LCEC Rates Remain Low – February Power Cost Adjustment

February 1, 2022 – At the January Board of Trustee meeting, a Power Cost Adjustment (PCA) increase was approved. The approved PCA will be implemented beginning February 1. The increase of 6.8 percent is the result of rising purchased power costs passed on from the LCEC power supplier, Florida Power and Light (FPL).

PCA charges are determined after consideration of projected costs for purchased power. There are no margins (profit) earned on this portion of the LCEC customer bill which makes up more than 70 percent of the bill.

Even with the power cost adjustment, LCEC rates remain among the lowest in the region. LCEC customers have not seen a base rate increase in 13 years. The base rate is the portion of the bill that LCEC is able to manage through efficiencies, technology, and a close watch on the bottom line.

Comparative electric rates for residential customers with average usage of 1,000 kWh, beginning February 1 are:

  • LCEC: $109.50.
  • Florida Power and Light: $113.85
  • Tampa Electric Company: $120.86.
  • Duke Energy Florida, Inc.: $132.24.

In addition, LCEC returns equity to customers regularly based on strong financial management and performance. Over the past 18 years, LCEC has returned more than $303 million in equity to its customers, which results in a net lower monthly cost.