The City of St. Petersburg, Fla., recently issued a solicitation seeking the services of qualified experienced consulting firms to determine if it is in the city’s best interests to establish a city-owned municipal electric utility to replace Duke Energy Florida, an investor-owned utility.
In recent years, electric utility customers in St. Petersburg have expressed concerns about the IOU’s affordability, reliability, and transparency and have petitioned the city to perform a feasibility study to examine the viability of forming an MEU.
Duke Energy’s 30-year Franchise Agreement with the city expires in August 2026 but does not include a purchase option granting the city the right to acquire and operate Duke Energy’s local distribution system, the solicitation said.
The Phase 1 MEU Feasibility Study (base award) will include all work necessary to evaluate the financial, technical, operational, regulatory, and legal implications of transitioning to an MEU.
Phase 2
100% Renewable Powered MEU Comparison (optional award) will produce a comprehensive feasibility study assessing: (a) the technical, financial, regulatory, and operational viability of the City’s MEU generating its own 100% renewable energy, and (b) a comparison of that model with citywide participation in Duke Energy Florida’s Clean Energy Connection program.
The resulting report will guide the City’s strategic energy planning and decision-making. Phase 2 findings may require updates to the Phase 1 reports.
Phase 3
Phase 3 Alternative municipalization options, draft transition plan, public education and engagement (optional award) will include an evaluation of alternative municipalization options, development of a draft transition plan, and supporting the city in preparing clear, unbiased information for public education and engagement.
Phases 2 and 3 may be authorized at the city’s discretion.
The Deadline for Submittals is March 19, 2026 and the anticipated recommendation of award to City Council is June 4, 2026.
APPA offers a variety of resources on municipalization on its website.
