Duke, Tampa Electric reveal how much Florida electric bills may change in 2025 (2024)

Tampa Bay’s two largest power providers requested to raise base rates for customers again in 2025.

Duke Energy and Tampa Electric Co. filed thousands of pages of paperwork Tuesday with the Florida Public Service Commission, providing details into their requests to increase customers’ base rates next year. Base rates are one of several components that add up to the ultimate cost of customers’ monthly electricity bills.

The Public Service Commission regulates utilities and must approve the companies’ plans for them to take effect. Duke and Tampa Electric provide electricity to at least some of Pinellas, Hillsborough, Pasco and Hernando counties and other parts of the state.

Duke’s filing asks for $820 million over three years from its customers to cover grid improvements, such as strengthening poles and wires, and to build 14 new solar farms, including one in Hernando County, said company spokesperson Ana Gibbs.

The increase would equate to customers paying about $16.48 more per month in 2025, $2.73 more in 2026 and $2.93 more in 2027 for a residential customer, according to a company news release. Utility companies generally use 1,000 kilowatt hours as the benchmark for an average bill.

However, Duke customers are expected to see their bills go down overall in January 2025 compared to January of this year, the company said. That’s because prior costs added in 2022 for things like storm resilience will be expiring. Gibbs said residential customers could see their bills go down by about $3.04 based on current estimates.

Tampa Electric Co. is seeking about $468 million over three years as part of its base rate increase, citing growing population, infrastructure improvements and increased solar capacity, among other reasons.

When including dips in other parts of their bills, Tampa Electric said it expects its customers to pay $5 more overall in January 2025 compared to this year. Cherie Jacobs, a spokesperson for the company, said it had not yet calculated how much typical customers’ bills would change in 2026 and 2027.

The requests come after several years of Tampa Bay residents feeling the pinch of hefty electric bills, which utility companies have attributed to the soaring price of natural gas nationwide in 2022 and 2023. The vast majority of electricity in Florida is generated by burning natural gas to create power, and the utility companies pass the costs of fuel onto their customers.

For example, in the decade before the pandemic, average December electricity bills for Tampa Electric customers rarely exceeded $110, according to data from the Energy Information Administration. Then in December 2021, the cost per kilowatt hour jumped more than 20% from the previous year and has continued to climb. In December, the average TECO bill was more than $150.

Duke, Tampa Electric reveal how much Florida electric bills may change in 2025 (1)

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Duke Energy customers have also been paying more. Since 2020, the amount customers paid per kilowatt hour in December increased nearly 40%. The average customer’s bill was around $149 in December 2023.

But as natural gas prices have started to come down, Duke and Tampa Electric also announced Tuesday that they would both separately seek reductions in how much customers pay for fuel.

Tampa Electric said it filed paperwork Tuesday to bring down fuel costs for a second time since January, which combined could save customers nearly $25 per month for the rest of the year. Duke said it would make its fuel request later this month, which combined with an earlier request could lower bills by about $16. Both requests are subject to Public Service Commission approval and could take effect this summer.

As part of the filings, the companies disclose how much they are seeking to pay out to shareholders, called a return on equity. Duke’s filings show it’s seeking a range for return on equity with a “midpoint” of 11.15%, telling the commission that without an increase in base rates, its rate of return will drop. Tampa Electric is asking for a range with the midpoint of about 11.5%.

After Tuesday’s filings are complete, the Public Service Commission is expected to schedule hearings for the coming months at different locations around the state to get feedback from Floridians on the rate hike proposals. Tampa Electric, for example, said in a news release it expects a June hearing in Hillsborough County.

The commission will then decide to approve the plans by the end of the year.

Times staff writer Teghan Simonton contributed to this report.

Duke, Tampa Electric reveal how much Florida electric bills may change in 2025 (2024)


Duke, Tampa Electric reveal how much Florida electric bills may change in 2025? ›

How will my bill be impacted? A. If the Florida Public Service Commission (PSC) approves our request as filed, beginning in January 2025, residential customer's total bill would be 3 percent higher than today, or an increase of about $5, to $148.15 for 1,000 kilowatt-hours (kWh) of use.

How much is the average electric bill in Tampa Florida? ›

Tampa Bay companies have increased rates drastically since 2021. Tampa Elecric Co. customers paid an average $192 a month in 2023, while Duke Energy customers paid an average $187. Cost of electricity per customer.

