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Delaware

Delaware

Incentives/Policies for Renewables & Efficiency

Printable Version
DEMEC - Green Energy Fund   

Last DSIRE Review: 07/09/2012
Program Overview:
State: Delaware
Incentive Type: Public Benefits Fund
Eligible Efficiency Technologies: Unspecified Technologies
Eligible Renewable/Other Technologies: Solar Water Heat, Solar Space Heat, Photovoltaics, Wind, Geothermal Heat Pumps, Fuel Cells using Renewable Fuels
Applicable Sectors: Commercial, Industrial, Residential, Municipal Utility
Types:Renewables
Total Fund:Approximately $324,000 annually (based on 2008 retail sales)
Charge:$0.000178/kWh (0.178 mills/kWh)
Web Site: http://www.dnrec.delaware.gov/energy/services/GreenEnergy/Pages/G...
Authority 1:
Date Enacted:
Date Effective:
26 Del. C. ยง 363
07/21/2005
06/01/2006
Authority 2:
Date Effective:
DEMEC - Green Energy Program Regulations
02/16/2010 (as amended)
Summary:

Note: The Green Energy Fund regulations are currently under revision to improve program function and meet the requirements of the Delaware Energy Act. The Delaware Division of Energy and Climate webpage will provide details about relevant public meetings and workshops, proposed draft regulations, and other documents during the regulatory revision process.

Under the 2005 Delaware renewable portfolio standard (RPS) legislation, municipal utilities were allowed to opt out of the compliance schedule if they contributed to the Green Energy Fund for investor-owned utilities or created their own green energy fund with an equal surcharge (i.e. $0.000178/kWh). In 2010 the Delaware RPS was amended by SS 1 for S.B. 119 and the section (26 Del. C. § 363) detailing the obligations of municipal utilities was slightly revised. While these amendments changed several other opt-out requirements, the provision mandating green energy fund contributions in the event of an opt-out remains unchanged.

The Delaware Municipal Electric Corporation (DEMEC), a joint action agency and wholesale electric company representing the state's nine municipal utilities, opted out of the RPS requirements on behalf of the municipal utilities, and the utilities created their own funds. The surcharge for the investor-owned utility fund was doubled in 2007 through legislation, but the surcharge for the municipal utilities was not affected.

DEMEC municipal utility members include: Newark, New Castle, Middletown, Dover, Smyrna, Seaford, Lewes, Clayton and Milford. Each municipal utility has its own distinct fund. Customers of one utility cannot access another utility's fund revenues. As a result, some of the utilities' funds are very limited. Funds held for participating members, as of December 2010, are as follows:

  • City of Dover: $165,939
  • City of Newark: $9,318
  • City of Milford: $9,688
  • City of Seaford: $33,881
  • City of Lewes: $30,849
  • Town of Middletown: $5,336
  • City of New Castle: $31,817
  • Town of Smyrna: $9,775
  • Town of Clayton: $10,433

At the end of 2010 the DEMEC reported that the fund held approximately $307,036 between the nine municipal utilities. The DEMEC green energy funds support the municipal Green Energy Program Incentives, which include rebates for solar electric, solar heating, geothermal heat pumps, and wind power.


 
Contact:
  Scott Lynch
Delaware Department of Natural Resources and Environmental Control
Delaware Energy Office
1203 College Park Drive, Suite 101
Dover, DE 19904
Phone: (302) 735-3480
Fax: (302) 739-1840
E-Mail: scott.lynch@state.de.us
Web Site: http://www.dnrec.delaware.gov/energy
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2013 - 2014 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.