Working on several PG&E commercial accounts and struggling with how delivery charges are calculated versus supply charges. The rate schedules are incredibly complex with multiple tiers, time-of-use periods, and seasonal adjustments. Anyone have experience auditing PG&E accounts effectively? What are the most common errors you find in delivery charge calculations? The bills are nearly impossible to verify without specialized software.
PG&E delivery charges vs. supply charges - how to audit effectively
PG&E is notoriously difficult to audit. I use utility bill analysis software that can parse their complex rate structures. Most common errors I find are incorrect demand calculations during peak periods and wrong seasonal rate applications. Also watch for delivery charge vs. supply charge allocation errors. PG&E's customer service is useless for technical billing questions.
Arizona Public Service has similar complexity but PG&E is worse. Focus on the demand charges first - that's where the biggest errors usually occur. Also verify they're applying the correct rate schedule for your client's usage profile. I've found cases where commercial accounts were billed on wrong tariff schedules for months.
California deregulation created a mess of billing complexity. The key with PG&E is getting historical usage data in 15-minute intervals if possible. Their delivery charges include distribution, transmission, and various regulatory fees that change frequently. I recommend focusing on accounts with demand over 200kW - that's where audit recoveries justify the effort.
Thanks for the software recommendations. I'm finding delivery charge errors on about 60% of accounts reviewed. One client was overcharged $23,000 due to incorrect time-of-use period applications. PG&E applied peak rates during off-peak hours for six months. Their billing system apparently had a programming error that wasn't caught until I challenged it.
Avista in Washington has complex delivery charges too but nothing like PG&E. California's regulatory environment creates layers of fees and adjustments that make auditing extremely time-consuming. Have you tried requesting PG&E's internal calculation worksheets? Sometimes they'll provide backup documentation that reveals billing errors.
PG&E rarely provides detailed calculation worksheets voluntarily. You usually need to file formal complaints with the CPUC to get useful documentation. But once you understand their rate structure patterns, you can spot errors more easily. Look for seasonal rate transitions - that's when their billing system makes the most mistakes.
Speaking of seasonal transitions, I found a $67,000 overcharge where PG&E applied summer rates through October when they should have switched to winter rates in September. Client had been overpaying for three years before I caught it. Always verify rate schedule effective dates against actual billing periods.
Seasonal rate errors are goldmines for auditors. Utilities' billing systems often have hard-coded date ranges that don't account for early/late season changes. I recovered $89,000 for a California manufacturer who was billed on wrong seasonal rates for 14 months. PG&E eventually admitted their system error and issued full credits.
This thread has been incredibly helpful. I've identified seasonal rate errors on two more accounts totaling $34,000 in potential recoveries. The key seems to be understanding PG&E's rate schedule transition dates and comparing them to actual billing applications. Their customer service reps have no clue about these technical details.
Document everything meticulously when dealing with PG&E. They'll try to deny obvious errors unless you have ironclad proof. I keep spreadsheets showing correct vs. actual rate applications for every billing period. Makes it much easier to present cases to the CPUC if needed.
Great discussion. Even though Kansas doesn't have retail choice, I've consulted on California accounts and PG&E is definitely the most complex utility to audit. The recovery potential is high but you need specialized tools and deep understanding of their rate structures. Worth the investment if you have enough PG&E clients.