Milford electric rates remain third lowest in state with upcoming 1.7% power cost adjustment

Terry RogersGovernment & Politics, Headlines, Milford Headline Story

City of Milford electric rates remain the third lowest in the state and are lower than five years ago even with a recent increase required due to a DEMEC increase

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 $0.00238 per kilowatt-hour (kWh) for a total of $0.01438 beginning in January.  Customers will see this increase on their February City of Milford utility bills.

This power cost increase is primarily due to a DEMEC budget adjustment.  The passthrough results in a 1.7 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 1.5 to 2.2 percent depending on demand, load factor, seasonality, and time of use.

Even with this rate increase, customers are paying less than they were five years ago.  Additionally, the City’s overall electric rate continues to be the third lowest rate in the state of Delaware, trailing only the City of Lewes and the City of New Castle.

“DEMEC has been working hard for more than four decades on behalf of Delaware’s public power cities and towns, including the City of Milford,” Finance Director Lou Vitola said, “and while power markets were jolted by forces beyond our control over the last 15 months, DEMEC’s persistent efforts to contain wholesale rates were proven again as we head into 2023 with this mild budgetary adjustment in the face of much greater inflationary pressure across the economy.”

To help offset this increase, the City encourages customers to utilize Efficiency Smart ( 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.

The City of Milford, incorporated in 1807 and located in Kent and Sussex Counties along the Mispillion River, is home to 11,000+ year-round residents, 500+ retail businesses and non-profits, local restaurants, parks, trails, small town events, major healthcare providers, an historic shipyard, and its own school district.  Known throughout the state as River Town, Art Town, Home Town, the City celebrates the beauty of its natural resources, the ingenuity of its people and its commitment to quality of life.

DEMEC was incorporated in 1979 as a public corporation constituted as a Joint Action Agency and a wholesale electric utility. DEMEC represents and serves the following municipal electric distribution utilities located in the State of Delaware: City of Newark, MSC of the City of New Castle, Town of Middletown, Town of Clayton, Town of Smyrna, City of Milford, Lewes Board of Public Works, and City of Seaford.

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