ST. PETERSBURG, Fla. – Duke Energy Florida has formally notified the state about its intention to file a new base rate increase, which is expected to lower customer bills overall next year.
According to Duke Energy, a number of enhancements are anticipated to be part of the increased base rate, which is set to take effect in January 2025.
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The projected impact of the proposed base rate adjustments indicates an average annual increase of around 4% in the total bill during the span of 2025 through 2027. Despite the increase, Duke Energy Florida foresees “overall customer bills to decrease in 2025,” the company said in a news release. The expiration of the 2022 fuel under-recovery, storm restoration cost recovery, and legacy power contracts by year-end 2024 is expected to contribute to this reduction.
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The company said the rate proposal aligns with Duke Energy Florida’s commitment to delivering a more intelligent energy future, ensuring price stability and certainty for its customers.
The proposed investments aim to reduce outages, shorten restoration times, and cut emissions at a reasonable cost, the release states.
“This proposal offers what our customers want – a more reliable energy system using cleaner energy,” Melissa Seixas, Duke Energy Florida state president, said in a release. “We are focused on making smart energy investments that leverage innovative technology to increase power plant efficiency and reduce outages.”
The proposed investments under the 2025-2027 rate case filing include ongoing grid modernization, improvements to power plants for reduced fuel consumption, and the addition of 14 new solar plants between 2025 and 2027. The company said it will also explore innovative clean energy technologies like long-duration energy storage and the DeBary Hydrogen project – a clean energy hydrogen production and storage system in Volusia County.
It’s crucial to note that the proposed 2025-2027 rate case filing is subject to FPSC approval.
The Florida Public Service Commission approval process will include public hearings to facilitate customer feedback on the rate requests and utility service quality.
The FPSC will announce the schedule of public hearings through its website and customer bill inserts, with the timing expected for midyear.
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