Good news: FPL is saving me money!

J

JOhnH

Touchdown! Greaser!
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A few weeks ago, FPL issued the following press release

Dec 3, 2013
JUNO BEACH, Fla. – Florida Power & Light Company today announced that the cumulative customer fuel savings produced by FPL's investments to increase the fuel efficiency of its power plants since 2001 have topped $6.5 billion while, at the same time, a total of approximately 64 million tons of carbon dioxide emissions have been avoided.
Of the more than $6.5 billion in total customer fuel savings since 2001, approximately $580 million was saved during the past year alone. In fact, 2013 is expected to be FPL's most fuel-efficient year to date as the company's plants continue to generate more electricity using less fuel than ever before.
"FPL's investments in fuel-efficient power plants that run on American-produced natural gas continue to save our customers real money without sacrificing our highly reliable electric service," said Eric Silagy, president of FPL. "While we can't control the cost of fuel, we have nearly eliminated our use of oil, and we continue to work hard to make our power plants as efficient as possible to help decrease the amount of fuel used to produce power, which, in turn, directly reduces the impact of those costs on our customers."
While the costs of many other products and services have increased significantly in recent years, FPL's typical residential bill continues to be lower than it was several years ago thanks in large part to these fuel-efficiency investments.
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But today, my FPL bill has this message:
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[FONT=arial, verdana]Public Service Commission-approved base rate and other bill changes will take effect Jan. 2. Your bill includes charges that can change up or down each year.

Depending on your rate class, you will see about a 5 to 8 percent increase primarily due to higher fuel costs, in which we make no profit.[/FONT]
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I'm glad they are saving me money. And this is a regulated industry.
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I thought the price of oil was down. The more they save ,the more we pay.
 
While I can't speak about FPL specifically, industry costs most certainly haven't gone down. The industry has spent and continues to spend billions in regulatory compliance and maintenance costs, which are passed on to consumers through rate increases. Natural gas prices are very low at the moment, but fuel costs only tell one part of the story behind consumer electric rates.


JKG
 
JGoodish said:
While I can't speak about FPL specifically, industry costs most certainly haven't gone down. The industry has spent and continues to spend billions in regulatory compliance and maintenance costs, which are passed on to consumers through rate increases. Natural gas prices are very low at the moment, but fuel costs only tell one part of the story behind consumer electric rates.


JKG
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I realize that FPLs prices are driven by more than the cost of fuel. But THEY are the ones that blamed the increase on fuel costs.
 
JOhnH said:
I realize that FPLs prices are driven by more than the cost of fuel. But THEY are the ones that blamed the increase on fuel costs.
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Well, they also have a higher profit margin than most energy utilities.
 
What? I thought capitoloist free markets were great and the government was the incompetent fools ruining America?

How about you look into Enron causing the brown outs in California while speculating power AND getting plants to shut down enmass.
 
Don't for get "Kenny boy" lay and his band of merry thieves at Enron. They conned the state of California.....and their own employees out of billions. Big time electric power manipulators! His right hand mans killing now wants out of jail after serving half his sentence. B.S.
 
Captain said:
What? I thought capitoloist free markets were great and the government was the incompetent fools ruining America?

How about you look into Enron causing the brown outs in California while speculating power AND getting plants to shut down enmass.
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So how is that Obamacare thing working out for ya.
 
How's Medicare workin for ya? How bout the V.A., how's that workin for ya? Both were tough starters, especially Medicare. So called Obama care, which is really by definition heritage foundation- Romney care will work just fine and will take the usual six months to a year to tune it correctly. Meanwhile people like sarah Palin will be relegated to the" ash heap of history" . Changes will have to occur,changes like letting the government negotiate drug prices with the manufacturers like the V.A. Does. ( a biggie) be calm, it's all going to be ok.
 
My local water utility raised prices because we were using too much water and simultaneously launched a campaign to reduce water consumption. It all worked so well and water consumption dropped so much (and revenue) that they had to.......yes, you guessed correctly......raise prices again due to significantly decreased revenue!! Ain't government great?


Sent from my iPad using Tapatalk HD
 
Same thing happened here in Houston with the water. They had a big conservation push and people cut their usage. About a year later the City 'had to' raise the rates because they didn't have enough operating income.
 
