The Florida Public Service Commission (FPSC) has approved a rate adjustment for Tampa Electric Company (TECO) that will take effect in 2026. The adjustment accounts for the annualized costs of projects completed in 2025 and includes cost recovery for the Polk Fuel Diversity project.
In a previous decision regarding TECO’s 2024 base rate case, the FPSC authorized an $87.7 million increase in revenue requirements to support projects scheduled for completion in 2025. On September 4, 2025, TECO submitted a petition requesting approval to implement the 2026 Subsequent Year Adjustment (SYA), which represents an incremental increase to its base rates.
Starting with the first billing cycle of January 2026, 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.
The SYA covers cost recovery for several initiatives, including the Polk 1 Flexibility Project, energy storage expansion, corporate headquarters development, Bearss Operations Center modernization, South Tampa Resilience Project, GRR (PLTE Spectrum) upgrades, and Cottonmouth and Longbranch solar projects. These projects were either completed in 2025 or are expected to be operational by year-end. Additionally, two unit upgrades as part of the Polk Fuel Diversity Project are expected to enter service in 2026.
TECO provides electric service to about 844,000 customers across a territory covering approximately 2,000 square miles in Hillsborough County and parts of Polk, Pasco, and Pinellas counties.
