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Florida State Seal State of Florida
Public Service Commission


01/11/2011 Contact: 850-413-6482

PSC Orders FPL to Revise Conservation Plan

TALLAHASSEE — Citing energy efficiency as an important resource, the Florida Public Service Commission (PSC) today ordered Florida Power & Light Company (FPL) to revise its conservation plans to comply with the Commission’s conservation goal requirements and include possible job creation benefits from the plan's implementation.

FPL’s proposed Demand Side Management plan fell short of meeting its residential conservation goals in at least one category for eight years.  Similarly, the company’s plan did not meet all the annual commercial/industrial goals for eight years of the required ten-year planning period.

Energy and demand savings from FPL’s solar pilot programs counted toward the company’s goal requirements, but Commissioners requested that PSC staff conduct a workshop addressing how dollars from solar projects are most appropriately allocated.  FPL has 30 days to file a revised plan.  Customer rate impacts will be known when revised plans are filed.

The Commission is required to set goals, at least once every five years, for each of the seven utilities subject to the 1980 Florida Energy Efficiency and Conservation Act (FEECA).  In 2008, the Legislature made several changes to the FEECA statute, and the PSC’s recent goal setting procedure implemented the first of these modifications.

FEECA is designed to reduce the need for additional power plants and use of fossil fuels by requiring utilities to implement cost-effective energy efficiency programs.  Other companies subject to FEECA include Gulf Power Company (Gulf), Florida Public Utilities Company (FPUC), Progress Energy Florida (PEF), Tampa Electric Company (TECO), Orlando Utilities Commission (OUC), and JEA.

FPL’s conservation plans are the last to be reviewed by the Commission.  In the last few months, the PSC determined that Gulf, PEF, and TECO’s plans did not comply with Commission-established goals, while the plans for two municipal utilities, OUC and JEA, were approved. FPUC’s conservation plan was approved, but the Commission requested it file program standards and a detailed verification methodology for its audit programs.

Gulf, PEF, and TECO have all re-filed their conservation plans with the Commission.  TECO’s plan was approved in November 2010, Gulf’s plan is scheduled to be considered at the January 25 Commission conference, and PEF’s is scheduled for February 22.

The PSC facilitates safe and reliable utility services at fair prices for Florida's consumers.  Primary responsibilities include setting fair rates, encouraging competition, and monitoring for safety and reliability.

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