Florida Power & Light (FPL) customers will see an increase of about $12 in their monthly bills starting in January to cover restoration costs from the 2024 hurricane season and replenish the company’s storm reserve fund.
The rate hike, approved unanimously by the state Public Service Commission (PSC) earlier this month, will last for 12 months and is subject to a potential refund pending a full review of the actual recovery costs.
The $1.2 billion interim recovery package will cover expenses related to Hurricanes Milton, Helene, and Debby. Much of the cost — about $811.1 million — stemmed from restoring power after Hurricane Milton, which made landfall as a Category 3 storm in Sarasota County on October 9. Hurricane Helene, a Category 3 storm that struck Taylor County in late September, accounted for $157.8 million, while Hurricane Debby, a Category 1 storm that hit the Big Bend region in August, added $113.5 million.
Under FPL’s proposal, customers in the utility’s traditional service area who use 1,000 kilowatt hours of electricity monthly will see their bills increase from $121.19 to $133.99. Customers in Northwest Florida, which was part of FPL’s acquisition of Gulf Power, will see their bills rise from $135.38 to $143.45.
The PSC, whose commissioners are all political appointees, emphasized that the approved charges are interim and could be refunded with interest if the final costs differ. This assurance comes amid increasing public scrutiny of the PSC’s decisions. During oral arguments in a separate utility rate case last week, Florida Supreme Court Chief Justice Carlos Muñiz remarked on the perception that the PSC acts as a “rubber stamp” for utilities seeking rate increases.
FPL’s latest increase has sparked frustration among customers, particularly those in South Florida, which escaped significant hurricane damage this year, and will also bear the costs. Critics have raised concerns about the transparency of the process and fairness to residents. FPL has outlined the added charges on its website.
Meanwhile, Duke Energy Florida and Tampa Electric Co. have also indicated plans to recover storm-related costs, with Duke expected to seek between $1.1 billion and $1.3 billion and Tampa Electric aiming for $365 million to $425 million.
While the approved rate hike begins in January, customers remain wary of rising bills and the long-term financial impacts of this year’s historic hurricane season.
 customers will see an increase of about $12 in their monthly bills starting in January.){kind=link}