Energy recovery ventilators (ERVs) transfer energy between the air exhausted from building and the outdoor supply air to reduce the energy consumption associated with the conditioning of ventilation air. In this paper, the applicability of ERVs with sensible and latent effectiveness values in a practical range is studied using TRNSYS simulation program. The impact of ERV on annual cooling and heating energy consumption is investigated by modeling a 10-storey office building in four American cities as representatives of major climatic conditions. The results show that heat and moisture recovery can lead to a significant reduction in the annual heating energy consumption (i.e., up to 40%, which is 5% higher than heat recovery). Also, an ERV with the capability of moisture recovery may reduce the annual cooling energy consumption by 20% provided the ERV is properly controlled. Since the un-controlled operation of ERVs during the summer may increase the cooling energy consumption, an optimum control strategy is developed and verified in the paper. This optimum control strategy depends on ERV's latent to sensible effectiveness ratio. For instance, an ERV with equal sensible and latent effectiveness should be operated when either the outdoor enthalpy or temperature is greater than that of the indoor air. (C) 2010 Elsevier B.V. All rights reserved.