Latest news with #rateincrease
Yahoo
14 hours ago
- Business
- Yahoo
Duke Energy Plans Rate Increase
This article was first published on Rigzone here Duke Energy Corporation's Duke Energy Progress has requested a public review of the company's rates as it intends to lift prices. The company, serving 177,000 customers primarily in central and northeastern South Carolina, said an increase is justified due to increased work on system diversity and reliability. In its request to South Carolina's Public Service Commission, the company is seeking an overall revenue increase of $74.8 million, representing a 12.1 percent increase over current revenues. It said in a media release this is the first rate review it requested since 2022. 'We know families and businesses are juggling a lot and we do not take a request to increase rates lightly, but being upfront and timely with our request is the right thing to do and in the best interest of our customers', Tim Pearson, Duke Energy's South Carolina president, said. If approved, the monthly electricity bills for typical residential customers using 1,000 kilowatt-hours per month would rise by $21.66 a month - from $144.85 per month to $166.51 - starting February 1, 2026. Commercial customers would see an average increase of 12.8 percent, while industrial customers would see an average increase of around 3.6 percent. The exact amount of increase per customer class may vary depending on how much additional revenue is needed to ensure the class covers the cost of serving them, the company said. Take control of your THOUSANDS of Oil & Gas jobs on Search Now >> 'This proposal reflects the investments we have made to strengthen the grid, improve storm readiness, maintain and enhance our generating fleet, and serve a growing customer base,' the company said. It said that previous investments in grid resilience proved critical when Hurricane Helene made its way across the Carolinas. 'Smart, self-healing technology installed across the Duke Energy Progress service territory helped to automatically restore more than 10,000 customer outages and saved more than 28,000 hours of total outage time, showing the value of the self-healing programs', the company said. To contact the author, email More From The Leading Energy Platform: Inpex Granted Production Concession for UAE Block Equinor Offered Another CO2 Exploration License in Norwegian North Sea ConocoPhillips Confirms Slagugle Oil Discovery in Norwegian Sea Lakes Blue Energy Secures Funding for Wombat-5 Drilling >> Find the latest oil and gas jobs on << Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
ABC News
3 days ago
- Business
- ABC News
Big household rates increases as Townsville City Council delivers budget
Some North Queensland home owners are facing 20 per cent rate rises as regional councils increase rates in line with skyrocketing land valuations. The troubled Townsville City Council capped owner-occupier rate increases at 20 per cent in its 2025-26 budget delivered on Wednesday morning. The council has had a tumultuous year, with a mayor suspended and an auditor finding the local government overpaid executives. Townsville City Council collects rates from 48,000 owner occupiers and 2,400 of those households will pay the maximum 20 per cent rate increase. Another 5,900 owner-occupiers will see an increase of 10-to-20 per cent. The median value for residential land in Townsville increased by 24 per cent to $192,500 this year after assessments by the Queensland Valuer General. The council reduced its rate-in-the-dollar charge to offset land value increases, as both methods are used to determine rates. Acting Mayor Ann-Maree Greaney described the $928.2 million budget as fair and equitable. "We couldn't let the community see what would be a 22 per cent rate rise across a lot of properties," she said. Of the 48,000 owner-occupied households, 7,000 will have their rates increases by between 4 per cent and 10 per cent, and for 17,000 there will be rate rises from zero to 4 per cent. About 15,000 Townsville ratepayers will get a reduction and about 200 will see no change. Acting Mayor Ann-Maree Greaney said the additional costs to households would be, on average, about $4.60 per week, or $240 a year. For landlords, minimum rates will increase by 10 per cent but, for multi-unit dwellings, minimum rates will increase by 30 per cent. The council will also raise minimum commercial rates by 54 per cent and the minimum heavy industry rates by 50 per cent. It also announced that it would charge short-stay accommodation providers commercial rates if they operate for more than 30 days a year. Hotels and serviced apartments offering rooms on short-stay websites will now be charged commercial rates at a minimum of $2,300. Cr Greaney said the council would prioritise investment in roads, footpaths, community spaces, waste, water and infrastructure maintenance in the year ahead. She added the council expected its budget to be in surplus next financial year. "We're on track to reduce council's deficit by $12.7 million, with the council expected to achieve a budget surplus one year earlier than previous forecasts," she said. The council announced a raft of policy changes, including a new three-year capital plan to keep major projects on track.
