(Source: Ocala Star-Banner)

By Fred Hiers, Ocala Star-Banner, Fla.
Oct. 28--At the urging of Gov. Charlie Crist, the Public Service
Commission voted Tuesday to postpone making a decision whether to allow
Progress Energy Florida and Florida Power & Light to raise their rates.
Crist had asked the commission to hold off on a ruling to give his two
new appointees time to review the cases.
Progress Energy has 65,000 customers in Marion County.
The commission voted 5-0 to make a decision on Florida Power's rate
request Jan. 29 and Progress Energy's request Jan. 28. It was originally
scheduled to make a ruling on Progress Energy's case Nov. 19 and on FPL's case
in December.
Progress Energy is asking for a $499 million annual increase in its base
rate, which, along with fuel cost reductions, translates to an average rate
hike of about $8 per month per customer for 1,000-kilowatt hours.
Progress Energy, however, still has the option of raising its rates in
January as it had hoped. That's because the utility already has an agreement
with Florida that it can raise its rates when its current rate structure
expires next year. But the utility would have to issue refunds if the
commission later votes for a lesser increase or no increase at all.
Earlier this month, Crist appointed former journalist David Klement to
the five-member PSC, which regulates Florida utilities. Crist also appointed
Benjamin Stevens, former chief financial officer for the Escambia County
Sheriff's Office, to the commission. He will take his post Jan. 4. Klement has
already taken his seat.
Klement said both he and Stevens must read thousands of pages of
testimony and evidence and review many hours of video to prepare for both
cases.
"Granted, that's a lot of reading and viewing," Klement said. "Can we do
it? I can't speak for commissioner-elect Stevens, but I can speak for myself.
I believe I can get up to speed in time. I will commit to do so."
FPL, which has no customers in Marion County, is asking for a $1.3
billion annual increase in base rates, which amounts to about $12.40 per month
for the first 1,000-kilowatt hours used. FPL is also planning to reduce its
fuel charges to reflect current fuel costs.
Progress Energy spokesman Tim Leljedal said the utility company was
disappointed in the ruling and had wanted the current commission to vote on
the rate hike request as scheduled Nov. 19.
Leljedal said "given the complexity of the issue" and the months of
testimony and voluminous amount of evidence, the current board was more
familiar with the case and should decide it.