Florida Public Service Commission native order document 07090-2026

Order No. PSC-2026-0346-PAA-EGFlapubserv

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FILED 9/30/2026
DOCUMENT NO. 07090-2026
FPSC 	- COMMISSION CLERK
BEFORE THE FLORIDA PUBLIC SERVICE COMMISSION
In re: 	Joint petition for approval of updates to
residential conservation programs, by Florida
Public Utilities Company and Florida City Gas.
DOCKET NO. 20260063-EG
ORDER NO. PSC-2026-0346-PAA-EG
ISSUED: September 30, 2026
The following Commissioners participated in the disposition of this matter:
GABRIELLA PASSIDOMO SMITH, Chairman
GARY F. CLARK
MIKE LA ROSA
BOBBY PAYNE
ANA ORTEGA
NOTICE OF PROPOSED AGENCY ACTION
ORDER APPROVING UPDATED RESIDENTIAL
NATURAL GAS CONSERVATION PROGRAMS
BY THE COMMISSION:
NOTICE 	is 	hereby 	given by 	the 	Florida 	Public 	Service Commission 	that 	the 	action
discussed herein 	is preliminary 	in nature and will become 	final unless a person whose 	interests
are 	substantially affected 	files a 	petition 	for a formal proceeding, pursuant 	to Rule 	25-22.029,
Florida Administrative Code (F.A.C.).
BACKGROUND
On 	April 	16, 	2026, 	Florida 	Public 	Utilities Company (FPUC) 	and 	Florida 	City Gas
(FCG) 	(hereinafter the Companies) 	filed a joint petition 	for approval of program modifications
and addition of a new program offering to the Companies’ natural gas conservation programs for
residential 	customers. FPUC 	and FCG 	share 	a 	parent 	company, 	Chesapeake 	Utilities
Corporation, and seek to consolidate overlapping programs for consistency and to utilize existing
delivery infrastructure. Pursuant to Sections 366.80-366.83 and 403.519, Florida Statutes 	(F.S.),
the 	Florida 	Energy 	Efficiency 	and 	Conservation Act (FEECA), 	the 	Florida 	Public 	Service
Commission (Commission) has the authority to oversee natural gas conservation programs. The
Commission most recently approved modifications 	to the 	residential gas conservation programs
for the Companies 	in 20 10. 1
We have jurisdiction over 	this matter pursuant 	to 	Sections 	366.80 through 366.83 	and
403.519, F.S.
1Order No. PSC-10-0551-PAA-EG, issued September 	2, 2010, 	in Docket No. 20100186-EG, In 	re: Petition for
approval of natural gas residential energy conservation programs, by Associated Gas Distributors of Florida.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 2
DECISION
In its April 16, 2026, petition, the Companies requested approval for: (1) modification
and renaming of their existing residential customer energy survey programs to Efficiency First;
(2) a new residential low-income program, Efficiency for All; (3) and modifications to their
existing residential customer rebates for the New Construction, Existing Customer Retention,
and Electric-to-Gas Replacement (Retrofit) programs. On July 24, 2026, the Companies filed a
second revised petition which updated values in the cost-effectiveness calculations.2 Per the
petitions, the Companies’ proposed program modifications are based upon shifting market
conditions, equipment costs, and efficiency standards. In addition, standardizing the programs
amongst the Companies allows for administrative efficiency.
Although the Companies are not subject to FEECA, both voluntarily offer gas programs
under FEECA. Therefore, pursuant to Rule 25-17.015, Florida Administrative Code (F.A.C.), the
Companies may recover the costs associated with implementing approved programs.
Efficiency First Program
The Companies’ existing Residential Customer Survey program was intended to provide
customers with a cost-free energy audit in accordance with Rule 25-17.003, F.A.C. Through this
program, participating customers may have their residence surveyed by utility personnel or an
approved contractor who will identify personalized energy saving measures for the customer’s
needs. The Efficiency First program modifies the Residential Customer Survey program by
adopting an online self-service model that allows customers the option to complete an online
survey that assesses energy usage and provides personalized recommendations for energy saving
improvements rather than require an in-home survey. Upon completion of the survey, customers
would be provided a weatherization kit for self-installation and a smart home energy kit upon
verification of the previous kit’s installation to further incentivize energy saving measures.
