Found the opposite of the usual primary voltage issue. My client — a mid-size office building in Charlotte on Duke Energy — is being billed at the primary voltage rate, which includes a 4% discount. But the utility owns the transformer. The building receives secondary voltage service. The client has been getting a discount they don't deserve. This is an undercharge, not an overcharge. Do I tell the client?
Secondary service billed as primary — opposite problem
Yes, you tell the client. We covered this in the Ethics topic — you're obligated to inform the client of all findings, including undercharges, because the utility can discover and backbill for the error. The risk of staying silent is a surprise backbill. Better for the client to know about it and proactively correct it than to get hit with a 2-year backbill later. Document the finding in your report and recommend the client contact Duke to correct the billing. The client will appreciate your honesty even though the correction will increase their bill.
Agree completely. Also check — Duke might backbill for the undercharge period. Knowing the backbilling limit for North Carolina (24 months under NCUC policy) helps you quantify the client's exposure so they can plan for it.
Told the client. They weren't happy but they appreciated being warned. Duke corrected the billing and backbilled 12 months — about $6,800. The client said he'd rather pay $6,800 now than get surprised by a larger bill later. Right call.