DEMEC was established on June 6, 1978 by an act of the Delaware General Assembly, and incorporated on July 12, 1979. DEMEC members include the communities of: New Castle, Newark, Middletown, Smyrna, Clayton, Dover, Milford, Seaford, and Lewes.
DEMEC is a Joint Action Agency providing the benefits of economies of scale to its members. About 29 similar Joint Action Agencies exist in the United States. In total, there are over 2,000 municipal electric utilities in operation in the United States today. Most municipal electric utilities and Joint Action Agencies are nationally represented by the American Public Power Association (APPA).
DEMEC is governed by a nine-member Board of Directors, with one director from each of the nine members’ municipal electric utilities. The responsibility for day-to-day operations of the Agency resides with the President appointed by the Board. The President directs the efforts of the staff members and various contractual relationships in place to meet the service requirements of the members.
In total, the nine DEMEC member utilities serve a population of over 137,000 people, with a combined peak demand of over 452 megawatts (MW) (See table below). The DEMEC member distribution systems vary in size and character. Over the past ten years, all of the member systems have experienced annual growth rates well above the national average. The members are primarily distribution utilities, but Dover owns substantial generation assets. Dover’s total peak demand is over 165 MW.
Eight of the nine members receive 100% of their power requirements from DEMEC and one member receives partial requirements service. DEMEC supplies these requirements from a portfolio of owned generation assets, bilateral contracts with third-party suppliers, and participation in the PJM Interconnection, LLC regional markets.
|Member||Population||Peak Load (MW)||Electricity Consumed (MWh)|
|City of Dover||37,686||167.5||780,498|
|City of Newark||35,642||88.4||445,429|
|Town of Middletown||21,897||53.8||243,262|
|City of Milford||11,075||46.2||225,626|
|City of Seaford||7,750||24.3||116,814|
|MSC of the City of New Castle||5,348||19.1||81,815|
|Town of Smyrna||11,584||26.8||116,550|
|Town of Clayton||3,249||5.8||20,650|
|Total DEMEC Group||137,314||452.1||2,112,892|
In addition to power supply, DEMEC provides legal and technical consulting services to its members, as well as representation in the federal and regional arenas regarding electric industry regulation and operation. DEMEC provides its members with the benefits of combined purchasing power. DEMEC also assists member utilities with training programs, project development, key account programs, economic development, education, capital finance, system improvements and technical information to share efforts for improved operating efficiency in their individual communities.
Strong Credit Ratings
DEMEC maintains a strong balance sheet and efficient, well-managed business operations. Moody’s Investors Services, Standard & Poor’s Corporation, and Fitch Ratings have assigned ratings of “A2”, “A”, and “A”, respectively, to DEMEC for the past several years.