| Utility Cost Management Assessment |
| 1. Definition of Service |
Many people are unaware that, according to both national and local government
legislation, the settling of supply and usage parameters is the responsibility
of the consumer. In Venn Diagnostics’ experience, over 25% of consumers
countrywide are overcharged for their usage of various utilities.
Venn Diagnostics follows the approach that efficient and cost-effective utility
management can be achieved through the systematic gathering and assessment of
comprehensive utility information. This information is then used to identify
areas for sustainable utility cost reductions.
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| 2. Methodology |
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Venn Diagnostics aims to optimise effective utility cost management involving
three main phases:
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| 2.1 Information Gathering |
All information pertinent to the client’s sites and accounts is gathered. This
includes: supply agreements; previous utility bills; operational times and
processes; meter reading; stand sizes and zoning; and any on-site recycling
efforts. This information is then used to determine the following:
Error Detection - Venn Diagnostics has the database, experience and
techniques to identify errors at their source, thereby allowing corrective
measures to be implemented.
Site validation – Double and non-billings are detected, while stand
sizes and zoning correctness are confirmed.
Usage comparison - Metered and billed volumes are compared to industry
norms. Expected volumes and fluctuations are verified against capacities,
operational times, and industry norms.
Charge verification – Charging structures, Bylaw dispensations, minimum
charges and penalties, volume and early settlement discounts, and any seasonal
pricing fluctuations are reviewed.
Technical assessment - Utility usage risks, inefficiencies and wastage
are identified. Supply limitations, capacities and service level requirements
are evaluated. Any energy management programmes and maintenance procedures are
assessed.
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| 2.2 Opportunity identification and planning |
The physical information is correlated with related source documents provided
by the client. This information, together with the consultation of supplier
legislation, seasonal fluctuations in usage and price, along with concessions
and volume discounts are considered and a comparative usage and price analysis
is conducted.
A change in one parameter normally affects another. Sophisticated models are
used to include every variable utility parameter including supply, usage,
wastage, correction, conservation and management, to identify sustainable
reductions in utility expenditure.
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| 2.3 Formulating the Utility Cost Management Report |
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The Utility Cost Management Report records all past and present supplier and
usage errors and offers recommendations on how to achieve sustainable utility
cost reductions. The report also outlines the actions necessary to effect
resolution or elimination of detected errors. The expected outcomes of these
actions are noted for future assessments.
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| 3. Client Benefits |
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Venn Diagnostics identifies, effects, maintains and improves utility cost
efficiencies enabling clients to focus on their core business.
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An integrated view of utility cost management, trends and usage is developed.
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Sustainable cost containment is affected.
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Specialist technicians are available for consultation.
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Capital equipment can be supplied if required.
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No cure no pay i.e., if Venn Diagnostics is unable to find areas of sustainable
savings, there is no charge to the client.
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No interference with normal operating processes.
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