Delmarva Power files for natural gas rate cut

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    Delmarva Power has asked state regulators to reduce the rate it charges customers for natural gas. Commercial and industrial customers would also see reductions that would vary depending on usage.

    AZAdam / FoterPyro

    Under the proposal,  a  monthly   bill for many customers   would drop $23.79 per month, or 14.4 percent for many customers during periods of heavier gas use. Delmarva provides natural gas service in northern New Castle County. Not all areas with newer residential construction have natural gas service.

    If approved by the state Public Service Commission,  it would mark  straight year of gas cost reductions for Delmarva Power customers. In November 2011, there was a reduction of $6.29 per month, or 3.7 percent.

    Delmarva cautioned that natural gas prices can fluctuate, due to factors that can include weather.  However, supplies have grown rapidly in the region, due to natural gas discoveries in Pennsylvania that use the controversial practice of hydraulic fracturing or fracking.

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    Critics claim that fracking that includes the use of sand and chemicals has caused environmental problems.

    Delmarva says it does not profit from changes in gas prices, but instead charges for the cost of providing the gas service.

    Delaware’s other large gas supplier, Dover-based Chesapeake Utilities,  has been expanding south of the Chesapeake and Delaware Canal.

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