Lakeland Electric Rate Increase Approved, Raising Bills For Customers

The Lakeland City Commission voted unanimously Monday to approve a four-year increase to Lakeland Electric’s base rates, raising monthly bills for customers inside city limits and for thousands of unincorporated Polk County residents who buy power from the municipal utility.

“Our costs have gone up, materials, equipment, and the people and systems that keep the lights on have risen. The base rate has not kept pace,” said Willem Strauss, Lakeland Electric’s assistant general manager for fiscal operations. “This adjustment addresses that gap in a measured, responsible way.”

Commissioners adopted Ordinance 26-021 during the regular city meeting. There were no comments from the public.

The ordinance raises Lakeland Electric’s flat fee by $1.25 and the base utility rate by 3.75% on Oct. 1, 2026. Additional increases will occur each October through 2029, covering day-to-day operations and capital costs. The ordinance does not change fuel charges, environmental costs or taxes.

Lakeland Electric serves roughly 137,000 customers and estimates the increase will add about $2.83 a month to an average residential bill in the first year, and around $6.70 for small commercial customers.

Rate Increase Extends Outside City Limits

Customers in unincorporated Polk County will pay a 10% surcharge, equating to what city residents currently pay . This will equate to roughly 25 to 30 cents more each month than city customers using the same amount of power.

Lakeland Electric’s last base rate increase took effect Oct. 1, 2025.

Comparing Electric Utility Costs in Polk County

Seven utility companies service Polk County. Tampa Electric (TECO), serves areas around Winter Haven and Lake Alfred with an estimated customer base of around 870,000 customers. They have raised rates repeatedly over the past year and a half: a $9 to $13 monthly increase in January 2025, an about $20 monthly storm recovery surcharge added that March, a 10% fuel charge increase in June, and another roughly $5 monthly increase approved for January 2026, all approved by the Florida Public Service Commission.

Duke Energy Florida, which serves Polk County cities including Auburndale, Davenport and Winter Haven lowered their rates in March after regulators approved an approximately $44 monthly decrease for a typical residential customer starting in once storm recovery charges from hurricanes, including Milton, following a brief smaller increase in January and February. Duke Energy Florida serves just over 2 million customers statewide.

Both TECO and Duke Energy are investor-owned utilities regulated by the Florida Public Service Commission who approves rate chages. Lakeland Electric falls under the City Commission, which sets utility rates directly for their customers.

For ways to battle higher energy costs in the summer, visit Lakeland Electric’s post: Top Summer Energy Saving Tips to Beat the Heat.

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Sources: Proposed Ordinance No. 26-021, City of Lakeland, lakelandgov.net, July 20, 2026; “Lakeland Electric Proposed Base Rate Increase,” Florida Municipal Electric Association, flpublicpower.com, June 12, 2026; Lakeland Electric Leadership Directory, lakelandelectric.com; Lakeland Electric Ten-Year Site Plan, Florida Public Service Commission, floridapsc.com; Lakeland Electric Provider Profile, FindEnergy.com; “TECO Customers to See Electricity Bills Rise Next Year,” Axios Tampa Bay, axios.com, Nov. 10, 2025; “Fourth TECO Rate Hike in 12 Months Finalized,” FOX 13 Tampa Bay, fox13news.com; Tampa Electric Service Area and Reliability, tampaelectric.com; “Duke Energy Florida Announces Significantly Lower Bills in 2026,” Duke Energy News Center, news.duke-energy.com; Duke Energy Florida Provider Profile, FindEnergy.com