The Florida Public Service Commission (PSC) has unanimously rejected a request to reconsider its November 2025 approval of a $7 billion rate increase for Florida Power & Light (FPL), clearing the way for the dispute to move to the Florida Supreme Court.
Before the vote, PSC Chairwoman Gabriella Passidomo-Smith pushed back against criticism from opponents who argued the commission failed to adequately scrutinize FPL’s proposal and merely paid “insufficient lip service” to legal requirements.
“That argument presumes the commission didn’t read the record, wasn’t at the meetings and that zero deliberation occurred,” Passidomo-Smith said. “Each commissioner discussed in detail the issues they believed warranted attention.”
Following her remarks, Passidomo-Smith supported a staff recommendation to deny the petition for reconsideration. Commissioners Mike LaRosa and Gary Clark joined her in voting against the request. Only the three commissioners who served on the PSC when the original rate increase was approved on Nov. 20 were eligible to participate in the vote.
The challenge, led by the Office of Public Counsel, raised five objections to the commission’s original decision. PSC staff recommended rejecting four of the objections entirely and partially accepting one only to allow previously omitted documents to be added to the official record.
The approved rate increase resulted from a settlement agreement between FPL and 13 organizations representing business and energy interests. Opponents have argued that the agreement amounts to the largest utility rate increase in U.S. history and criticized FPL’s nearly 11% return on equity, which they say ranks among the highest allowed for major utilities nationwide. The legal battle will now move to the Florida Supreme Court.
“While certainly disappointing, we look forward to presenting our case to the Florida Supreme Court as to why this decision approving this rate increase should be overturned,” said Bradley Marshall, senior attorney with Earthjustice, in a statement released by Food & Water Watch.
Earthjustice represents Florida Rising, the League of United Latin American Citizens of Florida, and the Environmental Confederation of Southwest Florida. Those groups joined the Office of Public Counsel and Floridians Against Increased Rates in opposing the rate increase.
Under the new rate structure, which took effect in January, customers in Northwest Florida are expected to see their average monthly bill for 1,000 kilowatt-hours decline by about $2 in 2026, from $143.60 to $141.36. Customers on the Florida Peninsula, who currently pay lower rates than Panhandle residents, will see their bills increase by approximately $2.50 to $136.64 per month.
Rates in both regions are scheduled to rise annually through 2029, when customers statewide will pay the same projected monthly rate of $148.15 for 1,000 kilowatt-hours of electricity. By the end of the four-year period, monthly bills will have increased by $6.79 for Panhandle customers and by $14.01 for customers elsewhere in Florida.
Representing FPL before the commission, attorney Christopher Wright supported the staff recommendation to deny reconsideration, arguing that opponents were attempting to revisit issues that had already been fully considered.
“Reconsideration is not a basis for reopening arguments,” Wright said.
Source: AOL News