Bielarski: Fact or Fiction, Part 8

Letter to the editor

Are GRU customers better off now than when the City Commission governed GRU?

In 1980, Ronald Reagan asked the nation, “Are you better off than you were four years ago?” The same question can be applied today to GRU customers. But unlike Reagan, I am confident you are better off today, under GRU Authority governance. Following are a few of the reasons why. 

Savings from natural gas prepayment arrangements

Under the leadership of the GRU Authority, GRU has entered into a series of natural gas prepayment arrangements guaranteeing discounts totaling more than $5 million a year over a minimum of 5 years on future purchases of natural gas. These purchases supply our power plants and customers. 

When presented with the same opportunity in 2019, the City Commission refused to enter into these arrangements, giving away millions of dollars that could have reduced customer bills.

Reductions in residential customers’ 1,000 kWh bills

The GRU Authority has reduced customer bills. As of August 2025, the average monthly 1,000 kWh residential electric bill has fallen from $152.35 to $136.60, or 11%, during a period of high inflation.

No increases in electric base rates over past two years

The Authority’s decisions to forgo electric base rate increases has brought GRU’s average residential bills closer to the middle of the pack among Florida utilities. Whereas the average municipal electric bill fell from $124.57 to $123.79, a drop of less than 1%, GRU customer bills have fallen 11%.

Additional Debt Reduction

The City Commission oversaw a $12 million accelerated reduction in debt over the four-year period between fiscal years 2020 through 2023; conversely, the GRU Authority has overseen a $66 million reduction over a two-year period between fiscal years 2024 and 2025.

Reduced the general fund transfer burdening GRU

The GRU Authority voted to reduce the annual transfer of GRU profits to the City from $15 million to $8 million (a reduction of $6.8 million a year for 10 years) to recoup $68 million the City had taken from GRU in excess of profits between fiscal years 2018 through 2021.

Extended a lower-priced rate tier

The GRU Authority extended the prior 850 kWh-per-month rate to 1,000 kWh-per-month, providing 60% of our customers with relief on their electric bills. 

Summary

These are a few examples of how the City Commission could have saved customers money but lacked the vision, desire, or business sense. Instead, under City Commission governance, GRU customers were subjected to:  

• One of the state’s largest-ever above-market power contracts in the $2.5 billion biomass deal;
• One of the largest debt buildups among public utilities, including JEA, which has four times the revenue;
• The highest electric rates in the state. 

Conversely, the GRU Authority is:  

• Extending the life of GRU’s power generating assets, not unlike how our customers might extend the life of their cars or home appliances; 
• Aggressively paying down debt, like our customers paying down credit cards;
• Reducing payments it can’t afford to pay the City as we achieve middle-of-the-pack status on our electric bills.

GRU CEO Ed Bielarski, Gainesville

Click here to read Part 1 in the series.

Click here to read Part 2 in the series.

Click here to read Part 3 in the series.

Click here to read Part 4 in the series.

Click here to read Part 5 in the series.

Click here to read Part 6 in the series.

Click here to read Part 7 in the series.

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