Weatherization kits include weatherization and water conservation measures such as a high-
efficiency showerhead, faucet aerators, pipe insulation, and foam weatherstripping. The smart
home energy kits provide additional conservation measures such as a smart thermostat, a five-
minute shower timer, and a hot water gauge card. The Companies provided a program
participation forecast, anticipating approximately 150 participating customers by the end of
2027, with an additional 50 customers annually as program awareness and customer engagement
increases. These modifications mirror those previously approved for FPUC’s electric Efficiency
First Program.3
We find that the Efficiency First program furthers the goals of FEECA. Pursuant to
Section 366.82, F. S., and Rule 25-17.003, F.A.C., utilities are required to offer energy audits to
residential customers, which the Companies will conduct through the Efficiency First Program.
FEECA emphasizes reducing the growth rate of peak demand and electricity usage and
increasing the efficiency of the production and use of electricity and natural gas, and customers
2 Document No. 04651-2026, filed July 24, 2026, in Docket No. 20260026-GU.
3 Order No. PSC-2025-0091-PAA-EG, issued March 24, 2025, in Docket No. 20240170-EG, In re: Petition for
approval of proposed demand-side management plan, by Florida Public Utilities Company.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 3
that 	participate 	in 	the 	program 	benefit 	through 	increased 	knowledge 	of 	conservation
opportunities and possible rebates on energy saving equipment, and direct benefits from energy-
saving equipment provided in the weatherization kits, resulting in potential bill reduction.
Efficiency for All Program
The proposed Efficiency for All program is designed to deliver weatherization measures
to households that lack the financial means to participate in other programs. Similar to the
Efficiency First program, eligible customers enroll by completing an online survey and, upon
completion, are provided a weatherization kit and smart home energy kit. Unlike the Efficiency
First program, Efficiency for All participants will have provided kits installed by contractors in
neighborhood-based 	rollouts. 	Program 	participation 	is 	limited 	to 	low-income 	housing
developments, multifamily buildings, or similar residential complexes, with administrative
approval from building owners, with priority given to communities with the greatest need and
readiness to participate. The Companies provided a program participation forecast, anticipating
approximately 100 participating customers by the end of 2027, with an additional 50 customers
annually as program awareness and customer engagement increases. The new program for the
Companies mirrors the previously approved Efficiency First program for FPUC’s electric.4
We find that the Efficiency for All program furthers the goals of FEECA. Low-income
customer participation in energy conservation programs, such as the Efficiency for All program,
furthers the intent of FEECA by encouraging potential demand and energy reduction in Florida.
Customers that participate in the program benefit through increased knowledge of conservation
opportunities and possible rebates on energy saving equipment, and direct benefits from energy-
saving equipment provided in the weatherization kits, resulting in potential bill reduction.
Residential Rebate Programs
The Companies also requested to modify three residential conservation rebate programs,
which will now be known as New Construction, Existing Customer Retention, and Electric-to-
Gas Replacement (Retrofit). These replace the Full House Residential New Construction,
Residential Appliance Retention, and Residential Appliance Replacement programs, which were
last changed in 2010.5 The Companies’ proposed modifications to increase rebates for appliances
are based upon current market conditions.
The Companies proposed modifying their residential conservation strategies, which are
centered around the New Construction, Existing Customer Retention, and Electric-to-Gas
Replacement (Retrofit) rebate programs. The Companies indicate: (1) the New Construction
rebates encourage gas adoption from partnerships with builders; (2) the Retention rebates reward
customers who upgrade to high-efficiency or ENERGY STAR-rated systems; and (3) the
