Chapter 01. General Regulations
Regulation .01 General.LinkCopy Citation
A.
Purpose of Submetering. The purpose of submetering is to encourage effective conservation and efficient use of electricity or gas by fairly allocating its cost among the ultimate users within a master metered apartment house, office building, or shopping center.
B.
Availability of Submetering. An owner, operator, or manager of an apartment house, office building, or shopping center who has a master meter may install submeters in accordance with legislation enacted by the General Assembly of Maryland and with regulations adopted by the Public Service Commission of Maryland.
C.
Authorization of Regulations. Public Utilities Article, §7-303, Annotated Code of Maryland, requires the Public Service Commission to make such reasonable regulations and standards as it deems necessary to carry out the provisions of this law.
D.
Application of Regulations.
(1)
These regulations apply to an owner, operator, or manager of an apartment house, shopping center, or office building which is not individually metered by a utility for electricity or gas for each dwelling unit, commercial rental unit, or store, and to the occupant or occupants of the units or stores.
(2)
These regulations are intended to provide uniform and reasonable standards for the accuracy, billing, and regulation of submeters, and to define the respective responsibilities of the utility, the owner, and the occupant.
(3)
If unreasonable hardship to a utility or owner results from the application of any regulation of this chapter, application may be made to the Commission for temporary or permanent relief.
(4)
The adoption of these regulations in no way precludes the Commission from altering or amending them by subsequent proceedings.
(5)
In implementing these regulations, an apartment house, office building, or shopping center is not a public service company as defined in Public Utility Companies Article, §1-101, Annotated Code of Maryland.
E.
Rent Reduction. Except in units constructed, managed, operated, developed, or subsidized by a local housing authority as established under Article 44A, if the owner, operator, or manager elects to install submeters, during the term of any lease or agreement which includes the cost of electricity or gas consumed for the unit, the owner, operator, or manager shall determine the amount of electric or gas costs saved and pass this amount on to the occupant of the unit as a reduction in rent or payment.
F.
Definitions of Terms.
(1)
“Apartment house” means a building or buildings with an electric or gas master meter, containing more than two dwelling units, all of which are rented primarily for non-transient use, with rental paid at intervals of 1 week or longer. The term includes residential condominiums and cooperatives, whether rented or owner-occupied.
(2)
“Check flow” means a gas flow at 20—50 percent of the rated capacity of a meter.
(3)
“Commercial rental unit” means any leased premises used for retail, commercial, clerical, or professional purposes.
(4)
“Commission” means the Public Service Commission of Maryland.
(5)
“Complaint agency” means the county or municipal landlord-tenant commission, if one exists, or, if not, the consumer protection agency of the county or municipality, if one exists, or, if not, the Consumer Protection Agency of the Office of the Attorney General; or any other agency or office designated for tenants' complaints.
(6)
“Dwelling unit” means a room or rooms suitable for occupancy as a residence and containing kitchen and bathroom facilities.
(7)
“Master meter” means a meter used by the utility to measure, for billing purposes, all electrical or gas energy and load usage within an apartment house, shopping center, or office building, and any associated common areas and common facilities.
(8)
“Occupant” means the occupant or occupants of a dwelling unit in an apartment house, of a commercial rental unit in an office building, or of a commercial rental unit in a shopping center.
(9)
“Office building” means a building or buildings with an electric or gas master meter or meters and two or more rental units used for clerical, commercial, professional, or retail purposes.
(10)
“Owner” means any owner, operator, or manager of an apartment house, residential condominium, or cooperative, of a shopping center, or of an office building.
(11)
“Shopping center” means any combination of privately owned commercial, professional, or retail establishments with an electric or gas master meter or meters and to which the general public is invited for business purposes.
(12)
“Submeter” means an electrical energy or gas volume measuring device used in submetering.
(13)
“Submetering” means the installation of equipment for the purpose of determining the actual use of electricity or gas per residential unit or commercial rental unit.
(14)
“Unit” means a single dwelling unit or commercial rental unit.
(15)
“Utility” means the public service company which supplies electric or gas service to the master meter.
Regulation .02 General Requirements.LinkCopy Citation
A.
