Like death and taxes, energy rate increases are inevitable, which is why we tell potential customers that the best time to go solar is five years ago and the next best time to go solar is today!
Wondering if your energy provider is planning to “up the rent” on your electricity? Here are a few energy company rate increases in Florida that have been in the news recently:
Duke Energy’s rates are increasing
On May 4, 2021, it was reported that Duke Energy would be raising its rates 3% to 4% in 2022. The rate increase is part of a settlement agreement approved by the Public Service Commission. According to WUSF, “average residential customers would see bill increases of 3% to 4% in 2022, while non-residential customers would see increases of 1% to 6.5%. All customers would see annual increases of 1% to 2% in 2023 and 2024.”
What does this mean for you? If you have an average bill of $200 per month in a Duke market, expect to pay an extra $72 to $96 per year in 2022 for electricity for your home and even more in the years to come. Meanwhile, our solar customers in Duke markets won’t pay a dime more.
FPL bills are going up, and they are asking for more
Florida Power & Light customers have already started to see increases in their bills after FPL received approval from the Public Service Commission to collect $302.5 million from customers to cover natural gas costs. The Daytona Beach News Journal reported, “Under the plan approved by the commission, FPL customers who use 1,000 kilowatt hours of electricity a month will see their bills increase from the current $99.05 a month to $103.02 in May. The additional charges will continue through December.”
In addition, FPL’s EnergyNews insert reported a proposed plan to phase in four base rate increases between 2022 and 2025. The flyer read, “If approved, the typical 1,000-kWh residential customer bill would grow at an average annual rate of about 3.4% from 2021 to 2025. FPL customers, if this is approved, get ready to see a $99.05 energy bill turn into $106.52 in 2022 and eventually up to $117.76 in 2025. (And that’s assuming they don’t request additional rate hike approvals in the meantime).
TECO goes solar, but passes costs on to the customer
Tampa Electric is adding more solar to their offerings, but unfortunately, its customers won’t get to enjoy the savings. According to WUSF, TECO has sent in a proposal for “a $295 million increase in base rates in January 2022, followed by increases of $102 million in 2023 and $25.6 million in 2024.”
TECO residential customers using 1,000 kilowatt hours of electricity per month would see their bills go from the current $105.25 to $125.48 in 2022, about a whopping 19 percent increase in just one year! When you produce your own solar power rather than buying theirs, your energy costs can drop as much as 19 percent, right away!
Gulf Power (now FPL) customers get a little good news
Northwest Florida’s Gulf Power customers get a little reprieve from the recent merger between their utility and Florida Power & Light. The rate hike proposal affecting FPL customers across the state will not affect them as harshly . . . The Pensacola News Journal reports that, “Northwest Florida residential customers, meanwhile, would see their bills go from $132.41 in January 2021 to $133.21 in January 2022, the projections show. The bills would then go to $132.39 in January 2023; $129.79 in January 2024; and $126.50 in January 2025.” Of course, as the people in this market know, they were already paying higher rates anyway.
Going solar protects you from rate hikes
If you want to be free from the tyranny of energy rate hikes now and in the future, consider going solar. Not only will you save money on your monthly electric bill, but your solar payment won’t be subject to rising energy costs. Imagine knowing exactly what you’ll be paying for energy month after month, year after year. And imagine that number eventually going to zero, because that’s what a solar loan does. (Your TECO or Duke or FPL bill never will– you can count on that.)
We offer no money down, super-low-interest loans (between .99% and 1.99% at the time of the writing of this blog). Consultations are free and there’s never any obligation. Get your questions answered once and for all, and find out what solar can do for you.
Fill out our online form or give us a call at 833-288-4786.