Florida energy market initiative moves forward; still needs more than 687,000 signatures to qualify for 2020 ballot


The Florida Changes to Energy Market Initiative (Initiative #18-10) is headed to the state supreme court for a ballot language review after sponsors submitted over 79,000 valid preliminary signatures. Citizens for Energy Choices, the sponsors of the measure, call it the Florida Energy Choice Initiative. The measure would give customers “the right to choose their electricity provider” and allow them to generate and sell electricity.
 
The measure would amend the state constitution to declare that it is the policy of the state of Florida that “its wholesale and retail electricity markets be fully competitive so that electricity customers are afforded meaningful choices among a wide variety of competing electricity providers.”
 
As of January 31, 2019, the Florida Division of Elections reported that Citizens for Energy Choices had submitted 79,132 valid preliminary signatures, triggering a court review of the initiative’s ballot language and compliance with the state’s single-subject rule. To qualify for the 2020 ballot, at least 766,200 signatures need to be collected and verified with a recommended submission deadline of January 1, 2020.
 
The initiative itself would not directly change the structure of the state’s electric-power retail market. Rather, the amendment would declare that the state’s policy is to establish an open and competitive market for electric-power; provide consumers of investor-owned utility companies with the right to choose providers on a competitive wholesale and retail electric market and to produce electricity for themselves; and require the Florida State Legislature to pass laws to implement the amendment.
 
According to reports available as of January 31, 2019, Citizens for Energy Choice reported $1.14 million in contributions, all from Coalition for Energy Choice, Inc. The committee reported $574,080.39 in total expenditures. Of the total expenditures, $546,500 was expended to Ballot Access LLC and Linjen Corp for signature gathering. The average cost of a successful initiative in Florida was $4.15 million in 2016 and $4.59 million in 2018. The average total cost for qualifying a statewide initiative or veto referendum for the ballot in 2018 across the country was between $1.1 million and $1.2 million. In 2016, the average cost was $1.03 million.
 
On its website, Citizens for Energy Choice argued, “Florida has the second-highest electricity usage in the country, so it can be a major expense for homes and businesses alike. But of America’s seven largest states, Florida is the only one that doesn’t allow consumers to choose their own electricity providers. With choice, Florida can save more than $5 billion every year. This economic advantage would help keep Florida a leader among the country’s most populous states. Enacting energy choice in Florida will lower energy bills for all Floridians, expand clean energy options, and improve the reliability of infrastructure.”
 
Opponents of the measure include the Florida Chamber of Commerce, Associated Industries of Florida, and Florida Power and Light. Associated Industries of Florida President and CEO Tom Feeney said, “We believe deregulation would have a detrimental impact on Florida’s businesses and citizens in the form of increased cost of electricity and market uncertainty. Deregulating Florida’s electric utility industry would create inefficient and uneven services throughout the state, causing major chaos when a natural disaster strikes.”
 
This Florida amendment contains very similar provisions to Nevada Question 3 of 2018, which supporters also referred to as the Energy Choice Initiative. The question needed to be approved at two successive general elections but was defeated at the second general election it faced in 2018. Nevada Question 3 was one of the top ten most expensive ballot initiatives in 2018 and was the measure with the highest cost-per vote– $100.85 was raised per vote for or against Nevada Question 3. In total, $33.4 million was raised in support of the measure and $63.9 million was raised in opposition to it.