• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Home
  • About
  • Podcast
  • Archives

Atomic Insights

Atomic energy technology, politics, and perceptions from a nuclear energy insider who served as a US nuclear submarine engineer officer

FP&L fuel price adjustment information

November 9, 2005 By Rod Adams

There is a very interesting press release on BusinessWire.com titled “Florida PSC Approves FPL’s Fuel Cost Adjustment for 2006 Bills, Reflecting Volatile Global Fuel Costs and Hurricane Impacts in the Gulf

I highly recommend that you read it carefully and consider just how large the electric fuel business is, even in a limited service territory that also has four nuclear power plants in operation.

One particular item that I want to you pay attention to – FP&L’s Public Relations (PR) people go to great lengths to carefully explain that FP&L does not make any money at all on fuel purchased to provide electricity; it is a direct pass through in cost to consumers.

That should make some people feel better about the 19-41% increase in their electric bills, but others might wonder why the electric company gets to pass on their costs while truckers, small manufacturers, and other energy intensive businesses must absorb part of the cost increases with little ability to pass them on to their customers.

Though there is no profit in fuel, there is also little profit in making hard investment choices where the only possible return on the investment is in a fuel cost savings. One reason that new nuclear power plants have not been a top choice for electric utilities, even though fuel prices have increased fairly steadily for at least the last four years, is because the cost advantage for nuclear plants is lost when fuel costs are ignored by the decision maker.

(Disclosure – I grew up in an FP&L household.)

Filed Under: Uncategorized

About Rod Adams

Rod Adams is an atomic energy expert with small nuclear plant operating and design experience, now serving as a Managing Partner at Nucleation Capital, an emerging climate-focused fund. Rod, a former submarine Engineer Officer and founder of Adams Atomic Engines, Inc., one of the earliest advanced nuclear ventures, has engaged in technical, strategic, political, historic and financial discussion and analysis of the nuclear industry, its technology and policies for several decades. He is the founder of Atomic Insights and host and producer of The Atomic Show Podcast.

Please click here to subscribe to the Atomic Show RSS feed.

Primary Sidebar

Categories

Join Rod’s pronuclear network

Join Rod's pronuclear network by completing this form. Let us know what your specific interests are.

Recent Comments

  • David on Atomic Show #297 – Krusty – The Kilopower reactor that worked
  • Rod Adams on Atomic Show #297 – Krusty – The Kilopower reactor that worked
  • David on Atomic Show #297 – Krusty – The Kilopower reactor that worked
  • Rod Adams on Atomic Show #297 – Krusty – The Kilopower reactor that worked
  • paul wick on Atomic Show #297 – Krusty – The Kilopower reactor that worked

Follow Atomic Insights

The Atomic Show

Atomic Insights

Recent Posts

Atomic Show #297 – Krusty – The Kilopower reactor that worked

Nuclear energy growth prospects and secure uranium supplies

Nucleation Capital’s Earth Day in Atherton

Atomic Show #296 – Julia Pyke, Director of Finance Sizewell C

Solar’s dirty secrets: How solar power hurts people and the planet

  • Home
  • About Atomic Insights
  • Atomic Show
  • Contact
  • Links

Search Atomic Insights

Archives

Copyright © 2022 · Atomic Insights

Terms and Conditions - Privacy Policy