Delmarva seeks electric, gas delivery rate increases

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Delmarva Power is requesting that the Delaware Public Service Commission (PSC) increase electric and natural gas delivery rates.

The natural gas rate request was disclosed in late February. The delivery rate covers the cost of delivering gas and electric service. Natural gas and electricity is secured by Delmarva with the utility not marking up the price.

The requests seek to adjust the typical Delaware electric residential customer’s monthly bill by about $3.68 and the typical residential natural gas customer’s monthly winter bill by about $6.

“These proposed rate adjustments are critical to continuing our efforts to enhance electric reliability, modernize our natural gas delivery system and meet the expectations of our customers,” said Gary Stockbridge, Delmarva Power region president. “This work is improving our customers’ experience and resulting in award-winning customer satisfaction.”

Delmarva electric customers are experiencing the lowest frequency of electric outages ever in 2019, with electric outages decreasing by 36 percent when compared to five years ago.

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Projects for the company’s natural gas delivery system come in response to the growing demand for natural gas in northern Delaware.

Over the last two years, Delmarva Power has undertaken projects to modernize and strengthen the local energy grid in Delaware. At the same time, the utility faces an aging electrical grid 

Delmarva listed the following modernization projects

  • Energy Distribution Maintenance Projects – Work entails distribution line upgrades that deliver power to homes, underground line placements to protect infrastructure from extreme weather, installation of animal safety equipment and much more to ensure reliable service throughout Delmarva Power’s Delaware service area.
  • System Technology Installations – The implementation of new technology along distribution lines that works in conjunction with substation automation technology to automatically restore service and reduce the duration of outages.
  • Substation Technology Upgrades – Improvements made to substation technology that allows for automatic restoration when there is an outage.

Key natural gas system modernization projects include:

  • New Castle Area Natural Gas Reliability Project – The installation of a new natural gas main in New Castle, Del., providing much needed additional capacity in the company’s natural gas delivery system, helping meet the energy needs of customers and growing demand for natural gas.
  • Park Place Project – Completed in Newark,  the project entails the installation of new gas line to strengthen the system, improving reliability to meet high demand during some of the coldest temperatures over the past two years.
  • Cast Iron Replacement Project – Ongoing safety and reliability project to replace aging natural gas infrastructure with more durable, plastic piping.

Reliability projects are also important to the local economy, as investments in energy infrastructure improve service for customers and drive economic development and job creation in the local economy, a company release stated. 

Delmarva Power’s purchase of goods and services from diverse certified suppliers topped $73 million in 2019, which is 25 percent of the company’s total yearly purchases.

Delmarva Power also offers assistance to customers who may be struggling to pay their energy bills. Delmarva Power has a team that assists customers looking to secure state and federal assistance to pay their energy bills. Through the 2018-2019 program year, Delmarva Power helped connect customers to more than $5.3 million in payment assistance.

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