Florida’s average electric bill is one of the highest in the country, according to a recent report from financial information website MarketWatch.
In a national comparison that looked at how much the average electricity bill was in each state, Florida ranked No. 4 at $168 per month, which is about $31 more than the national average. Hawaii had the highest electricity bill, clocking in at about $213 per month.
Florida energy costs have risen over the years in lockstep with the rest of the nation. Between 2010 and 2020, the average price of electricity per kilowatt-hour in the U.S. had risen slightly from about 12 cents per kilowatt-hour to about 13 cents before seemingly plateauing, according to data from the U.S. Bureau of Labor Statistics (BLS).
Electricity prices since 2020 have since skyrocketed to nearly 18 cents per kilowatt-hour as of October. In Miami, the only Florida metropolitan area reported in the BLS’ latest data, that cost was about 14 cents, down 10.7% from last October.
Rising Temperatures (and Climate-Related Disasters) Mean Rising Electricity Bills In Florida
By now, Florida residents are probably used to the juggle of energy rate increases and decreases by its power companies like Florida Power and Light, Duke Energy and Tampa Electric. It’s gotten to the point where it can be difficult to keep up with exactly how your bill will be affected.
Rising inflation has taken the brunt of the blame for rising costs despite having cooled considerably since it peaked at 9.1% in June 2022. The latest data from BLS shows it at just 2.8%.
So, what’s causing the increase in electricity bills? The climate. In 2022 alone, Florida racked up an estimated $100-200 billion in losses related to weather and climate disasters, according to the National Oceanic and Atmospheric Administration. While the 2024 Atlantic hurricane season has been relatively kind to Florida, only causing between $2 billion and $5 billion as of September, which doesn’t include damages from hurricanes Helene and Milton, 2022 was hardly an outlier.
Between 1980 and 2024, as of November, there have been 93 confirmed weather and climate disasters exceeding $1 billion to impact Florida. The 1980–2023 annual average is 1.9 events per year. That number jumps up to 4.8 when looking at just 2019-2023. These events included seven drought events, four flooding events, five freeze events, 33 severe storm events, 35 tropical cyclone events, four wildfire events, and five winter storm events, according to NOAA.
Rising temperatures have played another important role. Over the summer, Escambia and Santa Rosa counties, which often experience cooler temperatures than the rest of the state, experienced more than 30 heat advisories and average monthly temperatures that were “much above normal.”
While the mean temperature remained roughly average throughout the summer months in the Pensacola area, according to the Florida Climate Center, the heat index for the area was over 100 degrees almost daily.
Unlike many states, Florida doesn’t provide residents with any protections or prevent utility companies from shutting off electricity during extreme weather, forcing residents to choose between paying up or having their electricity cut off.
Data from the Energy Justice Institute’s Disconnection Dashboard shows that many choose to forego air conditioning.
FPL filed a request to collect nearly $1.2 billion from customers over a 12-month period starting in January to recover its costs of restoring power after hurricanes Debby, Helene and Milton. The filling would result in a $12.8 increase in residential customers in the traditional service area who use 1,000-kilowatt hours of electricity, while Northwest Florida customers would see an $8 increase, according to the Miami Herald.
In 2023, Tampa residents had some of the highest electricity bills in the nation, yet the utility company there, Tampa Electric, is asking for another rate hike that could increase bills up to $200 per year.
What Temperature Should I Set My AC To In Florida?
This is a frequently asked question, and if you ask anyone else, you’re bound to get a flurry of varied answers. In a somewhat recent Reddit thread that asked users what they set their AC at, more than 750 people answered. The most upvoted answer was 72℉ -24℉. On the lowest end, some people alleged that they set their AC to 64℉ while the bravest said 80℉.
So, what do the experts say? Well, in truth, there is really no consensus. The Department of Energy says that 78℉ will offer you the best balance between energy savings and comfort, but in a recent email to The Palm Beach Post, the EPA said that it doesn’t recommend any particular temperature setting for households.
Instead of trying to adhere to an arbitrary number, consider these five questions:
- What temperature will feel most comfortable for you and your family?
- What are the health conditions of the people in your household?
- How well insulated and protected against heat is your home?
- What other cooling methods do you use?
- How much are you willing to pay for cooler temperatures?
“A one-degree increase in thermostats could save between 3-5% on cooling costs. The less your AC has to work, the lower your bill,” said Katarina Alvarez, a senior communications strategist for Florida Power & Light
Methodology
For this study, MarketWatch analyzed the cost of residential electricity bills from the U.S. Energy Information Administration. It used the electric sales, revenue and average price annual report last published in October 2024 with data from 2023. It also used the Electric Power Monthly report published in September 2024 with data from July 2024.
Source: Pensacola News Journal