Presentation on theme: "Reasonable Endeavours Claims Distribution Workstream MOD231 16/12/08."— Presentation transcript:
Reasonable Endeavours Claims Distribution Workstream MOD231 16/12/08
Background to The Reasonable Endeavours Scheme Requirement of Gas Act and Licence. A gas transporter has to have in place a scheme by which a supplier can claim for “compensation” where they can prove that they have taken reasonable endeavours to pursue the end consumer for the cost of stolen gas and other costs incurred, but has failed or partially failed GT reclaims the cost of the scheme via it’s formula revenue. Acts as an incentive to pursue illegally taken gas. The scheme was originally introduced in 1997 and was reviewed in 2003.
xoserve Reasonable Endeavours Process Shipper Xoserve Theft of Gas Team Xoserve Billing Team Submit a batch of Reasonable Endeavour Claims Validate Reasonable Endeavour Claims Have the claims passed the validation? Inform Shipper with reasons for rejection Calculate claim amount and pass to Billing Receive Reasonable Endeavours claim details and amount Raise credit invoice and submit to Shipper Receive credit invoice and details of rejected claims
Reasonable Endeavour Claims ClaimDescriptionEvidence RequiredValue of Claim 1 Shipper must report any case of tampering to the police and confirm who the customer is. Evidence of Police notification. Or Witness statement or report. Or Police Details of Attendance. Or Crime Reference Number. Or other supporting evidence £125 2 Unlawful occupancy or Customer has left the premises with no intent to pay. If making this claim no other payments can be claimed. Evidence of Police notification. Or Witness statement or report. Or Police Details of Attendance. Or Crime Reference Number. Supporting evidence. TOG KwH value. Dates etc. £125 3 Customer has been issued an invoice for theft & Costs incurred. E.G. New installation. Meter exchange. Forensic tests. Can be linked to claim 1. Estimated gas used – KwH. Details of actual costs. Details of Work undertaken. £125
Reasonable Endeavour Claims ClaimDescriptionEvidence RequiredValue of Claim 4 Where payment arrangements have broken down. Partial debt still exists. Where appropriate a PP meter should be fitted. Evidence of payment arrangements. Copies of invoice/letters issued. Steps taken to recover charges. Percentage of value to be claimed. £125 5 Where customer has failed to pay and has subsequently been disconnected. Meter should be disconnected for more than 28 days. Disconnection method. Disconnection date. Meter Point Status. Steps taken to recover charges. Percentage of value to be claimed. £250 6 Customer bankrupt or in liquidation. May be in administrative or voluntary receivership. Single claim. Evidence that claim for costs issued. Proportion of costs to be paid. £125 7 Where civil action is taken against an I&C customer. Documentation to Courts. Documentation from courts. Reasons for taking civil action. To value of costs incurred.
Statistics Claims have slowly increased from 2003 to 2006 but have declined since. YearProven Thefts REDs Claims Received Claims Accepted Value of Claims Accepted Claims Rejected%age Rejected 2003984169£2,250744% 2004134611079£15,3753128% 20051710262219£33,7754316% 20061281270246£32,625249% 20071157183173£26,000105% 2008*826140118£23,1252216% * to 30/11/08