The Florida Public Service Commission (FPSC) has approved a base rate adjustment for Tampa Electric Company (TECO), set to take effect in January 2026. The adjustment accounts for the annualized costs of projects completed in 2025 and provides cost recovery for the Polk Fuel Diversity project.
In its 2024 base rate case, the FPSC had already authorized a rate increase starting January 1, 2025, with an adjusted revenue requirement increase of $87.7 million. This was primarily aimed at covering projects entering service in 2025. On September 4, 2025, TECO submitted a petition requesting permission to implement the Subsequent Year Adjustment (SYA) for 2026. The SYA will result in an incremental rise in TECO’s authorized base rates.
Residential customers using an average of 1,000 kilowatt-hours per month will see their typical monthly bill increase by $5.51—from $97.47 to $102.98—beginning with the first billing cycle of January 2026.
The approved SYA covers several major initiatives including upgrades and expansions such as the Polk 1 Flexibility Project, energy storage expansion, corporate headquarters development, Bearss Operations Center modernization, South Tampa Resilience Project, GRR (PLTE Spectrum) upgrades, and new solar projects at Cottonmouth and Longbranch sites. Most of these projects were completed or are expected to be operational by the end of 2025; two unit upgrades under the Polk Fuel Diversity Project are scheduled to come online in 2026.
TECO supplies electricity to about 844,000 customers across a service area spanning approximately 2,000 square miles within Hillsborough County and parts of Polk, Pasco, and Pinellas counties.
