As power shortages and rate increases spread across the United States, utilities of all types are escalating their efforts to find and prosecute service thieves.  Power theft alone amounts to approximately $6 Billion per year in the United States according to the Edison Institute’s recent estimates. 

Until recently, utility companies in the United States had minimal incentive to pursue service thefts. For instance in the energy sector, electricity was cheap and companies routinely obtained pay hikes to cover their costs, burying theft in catch all categories like “line losses” or non-technical losses. With soaring energy generation costs, regulators and consumer watchdogs are expected to take a harder look at these expenses.  However, many public utilities can’t pass the cost along to their customers due to rate caps.  The cost therefore comes out of their bottom line. 

Most large utility companies have departments that are dedicated to investigating and prosecuting theft of electric service.  Some of the more sophisticated companies use computer programs and databases, such as RiskPro, to determine the typical usage by customer, then put potential thieves under scrutiny. For example, Rochester Gas and Electric Company (a unit of Energy East) employed one of our RiskPro solutions in 1998.  It is estimated that the company recovers several million dollars per year in total risk costs including theft of electric service.  Due to its unique capabilities including currency conversion, RiskPro are valuable tools in analyzing and managing risk on a global basis.  

Additionally, our application framework is well suited for any industry that has a similar transmission and distribution delivery system including the cable and telecommunications industries.  Please call us to learn more about our unique our products and related services related to theft of service.

Blackburn Group, Inc.
Penfield, NY 14526-0052
(585) 586-4530,  (585) 586-7479 fax,  Email: sales@blackburngroup.com
  

RiskPro is a registered trademark of Blackburn Group, Inc.

Copyright 2006 Blackburn Group, Inc. All rights reserved.