HEM works by assessing how much energy a dwelling will consume, when delivering a defined level of comfort and service provision. The assessment is based on standardised assumptions for occupancy and behaviour. This enables a like-for-like comparison of dwelling performance. Related factors, such as fuel costs and emissions of carbon dioxide (CO2), can be determined from the assessment.
HEM quantifies a dwelling’s performance in terms of: energy use per unit floor area, a fuel-cost-based energy efficiency rating (the HEM Rating) and emissions of CO2 (the Environmental Impact Rating). These indicators of performance are based on estimates of annual energy consumption for the provision of space heating, domestic hot water, lighting and ventilation. Other HEM outputs include estimate of appliance energy use, the potential for overheating in summer and the resultant cooling load.
The HEM rating is based on the energy costs associated with space heating, water heating, ventilation and lighting, less cost savings from energy generation technologies. It is adjusted for floor area so that it is essentially independent of dwelling size for a given built form. The HEM rating is expressed on a scale of 1 to 100, the higher the number the lower the running costs.