The Florida Public Service Commission (FPSC) has approved a base rate adjustment for Tampa Electric Company (TECO) that will take effect in 2026. The adjustment accounts for the annualized costs of projects placed into service during 2025 and includes cost recovery for the Polk Fuel Diversity project.
In TECO’s 2024 base rate case, the FPSC authorized an increase in rates starting January 1, 2025, with an adjusted revenue requirement increase of $87.7 million to cover projects entering service in that year. TECO submitted a petition on September 4, 2025, requesting approval to implement the 2026 Subsequent Year Adjustment (SYA), which represents an incremental rise in its authorized base rates.
As a result of this adjustment, residential customers using 1,000 kilowatt-hours per month will see their typical monthly bill rise by $5.51—from $97.47 to $102.98—beginning with the first billing cycle of January 2026.
The SYA covers cost recovery for several initiatives including the Polk 1 Flexibility Project, energy storage expansion efforts, corporate headquarters development, Bearss Operations Center modernization, South Tampa Resilience Project, GRR (PLTE Spectrum) upgrades, and both Cottonmouth and Longbranch solar projects. These projects were either completed or are expected to be operational by the end of 2025. Additionally, two unit upgrades related to the Polk Fuel Diversity Project are scheduled to enter service in 2026.
TECO provides electric service to about 844,000 customers across a territory spanning approximately 2,000 square miles in Hillsborough County and parts of Polk, Pasco, and Pinellas counties.