4 Id.
5 Order No. PSC-10-0551-PAA-EG, issued September 2, 2010, in Docket No. 20100186-EG, In re: Petition for
approval of natural gas residential energy conservation programs, by Associated Gas Distributors of Florida.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 4
Replacement/Retrofit rebates offset electric-to-gas conversion costs. Table 1 below shows the
proposed 	changes 	to 	the 	New 	Construction, 	Retention, 	and 	Retrofit 	rebate 	programs,
respectively.6
Table 0
Residential Rebate Program Changes
Appliance/Program Current
Rebate ($)
Proposed
Rebate ($)
Difference
($)
Residential New Construction
Water Heating – Tankless 	$550 	$850 	$300
Water Heating – Tank 	$350 	$700 	$350
Water Heating – ENERGY STAR/High-Efficiency 	$400 	$750 	$350
Furnace 	$500 	$700 	$200
Cooking Equipment 	$150 	$315 	$165
Clothes Dryer 	$100 	$200 	$100
Residential Existing Customer Retention
Water Heating – Tankless 	$550 	$600 	$50
Water Heating – Tank 	$350 	$400 	$50
Water Heating – ENERGY STAR/High-Efficiency 	$400 	$450 	$50
Furnace 	$500 	$550 	$50
Cooking Equipment 	$100 	$315 	$215
Clothes Dryer 	$100 	$175 	$75
Residential Electric-to-Gas Replacement
Water Heating – Tankless 	$675 	$750 	$75
Water Heating – Tank 	$500 	$600 	$100
Water Heating – ENERGY STAR/High-Efficiency 	$550 	$700 	$150
Furnace 	$725 	$725 	$0-
Cooking Equipment 	$200 	$315 	$115
Clothes Dryer 	$150 	$200 	$50
The Companies presented a program participation forecast for the expected participation
trends across the New Construction, Retention, and Replacement/Retrofit rebate programs. By
the end of 2027, the Companies anticipate approximately 11,420 participants in the New
Construction program, 3,940 participants in the Existing Customer Retention program, and 840
participants 	in 	the 	Electric-to-Gas 	Replacement 	program. 	The 	Companies 	then 	expect
participation in each rebate program to grow at a 1.5 percent annual growth rate.
One objective of FEECA is to facilitate our consideration of the need for incentives to
promote 	customer-owned 	energy 	efficiency 	when 	establishing 	energy 	conservation 	goals.
Although FCG and FPUC are not subject to FEECA, their residential conservation rebate
6 In subsequent filings dated June 16, 2026, and July 24, 2026, the Companies revised their proposed rebates for the
Cooking Equipment programs. The rebate values presented herein reflect the most recent modifications included in
those filings.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 5
programs provide direct energy and cost savings associated with the installation of more efficient
natural gas appliances.
Cost-Effectiveness Review
As required by Rule 25-17.009, F.A.C., the Companies provided a cost-effective analysis
of the proposed program using the Gas Rate Impact Measure (G-RIM) Test and Participants
Tests. These tests consist of the program benefits divided by the program costs, so that programs
are determined to be cost-effective if the result of the test is a ratio greater than 1.00. We
reviewed the cost-effectiveness analysis conducted for each program and found that the data
sources were reasonable, and the tests were conducted as instructed by Rule 25-17.009, F.A.C.
Efficiency First and Efficiency for All Programs
The Companies selected AM Conservation Group to supply the weatherization and smart
home energy kits for both the Efficiency First and Efficiency for All programs to standardize kit
contents and costs. Franklin Energy Services was selected to coordinate customer enrollment,
verification of customer self-installation, and participation reporting for the Efficiency First
program based on the existing contract supporting the 2025 electric conservation portfolio. The
Efficiency for All program will utilize qualified third-party contractors for verification and
installation service for eligible low-income participants.
Based on the Companies’ analysis, both the Efficiency First program and the Efficiency
for All program pass the Participants Test because both the weatherization kit and smart home
energy kit are provided to eligible customers at no cost. However, neither program passes the G-
RIM test. We note these results are similar to FPUC’s previously approved electric Efficiency
First and Efficiency for All programs.7
As described previously, the Efficiency First program and the Efficiency for All program
serve as customer education and engagement programs rather than traditional load reduction
programs. Therefore, we find that the Efficiency First and the Efficiency for All programs further
the goals of FEECA and should be approved despite failing the G-RIM test. We also note that we
have 	previously 	approved 	electric 	conservation 	programs 	that 	have 	not 	passed 	all 	cost-
effectiveness tests to comply with the requirements of Order No. PSC-14-0696-FOF-EU to assist
and educate low-income customers.8
7 See Order No. PSC-2025-0091-PAA-EG, issued March 24, 2025, in Docket No. 20240170-EG, In re: Petition for
approval of proposed demand-side management plan, by Florida Public Utilities Company.
