Energy Cost Transparency Would Benefit Apartment Renters, Owners

New study shows that prospects are drawn to lower costs; would spur owners to add efficiency measures.

In a win-win scenario, local or state policies requiring landlords to disclose efficiency information in rental listings could help tenants find lower-cost housing and spur building owners to make energy-saving improvements.

This is according to a study by the American Council for an Energy-Efficient Economy (ACEEE) released last week.

An ability to compare utility rates when apartment shopping would create more informed residents, the report said, based on a mock website that displayed information.

Smart-Home Technology Can Lead to Cost Savings

Reuven Sussman, lead author of the report and director of the behavior and human dimensions program at ACEEE, argued, “How can renters possibly make informed decisions about which home to live in without being able to compare what their utility bills will be? If renters have that energy cost or efficiency rating, it’s absolutely going to affect their choices. It may also nudge landlords to make their buildings more efficient.”

Cyrus Claffey, founder of smart-home device manufacturer ButterflyMX, tells GlobeSt.com that a fully integrated smart building helps property owners and managers connect all of the building’s IoT devices into one platform to help lower utility expenses.

“By connecting the property’s access control system to the resident’s in-unit smart devices, like lights and thermostats, their lights will turn on and the thermostat will adjust when they enter the building. And when the resident leaves, these devices will shift into energy-efficient mode or shut off completely, reducing energy consumption and utility costs.”

ACEEE’s research was based on a nationally representative sample of 2,455 renters.

The study also found that it’s important how the energy information was presented. Energy labels for only the most efficient homes did not encourage study participants to choose them. For this reason, [ACEEE] “recommends that voluntary labeling should be only a steppingstone toward energy disclosure in all real estate listings.”