FPL Rate Increase In 2023 Means It’s Time to Switch To Solar

If you live in Orlando, you likely have Florida Power & Light as your utility provider. If so, in 2023, you will see yet another increase in your power bills. FPL has said that the increase is part of a 4-year base rate plan, but this time around, with rising fuel costs, these rate increases are going to make an even bigger impact on customers’ wallets.

So, what can you do to combat these rising rates? Install solar and sign up for net metering of course! Our team at Solar Bear Orlando explains!

How Much are Electricity Rates Going to Go Up in 2023?

For 2023, FPL outlines the following rate increases:

  • 1,000 kWh or less, nearly a $5 base rate increase
  • Over 1,000 kWh, will increase even more but not yet specified

FPL increases in 2022 hit customers quite hard. In fact, there was a protest where customers asked the Florida legislature for help with bill relief.

FPL said that they understood the frustration with the rate increases, but are working to try and ease the transition.

Once the increase is approved by the Public Service Commission, the new rates will start on January 1st, 2023.

What is the 4-Year Base Rate Plan?

FPL released their approved 4-year base rate plan that increases energy usage rates for a temporary time. Overall, the plan is meant to even out and lower costs by the end of that timeframe. 

Though this is a good goal for the energy giant, the rising fuel costs and inflation are putting a wrench in the gears. Instead of a decrease, they are looking at an increase in rates.

Will Going Solar Help?

Absolutely! FPL has a strong solar power initiative that offers plenty of ways to save on rising costs. If customers choose to put a solar system on their roof, they can take part in net metering programs that allow them to use their solar power, plus give excess energy to the grid thus lowering their overall costs.

Most people who switch to solar can save $10,000 to $30,000 on electricity over the lifespan of the solar system.

How much you will save depends on several factors though and they include:

  • Hours of direct sunlight per day
  • Size and angle of your roof
  • Local electricity rates

The more you pay for electricity, the more you can offset with a solar system.

How Much Do Solar Panels Save You on Electric Bills?

The first step to understanding your solar savings is to calculate how much you are currently spending on energy costs each year. For example, if you take the average annual electricity use that is required to run a U.S. household, 10,649 kWh, and multiply it by the national average electricity rate of $.14 per kWh, you will find that the average American family is spending around $1,500 on electricity alone. Of course, this number is an average and fluctuates based on where you live, your climate, and other factors.

As we have seen with the FPL increases, utility rates are volatile and change frequently. This is an added incentive for installing solar. When you generate your own energy with a rooftop photovoltaic system, you are locking in your electricity costs so you no longer have to worry about the ever-changing utility company rates.

Will I Still Have an Electric Bill if I Go Solar?

Yes, you will still receive an electric bill from your local utility company after installing solar panels, but it will be dramatically less than it was before, especially if you sign up for net metering.

Net metering credits may be added to your utility account to offset electricity costs if your system generates more electricity than your home needs. This electricity is sent to the grid, so your utility will give you back credits in the form of net metering.

Installing solar panels will most certainly lead to lower monthly energy bills, and can in some cases eliminate the monthly bill completely.

It’s Time to Switch to Solar

Ready to say goodbye to FPL’s volatile electricity rates? Go solar with Solar Bear Orlando today! It is a powerful thing when you take your energy into your own hands. Call us today at (727) 471-7442 for a solar installation quote!