Pinellas County Will Withdraw from Duke Energy’s Clean Energy Program
Duke Energy faces increasing scrutiny as Pinellas County takes definitive steps to sever its ties with the utility. This week, county commissioners passed a resolution to withdraw from Duke’s Clean Energy Connection program, designed to provide subscribers with solar power and related cost savings. The decision comes amid growing concerns from local residents and leaders over escalating utility costs.
The resolution, presented by Commissioner Vince Nowicki, reflects a critical reassessment of Duke Energy’s rising electricity rates, which have not corresponded with an increase in the credits returned to consumers participating in the program. Nowicki emphasized that this action is not a rejection of clean energy initiatives but rather a strategy to explore alternative options that may yield better results.
Pinellas County had initially joined the Clean Energy Connection program in 2022 under the premise that it would ultimately save .18 million over 33 years, with a break-even point anticipated within five to seven years. However, recent estimates indicate that the county will not reach that threshold until approximately the 12th year and will only begin to see financial returns in its 20th year. Currently, the county incurs a monthly fee of .35 per kilowatt of power used, making its continued participation financially unsustainable.
In the program’s second year, Pinellas County spent .3 million in subscription fees while generating million in credits. This past year, expenditures rose to .7 million with credits garnered amounting to .2 million. The cumulative impact of these costs has prompted local leaders to reassess the program’s viability. Commissioner Chris Scherer noted the significant cash outflow, suggesting that the county should consider exiting the program as a prudent financial strategy.
This decision follows similar concerns expressed by local governments, including St. Petersburg, where leadership has criticized the program’s lack of transparency and faced legal challenges at the state level.
Additionally, the resolution includes a stipulation to conduct thorough financial analyses before any electric vehicles are added to the county fleet. Commissioners are also set to re-evaluate the county’s clean energy objectives and redirect available funds that were previously allocated to the Duke program. While the resolution was broadly supported, Commissioner René Flowers voiced her dissent, emphasizing the need for a comprehensive discussion on clean energy strategies in light of evolving federal policies.
As the county prepares to delve into this new phase of energy policy discussions, it aims to continue exploring sustainable alternatives while ensuring fiscal responsibility. The move reflects a growing trend among local governments to scrutinize energy contracts and seek more effective partnerships in the push towards cleaner energy solutions.
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