Just signed a state university as a client. They have 47 electric meters, 12 gas meters, and 8 water meters across campus — all on different rate schedules with Nashville Electric Service. The facilities director said nobody has reviewed these bills in at least a decade. I don't even know where to start. The annual utility spend is over $4 million.
University campus — 47 meters, one client
Start with the largest meters. Pull up the top 10 electric meters by annual spend and audit those first. On a campus that size, those 10 meters probably account for 60-70% of the total electric spend. Check rate classification on every one — universities frequently have meters that should be on an industrial or large power rate but are stuck on a general service commercial rate because nobody updated them when usage grew. I audited Ole Miss and found three buildings on the wrong rate schedule with Mississippi Power. Combined savings were $67,000 per year.
Universities are outstanding clients for several reasons. The spend is enormous, the billing complexity creates lots of opportunities for errors, and the decision-making process — while slow — tends to result in long-term engagements. One critical thing to check on any state university: tax exemption status. State institutions should be exempt from sales tax on utilities but I've seen many cases where the exemption certificate expired or was never filed for newer meters. Also check for educational rate riders — some utilities offer discounted rates for educational institutions that the university may not be enrolled in.
The expired tax exemption is a great call. I'm going to pull exemption certificates for every account first thing. And I didn't know about educational rate riders — checking the NES tariff book now. Thanks both of you.