Natural gas prices are decreasing and Delmarva Power is passing along the savings to its customers this year.
The company’s supply charges will drop by 18 percent in November, resulting in about $16.30 savings monthly for the average residential gas customer.
Delmarva Power spokesperson Candice Womer says the decrease had to be approved by the Delaware Public Service Commission.
“The natural gas supply charge, which is also known as the Gas Cost Rate is a direct pass-through to customers with no mark-up," Womer says. "It’s typically adjusted annually, but could be adjusted in various times due to a rising or falling market.”
Womer says they purchase and store about half of the natural gas needed to meet winter demands in the summer months when prices are generally lower, and the overall price of natural gas is decreasing too.
“There’s challenging times where people are struggling to pay their bills and we want to make sure we are supporting our customers and looking for ways that we can decrease any of our costs and take the burden off,” Womer says.
This is the second reduction in gas costs in the past eight months for Delmarva Power customers. Womer adds they have other programs to help customers manage their monthly bills, like Budget Billing, which averages payments over a 12-month period. She says so far this year, they’ve connected customers with more than $4,000 in energy assistance.
Delmarva Power’s natural gas price reduction coincides with its proposal to increase electric rates. That increase is already in place on an interim basis and is expected to push the average customer bill around $7 higher than at the start of summer.
