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Regulated Local Distribution Company
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Minimizing Energy Cost Exposure
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Client
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A local distribution company (LDC) that serves more than one million
homes and businesses in the regulated electricity and natural gas
markets across four states in the Mid-Atlantic Region. |
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Problem
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The LDC needed to accurately reflect and disburse its energy supply
costs to its competitive energy suppliers in a tight deadline. Although
the LDC possessed the information it needed to determine the actual
amount due for the energy supply, it possessed no tools or method
to enable this process. The LDC initially expected their exposure
to be approximately 30 million dollars.
The LDC desperately needed automated process solutions on a continuing
basis to enable the company to accurately evaluate the data and without
depending on the availability of its key personnel. |
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Solution
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The LDC utilized Sengen's
Audit and Tracking Service to analyze the data and determine the actual
amount due to each of its competitive energy suppliers.
Through this
service, Sengen leveraged its core transaction processing and business
process integration infrastructure (Data Management Pipeline, Operational
Data Repository and Reporting Engine), along with its industry and
deregulation process experts.
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Results
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This Mid-Atlantic regulated electric and gas utility limited its exposure
to 3 million dollars, just 10% of the original estimate. Recognizing
the value in the Audit and Tracking Service, the Mid-Atlantic regulated
electric and gas utility now uses this service on a continuing basis
to reduce their risk and ensure the overall accuracy of their energy
management process through control and visibility of their data. |
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