2026 Electric Rate Adjustment

Upcoming Electric Rate Adjustments – What Homestead Residents Need to Know

The City of Homestead is providing advance notice to residents regarding upcoming electric rate adjustments that will take effect in 2026. These changes will affect customers served by Florida Power & Light (FPL) as well as those served by the City’s municipal utility, Homestead Public Services (HPS) Energy.

Because Homestead residents are served by two different electric providers, it is important to understand which utility supplies your home or business and how these changes may impact you.

Why Are Electric Rates Increasing?

Both FPL and HPS Energy are adjusting rates to address:

  • Rising fuel and operational costs

  • Investments in electric infrastructure upgrades

  • Enhancements to grid reliability and storm resilience

These improvements are especially critical in South Florida, where severe weather events can place significant strain on the electrical system.

Understanding the Difference: FPL vs. HPS Energy

Florida Power & Light (FPL)

  • Rates are regulated and approved by the Florida Public Service Commission (FPSC)

  • A new FPSC-approved rate plan will result in incremental increases over the next four years, beginning January 2026

Homestead Public Services (HPS) Energy

  • Rates are locally managed by the City of Homestead and will be increased in February 2026. 

  • Adjustments are focused on maintaining reliable service while continuing to invest in infrastructure and storm hardening

HPS Energy Continues to Offer the Lowest Rates

Even with the upcoming rate adjustment, HPS Energy continues to provide some of the lowest electric rates in the region.

Average Monthly Cost Comparison (1,000 kWh)

  • FPL: approximately $136.34

  • HPS Energy: approximately $118.60

This means HPS Energy customers pay about $17.74 less per month on average for the same electricity usage.

How to Find Your Electric Provider

Not sure which utility serves your home?

  • Review your electric bill to see whether it is issued by FPL or Homestead Public Services

  • HPS Energy customers will receive billing and service directly from the City of Homestead