House approves bill allowing Delmarva-owned battery storage after PSC review and reporting requirements

The Delaware House on June 18 approved House Bill 4-70, which — as amended — permits Delmarva Power to own and operate utility-scale battery energy storage systems subject to open review and approval by the Delaware Public Service Commission (PSC).

Whip Ozinski introduced the bill and House Amendment 3, which clarified the bill’s definitions, required utilities to include cost-effectiveness considerations in any approval, removed language seen as favoring shareholder cost recovery, and required Delmarva to submit detailed reports demonstrating cost-effectiveness. Sponsor remarks stressed the PSC’s role as a gatekeeper: no ownership or cost recovery would occur without PSC review in a public proceeding.

Supporters framed the bill as a measured way to improve grid reliability and reduce the risk of brownouts during peak hours by storing energy during off-peak times and deploying it when demand spikes. Representative Collins voiced personal support on the floor, stressing urgency on reliability margins.

The House passed the amended bill by roll call (39 yes, 2 absent). The language added through amendment emphasizes transparency, PSC oversight, and a customer-base cost-recovery mechanism if approved.

Why it matters: The bill clarifies how battery energy storage may be deployed in Delaware, ties approval to a public PSC process, and adds reporting requirements designed to protect ratepayers from imprudent cost-shifting.

Next steps: If authorized by the PSC under the statutory framework, Delmarva would be required to submit annual cost-effectiveness filings and any proposed cost-recovery mechanism would be subject to PSC approval.