Tallahassee, FL — Today, the Florida Public Service Commission (PSC) voted 4-1 to save a utility cost saving measure. Amending the rule would have resulted in higher electricity bills for millions of Florida ratepayers; the PSC initiated amending the rule earlier this year without apparent cause. With today’s ruling, residential and small business ratepayers will continue to benefit from tax breaks associated with the debt of their utility’s parent company that is embedded in the utility subsidiary. 

The decision comes after Food & Water Watch, the Hillsborough Affordable Energy Coalition, Power Floridians Can Afford Coalition, and other allied organizations sent a letter to the Florida Public Service Commission yesterday urging them to reject the proposed amendment. 

“Today’s decision curbed yet another corporate handout that would have resulted in higher rates. The PSC is meant to regulate utilities to ensure fairness and reasonability — today’s vote is a step in the right direction. But after years and years of regulators approving massive rate increases on the backs of struggling Florida families, we need meaningful protections” said Brooke Ward, Florida State Director of Food and Water Watch. “This victory would not have happened without consumer watchdogs like Food & Water Watch and our partners, since our advocacy uncovered that utility regulators were quietly trying to amend the rule. We can’t keep playing a game of cat-and-mouse. That’s why DeSantis and the Florida legislature must act to ensure that Florida ratepayers are protected from further rate hikes by passing affordable energy legislation.”

“We are pleased that the Commission chose to uphold the current rule. Now is not the time to bake in further rate increases for Floridians who are paying some of the highest electric bills in the country,” said Jordan Luebkemann, Senior Attorney at Earthjustice, representing Florida Rising.

“Today’s 4–1 vote is a victory for Florida’s residential customers, and a reminder of why community voices must have a seat at the table when decisions are being made about our utility bills. Upholding this rule ensures that customers aren’t forced to pay more simply to increase utility profits. Florida Rising was proud to join the Office of Public Counsel in fighting to preserve that protection and to bring the voices and experiences of residential customers directly into this process,” said Katina Rentas Negrón, Climate Justice Campaigner with Florida Rising. Today, the Commission chose to protect consumers, and we’re proud to have been part of that fight.”

PSC voted to retain Rule 25-14.004, F.A.C., Effect of Parent Debt on Federal Corporate Income Tax, in its entirety. 

Tampa Electric (TECO) ratepayers stood to lose the most savings. TECO customers saw the second highest bills in the nation for last June’s electricity use and this June’s electricity use, according to preliminary monthly data from the U.S. Energy Information Administration. TECO customers also saw rates increase by 22 percent — or $375 more annually — between January 2025 and January 2026, according to Food & Water Watch analysis.