Duke Energy Carolinas customer rates to drop 3.6% on Jan. 1 after North Carolina Utilities Commission issues annual fuel filing order

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Aug 28, 2024, 10:00 ET

Falling fuel prices result in lower customer rates
Bill for typical residential customer will be 23% below national average

CHARLOTTE, N.C., Aug. 28, 2024 /PRNewswire/ -- Duke Energy Carolinas customers in North Carolina will see their electric rates fall starting Jan. 1 as part of an annual adjustment for the cost of fuel used to generate electricity at its power plants.

A typical residential customer in North Carolina using 1,000 kilowatt-hours (kWh) per month will see an overall decrease of $5.17, or about 3.6%, from current rates, falling from $142.17 to $137. That is 23% below the national average of $177.09 – a difference of approximately $480 per year.

Commercial customers will see an average decrease in their bills of about 7.4%, and industrial customers will receive an average decrease of less than 1%.

Duke Energy Carolinas serves about 2.2 million households and businesses in central and western North Carolina, including Charlotte, Durham and the Triad.

A proposed decrease for Duke Energy Progress customers is currently being evaluated by regulators; if approved, those customers would also see rates decline starting Dec. 1.

Large Drop Follows Temporary Increase

To ensure accurate rates, the North Carolina Utilities Commission (NCUC) annually reviews the fuel costs required to generate electricity for customers, along with rider updates for state programs to encourage clean energy adoption and reduce energy use. The NCUC issued its order approving the annual adjustment on Aug. 20.

On Sept. 1, residential rates will briefly rise about 1.5% – $2.14 a month for a 1,000-kWh customer – primarily due to a settlement agreement with the NCUC Public Staff at last year's annual adjustment, which spread a prior increase over 16 months instead of 12.

Then on Jan. 1, rates will significantly decline when additional adjustments are made:

A decrease of 8.8% to adjust for falling fuel prices
An increase of 0.8% for energy efficiency and demand-side management programs to lower energy use
An increase of 2.9% to base rates, as previously approved by the NCUC in its 2023 multiyear rate case order

The collective result is a 3.6% rate reduction for typical residential customers, with the potential for an additional decrease as a result of nuclear federal tax credits, pending a forthcoming NCUC filing.

Duke Energy Carolinas works to actively manage fuel contracts to keep costs as low as possible for customers. Bills reflect actual fuel costs – customers pay what we pay. Additionally, carbon-free nuclear provides about half of North Carolina's generation and helps minimize price swings. Learn more at Fuel Costs & Your Bill.

Duke Energy Carolinas

Duke Energy Carolinas, a subsidiary of Duke Energy, owns 20,700 megawatts of energy capacity, supplying electricity to 2.9 million residential, commercial and industrial customers across a 24,000-square-mile service area in North Carolina and South Carolina.

Duke Energy

Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.4 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 54,800 megawatts of energy capacity. Its natural gas utilities serve 1.7 million customers in North Carolina, South Carolina, Tennessee, Ohio and Kentucky.

Duke Energy is executing an ambitious clean energy transition, keeping reliability, affordability and accessibility at the forefront as the company works toward net-zero methane emissions from its natural gas business by 2030 and net-zero carbon emissions from electricity generation by 2050. The company is investing in major electric grid upgrades and cleaner generation, including expanded energy storage, renewables, natural gas and nuclear.

More information is available at duke-energy.com and the Duke Energy News Center. Follow Duke Energy on Twitter, LinkedIn, Instagram and Facebook, and visit illumination for stories about the people and innovations powering our energy transition.

Contact: Bill Norton
24-hour media line: 800.559.3853

SOURCE Duke Energy