State Guides

How Electricity Deregulation Works in Delaware

Quick answer

Delaware deregulated the supply portion of electric service in 1999. Delmarva Power still delivers electricity to homes and businesses across the state either way, and customers can either stay on Delmarva's default Standard Offer Service or choose one of the state's licensed third-party suppliers for the energy itself.

Delivery stays with Delmarva Power

Delmarva Power is Delaware's electric distribution utility, and that doesn't change based on who supplies your energy. Its distribution charge — covering the poles, wires, meter, and outage response — shows up on every bill regardless of supplier, and customers cannot choose a different delivery company the way they can choose a different energy supplier.

Standard Offer Service: the default rate

If you don't actively select a third-party supplier, Delmarva Power procures your electricity supply automatically under Standard Offer Service. No enrollment or action is required to stay on it, and it's a legitimate, ordinary option — not a rate customers are expected to avoid or switch away from by default.

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Choosing a third-party supplier

Delaware's Public Service Commission lists more than 16 licensed suppliers that have operated in the state, though the specific active roster shifts over time. Switching keeps Delmarva Power as the delivery utility and a single combined bill — only the supply line item changes. The Commission specifically recommends contacting potential suppliers directly to confirm they're currently offering service and to ask about rate type, contract length, and whether an offer includes a promotional rate that increases later, before enrolling with any of them.

What to check before switching

The state's own guidance flags a common pattern worth taking seriously: some supplier offers use an introductory rate that expires after a set period, after which the price can shift to a variable rate that moves with the market. Comparing a supplier's stated price against Delmarva's current Standard Offer Service rate — from a recent bill, not an old one — and asking directly how long any promotional rate lasts is the most reliable way to judge whether an offer is actually a better deal.

Frequently asked questions

Who delivers electricity in Delaware?

Delmarva Power delivers electricity across Delaware and remains responsible for the wires and outage response no matter which supplier a customer chooses. Customers cannot change who handles delivery, only who supplies the actual energy.

What happens if I don't choose a supplier in Delaware?

You're automatically served under Standard Offer Service, Delmarva Power's own default supply arrangement. No action is required to stay on it, and it remains a normal, valid option rather than something you're expected to switch away from.

How many electric suppliers operate in Delaware?

More than 16 licensed suppliers have operated in the state, according to the Delaware Public Service Commission, though the specific active list changes over time — the Commission recommends contacting suppliers directly to confirm current availability before enrolling.

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