Duke Energy responds to North Carolina Utilities Commission's decision on Duke Energy Carolinas' 2019 rate request

Rhea-AI Summary

Duke Energy has responded to the North Carolina Utilities Commission's (NCUC) order regarding the 2019 rate adjustment request for Duke Energy Carolinas. The NCUC's decision includes approved settlements that mitigate coal ash management costs and explore future grid improvements. Duke Energy has pledged $6 million to assist with energy-saving measures and $5 million for low-income customer billing assistance over two years. The company aims to keep customer rates below the national average and continues to enhance clean energy initiatives while providing substantial support during the pandemic.

Positive

• Settlement approved with stakeholders to reduce coal ash costs and improve grid reliability.
• Duke Energy will maintain customer rates below the national average despite new rate adjustments.
• $6 million commitment for energy-saving initiatives and $5 million for low-income customer assistance.

Negative

• None.

CHARLOTTE, N.C., March 31, 2021 /PRNewswire/ -- Duke Energy issued the following statement in response to today's order by the North Carolina Utilities Commission (NCUC) on the rate adjustment request made by Duke Energy Carolinas on Sept. 30, 2019.

Duke Energy worked with the NCUC, the North Carolina Public Staff, and other groups last spring to postpone the rate case proceedings due to the pandemic.

The company has taken numerous additional steps over the past year to support customers through suspension of disconnections, flexible payment arrangements and more than $20 million in charitable giving across the state.

The full NCUC order can be found here.

Duke Energy statement
We are currently evaluating the North Carolina Utilities Commission's order on Duke Energy Carolinas' 2019 rate request and will determine the exact impacts on customer rates in the coming weeks, which will remain below the national average even after new rates go into effect. Our investments over the past several years have helped transition the state to cleaner energy sources, while keeping energy affordable and reliable for customers. Additionally, we continue to take significant steps in response to the pandemic to support

We are pleased with the NCUC's approval of the settlement agreements reached with more than 10 diverse customer and environmental groups as a part of this transparent and thorough process. The result is a decision that balances the needs of customers and the company.

Highlights of the NCUC's order include:

• Approves settlement with the Attorney General, N.C. Public Staff and Sierra Club, reducing the amount of coal ash management costs recovered in customer rates and providing clarity on coal ash in North Carolina for the next decade.
• Approves settlement with 10 diverse stakeholders for future grid improvements to strengthen the grid, improve reliability and enable more renewable energy. These costs will be evaluated in future rate requests. Also approves a Climate Risk & Resilience Working Group to assess impacts of climate change to distribution and transmission infrastructure.
• Eliminates direct debit and credit card bill-paying fees for residential customers and adopts company's proposal on broad stakeholder workshops to evaluate rate design and additional regulatory programs and protections for low-income customers, including a potential income-qualified energy efficiency pilot program.
• Duke Energy shareholders will contribute $6 million over two years to the Helping Home Fund to provide energy- and cost-saving measures to North Carolina customers, and $5 million over two years to the Duke Energy Carolinas Share the Warmth program to provide billing assistance to low-income customers.

Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of the largest energy holding companies in the U.S. It employs 29,000 people and has an electric generating capacity of 51,000 megawatts through its regulated utilities and 2,300 megawatts through its nonregulated Duke Energy Renewables unit.

Duke Energy is transforming its customers' experience, modernizing the energy grid, generating cleaner energy and expanding natural gas infrastructure to create a smarter energy future for the people and communities it serves. The Electric Utilities and Infrastructure unit's regulated utilities serve 7.8 million retail electric customers in six states: North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky. The Gas Utilities and Infrastructure unit distributes natural gas to 1.6 million customers in five states: North Carolina, South Carolina, Tennessee, Ohio and Kentucky. The Duke Energy Renewables unit operates wind and solar generation facilities across the U.S., as well as energy storage and microgrid projects.

Duke Energy was named to Fortune's 2020 "World's Most Admired Companies" list and Forbes' "America's Best Employers" list. More information about the company is available at duke-energy.com. The Duke Energy News Center contains news releases, fact sheets, photos, videos and other materials. Duke Energy's illumination features stories about people, innovations, community topics and environmental issues. Follow Duke Energy on Twitter, LinkedIn, Instagram and Facebook.

Media contact: Meredith Archie
800.559.3853

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SOURCE Duke Energy

FAQ

What did the North Carolina Utilities Commission decide regarding Duke Energy's rate request?

The NCUC approved settlements that reduce coal ash management costs and promote grid improvements.

How much will Duke Energy contribute to assist low-income customers?

Duke Energy will contribute $5 million over two years to assist low-income customers with their bills.

Will customer rates increase after Duke Energy's rate adjustment?

Although new rates will be implemented, Duke Energy states that rates will remain below the national average.

What measures has Duke Energy taken to support customers during the pandemic?

Duke Energy suspended disconnections and offered flexible payment arrangements, alongside $20 million in charitable contributions.