Originally Published: August 8, 2025 | Updated: November 29, 2025 & January 12, 2026 | Original Source: Gulfshore Business (Aug 7, 2025)
We have updated this page as official filings and orders were posted. See update history at the end.
FPL’s base rate case (Florida PSC Docket 20250011-EI) has now been approved as a multi-year settlement that runs through 2029. The headlines tend to focus on a “typical 1,000 kWh bill,” but that framing can miss how many single-family homes actually use electricity in Southwest Florida, especially during long cooling seasons.
Below is a fact-based breakdown of what the settlement includes, based on PSC materials and filings, plus what it means when you zoom out from “1,000 kWh.”
Official PSC source documents (start here)
- PSC Staff Overview and Summary (filed 11/14/2025, DN 15095-2025): Open PDF
This memo summarizes the settlement’s major elements and includes the key numbers. - PSC Special Agenda Vote Sheet (11/20/2025, DN 15178-2025): Open PDF
This shows the issues the Commission considered at the vote conference.
What FPL is getting in the settlement (the specific asks that matter for your bill)
1) Base rate increases in 2026 and 2027
- FPL’s original request: $1.545B (2026) and $927M (2027) in base rate increases.
- The settlement amounts: $945M (2026) and $705M (2027). These are the figures staff summarizes as the settlement reductions. Source
2) Residential minimum bill increases to $30
- The settlement increases the minimum bill for residential (and small commercial) customers from $25 to $30. Source
- PSC staff notes FPL projected roughly 370,000 residential customers would have a base bill under $30 in 2026 (defined in the record as under 233 kWh per month for residential). Source
3) Storm reserve and storm surcharge changes
- Storm reserve increases from about $220M to $300M. Source
- Storm surcharge increases from $4 to $5 per 1,000 kWh. Source
- The filing also describes how storm cost recovery can be pursued if certain thresholds and conditions are met, including the concept of interim recovery and limits tied to a residential bill expressed per 1,000 kWh. Source
4) A Solar and Battery Base Rate Adjustment mechanism (SoBRA) for 2027–2029
- In the original filing, SoBRA was described as a way to recover costs for large blocks of solar and batteries in 2028–2029, with MW targets and a need demonstration in a future proceeding. Source
- In the settlement summary, staff describes that SoBRA now includes 1,192 MW of solar projects in 2027, and the original filing described 1,490 MW (2028) and 1,788 MW (2029) of solar additions. Source
- Battery additions in 2028 and 2029 are described as moving from 596 MW each year to 600 MW each year in the settlement summary. Source
- For solar cost recovery under the settlement summary, staff describes an “economic need” path using CPVRR requirements, and a “resource need” path tied to reliability need, without locking in a single methodology the way the initial filing did. Source
5) Rate Stabilization Mechanism (RSM) and the 2028–2029 story
- The settlement establishes an RSM intended to avoid a new general base rate case in 2028 and 2029, while “stabilizing” rates and earnings during the term. Source
- Staff summarizes FPL’s position that without RSM, FPL would “likely” need new base rate requests of about $606M in 2028 and $562M in 2029, but also notes whether those costs materialize and whether additional revenue is ultimately required remain open questions. Source
The part the “1,000 kWh typical bill” does not capture
FPL and regulators often discuss bill impacts at 1,000 kWh because it is a clean, round benchmark. But Southwest Florida single-family usage commonly runs higher than that, particularly in peak cooling months. When usage is higher, two things matter a lot more:
- Per-kWh changes matter more because you are multiplying them by more kWh every month.
- Minimum bills matter less for high-usage homes, but they matter more for solar owners who are trying to drive net usage down near zero.
Also, it is easy to miss that the settlement includes multiple “channels” of cost recovery. It is not only the 2026 and 2027 base rate increases. There are mechanisms and future proceedings baked in for storm recovery and for utility solar and battery additions (SoBRA) across 2027–2029.
What this means for solar customers specifically
- The $30 minimum bill is a bigger deal than it sounds if you are trying to offset most or all of your annual kWh with rooftop solar. Even if your net energy charge is driven down, the minimum bill sets a floor on what you pay. From an ROI perspective, it’s better to focus on offsetting most of your electricity bill, but not all of it. I recommend shooting for 85% of the annual consumption estimate. Source
- Utility-side solar and batteries are still being built and recovered from customers through approved mechanisms. If you are the type of homeowner who prefers controlling your energy costs directly, that is the core reason rooftop solar remains attractive in Florida.
Bottom line
The settlement is not just “2% in 2026.” It is a four-year plan with (1) base rate increases in 2026 and 2027, (2) a higher minimum bill, (3) changes to storm reserve and storm surcharges, and (4) a structured path for major utility solar and battery cost recovery through 2029.
If you are planning solar for 2026, the practical takeaway is simple: your system economics are influenced by more than one headline number. The minimum bill floor and the multi-year framework matter. Planning early gives you more control over equipment choices, design quality, and scheduling.
Update history
Update: August 19, 2025
FPL and stakeholders entered negotiations after significant public attention. At the time, a meaningful increase still appeared likely. One widely discussed provision was raising the minimum monthly bill from $25 to $30, which matters most for low-usage customers and solar customers trying to offset close to 100% of usage.
Update: August 25, 2025
FPL publicly indicated its revenue request had been reduced from initial levels. (This post focuses on official PSC materials for the final details.)
Update: November 20, 2025
The PSC approved the four-year agreement at its special agenda conference. If you want to read the official PSC documents that summarize what was approved, start here:
Note: PSC staff’s memo states that after a vote to approve, staff will draft the order memorializing the decision. If you want, I can update this post again once the final order is posted in the PSC library with its order number and direct PDF link. Source
FAQ
Did FPL’s base rate case include increases beyond 2026?
Yes. The settlement includes base rate increases for 2026 and 2027, and it also includes mechanisms intended to address 2028–2029 through structured proceedings and accounting tools such as RSM and SoBRA. Source
What changed for the minimum bill?
The minimum bill for residential customers increases from $25 to $30 under the settlement, as described in PSC staff’s summary. Source
What is SoBRA?
SoBRA is a Solar and Battery Base Rate Adjustment mechanism described in the record as a process for recovering costs tied to utility solar and battery additions in the later years of the settlement term, subject to need demonstrations in future proceedings. Source