8 See Order No. PSC-15-0331-PAA-EG, issued August 19, 2015, in Docket No. 20150085-EG, In re: Petition for
approval of Florida Power & Light Company's demand-side management plan and request to cancel closed on call
tariff sheets.; and Order No. PSC-14-0696-FOF-EU, issued December 16, 2014, in Docket No. 20130199-EI, In re:
Commission review of numeric conservation goals (Florida Power & Light Company).
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 6
Residential Rebate Programs
To perform the cost-effectiveness calculations for the residential rebate programs, the
Companies commissioned outside utility consultant Tactical Energy Solutions, LLC (Tactical
Energy Solutions). The analysis was conducted using a comprehensive cost-effectiveness
assessment tool developed by the Florida Solar Energy Center at the University of Central
Florida. 	The 	tool 	utilizes 	utility 	rate 	structures, 	service-main 	and 	customer-charge 	data,
administrative and operation and maintenance expenses, depreciation, program implementation
costs, equipment performance and installation costs, fuel-rate assumptions, and avoided cost
calculations for performing the Participants and G-RIM Tests based on a 20-year analysis period.
Electric rate structures from Florida Power & Light, Duke Energy, and Tampa Electric
Company, originating from each company’s rate tariffs, were used to calculate both the
numerical 	and 	weighted 	average 	costs 	of 	electricity 	for 	residential 	(RS-1) 	customers.
Additionally, natural gas rates from FPUC and FCG were used to calculate the numerical and
weighted average costs of gas for RS-1 customers. Connection charges were not included in the
analysis. Natural gas cost data was provided by the Companies and Tactical Energy Solutions.
Program implementation and equipment installation costs were also provided by Tactical Energy
Solutions. The appliance average service lives originated from the March 2023 Updated
Buildings Sector Appliance and Equipment Costs and Efficiencies Report by the U.S. Energy
Information Administration. The equipment costs were referenced from a range of sources.
Based on the cost-effectiveness test results presented in Table 2 below for the New
Construction, Existing Customer Retention, and Electric-to-Gas Replacement (Retrofit) rebate
programs, respectively, each appliance for each rebate program passed the Participants and G-
RIM Tests with scores greater than 1.0. As such, the Companies’ proposed modifications to the
residential conservation rebate programs are both cost-effective and beneficial to its participating
customers.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 7
Table 2
Cost-Effectiveness Test Results
Appliance/Program Participants
Test
G-RIM
Test
Residential New Construction
Water Heating – Tankless 	3.430 	1.260
Water Heating – Tank 	2.070 	1.340
Water Heating – ENERGY STAR/High-Efficiency 	2.620 	1.200
Furnace 	1.730 	1.050
Cooking Equipment 	1.320 	1.024
Clothes Dryer 	1.802 	1.015
Residential Existing Customer Retention
Water Heating – Tankless 	3.360 	1.460
Water Heating – Tank 	1.990 	1.600
Water Heating – ENERGY STAR/High-Efficiency 	2.520 	1.470
Furnace 	1.655 	1.215
Cooking Equipment 	1.342 	1.049
Clothes Dryer 	1.778 	1.119
Residential Electric-to-Gas Replacement
Water Heating – Tankless 	3.400 	1.310
Water Heating – Tank 	2.040 	1.390
Water Heating – ENERGY STAR/High-Efficiency 	2.610 	1.230
Furnace 	1.740 	1.040
Cooking Equipment 	1.320 	1.027
Clothes Dryer 	1.802 	1.020
Ratepayer Impact
The Companies provided potential customer rate impacts under an Energy Conservation
Cost Recovery (ECCR) scenario analysis. The purpose of the ECCR scenario analysis was to
explore how program consolidation and existing infrastructure could be leveraged to yield
administrative efficiency gains to reduce the overall program cost impacts as program scale
increases. 	The 	ECCR 	charge 	impacts 	resulting 	from 	various 	efficiency 	gains 	reflect
administrative cost reductions associated with consolidation, standardized program design, and
the use of existing delivery infrastructure. The Companies estimated the collective incremental
program costs savings assuming 0 percent, 5 percent, and 10 percent efficiency improvements
for administrative costs.
