Frequently Asked Questions - Submetering
What is bulk metering and sub-metering?
What are the benefits of sub-metering?
How does sub-metering save energy?
Will I require major renovations to my electrical distribution systems?
Our building is already equipped with a Sub-metering system, can you help?
What is bulk metering and sub-metering?
Bulk metering
In Ontario, the vast majority of existing Multi-unit Residential Buildings are currently bulk metered. This means the local distribution company (LDC) supplies electricity to the facility, consumption is measured by one meter and the facility receives one bill. The total cost is divided among the units and included in the common area expenses. Actual individual unit consumption is not taken into account.
Sub-metering
Sub-metering simply involves measuring each unit's energy usage and billing each Resident accordingly. The facility still receives one bill from the LDC, reflecting the total usage and continues to provide the advantage of bulk electricity rates.
What are the benefits of sub-metering?
Residents have better control over consumption and cost.
Property Managers can better predict costs when the only electricity usage to be considered is for common areas which are under Management's control.
Submetering individual consumption assists in understanding when and where electricity is used.
Submetering eliminates Management's task of estimating and billing Residents for additional electric usage associated with non-issued appliances.
Submetering can also identify electrical system overload and take corrective action in advance of an outright failure.
Fair to Residents
Residents pay only for what they use. Individual residents can reduce their own monthly electricity expenses.
Approximately 25% of total facility's usage is consumed by just 10% of the Residents. Under bulk metering, these excessive users would continue to pay the same as all other Residents. With submetering, these Residents will find their electricity bills are significant. Any Resident who finds that their electric bill is high can reduce the cost by reducing consumption. A user-pay system generally translates into a 15% minimum reduction in usage upon implementation.
Saves Energy and Our Environment
Research has shown that annual savings of 15% to 25% of total facility electricity consumption are achieved on average.
Submetering savings have proven to be sustainable - largely because:
(i) conservation is reinforced monthly with the Resident's receipt of their electric bill; and
(ii) Residents will invest in efficiency (purchase more efficient appliances, lighting and timers) because they will receive the benefits directly.
How does submetering save energy?
Residents reduce their own consumption in order to reduce their individual electricity costs. Submetering savings are the result of voluntary decisions by individual electricity users. Residents who choose to maintain a wasteful energy use pattern can do so at a cost only to themselves.
Since Residents are now paying only for what they use, they tend to become more aware of their electricity use and, in turn, the dollar savings they can realize from reducing unnecessary use of electricity. For example: Residents who left their air conditioners running while away were not specifically penalized for this wastage; everyone covered the added cost. Likewise, Residents who conserved electricity or who were away for extended periods (summers at a cottage) did not receive any specific benefit.
Immediate conservation could mean turning off lights, using timers, using reduced wattage bulbs, and turning off air conditioners and other appliances when not in use. Longer-term conservation may include the purchase of more efficient appliances. The result - more consistent savings.
Will I require major renovations to my electrical distribution systems?
Each unit's electrical supply is metered through sensors that will be installed on existing electrical distribution systems. The equipment is fully CSA and Measurement Canada approved for your protection and will be installed with minimum disruption to the Residents by licensed electrical contractors.
Our building is already equipped with a Sub-metering system, can you help?
Yes we can. Many people believe that you need to have a Carma Sub-metering system to enjoy the service and benefits of Carma Billing Services Inc. Our Billing and Collections software can work with any Sub-metering system on the market while providing the same great service.