Electricity Conservation

Electric Conservation and Utility Submetering

Multifamily Utility Company is dedicated to the environment and promoting various conservation efforts. Until recently many national, state and local conservation programs have been promoted by utility providers in their monthly bills. If these bills are paid by an owner, manager or association then the end user never receives these messages. We are dedicated to doing our part in ensuring the end users receive these messages!

“Thinking Green” is about developing and creating a lifestyle based on environmentally friendly habits which reduce the amount of energy and natural resources you use on a daily, weekly, monthly and annual basis. All households rely on electricity to meet basic every day needs. This includes heating, cooling, lighting and the pumping of water. Each day you use electricity to perform daily tasks. Recently, the price of electricity has risen. Many households are looking for ways to reduce the monthly cost of electricity. By practicing prudent conservation, you can reduce the amount you pay and save on electricity. Use Energy Star appliances, light fixtures and bulbs

Electricity Conservation Tips

Lighting Tips:

Replace incandescent bulbs with Compact Fluorescent Lights (CFLs). CFLs use 75% less energy and last 8 to 10 times longer than incandescent lights making them worth the extra up-front cost. BUT, use CFLs appropriately – place them in fixtures that remain on for at least 3 hours daily. Special CFLs are required to operate with dimmers or 3-way switches.
Turn off lights
Incandescent lights should always be turned off when not in use.
Fluorescent lights work optimally when they are not turned off repeatedly, so only turn off when you plan to be away for 30 minutes or more.
When day lighting is adequate.
Leave minimal lighting on during non-business hours or when you are away from your home as necessary for safety; otherwise, shut off all lighting.
Use the right amount of light:
Consider three-way lamps and dimming switches. This will make it easier to keep lighting levels low when brighter lights are not necessary.
Use one large wattage lamp rather than two small ones. Example: use one 100 watt rather than two 60 watts light bulbs.
Use task lighting (table and desktop lamps) instead of room lighting.
Keep light fixtures, shades and bulbs clean!

Air Conditioning Tips:

When you are away from home or work set the thermostat to 85°.When home, set to 76°-78°, health permitting.
Turn off central air conditioning 30 minutes before you plan to leave your home or office. The building will maintain a cool temperature for that time.
Consider using ceiling or portable fans to circulate and cool the air.
Choose air conditioning units with thermostat controls and programmable timers.
Open windows and shades during the evening when it’s cooler. Use blinds, shades, and awnings to keep the heat out.
Turn off lights, TVs and computers when they are not being used. They make air conditioning work harder!
Do not place lamps or TV sets near your air conditioning thermostat.
Close off unoccupied rooms and shut their air conditioning vents; turn off room air conditioners in unoccupied rooms.
Clean or replace air conditioner filters regularly.
Keep outside air conditioning units free from leaves that may clog vents.
Insulate the attic, outside walls, floors, and ducts. Seal cracks with caulking and weather strip around windows and doors.
Consider installing a solar powered fan in the attic for adequate ventilation.
Consider purchasing an ENERGY STAR® air conditioning unit.

Cooking Tips:

Use microwaves to defrost, cook, and re-heat food instead of an oven.
Don’t block microwave vents.
Turn off coffee machines when not in use and use small appliances for small tasks, such as a toaster instead of an oven.
Make sure the seals in the oven fit properly.
Keep lids on pots when cooking. While baking, do not open the oven; consider using the light instead.
Keep microwaves and ovens clean and well maintained to work most efficiently.

Dishwashing Tips:

Only run dishwashers when they are full and use the economy cycle for everyday washing.
Instead of using the drying cycle, stop the dishwasher, open the door and let dishes dry naturally. It takes more energy to dry dishes than to wash them.
Use cold water to rinse dishes before loading them into the dishwasher.
Wash dishes in the sink where possible.

Laundry Tips:

Use a clothesline instead of a dryer when possible.
Only run the clothes washer and dryer when fully loaded.
When possible, use cold water to wash clothes.
Clean the clothes dryer filter after each load.
Spin clothes thoroughly before drying.
Do not over-dry clothes; use minimum amount of time necessary to dry them.
Dry lighter items together and heavy items together.
Consider purchasing ENERGY STAR® washing machines.

