California-backed progressive groups want Tallahassee to accelerate its transition from natural gas to renewable energy; recent examples highlight the potential cost to electric utility customers.
Tallahassee City Commissioner Jeremy Matlow and his progressive allies are promoting a faster transition from natural gas to renewable energy, a policy supported by California-based political organizations endorsing their campaigns. However, the potential impact on electric rates has received considerably less attention.
The debate raises an important question for Tallahassee residents: Will an accelerated transition to renewable energy result in higher monthly electric bills?
Matlow, who is running for mayor, has argued that renewable energy can lower electricity costs. However, the experience of other utilities demonstrates that transitioning away from fossil fuels can involve significant capital investments, financing costs and long-term financial commitments.
(Editor’s note: Commissioner Matlow has publicly stated that city can transition to renewable energy and lower electric rates. We have asked for examples of other municipal utilities successfully implementing this transition and we have yet to receive a response.)
The issue is particularly important in Tallahassee, where natural gas is the primary fuel used to generate electricity.
California Groups Back Progressive Candidates
Lead Locally, a California-based organization supporting progressive candidates, has endorsed Matlow for mayor and Dot Inman-Johnson and P.J. Perez for City Commission.
The organization has called for Tallahassee to rapidly transition to clean energy.
Matlow has also received an endorsement from the Jane Fonda Climate PAC, an organization supporting candidates committed to reducing dependence on fossil fuels.
These endorsements highlight the importance of energy policy to the progressive movement seeking greater control of Tallahassee’s municipal government.
However, the central financial question remains largely unanswered: How much would an accelerated transition cost, and who would pay?
A 2024 Vote Reveals the Policy Divide
The disagreement over natural gas is not new.
At the February 7, 2024, City Commission meeting, Matlow and Commissioner Jack Porter voted against extending a natural gas pipeline capacity contract with Florida Gas Transmission Company.
The proposed extension involved approximately $4 million in budgeted utility operating expenditures and would secure pipeline capacity for another 10 years.
According to the city’s agenda materials, the contract represented approximately 26% of Tallahassee’s natural gas usage.
Utility officials warned that rejecting the extension would leave the city without sufficient natural gas capacity to meet existing electric and gas utility customer demands.
The agenda also stated that projected natural gas requirements demonstrated a clear need for the capacity through 2035.
Rather than approve the extension, Matlow proposed reviewing the city’s four energy contracts and examining alternatives to natural gas in connection with the city’s clean energy goals.
Porter supported the proposal.
The substitute motion failed 2-3, with Matlow and Porter voting in favor.
The original contract extension subsequently passed 3-2, with both commissioners opposed.
The vote provides a documented example of Matlow and Porter prioritizing a review of alternatives to natural gas despite utility staff’s stated concerns about maintaining adequate fuel supplies. During the discussion Matlow stated, “there are renewable energies we can import.”
Gainesville’s $2 Billion Warning
A Florida example illustrates the potential financial consequences of aggressive renewable energy policies.
Gainesville Regional Utilities pursued renewable electricity through a 102.5-megawatt biomass generating facility that began operating in 2013. The plant was designed to supply as much as 30% of the utility’s electricity.
The original 30-year power purchase agreement carried an estimated $2.4 billion financial obligation, according to a 2026 Gainesville presentation.
The agreement required substantial annual payments even when the facility was not generating electricity.
As natural gas prices declined, the biomass arrangement became increasingly expensive compared with conventional generation.
In 2017, Gainesville purchased the facility for approximately $750 million to escape the remaining contractual obligations, which would have totaled roughly $2 billion. The purchase was expected to reduce future costs compared with keeping the original agreement.
Gainesville’s experience demonstrates how long-term commitments made to accelerate renewable energy adoption can create enormous financial exposure for utility customers.
New England’s Natural Gas Lesson
Another warning comes from New England, where restrictions on natural gas pipeline expansion have contributed to higher electricity costs.
According to ISO New England’s market monitoring reports, limited pipeline capacity has increased natural gas prices during periods of high demand, contributing to higher wholesale electricity prices.
In 2025, New England’s wholesale electricity costs increased approximately 48%, reaching $15 billion. Higher natural gas prices were a major factor.
The region has also expanded renewable generation, but its experience demonstrates that reducing access to natural gas infrastructure before adequate alternatives are available can expose consumers to additional costs.
The Missing Cost Analysis
Renewable energy advocates correctly point out that solar generation has no fuel expense and can reduce exposure to volatile natural gas prices.
But solar facilities require upfront investment, and replacing dispatchable natural gas generation can require battery storage, transmission improvements and backup power supplies.
For Tallahassee, the critical issue is not whether renewable energy should play a greater role in electricity generation. The city has already invested in solar energy and established long-term clean energy goals.
The question is whether accelerating that transition would produce savings sufficient to offset the additional investments.
Before committing Tallahassee to a faster transition away from natural gas, residents should know the projected capital costs, financing requirements, reliability implications and anticipated effect on monthly electric bills.
For the California organizations endorsing Tallahassee’s progressive candidates, the priority is accelerating the transition away from fossil fuels. For Tallahassee ratepayers, the priority may be considerably simpler: keeping electricity affordable and reliable.
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