Delmarva Power seeks approval to recover investments in infrastructure

Delmarva Power filed requests Aug. 17 with the Delaware Public Service Commission for approval to recover $24.4 million in electric infrastructure investments and $12.9 million in natural gas infrastructure investments necessary to ensure continued safe and reliable service for customers.

Based on these requests, a typical electric residential customer's total monthly bill would increase by $4.38, or 3.7 percent. A typical gas residential customer's total monthly bill would increase by $3.75, or 9.9 percent.

Under the final settlement agreement for the Pepco Holdings-Exelon merger, Delmarva Power agreed to reduce capital expenditures for its local electric system by over $71 million from 2015 through 2019. Delmarva Power spent $50.8 million in 2016 to modernize equipment, address system reliability concerns and meet energy policy guidelines. For the gas system, Delmarva invested $31.7 million in 2016 for equipment upgrades, enhancing operational performance and safety, and installing new gas mains and service lines to bring natural gas service to new customers who previously did not have access to natural gas.

"We're balancing our responsibility to manage costs for our customers with our obligation to maintain safe and reliable electric and gas systems," said Gary Stockbridge, Delmarva Power region president. "Being a part of Exelon enables us to operate more efficiently and stretch our dollars and resources, which in turn helps us hold down rates lower than they would be otherwise while still maintaining our system reliability."

Electric system projects in 2016 included:

• Upgrading 36 feeder power lines
• Replacing or installing 44 miles of underground cable
• Replacing or installing 53.5 miles of aerial cable
• Installing 93 reclosers - equipment to auto-restore power after momentary interruptions
• Repairing or replacing aging equipment such as broken cross-arms, poles or transformers

Work on multi-year projects

During the past five years, Delmarva Power has invested $371 million in Delaware for projects to modernize the local electric distribution system. These projects include the installation of new smart switches and other types of equipment which help reduce outages for customers. Since 2012, Delmarva Power customers in Delaware have seen 14 percent fewer outages and a 31 percent reduction in the duration of outages.

In addition to providing better service, these infrastructure investments help drive economic development and job creation in the regional and local economies. Delmarva Power and the Pepco Holdings service company employ about 1,115 workers in the state as well as hundreds of additional contract crews and services from other businesses around the state.

"Our customers expect us to keep the lights on and the gas flowing, and these investments are helping us meet those expectations while also supporting our local economy," Stockbridge said. "We know any increase can be impactful, and we work hard to educate customers on how they can manage their utility costs by using less energy and by helping them find programs and funding to help with bill payments."

For more information about energy conservation tips, billing or rates, customers can call Delmarva Power's Customer Care Center at 1-800-375-7117.

For more information about Delmarva Power, go to www.delmarva.com.