Big Problem #1 occurred when the utility was deregulated. At that time, the
government put a freeze on electric rates for five years, meaning that the cost
of a kilowatt-hour was fixed — Delaware Electric couldn’t raise the price.
Now, electricity is a commodity like any other, and an electric cooperative’s
success depends upon delivering that commodity in a fashion that impresses
its customers. Energy costs, on the other hand, are rising steadily, which
means that Delaware Electric had to find ways to cut its own costs without
compromising on service.