Delmarva Power Appeals PSC Decision on Interim Rates

On September 4, Delmarva Power & Light Company filed an appeal with the Delaware Superior Court challenging a decision by the Delaware Public Service Commission limiting the interim rates Delmarva Power could implement.

The appeal stems from Delmarva Power’s electric distribution base rate case, which the company filed with the Commission in December 2025. As part of that proceeding, Delmarva Power sought to increase the rates paid by its customers (originally seeking a $67.8 million increase in the rates they charge electric customers, recently increased to $75.8 million).

Under Delaware law, utilities may put interim rates into effect while a rate case is pending. These interim rates are intended to establish rates for a limited period while the Commission continues its review of the utility’s application for a rate increase.  Prior to a recent change in Delaware law, utilities were entitled to put 100% of a requested increase into place 7 months after the rate case was filed and leave them in place until the Commission makes a final decision.

This year, however, the Delaware General Assembly passed and Governor Meyer signed Senate Bill 326, which changed Delaware law to reduce the amount of interim rates a utility could implement, to 50% at 7 months and 75% at 12 months.

On June 9, 2026, Delmarva Power had sought an interim increase of $51.8 million.  After an initial discussion before the Commission, on July 7, 2026, Delmarva Power reduced their interim rate request to $45.9 million.

In August, the PSC issued Order No. 11037, ruling on Delmarva Power’s interim rate increase, granting an interim increase of only $34.3 million, representing only 50% of the company’s requested increase.

Delmarva Power’s appeal challenges that order.

The Delaware Public Advocate has been actively involved in this rate case and has advocated for strong protections for Delaware utility customers throughout the legislative process and in this interim rate dispute.

The DPA finds it telling that, in this moment of an energy affordability crisis—which Delmarva Power claims to recognize and says it is trying to solve—Delmarva Power has chosen to appeal the PSC’s decision in an effort to get more money from customers than the Commission allowed.

The General Assembly this year changed Delaware law to limit how much utilities can impose on their customers through interim rates and to make other changes to protect customers. Delmarva Power opposed that law, SB 326, and when the DPA asked the Commission to apply the new law to fully protect customers, Delmarva Power opposed that as well. Now, Delmarva Power refuses to let that order protect customers and is instead appealing it. That appeal is so Delmarva Power can increase the amount it can charge its customers through interim rates.

The DPA will carefully review Delmarva Power’s complaint and respond in the appeal. In that case, and in all of its work, the DPA will act to protect customers from unjust, unreasonable, or imprudent increases in customer rates.