FP&L rate hike request called

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Representatives from those agenciesblasted FP&L’s rate increase at a publivc hearing Thursday morning in Fort In the first hour and a half of the only opposition was expressed. “We believe the amount they’re asking for is It’s just too much to ask for in today’s economi c times,” said J.R. Kelly, public counsel with the Florids Office ofPublic Counsel. The Juno Beach-base d utility is struggling to make the case that it is alreadt the most efficient utility inthe state, and it wouldd use additional funding to reinvest in greatert efficiency.
It has asked for approval of an increases to its base rate that would raise the averager residentialbill – 1,000 kilowattt hours – by $12 per month. FP&L project s that lower fuel costs mostly natural gas andcoal – will lowed the average residential bill next year by $17, so its requesrt actually won’t raise anyone’s bill. FPL has argued that its proposal, if approved by the , will decreass the typical billby $5 monthlyg or 4 percent starting on January 2010. But Kellyt and others said Thursday morninfg that fuel prices arenot predictable. Kell argues the rate increase would guarantee a return on investmentof 12.
5 perceny for the utility, and that every one percent represents $130 million. “Thagt is just too much today. Maybe five yearw in the future we will have a flourishing Kelly said, adding that his offices supports a return of 9.5 or 10 According to Kelly, FP&Lp has already acknowledged they over-collected $1.25 billion from rate-payerds for depreciation. In opening Marlene Santos, the utility’sw vice president of customer service/sales and said customers benefit fromthe utility’s strong financial position. “When we save on our customers save onour bills,” she said.
But speaked after speaker said the grimeconomy – foreclosures, unemployment and dropping home values made this the wrong time for rate increasesa designed to enhance the utility’s financial position. “We doubt they need any increase at allto own, operate and maintainn their system,” said Roberr Sheffel Wright, an attorney with Tallahassee-basee Young van Assenderp, who was speaking on behalf of the Florida Retail Federation. The Public Service Commission, which regulates statew utilities, will decide in mid-November whether to grant FPL's request. The PSC will hold hearingsx again Friday, 10:30 a.m. at the Northy Dade Regional Library in and6 p.m.
at the Plantation City Council Chambers.