Skip to content

Platform · Tenant Allocation

A tenant disputes the recharge. What do you show them?

In most estates the allocation methodology is a tab in a workbook, and the person who built it has moved on. Sustainify AI makes tenant carbon and cost allocation a governed, versioned, dispute-ready output of the platform.

Financial · recharges

Recharged to tenants · FY 2024/25

£287.4k

70% of £410.6k priced energy

Tenants

3

Avg allocation

23.3%

Associated emissions

346.5 tCO2e

Landlord retained

£123.2k

Where the priced energy lands

Landlord retained is priced energy not apportioned to a registered tenant: unlet space and shared common areas the landlord bears directly.

Tenants

3 with a space allocation

TenantAlloc %Amount

Northbank Partners LLP

Bishopsgate

31.4%£128,941

Meridian Legal

Bishopsgate, Savile Row

24.2%£99,375

Copperfield Media

Bankside

14.4%£59,132

Utility apportionment statement

Northbank Partners LLP

Bishopsgate · 2,400 m² demise · FY 2024/25

Statement total

£128,941

Allocation basis: Floor areaDemise: 2,400 m² · 31.4% cost share

Energy apportionment

31.4% share of shared building energy

£128,941

Total apportioned

£128,941

Estimated apportionment, not an invoice.

Associated emissions: 155.4 tCO2e , included so tenants can use this for their own Scope 2 and Scope 3 reporting.

Fig. 1Tenant recharge schedule with methodology documented.

Allocate the way the lease actually says.

  • By lease.

    The contractual boundary, applied as written. Not an estimate.

  • By area.

    Net lettable area, for multi-tenant assets without sub-metering.

  • By consumption.

    Sub-meter and smart meter data. The most accurate method, and the most defensible in a tenant dispute.

Bishopsgate · FY 2024/25 · one building, three answers

495.0 tCO2e to apportion

Tenant B, 1,850 m², the occupier comparedOther occupiersCommon parts

01By lease

The contractual boundary, applied as written

21.5%

31.7 tCO2e under the sub-metered answer

106.4tCO2e to Tenant B

02By area

Net lettable area, where there is no sub-metering

24.2%

18.3 tCO2e under the sub-metered answer

119.8tCO2e to Tenant B

03By consumption

Most defensible

Sub-meter and smart meter data, read per period

27.9%

What the occupier actually used

138.1tCO2e to Tenant B

Same building. Same period. Same occupier. The method moves the bill.

106.4 119.8 138.1 tCO2e· 31.7 spread

Same building, same total. Three methods, three answers.

Rules are time-bound, so a mid-year lease change does not corrupt the whole year. Recharge schedules are locked and versioned per reporting period.

Outputs, not dashboards.

  • Tenant recharge schedules with the methodology documented and locked

  • Individual tenant carbon reports covering their Scope 2 and 3 liability

  • Allocation methodology exports, ready for lease negotiation or dispute resolution

  • Portfolio allocation summaries

  • Audit lineage per recharge.

Every recharge is defensible, documented and dispute-ready.

Most carbon platforms stop at the report.

They tell you what you emitted. They cannot tell you who owes you for it. Allocation outputs feed recharges, tariffs and carbon price models from the same governed dataset, which turns a compliance cost into a cost recovery mechanism.

Outbound · what measuring the estate costs

Measuring the estate

£84,000a year

meters, evidence, assurance time

Governed dataset

495.0tCO2e

factors pinned, period locked

Report filed

3disclosures

SECR · GRESB · CSRD

Most carbon platforms stop here. They can tell you what you emitted. They cannot tell you who owes you for it.

Return · what allocation brings back

Same dataset, run the other way

Allocation applied

by lease, area or sub-meter · time-bound rules

Recharge schedule issued

locked and versioned per period · lineage per line

Recovered from occupiers

£61,500a year

dispute-ready, methodology attached

£84,000£61,500=£22,500net cost of measuring

73% of the measurement cost recovered, from the dataset you were already paying for

The return path is the part most platforms do not have.

Questions

Tenant allocation, answered

How should carbon be allocated between landlord and tenant?

By a stated methodology applied consistently, most commonly lease-based, floor-area-based or consumption-based depending on what is metered. The choice matters less than being able to show which method was used, why, and that it was applied the same way across the portfolio and across years.

What makes an allocation dispute-ready?

Being able to show the occupier the method, the inputs, the period and the version of the methodology in force when the schedule was produced. A recharge that can only be defended by the person who built the spreadsheet is not dispute-ready, and that person eventually leaves.

Can the methodology change between years?

Yes, and it often should as metering improves. It is versioned, so a schedule produced under the old method stays reproducible under that method, and the change is visible as a change rather than appearing as an unexplained movement in a tenant’s bill.

Does this replace the service charge process?

No. It produces the carbon and cost allocation that feeds it, with the methodology and evidence attached. The service charge itself continues to be raised and administered wherever it is today.

What if a building is only partly metered?

The metered portion is allocated on consumption and the remainder on the stated fallback basis, with each row carrying which of the two produced it. Mixing them into a single figure is what makes an allocation impossible to defend line by line.

Make every recharge defensible.