Revenue Recovery

1

• Revenue Recovery
• How to make more money thats already yours
• (SCE)
• Presented by John Giles
• November 2009

2
What we will review today( Recovering your
Revenues)

• Quick, Comprehensive review of Revenue Recovery
  (Internal as well as External)
• Internally communicate your performance, success
  stories, and metrics (gain visibility)
• Performance goals and Safety programs to keep
  everyone focused, constant communications, and
  gain support
• Review an actual and recent theft case at
  Southern California Edison Net 2.5 M in Theft

3
Review of Best Practices whenbilling and
recovering revenues

• Investigate Energy Theft leads ASAP (1 to 5 days)
• Go prepared with billing history and research
• Conduct a thorough investigation/retain all
  evidence (photographs and all hardware)
• Utilize Prosecution when needed and utilize the
  D/A office and try to gain support from your law
  dept.
• Communicate/Coordinate with local law enforcement
  when needed (Marijuana grows- DEA etc.)
• Work with your Billing Collections department
  (follow up payment arrangements collections)
• Negotiate a settlement (new and old cases before
  these go to write off)

4
Communicate your Performance to gain Internal,
On-going Support

• Do you have a Newsletter
• Do you publish your performance
• Do you Communicate with upper management on all
  large success stories, close calls, and safety
• Do other Depts know about Revenue Protection
• Are you involved in Benchmarking (best practice)
• Do you reward your employees (bonus program)
• Are employees focused on goals/metrics and are
  these published and measured on a monthly basis
• Do you have a Training Program for your
  Investigators

5
Setting Performance Goals and link to
performance appraisals

• Do you measure the following?
• Safety is 1 ride a longs by Supervision (its not
  all numbers)
• Are your goals tied to appraisals
• Goals for Billed Collected Revenue
• Goals for Billing the cost incurred for
  correcting Theft cases Other Operating Revenue
  (OORS)
• Goals measuring backlog, and cases investigated
  within XX timeframe

6
14 Years of Billed Collected Data

MILLION
7
Theft Dollars Billed 1995 - 2009 YTD and
Projected YE
8
SCE- Revenue Protection
Lost Revenue Recovered as a of Lost Revenue
Billed
Site Inspections per 1,000 Customers
High
SCE 2008 Q2
SCE 2008 Q2
Performance
Low

• SCE remains in the 2nd Quartile for Inspections
  and Recovered Revenue
• Reviewing the peer panel, Duke and Dominion
  currently utilize 65 computer analysis to
  determine theft

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Closing Thoughts

• Safety is 1
• Its about the People, Process, Technology
• Keep Performance numbers and Communications high
  on the list
• Communicate to upper management and gain support
• Persistence in Billing, Collecting and utilize
  all resources available

10
Review Theft case of 2.5 Million

• Major Customer
• Plating Business
• Time of use Rate
• Meter read by RTEM
• Energy Theft Program
• Prevention
• Detection
• Investigation
• Prosecution
• Restitution