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Questions About Smart Meters? What You Need To Know About Smart Meters and Submetering

New York City continues to make strides toward a zero-emissions future, and part of that process requires developing a smart electrical grid system. Smart meters are essential tools in the development of the new grid.

The city is asking residents and building owners to permit device installations. This request creates questions about smart meters and sparks concern over property owners’ and tenants’ privacy and safety. Learn more about these crucial devices and how your property can benefit from their installation.

5 Helpful Questions About Smart Meters

1. What Is a Smart Meter?

A smart meter is an upgrade to traditional and automated meters. The device provides more information about daily energy consumption and communicates directly with a utility provider, such as ConEd.

The utility company uses a series of access points installed on utility poles to collect the data from the individual meters. All information transmits through a secure wireless network using encrypted channels and low-frequency radio signals similar to those produced by cell phones, radios, and televisions.

2. What Are the Key Differences Between a Traditional and Smart Meter?

Both traditional and automated meters provide a record of total energy consumption. The primary difference between traditional and smart meters is the amount of data collected.

Most utility companies read traditional meters monthly. However, a smart meter communicates consumption patterns throughout the day. This more thorough and routine collection of data has three major benefits:

1. 1. Consumers can interpret consumption patterns to conserve energy and save money.
2. 2. Utility services can use the data to help create NYC’s future smart grid.
3. 3. Smart alerts notify utility providers of service interruptions and failures, allowing quicker response and repair times.

3. How Do Utility Providers Protect Your Privacy and Information?

One of the more common questions about smart meters involves consumer information and privacy. ConEd and other utility service providers must obey all New York State laws regulating the use of personal information. Most service providers, including ConEd, use encrypted networks and follow the standards set forth by the National Institute of Standards and Technology.

Also, smart meters do not store, collect, or transmit any personal information. Like traditional meters, smart meters only monitor and record energy use.

4. Are Smart Meters Safe?

Smart meters are safe devices. The rumors of safety risks may give some property owners pause about installing smart meters, but they are unfounded.

Smart meters transmit at radio frequency levels of meager signal strength. Several health and governmental organizations consider smart meters safe, including the American Cancer Society, Federal Communications Commission, Food and Drug Administration, National Cancer Institute, and the World Health Organization.

5. What Are the Benefits of Smart Meters?

Smart meters provide many benefits for multi-unit properties, including equitable billing. The smart devices make it easier to bill individual units for electrical use. Also, the meters help property managers and owners discuss energy waste and propose energy-saving solutions to tenants.

While most questions about smart meters focus on consumer benefits, the purposes of the devices for the city are energy efficiency and environmental protection. When consumers and utility providers can access more detailed data about consumption habits, it is easier to curb negative behaviors and establish future system safeguards.

4 Questions About Submetering

1. What Is Submetering?

Smart meters make submetering easier for landlords and tenants. Submetering is the process of monitoring the consumption patterns of individual units for billing purposes.

A master meter measures the electricity usage of an entire building. An electrician installs a submeter in the system past the master meter and wires it to read energy use in a specific area or unit, allowing for more accurate billing.

2. Are There Any Benefits to Submetering?

The benefits of submetering include fairness, energy conservation, and cost savings. If a multi-unit property only has a master meter, the owner typically charges tenants a flat monthly fee for electricity. A regular fee is unfair to tenants who use less electricity than others. A submeter system ensures tenants only pay for the energy they use.

Energy conservation is a goal of most property owners as the city moves toward a zero-emissions future. When considering questions about smart meters and submetering efficiency, it is easy to see how tenants are more likely to develop energy-efficient habits when they become fiscally responsible for their consumption.

Finally, submetering benefits property owners through cost savings. A landlord may negotiate a set electricity fee in properties with only a master meter. The negotiated price traps a property owner for the lease term, meaning the owner pays the difference if tenants use more electricity than estimated or utility costs spike. With submeters, everyone pays their share.

3. What Are the Rules for Submetering in NYC?

Before owners can install additional meters on their property, they must petition the New York State Public Service Commission for permission. As a submeterer, building owners become the distribution utility, providing all the rights and responsibilities to tenants as a utility does its customers.

NYC has several rules for landlords who wish to submeter tenants. The two most important rules are:

1. 1. Landlords may not profit from electricity usage.
2. 2. Landlords cannot bill more than the rate on a tenant’s meter (submeter).

4. How Do You Convert to Submetering?

As building owners resolve their questions about smart meters and submetering, they may wonder what’s involved in the installation of smart devices and the conversion to submetering. In addition to permission from PSC for submeters, both tasks require skilled electricians.

A property’s age and existing electrical system can add to the complexity of upgrades. A licensed electrician with Bolt Electric can help owners assess the current system and determine the project’s scope and cost.

Property owners should also consider easing tenants into the transition of submetering with shadow billing. Tenants still pay their master meter share but receive notice of individual usage. Shadow billing for a few months can help ease tenants into direct billing, resulting in fewer complaints and frustrations.

Professional Solutions to Questions About Smart Meters and Submetering

Consult Bolt Electric About Your Electrical System and Upgrades

Smart meters are safe and efficient devices that improve energy conservation habits and save property owners and tenants money. The tools also help provide more accurate billing information in submetered properties. If you have more questions about smart meters or submeter installation, contact Bolt Electric at 212-734-5000.