Florida’s Public Service Commission (PSC) today approved Florida Power & Light Company’s (FPL) Proposed Resolution of Issues, agreeing that the company should refund replacement power costs attributable to the February 26, 2008, outage. The Resolution, filed with the Commission by FPL, was also signed by the Office of Public Counsel and the Attorney General.
On February 26, 2008, a fault occurred at FPL's Flagami substation in Miami-Dade County that caused three of FPL’s fossil-fueled generating units and its Turkey Point Nuclear Units 3 and 4 to trip offline. As a result, FPL was required to operate several less efficient and costlier peaking units, replace nuclear-fueled generation with more costly gas-fired generation, and purchase power at a higher cost.
How much FPL must repay and how that repayment will be refunded to customers will be presented to the Commission at a hearing scheduled for March 17-18, 2010.
PSC approval of the Resolution acknowledges FPL’s payment for replacement power costs and does not acknowledge imprudence or improper actions by the company.
The PSC is committed to making sure that Florida's consumers receive their electric, natural gas, telephone, water, and wastewater services in a safe, affordable, and reliable manner. The PSC exercises regulatory authority over utilities in the areas of rate base/economic regulation; competitive market oversight; and monitoring of safety, reliability, and service.
For additional information, visit www.floridapsc.com.