All Units Submetered. A unit in an apartment house, shopping center, or office building may not be submetered unless all units in that building are submetered.
B.
Information in Leases. All rental contracts or leases between the owner and an occupant shall clearly state that:
(1)
The apartment house, office building, or shopping center is submetered;
(2)
Bills for electric or gas consumption shall be rendered based on the submeter readings;
(3)
Electricity or gas for all common areas and common facilities shall be the responsibility of the owner and not of the occupant; and
(4)
A copy of the regulations governing submetering in apartment houses, office buildings, and shopping centers shall be provided to every occupant by the owner at no charge to the occupant.
C.
Execution of Application. The owner may reserve the right to require the occupant, before any electricity or gas is delivered, to execute an application or agreement for the purchase of electricity or gas. The occupant, by accepting the electricity, agrees to be bound by the applicable terms and conditions.
Regulation .03 Owners' Requirements.LinkCopy Citation
A.
Right to Install Equipment. The owner has the right to install all necessary submetering equipment and wiring on the property occupied by the occupant in accordance with these regulations and with any other applicable national, State, or local codes or requirements.
B.
Equipment Accessibility. The occupant shall provide suitable space for the installation of submetering equipment. All submeters shall be installed where they will be readily accessible for reading, testing, and inspection, and where these activities will cause minimum interference and inconvenience to the occupant.
C.
Accessible to Owner. Access to submetering equipment shall be granted to the owner by the occupant.
D.
Installation and Ownership. All submetering equipment shall be furnished and installed by the owner and shall be owned and maintained by the owner.
E.
Responsibility for Maintenance. Maintenance, inspection, sealing, and testing of all submetering equipment shall be the responsibility of the owner.
Regulation .04 Electric Submetering.LinkCopy Citation
A.
Type of Submeter.
(1)
All submeters installed in compliance with these regulations shall be of a type and class to properly and accurately register electrical consumption.
(2)
The meter type and design shall meet the applicable provisions of the latest edition of the American National Standard for Electric Meters — Code for Electricity Metering, incorporated by reference in COMAR 20.50.02.02C.
(3)
A submeter installed for billing purposes shall have been approved by the Commission.
B.
Charges for Electricity. All charges for electricity used by an occupant shall be calculated from the readings of his or her submeter.
C.
Meter Accuracy. All submeters in service shall be tested by the owner as provided by this chapter.
D.
Fast Submetering. If an occupant's submeter is found to be more than 2 percent fast as a result of a test, the owner shall:
(1)
Recalculate the occupant's bills for the lesser of the period of the occupant's service or the period since the submeter was last tested.
(2)
Make a refund or a credit to the occupant, if the adjustment so calculated exceeds $1.
E.
Slow Submeter. If a submeter is found to be more than 2 percent slow as a result of a test and the unbilled amount exceeds $5, the owner may bill the occupant 1/2 of the unbilled error for the period of the occupant's service, or since the submeter was last tested, whichever is less, but not for a period longer than 12 months.
F.
Accuracy Calculation. The average accuracy shall be the weighted average of the percentage registration at light load and at heavy load, giving the light load registration a weight of 1 and the heavy load registration a weight of 4.
G.
Overcharge Adjustment. If an occupant has been overcharged as a result of an incorrect submeter reading, incorrect calculation of the bill, or incorrect submeter connection, the owner shall credit or refund the amount of overcharge to the occupant.
H.
Undercharge Adjustment. If an occupant has been undercharged as a result of incorrect submeter reading, incorrect calculation of the bill, incorrect submeter connection, stopped submeter or similar reasons, the amount of undercharge may be billed to the occupant.
I.
Meter Test by Owner. Upon application by occupant, the owner shall test the submeter for accuracy, at a laboratory approved by the Commission or on-site with instruments approved by the Commission, with no charge to the occupant, provided that no test was made within the past 18 months.
J.
Testing upon Installation and Removal of Meters.
(1)
A submeter may not be placed in service until it has been tested and adjusted by the owner at a laboratory approved by the Commission or on-site with instruments approved by the the Commission to within plus or minus 1 percent of 100 percent accuracy.
