Reverse FERC Drill-Down in SAP

As cost flows become more complex, utilities today often find it challenging to trace costs in adequate granularity from sender to receiver—and in reverse to more easily explain costs to regulators. HPC America has pioneered an accounting approach that enables unmatched forward and reverse FERC drill-down transparency.

Our “CO-centric” design for utility financials leverages the Controlling module’s rich secondary cost

data, and our Utility Financials Accelerator and Cost Flow Forensics software provide the most detailed forward and reverse translation of costs. In a forward translation, an original charge is split to one or more FERC accounts. HPC CFF indicates which portions of these original transactions trace to each FERC account. Likewise, in reverse, HPC CFF traces each FERC account to the portions of the original transactions, thereby explaining each dollar amount in FERC accounts by the natural account amounts entered. Our CO-centric design creates a trail of sender/receiver handoffs, and HPC CFF plays this back in a FERC context.

Learn more about modern utility accounting on SAP, and contact us to discuss your own challenges around tracing costs and the FERC drill-down.