DeSantis’ PSC Approves Record-Breaking FPL Rate Increase in U.S.
The Florida Public Service Commission (PSC), appointed by Governor Ron DeSantis, has approved a historic $7 billion rate increase for Florida Power & Light (FPL) customers. This marks the largest utility rate hike in U.S. history, affecting approximately 12 million Floridians.
Details of the Rate Increase
Starting January 2026, the average monthly bill for FPL customers will rise by more than $14. Additionally, in 2024, customers will incur an extra $175 per year due to energy, fuel, and tax costs. By 2028, annual bills will be $289 higher. A recent analysis by Food & Water Watch reveals that a typical customer using 1,000 kWh monthly will face a 45% increase in bills, accumulating to an additional $513 each year from December 2020 to January 2026.
Public Reaction and Opposition
This decision comes amidst public backlash. Last month, 29 Florida elected officials urged the PSC to reject the proposed hike. Various advocates, including the Manatee County Commission and the City of Pembroke Pines, have also voiced their opposition. Brooke Ward from Food & Water Watch criticized the PSC for prioritizing corporate profits over the affordability of energy for families.
- FPL’s previous rate increase was one of the largest in U.S. history.
- The PSC’s decision has faced strong criticism from customer advocates.
- Florida families are already feeling the strain of rising costs in other areas, such as groceries and rent.
Concerns About Corporate Influence
Critics argue that the PSC’s approval benefits large corporations while neglecting everyday families. The Office of Public Counsel noted that revenue from all customers will be used to subsidize energy usage discounts for big companies. Furthermore, FPL’s shareholders are expected to see profits that are the highest among utilities in the contiguous U.S., with a 10.95% return on equity.
Statements from Advocates
Leaders from various organizations, including The CLEO Institute and Florida Student Power, expressed their discontent with the PSC’s decision. They emphasized the need for energy legislation that prioritizes affordable rates over profits for utility companies.
- Yoca Arditi-Rocha highlighted the deepening affordability crisis for Florida families.
- Alyssa White called the approval a “slap in the face” to those struggling with utility costs.
- Mary Gutierrez expressed disappointment for failing to protect families from high utility bills.
Future Implications
The decision to approve the rate hike is not seen as the final word. Advocacy groups plan to potentially appeal the ruling to the Florida Supreme Court. Additionally, the PSC recently approved another significant rate increase for Tampa Electric’s customers, indicating a troubling trend in utility pricing across Florida.
As Floridians face the prospect of soaring electricity costs, the push for regulatory reforms to protect consumers is expected to continue. The call for affordable and reliable energy is now more urgent than ever, as families grapple with increased financial burdens.
