Florida Power & Light Company (FPL) has updated its estimate for the impact of its proposed rate plan, indicating that residential customers could see an increase of about $2.50 per month in 2026 if the Florida Public Service Commission (PSC) approves the plan. This new estimate is lower than FPL’s original projection from August and reflects slightly reduced fuel and other costs anticipated for 2026.
The rate proposal was developed in collaboration with a coalition of customer groups. According to FPL, the plan would enable continued investment in a more resilient power grid to support reliable service as Florida’s population grows. The company expects to add approximately 335,000 new customers by the end of this decade. Planned investments include additional electric generation capacity and battery storage, aiming to meet increasing demand efficiently.
FPL states that it will continue replacing older infrastructure and incorporating innovative technology, such as smart grids. The company reports its service reliability is currently 59% better than the national average. FPL claims these technological improvements helped avoid 2.7 million outages in 2024.
Efforts to keep bills low are also highlighted in the proposal. FPL notes it maintains some of the lowest operating and maintenance costs among comparable electric utilities nationwide, which it says allows typical residential customers to save about $24 per month compared to those served by companies with average performance.
The PSC has scheduled hearings beginning October 6 to discuss the agreement between FPL and other major stakeholders regarding rates for 2026 through 2029. Under this plan, a typical residential bill for a customer using 1,000 kilowatt-hours would rise by about $2.50 per month in 2026 based on FPL’s latest estimates.
“Now that we have a better outlook on fuel and other costs, the proposed agreement looks even better for our residential customers,” said Armando Pimentel, president and chief executive officer of FPL. “We reached this agreement after listening to our customers over recent months and making commitments on certain issues without compromising our fundamental principles of providing reliable service and keeping bills as low as possible. We look forward to review by the Florida Public Service Commission for this plan.”
FPL projects that under this proposal, a typical residential bill in 2026 would be roughly 20% lower than it was two decades ago when adjusted for inflation. Even after all planned increases take effect through 2029, FPL forecasts its rates will remain below national averages among regulated utilities serving Florida residents.
From January 2026 onward, all FPL customers across both peninsular and northwest regions are expected to pay unified rates pending PSC approval of certain solar and battery projects set for early 2027.
The company says that while its proposal represents an average annual increase of about two percent for typical households from now through decade’s end—less than general inflation—it is significantly smaller than recent double-digit hikes seen in sectors like housing or property insurance.
Additional provisions within the agreement address concerns raised by consumer advocates and provide extra assistance funds for eligible customers facing payment difficulties.
If approved following two weeks of PSC hearings starting October 6, new rates would take effect January 1, 2026.
