Florida Public Service Commission native order document 10027-2024

FILED 11/25/2024
DOCUMENT NO. 10027-2024
FPSC - COMMISSION CLERK
BEFORE THE FLORIDA PUBLIC SERVICE COMMISSION
In re: Application for authority to issue and sell 	DOCKET NO. 20240138-EI
securities during 12 months ending December 	ORDER NO. PSC-2024-0483-FOF-EI
31, 2025, b 	Duke Ener 	Florida, LLC. 	ISSUED: November 25, 2024
The following Commissioners participated in the disposition of this matter:
MIKE LA ROSA, Chairman
ARTGRAHAM
GARY F. CLARK
ANDREW GILES FAY
GABRIELLA P ASSIDOMO SMITH
FINAL ORDER GRANTING DUKE ENERGY FLORIDA, LLC
AUTHORITY TO ISSUE AND SELL SECURITIES
BY THE COMMISSION:
Duke Energy Florida, LLC (DEF or Company) filed an application with the Florida
Public Service Commission ("Commission") on September 6, 2024, pursuant to Section 366.04,
Florida Statutes (F.S.), a nd Chapter 25-8, Florida Administrative Code (F .A.C.), for authority to
issue and/or se ll securities for the twelve-month fiscal period ending December 31, 2025 .
Notice 	of 	Duke 	Energy 	Florida, 	LLC 's 	application 	was 	given 	in 	the 	Florida
Administrative Register on October 21, 2024. A final hearing took place on November 5, 2024.
I. 	Proposed Transactions
Duke Energy Florida, LLC, respectfully requests authority from the Florida Public
Service Commission to issue, sell or otherwise incur during 2025 up to $1,500,000,000 of any
combination of equity securities and long-term debt securities and other long-term obligations
(exclusive of bank loans issued under the Company's long-term credit facilities as mentioned
below). Additionally, the Company requests authority to issue, se ll or otherwise incur during
2025 and 2026 up to $2,000,000,000 outstanding at any time of short-term debt securities a nd
other obligations, which amount shall be in addition to and in excess of the amount the Company
is authorized to issue pursuant to Section 366.04, Florida Statutes, which permits the Company
to issue short-term securities aggregating to not more than five percent of the par value of the
Company' s other outstanding securitie s. Short-term borrowings under this authority would most
likely consist of borrowings under the utility money pool and/or master credit facility in which
DEF is a participant along with the other utility subsidiaries of Duke Energy Corporation, or
through direct, pre-payable bank loans.

ORDER NO. PSC-2024-0483-FOF-EI
DOCKET NO. 20240138-EI
PAGE 2
In furtherance of this request for authority pursuant to Section 366.04, Florida Statutes,
the Company submits the following information in the manner and form described in Chapter
25-8, Florida Administrative Code, including the required Exhibits. In Order No. PSC-13-0193-
PAA-EI issued May 6, 2013, the Commission required DEF to submit a Risk Management Plan
for its interest rate derivative agreements (the “Plan”) with its annual petition to issue securities.
The Company currently holds $109 million in pollution control or solid waste disposal
bonds issued by Citrus County, Florida, which were originally offered and sold to the
public. 	Citrus County loaned the proceeds of such sale to the Company in return for its
obligation to pay interest and principal upon the bonds. 	The Company may choose to resell
such bonds to the public in the future prior to their maturity. 	From time to time, the Company
has redeemed certain outstanding first mortgage bonds and shares of its cumulative preferred
stock, but such bonds and shares are canceled upon redemption or reacquisition.
From time to time, the Company issues first mortgage bonds that are secured by the lien
of its Indenture, dated as of January 1, 1944 with The Bank of New York Mellon (formerly
JPMorgan Chase Bank, N.A.) as successor trustee, as supplemented by supplemental indentures
(the “Mortgage”). 	The Mortgage constitutes a first mortgage lien, subject only to permitted
encumbrances and liens, on substantially all of the fixed properties owned by the Company
except miscellaneous properties that are specifically excepted. 	After-acquired property is
covered by the lien of the Mortgage, subject to existing liens at the time such property is
acquired.
All 	of 	the 	Company’s 	outstanding 	LLC 	membership 	interests 	are 	owned 	by 	the
Company’s parent, Florida Progress Corporation. 	The Company has no other equity or debt
owned by affiliated corporations.
The Company seeks authority to issue and sell and/or exchange equity securities and
issue, sell, exchange and/or assume short-term or long-term debt securities and/or to assume
liabilities or obligations as guarantor, endorser or surety during the period covered by the
Application. 	The Company ultimately may issue any combination of the types of securities
described below, subject to the aggregate dollar limitations requested in this Application. The
kind and the nature of the securities that the Company seeks authority to issue and sell during
2025 (and 2026 with respect to short-term debt securities and obligations) are equity securities
and short-term and long-term debt securities and other obligations, including, but not limited to,
borrowings from banks that are participants in credit facilities the Company may establish from
time to time, uncommitted bank facilities, and affiliate loans which are available through the
utility money pool. 	The Company also seeks authority to enter into interest rate derivative
contracts intended to reduce financial risk, and/or costs associated with its existing and future
debt obligations.
The equity securities that the Company may issue include newly issued classes of LLC
membership interests or warrants, options or rights to acquire such securities, or other equity
securities, with such terms and conditions, and relative rights and preferences as are deemed

