|
State of Florida
|
Public Service Commission Capital Circle Office Center ● 2540 Shumard
Oak Boulevard -M-E-M-O-R-A-N-D-U-M- |
||
|
DATE: |
|||
|
TO: |
Office of Commission Clerk (Teitzman) |
||
|
FROM: |
Division of Economics (Guffey, Nguyen, Ward) Office of the General Counsel (Thompson) |
||
|
RE: |
|||
|
AGENDA: |
10/07/25 – Regular Agenda – Tariff Suspension – Participation is at the Commission’s Discretion |
||
|
COMMISSIONERS ASSIGNED: |
|||
|
PREHEARING OFFICER: |
Administrative |
||
|
SPECIAL INSTRUCTIONS: |
|||
On September 5, 2025, Duke Energy Florida, LLC (DEF or utility) filed a petition for a limited proceeding to approve a new Large Load Customer (LLC-1) rate schedule, Large Load Customer Policy (LLCP), Large Load Customer Agreement (LLCA), and revised Contribution in Aid of Construction (CIAC) tariff. DEF’s petition and testimony assert that these proposed tariffs are needed for the utility to be responsive to recent trends in nationwide growth and demand for service by large load customers such as data centers and asserts that the proposed new provisions will provide protections to DEF’s existing and future customers.
Specifically, DEF proposed a new customer class and an optional rate schedule LLC-1, applicable to large load customers with a billing demand of 1,000 kilowatts (kW) or more and requesting transmission level service. The proposed rates contained in the LLC-1 were derived from DEF’s most recent 2025 cost of service study approved as part of its 2024 rate case settlement.[1]
Additionally, all large load customers with a peak contract demand forecast to be equal or greater than a monthly maximum demand of 100,000 kW of firm load would be subject to the proposed LLCP and must execute an LLCA.
The LLCP and associated LLCA establish a minimum contract term, minimum monthly bill provisions, security requirements, and early termination provisions. Customers subject to the LLCP most also pay a non-refundable system impact fee. Finally, the LLCP contains a CIAC provision allowing DEF at its discretion depending on the nature of the load to require customers to pay up to 100 percent of the total estimated costs to extend service in advance. DEF requests that the proposed tariffs become effective in January 2028.
This is staff’s recommendation to suspend the proposed tariffs. The Commission has jurisdiction over this matter pursuant to Sections 366.04, 366.05, and 366.06, Florida Statutes (F.S.).