Accurate electricity, water, gas, and waste data is the foundation of any sustainability strategy, efficiency planning effort, and informed investment decision—and increasingly required by state and local regulations. Yet tenant-controlled utility data remains surprisingly difficult to obtain, especially in industrial, retail, and other NNN properties where LOAs and invoices often require persistent follow-up.
If you’re new to utility data collection or struggling to obtain information, these steps will help guide you navigate the process. If you haven’t already, create an Energy Star Portfolio Manager Account (ESPM) and establish property profiles.
- Define the Purpose of Data Collection
There are many reasons to collect utility data, and understanding your purpose is essential. Defining why you are collecting data helps align stakeholders, set expectations, and communicate clearly with internal teams and tenants—leading to greater transparency, cooperation and participation. Be explicit about why the data is needed and how it will be used.
Common objectives include:
- Regulatory Compliance: Meeting benchmarking ordinances and Building Performance Standards (BPS), such as Local Law 97 (NYC) and requirements in Colorado, Washington, Maryland, and cities including Boston, Newton, and Cambridge, MA.
- Reporting and Disclosure: Supporting ESG reporting frameworks such as Global Real Estate Sustainability Benchmark (GRESB), Global Reporting Initiative (GRI), or International Sustainability Standards Board (ISSB), as well as responding to investor due diligence requests.
- Certifications: Pursuing or maintaining certifications such as ENERGY STAR, Leadership in Energy and Environmental Design (LEED), BREEAM, or Institute of Real Estate Management (IREM).
- Sustainability Strategy: Reducing carbon emissions, identifying efficiency opportunities, and planning renewable energy investments.
- Assign Clear Responsibility for Data Collection
Identify the stakeholder best positioned to request tenant utility data.
While property managers are often assigned this task, they may not be the best choice, especially if you are using third-party firms. ESG data collection is rarely in their scope of services, requires repeated follow-ups and can strain tenant relationships. A property manager’s time is usually better focused on tenant service and operations.
Consider assigning utility data collection to a sustainability consultant, data management provider or internal sustainability lead. These roles are better suited for repeated requests and processing and connecting data.
- Get Whole Building/Aggregate Data from the Utility Company
Your first stop should always be the utility company. When available, aggregate consumption data is free and does not require tenant approval. Requirements vary: some utilities release data when there are three meters in a building while others might need up to sixteen. This protects tenant privacy by blending usage and masking an individual tenant’s identity. Utilities may deliver this information through a direct connection to Energy Star Portfolio Manager or as a file you’ll need to upload manually or have a third-party data management vendor process.
- Request Tenants Sign Letters Of Authorizations (LOAs)
Tenants can authorize the release of their utility data by signing a Letter of Authorization (LOA). LOAs provide less detail than utility invoices and significantly reduce the effort required from tenants, owners, and property managers. Because most LOAs stay valid for three years, they eliminate the need for repeated invoice requests and submissions. Keep in mind that utilities vary: some require their own LOA form, others accept a standard template, and a few do not accept LOAs at all—in which case tenant invoices are the only option.
- Request Utility Invoices from Tenants
If LOAs aren’t accepted by the utility or a tenant declines to sign one, request two years of utility invoices. Avoid the common mistake of asking for only 12 months—benchmarking requires 24 months to establish month-over-month comparisons. While invoices are more labor-intensive to process, they still include all the necessary information. A third-party data provider can streamline extraction and organization of pertinent data saving a lot of time and energy.
- Review Lease Agreements
Start by reviewing your lease agreements to see what they permit regarding utility data. Look for clauses that allow data collection or submetering and specify whether tenants must share consumption information for reporting. Even with supportive language, obtaining data may still require persistence. To reduce friction in the future, update your standard lease templates to strengthen utility data requirements. Include clauses requiring tenants to provide usage data or authorize data release. Add language allowing for submetering if it may be installed. You should also reference local benchmarking laws to reinforce why this requirement exists.
- Identify Barriers and Build Tenant Buy-In
If a tenant consistently declines to provide data or sign an LOA, work to understand the reason for the resistance. They may have privacy concerns, misunderstand what an LOA grants access to, view the request as inconvenient, worry the data could be used against them—similar to reporting retail sales or be restricted by corporate policy. Once you understand the specific barrier, you can address it directly with information and reassurance.
Build buy-in by explaining the benefits, such as improved building efficiency and potential cost savings. Clarify exactly how the data will be used and reinforce confidentiality protections.
- Install Shadow Meters
Shadow meters can produce great results for collecting data in tenant-controlled buildings. Shadow metering uses sensors installed alongside existing utility meters to automatically capture electricity, water or gas data without tenant involvement or reliance on utility bills. Data is captured at frequent intervals, typically every 15 minutes, enabling greater visibility and more informed decision-making. However, installing shadow meters should be your last option if you have a limited budget, have a large portfolio or multiple buildings without data because of the upfront and maintenance costs. In addition, it is not possible to collect historical data. So if you are benchmarking and need to provide data for benchmarking or reporting frameworks, you will need to wait 12-24 months to receive full credit for the data.
- Connecting Utility Data to ESPM
Most utilities provide step-by-step guides on their websites explaining how to connect usage data to your ESPM property profiles. If your property is subject to benchmarking requirements, ESPM will serve as both the central hub for receiving utility data and the platform for submitting compliance reports.
- Engaging Third Party Data Management Services
In addition to using ESPM, strongly consider engaging a third-party data management provider. These platforms can automate utility data uploads for common-area meters, process and upload tenant invoices. Many also generate GRESB- and framework-ready reports and templates.
Providers vary significantly in capability and cost, so evaluate options carefully. A strong provider will streamline data collection, management, and reporting—saving substantial time and effort and making the investment worthwhile. Many platforms now also leverage AI to identify efficiency improvements and support net zero pathways.
Collecting utility data from tenant-controlled buildings is rarely easy, but it is foundational to compliance, reporting, investment planning, and long-term sustainability value. By clarifying your purpose, assigning responsibility, leveraging utility options, and thoughtfully engaging tenants, you can transform a complicated process into a repeatable system. As regulations expand and climate expectations increase, teams that build strong utility data practices today will be better positioned to meet tomorrow’s requirements—and unlock performance wins across their portfolios.