Florida PSC Approves Settlement Agreement for Duke Energy

The Florida Public Service Commission (PSC) today approved a wide-ranging Settlement Agreement for Duke Energy Florida, LLC (DEF) that eliminates constructing nuclear reactors in Levy County and boosts large scale solar, electric vehicles, and battery storage programs.
Reached with the Office of Public Counsel, representing consumers, the Settlement Agreement was also signed by the Florida Retail Federation, the Florida Industrial Power Users Group, White Springs Agricultural Chemicals, Inc. d/b/a PCS Phosphate, and the Southern Alliance for Clean Energy.
Following are some terms included in the approved Settlement Agreement:
Levy Nuclear Project: DEF will not continue the project and will not recover about $150 million in remaining customer costs.
Fuel Costs in 2018: DEF recently filed a request to recover about $196 million in unanticipated power-plant fuel costs. Under the agreement, DEF will reduce this customer charge by recovering the costs over two years, instead of one.
Solar Projects: DEF will build about 175 megawatts of solar-generation each year for four years and can seek base rate increases to pay for the projects starting in 2019.
Base Rates: DEF’s proposed 2018 bill increases are reduced and annual incremental increases are limited to 1 to 3 percent from 2019 to 2021. DEF is prevented from seeking additional base rate increases until at least 2021.
The agreement is effective upon Commission approval, and changes to customer bills will occur in January 2018.
For additional information, visit www.floridapsc.com.