Duke Energy customers feeling the pain

Is your Duke Energy bill skyrocketing? You’re not alone. The Observer takes a look at the numbers.


The Florida Public Service Commission in March approved Duke’s updated fuel and capacity rate request and recovery of storm restoration costs due to increased fuel costs from 2021 and 2022.
The Florida Public Service Commission in March approved Duke’s updated fuel and capacity rate request and recovery of storm restoration costs due to increased fuel costs from 2021 and 2022.
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Downtown Winter Garden resident Rebecca Hurst purchased her 2,700-square-foot home last September.

When she was researching utility costs, the previous owners told her their Duke Energy Florida bill averaged around $250 or $300 — and peaked at $400 in the summer.

But now, just one year into owning the home, Hurst is experiencing something much different.

“Ours has been increasing throughout the year but just last month, they suddenly sent us notice that our monthly bill pay was going to go up over $1,100 per month,” she said. “The $1,100 bill included rounding up for my balance pay. The actual monthly bill once we paid off the balance was in the $700 to $800 range, which is still more than double.”

Hurst contacted Duke repeatedly asking for more clarification and if the company would come out and check the meter.

“Not only do we keep the house pretty warm and monitor our energy usage, but we also did a substantial remodel to the house after we bought it, including redoing the entire attic with new insulation, new encapsulated crawl space, energy-efficient windows, more energy-efficient appliances, etc., all of which should’ve helped lower costs,” she said. “They would not come out and basically just looked at the computer and said it was right and that our energy usage was up. … If we were older, and on a fixed income, like many of my neighbors, I don’t know how we could afford this kind of energy bill.”

Hurst isn’t alone. Dozens of West Orange and Southwest Orange residents are reporting substantial increases in their bills from Duke Energy.

But, why?

THE COST FOR COMFORT

The Florida Public Service Commission in March approved Duke’s updated fuel and capacity rate request and recovery of storm restoration costs due to increased fuel costs from 2021 and 2022. 

The rate adjustment includes also storm-restoration work, mostly associated with hurricanes Ian and Nicole.

As a result, Audrey Stasko, Duke Energy corporate communications representative, said, the monthly bill for a typical residential customer using 1,000 kWh is $171.83 — an increase of about $25 compared to last year. 

Comparatively, customers who have Orlando Utilities Commission as their electric utility pay about $132 for the same energy usage after a fuel-rate decrease the OUC board approved goes into effect Oct. 1.

For homes that go over 1,000 kWh in a month, Duke calculates the overage at a different rate — currently 10.860 cents per kWh (compared to 9.266 cents in 2022). Fuel charges are 5.302 cents for up to 1,000 kWh and 6.372 cents for anything over. That’s compared to 4.469 and 5.539, respectively, in 2022.

The rate adjustment went into effect last April and reflects recovery of the fuel under-recovery for a period of 21 months.

As a result of the rate adjustment, Duke Energy said the monthly bill for a typical residential customer using 1,000 kWh is $171.83 — an increase of about $25 compared to last year.

Stasko said air conditioning accounts for the most energy usage during the summer in a home. Because of this, some customers may have higher bills recently, she said.

Stasko also said Duke does not profit off rising fuel costs. 

“Whatever we collect from customers goes directly to the fuel providers,” she said. 

Duke on Sept. 5 filed its projected 2024 fuel and capacity costs with the FPSC. Together with previously made filings and costs, this is the first look customers get at their proposed electric rate for the upcoming calendar year.

“The good news is fuel prices have begun to stabilize, which is a positive sign for customers,” Stasko said. “However, 2024 rates will also be impacted by Hurricane Idalia, which are not known at this time, as the company’s key focus is on safely restoring service to customers. In the coming weeks, Duke Energy Florida will gather the costs of this storm and determine appropriate next steps.  Once estimated costs for Idalia are known Duke Energy Florida will make a filing with the FPSC.”

Duke’s current filing estimates that in 2024, the monthly bill for a typical residential customer using 1,000 kWh would decrease by $3.03 per month. 

However, Stasko said that rate may change.

“The proposed rate that is being filed today does not include any costs from Hurricane Idalia or any other storms that may impact our service territory this hurricane season,” she said. “Duke Energy Florida will make a filing with the FPSC once those costs are known.”

NOT BUYING IT

Lee Lovette, who lives in downtown Winter Garden, said his bill has also increased at an alarming rate.

“Between June and July, we were out of town for a week,” he said. “With everything shut off and AC on 79 … our bill actually went up $52 to almost $500 in a townhome. We have close friends (who) have a house literally double the size of ours and have OUC electric, and their bill was $272. One of them works for Duke and says they literally built a house outside of Duke power because they are a rip-off. … Honestly, it seemed like after COVID, they started creeping up … but especially the last two years. They blame it on the weather and the economy. We started doing the budget billing where they average the bill and you pay the same every month and they review your usage every quarter, so we will see.”

Susanna Renzy, who lives in Horizon West, has noticed her bill steadily increase since the summer. 

This past month, the bill increased from $282 to $339. 

“We have a 4,000-square-foot home, two-story, and we leave the air at 77 upstairs and 76 downstairs,” she said. “I understand it’s hotter and maybe it’s because the AC unit is always running, but I feel like that is a big cost jump.”

Angela Grey, who lives also in the Horizon West area, said her household installed solar panels last year to help with costs. However, the solution didn’t last long.

The four family members live in about a 1,950-square-foot house.

“My power bill went down to $34 one month,” she said. “Now, it has skyrocketed to $191 with solar. My daughter has since moved out, so we are one less person in the house. I don’t get it. They need to be stopped.”

Hurst said it feels like Duke Energy has a monopoly. 

“None of us (has) any choice,” she said. “Even those (who) have switched to solar are now saying their energy prices are going way up, so what motivation do any of us have for solar if that’s the case? The biggest question is who is holding Duke accountable? It’s really easy for them to sit in an office and look at a computer screen and say everyone’s usage went up. OK, so even if our usage went up 10%, how did our bill double in a year? Those are the kinds of questions that nobody is answering. … They are a monopoly. We don’t have anywhere else to go for competition. Other than solar, which is not allowed in my particular house, nor do I want that. I just want a working, honest utility company.”

 

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Annabelle Sikes

News Editor Annabelle Sikes was born in Boca Raton and moved to Orlando in 2018 to attend the University of Central Florida. She graduated from UCF in May 2021 with a bachelor’s degree in journalism and a minor in sociology. Her past journalism experiences include serving as a web producer at the Orlando Sentinel, a reporter at The Community Paper, managing editor for NSM Today, digital manager at Centric Magazine and as an intern for the Orlando Weekly.

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