Power bills expected to climb again

Last Edited: Tuesday, 06 Feb 2007, 6:56 PM EST
Created: Tuesday, 06 Feb 2007, 6:56 PM EST

Lakeland Electric plans a rate increase. We've got you covered



LAKELAND - Ed and Rose Tomon's electric bill has gone up around 30-percent over the last few years.

"That's a big deal. My Social Security increased only 3.3-percent," said Ed.

So, the Tomons cut corners - turning down the heat in the winter and rationing out the air in the summer.

Despite all that economizing, it looks like their bill is going to go even higher. Lakeland Electric wants to raise the average homeowner's base rate by $3 a month.

"You know, to pay for plants, to pay for personnel, to pay for your fleet, your cars, your trucks, things of that nature," explained Kevin Cook with the City of Lakeland.

Cook says Lakeland Electric hasn't raised its base rate since 2000. Still, bills have gone up and up - and not only in Lakeland - all around the Bay Area.

Lakeland Electric says the culprit is the cost of fuel. It says the price of coal has doubled in the last few years, and the price of natural gas has quadrupled.

Power companies pass those higher prices straight on to the consumer.

There is some good news. Fuel prices depend on supply and demand.

"Right now, the supply is such that you can probably look for prices for all energy products to stabilize within the next six months," said Florida Southern economist Dr. Carl Brown.

Still, businesses in Lakeland may be in for an even bigger shock. Their bills could jump up as much as 40-percent. The City Commission will vote on the rate hikes next month.