In a recent article in the CooperatorNews New York, Eric Toback, General Manager & Senior Vice President of Sales at Metergy Solutions, makes a strong case for implementing submetering as part of a strategy to comply with New York City's innovational emissions law. 1
Local Law 97 (LL97) places carbon caps on most buildings larger than 25,000 square feet. The caps start in 2024 — with emission goals and law enforcement becoming increasingly demanding. The city's goal is to eventually reduce CO2 emissions by 80% by 2050. Many buildings in NYC are affected by LL97 and could face significant financial penalties if not compliant by 2024.
How Do Buildings Get Compliant?
Reducing a property's energy use is the most effective way to reduce its carbon footprint. And while there are several strategies for decreasing energy use, few are as compelling and fundamental as submetering.
Submeters measure the energy consumption for each unit in a given building, and residents are billed based on their actual energy use. According to Toback, "this user-pay system has proven to drive down energy consumption and costs by motivating behavior changes in residents. In fact, submetering individual units has been shown to lower energy consumption by up to 40% in multi-residential buildings, which drives down building emissions by an average of 23%."
Wait, It Gets Better
The benefits of reducing a property's energy consumption with submetering go well beyond Local Law 97 compliancy. Submetering can help property managers and owners significantly improve building operations, allow for fair cost allocation, and increase tenant satisfaction.
Toback tangibly illustrates these benefits by offering some compelling real-world numbers. Toback's group has found that by submetering a 450-suite multi-family building for electricity, owners and property managers can:
- Reduce total emissions by 15% (295 tons of carbon)
- Avoid $79K in Local Law 97 fees
- Gain capital expenditure savings of $150K
The Time to Act is Now
Well-planned submetering solutions can help mitigate costly Local Law 97 fines by reducing greenhouse gas emissions. There is still lots of time to get a submetering plan in place, but with the 2024 deadlines looming, savvy property managers and owners will act now.
For more on electrical submetering in New York:
For more on electrical submetering:
1. Submetering & Local Law 97 Compliance, CooperatorNews New York