, secure data collection, consumption analytics, forecasting, and optional appliance control. The design emphasizes validated readings, comparison with simple baselines, privacy-aware data management, and user approval for consequential actions. It provides an architecture, processing workflow, implementation plan, and evaluation metrics suitable for a student prototype. Future implementation should test prediction quality, reliability, safety, usability, and energy outcomes before making claims about savings.

IX. REFERENCES

[1] International Energy Agency, “Energy Efficiency.” Available: https://www.iea.org/topics/energy-efficiency [2] U.S. Department of Energy, “Smart Home Energy Management Systems.” Available: https://www.energy.gov/ [3] National Institute of Standards and Technology, Framework for Improving Critical Infrastructure Cybersecurity, Version 2.0, 2024. Available: https://www.nist.gov/cyberframework [4] National Institute of Standards and Technology, Artificial Intelligence Risk Management Framework (AI RMF 1.0), NIST AI 100-1, 2023. Available: https://doi.org/10.6028/NIST.AI.100-1 [5] OWASP Foundation, “Internet of Things (IoT) Security Guidance.” Available: https://owasp.org/www-project-internet-of-things/ [6] International Organization for Standardization, “ISO 50001 — Energy management systems.” Available: https://www.iso.org/iso-50001-energy-management.html

How to Cite this Contribution

APA Standard

Taware Srushti et al. (2026). SMART HOME ENERGY OPTIMIZATION USING AI. International Journal of Research, Exploration & Knowledge (IJREK), 1(1).

Publication Metadata
Journal:IJREK
Published Date:October 23, 2026
Volume / Issue:Volume 1, Issue 1
Article ID:IJREK-2026-00139
Research Area:Artificial Intelligence
Open Access License

Distributed under Creative Commons Attribution 4.0 International (CC BY 4.0).