Associated Press
3 days ago
- Business
- Associated Press
TEP Requests Rate Review to Support Safe, Resilient, Reliable Service
TUCSON, Ariz.--(BUSINESS WIRE)--Jun 17, 2025-- Tucson Electric Power (TEP) has requested regulatory review of new, higher rates that would take effect in September 2026. TEP's proposal would increase typical residential bills by about 14 percent. That would add about $16 per month, on average, for households with median usage of 638 kilowatt-hours (kWh) per month. The month by month impact would be higher in the summer and lower in the winter, and customers who use more energy would see higher impacts. The proposed rates would recover increased costs and necessary investments since 2021, the last year reflected in current rates. TEP has invested about $1.7 billion since then to maintain reliability, improve resiliency and serve customers' expanding energy needs. Key investments: Inflation Impact Consumer prices have increased 15 percent since 2021, impacting all aspects of our business, including labor, services, materials and equipment. TEP has sought to mitigate that impact by leveraging strong relationships with suppliers and working more efficiently whenever possible. 'Keeping our commitment to safe, reliable service has required us to continue reinforcing and modernizing our infrastructure to meet our customers' needs, even as we have been confronted by escalating prices, rising interest rates, strained supply chains and other economic challenges,' Gray said. More Support for Our Most Vulnerable Customers We've proposed updating TEP's Lifeline program, which provides a flat discount to qualifying residential customers, with a tiered structure that offers much larger discounts to the most vulnerable customers. Customers with incomes between 101 percent and 200 percent of the federal poverty level would receive a discount of about 20 percent, or about $25 per month on average. Customers with lower household incomes would receive a 50 percent discount, or about $63 on average. More Gradual Changes TEP's proposed rates include an Annual Rate Adjustment Mechanism that would allow more gradual rate changes in the future. This formula rate mechanism would allow for the elimination of certain other surcharges on TEP's bills. All costs would remain subject to ACC oversight to ensure that only necessary, cost-effective investments and prudently incurred expenses are recovered. Next Steps Today's filing begins an extensive public review process. The Arizona Corporation Commission will set hearing dates and provide other opportunities for public input prior to a decision. More detailed information on our review request, including a video, answers to frequently asked questions, and an infographic of our investments, is available on our website at TEP provides safe, reliable electric service to about 452,000 customers in Southern Arizona. For more information, visit TEP and its parent company, UNS Energy, are subsidiaries of Fortis Inc., a leader in the North American regulated electric and gas utility industry. For more information visit View source version on CONTACT: News Media Contact: Joseph Barrios (520) 884-3725 [email protected] KEYWORD: UNITED STATES NORTH AMERICA ARIZONA INDUSTRY KEYWORD: COAL ALTERNATIVE ENERGY ENERGY OTHER ENERGY UTILITIES SOURCE: Tucson Electric Power Copyright Business Wire 2025. PUB: 06/17/2025 07:30 PM/DISC: 06/17/2025 07:28 PM
Yahoo
3 days ago
- Business
- Yahoo
TEP Requests Rate Review to Support Safe, Resilient, Reliable Service
At a Glance: Tucson Electric Power has proposed new rates that we project would increase residential customer bills by about 14 percent when they take effect. That would be less than the level of inflation since 2021, the year used to set our current rates. The proposed rates are needed to recover investments in grid upgrades and new energy resources. They also reflect the impact of inflation on the cost of maintaining TEP's top-tier reliability in the face of more extreme weather. TEP can help customers reduce the impact of the proposed rates through energy efficiency programs, rebates and advice available on An expanded low-income assistance program would provide more support to residents who need more help. A Word from President and CEO Susan Gray: "We know our customers count on us every day for the energy that powers their lives. They also need us to keep our bills as low as possible, which is why we work so hard to control costs and why our proposal is focused on increasing support for our most vulnerable customers. Our proposed rates reflect those efforts as well as cost-effective investments in a modern, resilient grid and a secure energy supply to ensure reliable, affordable service around the clock, all year long." TUCSON, Ariz., June 17, 2025--(BUSINESS WIRE)--Tucson Electric Power (TEP) has requested regulatory review of new, higher rates that would take effect in September 2026. TEP's proposal would increase typical residential bills by about 14 percent. That would add about $16 per month, on average, for