Non-technical losses are issues that are not easy to detect and cause Enel an multi million Euro costs. Enel has used, during the years, ever more sophisticated systems to identify NTL, especially to identify high risk cases of fraud.
Most of these systems, employ internal data and cross-checking to identify discrepancies that can be an indicator of a potentially fraudulent use of electrical energy by customers.
The use of external information can greatly enhance the finding of potential fraudulent behavior by existing customers or illegal users of electrical energy without a contract for its use (direct connections).
Just consider the following examples and let your imagination flow to how many information is available out of Enel and could help with the fraud-detection task.
- Customer A has a residential contract for 3kW and a very small consumption. The land registry indicates the address corresponds to a villa with 500 sqm of building and 100 hectares of ground. Also, Booking.com indicates this property is commonly occupied by an average of 8 guests during the summer season, 3 guests during the rest of the year. Facilities include air conditioning, an inside restaurant and a swimming pool.
- Customer B has an industrial activity of RF welding of Aluminum sheets. His webpage claims they are considered as leaders in the area and hoovers.com indicates they have a yearly turnover of € 45 million. A residential contract with a normal residential consumption results in the given address.
A set of customer data has been attached with the information Enel has on these customers. Would you be able to identify external sources that can help to identify potential fraudulent activity?
The data has been collected for 10,000 contracts of the territory covered by Enel I&N.
A solution is sought to help identify fraudulent activity.
Solvers are asked to:
- Identify external sources that can be used to cross with information currently available in Enel
- Identify and produce external data for the given dataset, cross information and provide a potential list of fraudulent customers explaining the reasoning made
- Provide a procedure and functional requirements for an automated data collection, crossing of information and criteria/scoring to prioritize finding according to the probability of an existing fraudulent activity
- Provide estimated implementation time and cost
The finding of the solvers will be crossed with the current risk scoring performed by Enel and results will be compared. Solutions that provide additional fraud indicators will be specially appreciated.
Solvers must present the technical description of the proposal and the procedures to follow.
- Reduce non-technical losses due to fraudulent activity
- Improve current procedures and mechanisms for fraud detection
- Effectiveness of identifying fraudulent activity
- Additional clues of fraud with respect to the current systems
- Simplicity of retrieving the proposed external information
- Cost of solution
- Easy to implement
- Implementation time
The proposed challenge will support Enel towards achieving its commitments with the Agenda 2030 and will contribute particularly to the following SDGs:
SDG 3: Ensure healthy lives and promote well-being for all at all ages
Fraudulent installations are usually made by unauthorized manipulation of potentially dangerous installations by not skilled workers. Users of these fraudulent, not-controlled and not-certified installations are also exposed to electric hazards with risks to their lives.
By identifying and eliminating these frauds, life is preserved, and accidents are avoided.
SDG 8: Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
At the same time, reducing frauds promotes economic growth and eliminates dangerous fraudulent installations that can endanger workers manipulating them.
SDG 9: Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation
Identifying and eliminating those fraudulent precarious installations contributes to improve infrastructures and make them more resilient.
Any questions about this challenge can be e-mailed to your local focal point (list of focal points in Regulations)