Delmarva Power is seeking a rate increase for Maryland customers, citing the costs of improving the reliability of its system.
The filing with the Maryland Public Service Commission seeks a base rate adjustment of $66.2 million to recover the costs of reliability improvements and smart-infrastructure upgrades that have helped to reduce the frequency and duration of power outages.
Delmarva has also filed a rate case in Delaware. The Delmarva business of Exelon is based near Newark, DE. Delmarva’s territory includes Cecil County, a portion of Harford County and portions of the Eastern Shore.
Improvements in the electric system included upgrades to more than 100 circuits and several substations to enhance system reliability, a release stated.
“In today’s technology-driven society, a reliable electric grid has never been more important. A reliable and modern energy system is what Maryland needs to continue to attract and retain healthy businesses in the state,” said Gary Stockbridge, Delmarva Power region president. “Our customers see better performance as a result of reliability improvements and smart infrastructure upgrades. With cost-efficiency in mind, we have made practical decisions to invest in the areas that needed to be upgraded the most.”
If the request is approved, the bill for a typical Delmarva Power Maryland residential customer using 1,000-kilowatt hours will increase by $21.42 per month to a total bill of $168.64. The rate request will undergo a thorough review process by the Maryland PSC. Delmarva Power’s last request for an electric rate adjustment in Maryland occurred in 2013.
Rate increase requests were frozen, due to the pending merger of Delmarva’s parent Pepco with Exelon, the owner of neighboring. BG&E in Maryland.
Delmarva Power has spent more than $330 million on its electric system in Maryland since 2012. The combination of technology and system upgrades have produced a 51 percent drop in the number of outages and when outages do occur, we can restore service 69 percent quicker.
In announcing the request, the utility took note of energy-saving programs.
The Peak Energy Savings program started in 2012, participating customers have saved more than $7 million by shifting their energy usage to off-peak periods. Also, customers can participate in the Empower Maryland energy efficiency programs such as lighting, appliance rebates and home energy assessments. For more information, please visit (https://homeenergysavings.delmarva.com/empower-maryland).
