No, Florida is not deregulated for electricity. The state runs a fully regulated utility model, which means your electric provider is decided by your address and you cannot switch to a competitor. Florida Power & Light alone serves more than six million customer accounts, and the rest of the state is divided among a handful of other utilities under the oversight of the Florida Public Service Commission. The tradeoff for losing the ability to shop: Florida’s average residential rate of about 15.92 cents per kilowatt-hour sits below the national average of roughly 18 cents.1U.S. Energy Information Administration. Electric Power Monthly
What a Regulated Market Means for You
In Florida, the state grants each utility an exclusive franchise to generate, transmit, and deliver electricity within a defined geographic area. No competitor can enter that territory. In exchange for the monopoly, the utility submits to government oversight of its rates, service quality, and investments. The Public Service Commission (PSC) stands in for the competitive pressure that would otherwise discipline pricing.2Florida Public Service Commission. Market Power in a Transitioning Electric Industry
About 18 states and Washington, D.C. have moved away from this model to some degree, letting residential or commercial customers pick among competing suppliers. Florida is not one of them, and there is no active path toward joining them.
Who Your Provider Is
Three types of utilities serve Florida, and which one bills you depends entirely on where you live.
Investor-Owned Utilities
Investor-owned utilities serve the largest share of Florida’s population. Florida Power & Light, owned by NextEra Energy, is the biggest, with over six million customer accounts across much of the eastern and southern parts of the state.3NextEra Energy. 2024 NEE Annual Report Duke Energy Florida and Tampa Electric Company are the other major investor-owned providers. These are the utilities the PSC regulates most directly, with full authority over rates, service standards, and infrastructure spending.4Florida Senate. Florida Code 366.05 – Powers
Municipal Utilities
Cities including Jacksonville (JEA), Orlando (OUC), and Tallahassee run their own electric utilities. These are government-owned, generally nonprofit operations governed by city commissions or appointed boards, and Florida law protects their right to distribute electricity within city limits.5Online Sunshine. Florida Code 366.04 – Jurisdiction of Commission The PSC does not set their rates. If you have a rate complaint against a municipal utility, your recourse runs through local government, not the state.
Rural Electric Cooperatives
Sixteen distribution cooperatives serve about 2.7 million Floridians across 57 of the state’s 67 counties, covering roughly 60 percent of the state’s land area.6Florida Electric Cooperatives Association. Our History Cooperatives are member-owned nonprofits, so customers are technically part-owners with voting rights. Like municipal utilities, cooperatives are largely exempt from direct PSC rate regulation under Florida Statute 366.11.7Online Sunshine. Florida Code 366.11 – Certain Exemptions
What the PSC Actually Controls
The Public Service Commission draws its authority from Chapter 366 of the Florida Statutes.8Florida Senate. Florida Statutes Chapter 366 – Public Utilities Its powers differ depending on the type of utility you’re dealing with.
For investor-owned utilities, the PSC has broad control. It sets rates, approves infrastructure investments, limits security deposits to no more than two months of average charges, enforces service quality standards, and requires utilities to notify customers of available rate options.4Florida Senate. Florida Code 366.05 – Powers Every rate change requires a majority vote of the commissioners.
For municipal utilities and cooperatives, the PSC’s reach is narrower but still meaningful. It can prescribe rate structures (how charges are broken down, not the total amount), resolve territorial disputes, approve territorial agreements, enforce electrical safety standards, and oversee grid coordination statewide.5Online Sunshine. Florida Code 366.04 – Jurisdiction of Commission The practical difference matters. An FPL customer unhappy with a rate increase takes it to the PSC. A JEA customer takes it to the Jacksonville city council.
How Rates Get Set
When an investor-owned utility wants to raise rates, it files a formal application with the PSC that includes detailed financial schedules covering operating costs, infrastructure spending, projected expenses, and the return it wants to earn for shareholders. PSC staff audits the utility’s records, inspects facilities, and develops its own analysis. The process must be completed within eight months by law.9Florida Public Service Commission. Utility Ratemaking in Florida
Public service hearings give customers a chance to testify about a proposed increase, and that testimony becomes part of the record commissioners review. The PSC then decides how much revenue the utility needs to cover legitimate costs and earn a fair return, and translates that into the rates on your bill.9Florida Public Service Commission. Utility Ratemaking in Florida Utilities can also recover specific costs outside a full rate case, such as fuel expenses and storm damage restoration, through separate surcharges the PSC must approve.
This is where most consumer frustration lives. You can show up and make your case, but the outcome hinges on what the PSC determines is financially reasonable for the utility. There is no competing provider offering a lower price you can use as leverage.
What You Actually Pay
As of early 2026, Florida’s average residential rate is about 15.92 cents per kilowatt-hour, against a national average near 18 cents.1U.S. Energy Information Administration. Electric Power Monthly Part of that below-average rate reflects the state’s heavy reliance on natural gas, which fueled about three-quarters of Florida’s electricity generation in 2024. Solar contributed nearly 9 percent, nuclear around 10 percent, and coal just 3 percent.10U.S. Energy Information Administration. Florida State Energy Profile and Analysis
A lower rate per kilowatt-hour does not always translate into a lower bill. Florida’s heat and humidity push air conditioning use well above the national average, so many households consume enough electricity to offset the per-unit savings. Your total bill depends on how many kilowatt-hours you use, not just the price of each one.
The generation mix also affects what you pay month to month. When natural gas prices spike, Florida utilities pass those costs through to customers via fuel adjustment charges that the PSC reviews separately from base rates.
Solar as the Choice You Do Have
You cannot pick your provider, but you can change how much electricity you buy from them.
Rooftop Solar and Net Metering
Florida law requires every public utility, municipal utility, and rural electric cooperative to offer a net metering program for customers who install their own renewable energy systems. The electricity your panels produce offsets your on-site consumption, and when your system generates more than you use, the excess flows to the grid and you receive a credit on your bill.11Online Sunshine. Florida Code 366.91 – Renewable Energy You pay the actual cost of interconnecting your system, and each utility must maintain a standardized interconnection agreement so the process follows consistent rules.
Community Solar
If you rent, live in a condo, or have a roof that isn’t suitable for panels, some utilities offer community solar. FPL’s SolarTogether program lets any customer subscribe in one-kilowatt increments with no upfront cost. You pay a fixed monthly charge and receive bill credits based on the solar energy your subscription generates at a large-scale solar facility. Over time, FPL says the credits are designed to exceed the monthly charge, producing net savings.12Florida Power & Light. SolarTogether Residential You can cancel without penalty or transfer the subscription if you move within FPL’s territory.
Help Paying the Bill
Low-income households in Florida may qualify for the federal Low Income Home Energy Assistance Program (LIHEAP), which applies credits directly to your electric bill. Eligibility generally requires household income at or below 60 percent of the state median income, though households already enrolled in SNAP, TANF, or SSI may qualify automatically. Florida administers LIHEAP through county-level agencies, so the application process and priority criteria vary somewhat by county. Contact your local community action agency or county human services office to apply.
Most Florida utilities also run their own hardship and payment assistance programs. FPL’s Care to Share and Duke Energy’s Share the Light Fund are two examples. They operate on different eligibility rules and timelines than LIHEAP, so it’s worth applying separately if you need help.