ORDER NO. PSC-2024-0483-FOF-EI
DOCKET NO. 20240138-EI
PAGE 3
appropriate by the Company and permitted by its LLC agreement, as they may be amended from
time to time.
Short-term debt securities and obligations may include loans from affiliates (via the
moneypool or other means) and bank loans, credit agreements, or other forms of securities and
debt obligations, with maturities of less than one year.
The long-term debt securities and obligations may take the form of first mortgage bonds,
debentures, medium-term notes or other notes, loans from affiliates and bank loans, installment
contracts, credit agreements, securitization of storm cost or other forms of securities and debt
obligations, whether secured or unsecured, with maturities greater than one year. In addition, the
Company may enter into options, rights, interest rate swaps, or other derivative instruments. The
Company also may enter into installment purchase and security agreements, loan agreements, or
other arrangements with political subdivisions of the State of Florida or pledge debt securities or
issue guarantees in connection with such political subdivisions’ issuance, for the ultimate benefit
of the Company, of pollution control revenue bonds, solid waste disposal revenue bonds,
industrial development revenue bonds, variable rate demand notes, or other “private activity
bonds” with maturities ranging from one to forty years, or bond anticipation notes. 	Such
obligations may or may not bear interest exempt from federal tax.
The 	Company 	also 	may 	enter 	into 	various 	agreements 	that 	provide 	financial 	or
performance assurances to third parties. These agreements include guarantees, standby letters of
credit, and surety bonds. 	Specific purposes of the agreements include supporting payments of
trade payables, securing obligations under private activity bonds, securing performance under
contracts and lease obligations, providing workers’ compensation coverage, obtaining licenses,
permits, and rights of way, and supporting other payments that are subject to contingencies.
The manner of issuance and sale of securities will be dependent upon the type of
securities being offered, the type of transaction in which the securities are being issued and sold,
and market conditions at the time of the issuance and sale. 	Securities may be issued through
negotiated underwritten public offerings, public offerings at competitive biddings, private sales
or sales through agents, and may be issued in both domestic and foreign markets. 	Credit
agreements may be with banks or other lenders.
Contemplated to be included as long-term or short-term debt securities, as appropriate,
are borrowings from banks and other lenders under the Company’s credit facilities, as those may
be entered into and amended from time to time. 	As of July 1, 2024 the Company has a $900
million borrowing sublimit under Duke Energy’s approximately $9.0 billion master credit
facility with a group of banks. 	Duke Energy Florida’s maximum borrowing sublimit under the
master credit facility is $1.35 billion, which provides liquidity and financial flexibility for DEF.
Borrowings under the facility are available for general corporate purposes. The current five-year
facility will expire on March 16, 2029.
The maximum principal amount of short-term securities and obligations proposed to be
issued, sold, or otherwise incurred during 2025 and 2026 is $2.0 billion outstanding at any time,
including bank loans or money pool borrowings, which amount shall be in addition to and in

