Don't Blame Clean Energy for Florida's Soaring Electricity Bills
May 20, 2025
Florida residents face the largest electricity rate hike in US history.
Florida Power & Light, the largest electricity provider in the state, wants to raise household bills by $200 annually.
Americans nationwide are feeling the squeeze from higher bills. So what needs fixing?
The biggest factors driving electricity bills higher include aging fossil fuel plant maintenance, extreme weather damage repairs, and a business model that rewards expensive fossil fuel investments.
Just don't blame clean energy. High levels of clean energy do not correlate to higher electricity rates. It's actually the opposite.
States with abundant wind and solar like Iowa and Oklahoma have seen the lowest rate increases. States facing wildfires (California) or coal dependence (West Virginia) have experienced the fastest hikes.
Florida has America's dirtiest power system, generating 80% of its electricity from fossil fuels, while also facing some of the highest risks from climate change.
Electricity companies like Florida Power & Light operate in a system that rewards fossil fuel dependence. Current business models allow electricity providers to earn a set profit percentage on top of a large investment. The national average is about 10%.
If a utility spends $100 on a project, they get to collect $110 from customers, pocketing that extra $10 as profit. This model pushes utilities to expensive projects like maintaining aging coal plants over smaller investments in energy efficiency, because bigger investments mean bigger profits - even when they are more expensive for customers.
We have the tools available to ease rising rates. Building more affordable clean energy where it's needed can help protect our communities and our wallets.
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