Only Some Service Providers Have Sub SAs

If you do not provide billing services for a service provider, there will be no sub SAs associated with the service provider's SA relationships. Let's use an example to make the point; assume:

  • Service is divided into distribution, energy and meter service charges.
  • You are the distribution company and you provide billing services for the energy supply company.
  • The meter service company bills the customer independently.

In this situation, the customer will receive two bills: one from you (LG&E), the other from MeterCo. Notice that your bill (LG&E) contains your distribution charges AND CheapPower's energy charges:

When billing services are not provided for a service provider, sub service agreements are not associated with the service agreement relationship of the service provider. In this example, the customer receives one bill from LG&E and another bill from MeterCo. Notice that the LG&E bill contains the distribution charges and CheapPower's energy charges.

If we were to look at the customer information in the three service providers' respective CIS systems, we'd find the following service agreements and SA relationships for the customer:

The service agreements and service agreement relationships for the customer in the service provider's systems shows that that customer has a service agreement in each supplier's CIS system. It also shows that all customers have a sub service agreement in the LG&E's system if energy was supplied by CheapPower and the sub service agreement maintains the charges and receivable balance associated with CheapPower's energy charges. Lastly, the CheapPower's and MeterCo's CIS systems do not use sub service agreements.

Notice the following:

  • The customer has a service agreement in each supplier's CIS system.
  • Because LG&E (the distribution company) bills for CheapPower, all customers who have their energy supplied by CheapPower will have a sub SA in LG&E's system. This sub SA maintains the charges (and receivable balance) associated with CheapPower's energy charges.
  • Notice that neither CheapPower's nor MeterCo's CIS systems use sub SAs. This is because neither company bills for other service providers.
Note:

Sub SAs are needed if you subcategorize your charges. The above example shows sub SAs being used when a company provides billing service for another company. Sub SAs are also used when you subcategorize your charges - each sub SA contains the rate associated with each subcategory.