JEA
Encyclopedia
JEA located in Jacksonville, Florida
Jacksonville, Florida
Jacksonville is the largest city in the U.S. state of Florida in terms of both population and land area, and the largest city by area in the contiguous United States. It is the county seat of Duval County, with which the city government consolidated in 1968...

, is the eighth largest community-owned electric utility company in the United States and largest in Florida. As of 2009, JEA serves more than 417,000 electric customers, 305,000 water customers and 230,000 sewer customers. Besides Jacksonville (Duval County), JEA also has customers in Clay, Nassau and St. Johns counties.

History

The City of Jacksonville established an electric system in 1895. The electric system grew with the city, but remained a department of city government until an independent authority was created by the consolidation of city and county governments in 1967. During the 1970s, JEA's electric rates were among the highest in the nation. There were reports of customers with electric bills higher than their mortgage payments.

Royce Lyles became JEA Managing Director on September 1, 1979 and the utility began diversifying its fuel mix. Rates began to drop, eventually becoming the lowest in the state and near the bottom in the Southeast. JEA became an admired and respected organization. Walt Bussells was appointed Managing Director on September 8, 1995, following Royce Lyles' retirement.

Jacksonville's water and sewer systems had been operated by the city since 1880. On June 1, 1997, the City of Jacksonville, Department of Public Utilities, water and sewer operations merged into JEA. Since the Jacksonville Electric Authority was also operating other utilities, they requested a name change to the initials, JEA; the City Council approved it on September 23, 1998, effectively making JEA an orphan acronym. Walt Bussells embraced new technology and in 2002, JEA introducted online bill payment and implemented network meter reading. In 2003, the utility also began providing Chilled water
Chilled water
Chilled water is a commodity often used to cool a building's air and equipment, especially in situations where many individual rooms must be controlled separately, such as a hotel...

 for air conditioning in downtown buildings. The first two customers were the downtown library and the John Milton Bryan Simpson United States Courthouse
John Milton Bryan Simpson United States Courthouse
The Bryan Simpson United States Courthouse is a courthouse and U.S. federal government facility in Jacksonville, Florida. It houses:*The United States District Court for the Middle District of Florida, Jacksonville Division, and corresponding offices of the United States Bankruptcy Court for the...

. Purchasing chilled water eliminates the need for chillers and cooling towers at each property, reducing capital outlays and eliminating ongoing maintenance costs. The space saved can also become rentable, increasing revenue.

Jim Dickenson replaced Walt Bussells when Bussells retired in 2004.

Services

  • Electricity: owns/operates three generating plants and all transmission and distribution facilities; co-owns two additional power plants with Florida Power & Light
    Florida Power & Light
    Florida Power & Light Company, the principal subsidiary of NextEra Energy Inc. , commonly referred to by its initials, FPL, is a Juno Beach, Florida-based power utility which serves roughly 4.4 million customers in Florida. FPL Group holds power generation assets in more than 20 U.S...

    : the St. Johns River Power Park in northeastern Jacksonville; and Unit 4 of Plant Scherer, near Macon, Georgia
    Macon, Georgia
    Macon is a city located in central Georgia, US. Founded at the fall line of the Ocmulgee River, it is part of the Macon metropolitan area, and the county seat of Bibb County. A small portion of the city extends into Jones County. Macon is the biggest city in central Georgia...

    . JEA also operates a methane-fueled generating facility at the Girvin Road Landfill.

  • Water: 134 artesian wells
    Artesian aquifer
    An artesian aquifer is a confined aquifer containing groundwater under positive pressure. This causes the water level in a well to rise to a point where hydrostatic equilibrium has been reached. This type of well is called an artesian well...

     tapping the Floridan Aquifer
    Floridan Aquifer
    The Floridan Aquifer is a portion of the principal artesian aquifer that extends into Florida and is composed of carbonate rock and located beneath the coastal regions of the Southeastern United States and is one of the world's most productive aquifers. It is under all of Florida as well as ...

     are distributed through 35 water treatment plants and 4208 miles (6,772.1 km) of water lines.

  • Sewer: 3760 miles (6,051.1 km) of collection lines and seven regional and eight non-regional sewage treatment plants.

  • Chilled water: the company owns one chiller plant in downtown Jacksonville which provides the commodity to nearby facilities to heat and cool their buildings' air and equipment.

Current issues

Since 2004, JEA has assessed fuel rate increases three times. In 2007, JEA had the second-lowest electric rates in Florida before they announced a four-year base rate increase package that will bring the average bill from $112 to more than $140 in 2010. Most utilities had been forced to raise their rates due to increased fuel costs, but approved rate increases were designed to reduce the utility's debt, currently at $6.0 billion compared to assets of $7.5 billion. Compared to other similar sized municipal utilities, JEA has 60% more debt per customer, which can lower the utility's bond rating and make it more expensive and difficult to borrow money.

See also

  • JEA Northside Generating Station
    JEA Northside Generating Station
    JEA Northside Generating Station in Jacksonville, Florida is a major power plant, one of the three power plants owned and operated by JEA, Jacksonville's municipal utilities service. It produces electricity by burning coal and petroleum coke at Units 1 and 2, the largest circulating fluidized-bed...

  • Plant Scherer (owned in part by JEA)
  • List of power stations in Florida
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