FPL submits proposal to recover costs from hurricanes and increased fuel prices

by | Jan 23, 2023



  • FPL is seeking recovery of $1.3 billion for incremental restoration costs from Hurricanes Ian and Nicole.
  • FPL is also seeking permission to recover about $2.1 billion to make up for the difference between projections and actual costs for natural gas in 2022.
  • Fuel bills from 2022 already paid by FPL but not yet recovered would be spread over 21 months while lower projected fuel costs for 2023 would provide a partial offset.
  • Cost recovery for Hurricanes Ian and Nicole would be spread over a 12-month period.

Florida Power & Light (FPL) is proposing an adjustment rates to offset the costs associated with two hurricane that impacted its customers in the Sunshine State last year.

The proposal, which FPL filed Monday with the Florida Public Service Commission (FPSC), seeks to balance unrecovered fuel and storm costs — from Hurricanes Ian and Nicole in 2022 — and a recent decline in projected 2023 fuel costs to minimize the impact on customer bills.

FPL noted in a news release that the cost recovery for both storms would be spread over a 12-month period.

“FPL has a proven track record of keeping bills below the national average. When events beyond our control – like hurricanes and significant changes in fuel prices – force a change to customer bills, we try to do so in a thoughtful way that minimizes the impact on our customers while balancing the risk of invoices piling up,” said FPL Chairman and CEO Eric Silagy. “Still, we recognize that every dollar matters, which is why we encourage customers to use FPL’s free tools and simple tips to save energy and money on their electric bills.”

If approved by the PSC, FPL’s typical 1,000-kWh residential bill for customers in peninsular Florida would increase by approximately 10%. Despite the increase, the utility company added that under the proposed plan, FPL’s typical residential bill in peninsular Florida is also expected to remain well below the national average and remain the lowest among Florida’s investor-owned utilities, which collectively serve more than 75% of the state’s population.

Additionally, FPL’s typical, 1,000-kWh residential bill for customers in Northwest Florida would increase roughly 8%, but would remain below the national average.

In addition to today’s filing, FPL also responded to the FPSC’s request to calculate the impact of spreading the remaining costs from past hurricanes that affected customers of the former Gulf Power across all FPL customer bills.

Doing so would reduce the monthly storm charge on a typical 1,000-kWh bill in Northwest Florida by nearly $10.

Both proposed temporary increases would take effect in April.

1 Comment

  1. Daniel Rousseau

    When you see FPL commercials on TV telling you what a great and terrific work they are doing to contain costs, you can bet there will soon be a request for a huge increase in electricity rates.

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