households with median usage of 638 kilowatt-hours (kWh) per month. The month by month impact would be higher in the summer and lower in the winter, and customers who use more energy would see higher impacts. The proposed rates would recover increased costs and necessary investments since 2021, the last year reflected in current rates. TEP has invested about $1.7 billion since then to maintain reliability, improve resiliency and serve customers' expanding energy needs. Key investments: Energy grid upgrades and technology improvements: TEP operates a large, complex system that serves more than 452,000 customers and spans 1,155 square miles. Maintaining reliability requires ongoing maintenance and upgrades to approximately 5,100 miles of transmission and distribution lines, more than 4,300 miles of underground distribution lines, more than 107,000 poles and transmission structures, and more than 120 substations. Our proposed rates reflect more than $900 million invested since 2021 in critical infrastructure, communications equipment and other technologies that have helped TEP achieve top-tier reliability metrics for 12 years straight. Reliability reserve: TEP's new Roadrunner Reserve battery energy storage system will begin commercial operations this month, helping us provide reliable, affordable energy during peak usage periods. This 200-megawatt, 800 megawatt-hour system in southeast Tucson will allow expanded use of clean, affordable solar energy while helping to protect customers from fuel price volatility, keeping rates more stable over time. The proposed rates would recover about $350 million invested in this critical new energy resource. A more secure system. The proposed rates reflect recent investments in new IT systems and upgrades that support smart grid operations and TEP's expanded participation in regional energy markets. They also support safer, more secure facilities to protect against increasing physical- and cyber-security threats. Inflation Impact Consumer prices have increased 15 percent since 2021, impacting all aspects of our business, including labor, services, materials and equipment. TEP has sought to mitigate that impact by leveraging strong relationships with suppliers and working more efficiently whenever possible. "Keeping our commitment to safe, reliable service has required us to continue reinforcing and modernizing our infrastructure to meet our customers' needs, even as we have been confronted by escalating prices, rising interest rates, strained supply chains and other economic challenges," Gray said. More Support for Our Most Vulnerable Customers We've proposed updating TEP's Lifeline program, which provides a flat discount to qualifying residential customers, with a tiered structure that offers much larger discounts to the most vulnerable customers. Customers with incomes between 101 percent and 200 percent of the federal poverty level would receive a discount of about 20 percent, or about $25 per month on average. Customers with lower household incomes would receive a 50 percent discount, or about $63 on average. More Gradual Changes TEP's proposed rates include an Annual Rate Adjustment Mechanism that would allow more gradual rate changes in the future. This formula rate mechanism would allow for the elimination of certain other surcharges on TEP's bills. All costs would remain subject to ACC oversight to ensure that only necessary, cost-effective investments and prudently incurred expenses are recovered. Next Steps Today's filing begins an extensive public review process. The Arizona Corporation Commission will set hearing dates and provide other opportunities for public input prior to a decision. More detailed information on our review request, including a video, answers to frequently asked questions, and an infographic of our investments, is available on our website at TEP provides safe, reliable electric service to about 452,000 customers in Southern Arizona. For more information, visit TEP and its parent company, UNS Energy, are subsidiaries of Fortis Inc., a leader in the North American regulated electric and gas utility industry. For more information visit View source version on Contacts News Media Contact:Joseph Barrios(520) 884-3725jbarrios@
Forbes
4 days ago
- Business
- Forbes
Florida Power & Light's Proposed Rate Hike May Raise Electricity Bills
