Application of Delmarva Power & Light Co.

WALSH, Vice Chancellor. *

This is an appeal from a decision of the Delaware Public Service Commission (the “Commission”) which disallowed recovery of certain coal procurement costs which were sought by Delmarva Power & Light Company (“Delmarva”) through its fuel adjustment clause. Delmarva contends the Commission’s decision is against the weight of the evidence presented and contains erroneous conclusions of law. The Commission defends its ruling as a proper exercise of its administrative judgment.

I

The fuel adjustment charge is a permanent feature of Delmarva’s tariff. Its purpose is to permit…