A submeter is a device that measures the usage of a given utility or space in a single unit of a larger property. Meters can also be used to monitor individual devices to determine the cost of operation. This is a convenient tool for a landlord (residential or commercial) wishing to hold each tenant accountable for their portion of usage. The way these gadgets work is fairly simple, and they can give you control over your bills as the owner of a property with multiple tenants/devices.
How it Works
A submeter is generally used in cases in which the utility company, itself, does not measure individual units utility usage. In a submetering system, there is usually a master meter; this meter belongs to the utility company and measures the overall usage of the building, office park, or trailer park, for example. A private meter, or submeter, is then placed by the landlord to measure the individual usage of each tenant or appliance. This meter is read by the landlord to generate bills to individual tenants according to the readings. In some cases, the landlord may hire a third party to read the meters and bill tenants to ensure honesty and reliability. It is important to note that the utility company does not receive the submeter data.
In addition, individual devices like a water heater, hot tub or clothes dryer can also be submetered to determine how much power the device requires and, from that, the cost to operate can be determined. Wouldnt it be great to know how much electricity an old appliance is using? An educated decision could then be made about whether the purchase of a replacement appliance would save money in the long run by reducing energy costs.
Technology Makes the Process Easier
Until recently, submeter use was a high maintenance and time consuming process. The landlord or a third party would have to physically go to each meter, read it, and make note of the data at regular, set intervals. It was time consuming and the potential for mistakes in accounting was significant. Today, however, there have been several technological advances that make the entire process not only easier and less time consuming, but more accurate as well. This equates to an overall time and cost savings. In addition, the depth and variety of data that can be collected has increased. This benefit is amplified by the streamlined simplicity of the submeters available today.
Procedural Options
AMR, or Automatic Meter Reading, is a fairly new technological breakthrough in the use of the submeter. Data from a variety of metering systems can be read by user-friendly software that meters usage at specified intervals for pre-determined circuits. The data can then be used to generate statements with specific tenant and/or device usage. The software is designed to generate invoices from the readings, which can be printed out or delivered electronically. This is a great system because it saves time and money, and the tenants can be assured that they are being billed for exactly the amount of energy they consumed.
What Utilities can Be Monitored?
Submeters can be used to monitor and bill for multiple utility types (gas, water, electricity). Of course, a separate meter, made specifically for that given utility would be needed. By utilizing a submetering system for one or more of these services, the landlord is effectively able to offset the fluctuating, and often rising, cost of utilities without raising rent. This, in turn, gives the tenant some control over his costs because he can choose to limit his own utility use. In addition, monitoring consumption will likely result in a significant reduction of energy use.