Finally got closure on a case that's been dragging for 18 months. Large manufacturing client in Gwinnett County was being billed on Rate GS-2 instead of the correct GS-3 schedule. Georgia Power claimed the original application was filed correctly, but I found a service rep note from 2009 that proved otherwise. The demand charges alone were costing them an extra $31K per month. Total recovery including interest came to $847,642. Client is ecstatic and I'm buying dinner tonight!
Just recovered $847K from Georgia Power - Rate GS-2 misapplication
Holy cow Rachel, that's huge! Nice detective work on finding that service rep note. I've had similar issues with Duquesne Light here in Pittsburgh where the original paperwork gets "lost" and suddenly the customer is on the wrong rate. What was your smoking gun evidence that convinced them?
The key was cross-referencing the customer's actual demand profile against the rate schedule thresholds. Their peak demand consistently exceeded 300kW for 6+ months, which automatically qualifies for GS-3. But the clincher was that handwritten note from the field rep stating "customer load growth requires rate review - follow up in 90 days." That follow-up never happened and it took me three FOIA requests to get those field notes.
Outstanding work Rachel! I had a somewhat similar case with TVA here in Tennessee, though not nearly as large. Customer was on Schedule GSA when they should have been on Schedule MSA. Only $180K recovery but still felt great. The lesson is always dig deeper into those original applications and service records.
Rachel, did you face any pushback from Georgia Power on the interest calculation? I've got a similar case brewing with FirstEnergy and they're already balking at paying interest on overcharges. Trying to claim it's a "billing adjustment" not an "error correction."
Frank, they absolutely fought the interest initially. Their position was exactly what you mentioned - calling it a "rate adjustment" rather than acknowledging the error. I had to cite their own tariff language about billing corrections and threaten a PSC complaint. Once legal got involved on their side, they caved pretty quickly. The interest alone was $67K so worth the fight.
This gives me hope for my current Georgia Power case. Different issue - improper power factor penalty application - but dealing with the same bureaucracy. Rachel, did you use outside counsel or handle the PSC threat yourself?
Amir, I handled it myself initially but brought in energy counsel when they started stonewalling. Sometimes that letterhead from a law firm specializing in utility matters gets their attention faster than our professional credentials. Worth every penny of the legal fees when you're talking about this kind of recovery.