County committee backs resolution asking PSC to re-review Delmarva rate request after company lays out regional supply pressures

New Castle County’s Administrative Finance Committee on Feb. 10 heard testimony from Marcus Beal, region president for Delmarva Power, during debate on a resolution asking the Delaware Public Service Commission to reject Delmarva’s pending rate-increase filing and require resubmission under a new statutory standard.

The resolution, sponsored by Councilwoman Durham, mirrors action taken by the state legislature and seeks to highlight constituent concerns about recent steep electricity bills. "The resolution is really just symbolically trying to recognize the hurt that our communities are feeling," Durham said.

Beal told the committee Delmarva does not own generation and that much of the recent bill volatility is driven by supply prices in the PJM capacity market, which spans 13 states and Washington, D.C. "We have no control over the price of electricity as it currently stands in that supply capacity market run by PJM," Beal said, and described delivery charges as Delmarva’s responsibility for poles, wires and substations.

He cited local infrastructure needs in New Castle County — including aging transformers and a substation near Christiana that is taking on water — and said many costs Delmarva seeks to recover through a rate case are reliability-driven projects subject to review by the Public Service Commission.

Committee members pressed Beal on specific numbers and impacts. Councilman Carter asked why Delmarva is seeking a roughly 10.5% return on equity (ROE) and questioned estimates that a rate increase could raise residential bills by anywhere from about $6 (Delmarva’s estimate) to third‑party figures as high as $15. Beal said the company targets a long-term ROE near national averages and that much of earnings are reinvested: "76% of what we get, what we earn as a company goes back into the grid," he said.

Members also raised affordability and equity concerns. Councilman Koneko said even a $15 monthly increase would be significant for many constituents and asked whether Delmarva has modeled how many households would face energy insecurity; Beal said the company did not have that modeling on hand but would follow up.

Beal described existing assistance and affordability programs, including a $3,500,000 fund administered through Energize Delaware that can provide $300–$500 customer bill credits and an additional $500,000 pledge from United Way. He also said Delmarva filed a load-portfolio and affordability proposal in the rate case that would include energy-efficiency incentives and time-of-use rates.

Questions from council members ranged from the role of data centers in driving demand to corporate spending. On data centers, Beal warned that adding large loads without new generation could raise PJM prices and increase the risk of brownouts or blackouts during emergencies.

No online public comment was recorded during the committee discussion on the resolution. The item was advanced for further consideration alongside related state-level action; the resolution is intended as a county expression of concern rather than a regulatory filing. The committee chair said the resolution parallels the general assembly’s effort and will be considered in the full council session.