WATER REGULATION IN DELAWARE |
 |
- Role of the Commission
- Regulated Utilities
- Consumer Information
- Important or Pending Cases at the Commission
- Local, Regional and National Issues
Most aspects of water distribution, including the rates that can be charged, are regulated by the PSC;however, other matters such as water quality are also regulated by other state and federal agencies. Additionally, if any water utility wishes to expand its service territory, it must apply for and be granted a Certificate of Public Convenience and Necessity (CPCN).
In July 2001, the General Assembly and the Governor enacted a new 26 Del. C. Section 314 whereby water utilities subject to the Commission's jurisdiction are authorized to initiate and thereafter revise a "Distribution System Improvement Charge" ("DSIC Rate"). Under this DSIC Rate mechanism, a water utility - during the period between its full rate case proceedings - may recover its depreciation expenses and an additional amount of return (pre-tax) associated with its capital investments in completed "eligible distribution system improvements."
The Commission does not regulate the water services of municipalities or governmental authorities, with the exception of granting, under certain circumstances, CPCNs to those entities.
- Artesian Water Company, Inc.
- Broadkiln Beach Water Co.
- Cantwell Water Co.
- Long Neck Water Co.
- Pickering Beach Water Co.
- Prime Hook Water Co.
- Slaughter Beach Water Co.
- Southern Shores Water Co.
- Sussex Shores Water Co.
- Tidewater Utilities, Inc.
- United Water Delaware
- Wilkerson Water Co.
- For general consumer information, including how to file a complaint, please visit our Consumer Assistance page.
- Delaware Public Service Commission Frequently Asked Questions (FAQs)
- The Water Supply Section of Delaware's Department of Natural Resources and Environmental Control offers information on well construction and use, groundwater protection, well head protection, drought information and water conservation.
- The mission of University of Delaware's Water Resources Agency (UDWRA) is to provide technical assistance for water resources and watershed policy and to governments in Delaware and the Delaware Valley through the University's public service, education, and research role.
- Delaware's drinking water quality and safety is regulated by the Delaware Division of Public Health ("DPH"). DPH publishes an annual Public Drinking Water Suppliers Annual Compliance Report.
Visit the Regulated Utility Filings page for a listing of dockets, grouped by year and service type, opened by the Commission. Cases of significant importance or interest, such as rate cases, are also highlighted below.
All case related documents are available for review by appointment at the Commission Office in Dover, Delaware, or at the Office of the Public Advocate in Wilmington, Delaware.
- Pending Water and Wastewater CPCN Applications: Applications for a Certificate of Public Convenience and Necessity (CPCN) filed by water and wastewater utilities are available for review from this page.
- Artesian Water Company, Inc. - PSC Docket No. 08-96: On April 22, 2008, Artesian Water Comany, Inc. filed an application for an increase in its water service rates, to introduce monthly billing to its customers in all three counties below the Chesapeake and Delaware Canal, and to change the residential water usage blocks. The new proposed rates and charges are designed to produce additional annual revenues to the Company of approximately $14.2 Million. This is a proposed increase in annual revenues of approximately 28.80%. Learn more...
- Sussex Shores Water Company - PSC Docket No. 07-278: On October 15, 2007, Sussex Shores Water Company filed an application with the Delaware Public Service Commission for an increase in water rates. In April, the Staff of the Delaware Public Service Commission, Division of Public Advocate, and Sussex Shores Water Company entered into a Proposed Settlement Agreement. The settlement proposes approximately an overall increase of 12%. A Public Hearing on the proposed settlement of this rate application was held on Monday, April 28, 2008. Findings and Recommendations to the Commission are pending from the Hearing Examiner.
- Regulation Docket No. 15: By Order No. 6873, signed March 14, 2006, the Commission adopted as final Regulations Governing the Terms and Conditions Under Which Water Utilities Require Advances and/or Contributions In-Aid-Of Construction From Customers or Developers and the Proper Ratemaking Treatment For Such Contributions and Advances, effective April 10, 2006. These revised regulations address: (a) the definitions of Contributions In-Aid-Of Construction ("CIAC") and advances; (b) the computation of CIAC, including costs categories; (c) the nature of advances; (d) refunds of advances; (e) the ratemaking treatment of advances; (f) the ratemaking treatment of CIAC; (g) interest on excess CIAC and advances; and (h) matters necessarily related to the foregoing. On April 8, 2008, the Commission re-opened this docketto review the effectiveness of the 2006 amendments (see PSC Order No. 7375).
LOCAL, REGIONAL AND NATIONAL ISSUES
- Water Supply Self Sufficiency Act: As a result of the drought emergency of 2002, the State of Delaware adopted policies requiring private and public water utilities in northern New Castle County to implement policies to ensure adequate water supplies to meet present and future needs. These utilities must develop interconnection commitments, implement rate structures and periodically certify the adequacy of water supplies. Specifically, Section 1406 of Title 26 of the Delaware Code requires each water utility in the drought sensitive area to adopt rates with either an inverted block structure or a seasonal rate structure. The Commission's responsibility is to ensure that the affected utilities respond to those requirements of the Code with tariff rates and rules that are revenue neutral and that promote conservation. Also under the Water Supply Self-Sufficiency Act of 2003, water utilities under the jurisdiction of the Commission serving customers in northern New Castle County - United Water Delaware, Inc. and Artesian Water Company, Inc. - must file on or before July 1, 2006, and every three years thereafter, a consumer conservation plan and a certification of adequate water supply for the following three-years. The most recent filings are available below:
- United Water Delaware Inc.: Filing, Staff Memo and Consultant Reports, PSC Order No. 7234
- Artesian Water Company, Inc.: Filing, Staff Memo and Consultant Reports, Supplemental Comments on Self-Sufficiency Report, PSC Order No. 7233
- The Water Committee of the National Association of Regulatory Utility Commissioners("NARUC") seeks to foster an awareness and understanding of the issues affecting the water industry.