Under 	the 	scenario 	with 	no 	efficiency 	improvements, 	the 	modified 	residential
conservation programs are expected to result in incremental annual program costs of up to
approximately $35,000 for Efficiency First, $45,000 for Efficiency for All, and $2,428,000 in
rebates for all three residential rebate programs combined. The programs would have an
estimated incremental net impact of $3.81/year for a residential customer using 10 therms/month.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 8
Under the highest efficiency scenario, 10 percent, the Companies estimated a net incremental
cost of $1,910,995, and an impact of $3.00/year for a typical residential customer.
Conclusion
We find that the Companies’ residential program modifications be approved as they
further the goals of FEECA. The administrative changes to the residential survey program
Efficiency First and low-income program Efficiency for All will educate customers and provide
resources to improve energy efficiency, while the rebates for the residential appliance programs
will encourage direct efficiency measures.
Based on the foregoing, it is
ORDERED by the Florida Public Service Commission that the Joint Petition of Florida
Public Utilities Company and Florida City Gas for Approval of Updates to Residential
Conservation Programs is approved. It is further
ORDERED that the provisions of this Order, issued as proposed agency action, shall
become final and effective upon the issuance of a Consummating Order unless an appropriate
petition, in the form provided by Rule 28-106.201, Florida Administrative Code, is received by
the Commission Clerk, 2540 Shumard Oak Boulevard, Tallahassee, Florida 32399-0850, by the
close of business on the date set forth in the "Notice of Further Proceedings" attached hereto. It is
further
ORDERED that in the event this Order becomes final, this docket shall be closed.
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 9
By ORDER of the Florida Public Service Commission this 30th day of September , 2026 	.
ADAM TEfrZ^A^
Commission Clerk
Florida Public Service Commission
2540 Shumard Oak Boulevard
Tallahassee, Florida 32399
(850)413-6770
www.floridapsc.com
Copies 	furnished: A copy 	of 	this 	document 	is
provided 	to 	the 	parties of record 	at 	the 	time 	of
issuance and, 	if applicable, interested persons.
TPS
ORDER NO. PSC-2026-0346-PAA-EG
DOCKET NO. 20260063-EG
PAGE 10
NOTICE OF FURTHER PROCEEDINGS OR JUDICIAL REVIEW
The Florida Public Service Commission is required by Section 120.569(1), Florida
Statutes, to notify parties of any administrative hearing or judicial review of Commission orders
that is available under Sections 120.57 or 120.68, Florida Statutes, as well as the procedures and
time limits that apply. 	This notice should not be construed to mean all requests for an
administrative hearing or judicial review will be granted or result in the relief sought.
As identified in the body of this order, our action proposed herein approving the Joint
Petition of Florida Public Utilities Company and Florida City Gas for Approval of Updates to
Residential Conservation Programs is preliminary in nature. 	Any person whose substantial
interests are affected by the action proposed by this order may file a petition for a formal
proceeding, in the form provided by Rule 28-106.201, Florida Administrative Code. This petition
must be received by the Office of Commission Clerk, at 2540 Shumard Oak Boulevard,
Tallahassee, Florida 32399-0850, by the close of business on October 21, 2026. 	If such a
petition is filed, mediation may be available on a case-by-case basis. If mediation is conducted,
it does not affect a substantially interested person's right to a hearing. 	In the absence of such a
petition, this order shall become effective and final upon the issuance of a Consummating Order.
Any objection or protest filed in this docket before the issuance date of this order is
considered abandoned unless it satisfies the foregoing conditions and is renewed within the
specified protest period.
Any party adversely affected by the Commission's final action in this matter may request:
(1) reconsideration of the decision by filing a motion for reconsideration with the Office of
Commission Clerk, within fifteen (15) days of the issuance of this order in the form prescribed
by Rule 25-22.060, Florida Administrative Code; or (2) judicial review by the Florida Supreme
Court in the case of an electric, gas or telephone utility or the First District Court of Appeal in
the case of a water or wastewater utility by filing a notice of appeal with the Office of
Commission Clerk and filing a copy of the notice of appeal and the filing fee with the
appropriate court. This filing must be completed within thirty (30) days after the issuance of this
order, pursuant to Rule 9.110, Florida Rules of Appellate Procedure. The notice of appeal must
be in the form specified in Rule 9.900(a), Florida Rules of Appellate Procedure.

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