Embedded Networks facilitating cheaper electricity for industrial and commercial buildings

What is an Embedded Network?

Put simply, an embedded network is a supply arrangement where a site owner or manager purchases electricity for an entire site and on-sells it to each tenant. An embedded network is a network established to effectively read and charge electricity to individual tenants (within a body of tenants) for the amount in which they’ve each consumed. These networks facilitate the energy on-selling process, whereby energy is purchased at a discount at the parent meter and sold to tenants within a network, again at a discounted rate, reducing overall expenditure.

An embedded network is established to physically aggregate the energy consumed within a complex, to one single meter point (commonly referred to as a parent, gate or main meter), that records the total energy consumed within the embedded network. Sub-meters then measure both tenant’s and common areas (energy consumed for public light, power and mechanical services) electricity consumption, using the latest in interval metering technology.

Embedded networking can only be established where electricity infrastructure is privately owned and managed. Rather than each occupant negotiate their own contract with various electricity retailers, they combine their purchasing power to obtain significant discounts with their electricity, to what they could all individually achieve. The volume of electricity they would use as a whole allows individual tenants of multi-unit developments to bundle their volume of electricity usage and receive discounted electricity prices, improving efficiency and lowering costs.

Embedded networks have proved highly effective in shopping centres, large scale residential developments and commercial and industrial building complexes.

Commercial & Industrial Embedded Network Systems

There has become a growing need for commercial buildings to measure electricity consumption at a tenant level, for accurate and reliable on-billing.

An embedded network system can be created where a building containing a number of tenants is fed through a single supply point, like a main switchboard. A parent meter is installed between the incoming supply and the main switchboard, recording all incoming supply to the building. The site or building owner then purchases electricity at the parent meter (as a large market user) and on-sells the energy to tenants, at small market rates. The parent meter of the site will reside with a local network service provider (LNSP), whilst the tenant meters are separated from the local provider and converted to other sub-meters. Any tenants within the site who choose to not be a part of the embedded network system will have a child meter connection to the local provider.

Benefits of Embedded Networking

The benefits associated with an electrical embedded network system include:

  • attractive rates to end users through a building-centric buying group which equates to lower energy costs for the tenants
  • additional revenue stream for building owners and managers
  • a clearer insight for building owners and facility managers of the electricity consumption across their site(s)
  • an ongoing income stream that will help to subsidise electrical building maintenance for owners and managers as buildings age and require more maintenance
  • a strong understanding of the requirements of each building, resulting in an improved ability to service tenant electrical upgrade needs and provide a low-risk arrangement for stakeholders
  • better energy monitoring and management with greater control of site electrical infrastructure including tenant metering.

Prolux Electrical Contractors have provided embedded network metering solutions for industrial and commercial estates and complexes across Melbourne, working directly with facility and building managers to ensure they deliver solutions that fulfil the needs of all users.

Working directly with switchboard manufacturers to integrate their metering solutions into the switchboard prior to delivery to site, they are able reduce the amount of on-site work required.


For more information on embedded network systems, or to arrange an inspection for your industrial or commercial building site, call Prolux Electrical Contractors today on 1800 800 880.