Submetering New York
Last reviewed by NES Editorial · September 2026
New York requires PSC approval before you can submeter electricity, and the rules are strict. Here is what the process involves.
Submetering is common across New York, and NES runs it end to end. We install nonproprietary meters that you own, read them every day, pay the master-meter bill, and bill your residents. Our compliance team tracks the New York rules, set by the New York Public Service Commission, so your billing holds up if anyone ever checks it. NES has worked this way since 1968, in more than 43 states.
Yes. Submetering is allowed in New York, with approval and some restrictions.
Electric submetering needs New York PSC authorization, and NES handles the petition and the requirements for you.
What submetering is
Submetering puts a meter on each unit and bills residents for the water, gas, and electric they actually use. The idea has been around since the 1920s. Today’s meters read wirelessly every day, so usage is accurate and leaks show up fast instead of on the next bill.
Why owners in New York submeter
- Residents pay for what they use, so water consumption usually drops 15 to 30%.
- Leaks are caught within a day, not at the end of the month.
- Common-area usage is measured and billed accurately, not absorbed by the owner.
- Most installs pay for themselves within 12 to 18 months.
Submetering laws and rules in New York
- To submeter electricity to residents in New York, an owner must petition the New York Public Service Commission and be authorized before billing, under 16 NYCRR Part 96
- Residents cannot be charged more than the rate the utility would charge them directly, so there is no markup on resold power
- Billing must follow the Home Energy Fair Practices Act, and electric meters must meet ANSI accuracy standards
- Ratio (RUBS) billing is not allowed for electricity in New York, and gas submetering is not allowed, so gas stays billed by the utility
- New York has no statute on apartment water submetering, so owners who submeter water set the billing terms in the lease and bill residents for their measured use
- Residents receive written disclosures and the consumer protections required during and after the Commission's review
- New York City and rent stabilized buildings add their own requirements, which NES tracks for your address
Local rules can vary by city and county, and some cities set their own requirements, which NES verifies for your exact address.
Official sources: NY Dept. of Public Service: Electric Submetering · 16 NYCRR Part 96 · New York City Water Board
General information only, not legal advice. Confirm current rules with the New York Public Service Commission or a qualified attorney.
NES submetering by city in New York
Local submetering guides for New York communities NES serves.
Submetering in New York
See what your New York property can recover.
Send us your master-meter bills and unit count. We’ll run the numbers on your actual property and reply within one business day with a clear, no-obligation estimate.