Tampa Electric Reducing Bills Again in January

• Residential bills will drop by 1.4% beginning in January 2027
• Tampa Electric customers pay less than the national average for electricity
• The reduction follows an 11% to 12% decrease in August, when TECO ended the storm recovery charge early

Tampa Electric is passing lower fuel costs directly to customers, reducing bills for everyone beginning in January. The 1.4% decrease comes just five months after Tampa Electric lowered residential bills roughly 11% to 12% when the company removed the storm recovery charge in August.

Today, the Florida Public Service Commission unanimously approved Tampa Electric's request to reduce residential customer bills. Starting in January, a residential customer using 1,000 kilowatt-hours a month will pay $154.18, further lowering bills that are already below the national average.

"Every opportunity to lower our customers' bills matters," said Archie Collins, president and chief executive officer of Tampa Electric. "Tampa Electric delivered meaningful savings in August when we removed the storm recovery charge earlier than scheduled. Now, lower natural gas prices mean lower fuel costs, and we're passing those savings directly to our customers."

Fuel accounts for about 20% of a residential customer's electric bill. Tampa Electric does not earn a profit on fuel costs, so when natural gas prices are lower than anticipated, those savings are passed directly to customers.

Tampa Electric continually looks for ways to reduce fuel costs for customers, including making its power plants more efficient, strategically managing fuel purchases and using the lowest-cost sources of power available.

Tampa Electric knows that even as bills come down, some customers continue to face financial challenges. The company offers flexible payment arrangements, financial assistance and free programs to help customers manage their energy use and costs. Programs include Prime Time Plus, which provides automatic monthly bill credits and a free smart thermostat for eligible participants, and Budget Billing, which helps make monthly payments more predictable. The company's Customer Assistance team also connects customers with available community and government resources.

Customers can learn more at TampaElectric.com/PayAssist or call 888-223-0800.

Why is Tampa Electric lowering customer bills?

Natural gas prices have been lower than anticipated and are expected to remain lower in the coming months. Tampa Electric does not earn a profit on fuel costs, so those savings are passed directly to customers.

When will customers see the savings?

The lower bills will take effect in January.

How much will customers save?

A residential customer using 1,000 kilowatt-hours a month will pay $154.18, a 1.4% reduction. That's in addition to the roughly 11% to 12% reduction customers saw in August when the storm recovery charge ended. Commercial and industrial customers will see reductions of 1.5% to 6%, depending on usage.

What was the storm recovery charge?

The temporary storm recovery charge helped recover the costs of restoring power after Hurricanes Debby, Helene and Milton in 2024. Those costs were spread over 18 months to reduce the impact on customers' monthly bills and recently ended in July 2026.

Why do electric bills fluctuate throughout the year?

Electric bills fluctuate from month to month based largely on how much electricity a customer uses. In Florida, hot summer weather typically drives higher energy use for cooling, while milder fall temperatures can bring lower energy use and some seasonal relief. Beyond usage, changes in costs such as fuel can also affect the amount customers pay. Fuel accounts for about 20% of a typical residential bill.

Why can the cost of electricity change over time?

Many of the same economic factors that affect household expenses also affect the cost of providing electricity. Fuel prices can rise or fall, while inflation can affect the cost of equipment, materials and services needed to generate and deliver electricity. A customer's individual bill also depends on how much electricity they use.

Tampa Electric, one of Florida's largest investor-owned electric utilities, serves about 870,000 customers in West Central Florida. Tampa Electric is a subsidiary of Emera Inc. (NYSE: EMA).