(2)
If any submeter is removed from service or replaced by another submeter, it shall be properly tested and adjusted by the owner at a laboratory approved by the Commission before being placed in service again.
Regulation .04-1 Gas Submetering.LinkCopy Citation
A.
Type of Submeter.
(1)
All submeters installed in compliance with these regulations shall be of a type and class to properly and accurately register gas consumption.
(2)
A submeter installed for billing purposes shall have been approved by the Commission.
B.
Charges for Gas. All charges for gas used by an occupant shall be calculated from the readings of the occupant's submeter.
C.
Meter Accuracy. All submeters in service shall be tested by the owner as provided by this chapter.
D.
Fast Submetering. If an occupant's submeter is found to be more than 2 percent fast at check flow, the owner shall:
(1)
Recalculate the occupant's bills for the lesser of the period of the occupant's service or the period since the submeter was last tested:
(2)
Make a refund or a credit to the occupant, if the adjustment so calculated exceeds $1.
E.
Slow Submeter. If a submeter is found to be more than 2 percent slow at check flow and the unbilled amount exceeds $5, the owner may bill the occupant 1/2 of the unbilled error for the period of the occupant's service, or since the submeter was last tested, whichever is less, not for a period longer than 12 months.
F.
Overcharge Adjustment. If an occupant has been overcharged as a result of an incorrect submeter reading, incorrect calculation of the bill, or incorrect submeter connection, the owner shall credit or refund the amount of overcharge to the occupant.
G.
Undercharge Adjustment. If an occupant has been undercharged as a result of an incorrect submeter reading, incorrect calculation of the bill, incorrect submeter connection, stopped submeter or similar reasons, the amount of undercharge may be billed to the occupant.
H.
Meter Test by Owner. Upon application by the occupant, the owner shall test the submeter for accuracy, at a laboratory approved by the Commission, with no charge to the occupant, provided that a test was not made in the past 18 months.
I.
Testing upon Installation and Removal of Meters.
(1)
A submeter may not be placed in service until it has been tested and approved by the owner at a laboratory approved by the Commission to an accuracy of 98.5—100.5 percent.
(2)
If a submeter is removed from service or replaced by another submeter, it shall be properly tested and adjusted by the owner at a laboratory approved by the Commission before being placed in service again.
Regulation .05 Bills, Bill Forms, and Payments.LinkCopy Citation
A.
Amount Billed to Occupant. The amount billed to any occupant shall be for only the quantity consumed by the unit, as recorded on the unit's submeter. Energy used in common areas and common facilities may not be billed to any occupant.
B.
Calculation of Bills.
(1)
The occupants' bills shall be calculated as follows: After receipt of the bill from the utility, electric supplier, or gas supplier, the owner shall divide the total net bill by the total number of kilowatt-hours or cubic feet as shown on the bill, to determine an average unit cost. This average unit cost shall be multiplied by each occupant's kilowatt-hour or cubic feet consumption to obtain the occupant's monthly bill.
(2)
The total master meter net bill on which the owner shall calculate the average unit cost shall include:
(a)
Customer, energy, commodity, and demand charges by the utility, electric supplier, or gas supplier;
(b)
State and local taxes and surcharges by the utility, electric supplier, or gas supplier; and
(c)
Environmental surcharge by the utility, electric supplier, or gas supplier.
(3)
The total master meter net bill on which the owner shall calculate the average unit cost shall exclude:
(a)
Late payment charge, if any;
(b)
Any connection charge;
(c)
Any charge for a bad check; and
(d)
Service charges.
C.
Unit of Measurement. The unit of measurement of the occupant's consumption shall be the kilowatt-hour (kWh) for electricity and cubic feet for gas.).
D.
Bill Information. The occupant's bill shall show:
(1)
The bill date (the date the bill was prepared);
(2)
The name of the occupant and the number, or other identification, of the unit;
(3)
The dates and readings of the submeter at the beginning and at the end of the billing period;
(4)
The amount of kilowatt-hours for electricity or cubic feet of gas billed in the billing period;
(5)
The average unit cost used to compute the bill;
(6)
The amount due for electricity or gas, the service charge by the owner, if any, the balance forward, and the total amount due;
(7)
The name and address of the firm rendering the occupant's bill and the name and address where payment can be made;
(8)
The name, address, and telephone number of the party which may be contacted in case of a dispute; and
(9)
A statement to the effect that the bill is from the owner.
