UTILITY REGULATORY AUDITS

We find what others don’t know to look for.

Regulatory rate tariff auditing requires deep expertise with utility rules, regulations, and tariff structures across hundreds of utilities nationwide. After 25 years, we know where savings hide, and we have the track record to prove it.

— HOW WE AUDIT

What we examine.

Rate Misclassifications

Many organizations are billed under the wrong rate class — often for years. Switching to the correct classification can mean significant ongoing savings and retroactive refunds.

Rate Tariff Analysis

Utility tariffs are long, complex regulatory documents. We read them in full and apply them correctly, often finding that utilities themselves have misapplied their own rules.

Incentives & Exemptions

Industrial and commercial tax exemptions, economic development incentives, and special rate programs go unclaimed constantly. We identify and pursue every eligible benefit.

Billing Practice Regulation

State and local regulations govern how utilities must bill. We audit for compliance with those rules and recover amounts where regulations weren't properly followed.

— PROCESS

1

No Savings — No Charge

If our audit doesn't uncover savings or refund opportunities, there's no fee. You get certainty that everything is being billed correctly — and that's valuable in itself.
2

Refunds

When we find historical billing errors or missed exemptions, we pursue refunds directly from the utility on your behalf. Refunds can cover months or years of overbilling.
3

Ongoing Savings

Rate reclassifications, tariff corrections, and newly applied incentives generate savings that repeat every billing cycle — compounding over the life of the engagement.

Precision Audit,

Correct Billing,

Ongoing Control.

We are the Utility Experts

Discovery Energy risk-free audits deliver both recovery of overpayments and ongoing savings, along with ensured billing accuracy. Leveraging 26 years of industry insights, our process ensures correct rates, accurate metering, and recovered overpayments. We equip your team with the knowledge and systems needed to sustain fiscal vigilance going forward.

A Simple Proven Process

Data Gathering

Our clients provide us all utility bills and we complete a detailed company profile.  We benchmark the billing against our proprietary database—analyzing rates, metering, duplicate charges, and compliance with regulation.

Audit & Implementation

Once errors and overcharges are identified, we communicate directly with providers to secure refunds or adjust future billing; and coach your team on reading and guarding invoices.

What types of companies have benefited from a Utility Bill Audit?

Clients across industries—from regional credit unions to global manufacturers—have seen refunds ranging from hundreds of thousands of dollars up to multi millions in ongoing savings over several years. Moreover, the process reframes how organizations visualize utility spend—transforming billing from a rear-view check into a managed asset with predictable outcomes.

Companies most likely to find significant savings are with more complex operations, such as multiple locations, different types of energy usage in different sites, or uses of wide range of equipment with different load profiles.

— CASE STUDY

AZZ Galvanizing — audited behind a competitor.

CONTEXT

AZZ (NYSE: AZZ, 30+ steel plants) was already under contract with Schneider Energy for energy management — auditing was supposedly in scope. We were hired to look at what had been missed.

WHAT WE FOUND

Unclaimed tax exemption refunds. Smaller accounts that had never been moved off default utility rates onto competitive contracts. One San Antonio plant on the wrong nat gas tariff — a 32% reduction in total gas cost once corrected. No analysis had ever been done.

What exactly does a utility regulatory audit examine?

We examine every element of your electric and natural gas bills: rate classifications, tariff application, demand charge structures, tax exemptions, special riders, incentive programs, and the regulatory rules governing billing practices in each utility’s jurisdiction. We review historical bills (typically 24–36 months) and compare them against the tariffs as written and the regulations as required.

How common are actual billing errors or misclassifications?

Far more common than most organizations expect. Discovery finds audit savings in 92% of clients we audit. Errors range from obvious utility mistakes to subtle misapplications of complex tariff language, and they often go undetected for years precisely because the bills look plausible at face value.

How far back can you recover refunds?

The look-back period for refunds varies by utility and state, typically 1 to 5 years, with some regulatory frameworks allowing longer periods in cases of utility error. We pursue the maximum allowable recovery in every case, and we handle the utility dispute process on your behalf.

Our current energy manager says they already audit our bills. Should we still engage Discovery?

That’s exactly the situation at AZZ Galvanizing, auditing was supposedly in scope with their existing vendor. We were hired to look at what had been missed and found hundreds of thousands of dollars in uncorrected tariff errors and unclaimed exemptions. The depth of our tariff expertise and the independence of our review often surfaces findings that broader energy management firms overlook.

Do you audit in regulated states, not just deregulated markets?

Absolutely. Tariff auditing is applicable in all utility markets — regulated or deregulated. Rate misclassifications, billing practice violations, and unclaimed exemptions exist regardless of whether competitive supply is available. In fact, regulated market clients are often the most underserved by auditing because there’s no procurement competition drawing attention to billing costs.

How are you compensated for audit work?

Our audits are contingency-based. We don’t charge anything upfront, and we only earn a fee when we successfully identify and recover savings or refunds. The fee is a percentage of the first year’s savings and any refunds recovered. If we find nothing, you owe nothing — and you get confidence that your bills are accurate.

What information do we need to provide to start an audit?

We need access to utility bills — either digital copies or authority to pull them directly from the utilities via Letter of Authorization. We’ll also need basic account information: utility names, account numbers, and service addresses. Most clients can get us everything we need in a single organized file share.

How long does a typical audit take?

The initial audit phase — reviewing historical bills, tariffs, and regulations — typically takes 60 to 90 days for a portfolio of 10 to 50 locations. Larger portfolios take proportionally longer. Pursuing refunds from utilities after findings are confirmed adds additional time depending on the utility’s response processes.

Get your free utility audit assessment.