The Palm Beach Post reported today that Florida Power & Light President Eric Silagy told investors discussions between Vero Beach and FPL began after business leaders in the city noticed FPL ads touting the company’s lower rates.

Vero Beach officials did first approach FPL, but most electric customers in the community were clear about the rate differential between the city and FPL long before the company unleashed a barrage of newspaper and direct mail advertising.

Silagy’s comments may give some indication of the company’s lang-term strategy beyond fighting tooth and nail to hold on the the electric system in South Daytona, while also working every angle to convince Vero Beach voters they are getting the deal of a lifetime.

The FPL president now says Governor Rick Scott is encouraging the state’s remaining municipal utilities and cooperatives to follow Vero Beach’s lead in selling out to FPL.

The following is an excerpt from the Post story:

FPL President Eric Silagy said in an investor conference Tuesday that FPL’s ads touting the lowest customer bills in the state and its high reliability have resulted in calls from leaders in communities not served by FPL. That includes municipal power companies, or “munis” and cooperatives.

“The business community at Vero Beach started seeing our ads and figured out that their bills were close to 30 percent higher than ours, a competitive issue. And they approached us and said, “Would you consider buying our electric system and making it part of the FPL family?” Silagy said.

The negotiations have been taking place for almost two years, and the city council approved a purchase and sale agreement earlier this year.

The savings for Vero Beach utility’s customers are estimated at $24 million a year, Silagy said, or about $400 a customer.

“One of the things that’s happened is I’ve now got the governor of Florida going around to the munis saying,’Why aren’t you selling yourself to FPL?’ which of course, you can imagine, I’m flattered, but at the same time, I get some folks in the munis who say, ‘That’s really not helpful.’ But I can’t help it. But it’s because he’s trying to drive more cost competitiveness into the state and sees that’s a really great way to do it,” Silagy said.

The Post report indicated the 17-acre power plant site is “slated to become a city park.”  There is, as present, no formal plan for how the land will be utilized, though Mayor Craig Fletcher has said he wants to see it developed as “something other than a park.”