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For Immediate Release


Delmarva Power Natural Gas Supply Rates Decreased Nov. 1

Total Monthly Bills to Drop About 14 Percent

WILMINGTON, Del . - On Nov. 1, 2012, Delmarva Power reduced the rate it charges customers for natural gas. As a result, the monthly bill for a typical Delmarva Power residential gas customer that uses 120 centi-cubic feet (ccf) per month will drop $23.79 per month, or 14.4 percent. The monthly bill will decrease from $165.61 to $141.82.

The rate decrease is a result of lower market costs for natural gas. This represents the second straight year of gas cost reductions for Delmarva Power customers. In Nov. 2011, there was a reduction of $6.29 per month, or 3.7 percent, for a customer using 120 ccf per month.

The gas cost rate is a dollar-for-dollar pass-through to the customer for the gas Delmarva Power buys for its customers. The utility is permitted to recover its costs for buying the gas, but not earn a profit on the sale. The request was included in the company's annual gas cost rate filing.

Commercial and industrial customers' rates will also decrease. The monthly bill impact among those customers varies with usage. The rate changes were reviewed and approved by the Delaware Public Service Commission (PSC).

The natural gas market is subject to sudden and sharp price spikes and dips. The company files annually to reflect the changing cost of the commodity. Delmarva Power's purchasing, which is overseen by the PSC and includes the cost of natural gas and its transportation to the region, seeks to minimize the impact that severe market price swings can have on customers. Supply rates are separate from distribution rates, which cover the cost for Delmarva Power to deliver the fuel to homes and businesses.

Delmarva Power encourages customers to visit for information on saving energy and money in their home or business. The company also offers customers Budget Billing, a fixed payment plan based on the customer's 12-month average bill. Customers can enroll online or by calling 1-800-375-7117.


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 and Maryland and over 124,000 natural gas delivery customers in northern Delaware.

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