This paper presents a space vector modulation (SVM) based Direct Torque Control strategy (DTC) for induction motor (IM) in order to overcome the drawbacks of the classical DTC. SVM can reduce the high torque and flux ripples by preserving a fixed switching frequency. This technique is known by the closed loop torque SVM-DTC. Moreover, the control scheme performance is improved by inserting a second order sliding mode super twisting controller in the outer loop for speed regulation. This nonlinear technique ensures a good dynamic and high robustness against external disturbance. Furthermore, the IM energy optimization is treated in the second objective of this paper. A proposed model based loss minimization strategy is presented for efficiency optimization. This strategy chooses an optimal flux magnitude for each applied load torque. The proposed optimized SVM-DTC algorithm will be investigated by simulation and real time implementation using Matlab/ Simulink with real time interface based on dSpace 1104 signal card. (C) 2017 Hydrogen Energy Publications LLC. Published by Elsevier Ltd. All rights reserved.