Review your water bills to make sure that you are getting the value for your money. In most cases, frequent bill reviews will reveal water utility bill errors. Carrying out a water bill audit will identify these errors. Audits will teach you how to reduce your business water bill. The following are top utility billing errors that can be fixed by an effective utility audit.
Wrong Utility Rate
There are different rate options offered by utility companies. Common ones include:
- Small rate option
- Demand control
- Demand versus supply
- Medium rate option
- Large rate option
- Time of the day
Choose the right option for your home. While some of these options are relatively expensive, others can help you save huge amounts of money in terms of utility bills. AS a homeowner, you should be careful when selecting an option. Choose an option that gives you cost-saving opportunities. Consider your home’s needs. Make a decision based on your style.
Classification Errors
After every month, your utility company will send you a water bill. It’s your responsibility to go through the bill before making a payment. The wrong classification can increase your utility bills. Ensure that you are in the right classification. For instance, a commercial classification will be more expensive than a residential one. Familiarize yourself with different classifications. Involve an expert when choosing a classification for your home.
Common types of classifications include:
- Residential—Residential classification covers homes and apartments.
- Commercial—Commercial discounts include businesses, offices, and organizations.
- Industrial—Industrial classification is for industries. Usually, these rates are high because of the amount of water used.
- Special zones—These are zones dedicated to economic developments. Homes falling in these zones will receive discounts on their utility rates.
Consult an expert to help you choose the right classification. If you notice a classification billing error, get in touch with your utility provider for quick action.
Meter Reading
Anybody can make an error. Taking water meter readings requires attention to detail. Getting the wrong reading can cause a lot of damage, especially to a water bill. For instance, if a technician confuses a 098 for 890, your water bills will be huge.
Reading the meters backward can also cause utility reading errors. Talk with your utility provider to get your credit back.
Zero Usage
An abandoned meter will have a zero-usage error. The same applies to meters that are not used often. For instance, meters that are occasionally used to test fire can have zero usage errors.
As a homeowner, it’s important to conduct a careful review. Among other things, a review will recommend that these meters be removed from the system. This can help you save huge amounts of money.
Incorrect Tariffs
Incorrect taxes on your bills can cause the bills to rise. Bill taxes range from city tax, and state tax, to franchise taxes. Certain companies may impose the wrong tax on your bill. This can result in huge bills. Conduct a careful review to have these errors corrected.
Don’t keep quiet. If you notice these errors, get in touch with your utility company. Correcting these errors can save you good money.
Sewer Bill Errors
In most cases, sewer line bills are incorporated into the water line bills. Conducting a careful examination will help you save huge amounts. For instance, water can evaporate and fail to get into the sewer. In this case, request for an assessment.
Late Fees
Late fees can represent errors in your bill. In this case, consider reviewing all your payment policies. Remember, late fees can be anything from a few dollars to hundreds of dollars. To save yourself from paying extra money, it’s advisable to conduct a review. Get in touch with your utility provider. Request for a reversal.
Irregular Billing Period
Usually, the billing period should be one month. This is equal to 28-31 days. However, if the billing period is abnormal, conduct a review. A billing period cannot be 40, 50, 90, etc. This is abnormal. These issues should be investigated as soon as possible.?
Load Factors
A load factor should not exceed one. If it is more than one, that’s a red flag. It may signal an error. Ideally, the load factor should not exceed 70 percent. Extra scrutiny will reveal these errors and trace their origins.
Abnormal Usage
Usually, you know your average monthly usage. Well, what happens when you receive a bill with abnormal usage? Well, it means that there must be an error. The best thing to do is to conduct a review of your bill. Compare it with previous bills. Check to see if there is a leakage
Power Factors
Usually, your utility company will penalize a customer whose bill comes with a power factor of less than 90 percent. To avoid these penalties, check your bill. Have it assessed to identify what might be causing these errors.
Billing Dates
Billing dates are important elements of any bill. If the boiling dates have discrepancies, it means that your bill has an error. These errors can cost you money. If the dates overlap, you may end up paying a bill from previous months. Have your bills checked? Ask your utility company to countercheck the billing dates.
Demand Charges
According to the statistics, demand charges or fees can increase utility bills by 50 percent. As a homeowner, it’s important to demand a careful analysis to ascertain the origin and nature of these charges. Things like mathematical errors, poorly set meters, as well as misspelled clauses can cause these errors. Having them checked can save you a lot of money.
Meter Size Errors
There are different meter sizes. Common ones vary from 0.5 inches to 12 inches. Usually, larger meters attract higher monthly charges than their smaller counterparts. To save money, consider downsizing your meter. Ask your utility provider to issue you with a smaller meter.
The Bottom-Line
Utility errors can increase your bills. It can cause you to lose a lot of money. As a homeowner, it’s important to understand these errors. Carrying out frequent bill audits will reveal some of these errors. Errors such as meter reading and classification errors can be fixed by a utility audit. The above are top water bill errors you should familiarize yourself with.
