Accurate Utility Submetering Systems: Increase Your Efficiency

Many buildings, especially older ones, use something called a Ratio Utility Billing System (RUBS). Instead of billing tenants for what they actually use, the RUBS method is used to fairly distribute utility costs among tenants using a formula based on unit size, how many people live there, or shared spaces everyone uses.

This formula is mostly outdated and doesn't help much with large-scale properties. That's where utility submetering systems come in. 

Think of them as a way to track who uses what when it comes to utilities like water, electricity, gas, or even heat. Instead of lumping all tenants’ utility usage into one big bill, each unit gets its own meter. This means you can measure exactly how much each tenant uses.

In this article, we’ll walk you through how submetering systems work, the different types out there, and how they can help you manage utilities better.

How Do Utility Submetering Systems Work?

The first step is installing individual meters or micrometers (when multiple meters are connected to each fixture in the unit) inside an apartment unit. These meters connect to a central system or network that collects usage data.

Depending on the setup, the data is either written down by hand or sent automatically to a database.

Once the system has the data, it’s used to figure out each tenant’s utility bill.

Submetering systems can be installed in different ways depending on the utility, such as electricity, water, or gas. Each type of utility has its own setup requirements.

Electricity Submetering

There are a few simple ways to submeter electricity. One way is with single-point submeters. These go in each unit and only track electricity use for that unit. This works well when each unit has its own electrical panel. Another option is multi-point submeters.

These can track several circuits or units from one panel. They are useful when tenants share a single panel.

For larger buildings, like offices or factories, branch circuit submeters are a good choice. They track power use on different circuits, so you can see which areas or machines use the most electricity.

Water Submetering

Water is trickier to submeter. Most buildings only have one main water meter. This means you can’t tell how much each unit uses unless you add more meters.

To fix this, you can install a water submeter for each unit or even for each water fixture, like sinks or showers. This helps you bill tenants for what they actually use and promotes better water habits.

This is a big help in multi-tenant buildings where water bills are usually split evenly, even if one unit uses much more water than another. It also helps you spot problems early, like leaks inside apartment units or common areas.

One smart option is DrizzleX’s micrometers. These small meters go right on fixtures like sinks, showers, toilets, laundry rooms, and even sprinklers. They track water flow accurately and send the data to a dashboard you can check anytime. You’ll even get alerts if there’s a leak or if someone’s using too much water.

With this setup, you can bill each tenant based on real usage, not just divide the bill evenly. It’s a fairer way to manage water costs.

Tenants using less water save money, and those using more pay their share. It’s also great because you’ll know about leaks immediately and can fix them before they turn into bigger problems.

How Water Submetering Helps Your Property: A Case Study

We put together a case study to show how a good water submetering system can cut utility costs.

A property in Gardner, MA, installed DrizzleX’s water submetering system in all 224 units, serving 670 tenants.

Over the course of nine months, the submetering system helped the property save 49% on water costs, for a total savings of $91,434!

Check out the image below to see how much water and money the property saved with DrizzleX’s submetering system.

Interested? Get a free quote from DrizzleX and see how their submetering systems can benefit your property today.

Gas Submetering

Gas submetering works a lot like electricity. But it depends on how the gas lines are set up in the building.

If the setup allows it, you can install a gas submeter in each unit. This lets you track things like gas used for heating or cooking. It helps make billing fair and gives you a clear view of gas use over time.

Heat and Cooling Submetering

These systems track how much energy is used for heating and air conditioning. In larger buildings, HVAC is one of the biggest energy costs, so this type of submetering can really help you keep things fair and under control.

The Role of Technology in Submetering

Many modern buildings now use smart IoT meters. These meters send usage data automatically, so you don’t have to do much manual work when it’s time to bill tenants.

Some systems even come with apps that let tenants see their own usage in real time. This helps everyone get a better idea of how much water is being used by the unit and across the whole building.

How DrizzleX Can Help You With Utility Submetering Systems

DrizzleX helps you find hidden leaks and spot tenant overuse. This cuts water waste and can lower your water bills by 25–45%.

Most buildings save enough to cover the cost of DrizzleX in about nine months. It’s a fast way to reduce utility costs and boost your net operating income.

• Track usage: Get water reports for each unit to see how much water tenants use and help them cut back.

• Find hidden leaks: Spot silent leaks like running toilets or dripping faucets that don’t show up during inspections.

• Monitor flow: See where and how much water is being used in real time.

• Get email alerts: When there’s a leak, you get an email with the unit, fixture, gallons wasted, cost, and suggested fix.

• Bill tenants fairly: Create accurate water bills based on actual use—tenants use less when they pay for what they use.

Get a free quote today and start submetering your building!

FAQs About Utility Submetering Systems

What is the difference between a utility meter and a submeter?

A utility meter measures total utility consumption for a unit or an entire building. It’s often used by the utility company for billing based on overall usage. A submeter, however, is part of a utility submetering system that tracks usage in individual units. It supports fair and accurate billing by showing actual usage in multi-tenant properties.

Since many buildings lack submetering systems, micrometers are added at fixtures to measure resource use, like water and thermal energy. The sum of these creates a submetering setup. This helps property owners monitor energy usage, promote water conservation, and encourage tenants to be mindful of consumption data. It also supports utility billing that reflects real consumption patterns instead of estimates.

What are the disadvantages of submetering?

Submetering systems come with setup costs and may need changes to the panel system. Installing meters in older building systems can be tricky, and maintaining accurate data collection takes work. If meters fail, it can lead to incorrect utility charges or missed leak detection.

Ratio utility billing can confuse tenants unfamiliar with the method. Plus, the billing process depends on reliable meter reading and solid system design. Without that, property owners risk uneven allocation of costs. Still, the behavioral benefits and cost savings often outweigh the challenges.

Who can install an electric submeter?

Only a licensed electrician should install electric submeters. They understand how to safely connect individual meters to the panel system and follow all utility metering standards. This is especially important in a multi-tenant property or mobile home park where the goal is to bill based on individual usage.

Electric submetering helps building owners, homeowners associations, and facility managers improve data collection, support accurate billing, and better manage overall utility consumption.

How accurate are submeters?

Submeters are highly accurate when installed and maintained properly. They track utility usage in individual tenant spaces and provide precise, real-time monitoring of water, electric, or natural gas consumption. This allows for accurate data that reflects actual individual consumption, not estimates based on square footage.

With a good system in place, submeters help property owners and facility managers identify building inefficiencies, reduce their water and electric bills, and manage resource consumption more effectively.

Accurate submeters also make it easier to allocate costs fairly and support more equitable distribution of charges across the entire building. This kind of tracking encourages water conservation, improves energy efficiency, and supports promoting sustainability.