Just got word that Evergy here in KC is filing for a 12.5% residential increase and 8.2% commercial bump starting April 2020. The new rate schedule RS-1 and GS-1 structures are completely different from what we've been working with. Anyone else seeing similar filings in their territory? This could be a goldmine for audits - I'm already seeing calculation errors in their transition methodology.
Evergy rate hike creates massive opportunities
Kevin, I'm seeing similar patterns with MidAmerican here in Des Moines. They filed for 9.8% increase in December and the new tariff structure has some serious gaps. Already found three commercial accounts where they're double-charging demand fees under the old and new schedule simultaneously. Easy $8,500 recovery on one account alone.
Westar Energy (now Evergy) here in Wichita just implemented their new rates last month. The transition period is where the money is - they're supposed to credit customers for overcharges during the 90-day adjustment window but half the accounts I've reviewed haven't gotten proper credits. Found one manufacturing client overpaid by $23,400 during transition.
Xcel Energy in Colorado just announced their 2020 rate restructure. The new Schedule C-SG has completely different demand charges and time-of-use windows. What's really interesting is they're moving from 3-tier to 5-tier residential rates. Creates tons of billing complexity and audit opportunities.
Mississippi Power down here just filed their 2020 increase - 11.2% residential, 7.5% commercial. The new Schedule P-1 and LGS-1 rates take effect March 1st. Already identified billing system programming errors in how they're calculating the new customer charge tiers. This is exactly the kind of chaos that creates six-figure recovery opportunities.
Update on the Evergy situation - found systematic errors in how they're applying the new demand ratchet provisions. Their billing system is calculating ratchets based on old tariff language instead of the updated Schedule GS-2. Recovered $45,000 for one client just on demand charge corrections from January through March billing.
The key with all these rate increases is the implementation details. Utilities rush to get new rates in place and their billing systems aren't properly programmed. I've found errors in demand calculations, incorrect seasonal rate applications, and wrong customer classifications. The 6-month period after any major rate change is prime hunting season.
Absolutely agree Leo. The transition period confusion is where we make our money. Just closed an audit where the client recovered $78,500 from incorrect rate schedule applications during Evergy's switchover. The utility's customer service couldn't even explain how the new rates worked - that's always a red flag for billing errors.