Recently, Burlington Electric Department (BED) in Burlington, Vermont, made an unusual and commendable move. It wrote a letter to the city of Burlington and the University of Vermont outlining massive errors on their utility bills. The errors led to years of overcharging and in some cases, undercharging. “These errors were avoidable and should not have remained undetected for so many years,” the mayor of Burlington said in response to the letter. “Our customers should not have to worry about the accuracy of their bills.”

Utility bill overcharges are a national scourge.

While the mayor’s sentiment is laudable, the truth is that utility customers are responsible for making sure their utility bills are accurate. And on average, we don’t do a very good job of monitoring our bills for overcharges.

Utility bills are notoriously difficult to read and interpret for those who aren’t experts in the field. That’s why it pays to have SM Engineering take a look at your utility bill. Our no-obligation audit will uncover where you’re being overcharged.

The common utility bill errors we look for.
Here’s a list of some of the most common utility bill overcharges and errors that our engineers find on utility bills.

Classification: Make sure you are charged on the correct classification: residential, commercial, or industrial. Add to these other options such as elderly or special zone pricing discounts for economic development. It takes an expert to select correct categories.
Demand Charges: Demand charges can add up to 50 percent of the electrical bill. A careful analysis of these charges may find substantial savings. We have found mathematic errors, misapplied ratchet clauses, and demand meters not reset on our customers’ utility bills.
Incorrect Applications of Tariffs: Many utility companies do not charge the correct taxes on bills. There are many different taxes, such as city tax, county tax, state tax, federal tax, franchise fees. A careful review can result in substantial savings.
Meter Reading Errors: Errors happen. We’ve seen some meter readings read backwards, resulting in much higher costs.

Sewer Bills Based on Water Bills: It’s rare that sewer lines have separate meters. Careful examination can result in substantial savings. Sewer charges can be lowered by accounting for sprinkler systems and evaporated water that did not go into the sewer.

Read “14 Common Billing Errors on Utility Bills” on our blog for a complete list.

It’s time to stop wasting money on overcharges and errors. Contact SM Engineering today for a no-obligation utility bill audit. If we find errors and overcharges on your bill, we’ll work with your utility company to correct them and save you money.

Author Satya Garg

Author Satya Garg

Satya Garg is the founder of SM Engineering. He is a registered Professional Mechanical and Electrical Engineer in Minnesota with over 50 years of industry experience. Through his many years of working with grocery stores, manufacturing plants, large office buildings and nursing facilities, he has become an expert in reducing utility costs without operation changes.