Training a new hire here in Fargo and it got me thinking about common mistakes I see repeatedly. What are the biggest blunders you've encountered from junior auditors? I'm trying to create a checklist to prevent the obvious pitfalls. My current trainee just spent two days analyzing the wrong meter number because he didn't verify the account details first.
Worst mistakes you've seen from junior auditors?
Anita, that meter mix-up is classic! Up here with Chugach Electric, I've seen trainees confuse kW and kVA on power factor calculations more times than I can count. Cost one client $15,000 in missed refunds because the auditor didn't understand reactive power billing. Now I make everyone draw out the power triangle before they touch any PF analysis.
The worst I've seen was a junior who didn't understand seasonal rate differentials. Duke Energy has complex summer/winter pricing here in Ohio, and he calculated a $40K refund that should have been $8K because he used winter rates for summer months. Client was thrilled until we had to break the bad news during quality review.
Cecilia, seasonal mistakes are brutal. I had a trainee here in Huntsville who missed Alabama Power's winter backup tariff entirely. The client had been on an interruptible rate but the auditor calculated savings as if they were on firm service year-round. Overstated potential savings by $25K annually. That was an uncomfortable client meeting.
Not checking rate effective dates is another big one. Idaho Power updated their Schedule 19 midway through the audit period, but my trainee used the old rates for the entire analysis. Fortunately caught it in review, but it would have been a $12K error on a manufacturing client's refund calculation.
Warren brings up a crucial point about effective dates. Avista has had three rate changes in the past two years here in Spokane, and keeping track is essential. I make all my trainees highlight rate change dates in yellow before they start any calculations. Visual cues help prevent those timeline errors.
Sarah's highlighting system is smart. Here in Pennsylvania with PPL, I've seen junior auditors miss transmission charges entirely because they're buried on page 2 of the bill. One audit showed $18K in potential demand savings but completely ignored $22K in transmission costs that would have negated the benefit.
Donna, transmission charges are definitely overlooked. I require new auditors to create a line-item checklist for every bill component before starting analysis. Distribution, transmission, generation, riders, taxes - everything gets documented first. Prevents those surprise cost components from derailing the whole audit.
These examples are gold for my training program. Another mistake I see is junior auditors not understanding contract vs tariff rates. Had one who spent days analyzing a tariff-based alternative for a client already on a negotiated contract with better terms. Always verify the current rate structure before proposing changes!
Anita's contract point is huge. Alabama Power has both tariff and negotiated options for large industrials. I now require trainees to get a copy of any special contracts before they touch the analysis. Can't tell you how many hours have been wasted analyzing published rates when the client has custom terms.
All great points here. In New Mexico with PNM, I've learned to have junior auditors explain their methodology out loud before they start calculations. Forces them to think through the process and often catches logic errors before they waste time on wrong assumptions. The rubber duck debugging approach works for auditing too.