FP&L rate hike request called

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Representatives from those agenciesxblasted FP&L’s rate increase at a publiv hearing Thursday morning in Fort Lauderdale. In the first hour and a half of the only oppositionwas expressed. “We believwe the amount they’re asking for is excessive. It’s just too much to ask for in today’ds economic times,” said J.R. Kelly, public counsel with the Florida Office ofPublic Counsel. The Juno Beach-basexd utility is struggling to make the case that it is already the most efficieng utility inthe state, and it woul use additional funding to reinvesr in greater efficiency.
It has askexd for approval of an increase to its base rate that woul raise the average residentialbill 1,000 kilowatt hours – by $12 per month. FP&L projectds that lower fuel costs mostly natural gas andcoal – will lowert the average residential bill next year by $17, so its requesrt actually won’t raise anyone’s bill. FPL has argued that its if approved bythe , will decrease the typicao bill by $5 monthly or 4 percentr starting on January 2010. But Kellh and others said Thursday morning that fuel prices are not Kelly argues the rate increase would guarantee a returjn on investmentof 12.5 percent for the and that every one percenyt represents $130 million.
“Thaty is just too much today. Maybed five years in the future we will have aflourishinyg economy,” Kelly said, adding that his office supports a returh of 9.5 or 10 percent. According to FP&L has already acknowledged they over-collected $1.25 billion from rate-payersx for depreciation. In opening remarks, Marlene Santos, the utility’x vice president of customer service/sales and marketing, said customers benefitf from the utility’s strongf financial position.
“When we save on our customers save onour bills,” she But speaker after speaker said the grim economy foreclosures, unemployment and dropping home values – made this the wrongv time for rate increases designexd to enhance the utility’s financial position. “Wre doubt they need any increase at allto own, operatde and maintain their system,” said Robert Sheffel an attorney with Tallahassee-based Young van who was speaking on behalf of the Florida Retail Federation. The Public Service Commission, which regulates state will decidein mid-November whether to grant FPL'sz request. The PSC will hold hearingse again Friday, 10:30 a.m.
at the North Dade Regional Librarin Miami; and 6 p.m. at the Plantation City Council