New electric rates in Newark benefit Delaware’s big institutions

Approval by Newark City Council to revise electricity rates will save major institutions like the University of Delaware and Dow Chemical money.

Large users will be charged at a lower rate because they use electricity at consistent rates, the News Journal reports. City Council hopes the new rates will encourage more development. UD is expected to save $1 million annually on its electric bill, but will be paying more overall as the campus expands and consumes more energy.

Residents will pay a $10 monthly fee on top of consumption, and will pay higher rates if they use more electricity. UD will pay a $25,000 feed on top of consumption, but will have lower kilowatt-per-hour rates.