JACKSONVILLE, Fla. – The JEA Board of Directors will meet Tuesday to continue a discussion on a proposed increase to electric, water and wastewater rates in fiscal years 2025 and 2026.
If the city-owned utility’s board approves the hikes, customers could begin paying higher monthly bills in April.
The proposed rate adjustments would impact residential and commercial customers who could pay 3.6 % more for electricity. This means if your monthly electric bill is about $134, you’ll pay close to $5 more per month.
RELATED: JEA could pay millions more to the City of Jacksonville amid proposed rate hikes
JEA said the proposed increase is below inflation.
“The proposed adjustments will better align our revenue requirements with what it costs to serve customers and will continue to keep our rates among the lowest in Florida,” JEA said in a statement.
Electric rate recommendations
An electric bill is based on the number of kilowatt-hours (kwh) that are used each month.
Under the proposed changes, the rate adjusted for a 1,000kwh bill would be approximately 3.6% higher. According to JEA, 59% of customer bills are at 1,000 kWh or less monthly.
In 2026, the rate would increase by 5.4%, equivalent to a $7 increase.
Click here to learn how to determine your electricity usage.
Waste & sewer rate recommendations
JEA is proposing a 6% rate revenue adjustment for water and sewer for FY-2025 and a 4.2% rate revenue adjustment for FY-2026.
For a 3/4″ meter size, there would be an increase of $0.46 for sewer for FY-2025 and a $1.76 increase for FY-2026. According to JEA, 60% of residential sewer customers use this meter size.
Residential water rates would increase by $1.23 for a 3/4″ meter for FY-2025 and $0.56 for FY-2026.
Click here to read the full document with JEA’s electric, water and sewer rate recommendations.
JEA has previously said the proposed rate hikes are “predominantly attributed to obligations to Plant Vogtle,” which is a nuclear power plant in Georgia providing clean energy to JEA customers.
“It was a decision made by the JEA board in May of 2008,” JEA’s Deputy Chief Financial Officer and Treasurer Joe Orfano said. “It was a different time.”
Orfano said it is placing JEA’s electric system under financial strain.
“The debt service on that contract alone is approximately $190 million,” Orfano said. “We have a similar 200-megawatt Power Purchase Agreement with Florida Power and Light that has a capacity payment, which roughly equates to the debt service. That’s 1/10th the amount of that, Plant Vogtle.”
Click here to learn more about Plant Vogtle.
Orfano said the company is mindful of the impact the proposed rates would have on customers.
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Before anything is finalized it must be approved by the JEA board and then Jacksonville City Council.