Iligan Light and Power Incorporated

Billing and Collection System

A Research Paper Presented to

The Faculty of the College of Engineering and Information Technology
St. Michael’s College
Iligan City

In partial Fulfillment of the Requirement

For Systems Analysis and Design

By:

Bryan Catipay

Jumenie Serrano

Joie Marjon Garciano

To:

Juvy T. Cambaya

October 2010
Abstract

The study will establish the billing and collection system of Iligan Light and Power

Inc. (ILPI). It located along Bro. Jeffrey Road, Palao, Iligan City. This would produce a

database of consumer information and transactions. This study aims to give a view to

automate the billing and collection process of ILPI.

The researchers use Visual Basic 6, which is effectively suitable of billing and

collection system. Microsoft Access is used for the database part, to store possible

information.

The expected result of this system is to have a computerize billing, collection

processes and reports generations. It includes customer information, bill of charges and

payments. It will generate reports also for the management and to the Accounting entity. This

will help the company to store and access the customer information.

The researcher chose the billing and collection system for Iligan Light and Power

Incorporated concerning the improvement and progress as part of Iligan City citizens.
 TABLE OF CONTENTS

PAGE
Title Page

Abstract

Table of Contents

List of Figures, Tables and Notation

1 Introduction 1
Project context ………………………………………………2

Purpose and Description …………………………………….3

Objectives …………………………………………………….4

Scope and Limitations ……………………………………….5

2 Review of Related Literature………………………………….6-11

3 Technical Background. …………………………………………12

4 Design and Methodology……………………………………… 13
Context Diagram..……………………………………………13

Data-flow Diagram ………………………………………… 14

Entity-Relationship Diagram…………………………………15

Expected output………………………………………………16

Data Dictionary ……………………………………………17-19

5 Recommendation and Conclusion…………………………………..20

List of Figures
 1

INTRODUCTION

The company, which was known then as Iligan Light and Power Supply was founded

in 1930 by Candelario Borja and Consuelo Dancel.

For almost eight decades of existence, Iligan Light and Power, Inc. have proficiently

served the City of Iligan.

Operating initially with only a 30 kW Diesel Genset in 1931 when it first started its

operations, ILPI now powers all 44 Barangays of the City with over 44,000 residential,

commercial and industrial customers. Its systematic efforts to improve its facilities,

equipment and service consistently demonstrate its aspiration to become a highly efficient,

competent and chosen provider of electricity.

 2

Project Context

Context diagram

The context level data flow diagram shows the four (4) entities; the consumer,

management, accounting, and service staff. It shows what data input the entity given to the

system.

The consumer presents the application form which comprise of the consumer

information to the system. The system would request the service staff to do the electric

connection.

The service staff is requested by the system to read the meter. The system gives the

billing statement to the customer with regards the bill. Then, the system would generate the

official receipt of the said transaction for the payments. With the cash transaction the

Accounting entity receives the total amount of cash The Management creates a report of the

transaction.

Dataflow Diagram

In the dataflow diagram, the processes is being shown from the installation of the new

electric connection, producing the billing statement, paying charges, summarizing the cash

received up to the process of producing the management reports.

ERD

Figure 4 Entity relationship diagram explain how being data carry out in the billing

system and describes the entity relationship. This diagram support and connect with regards

the program application.

 3

Purpose & Description

The purpose of making the system involves extending and increasing the current

billing system of Iligan Light and Power Incorporated with regards to analysis and

design. Develop conceptual model that describes how the process work. The purpose of

making Electricity Billing System is to identify how system manages the bill of

consumers using the database, carrying out the theoretical Design. This function

identifies the company billing system through the records of bill from consumers with

their charges & collectibles.

 4

Objectives

The objectives of constructing the system aimed the efficiency of billing and

collection method that automate accurately to handle the database of consumers particularly

the payments. The expected result of making the system is to have computer-base of

inputting data, and all structures of billing and collection.

This system expected highly recommended for the business in particular of billing

and collection system recognizing simply the list, record and files through computerized.

Specific Objectives:

To evaluate its performance in terms of:

a. Manageability

b. Security

c. User friendliness

d. Reliability

e. Accessibility
 5

Scope and limitations

Scope

The study focuses the electricity billing and collection system of Iligan Light and

Power Incorporated, particularly computer-base. The focus of the study specified the

documentation and application of programs in electricity billing system. The system consist

of context diagram, data flow diagram and entity relationship diagram to determined the

external entity, process, flow of data, and the relationship which occupied the consumer,

billing and payments for the database.

