The Florida Public Service Commission unanimously voted on Wednesday to
accept a settlement agreement in a pending Progress Energy Florida, Inc. (PEF)
Under the settlement, PEF agrees to withdraw its request to
increase base rates $206 million on Jan. 1, 2006 and continues a revenue
sharing plan, which may result in refunds to consumers. During the period
of the agreement, PEF will be able to recover the cost of the new Hines 4 power
plant through adjustments to base rates, beginning with the date of commercial
operation of the plant.
PEF serves approximately 1.5 million retail customers in its service
area in Florida. Its service area is comprised of approximately
20,000 square miles in 35 of the state’s 67 counties. Its service area
encompasses the cities of St. Petersburg and Clearwater and densely populated areas surrounding Orlando, Ocala, and Tallahassee.
PEF supplies electricity to approximately 350 communities and to about 21 Florida
municipalities, utilities, and power agencies.