Florida Power and Light, which owns shares in the coal-fired Scherer and St. Johns River Power Park facilities, reported March 3 that its average coal costs in 2014 were higher than expected.
Terry J. Keith, the utility’s Director, Cost Recovery Clauses, in the Regulatory & State Governmental Affairs Department, supplied March 3 “true-up” testimony to the Florida Public Service Commission. This came in an annual fuel cost proceeding. At this point each year the utility needs to match up the fuel figures it had expected early in any given year, to what actually happened by the end of that year.
FPL’s coal cost averaged $2.92 per MMBtu in 2014, which was $0.14 per MMBtu or 5.1% higher than projected during the period. However, FPL consumed 8,292,018 less MMBtus (14.7%) of coal than projected during the period. Of the total $16.3 million decrease for coal, $23.1 million was due to lower than projected consumption, partially offset by a $6.8 million increase due to higher than projected unit costs.
FPL’s natural gas cost in 2014 averaged $5.29 per MMBtu, which was $0.13 per MMBtu or 2.49% lower than projected during the period. However, FPL consumed 12,046,706 more MMBtus (2.11%) than projected during the period. Of the total $13.3 million decrease for natural gas, $78.7 million was due to lower than projected unit costs, partially offset by a $65.3 million increase due to higher than projected consumption.