Edison Energy Delivers Additional Value with Custom Procurement Services
Our client, a Fortune 500 industrial goods and metals manufacturer, relies on our Energy Supply Advisory team for natural gas procurement, operations management, and invoice processing.
Each month, natural gas is purchased for the client’s wide array of facilities that blanket the country. The procurement process is initiated by sending out an RFP to proven suppliers that have the ability to meet the client’s needs. As bids are received, each offer is carefully analyzed and then entered into Edison Energy’s system for comparison.
After awarding the supply contract, the winning supplier then sends us a transaction confirmation to be verified for accuracy. Using the previously recorded data, we are able to verify each detail on the confirmation for accuracy. In this instance, upon receiving the confirmation, we noticed that a key pricing component of the commodity contract (the NYMEX basis adder) was incorrect.
Next, we cross-checked the deal’s information against our comprehensive records. After verifying that the confirmation was incorrect, the supplier was contacted and notified of the situation.
Project Results & Key Metrics:
Helped the customer avoid $2,460,000 in wrongful charges
Has helped client save more than $635,000 in incorrect charges
Through Edison Energy’s attention to detail, the pricing error was identified prior to signing the transaction confirmation and helped the customer avoid $2,460,000 in wrongful charges. In addition to carefully examining the procurement process, we also analyze the customer’s invoices upon arrival. Using our highly detailed records, every invoice is checked for accuracy. Through this process, Edison Energy has helped our client save more than $635,000 dollars in incorrect charges. Through our industry-leading attention to detail, Edison Energy is able to deliver value to the customer throughout the entire procurement and invoicing process.
We recognize the value of our integrated business partnership with Edison Energy and look forward to further energy cost reductions.