Florida Public Utilities Company Files For Rate Decrease
May 2, 2011–The cost of electricity could be going down for customers of Florida Public Utilities Company’s (FPU) Northwest Division as soon as July. On April 7, 2011, FPU filed a request with the Florida Public Service Commission (PSC) to reduce its fuel adjustment rates by up to 9.5%. The proposed rate reduction filing before the PSC is tied to both a lower projected cost of power through the end of 2011 and FPU’s revised wholesale power contract terms with Southern Company.
The PSC will consider FPU’s wholesale contract amendment later this month. If the PSC authorizes the company’s new cost forecast and approves the new contract terms, rates would come down effective July 1, 2011. A residential customer using 1,000 kilowatt hours per month would see their bill reduced from $152.03 to $137.53, exclusive of taxes and City franchise fees. Commercial customers would see similar cost reductions.
Over the past several months FPU has worked extensively with Southern Company on ways to reduce wholesale purchased power costs. If approved by the PSC, the July rate decrease would be the second rate reduction that FPU has put in place this year. In January, FPU’s fuel adjustment rates dropped 3% to 5%. With both rate decreases in place, residential customer will save over $200 per year.
“FPU is doing everything we can to lower rates and save our customers money,” said Buddy Shelley, General Manager of FPU’s Northwest Division. “We have a long history of providing low-cost, reliable service to customers in this Division. Our wholesale electricity costs have been high over the past couple of years, but we are well on the way to bringing our rates back in line,” Shelley added.
FPU is a wholly owned subsidiary of Chesapeake Utilities Corporation. Chesapeake Utilities Corporation (NYSE: CPK) is a diversified utility company engaged in natural gas distribution, transmission and marketing, electric distribution, propane gas distribution and wholesale marketing, advanced information services and other related services. Information about Chesapeake’s businesses is available at www.chpk.com.
For more information, contact Florida Public Utilities Northwest Division, at 850.526.6800 or email [email protected].