POWER SAVERS ALERT
Power Savers Alert!!
Due to low temperatures and increasing energy demand, we are asking municipal electric customers to VOLUNTARILY reduce electric use TOMORROW, Friday, January 30th, 2026. Power Saver Hours are from 6 am to 9 am. Customers are encouraged to lower their electric use during these hours to save money both now and later. Participation will lower electric use throughout the community and in return lower customers’ monthly electric costs and reduce utility energy costs over time. The more people that participate, the bigger the impact.
Customers can help by taking simple steps such as:
- Delay using the washer and dryer during an alert.
For alerts and other helpful tips follow DEMEC on Facebook @DEMEC or go to PublicPowerDE.com.
NEWS RELEASE
No Increase to Residential Electric and Water Rates in 2026, Get a Discount for eBilling
The Municipal Services Commission (MSC) completed a Cost-of-Service Study and rate designs with Utility Financial Solutions in 2024 (UFS) a national firm specializing in rate designs and cost projections for municipally owned utilities. In the later months of 2025 MSC & UFS updated the financial projection. The updated financial projection shows a healthy financial status without the need for an increase in revenue.
While the financial projection shows no additional revenue should be generated, there are slight adjustments that need to be made to revenue generated by different customer classifications in order for MSC to continue to move towards charging each classification its “cost-of-service”, or how much of the revenue burden should fall to each classification based on the unique requirements of each customer class.
To stay in line with the Cost-of-Service Study several of the commercial customer classes will have minor adjustments to work towards the cost-of-service. The largest adjustment is well below inflation at about 2%
There will be minor adjustments in the residential class to lower the per kWh and per gallon charges while increasing the fixed customer charge. These adjustments are designed to be revenue neutral (0%) to the average residential customer.
MSC recognizes that there are significant financial pressures on our customers from tax assessments, and inflation and is proud to be in a strong financial position which allows the Commission to not need to ask our customers for additional revenue overall.
In addition to a revenue neutral rate adjustment, MSC is excited to announce the creation of a discount for customers who enroll in electronic billing. Customers who opt to not receive a paper bill each month will receive a discount of $1.50 per month to offset the changes to the customer charges.
MSC is also rolling out a budget billing program starting in April to allow residential customers to have a predictable monthly payment in order to smooth out spikes in seasonal usage.
Customers interested in enrolling in electronic billing only or to get more information about the budget billing program should call 302-323-2330 to speak with a customer service representative.
MSC continues to work with the Delaware Municipal Electric Corporation (DEMEC) to on opportunities to increase electricity generation in the State to help bring down costs for customers in the long term. In addition, DEMEC is advocating for customers at the State and federal levels to educate elected and appointed officials about sustainable energy policies.
Currently MSC’s residential electric rate is the second lowest in the state. The MSC’s residential rate is 25% less than the current cost of electricity for Delmarva Power’s customers outside the city.
MSC is sensitive to the needs of our customers. We remain committed to keeping our rates low while providing electric and water systems with very low incidence of disruptions or outages.
If adopted, the adjustments would take effect for the April 2026 utility bills.
If you have any questions regarding the rate increase, please reach out to our customer service department at 302-323-2330.
FYE 2027 PROPOSED BUDGET
MSC ADMINISTRATIVE OFFICE MAIN ENTRANCE WILL BE UNDER CONSTRUCTION THE WEEK OF OCTOBER 13TH THROUGH OCTOBER 17TH
MSC ADMINISTRATIVE OFFICE MAIN ENTRANCE WILL BE UNDER CONSTRUCTION THE WEEK OF OCTOBER 13TH THROUGH OCTOBER 17TH. PAYMENTS DURING THIS WEEK SHOULD BE MADE ONLINE OR BY MAIL, THERE WILL BE NO ACCESS TO THE DROP BOX. MSC STAFF WILL BE AVAILABLE TO ASSIST CUSTOMERS VIA PHONE (302)323-2330 AND EMAIL (msccustomerservice@newcastlemsc.delaware.gov).