JOhnH said:
I realize that FPLs prices are driven by more than the cost of fuel. But THEY are the ones that blamed the increase on fuel costs.
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Again, I'm not familiar with specifics regarding FPL, but I do know a little something about what's been happening in the energy sector in recent years, and the trickle down effects that are occurring, particularly those impacting electric utilities. Fuel costs will always fluctuate, but most electric utilities are being forced to spend billions on regulatory compliance alone, including shuttering or converting coal-fired plants to run on natural gas. Those costs are being passed on to consumers, and electric rates for most will likely continue yo rise into the foreseeable future because of those costs.

As for the press release, it looks like a PR puff piece which is missing quite a bit of context.


JKG
 
Captain said:
What? I thought capitoloist free markets were great and the government was the incompetent fools ruining America?

How about you look into Enron causing the brown outs in California while speculating power AND getting plants to shut down enmass.
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Enron didn't cause brow outs in California, but government-imposed price controls did.


JKG
 
JGoodish said:
Enron didn't cause brow outs in California, but government-imposed price controls did.


JKG
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:rofl::rofl::rofl::rofl::rofl: Wow, straight up delusional on that one especially when the proof is on recorded conversations that were played in court.
 
JGoodish said:
Enron didn't cause brow outs in California, but government-imposed price controls did.


JKG
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You really should not say that because It's not true. It makes you look silly. Enron manipulated the power sources, saying they were, " down for repair" etc. etc. they were caught flat footed and the whole thing was well reported, in depth. They were one of " little bush's" biggest contributors. Bush called him "Kenny boy". Again......henning is correct.
 
Captain said:
What? I thought capitoloist free markets were great and the government was the incompetent fools ruining America?

How about you look into Enron causing the brown outs in California while speculating power AND getting plants to shut down enmass.
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That only works when there is actually a free market. There aren't 4 sets of power lines running down my road where I can say I want to use company A's power vs. company B, C, or D. And even if there were 4 sets, that's not enough to establish a free market. In that case, you have an oligopoly and legalized price collusion.
 
EdFred said:
That only works when there is actually a free market. There aren't 4 sets of power lines running down my road where I can say I want to use company A's power vs. company B, C, or D. And even if there were 4 sets, that's not enough to establish a free market. In that case, you have an oligopoly and legalized price collusion.
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Oh yes you can. Electricity from the grid is a fungible commodity, you can buy from a variety of producers.
 
EdFred said:
Not where I am.
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The industry option my not exist where you are, but federal law protects that option. If you wanted to start a coop, or even a power company that bought electricity from a supplier (or even produce your own electricity) and resell to to individuals, you have the ability to do so.
 
My electrical co-op refunds money they saved on budget when maintenance goes better than planned.

And their rates are significantly lower than the regulated commercial entity only a few miles East in the city.

Good stuff, electrical co-ops.

I'd rank them right up there with Credit Unions vs Banks. Why anyone would willingly do business with a bank, I have no idea.
 
Texas has an interesting electrical market. Where I sit now, I could pay anywhere from 4.9 cents/kWhr (on a three month contract) up to 13.8 cents/kWHr (on a one year contract with a guaranteed 9% from "renewable" sources). I am on a one year contract, at (iirc) 7.2 cents. When I shopped it, the rate for a none-month contract was several cents lower, but more than half of the electricity used here, is used in the summer months, so any "savings" from the lower rate are illusory.

Poor credit makes good rates harder to get ( as they should be), unless you pre-pay.

The lines are owned by an electrical power delivery company, which services and delivers but does not sell.

The market works well, for those who work it.

I also have property in an electrical co-op, which has traditionally been very responsive, and rates pretty good.
 
Jimmy cooper said:
How's Medicare workin for ya? How bout the V.A., how's that workin for ya? Both were tough starters, especially Medicare. So called Obama care, which is really by definition heritage foundation- Romney care will work just fine and will take the usual six months to a year to tune it correctly. Meanwhile people like sarah Palin will be relegated to the" ash heap of history" . Changes will have to occur,changes like letting the government negotiate drug prices with the manufacturers like the V.A. Does. ( a biggie) be calm, it's all going to be ok.
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Great examples...one bankrupt and losing providers daily, the other noteworthy for it's less than stellar care. Well played.
 
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