Duke Energy has submitted requests to the North Carolina Utilities Commission (NCUC) for revised rates at its two state utilities, Duke Energy Carolinas and Duke Energy Progress. The company is seeking an annual revenue increase of $1 billion for Duke Energy Carolinas and $729 million for Duke Energy Progress, representing increases of 15% and 15.1% over current revenues, respectively. These changes are based on a 10.95% return on equity and a 53% equity capital structure, pending NCUC approval.
If approved, residential customers using 1,000 kilowatt-hours per month would see their monthly bills rise by $17.22 for Duke Energy Carolinas starting January 2027, with an additional $6.34 increase in January 2028. For Duke Energy Progress customers, the increase would be $23.11 in January 2027 and another $6.59 in January 2028. Commercial and industrial customers would also experience rate increases over the same period.
Kendal Bowman, president of Duke Energy North Carolina, stated: “Our goal is to deliver reliable power at the lowest possible cost for customers. It’s important to strike the right balance of prioritizing investments that enhance the energy grid for current and future needs while also maximizing cost-saving measures for our customers.”
The company outlined several cost-saving initiatives since its last base rate case. Storm bonds issued after Hurricane Helene have saved North Carolina customers $422 million. Highly efficient nuclear units are projected to generate hundreds of millions in tax credits through 2032; current rates return $150 million in nuclear production tax credits to Duke Energy Carolinas customers in 2025-2026, with proposals to extend these benefits further.
Additionally, falling fuel prices reduced customer rates last winter by more than 6% for Duke Energy Carolinas and by over 4% for Duke Energy Progress. The proposed merger of the two utilities could save more than $1 billion in future costs.
Duke Energy has expanded self-healing technology across its grid since 2022, now serving about three-quarters of North Carolina customers with systems designed to reduce outages automatically. In the first ten months of 2025 alone, this technology helped avoid more than one million outages and saved nearly 2.6 million hours of outage time.
Other infrastructure improvements include trimming tens of thousands of miles of vegetation and replacing or upgrading distribution poles—efforts credited with accelerating power restoration after major storms such as Hurricane Helene.
Duke Energy reports it serves approximately 3.6 million retail customers statewide and has added around 150,000 new accounts over the past two years due to population growth and business expansion in North Carolina.
To meet rising demand from economic development projects—including new manufacturing facilities bringing over 25,000 jobs and $19 billion in investment—the company plans further investments in generation capacity and battery storage projects totaling nearly $1.7 billion between 2027-2028.
Bowman said: “Customers count on us to manage our costs on their behalf, but they also want options to manage their own bills now. That’s why we’re helping customers lower their energy use – and lower their bills – through programs that make a measurable difference.”
Programs offered include weatherization assistance for income-qualified households, free home energy assessments under Neighborhood Energy Saver and Home Energy House Call initiatives, rebates through Smart $aver upgrades, bill credits via Power Manager participation during peak periods, and incentives for solar or battery installations under PowerPair.
Last year’s average annual bill savings per participating household were reported as follows: Home Energy House Call ($46.68), Smart $aver ($125.22), Weatherization ($150.34). Company-wide efficiency programs are said to deliver annual savings significantly above national averages.
Duke Energy Carolinas serves about two million households and businesses mainly in Central and Western North Carolina; Duke Energy Progress covers about 1.6 million accounts primarily in Central/Eastern regions including Asheville.
If regulators approve combining both utilities next year as proposed by Duke Energy, this will be the final separate base rate review process before integration into a single entity.
The NCUC is expected to schedule public hearings statewide next spring ahead of a final order on new rates anticipated late next year.
More information about the proposal is available at duke-energy.com/NorthCarolinaRates.
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