Submetering allows property owners to measure individual unit consumption of utilities such as water, gas, and electricity, promoting fairness and encouraging conservation. The following sections detail state-specific submetering regulations.

States with Mandatory Submetering Regulations

California

California requires submetering for new multifamily residential buildings starting from January 1, 2018. The California Code of Regulations (CCR) Title 20 Section 1606 outlines the accuracy standards and installation guidelines for water submeters. Additionally, the California Plumbing Code provides detailed installation requirements. For new multifamily constructions, submetering must be implemented to ensure accurate utility billing. The California Department of Food and Agriculture continues to certify approved submeter devices (CTEP program) to maintain metering accuracy. While no new submetering mandates have been enacted since July 2024, compliance and enforcement efforts are ongoing.

Georgia

The 2010 Water Stewardship Act in Georgia mandates submetering for new multi-unit residential buildings and certain retail and light industrial buildings with construction permits granted after July 1, 2012. This act requires that tenants in these new buildings are charged for water and wastewater use based on their measured usage. Additionally, some municipalities, such as DeKalb County, have specific requirements for submetering in multi-unit residential buildings constructed after certain dates.  There have been no new regulations since mid-2024, but property owners must continue to ensure submeters are properly installed in all newly developed properties.

New York

New York has stringent submetering regulations, especially in New York City. Local Law 88, as amended by LL132/2016, mandates that by January 1, 2025, buildings over 50,000 square feet and any tenant space over 10,000 square feet must install submeters. Property owners must provide monthly energy usage reports to tenants, ensuring transparency in energy consumption and billing. As the compliance deadline has arrived, enforcement actions may begin against non-compliant buildings in 2025. These regulations ensure that tenants are billed based on actual utility usage, promoting energy efficiency and accountability.

North Carolina

North Carolina requires submetering for all utilities once submeters are installed and approved by the North Carolina Utilities Commission (NCUC). The regulation mandates that properties with submeters must bill based on actual usage and cannot revert to estimated billing for more than three months. This ensures ongoing accuracy and fairness in utility billing, maintaining transparency and trust between property owners and tenants. No new submetering mandates have been introduced, but property owners must still comply with the requirement that estimated billing cannot exceed three months under NCUC guidelines.

Washington

In Washington, submetering for hot water is mandatory in multifamily buildings to ensure accurate billing for hot water usage, promoting water conservation and fair billing practices. The Washington Administrative Code (WAC) 246-290-496 provides detailed guidelines on the installation and maintenance of hot water submeters, ensuring that these devices are installed correctly and maintained for optimal performance. While no new legislation has been enacted, enforcement of Washington’s existing energy codes continues to drive submetering adoption, particularly in large commercial and multifamily buildings.

Maryland

Maryland requires submetering for gas and electricity in residential units within apartment houses, office buildings, or shopping centers. The regulations ensure that utility costs are allocated fairly among tenants based on their actual usage. Submetering must be approved by the local housing authority, and the regulations are designed to promote transparency and fairness in utility billing. The Maryland Public Service Commission (PSC) continues to oversee submetering compliance, and property owners must ensure that submeters used for billing meet ANSI accuracy standards and PSC certification requirements.

Indiana

In Indiana, submetering equipment can be installed in rented or leased units to fairly allocate electrical consumption costs. The regulations ensure that tenants are billed accurately based on their actual kilowatt-hour usage, including all applicable taxes and charges. While there have been no regulatory updates since July 2024, property owners must continue following Indiana Utility Regulatory Commission (IURC) guidelines, which require that submetering bills accurately reflect the tenant’s metered usage without excessive administrative fees.

Maine

Maine allows submetering in campgrounds and for electric vehicle charging stations. The regulations ensure that campground owners charge submeter users only for their actual kilowatt-hour usage, promoting transparency and fairness in utility billing. This remains one of the few states where submetering is explicitly limited to specialized applications rather than mandated for general multi-unit residential properties.

States Encouraging or Practicing Submetering

Arizona

Arizona encourages submetering for water and other utilities, particularly in new multifamily developments. Property owners should consult local regulations for specific requirements. The Arizona Revised Statutes still permit landlords to install submeters, but they must adhere to strict consumer protection laws, ensuring tenants are billed fairly and transparently.

Florida

Florida promotes submetering to encourage water conservation and ensure accurate billing. The Florida Public Service Commission provides guidelines for submetering practices, though it is not mandated statewide. In Miami-Dade County, some local ordinances restrict certain forms of ratio utility billing, reinforcing the preference for accurate submeters in multifamily properties.

Texas

Texas does not have statewide mandatory submetering regulations; however, many municipalities encourage or require submetering for new developments. Property owners should verify specific requirements with local ordinances to ensure compliance. While Texas law does not mandate submetering, the Public Utility Commission of Texas oversees regulations requiring landlords who choose to submeter to comply with accuracy and transparency rules.

Tennessee

Tennessee does not have mandatory submetering regulations. However, it is recommended for new developments to ensure fair utility billing and promote conservation. State officials continue to encourage submetering as a best practice, particularly for large multi-unit residential projects.

Colorado

Colorado does not have a statewide mandate but encourages submetering as a best practice for utility management, particularly in new multifamily developments. The state’s latest building codes emphasize energy and water efficiency, indirectly encouraging submetering by requiring more detailed monitoring of resource usage in new construction projects.

Nevada

Nevada encourages the use of submetering to promote water conservation and accurate utility billing, especially in areas with limited water resources. While Nevada has no specific submetering mandate, state authorities continue to view submetering favorably for its role in conservation efforts, particularly in water-scarce regions.

Other States

While not all states have specific submetering mandates, submetering is widely recognized as a best practice for promoting conservation and fair utility billing. Property owners and managers in other states should consult local regulations and consider submetering as a valuable tool for utility management.

Conclusion

Understanding and complying with submetering regulations is essential for property owners and managers. By staying informed and compliant, property owners can ensure accurate utility billing and contribute to resource conservation. With new enforcement deadlines approaching in states like New York, property owners should verify their compliance with submetering regulations to avoid penalties.

For more detailed information on submetering regulations and compliance requirements in your state, contact your local regulatory body or consult with a submetering expert.

Additional Resources

Here are regulatory bodies that oversee submetering regulations in key states:

• California Public Utilities Commission (CPUC): Website | Phone: 1-800-848-5580
  Florida Public Service Commission (FPSC): Website | Phone: 1-800-342-3552
  Georgia Public Service Commission (GPSC): Website | Phone: 1-800-282-5813
  North Carolina Utilities Commission (NCUC): Website | Phone: 919-733-7328
  New York Public Service Commission (NYPSC): Website | Phone: 1-800-342-3377
  Texas Public Utility Commission (PUC): Website | Phone: 1-888-782-8477
  Washington Utilities and Transportation Commission (WUTC): Website | Phone: 1-888-333-9882

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