ORDER NO. PSC-2024-0483-FOF-EI
DOCKET NO. 20240138-EI
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excess of the amount the Company is authorized to issue pursuant to Section 366.04, Florida
Statutes, which permits the Company to issue short-term securities aggregating not more than
five percent of the par value of the Company’s other outstanding securities. 	The maximum
principal amount of equity securities, long-term debt securities and other long-term obligations
(exclusive of bank loans issued under the Company’s long-term credit facilities as mentioned
above) proposed to be issued, sold, or otherwise incurred during 2025 is $1.5 billion.
In connection with this Application, the Company confirms that the capital raised
pursuant to this Application will be used in connection with the regulated activities of the
Company and not the unregulated activities of its unregulated affiliates.
The Company will file a consummation report with the Commission in compliance with
Rule 25-8.009, Florida Administrative Code, within 90 days after the close of the 2025 calendar
year to report any securities issued during that year and to report the interest rate hedging
activities for the previous year per Florida Public Service Commission Order No. PSC-13-0193-
PAA-EI.
The Company’s current estimate of the potential range of interest rates for securities
proposed to be issued by the Company is as follows:
1. 	10-year to 30-year A- rated senior unsecured debt: 	4.50% − 6.00%
2. 	10-year to 30-year A rated first mortgage bonds: 	4.25% − 5.75%
3. 	Borrowings through the Duke Energy utility money pool: 	3.25% − 6.00%
The actual rates to be paid by the Company on securities issued will be determined by the
market conditions at the time of issuance.
II. 	Purpose of Issuance
The net proceeds to be received from the sale of the additional securities will be added to
the Company’s general funds and may be used to provide additional electric facilities during
2025 pursuant to the Company’s construction program, to repay maturing long-term debt or
short-term debt, to refund, retire or redeem existing obligations, or for other corporate purposes.
The Company’s construction program is developed from its long-range plan to determine
needed capital investments. 	While the final 2025 construction budget is not yet available, the
Company’s most recently approved construction expenditures forecast for 2025, excluding
Allowance for Funds Used During Construction (“AFUDC”), is approximately $2.5 billion.
These construction estimates are subject to periodic review and revision to adjust for changes in
such factors as economic conditions, environmental requirements, regulatory matters and
customer usage patterns.

ORDER NO. PSC-2024-0483-FOF-EI
DOCKET NO. 20240138-EI
PAGE 5
III. 	Conclusion
Based on the reasons shown above, the Company submits that the proposed financings
are consistent with proper performance by the Company of its service as a public utility, will
enable and permit the Company to perform that service, are compatible with the public interest
and are reasonably necessary and appropriate for such purposes.
Our approval of the proposed issuance and/or sale of securities does not indicate specific
approval of any rates, terms, or conditions associated with the issuance. Such matters are
properly reserved for our review within the context of a rate proceeding. Our approval of the
issuance of securities constitutes approval only as to the legality of the issue. In approving the
subject financing, we retain the right to disallow any of the costs incurred for ratemaking
purposes.
Based on the foregoing, it is
ORDERED by the Florida Public Service Commission that the request of Duke Energy
Florida, LLC for authority to issue and/or sell securities during the twelve months ending
December 31, 2025, is hereby granted. It is further
ORDERED that Duke Energy Florida, LLC is authorized to issue, sell, or otherwise incur
during 2025 up to $1.5 billion of any combination of equity securities and long-term debt
securities and other long-term obligations is hereby granted. It is further
ORDERED that Duke Energy Florida, LLC is authorized to issue, sell, or otherwise incur
during 2025 and 2026 up to $2.0 billion outstanding at any time of short-term debt securities and
other obligations is hereby granted. It is further
ORDERED that Duke Energy Florida, LLC will file a Consummation Report in
accordance with Rule 25-8.009, Florida Administrative Code, and Florida Public Service
Commission Order No. PSC-13-0193-PAA-EI within 90 days after the close of the 2025
calendar year. It is further
ORDERED that this docket shall remain open to monitor the issuance and/or sale of
securities until Duke Energy Florida, LLC submits and Commission staff has reviewed the
Consummation Report, at which time it shall be closed administratively.

ORDER NO. PSC-2024 -0483 -FOF- EI
DOCKET NO. 20240 13 8-EI
PAGE6
By ORDER of the F lo rida Public Service Commission this 25t h day of Novembe r, 2024.
TPS
ADAM J. / ETTZ
Comm ission C ler!<
Florida Public Serv ice Commission
2540 Shumard Oak Boulevard
Ta ll aha ssee , Florida 32399
(850) 413-6770
www.floridapsc.com
Cop ies furni shed: 	A copy of this document is
provided to the parties of record at the time of
issuance and, if applicable, interested persons.

ORDER NO. PSC-2024-0483-FOF-EI
DOCKET NO. 20240138-EI
PAGE 7
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.
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, 2540 Shumard Oak Boulevard, Tallahassee, Florida 32399-0850, 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 and/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.