Progress Energy bills to rise 31 percent by January

Progress Energy bills, poised to climb on fuel costs and other charges, will increase even more than expected, the utility announced this morning. Starting in January, customers could see an increase of 31 percent.

The cost of 1,000 kilowatt hours could rise from $110.59 to $144.86.

The nuclear project will cost customers 40 percent more than predicted. At the same time, fuel costs have surged.

The utility's $17-billion nuclear plant will add about $11.42 to the cost of 1,000 kilowatt hours, instead of the about $7.50 the utility predicted earlier this year. The average customer uses about 1,200 kilowatt hours a month, so the increase would have been around $9. With the new numbers released Friday, customers can expect an increase of more than $13 starting in January to pay for the Levy County nuclear project.

In an interview this morning, Jeff Lyash, president and chief executive of Progress Energy Florida, had this to say: "At the end of the day, we all have to recognize that the factors driving up the price are global in nature. This is not a Progress Energy issue, or even a Florida issue. This is a global issue."

Lyash added, "It's the new energy reality. It's a global escalation in fuel prices and commodity prices that we're all going to have to deal with."

Lyash said the overall price tag of the nuclear project has not changed. The cost to customers is higher this year because the utility decided not to wait to pay for certain long-lead items, like metal forgings. That sets a portion of the price, and protects the utility from increases in labor and materials costs, Lyash explained.

“It’s huge, and it’s on top of everything else too,” said Joe Thielbar, 44, of Pinellas Park. Thielbar’s wife died four years ago, and he’s trying to raise his 11 and 4-year-old sons on an income of $45,000 a year. He’s cut back on day trips to museums and Sarasota, and virtually eliminated their Thursday night treat of eating out.

“It’s this and everything else,” he said. “It’s really getting tough to do anything anymore.”

-Asjylyn Loder, Times staff writer

Comments

[Lex]

Can anybody spare some Preparation H? My butt is killing me!!

[Steve]

I am in the energy conservation and air conditioning business. Every time we pay Progress Energy and FPL there is a charge on the bill for energy conservation measures, either called a non fuel energy charge or just an energy charge,to give back to homeowners and renters that make their homes more energy efficent. This money is not being spent correctly. After speaking with experts, most of the money goes to Green Wash the utility, and make them look good. The State of Florida has an excellent energy program called the Enguage Rating program. Trained State of Florida Energy Auditors and Raters have been trained on what really works to lower power bills in Florida homes. The money being taken out of our bills and given to the power companies for bascially nothing, should be deverted to this State Program an be used to build real energy conservation and efficiency into Florida homes. Anyway--who's idea was it in the first place to put the "Fox in charge of the Hen house"?

[jim]

every body is down sizing or moving out of the state of fla. even the elect. co is cutting 294 jobs. we pay for the fuel that they make elect from my fuel tax bill is higher than the elect bill. now in jan it's going to be 31% higher what do they want to do be in the same class as exxon and other oil co's making billions in profit. have to pay for an plant that may or may not be built for 30 years.why don't they pit some of there profit in to building that plant each years. all ready the money for the building part has increased 25/30% and they haven't begun to take it out as of yet. me i'm moving out of state it's getting to costly to live here and my wife and are on fixed incomes.any increases that we get in our checks fl. takes it in rent, elect. water bills. they raise every thing when fl. is losing thousands of jobs every week. the only reason they are putting the raises on us is because of so many foreclosures and vacant homes, they aren't getting enough people to put elect in there homes give me a break every thing for the all mighty dollar don't for get to give the share holders millions in pay raises. live cheaper in an other state by that's where i'm gong.

[djf]

They need the $$ to pay for their fancy new building downtown. Just another profitable American Company robbing its own... and getting away with it.

[rick]

This isn’t a joke with them gouging us at the pumps, on utilities, insurance, taxes and staples, only the rich are going to survive. The lower class has moved up the ladder one rung while the middle class has went down three. This is alarming since the middle class is being eroded and we pay most the taxes and bills in the country. With the deficit now at over 10 trillion and climbing, and it going up to between 45-90 trillion in 20 or so years whose going to pay the bills? We are in deep trouble and so are our kids and the next generation because no one can pay these amounts of dollars in the future. These sums are mind boggling!

[judy]

to Pete:

Vote for Obama.

[Dave]

We're doomed. Are the Progress Energy CEOs cutting their annual bonuses, I wonder?

[justin]

If you are fed up with Progress Energy go to http://www.fireprogressenergy.com

[Kim]

Lets see, our electic is going up 31%
The city of St. Petersburg is raising our water rates so will use less water. Then they double the water bill and give that half to SWFWMD so they donate one million to Mosi. That is not all. The St. Pete city is also going to increase wastewater, reclaimed water and charges. And you think Progress Energy is bad.It is againts the law not to have water and they do not want you to use it. Even if you cut back on the water usage, you can not save much. If you cut back they raise it again to make up for the lost of money. All this extra charges do not help us get more water. It goes into the GENERAL FUND. More for the city to spend in Midtown.