Why is the Duke Energy bill so high? ›

Why is my Duke Energy bill higher than usual? Unfortunately, many of our customers are currently experiencing higher than normal energy bills. This is due in part to a dramatic increase in the cost of fuel, driving up the cost to run our power plants and generate power. We don't profit from fuel costs.

What is the average cost of an electric bill in Florida? ›

Key takeaways

The average homeowner's electricity bill in Florida is $144 per month. Florida experiences more power outages than other areas of the U.S. due to the area's high volume of hurricanes and tropical storms.

What does Duke Energy charge per kWh in Florida? ›

Average Duke Energy Electric Bill
Based on average usage of 941 kilowatt hours (kWh) per month, as of 2/22/2024*
Total Monthly Bill:$126.57
Price per kWh (with fixed charge):$0.134501
Price per kWh (w/o fixed charge):$0.123300
16 more rows

Why is my teco bill so high? ›

In addition to these seasonal challenges, the Florida Public Service Commission approved bill increases earlier this year to recoup fuel costs that were extremely high in 2022 and to cover the costs to restore power after Hurricanes Ian and Nicole hit our area.

Why is my Florida electric bill so high? ›

Fuel costs account for one-third of Florida electricity bills, and the cost of those fuels has tripled since 2020. Year after year, the state's power companies have raised electricity rates for customers as the costs of fuel rise.

What is the Duke Energy scandal? ›

Report: Duke Energy Has Squandered Billions in Failed Natural Gas and Nuclear Projects. WASHINGTON – Since 2013, Duke Energy and its partners have scrapped natural gas pipelines and nuclear power plants totaling $11.6 billion, according to a new report by the Environmental Working Group.

Why is my electric bill so high all of a sudden in 2024? ›

The most common reasons why your electricity bill is so high always have to do with outdated appliances, insufficient insulation, high utility electricity rates, and inefficient thermostats. It's also important to factor in the state you live in while comparing these factors.

Did Duke Energy raise their prices? ›

Accounting for that, beginning Jan. 15, the change from current rates for a typical residential customer using 1,000 kilowatt-hours (kWh) per month will be an increase of $10.04, from $130.29 to $140.33 per month, followed by a $4.19 increase on Jan. 1, 2025, and a $4.10 increase on Jan.

What state has the highest electric bill? ›

The Average Electricity Rate in the U.S. is 16.1 cents per kilowatt-hour. Hawaii has the highest average electricity rate of 43.93 cents per kilowatt-hour.

What is the cost of living for a single person in Florida? ›

The cost of living in Florida per month equates to approximately $4,224 per person. It's also worth noting that in terms of Personal Consumption Expenditure (PCE), Florida saw the third-largest increase between 2021 and 2022, reaching $55,516.

What is the Duke Energy Florida rate case 2024? ›

2024 rate reduction, continued focus on cost management

Duke Energy Florida announced its plan to file a fuel and capacity rate request due to falling natural gas cost projections, which will lower a typical residential 1,000-kWh customer bill by over $5.

Is Duke Energy a monopoly in Florida? ›

The majority of Duke's business is in regulated, monopoly utilities in six states: North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky.

Is Duke Energy lowering rates in Florida? ›

As of result, a typical residential 1,000-kWh monthly customer bill will be reduced by $5.90, or almost 4%, with the new rates taking effect beginning in June 2024. The savings are in addition to the $11.29 monthly decrease, or about 6%, that went into effect in January.

What is the average monthly cost in Tampa? ›

Summary of cost of living in Tampa, FL, United States: A family of four estimated monthly costs are 4,723.3$ without rent. A single person estimated monthly costs are 1,325.9$ without rent. Tampa is 19.7% less expensive than New York (without rent).

How much is the average water bill in Tampa, Florida? ›

The average water bill in Tampa is $46.50.

How can I lower my electric bill in Florida? ›

Additional Tips For A Lower Electric Bill
  1. Weatherproof your home.
  2. Replace old windows with new energy-efficient windows.
  3. Replace old furnace with new energy-efficient furnace.
  4. Properly maintain furnace.
  5. Use solar heat if possible.
  6. Turn off lights when leaving a room.
  7. Use energy-efficient compact fluorescent light bulbs.
Jan 8, 2020

Is it expensive to live in Tampa FL? ›

Tampa, FL housing is 3% cheaper than the U.S average, while utilities are about 2% less pricey. When it comes to basic necessities such as food and clothing, groceries are around 7% less in Tampa, FL than in the rest of the country, while clothing costs around 7% less .

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