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DELMARVA POWER SEEKS INCREASE IN NATURAL GAS PRICES TO MEET RISING COSTS

 WILMINGTON, Del., Sept. 10 /PRNewswire/ -- Delmarva Power & Light Company (NYSE: DEW) today asked the Delaware Public Service Commission for authorization to increase the price of natural gas for its 90,000 customers in New Castle County beginning Nov. 1.
 For a residential space heating customer who uses 12,000 cubic feet of gas per month in the winter, the proposal would increase the monthly bill by $10.19 or 13.4 percent from $75.77 to $85.96.
 The main reason is the dramatic increase in the nationwide price of natural gas which Delmarva Power purchases and distributes locally. These commodity price increases, which the company has been experiencing since last winter, are the result of a higher demand for natural gas coupled with declining gas supplies. Commodity prices are projected to continue to rise in 1994.
 Today's filing is part of the company's annual review of gas prices for the upcoming year. Each summer, the company is required to present the Public Service Commission with a proposed Gas Cost Adjustment for the upcoming fiscal year. To help customers budget their energy costs, the company tries to establish a rate to collect gas costs which is expected to remain constant for the entire year unless an unusual event occurs affecting the price or supply of gas. Any over or under collections are tabulated and reflected in the next year's charge. Delmarva Power does not make a profit from the Gas Cost Adjustment.
 With the proposed increases, Delmarva Power's 1994 price of natural gas would be 4.2 percent higher than it was in 1985 while inflation over the nine-year period is about 35 percent.
 /delval/
 -0- 9/10/93
 /CONTACT: Wallace C. Judd Jr., manager of media relations, of Delmarva Power, 302-429-3595/
 (DEW)


CO: Delmarva Power & Light Company ST: Delaware IN: UTI SU:

MK-CC -- PH022 -- 0851 09/10/93 15:44 EDT
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Publication:PR Newswire
Date:Sep 10, 1993
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