Madrileña Red De Gas

Intelligent data analytics for fraud detection

Industry: Gas
Region: Spain
Headquarters: Madrid
Company size: 162 employees

“Gas fraud is not straightforward, and until now detection has often depended more on luck than science. Our new analytics tools have changed the rules in our favor. It gets even better: with every round of analytics, these cognitive tools get smarter meaning that intelligence and success improve continuously.”

Glen Lancastle
CIO and COO, Madrileña Red De Gas

For Spanish utility company, Madrileña Red De Gas, intelligent analytics have dramatically boosted fraud detection rates and reduced non-technical losses

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In just six years, Madrileña Red De Gas has become a leading regional player in Spain, with around 5.6 thousand kilometers of distribution pipe and some 850 thousand customers.

When Madrileña Red De Gas took over the network, there were indications of unaccounted consumption, particularly amongst domestic and small enterprise customers.

The challenge

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Without the extensive historical records of longer-established providers, Madrileña Red De Gas asked how advances in data analysis and the Internet-of-Things could be applied to the production of accurate and actionable data on non-technical losses. Most importantly, the new intelligence would need to ensure that the field teams paid to track down suspect usage could radically improve the success of local inspection.

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The solution

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The ability to combine Madrileña Red De Gas sector expertise with Atos analytics skills and resources was key to the success of the initiative. Working with usage data provided by their client, Atos used the advanced Atos Codex frameworks to design and build the set of algorithms needed to deliver the initial analysis.

Business benefit

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The analytics process is continuous. The results of the first round of application are fed back for the second cycle, ensuring that results and tools are continuously refined for ever-better results. This iterative cycle of analysis is handled by the Atos Codex data scientists to deliver clear client benefit.

With the second wave of inspection, for example, Madrileña Red De Gas raised the hit rate, taking it from 20% to 30%. Since partnering on this new analytic approach to fraud detection, however, Madrileña Red De Gas has done more than increase their success rate.

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