Limitations

The researchers limited this study for billing and collection of payments within the

system. The proposed system is not capable of any wireless connection such as Bluetooth

and infrared and does not deal with the other process of the company. The proposed system

is for electricity billing and collection only.

 6

Review of Related Literature

Billing and collection system

a. The term billing is also used for systems and methods that request for payment of a

debt, and submitted the charges at the end of each month.

CEPALCO

There has been large electricity billing system in Philippines and different country

especially in Mindanao. CEPALCO is one of those at Cagayan electricity supplier.

CEPALCO develop the billing system in terms of programmable application and software to

build up for the transaction of data.

Modern facilities and equipment and an efficient service network have made

CEPALCO one of the most reliable electric service companies in the country. The automated

billing and collection used or applied purposeful.

 7

Tanesco Set to Computerize Billing System

State-owned Tanzania Electric Supply Company (Tanesco) is introducing

computerised state-of-the-art power billing systems aimed at solving the problem of

accumulation of bills by its customers.

The introduction of computerised billing comes in the wake of awful revelations that

the power utility firm owes its customers, both government and private institutions, a

whopping Sh300 billion.

Newly appointed Tanesco managing director William Mhando, who officially takes

office today, revealed that out of the Sh300 billion debts, the utility firm owes government

institutions such as the Tanzania People's Defence Forces and the Dar es Salaam Water and

Sewerage Authority (Dawasa) a total of Sh58.5 billion.

The power utility company owes private institutions and individuals Sh241.5 billion,

Mr Mhando told a news conference at the firm's headquarters along Morogoro Road in Dar

es Salaam, adding that customers whose bills have accumulated will be disconnected from

the power grid.

"The computerised smart metres will enable Tanesco employees to read electricity

metres across the country from the firm's headquarters (in Dar es Salaam)," he said, adding

that the firm has started installing the new metres and that the work will be completed by

December this year.

 8

Another strategy involves installing automatic metre readers to avoid issuance of

incorrect bills, Mr Mhando said in the presence of some company employees.

He said Tanesco was also installing LUKU recharge metres for customers throughout

the country, adding that the firm was also mobilising customers to use mobile phone network

providers and automated teller machines (ATMs) in buying electricity.

"We have prepared ourselves well to ensure that Tanesco is back on track," he said.

However, he cautioned that investment in power required colossal amounts of money;

something he said could not have been achieved overnight.

"We will have to improve our speed and teamwork" he added.

Regarding the special operation to reclaim the accumulated debt, Mr Mhando said the

money to be recovered from the exercise could be used in improving power generation,

transmission and distribution.

He said 60 per cent of the debtors, both government and private institutions, were

from Dar es Salaam's three districts of Kinondoni, Ilala and Temeke.

"This huge debt is a hindrance to Tanesco's efforts to meet our customers' demand for

electricity," Engineer Mhando said.

While declining to name the leading offenders, he said the special operation to collect

debt, which begins today and will cover the whole country, will heavily target private

institutions and individuals.

"However, the operation will not directly involve government institutions because we

have laid down a procedure to collect government debt after first giving the concerned

institutions a notice," he explained.

 9

He said that he hoped the exercise of collecting debt from government institutions

would not face any hitches. He noted, for example, that TPDF was in the final stages of

paying its debt.

Eng Mhando warned Tanesco customers to be wary of conmen who pose as bona fide

employees of the firm, commonly referred to as vishoka in Kiswahili, warning that these bad

elements could use the operation as a golden opportunity to pocket money from unsuspecting

customers.

He said during the house to house operation which is expected to last three months

from today, Tanesco technicians will don company uniforms, carry identification cards and

use company vehicles bearing Tanesco logos.

The Tanesco boss said debtors who will fail to honour their accumulated bills will

have their electricity disconnected. He added that failure to pay bills in three months will

make the affected customers liable to loss of their service lines.

 10

Billing system for electricity and water in Malta New

Valletta, Malta --- (METERING.COM) --- January 15, 2010 - Malta’s electric and

water utilities Enemalta and the Water Services Corporation have established a new company

for meter reading and billing, and they have also switched to a new billing system.

The new company, Automated Revenue Management Services Limited (ARMS),

which was announced by Malta’s infrastructure, transport and communication minister,

Austin Gatt, will be responsible for the whole process from meter reading to revenue

collection. In addition, ARMS will manage customer service for both corporations, with the

aim of improving the service and developing the concept of a “one stop shop” for customers.

ARMS is part of a wide ranging initiative, which also includes the introduction of

smart meters and a new SCADA system, and the move to a new billing system from SAP.

