Progress Energy, TECO want hikes of about 6 percent to meet higher fuel costs.
By LOUIS HAU
Published September 13, 2003
Rising natural-gas prices likely will lead to higher electric bills next year for Tampa Bay area customers.
In requests filed Friday with the Florida Public Service Commission, Progress Energy Florida Inc. of St. Petersburg sought a 6.5 percent increase in its residential rates. Tampa Electric Co. asked for a 5.7 percent increase.
The rate hikes, which would take effect with the first bills of 2004, reflect the utilities' higher fuel costs and costs of complying with state environmental and energy-conservation regulations. Rates for commercial and industrial customers would increase as well.
The state's investor-owned utilities can pass on such costs to their customers, and the PSC can only confirm that the rate requests comply with state regulations.
Under the proposed increases, Tampa Electric would continue to charge the highest electricity rate among Florida's four major investor-owned utilities. The Tampa utility asked to increase its residential rate to $99.47 per 1,000 kilowatt hours from $94.14. Progress is seeking an increase to $89.16 per 1,000 kilowatt hours from $83.71.
The typical household consumes about 1,200 to 1,400 kilowatt hours per month. Progress charges a slightly higher rate for electricity consumed in excess of 1,000 kilowatt hours in a month.
Florida Power & Light of Juno Beach, which was already granted a rate increase in August, expects its rate to fall by 30 cents to $86.43 per 1,000 kilowatt hours. Gulf Power Co. of Pensacola has applied to increase its rate by 3.2 percent to $79.93 from $77.44.
The PSC scheduled hearings on the proposed rate increases Nov. 12 through 14 and is expected to reach a decision at that time.
-Louis Hau can be reached at hau@sptimes.com or 813 226-3404.
