HELPING THE ELDERLYAn Age-Old BattleDavid Bonar Delaware Public Advocate

Affordability One wastewater utility allowed to increase rates from

$75/month to $85/month (phased over two years) Second largest water utility just filed for a 14% increase in

rates (prior increase of more than 16% was approved summer 2012)

Increase in natural gas base rates added $5.34 per month to the average residential customer bill

Electric utility seeking monthly increase for average residential customer of $7.60 ($5.36 already in rates) Same utility was granted a $22 million increase in January 2013,

adding $4,49 to the average residential customer Distribution rate increases exclude other approved increases

(renewable portfolio compliance costs, AMI deployment costs, DR programs)

Essential Services Elderly population more sensitive to

extreme weather conditions Electric and natural gas services are

critical to health and safety of the elderly

Even brief periods without service can be harmful or fatal for elderly

Reluctance of many elderly to seek assistance

Consumer Advocate Response Continue to advocate for lowest reasonable

rates consistent with safe and reliable service

Work with assistance agencies to reach as many sensitive populations as possible

Do a better job of educating legislatures about impacts of various laws on utility rates

Focus outreach efforts on reaching isolated populations, especially regarding efficiency programs and new technologies

Final thoughts Customers can no longer be looked at as just

“ratepayers” Not all elderly are on a “fixed income” and

“technophobes” – stop coddling them Many are able and willing – and have the

financial means - to implement new technologies

Need to consider re-segmentation of customer groups to reflect realities of where we are today, not where we were many years ago