After a 10-month preparation period the two utilities migrated to the new billing system on

January 4.

As part of its customer service activities ARMS will introduce a new portal, which

will provide customers with access to detailed electricity and water consumption information

as well as other services they can access in their homes. This portal is expected to be in

operation by April.

With the new billing system the bill has also been redesigned and will provide

detailed consumption data as well as other information such as carbon footprint. Customers
 11

will also be able to opt for a budget payment plan in which they pay an identical

amount each month, and possibly in the future a prepaid scheme will be introduced. Gatt said

the projects will be integrated with a view to achieving the highest levels of efficiencies in

the operation of the corporations. Enemalta launched a five-year nationwide smart meter and

smart grid project early last year, with the first meters being installed in May 2009.
 12

Technical background

The present device generally relates to meter reading systems. More particularly, the

invention relates to an automated approach to meter reading, billing and payment processing

that reduces proper costs, increases functionality and enhances performance.

The present design also provides the commodity supplier or utility companies with

the ability to access their respective customer accounts in a variety of programmed formulas

that provide data in multiple use summaries to monitor current use, plan for prospect add and

subtract customers as business licence, also the ability to immediately determine the current

commodity consumption throughout service areas.

A computer program can provide data conversion by converting the emission rate to

counts, counts over specific time frame, or as required by the customer. An important

improvement in the design is the ability of the system to stand on its own as a complete

reading, billing and collection systems, once the system is installed.

 13

Design and Methodology

Context Diagram

J o b O rd e r
Request
CCoonntra c to r
tra c to r
J o b A c c om
R e p o rt

14
Data Flow Diagram

15

Entity Relationship Diagram

 16

Expected Output
 The expected output of the system authorized the consumer bill and payments

through an accurate development of having database that is viable for the consumer to find

out and verify their information and records. The consistency of computerized programmed

accurately generates reports especially the billing statement and official receipt during the

payments.

The estimated output of intended structure aimed the proficiency of billing and

collection automated system considered the manageability, security, and user friendliness.

The reliability and accessibility of the system is feasible through its uniformity carrying the

programmed.

Specified output

a. Application of the customer information through automation.

b. Create bill through computer base.

c. Generate customer information through save box, to find out the names easily.

d. Generate hard copy of customer profiles and bill of statement for payments.

e. Apply input of payment regarding bills through automation.

f. Configure standard sets of rate through connections in automate process.

17

Data Dictionary

Customer details = Customer id + type + application date + last name + first name +

middle name + address1 + address2 + address3

 Type Filled sized Description
Customer id Number Long Integer Character
Type Text 255 Connection type
Application date Date/Time Short Date Month + day + year
Last name Text 255 Family name
First name Text 255 Given name
Middle name Text 255 Middle name
Address1 Text 255 Street number
Address2 Text 255 Barangay and city

18

Rates = Rates ID + Flat rate + Residential + Commercial + Industrial + Bulk power +

VAT

Type Filled sized Description

Rates ID AutoNumber Long Integer Numeric
Flat rate Number Single Numeric
Residential Number Single Numeric
Commercial Number Single Numeric
Industrial Number Single Numeric
Bulk power Number Single Numeric
Vat Number Single Numeric
 Type Filled sized Description
Billing ID Number Long Integer Multiple or
single number
Customer ID Number Long Integer Character
Due Date Date/Time Date/Time Month + day +
year
Present Reading Number Number Numeric
KWH Number Number Numeric
Current Bill Number Number Numeric
VAT Number Number Numeric
Arrears Number Number Numeric
Total Due Number Number Numeric

19

Billing = Billing ID + Customer ID + Due Date + Present Reading + KWH + Current Bill +

VAT + Arrears + Total Due

Payments = Payment ID + Customer ID + Billing ID + Payment Date + Amount + Balance

Type Filled sized Description

Payment ID Number Long Integer Numeric
Customer ID Number Long Integer Numeric
Billing ID Number Long Integer Numeric
Payment Date Date/Time Short Date Month + day + year
Amount Number Single Numeric
Balance Number Single Numeric
 20

Recommendation and Conclusion

Conclusion

It was concluded that automated billing and collection system is very vital requisite to

every electric companies by providing excellent service of the customers. It is essential to the

entire system to supply consistent data accurately. Therefore, the capabilities of applying

automated billing and collection system are reliable, accessible and manageable production

all the way through programs and database.

Recommendation

It was recommended to the next researcher to develop automated billing and

collection in terms of online system. And extend the capability by using reliable and

dependable programming languages. As building the achievability of programs, it was

recommended also by providing well-built protection in condition to avoid destruction.