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Objections to Cost to Customers of Delmarva Power Fuel Cell Deal

Fuel Cell Schematic
creative commons
Fuel Cell Schematic

DOVER, Del. (AP) - Delaware utility regulators are being urged to reject a challenge to a deal under which Delmarva Power customers are forced to pay tens of millions of dollars to a California-based fuel cell manufacturer.

Public Service Commission staff and Delaware's public advocate say the commission has no authority to change the tariff deal between Delmarva Power and Bloom Energy. The commission is scheduled to discuss the matter Tuesday.

State officials offered Bloom millions of dollars in job-creation incentives in 2012 to build fuel cells in Delaware. The state also imposed a "renewable energy" surcharge on Delmarva Power customers, even though Bloom's fuel cells are powered by nonrenewable natural gas.

The surcharge has cost Delmarva customers more than $200 million, far higher than initially predicted. It lasts for another 15 years.

Don Rush is the News Director at Delmarva Public Media. An award-winning journalist, Don reports major local issues of the day, from sea level rise, to urban development, to the changing demographics of Delmarva.