Tampa Electric proposes 1.5% bill cut for January 2027

Tampa Electric customers in Apollo Beach and Ruskin could see their monthly bills drop again in January after the utility asked state regulators for a 1.5% rate reduction.

Utility files for another rate cut

The request, filed Thursday with the Florida Public Service Commission (PSC), would bring a residential customer using 1,000 kilowatt-hours per month down to $154.13. The cut would stack on top of an 11% to 12% decrease that already took effect in August, when Tampa Electric's storm recovery charge ended one month ahead of schedule.

August cut followed end of storm charge

That August reduction saved residential and small-business customers about $20 per 1,000 kWh each month, according to Tampa Electric. Customers using 2,000 kWh saved about $40, and those at 3,000 kWh saved nearly $60.

New bill amount not yet calculated

The utility did not publish the current monthly bill at 1,000 kWh, so the exact dollar amount of the proposed 1.5% savings is not yet clear.

Falling natural gas costs drive request

Lower-than-expected natural gas prices are driving the latest proposal. Natural gas is the primary fuel Tampa Electric uses to generate power, and its cost passes directly to customers with no markup. Fuel accounts for about 20% of a residential customer's bill, according to the company's announcement.

CEO points to fuel savings for customers

"With the storm recovery charge now behind us and fuel costs coming down, we have another opportunity to deliver savings for our customers," said Archie Collins, president and CEO of Tampa Electric.

Gas prices are expected to stay low in coming months, Collins said, and the utility wants those savings reflected on bills.

Business customers would see cuts too

The reduction would not be limited to homeowners. Commercial and industrial customers would see cuts of 1% to 6%, depending on usage.

Tampa Electric serves much of west-central Florida

Tampa Electric, a subsidiary of Emera Inc., serves about 870,000 customers across 2,000 square miles of West Central Florida, including Hillsborough County, where both Apollo Beach and Ruskin sit. The service area also covers parts of Pasco, Pinellas and Polk counties. In Apollo Beach, the utility operates the Big Bend Power Station and runs the Manatee Viewing Center at 6990 Dickman Road.