Our City of St. Augustine, Florida would not even discuss this issue when I asked our City Commission to do so. Proud of St. Petersburg for putting people firstFrom Florida Phoenix:
St. Pete Council OKs study to review costs, benefits of owning its own utilities
It’s been more than 20 years since a Florida city decided to run its own electric utility.
Duke Energy Center as seen from Weedon Island Preserve in St. Petersburg on Sept. 21, 2025. (Photo by Mitch Perry/Florida Phoenix)
Responding to the frustrations expressed by local residents, the St. Petersburg City Council has taken a major step towards potentially jettisoning its longtime relationship with Duke Energy Florida and creating its own city-run electric utility.
The council voted 4-3 Thursday to spend up to $590,000 to hire Texas-based NewGen Strategies and Solutions to analyze whether it would be in the city’s best interests to leave Duke Energy and form its own municipal utility.
The decision to hire the consulting firm comes as the 30-year franchise agreement with Duke Energy is set to expire on Aug. 1.
A spokesperson for Duke Energy provided a statement to the Phoenix immediately after the vote.
“Duke Energy believes renewing the franchise agreement offers immediate benefits to our customers and communities we serve,” said Ana Gibbs, with Duke Energy Florida Corporate Communications. “We remain committed to providing safe, reliable power and look forward to working with the city of St. Petersburg to renew our franchise agreement.”
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NewGen is the firm the City of Clearwater used for a similar analysis last year.
That study concluded Clearwater residents could save millions of dollars on their utility bills if the city formed its own utility. Mayor Bruce Rector recently told Fox-13 in Tampa the city has not made a decision on its agreement with Duke.
There are 33 municipal electric power utilities in Florida, including in Jacksonville, Orlando, and Tallahassee.
Winter Park, just north of Orlando, was the last city to develop form its own utility. That was in 2005.
The debate over public versus private power is nothing new. Higher energy prices in Florida have rejuvenated that debate this election cycle.
A federal report released in April by the U.S. Energy Information Administration showed that utility companies disconnected Floridians’ electricity more than 2 million times because of unpaid bills in 2024, the second most in the country.
Duke Energy serves around 2 million customers in Florida. It is the second largest investor-owned utility in the state behind Florida Power & Light.
Majority says ‘dump Duke’
Dozens of members of the public urged the council to approve funding for the study.
“Duke Energy is a monopoly, and under the course of its 30-year contract, has made our electricity more expensive,” said Jorge Vazquez. “There is no competition, and they know that. That is why they have continued to raise our rates.”
Susan Glickman, a climate change advocate with the CLEO Institute, said the feasibility study would give the council “the rigorous analysis” it needs to understand what it would look like for St. Petersburg to control its own power.
“The proposition is essentially a simple one because investor-owned utilities have a fiduciary relationship to their shareholders to return a profit,” she said. “If St. Pete were to municipalize, the profit motive goes away. And this could allow the city to pursue lower-cost ways to meet the community’s energy needs.”
Daniel Collette, an educator, noted that Duke Energy’s settlement with the Florida Public Service Commission in 2024 included a request for a return on investment of between 9.3% to 11.3%. He and others said the company’s bottom line is its shareholders, not the ratepayers.
Now’s not the time
Not all who testified supported funding the study. Several opponents said the city should not spend the money given the pending proposal to reduce the property taxes municipalities can collect.
“Today in the city of St. Petersburg on June 4, 2026, $600,000 is a lot of money,” said Jason Mathis, CEO of the Downtown St. Petersburg Partnership.
“And it’s worth asking, how will this be materially different than the Clearwater study that was just completed? Can’t we extrapolate from that? Do we need to pay full price for our own St. Pete version? During a time when every penny counts and we may face reduced city services or raising taxes, that’s a legitimate question.”
Chris Steinocher, president and CEO of the St. Pete Chamber of Commerce, noted a recent Florida TaxWatch report recommending against Clearwater operating its own electric utility.
Several Duke Energy Florida employees attended the meeting and spoke against the city paying for a study.
Crystal Pruitt said she was “super proud” to represent the utility. Duke has been a great corporate sponsor for the city, she asserted, adding that the utility donated more than $2.8 million in St. Petersburg organizations, charities, educational programs, workplace development initiatives, and nonprofits.
Duke Energy has posted a page on its website touting those contributions.
Which way will she vote?
Following hours of public testimony, the council turned to debate and then a vote.
And the deciding vote was cast by Council Chair Lisset Hanewicz, who last year voted against a move to ask the mayor to seek proposals for a feasibility study.
This time was different — for the council to make an informed decision, it needs more information, she said.
“I voted no the first time, but I don’t have the information,” she said. “I’m for going with the feasibility study.”
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