SAE Net Horspower In 1972, American manufacturers phased in SAE net horsepower. This is the standard on which current American ratings are based. This rating is measured at the flywheel, on an engine dyno, but the engine is tested with all accessories installed, including a full exhaust system, all pumps, the alternator, the starter, and emissions controls. Both SAE net and SAE gross horsepower test procedures are documented in Society of Automotive Engineers standard J1349. Because SAE net is so common, this is the standard we will use to compare all others.