[Mike]

You have GOT to be kidding me!!!!

[Drew]

Thank the party in charge in Tallahassee and Washington. Thanks Republicans!
Good Job, Brownie!
Looking out for the little guys as always.

[leatherneck]

Progress Energy says it hookups are down by 93%, yet we are forced to pay for a nuclear power plant that is not needed. The surplus power will be sold an inflated profit to out of state utilities. The Public Services Commission and the Governor are asleep at the wheel... ENERGY PRICES ARE THE NEXT CRISIS IN FLORIDA. OPEN THE ROADS FOR THE EXODUS OF OF THE STATE. YOU CAN ONLY STRETCH YOU INCOME SO FAR.....

[Pierre]

Cancel the nukes, they are not needed. The projected need for power is way down in Florida. The boom is gone, never to return. I do not want to finance a nuclear plant so the power can be sold out of state at an obscene profit.......

[Mary]

My God what has this country come to!!!
What about all of the poor people who cannot afford to pay for medical services and food much less all of these higher energy bills. DOES ANY ONE GIVE A DAMM ANYMORE??? AT THIS RATE, PEOPLE WILL HAVE TO GO WITHOUT TAKING A SHOWER EVERYDAY, AND ROAST TO DEATH IN THIS GOD FOSAKING HEAT IN FLORIDA BECAUSE THEY WON'T BE ABLE TO USE THE AIR CONDITIONING SYSTEM CAUSE IT COSTS TOO DAMM MUCH MONEY!!!!!!
WATER COMPANY AND ELECTRIC COMPANY DECISION MAKERS YOU ARE ALL HORRIBLE AND I SINCERELY HOPE YOU GET YOURS IN ONE FORM OR ANOTHER!!!!!!!

[Tom]

Again I ask... Another huge corporation losing money, laying off employees in a economy where no one can find a job. Yet every night on TV I have to watch these damn commercials for Florida Progress! WHY!? Can someone please tell me why they have to advertise locally?... It's not like I can call some other power company to get power to my home! It is a monopoly! Quit advertising! That should save you millions! LOWER MY BILL!!!

[donald]

The best news recently. Now they can finally afford to find out why the transformer at the end of my street blows up 3 to 5 times yearly and has done so for over forty years. Im sure my money will be used to upgrade all infrastructure and make my life more pleasant. What? you say they don't care! I've understood that for forty years.

[Susan]

Well, at least the CEOs and such won't have to do without their bonuses, what with laying off people and raising prices. I will learn to love the heat before I pay more than 300.00 a month for electric.....

[parmrgolfer]

This is just great, I cannot believe they need 31%. Talk about taking advantage of the public. They need to tighten their budget, reduce pay for executives and ask for an increase much less than 31%. Where is our good governer now, why is he not fighting the energy corporations along with the insurance corporations when they rip the Florida people off.

[Paul]

I came here to read comments about the rate increase, but (I think) I am happy to find out that others lose power constantly.

Its so bad in my neighborhood that they wrote me a letter 2 yrs back apologizing. I wonder if the PSC forced them to?

I work from home and my computer crashes about once a week from sudden power outages. They only last 10 - 30 seconds, but that's enough to do the damage.

As for their rate hike - unconscionable considering the money they waste, among other things advertising and sponsorships, when we have no alternative.

[Marion]

As I recall from my college Economics class, capitalism is an economic system wherein private individuals or corporations own the means of production in order to maximize profits. And as I also recall, when corporations wanted to invest in new acquisitions or capital improvements, they either went to banks to get a loan or they sold more stock. As a stockholder, I would then get a return on my investment through dividends. A bank would charge interest on the loan. And the consumer would probably pay a higher rate for the product or service. Now, Progress Energy wants the consumer to advance it the money to build a new nuclear plant, and they will probably charge us more for the energy that is produced by that plant. I don't mind being charged once for a product or service, but I sure resent being charged twice. Progress Energy is maximizing its profits on my back, and I'm tired of it! This isn't capitalism -- it's highway robbery!!!

[Luke]

gas prices did rise, but as they fall the bills wont retreat. They'll hike it up 31% to "suplement" for high energy costs, then when oils bottom end falls out they'll continue to collect the additional 31% and post "RECORD PROFITS"

[Diana]

I also lose my power on a daily basis. Everyday when I come home from work, my coffee pot display is flashing and my TV tells my power was interrupted.I don't even set the time on the coffee pot anymore. That is every single day and now they need 31% more. What about the money they are saving with my power outages and everyone elses that I am reading about here.

[Tom]

The state needs the additional taxes we are going to pay that are due on the increase in energy costs!

So, since we are paying for this new Nuclear plant, will it belong to us? I wish I could get a deal like this!

[chris]

Don't worry everyone!

Our energy problems will be solved if only we drill for more oil. I mean lord forbid we use less electricity.