Florida commission won't reconsider Tampa Electric's rate hikes
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The Florida Public Service Commission upheld its approval of Tampa Electric's controversial rate increase, which the state's consumer advocate called "egregiously excessive."
Why it matters: Tampa Electric's 775,000 residential customers across Hillsborough, Polk, Pasco and Pinellas counties are now paying at least $109 more a year due to the rate hike that took effect in January.
Catch up quick: In December, the commission signed off on Tampa Electric's plan to increase rates by $185 million in 2025, with increases of $86.6 million in 2026 and $9.1 million in 2027 expected to follow.
- The increase shifted the cost burden from large companies to residential customers and smaller businesses.
- The state Office of Public Counsel and consumer groups — Florida Rising and LULAC Florida — asked the commission to reconsider its approval of the rate hikes in February.
The latest: The commission on Tuesday refused to reconsider Tampa Electric's rate hike but agreed to correct a calculation error identified by the Office of Public Counsel.
Between the lines: Commission staff said in a recommendation that the approval of TECO's rate hike was "reasonable" and well-supported.
- Staff cited, in part, Tampa Electric's "unique risks" as a concentrated service area vulnerable to hurricanes.
- The Office of Public Counsel argued in its Feb. 18 filing that Tampa Electric's storm risk is addressed via existing tools, such as the Storm Cost Recovery Mechanism.
- TECO used the mechanism after hurricanes Debby, Helene and Milton, adding $20 to residents' monthly bills on top of this year's rate increases.
What's next: The consumer groups have appealed Tampa Electric's rate hikes to the Florida Supreme Court, which put the case on hold while the commission reviewed the reconsideration request.