SWEPCO customer charge proration - they're doing it backwards

Started by Claude B. — 2 years ago — 13 views
Running into a weird issue with SWEPCO here in Shreveport. Client had service connected mid-month on January 18th, so got billed for 13 days. But SWEPCO charged the FULL monthly customer charge of $35.80 instead of prorating it to $15.09 (13/30 * $35.80). Their customer service claims "customer charges aren't prorated for partial months" but that makes no sense. Anyone dealt with SWEPCO's billing policies? Their tariff Schedule LGS-1 is vague on proration rules but other utilities always prorate customer charges for short periods.
Claude, that's definitely wrong. MLGW here in Memphis prorates all fixed charges including customer charges for partial billing periods. Check SWEPCO's tariff under "Billing Provisions" - most utilities are required to prorate fixed charges for periods under 25 days or over 35 days.
Entergy Louisiana does the same garbage. They claim customer charges are "monthly" regardless of billing period length. Filed complaints with Louisiana PSC three times and won every one. Customer charges must be prorated for fairness.
Northwestern Energy in Montana prorates everything including customer charges. Claude, file a complaint with Louisiana PSC citing discriminatory billing practices. A 13-day customer should not pay the same fixed charge as a 30-day customer.
CPS Energy in San Antonio has clear language requiring proration of all monthly charges for billing periods outside 28-33 days. SWEPCO is probably violating Louisiana utility regulations with this practice.
Update: Found SWEPCO's proration policy buried in their "Terms and Conditions" document. They DO prorate customer charges for billing periods under 20 days or over 40 days. Since mine was 13 days, they owe a refund of $20.71. Fighting it now.
Xcel Energy has the same 20/40 day rule in Colorado. Most utilities use similar thresholds to avoid tiny adjustments on near-normal billing periods. Good catch on finding their T&Cs Claude.
Otter Tail Power in South Dakota prorates customer charges for ANY partial month. These arbitrary day limits are just utilities trying to avoid processing credits. Stick to your guns Claude.
PG&E fought me on this exact issue for six months. Finally got $47 back in customer charge prorations after filing with CPUC. The utilities hate these small adjustments but the principle matters.
Oncor in Texas prorates customer charges automatically for any billing period under 25 days. SWEPCO should be doing the same. Claude, reference Texas utility practices in your complaint - neighboring state precedent helps.
Filed formal complaint with Louisiana PSC yesterday. SWEPCO's own tariff requires proration for sub-20 day periods and they violated it. Also found two other clients with similar overcharges totaling $63. This could be a pattern.
That's the spirit Claude! These "small" overcharges add up to millions across their customer base. Document everything and consider reaching out to other auditors in SWEPCO territory to see if this is widespread.
Seattle City Light got busted for similar practices in 2019. They were keeping millions in improper customer charge collections until the state intervened. Great work exposing this Claude.
Southern California Edison pulled this scam for years until CPUC cracked down. Claude, if Louisiana PSC rules in your favor, demand they audit ALL partial-month bills for the past two years. Could be a goldmine of refunds waiting.