EDI Viewer - Logic for the Facility Allocation of the Monthly Allowable Cost Restriction

EDI Viewer uses the Crown Invoice in conjunction with the Monthly Allowable Costs Deduction file available from Petrinex in order to allocate the Invoice's Monthly Allowable Cost Restriction (Charge Code 100) to a facility level.

EDI Viewer does this using the following logic:

Invoice #123 has a monthly ACR charge of $100,000.00:

1. EDI Viewer uses the Allowable Cost Monthly Deduction file to see each facilities CCA, CP and UOC Monthly Credits.
Facility 1000001 is receiving combined credits of $300,000 this month


2. EDI Viewer finds each facility for the current prod period that is getting more monthly credits than it’s paying royalty.
Facility 1000001’s Net Royalty is only $200,000 this month


3. EDI Viewer finds a total credit amount for Facilities identified by step 2.
In 2019-12 the total Credit amount for Facilities receiving more credit than royalty (those identified in step 2) is $600,000


4. EDI Viewer finds each Facilities percentage of the total in step 3.
Facility 100001’s $300,000 credit is 50.00% of the $600,000 total


5. EDI Viewer uses the percentage from step 4 multiplied by the invoiced Monthly ACR amount to allocate each facility’s share of the monthly ACR.
Facility 100001 is allocated an ACR Adjustment of $50,000


6. You can then prorate this adjustment to wells under facility 1000001 as you do with the monthly credits, or book this to a facility cost center