TALLAHASSEE, Fla. (AP) - State regulators have rejected consumer advocate objections and agreed to hold formal hearings on a proposed settlement increasing Florida Power & Light Co.'s residential rates.
    
The Public Service Commission took the action Thursday.
    
FPL, the state's largest electric utility, initially asked to increase base rates by $690.4 million a year.
    
It then reached a settlement with groups representing some commercial and government customers. It would reduce or keep their rates flat.
    
The deal is opposed by Public Counsel J.R. Kelly, who represents all 4.5 million FPL customers, and the Florida Retail Federation.
    
They contend it would add $1 billion to FPL's original request through rate adjustments when new power plants come on line in 2014 and 2016. The portion going effective in 2013, though, would be reduced to $378 million.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)