Water Submetering in North Carolina

In North Carolina, water submetering is increasingly recognized for its role in cost recovery and fair utility billing, as well as in promoting water conservation. In North Carolina, RUBS or Ratio Utility Billing System, is generally not allowed, so submetering is a critical strategy that enables cost recovery for any multi-family property that only has a master water meter. 

Water Submetering Regulations in North Carolina

North Carolina’s water submetering regulations are designed to ensure that all billing is transparent and fair, aligning with conservation goals. Key regulations for water submetering in North Carolina include:

  • Water and sewar service rates charged by the service provider should align with the actual costs incurred (i.e., charged by supplier), so as not to realize any unfair profit.
  • Service providers can include a fee of up to $3.75 per bill for administrative tasks like meter reading and billing.
  • Billing should be based on actual water usage measured by individual meters to ensure fairness.
  • All usage must be individually measured, except in specific cases allowed by law, to avoid estimation or unfair billing practices.
  • Service providers can adjust rates to match supplier price increases, but also must ensure transparent billing.
  • Rules apply to older buildings with complex plumbing, allowing estimation of water usage with Commission approval.
  • Hot water usage estimation may be permitted for older buildings if measuring water use directly is impractical, subject to Commission approval.

These regulations help maintain accountability and support the state’s environmental and water management policies.

Additional information on Water Sub-metering in North Carolina**:

  1. Understanding Water Resale Regulations: Insights from NCUC
  2. NCUC Regulations: Exploring Chapter 18 – Water Resale Guidelines

**This list isn’t intended to be comprehensive, and there may be other state and local regulations to consider.

Why Water Submetering is Growing in North Carolina

Examining the Need for Water Submetering in North Carolina

Since RUBS (Ratio Utility Billing Systems) or other means of estimated usage and billing are generally not allowed in North Carolina, water submetering is becoming increasingly important to help property owners recover water costs in an accepted and fair manner.  

Additionally, North Carolina, with its diverse landscapes and growing population, faces challenges in managing its water resources effectively. Water submetering to promote conservation of this vital resource. By measuring and billing residents for their specific water usage, submetering encourages significant reductions in water consumption and waste. This is especially important in multi-tenant environments where the impact of conservation measures can be substantial.

Smart submetering solutions can also play a crucial role in detecting leaks and other irregularities in water use. Addressing these issues promptly helps minimize waste and reduce costs while supporting broader conservation efforts across the state. 

By shifting the responsibility for water costs to tenants, property owners can decrease their operational expenses, thereby increasing their Net Operating Income (NOI) and enhancing the value of their properties. Submetering ensures that billing is equitable, enhancing transparency and trust between landlords and tenants and the return on investment for implementing water submetering is often almost immediate.

The need for affordable housing primarily drives North Carolina’s growth in condominium complexes. These condos are often master-metered for water, and the HOA fees cover the collective water bills. As water prices rise, HOA fees increase, leading to frustration among residents. Submetering helps by billing residents individually for their water usage, ensuring fairness and accountability, and promoting conservation.

Implementing water submetering in North Carolina not only addresses water scarcity but also offers financial advantages to property owners, creating a mutually beneficial situation in the effort to manage water more sustainably.

Benefits of a Connected IoT Water Submetering Solution

  • Automated Efficiency: IoT-enabled submeters facilitate real-time monitoring and data collection, enhancing operational efficiency.
  • Proactive Maintenance: Advanced analytics help predict and address maintenance issues before they lead to larger problems.
  • Customized User Alerts: Tenants can receive alerts about their water usage, helping them manage consumption more effectively.
  • Enhanced Resource Management: Data from IoT devices can be used to better manage water resources, adapting to usage patterns and peak demands.
  • Community Engagement: Engages tenants in water conservation efforts, fostering a community-focused approach to resource management.

Key Steps to Prepare for Water Submetering in North Carolina

  • Understand Local Regulations: Familiarize yourself with state and local laws concerning submetering to ensure compliance.
  • Select the Right Technology: Choose IoT-enabled submetering solutions that fit the specific needs of your property.
  • Effective Installation: Ensure that submeters are installed correctly and integrated into the existing infrastructure without disrupting service.
  • Tenant Communication: Educate tenants about how submetering works and the benefits it brings, helping to smooth the transition and boost cooperation.
  • Transparent Billing Practices: Implement a clear and fair billing system that reflects the actual water usage, maintaining transparency with tenants.

FAQs

What is Water Submetering?

Water submetering involves installing individual water meters for each unit within a larger complex to track specific water usage, enabling direct billing to tenants based on their actual consumption.

How Does Water Submetering Benefit Residents and Property Owners?

Residents benefit from fair billing, paying only for the water they use, which encourages conservation. Property owners gain from streamlined billing processes and reduced water waste, enhancing overall property management.

Is Water Submetering Mandatory in North Carolina?

North Carolina does not mandate water submetering statewide. However, various municipalities may have specific guidelines or ordinances encouraging the use of submetering systems to promote fair utility practices and conservation.

What Are the Initial Steps to Install Water Submeters in a Property?

Starting with a consultation from a professional submetering company, the process includes selecting suitable meters, planning the installation layout, and ensuring compliance with local regulations for a successful setup.

How Are Water Usage Charges Calculated with Submetering?

Water usage charges are derived from the readings of each individual submeter, multiplied by the cost per unit of water. This method ensures that each tenant’s bill accurately reflects their personal water consumption.

Who Should I Contact for Maintenance or Issues with My Water Submeter?

For maintenance or issues concerning water submeters, tenants or property managers should reach out to the submetering company or the designated maintenance team responsible for the property’s utility systems.