When Florida Power & Light requested a nearly $9 billion rate increase over four years, it landed with a thud—threatening to add even more financial strain to already burdened Florida households, many of whom have seen bills rise by 20% in the last five years. However, the utility's PR machine has kicked into high gear to explain its position: it must fund grid modernization, clean energy expansion, and infrastructure upgrades. There's no question FP&L must modernize its grid and expand its clean energy portfolio. But affordability matters. Regulators must find a middle ground—approving some rate increases while capping excessive profits, mandating transparency, and requiring support for vulnerable customers. 'There's no reason we should have the highest return on equity in the nation. It's a tax increase on Floridians because you don't have a choice but to pay your electric bill. We should not have some of the highest electricity bills in the nation,' because consumers run their air conditioners much of the year, says Bradley Marshall, senior attorney with Earthjustice, in a virtual conversation. In February, FP&L—the wholly owned subsidiary of NextEra Energy—asked the Florida Public Service Commission to grant it a $8.961 billion rate hike from January 1, 2026, to December 31, 2029. A household using the average 1,200 kilowatt-hours per month would see its monthly bill rise, initially, by $10 in 2026—a number that would continue growing through 2029. Zane Smith, senior director for the AARP in Florida, told me that escalating energy bills force seniors into a cruel dilemma: choosing between running their air conditioners and filling prescriptions or buying groceries. Many are on a fixed income, unable to pay higher energy bills—something that could lead to heat-related illnesses or even death. Part of the problem is that the utility seeks an 11.9% return on equity, notably higher than the national industry average of 9.6%. The company argues that this ensures financial stability and attracts investors. However, Florida residents have already seen their electric bills rise by 20% over the last five years. Indeed, some analysts argue that FP&L's rate request is more about improving shareholder value than servicing the state's electricity customers. 'This massive rate increase is not because of investments in renewable energy, but because of FP&L's continued need to increase the return on equity for their shareholders,' says Brooke Ward, senior Florida organizer for Food and Water Watch, in a chat. 'It's also because hundreds of millions of dollars are invested in fossil fuels. When we look at our moderate-income families in urban areas, a quarter of those currently have an energy burden of 12% or more, which means they are in energy poverty.' That's why the Florida Public Service Commission is in the eye of the storm. The commission, though, has a track record of greenlighting steep rate hikes, raising concerns about the public's interest. Consider: the Florida Supreme Court previously questioned the commission's approval of a $4.8 billion rate increase in 2021, suggesting that regulatory oversight might be lacking. Specifically, Florida Supreme Court Justice Carlos Muñiz lambasted the public service commission, saying it lacked transparency and didn't adequately justify why it granted the last hike—after the commission's staff advised against it. 'The PSC is a black box,' he told the Florida press. 'It's supposed to be the opposite of a black box.' 'The Florida Public Service Commission is really captive to the utilities,' which are significant participants in the state's political arena, making huge donations to elected officials and sponsoring charitable events, adds Susan Glickman, vice president of policy with the Clio Institute, in a talk with me. Utilities must prioritize investing in critical projects that benefit the public. FP&L must deliver reliable, affordable electricity—even as it faces mounting challenges from climate extremes and population growth. That's where grid modernization comes in: a smart grid can reroute power during congestion and prevent outages before they happen. To that end, the utility claims its distribution reliability is 59% better than the national average. It also stated that its investments in technology enabled it to prevent 2.7 million customer outages in 2024, when Hurricanes Debby, Helene, and Milton struck. This track record has been achieved as it has added 275,000 customers since 2021 and is set to add 335,000 more through 2029. According to the U.S. Energy Information Administration, natural gas accounts for 73% of the utility generation mix, nuclear for 11%, and solar for 14%. 'First, customers don't open up an ROE; they open up an electricity bill, which is expected to remain well below the national average even with the proposed increase. Ultimately, ROE is about our ability to obtain capital to continue making smart investments on behalf of customers,'Andrew Sutton, spokesperson for FP&L, told me. 'Planning for the future and investing in the grid now actually reduces cost over time for everyone,' FP&L's CEO Armando Pimentel, added, on FP&Ls site. FP&L's rate request is a tricky balancing act—at the intersection of grid modernization, shareholder returns, and customers' bills. It is known for being reliable, but it still heavily depends on fossil fuels. The utility's nearly $9 billion rate hike request is, therefore, a tough sell—especially with such a high return on equity. While investment and upgrades are necessary, the company shoots for the moon. Regulators should pare back the return, require cost transparency, and ensure low-income protection. The overarching goal is to support a resilient grid without overburdening Floridians.
