Customers to See Power Cost Increase in Milford Next Month
Customers will see the new rate on City of Milford utility bills in February. This power cost increase is primarily due to a Delaware Municipal Electric Corporation (DEMEC) budget adjustment. The passthrough results in a 4.8 percent increase in electric bills for the average household and small business accounts in Milford. Commercial accounts in Milford can expect an increase ranging from about 3.0 to 5.3 percent depending on demand, load factor, seasonality, and time of use. City officials say Milford electric rates remain among lowest in state despite the increase.
Additional Information from the City of Milford:
The City of Milford, a community electric utility powered by the Delaware Municipal Electric Corporation
(DEMEC), will be increasing the current Power Cost Adjustment (PCA) by $0.00686 per kilowatt-hour (kWh) to $0.02124 per kWh for energy usage in 2024. Customers will see the new rate on City of Milford utility bills in February.
This power cost increase is primarily due to a DEMEC budget adjustment. The passthrough results in a 4.8
percent increase in electric bills for the average household and small business accounts in Milford. Commercial accounts in Milford can expect an increase ranging from about 3.0 to 5.3 percent depending on demand, load factor, seasonality, and time of use.
Even with this rate increase, bills are comparable to the City’s rates dating back six years. Additionally, the
City’s overall electric rate continues to be among the lowest rates in the state of Delaware, proving that the City is controlling the variables that are able to be controlled, while market forces are pushing power rates higher across the region.
“DEMEC continues to represent Delaware’s public power cities and towns, including the City of Milford, with rate stability and power cost containment among its highest priorities,” Finance Director Lou Vitola said, “and while certain cost drivers in the wholesale power market are beyond control, DEMEC understands the market and positions its members for success now and into the future.”
To help offset this increase, the City encourages customers to utilize Efficiency Smart
(https://www.efficiencysmart.org/milford-delaware) for rebates and an electric usage monitor, insulating
windows, purchasing a water heater jacket, utilizing the City’s budget plan and servicing their HVAC system. Reducing your household energy consumption by 2.7 kWh per day will completely offset the last two rate adjustments.
Questions regarding utility billing or the upcoming PCA can be directed to the City’s Customer Service
Department at 302-422-6616.
