Florida Power & Light Co. customers’ bills are going up slightly to account for the $970 million modernized Cape Canaveral plant that was powered up April 24.
Base rates for the residential customer who uses 1,000 kilowatt hours a month are increasing by $1.72. A $1.56 decrease in fuel charges brings the net increase to 16 cents, FPL spokesman Mark Bubriski said. That typical bill is now $95 a month, excluding local taxes and franchise fees applicable in some areas.
For the 2,000 kilowatt-hour monthly, bill, the impact is 44 cents, and it’s 71 cents for the 3,000 kilowatt-hour bill. Go to FPL.com/answers to calculate what your bill will be.
The Cape Canaveral Next Generation Clean Energy Center generates electricity from natural gas produced in the United States. It replaced a 1960s-era oil-burning plant that was demolished in 2010. The plant is capable of producing more than 1,200 megawatts of electricity — enough to power about 250,000 homes and businesses and roughly double the amount generated by the previous plant.
Construction was completed more than a month ahead of schedule, and about $140 million under budget.
Customers will pay for the plant over 30 years. The increase reflects the $165.5 million customers will pay this year. Based on projections for future fuel costs, the fuel savings are expected to be more than the cost of the plant, resulting in a net savings for customers, Bubriski said.
Base rates will also rise when the company’s new Riviera Beach plant goes into service in 2014 and in 2016 when its new Port Everglades plant begins operating.
The $48.74 a month base rate for the 1,000 kilowatt-hour customer includes the standard customer charge of $7.24, which covers the cost of the meter, billing and providing customer service. The base rate also includes the base energy charge, which covers the cost of operating power plants and maintaining the grid. It is not a separate item on the bill.
The Cape Canaveral fees and the charges for the other two plants are covered under a four-year revised settlement agreement which the Florida Public Service Commission approved in January. The agreement was signed by FPL and three groups representing large power users.
The PSC approved a $350 million base rate increase plus the charges for the new plants, for a total of $1billion.
Florida Public Counsel J.R. Kelly, who in April filed an appeal of the PSC’s decision with the Florida Supreme Court, objected to the plant costs for Riviera Beach and Port Everglades being included in the deal. FPL should have had to come back to the commission to okay those costs, he has asserted.
Among Kelly’s objections is that the PSC misinterpreted Florida law when it approved the settlement that excluded his office, which represents consumers in utility rate cases.
Florida Power & Light Co.’s 1,000 kilowatt-hour residential bill
January 2012 March 1-April 24 2013 Starting April 24
Base Rate $43.26 $47.02 $48.72
Fuel Charge $33.43 $27.89 $26.33
Storm Charge $1.08 $1.57 $1.57
Other Charges $16.85 $18.98 $18.98
Total Bill $94.62 $95.46 $95.62
Amounts shown do not include local taxes and franchise fees, which vary.
Source: Florida Power & Light Co.