AN ACT TO AMEND TITLE 26 OF THE DELAWARE CODE RELATING TO PUBLIC UTILITIES.

This Act replicates and extends to electric and natural gas utilities the same authority that has previously been granted to water utilities. This authority allows for the implementation of an interim rate mechanism already in existence for water utilities in an effort to reduce volatility and the costs to electric and natural gas customers. By way of background, the General Assembly enacted § 314 of Title 26 of the Delaware Code in 2001 to provide an efficient interim rate mechanism to foster investments in needed infrastructure improvements for water utilities, including those mandated by government agencies. With this Act, the same provisions are now extended to public utilities providing electric and/or natural gas services. Doing so will help address concerns with the frequency and volatility of electricity and natural gas distribution rates, as well as the cost to customers of general rate proceedings. The Act requires annual audits and annual reconciliations and empowers Staff for the Public Service Commission and the Delaware Public Advocate to review such expenditures and raise concerns with the Commission should they exist.