PSC Approves Progress Energy Settlement

Under the settlement, PEF agrees to withdraw its request to increase base rates $206 million on Jan. 1, 2006 and continues a revenue sharing plan, which may result in refunds to consumers.  During the period of the agreement, PEF will be able to recover the cost of the new Hines 4 power plant through adjustments to base rates, beginning with the  date of commercial operation of the plant.

PEF serves approximately 1.5 million retail customers in its service area in Florida. Its service area is comprised of approximately 20,000 square miles in 35 of the state’s 67 counties. Its service area encompasses the cities of St. Petersburg and Clearwater and densely populated areas surrounding Orlando, Ocala, and Tallahassee. PEF supplies electricity to approximately 350 communities and to about 21 Florida municipalities, utilities, and power agencies.

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