Heating Tips:

Turn down the thermostat. Wear warm clothing and set the thermostat to 68° or lower during the day and evening, health permitting.
Put extra blankets on the bed.
Roll up towels and put them at the bottom of doors to stop drafts.
On sunny days, keep the shades, blinds and drapes open. At night, close curtains, draperies and blinds to keep the heat in.
Close closet doors and doors to unused rooms.
Use reversible ceiling fans to push warm air downwards and keep rooms warmer.
Switch off heating when you are out of the house.
Keep heating registers and air vents clear of obstacles and make sure you clean or replace furnace filters regularly.
Keep outside heating units free from leaves or debris that may clog vents.
Choose heaters with thermostat controls and programmable timers.
Cover wall-mounted air conditioners with plastic film or an airtight cover.
Close the fireplace damper after the fire is out.
Do not use fireplaces while your central heating system in on.

Water Heating Tips:

Wrap insulation around water heaters and long-run hot water pipes.
Match water heater size to your needs and set the temperature at 120°-140°.
Turn thermostat down to a minimum on water heater when you are away for more than two days.

Recouped Cost

The results did not disappoint me. In December the bills declined after we began billing residents for their water consumption. In March 2003 and April 2003 bills were approximately $270 per day; May fell to $254. The difference between $462 in April 2001 and $270 in April 2003 is $192 per day – a payback of less than one year. The payback actually is much faster because we are collecting about $2000 each month from the billing program, an amount that should double by year-end as new leases are signed.

Conscious Energy Use

An obvious trend has emerged now that residents are responsible for their own utility bills. Before the days of submetering, it was not uncommon to see windows open or hear air conditioners running in the middle of winter with heaters going full blast. It was a way to cool down the apartment, but now that residents are responsible for their own bills, they tend to just turn down the heat.

Adding to the Bottom Line

We have calculated the increase in property value that comes along with submetering. For instance, on a property with 285 apartment homes with an average water bill of $7,000 per month, we can add up to $6,000 or more per month to the bottom line. At a 9 percent capitalization rate, that equates to a property value increase of $800,000.

Responsive and Professional

We have found Ikehu Utility Solutions to be an extremely professional company. Their representatives are always responsive and attentive to our questions, as well as being very knowledgeable of all state regulations regarding utility billing. They gave us suggestions for increasing our revenue and we have seen a marked increase in collections and revenue since we started using their services. We are very pleased with all aspects of their service and look forward to a long, continued relationship with Ikehu Utility Solutions.

Increased Property Value

Many other property owners have told me that they do not have the money to make the initial investment to install meters. But I recommend that they find a way to fund it because the payback is rapid — usually about one year to 18 months, and the revenue recovery is ongoing. For example, when we purchased a 169 apartment home community in Indianapolis, I asked our bank to add the cost of meter installation onto our loan, which they readily did after I demonstrated how the program significantly increases property value. It cost about $225 per apartment home to install the gas submeters at the property, for a total of $38,025, and our mortgage increased by only $500 per month. The gas bill for that property alone is $85,000 per year and we recover about 70 percent of those costs, after factoring out common area and vacant apartment home costs, a savings of $59,500 per year, which far surpasses the initial installation cost. Another benefit is that our property value has increased exponentially, which I calculated by taking the $59,500 at a 9.5 percent cap rate (rates can vary) which raised the property value by more than $500,000.

Seamless Transition

Ikehu Utility Solutions has done an excellent job with our properties. They are very professional and have seamlessly transitioned many of our apartment buildings to the Ratio Utility Billing program, as well as setting up online automated meter reading and billing with our newer properties. I would recommend them to small and large property owners alike.

Great Incentives

Accurately monitoring each apartment home’s electrical usage gives greater incentive for residents to conserve energy, since they are paying for exactly what they use. During a one-year period, an average of 17 percent less energy was consumed in the submetered residences.

Electricity Conservation

Electricity Conservation Tips

Lighting Tips:

Air Conditioning Tips:

Cooking Tips:

Dishwashing Tips:

Laundry Tips:

Heating Tips:

Water Heating Tips:

Ikehu Utility Solutions Customer Testimonials

Recouped Cost

Conscious Energy Use

Adding to the Bottom Line

Responsive and Professional

Increased Property Value

Seamless Transition

Great Incentives

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