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For Immediate Release


Electric rates to decrease for average Delmarva Power customer in Delaware : Transmission, Distribution charges to drop slightly, officials say

NEWARK, DE - Under two recent filings with the Delaware Public Service Commission, electricity rates for the average Delmarva Power customer in Delaware will decrease on July 1, 2006, pending the Commission's approval of the filings.

The rate changes are being made to both transmission and distribution charges. Transmission rates cover the costs that Delmarva Power and retail suppliers pay to PJM, operator of the region's power grid that transmits high-voltage power to Delaware customers. Distribution rates pay for Delmarva Power's costs for delivering power to the individual customer.

The rate changes result in a total bill decrease of about 3.1%, or $4.55 a month, for the typical non space-heating residential customer using 1000 kilowatt hours of electricity a month.

Electricity rates for the average commercial and industrial customer also are decreasing on July 1st because of these rate changes. As with all rate changes, the impact will vary among customers, depending on individual electricity usage.

"During these times of rising energy prices, we're pleased to have some relatively good news for our electric customers in Delaware," said Gary Stockbridge, president of Delmarva Power.

The rate decreases are not related to the significant increase that Delmarva Power customers in Delaware experienced on May 1, 2006 when a seven-year rate freeze ended and supply rates were reset at current market prices.


Delmarva Power, a public utility owned by Pepco Holdings, Inc. (NYSE: POM), provides safe and reliable energy to more than 500,000 electric delivery customers in Delaware, Maryland and Virginia and over 118,000 natural gas delivery customers in northern Delaware.

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