|01/07: As of December 2006, only one retail supplier in Delaware was providing services to residential customers, of which, only one percent had switched services.
11/06: The Delaware Public Service Commission entered Order No. 7078 which adopted the proposed “Rules for Certification and Regulation of Electric Suppliers” observed in the order. These rules were intended to be used for re-regulation of Delaware’s electricity providers.
5/06: After a pending 59-percent increase in electricity rates, the Delaware General Assembly passed legislation that enrolled all of DP&L’s residential customers into a plan which spread the higher electricity rates through 2009.
04/06: A joint resolution was introduced in the Delaware House of Representatives (JR 23) which called for the Delaware Public Service Commission, in consultation with the Governor’s Energy Advisory Council, to conduct a feasibility study in regards to re-regulating Delaware’s electricity industry.
04/06: Joint resolution 3 (JR3) was introduced in the Delaware state senate with the intent to require the state’s Office of Management and Budget and the Controller General to issue a Request for Proposal (RFP) to “hire an independent consultant to issue a study that recommends a process to re-regulate electric power in the State. It required the study to examine and discuss the benefits and shortfalls of such re-regulation, and to discuss the costs that re-regulation would impose upon the State and the electric industry. Finally, the study was scheduled to be presented to the Governor and the General Assembly by December 2006.”
04/06: Gov. Minner signed House Bills 5 & 6 (HB 5 & HB 6). House Bill 5 provided “state government with the flexibility to aggregate its electricity usage and bargain for the best rates possible to save taxpayer money.” House Bill 6 provided “an optional deferral for Delmarva Power electric customers in connection with the pending rate increase.”
03/06: The Electric Utilities Retail Customer Supply Act of 2006, House Bill 6 (HB 6) was introduced by the House. “The Act provides that all electric distribution companies subject to the jurisdiction of the Commission would be designated as the standard offer service supplier and returning customer service supplier in their respective territories. The Act provided further opportunity for distribution companies to enter into long and short-term supply contracts, own and operate generation facilities, build generation and transmission facilities, make investments in demand-side resources and take any other Commission approved action to diversify their retail load supply. Additionally, Delmarva Power is required to conduct Integrated Resource Planning for a forward-looking 10 year time frame and to file such plan with the Commission, the Controller General, the Director of the Office of Management and Budget and the Energy Office every two years starting with December 1, 2006. As part of the initial planning process, Delmarva Power is required to file a proposal to obtain long-term supply contracts. The proposal requires Delmarva Power to include a Request for Proposal (RFP) for the construction of new generation resources within Delaware.” “With respect to rate increases for Standard Offer Service to be effective on May 1, 2006, residential and small commercial customers of DP&L, depending on rate classification, shall have the ability to opt out of the following rate deferral plan:
Date Rate % Increase 5/1/2006 15% 1/1/2007 25% 6/1/2007 19% 1/1/2008 True-up/Balance
a. A customer who did not opt out of the deferral plan would be placed on a non-by-passable tariff, under which the customer would be responsible for all of his/her incurred deferral amounts including carrying costs of the plan.
b. Customers will have from April 1, 2006 to April 28, 2006 to affirmatively opt out of this plan.”
03/06: Delmarva recommends a 3-step phase in of price increases.
02/06: The governor issued Executive Order No. 82 (EO 82) which directed the Delaware Public Service Commission to “examine the feasibility of (a) deferring, for a fixed or a phased-in period, pending electricity rate increases; (b) requiring Delmarva to build generation, or enter into long term supply contracts, to meet up to 100 percent of supply options under traditional rate base, rate of return regulation; (c) requiring Delmarva to conduct integrated resource planning to ensure fuel diversity and least cost supply alternatives; and (d) requiring Delmarva to implement demand side management, conservation and efficiency programs. The examination by the Public Service Commission shall also include its assessment of the need for legislation to accomplish any of these potential options. The results of this analysis shall be submitted to the Office of the Governor no later than March 8, 2006.”
9/05: On March 22, 2005, the Commission signed PSC Order No. 6598, which approves the "Wholesale Model" as defined by Commission Staff for structuring the provision of Standard Offer Service at the expiration of the extended transition period on May 1, 2006. Additionally, the Commission approved Delmarva Power & Light Company as the Standard Offer Service supplier.
Finally, the Commission ordered the Hearing Examiner to superintend and monitor the Phase 2 process which will determine the manner in which power necessary to provide Standard Offer Supply Service is to be procured, the definition of "retail margin," and as well as several social benefit issues. A Proposed Settlement was submitted July 15, 2005 for Phase 2 and comments are being accepted.
1/05: Delmarva Power & Light (DP&L) is the current SOS provider in its service area in Delaware. Its contract is set to expire in March 2006, so the Delaware PSC is investigating new service providers and pricing structures for SOS service after that time. The Commission has set a three step process that is in process now.
3/04: There is no new action on the status of deregulating the electric power industry in Delaware.
8/99: The PUC issued final rules for restructuring electric utilities in Delaware, effective August 31, 1999.
1/98: PSC adopted final report on electric industry restructuring with recommendations including unbundling of rates and stranded cost recovery using Competitive Transition Charges. The report calls for competition for all Delaware consumers to begin 12 months after restructuring legislation is enacted.