Guest Author
In the past 3 years, electricity rates have skyrocketed in Florida. With bigger hikes on the horizon, the stakes for Gov. Ron DeSantis’ nomination to Florida’s Public Service Commission (PSC) couldn’t be higher.
Florida’s PSC oversees utility companies that deliver electricity, gas and water to Floridians. For the first time since 2021, at least one new Commissioner will join the dais. It’s among the most consequential nominations that DeSantis will make this year, as a good nominee would ensure that utility companies deliver affordable and reliable service to Florida’s families and businesses.
The PSC’s five Commissioners review utility companies’ spending to ensure it is prudent and to ensure these companies charge fair and reasonable rates to customers. Since 2021, base rates for the average residential customer have gone up 16% for Florida Power & Light (FPL), 22% for Duke Energy, and 45% for Tampa Electric. FPL is currently seeking approval for a historic increase of nearly 30% by 2029.
Floridians don’t get to choose their utility providers, so the PSC’s decisions significantly impact Floridians’ ability to afford the cost of living.
Ratepayer advocates, and most recently the Chief Justice of Florida’s Supreme Court, have called for transparency at the PSC. A strong candidate with a background in accounting or finance is needed to promote independent, data-based regulatory decision making to protect Floridians against excessive costs.
DeSantis, the Senate and PSC Nominating Council members have an opportunity to protect residents and businesses with this appointment. Floridians deserve a strong, independent candidate committed to transparent, accountable PSC decision making.
The PSC has received criticism for approving rate increases beyond the recommendations of their own staff with no justifications. Chief Justice Carlos Muñiz even called it “a black box”. The next Commissioner should pledge to explain the PSC’s decisions clearly and improve public awareness and understanding of how the agency works.
Times are changing and the Governor’s nominee must be ready to meet new challenges, especially in the electric power sector, with an all-of-the-above approach. Florida’s energy demand is rising, as are affordability and grid security concerns. It’s time for the PSC to embrace new grid-enhancing technologies, diverse and distributed energy resources, and more robust investment in customer energy efficiency.
Florida’s extreme weather and growing cybersecurity risks threaten our grid, which requires forward-thinking solutions to increase our resilience with microgrids and virtual power plants. All these solutions can enhance service quality and reliability while lowering costs for Floridians.
___
David Cranston is the Florida Clean Energy Manager for Environmental Defense Fund Florida.
