History

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History

Establishing DEMEC

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 Administration

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.

Our Members

In total, the nine DEMEC member utilities serve a population of over 137,000 people, with a combined peak demand of over 680 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 nearly 170 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 38,079 169.9 804,205
City of Newark 33,673 91.9 461,483
Town of Middletown 22,582 60.8 265,040
City of Milford 11,353 49.0 241,090
City of Seaford 7,861 234.2 114,850
Lewes BPW 3,233 22.2 85,745
MSC of the City of New Castle 5,529 18.8 83,321
Town of Smyrna 11,580 28.3 120,703
Town of Clayton 3,392 6.7 22,644
Total DEMEC Group 137,282 681.8 2,199,081

2019 Data

Additional Services

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.