Ameren Missouri implemented their 2013 rate increase in July and the billing chaos has been unbelievable. The new Large General Service schedule LGS-2 has demand charges that make no sense and customer service can't explain how anything is calculated. I've got six commercial accounts with obvious billing errors but Ameren keeps insisting everything is correct. Anyone else fighting these battles?
Ameren Missouri 2013 increases - what a disaster
Elmer, I'm not in Missouri but Mississippi Power did something similar last year. The key is getting documentation of their billing algorithms and comparing them to the approved tariff language. Often the programmers misinterpret the rate structure. Have you filed any formal complaints yet?
Gerald, I've filed three formal complaints with the Missouri PSC. The most obvious error is how they're calculating demand charges during partial billing periods. Their system is prorating demand but the tariff clearly states demand charges should be based on actual maximum demand regardless of billing period length. One account is overpaying $2,400/month just on this error.
Following this thread because CPS Energy in San Antonio is planning similar rate restructuring. Elmer, are you seeing errors mainly in demand calculations or are there energy charge problems too? Want to know what to watch for when our changes take effect.
Vivian, the demand charge errors are most common but I've also found problems with how they're applying seasonal adjustments and fuel cost recovery charges. The new rate structure has so many moving parts that their billing system can't handle the complexity. Energy charges are generally correct but all the adders and adjustments are problematic.
Elmer, have you tried working directly with Ameren's major accounts team? Sometimes they have better technical knowledge than regular customer service. In Iowa, MidAmerican has specialists who understand the complex rate calculations better than frontline staff.
Norm, tried that approach but even their major accounts team is confused by the new rates. They keep referring back to customer service or promising to 'look into it' but no real answers. The problem seems to be that nobody at Ameren fully understands how their own billing system is implementing the new tariff structure.
This is why I focus on utilities going through major rate changes. They always mess up implementation and create opportunities for auditors. Elmer, document everything and be persistent. Eventually they'll admit the errors rather than keep fighting. I've seen this pattern dozens of times.
Update: Missouri PSC ruled in favor of customers on the demand charge proration issue. Ameren has to correct billing going back to implementation date and issue credits. Working on getting similar relief for the seasonal adjustment errors. This could affect thousands of commercial accounts statewide.
Excellent news Elmer! Regulatory complaints are often the only way to get systematic billing errors fixed. Individual account disputes take forever but PSC rulings force utilities to correct problems system-wide. How much total recovery are you expecting across your client base?
Marcus, looking at around $180,000 in total recoveries once all the credits are processed. The demand charge proration fix alone is worth $95,000 across my client accounts. Still fighting the seasonal adjustment issue but optimistic based on the PSC's initial ruling. This has been a very profitable year thanks to Ameren's billing disasters.
Great work on the PSC complaint strategy. Here in Alaska we don't have the same regulatory framework but your approach of documenting systematic errors and pushing for system-wide fixes is solid. Rate implementation periods are definitely when utilities are most vulnerable to billing mistakes.
Final update - Ameren issued credits totaling $267,000 to my clients for various billing errors related to the 2013 rate implementation. The key lessons: document everything, file formal complaints for systematic errors, and be patient. Rate restructuring periods are goldmines if you know how to work them properly.
Outstanding results Elmer! Your systematic approach to identifying and challenging billing errors is exactly what this profession is about. Rate implementation periods will always create opportunities because utilities rush changes without proper testing. Your documentation and persistence paid off in a big way.