Local News

Average electric bill may drop $7.44 per month

TBO.com
Published: September 1, 2012

ST. PETERSBURG - Progress Energy Florida, a subsidiary of Duke Energy, has filed requests to lower average residential customer bills by 6 percent, according to a media release.

The company filed its annual requests with the Florida Public Service Commission to recover the cost the company has paid for fuel used to generate electricity and purchased power. Fuel is one of the largest components of the electric rate, the media release added.

Upon approval, the company's annual filings would result in an overall decrease of approximately $7.44 per month on a 1,000 kilowatt-hour residential bill, from the current $123.19 to about $115.75. If approved by the PSC, new prices will take effect with the first billing cycle in January.

"Progress Energy Florida is working to manage and mitigate expenses, and we are focused on keeping electric costs as low as possible for the more than 1.6 million households and businesses that depend on us," said Vincent Dolan, Progress Energy Florida state president.

The total reduction includes a $129 million refund to customers in 2013 as part of a comprehensive rate settlement previously approved by the Public Service Commission.

Customers will benefit from settlement-related refunds totaling $288 million through 2016, the media release added.

The company has listed its filings, some of which are requests for increases and others decreases:

They based the potential dollar effect on a monthly 1,000-kWh residential bill:

When the adjustments in these filings are included with previously approved base rates and the gross receipts tax, the average customer bill would reflect an average decrease of $7.44 per month, the news release adds.

"The largest decrease is in the fuel charge, which recovers the actual cost of fuel, mainly natural gas and coal, used to generate electricity. The continued low commodity price of natural gas and the settlement refund have reduced this charge," the company adds.

The PSC hearings on the fuel, capacity, environmental and energy-efficiency charges will take place Nov. 5-7.

The PSC will finalize Progress Energy's nuclear charge Nov. 20. At that time, the total 2013 customer bill will be determined.

For more information about Florida rates and a detailed breakdown of a current residential customer bill, visit www.progress-energy.com/floridarates.