Utility submeter

In addition to the "main load" meter used by utilities to determine overall building consumption, submetering utilizes individual "submeters" that allow building and facility managers to have visibility into the energy use and performance of their equipment, creating opportunities for energy and capital expenditure savings.

[1] Typical users of submetering are mobile home parks, apartments, condominiums, townhouses, student housing, and commercial areas.

By billing only the owner, they can place liens on real property if not paid (as opposed to tenants they may not know exist or who have little to lose if they move without paying).

Without a meter to measure individual usage, there is less incentive to identify building inefficiencies, since the other tenants or landlord may pay all or part of those costs.

[2] Conservation also allows property owners to keep the cost of rent reasonable and fair for all units regardless of how much water or energy they consume.

[3][4][5][6] On the other hand, submetering provides an opportunity for building owners to shift their rising electricity costs to tenants who lack ownership or control over thermal efficiency of the structure, its insulation, windows, and major energy consuming appliances.

A submetering system typically includes a "master meter", which is owned by the utility supplying the water, electricity, or gas, with overall usage billed directly to the property owner.

[citation needed] Panel or circuit submeters are used to measure resource use of the same system for added security, economic, reliability, and behavioral benefits.

[citation needed] Although not technically submetering, an alternate method of utility cost allocation called RUBS (Ratio Utility Billing Systems) is sometimes used to allocate costs to tenants when true submetering is not practical or not possible due to plumbing or wiring constraints.

The master unit in turn transmits collated readings to the utility company, thereby saving both labour costs and inconvenience to both tenant and landlord.

However, submetering really did not take a hold in the property management world until the late 1980s, with the ever increasing costs associated with utilities and a society more aware of environmental conservation.