TECO customers protest company's request to raise rates next year: 'I'm already struggling'

BRANDON, Fla. - Tampa Electric customers protested outside Hillsborough Community College in Brandon on Thursday, as the Florida Public Service Commission held a public hearing regarding TECO's request to raise rates next year.

Both TECO and Duke Energy applied for rate hikes in April, leading to push back from some customers in recent weeks. No action will be taken during the upcoming public hearings, with a decision expected later this year.

"Please do not raise this bill as I'm already struggling," said a customer who spoke during the commission's hearing. "We're trying to figure out if we're going to pay the rent. Are we going to pay TECO? Are we going to pay the water bill, or are we going to pay the cable bill? Are we going to pay our car insurance, our medical, expensive food for our children, clothes and other necessary [items]?"

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Because other portions of the bill are expected to drop, the base-rate adjustment is expected to have only a modest net impact on customer bills. If approved as filed, for 1,000 kilowatt-hours of use, a residential customer’s total bill in January 2025 would be 3% higher than what they’ve paid for the first half of this year – or an increase of about $5 – to $148.15 a month. Residential rates would remain among the lowest in Florida, below the national average and lower than in 2023.

"We know that for some customers, even a small increase in their power bill can increase the burden for them, and we are here to help those folks," TECO spokesperson Cherie Jacobs told FOX 13 Thursday. "We work with our customers, we make payment arrangements, and we have more free programs to reduce energy bills than any other utility in Florida."

TECO argues the proposed rates would have numerous long-term benefits for customers:

• Shorter power outages – and reduced costs to restore them. The company is investing in technology and enhancements to communication systems that enable automatic and remote power restoration.
• Reduced fuel costs from: Improving existing power plants. By improving the efficiency of existing power plants, Tampa Electric can reduce fuel costs and improve overall system efficiency. Increasing renewable energy, such as solar. Since 2017, Tampa Electric's investment in solar energy has saved customers more than $200 million in fuel costs. The company will add another 490 megawatts (MW) of solar capacity by the end of 2026.
• Improving existing power plants. By improving the efficiency of existing power plants, Tampa Electric can reduce fuel costs and improve overall system efficiency.
• Increasing renewable energy, such as solar. Since 2017, Tampa Electric's investment in solar energy has saved customers more than $200 million in fuel costs. The company will add another 490 MW of solar capacity by the end of 2026.
• Enhanced community safety with reliable lighting and other innovative technologies.
• Optimized low-cost energy. The company is adding more than 115 MW of energy-storage capacity – enough to power about 18,000 homes – in the next few years. The storage will extend the use of low-cost electricity and can delay the need to invest in new power plants.

Duke Energy is also looking to invest in its infrastructure by raising base rates by $16.48.

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"It will help our customers reduce outages, and we're also investing in clean energy," said Duke Energy spokesperson Ana Gibbs. "We're asking to build 14 new solar sites."

Still, overall bills will reportedly decrease, according to Duke.

"There are other types of items on the bill that will be falling off at the end of 2024 and some of those things are some of our storm costs, some of our fuel costs, and some of our purchased power agreements are going to be taken off the bill at the end of 2024," Gibbs said.

One more meeting is currently scheduled to address Duke's proposed increases. It's an in-person/virtual meeting that will be held on Tuesday, June 18, at the Betty Easley Conference Center in Tallahassee. 

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