E.
Estimated Bills.
(1)
Estimated bills may not be rendered unless the submeter has been tampered with, is out of order, or access to it cannot be obtained, and in this case the bill shall be distinctly marked “estimated”.
(2)
The estimate shall be based on consumption for a similar billing period when available, and if not available, on the preceding billing period.
(3)
The subsequent bill based on actual submeter reading shall show the total period between actual readings and shall indicate credit for the preceding estimate.
F.
Mailing or Rendering of Bills.
(1)
The owner shall render electric or gas bills to the occupants not later than 14 days after the owner receives the master meter bill from the utility.
(2)
The submeters shall be read by the owner within 5 working days of the date the utility reads the master meter.
(3)
Bills are due and payable upon receipt by the occupant and become past due if not paid within 20 days from the date of mailing or rendering.
G.
Relationships Between Meter Reading and Billing Dates.
H.
Service Charge. The owner may impose a service charge not to exceed $1 per unit per month to offset the administrative costs of billing.
Regulation .06 Records.LinkCopy Citation
A.
Billing Records.
(1)
All records associated with the computation of charges rendered to occupants for electric or gas service shall be retained for a minimum period of 2 years.
(2)
The owner shall maintain and make available for inspection by the occupant, upon request, the following records:
(a)
The bills from the utility to the owner for the current month and the 24 preceding months;
(b)
The calculation of the average cost of electricity or gas for the current month and the 24 preceding months; and
(c)
The occupant's submeter readings and billings for the current month and the 24 preceding months.
B.
Submeter Records.
(1)
The owner shall maintain a record of all submeters, showing the submeter number and its location.
(2)
All submeter accuracy tests shall be recorded. The record of each test shall show the identifying number of the submeter, the standard number, the date and kind of test made, by whom (including address), the accuracy at each electric load or gas flow rate tested, and sufficient data to permit verification of calculations. Records of test results of the submeter serving a unit shall be made available to the occupant of the unit upon request.
C.
Commission Inspection. The complaint agency and the Commission shall have the right to inspect the records of the owner during reasonable business hours.
Regulation .07 Complaints.LinkCopy Citation
A.
Bill and Meter Accuracy Disputes. Any dispute relating to the occupant's bill and to the accuracy of his submeter is between the owner and the occupant, and excludes the utility.
B.
Complaint Procedures. Any complaint by an occupant against an owner shall be handled by the complaint agency. An occupant is not a customer of the utility. An occupant is not entitled to have complaint or other customer rights before the Commission.
Chapter annotations
Authority: Public Utilities Article, §§2-121 and 7-303, Annotated Code of Maryland
History: Effective date: August 22, 1980 (7:17 Md. R. 1673)
History: Regulations .01 and .02 amended effective September 9, 1985 (12:18 Md. R. 1767)
History: Regulation .01F amended effective March 31, 2003 (30:6 Md. R. 422)
History: Regulation .04A amended effective March 31, 2003 (30:6 Md. R. 422); March 27, 2006 (33:6 Md. R. 579)
History: Regulation .04D and E amended effective September 9, 1985 (12:18 Md. R. 1767)
History: Regulation .04I, J amended effective March 31, 2003 (30:6 Md. R. 422)
History: Regulation .04-1 adopted effective September 9, 1985 (12:18 Md. R. 1767)
History: Regulation .04-1 amended effective March 31, 2003 (30:6 Md. R. 422)
History: Regulation .05 amended effective September 9, 1985 (12:18 Md. R. 1767)
History: Regulation .05B, D amended effective March 31, 2003 (30:6 Md. R. 422)
History: Regulation .06A amended effective September 9, 1985 (12:18 Md. R. 1767)
History: Regulation .06B amended effective March 31, 2003 (30:6 Md. R. 422)