MILFORD, DE - The City of Milford says their community electric rates, provided through Delaware Municipal Electric Corporation (DEMEC), will be increasing this summer by 2.4%.
According to the City, the increase is due to market-driven capacity cost increases impacting all electric users on Delmarva. The 2.4% increase will apply to average residential and small business accounts in Milford, while commercial accounts can expect increases ranging from 2.3 to 3% depending on demand, load factor, seasonality, and time of use.
The power cost adjustment is expected to begin in June 2024.
Milford says their rates remain among the lowest in the State of Delaware while market forces push rates higher across the region.
“DEMEC strives to represent the City of Milford and all public power cities and towns in Delaware with rate stability and cost control at the forefront of its goals,” Milford Finance Director Lou Vitola said, “but the auction-based market for capacity is unpredictable. Fortunately, DEMEC has physical hedges in place that helped cut the rate impact of the auction results nearly in half.”
The City encourages electric customers to help offset the increase by utilizing Efficiency Smart to reduce and monitor energy use, insulating windows, purchasing a water heater jacket, and servicing their HVAC systems. A reduction of energy consumption by about 6 kWh per day will completely offset all wholesale power costs.
Questions about utility billing or the upcoming power cost adjustment can be directed to the City’s Customer Service Department at 302-422-6616.