Dan from Green Bay with Wisconsin Electric territory. Got approached by an energy advisor who wants to install their own sub-metering system at several of our client's facilities to "identify hidden energy waste." They're claiming the utility meters don't provide enough granular data for proper analysis. Equipment cost would be $25K plus $500/month monitoring fees. Anyone dealt with third-party metering proposals like this? Seems like an expensive way to get data we could probably get other ways.
Energy advisor wants to install their own metering equipment
Glenda from Idaho Power territory. I've seen similar pitches and they're usually more about recurring revenue for the advisor than actual value for the client. Modern utility meters already provide 15-minute interval data in most territories. Before spending $25K on equipment, ask your utility what data they can provide directly. You might be surprised what's already available for free.
Jesse in SCE territory here. Third-party metering can be valuable for large facilities with complex operations, but $500/month recurring fees add up fast. That's $6K annually on top of the equipment cost. For that money, you could probably hire a qualified engineer to do quarterly energy audits and get better insights than automated monitoring provides.
Randy here in Memphis MLGW territory. Dan, I'd be very cautious about this proposal. The equipment becomes their asset, not yours, which means you're locked into their monitoring service indefinitely. If you really need sub-metering, buy your own equipment and hire a local controls contractor to install it. You'll own the system and avoid those monthly fees.
Sandra from Memphis here too. Randy's absolutely right about the ownership issue. I had a client get trapped in a 5-year monitoring contract when they wanted to switch advisors. The new advisor couldn't access the metering data because the previous company owned all the equipment. Client ended up paying for redundant metering systems. Total nightmare.
Christine in Minneapolis Xcel territory. Before you spend any money, check if your facilities qualify for utility-sponsored energy assessments. Xcel provides free energy audits for commercial customers over 50kW, including temporary sub-metering for 2-week periods. Many utilities have similar programs that could give you the data you need without the long-term commitment.
Dave from PacifiCorp territory in Oregon. Another red flag - advisors who push proprietary monitoring systems usually can't export data in standard formats. You become completely dependent on their reporting platform. Ask to see sample reports and data export capabilities before committing. Good systems should integrate with standard building management platforms.
Great points everyone. I pushed back on the proposal and the advisor immediately dropped the price to $18K equipment plus $350/month monitoring. Red flag right there - if they can cut 30% off the price that easily, they were trying to overcharge initially. Going to explore the utility-sponsored audit options Christine mentioned instead.
Warren from Idaho Power territory. Dan, you made the right call. Legitimate advisors don't negotiate equipment costs like used car salesmen. If you do decide on sub-metering later, look into companies like Schneider or Siemens who sell equipment without the ongoing monitoring lock-in. You can always find local contractors to analyze the data.
Sylvia from PPL territory in Pennsylvania. Had a similar experience where the advisor's "advanced metering" was just basic current transformers connected to a data logger. Nothing you couldn't buy yourself for under $5K. The $20K markup was pure profit for them. Always ask for detailed equipment specifications and get quotes from electrical contractors for comparison.
Vivian from AEP Texas territory in Corpus Christi. Watch out for advisors who claim their metering will "optimize your power factor" or "reduce demand charges automatically." Those are separate issues that require actual equipment changes, not just better monitoring. Metering shows you problems but doesn't fix them. Make sure you understand what the system actually does versus the marketing promises.
Albert from TVA territory in Huntsville. Another consideration - who owns the data these systems collect? Some contracts give the advisor rights to use your energy consumption patterns for their other clients or market research. Your operational data has value and you shouldn't give it away as part of a monitoring contract. Read the privacy clauses carefully.
Elmer from Empire District territory in Missouri. Data ownership is huge Albert. I've seen advisors use client consumption patterns to negotiate better deals with suppliers for their other customers. Your peak demand times and load profiles are competitive intelligence that shouldn't be shared without explicit consent and compensation.
All excellent points about data ownership and privacy. Dan, sounds like you dodged a bullet on this one. The fact that they immediately dropped their price when challenged tells you everything about their margins and motives. Stick with utility programs first, then consider owned equipment if you really need ongoing monitoring. Much better long-term strategy.