Lakeland Electric Proposed Base Rate Increase

Lakeland Electric has submitted its final proposal to the City of Lakeland Utility Committee for a series of base rate increases. If approved, the 3.75% annual adjustment (15.87% total) would be in place for four years, beginning October 1, 2026, following final approval by the City of Lakeland Commission.

“The reason is straightforward, even if the timing is never ideal. 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, Assistant General Manager – Fiscal Operations. “This adjustment addresses that gap in a measured, responsible way. The 3.75% increase is based on findings from the cost of service study, which reflects what it takes to operate the utility reliably.”

Customers’ bills are comprised of three primary sections: base rate, fuel charge, and taxes and surcharges. The proposed adjustment applies only to the base rate; fuel charges, taxes, and fees will remain unchanged.

For the average residential customer (Residential Standard), the first-year base rate adjustment will mean an approximate increase of $2.83 per month on their total electric bill. Small commercial customers (General Service) can expect an increase of about $6.70 per month in the first year.

The proposed adjustment is the result of a formal Cost of Service Study, which analyzed the expenses necessary to deliver dependable electric service to the community. Findings from the study were presented and discussed at multiple public meetings. The study and proposal have been reviewed by the City of Lakeland Utility Committee, which includes the Mayor, City Commissioners, and appointed customer advisors representing all rate classes from both inside the city limits and within the Lakeland Electric service territory.

An ordinance for the proposed base rate increase will be presented to the Lakeland City Commission for its first reading on July 6, 2026, and for a second reading and vote on July 20, 2026.