Citizens of the State of Florida v. Art Graham, etc.

This case is before the Court on appeal from three orders of the Florida Public Service Commission (PSC).1 The PSC approved the recovery of Florida Power and Light’s (FPL) costs incurred through its joint venture with an oil and natural gas company to engage in the acquisition, exploration, drilling, and development of nat*899ural gas wells in Oklahoma. The recovery as fuel costs paid by FPL’s customers in its utility rates were considered by the PSC to be a long-term physical hedge. Treating these activities as a hedge requires FPL’s end-user consumers to guarantee the capital. investment and…