Tampa Electric today filed projected costs for 2026 for fuel and other expenses with the Florida Public Service Commission (PSC).
When including all expenses and previously approved adjustments, bills are expected to rise for the first portion of the year. However, after the existing storm recovery costs are fully collected next summer, a 1,000-kilowatt-hour (kwh) residential bill is expected to drop by about $20 in September.
“Energy is a big part of our lives, and Tampa Electric is working to bring energy to you as efficiently as possible,” said Archie Collins, president and chief executive officer of Tampa Electric. “We remain focused on delivering affordable and dependable energy today, while preparing our system to meet the needs of tomorrow.”
If the PSC approves the requests as filed, a residential customer who uses 1,000 kwh in a month would see their bill increase by 5.3 percent, or $8.88, for a total of $176.89 per month. Commercial and industrial customers would see increases between 2 percent and 10 percent.
The PSC will vote on the requests in a hearing that begins Nov. 4, and, if approved, the adjustment would begin in January.
Natural gas and other fuels are used in power plants to make electricity, and their costs are passed to customers with no markup or profit. The fuel charge makes up about one-fifth of a residential customer’s bill. The requested fuel costs are based on projected costs for 2026 and actual costs from prior years.
Tampa Electric deploys various strategies to manage fuel costs, including optimizing the use of its generating fleet to use fuel as efficiently as possible, and buying power from other companies if it results in a lower cost for customers.
The largest portion of the change is due to a previously approved base rate adjustment, which includes three energy storage facilities, improvements that increase resiliency and the completion of two solar plants, which reduce fuel expenses in the long run. Since 2017, solar power has saved Tampa Electric customers more than $350 million in fuel costs.
It’s important to note that electric bills naturally fluctuate throughout the year due to seasonal changes in energy use. In Florida, energy demand usually rises during the hot summer months when air conditioning use increases, leading to higher electricity consumption and costs. Conversely, bills tend to be lower during the milder spring and fall seasons when less cooling is needed.
Tampa Electric, one of Florida’s largest investor-owned electric utilities, serves more than 860,000 customers in West Central Florida. Tampa Electric is a subsidiary of Emera Inc., a geographically diverse energy and services company headquartered in Halifax, Nova Scotia, Canada.
