Abstract—This paper reviewed different optimization methods suitable for optimizing building’ energy systems and controls for energy and environment policy. It discusses the complexity of optimization in future smart grids and it includes a proposed hybrid method and comparisons for performance with individual methods. The multi period hybrid optimization method has been applied simultaneous for configuration, size and controls. Optimization can aid the design of these systems to meet objectives efficiently and at low cost. The uncertainty in the supply due to the integration of variable renewable will require intelligent control with possible ways for shifting demand. It has been shown that optimization should be done across all systems and stock and simultaneous for configuration, size and controls