Delmarva Power’s natural gas customers will soon see a slight reduction in their bills.
The Delaware Public Service Commission recently approved a rate review settlement with Delmarva Power, prompting a decrease gas charge.
Delmarva Power communications manager Jake Sneeden says its tied to the new federal tax law approved nearly a year ago.
“This settlement passes along the full amount of the tax savings for our natural gas customers. So those are the tax savings resulting from the Tax Cuts and Jobs Act, which was signed into law late last year. So that’s going to result in a $3.5 million decrease for our natural gas customers on their energy bills,” said Sneeden.
Sneeden says based on the settlement the average residential customer using 83 CCF, that’s volume of gas used, will see their total monthly bill decrease 4.6% or $4.36. The new rates go into effect December 8, 2018.
Sneeden points out natural gas customers will also see some one-time and on-going credits and refunds on their bill that reflect the tax savings.
He says the settlement also sustains Delmarva’s ongoing efforts to modernize its natural gas delivery system and improve safety, efficiency and reliability.
“So, that’s because the natural gas delivery rates pay for our ongoing investments, like inspecting our systems, maintaining the systems, replacing lines and installing new natural gas infrastructure when we need too,” Sneeden said.
A similar settlement in August provided Delmarva Power’s electric customers an average month rate decrease of a $1.40 or 1.2%.
