As six energy bill cost-saving efforts make their way through the legislative process, State Rep. Deb Heffernan (D-Bellefonte) introduces another bill that would provide rate discounts to low-income customers.
Her legislation would grant low-income Delawareans a 20 percent discount on their energy distribution rates if they are the customer of a utility company regulated by the Public Service Commission (PSC).
This would mainly include Delmarva Power and Chesapeake Utilities customers.
“I think we all just felt like we know people were hit with really high energy bills and we're hoping to see what we can do to make it easier for people to afford their energy bills and for their other costs they have," Rep. Heffernan said, referring to reports of abnormally high Delmarva Power bills this past winter.
The bill also follows Delmarva Power's latest gas rate increase — which went into effect on April 20 — and an upcoming electricity increase of around $10 per bill starting June 1.
To provide the discount, Rep. Heffernan explains everyone’s bill would go up around 50 to 60 cents, which she feels is a small price to pay to provide needed assistance.
Rep. Heffernan says this bill is especially important considering the Trump administration is seeking to eliminate all $4 billion in federal funding for the Low Income Home Energy Assistance Program (LIHEAP).
While LIHEAP staffing cuts have already been made at the federal level, it’s up to Congress on whether they want to approve Trump’s proposed funding slash.
Rep. Heffernan says Delaware is still committed to funding the LIHEAP program as best it can with funds from the Regional Greenhouse Gas Initiative (RGGI) — a multi-state carbon dioxide cap-and-trade program.
She says the 20 percent figure is what several other states that have created an energy discount program use, but State Rep. Jeff Hilsovky (R-Millsboro) raised concerns about utilizing an arbitrary discount percentage.
“Maybe this is too low, and maybe this is too high. And I think that there should be some metrics that support the 20 percent discount in some way," Rep. Hilovsky said.
He and his fellow Republican colleagues also expressed concern over the lack of a privacy protection measure for those who qualify for the discount.
Rep. Heffernan says she is working with the Department of Health and Social Services (DHSS) to create that measure, and an amendment to the bill will be introduced before it hits the House floor for a full vote, but this reassurance was not enough to sway Republican support.
As the bill is written now, Delawareans who qualify for Medicaid, LIHEAP, the Supplemental Nutrition Assistance Program (SNAP), the Weatherization Assistance Program (WAP) or Temporary Assistance for Needy Families (TANF) would also qualify for the 20 percent discount.
Anne Farley, a lobbyist on behalf of Delmarva Power, came to the bill's hearing to request additional changes.
The utility company is asking for an amendment that would ensure the cost increases associated with providing the discount program be recovered as a "low-income rate" and not be combined with any other charges on Delmarva Power customers' bills.
The bill was ultimately released from committee with no support from Republican lawmakers present.