REFUNDS FROM INDIAN RIVER CLOSURE TO BE CREDITED TO MSC CUSTOMERS WITH AUGUST BILLING
Thanks to the advocacy work on behalf of the MSC and our customers by the Delaware Municipal Electric Corporation (DEMEC). MSC received a refund in the amount of $182,000 for a portion of costs paid related to the closing of the Indian River Power Plant. At their July meeting, the Commissioners of the MSC unanimously voted to return these funds to MSC’s customers in the form of a one-time, negative power purchase adjustment on the August billing. This credit will show on customer’s bills as “IR REFUND.” The amount of your credit is based on your kWh consumption from July 13 – August 12 multiplied by $0.02351
HYDRANT FLUSHING
N O T I C E
Municipal Services Commission
2025 Annual Hydrant Flushing Program
The Municipal Services Commission Water Department will begin our annual Fire Hydrant Flushing Program on Monday, June 2nd. Flushing will begin at 7:30am and end at 3:00pm Monday through Friday taking approximately 10 business days to complete. Our Hydrant Flushing Program is important to our water system and is an integral part of our goal to deliver the safest and highest quality water possible. Additionally, it ensures fire protection is available by testing the operation of our hydrants.
The Municipal Services Commission schedules our flushing program when demands are lower using a carefully planned route to control the direction of flow with in the distribution system. Customers should not experience service interruptions during the flushing process.
The flushing process may cause some temporary water discoloration. There is no health hazard associated with the discolored water. If you notice discolored water, run several cold water taps at the same time until the water is clear. Avoid using your cold or hot water and doing laundry until you are certain the water is clear.
The Municipal Services Commission urges all residents to exercise caution while traveling around the hydrant flushing crews as water may accumulate in the flushing area.
Your understanding and cooperation during this process is appreciated. If you have questions or would like additional information, please contact the Municipal Services Commission Water Department at 302-323-2333 between 7:00am and 3:30pm Monday through Friday.
FOR SALE: 2008 CHEVROLET SILVERADO 3500 HD REGULAR CAB UTILITY TRUCK
FOR SALE
Vehicle Cost: $9,500.00
2008 Chevrolet Silverado 3500HD Regular Cab Utility Truck
Mileage is 78,850
2 Wheel Drive, Dual Rear Wheels
6.0L V-8 with Automatic Transmission
Tommy Lift Gate with 1,600LB Lift Capacity
Truck has been well maintained and is in good condition. Maintenance history and records are included with truck.
SEALED BIDS SHOULD BE BROUGHT TO 216 CHESTNUT STREET, NEW CASTLE, DE 19720 BY FRIDAY MARCH 28, 2025
ATTN: KEN NATALE
DUE TO THE INCLEMENT WEATHER MSC ADMINISTRATIVE OFFICE WILL OPEN AT 10:00AM TODAY WEDNESDAY, FEBRUARY 12, 2025.
NEWS RELEASE: ELECTRIC AND WATER RATE INCREASES
For Immediate Release
01/23/24
ELECTRIC AND WATER RATE INCREASES
The Municipal Services Commission (MSC) completed a Cost-of-Service Study and rate designs with Utility Financial Solutions (UFS) a national firm specializing in rate designs and cost projections for municipally owned utilities. The cost to serve our customers continues to increase due to increasing regulations and energy policies set at the state and federal level. The study showed a need for an additional 7.2% revenue for the electric utility and 8.0% increase in water utility revenues in order to maintain the system and levels of service the Commission’s customers have come to expect.
MSC has worked with UFS to design rates to minimize the impact to residential customers while ensuring commercial rates remain competitive in comparison to other utilities in the State.
The electric rate increase is a 6% increase and the water rate increase is an 8% increase for residential customers. For the average residential customer, the combined impact of the changes would result in an increase in residential utility bills of $10.46 per month or 6.7% overall.
About half of the increase in electric rates is related solely to increased power supply costs. These costs are increasing due to a lack of generation on the Delmarva Peninsula, which is outside the control of MSC. This is a cost that every electric customer on the peninsula regardless of their electric utility will be having to pay.
MSC is working with the Delaware Municipal Electric Corporation (DEMEC) to explore opportunities to increase electricity generation in the State to help bring down costs for customers in the long term. In addition, DEMEC is advocating for customers at the State and federal levels to educate elected and appointed officials about sustainable energy policies.
Currently MSC’s residential electric rate is the lowest in the state. With this increase, the Commission expects to have the second or third lowest cost in Delaware. However, other utilities are also adjusting their rates which may result in MSC’s rate remaining the lowest in Delaware. The residential rate would still be 22% less than the current cost of electricity for Delmarva Power’s customers outside the city.
MSC is sensitive to the needs of our customers. We remain committed to keeping our rates low while providing electric and water systems with very low incidence of disruptions or outages.
These rate increases will take effect for the February 2025 utility bills.
If you have any questions regarding the rate increases, please reach out to our customer service department at 302-323-2330.
Contact: Scott Blomquist
Phone: 302-323-2330
E-mail: sblomquist@newcastlemsc.delaware.gov