Made a pretty basic mistake last month that cost me some credibility with a new client. Restaurant owner in what I thought was Seattle City Light territory was complaining about high electric bills. I spent hours analyzing SCL rates and preparing recommendations for a different rate schedule that would save them $300/month. Presented my findings and the owner looked confused - turns out they were actually served by Puget Sound Energy, not SCL. I had assumed based on the address without actually verifying. PSE's rate structure is completely different and my entire analysis was useless. Had to start over from scratch and eat the time I'd already invested. Now I always confirm utility service territory before I do any analysis, even if I think I know the area well.
Lesson learned: Always verify utility territory before doing rate comparisons
Been there David! Texas is a nightmare for this with all the different retail providers and delivery companies. I once spent a day analyzing Oncor rates when the client was actually with CenterPoint. The service territories can change from one side of the street to the other in some areas. I learned to always ask for a recent bill before I start any work - saves a lot of wasted effort.
PSE&G territory in New Jersey can be tricky too, especially near the borders with other utilities. I always check the utility logo on the bill now rather than relying on addresses. Made a similar mistake early in my career analyzing JCP&L rates for a PSE&G customer. Client was not impressed with my geographic knowledge of their own service area.
Oregon has some weird territory overlaps too, especially around Portland where you have PGE, Pacific Power, and some smaller municipal utilities all serving different parts of the metro area. I created a simple checklist that includes verifying utility service as step one. Takes 30 seconds but prevents these kinds of embarrassing mix-ups.
Alaska is actually pretty straightforward - mostly just Chugach Electric, Golden Valley, and a few smaller co-ops. But I've made similar mistakes when working with clients in the lower 48. The worst part is when you realize the error after you've already presented your findings. Always better to double-check upfront than explain later why your analysis doesn't apply to their actual utility.
This is such a basic step but easy to overlook when you're familiar with an area. Xcel serves most of the Texas panhandle but there are a few municipal utilities scattered around that have completely different rate structures. I now make the client confirm their utility company in writing before I start any analysis. Seems overly cautious but prevents exactly this kind of waste of time.
Great thread David. This is one of those mistakes that every auditor makes exactly once. The key is building verification steps into your standard process so it becomes automatic. I always ask clients to email me a copy of their most recent bill before our first meeting - not just for the usage data but to confirm I'm looking at the right utility and rate schedule. Simple step that prevents a lot of wasted effort and embarrassment.