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Optimization of energy use is a vital concept in providing solutions to many of the energy challenges in our world today. Large chemical, mechanical, pneumatic, hydraulic, and electrical systems require energy efficiency as one of the important aspects of operating systems. At the micro-scale, the built environment experiences progressive changes in energy consumption. There is steady increase in the annual energy consumption of households as a result of population growth, increase of economic activity and increased use of domestic appliances. The drive to reduce this growing trend has stimulated many mechanisms such as the use of energy labels on domestic appliances. Home appliance manufacturers research into developing energy-efficient products with the end-goal of making consumer devices more energy efficient. One important step towards energy efficiency and savings in the built environment is the introduction of Smart Home Energy Management Systems. (SHEMS). This paper analyses how the implementation of such solutions could contribute to energy savings and enhance efficiency for residential customers. The paper presents a general overview of energy efficiency measures focusing on residential loads. It further highlights, via modelling and simulation the potentials of Smart Home Energy Management Solutions for future domestic applications.