DOVER – Building on previous efforts to address rising energy prices, legislators introduced new legislation Thursday aimed at making energy bills more affordable for Delawareans.
Sponsored by Rep. Debra Heffernan and Sen. Trey Paradee, House Bill 116 would give the Delaware Public Service Commission the ability to approve lower gas and electric rates for low-income households.
“Residents might start to see a small drop in their energy bills as the weather warms up, but I know the pain from this winter’s high costs is still very real for many families,” said Rep. Debra Heffernan
“I’m hopeful that HB 116, along with the other energy-focused bills we’ve introduced this session, will help make energy more affordable in the long-term and provide the stability and relief our most vulnerable neighbors need in the immediate future.”
Under HB 116, this discounted rate, if approved by the Public Service Commission, would be available to people who qualify for the Low Income Home Energy Assistance Program (LIHEAP). The discounted rates could lower the delivery portion of gas and electric bills by 20%, making utility bills more affordable for families struggling to keep up with rising costs.
LIHEAP is a federally funded program that helps low income Delawareans cover the cost of energy-related expenses. Income eligibility for LIHEAP is defined as 60% of state median income (SMI), which for a four-person household would be an annual income of less than $72,577.
“An overwhelming number of Delaware ratepayers have been burdened by energy costs over the last few months,” said Sen. Trey Paradee.
“These expenses are disproportionately harmful to our low-income neighbors who are already struggling to make ends meet while living expenses continue to increase. This legislation aims to provide relief to folks who need it most, and I look forward to introducing it to the Senate.”
The cost of providing these discounts to low-income customers and the minimal administrative costs to run the program would be covered by a small surcharge of less than 65 cents per month on customer bills.
HB 116 has been assigned to the House Natural Resources & Energy Committee.