FPL faces pushback as regulators weigh major rate hike

TALLAHASSEE, Fla. — Florida regulators this week opened hearings on Florida Power & Light’s proposed four-year rate plan — one of the largest utility hikes in U.S. history.

The company is asking the Florida Public Service Commission to approve a settlement that would raise base rates for roughly 12 million customers beginning in 2026. The plan, trimmed about 30% from an earlier $2.5 billion request, would still generate nearly $7 billion in new revenue over four years.

WATCH: FPL faces pushback as regulators weigh major rate hike

FPL argues the increase is needed to strengthen the grid and meet Florida’s rapid population growth, saying the typical residential customer would see a modest increase of about $2.50 per month next year, or less than nine cents a day.

“There’s never a good time to request an increase,” said Andrew Sutton, a spokesperson for Florida Power & Light. “We know no one wants to pay more for any product or service. At the end of the day, the electric grid is not something that we can just set and forget.”

The company maintains the added funding will help build new power plants, replace aging infrastructure, and invest in technology to prevent outages, while still keeping bills among the lowest in the state.

But critics say the proposal goes too far. AARP Florida and the state’s Office of Public Counsel both filed testimony opposing what they call an “unprecedented” rate increase.

“You know, next time when Tampa Electric or Duke Energy have their opportunity to have a rate case, we’ll see similar asks,” warned Zayne Smith, AARP Florida’s Senior Director of Advocacy. “It’s just the nature of the beast.”

AARP argues the plan could squeeze seniors and families already struggling with high living costs, while the Public Counsel contends it would unfairly boost FPL’s profits.

Ali Wessling, legal counsel for the Office of Public Counsel, told commissioners the proposal would direct too much customer money to shareholders. “If approved, 50 cents out of every dollar that customers pay would go straight to shareholders’ pockets and into taxes,” she said.

The Public Service Commission is expected to spend up to two weeks hearing expert testimony and public comment before voting later this fall. If approved, the new rates would take effect January 1, 2026.

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