Duke Energy Carolinas Files for New Rate to Distribute Savings

The company’s shareholders will contribute $4 million to the Share the Warmth fund to help low-income customers manage their winter bills.

Duke Energy Carolinas has filed new rates for North Carolina customers based on the North Carolina Utilities Commission’s (NCUC) order issued on June 22. The company will pass the savings from recent federal tax reform to all customer groups.

The new electric rates will roll out in phases over the next four years to account for a return of North Carolina state income taxes. This will decrease rates by an average of 1.34 percent across all customer groups when approved by the NCUC and adjust to a 0.22 percent decrease in August 2022. However, residential customers will see a marginal increase in utility bills—a customer using 1,000 kilowatt-hours of electricity per month will see an increase from $103.9 to $104.7 once the new rates are approved.

The NCUC approved the company’s partial settlement with the Public Staff, which includes costs related to a natural gas plant and two new solar projects and the company’s Lee Nuclear project development costs and past investments to permanently close ash basins at eight sites in the Carolinas in compliance with state and federal regulations.

The company has an energy assistance fund—Share the Warmth—formed in 1985 to help low-income customers manage winter heating bills. Its shareholders will contribute $4 million to the fund.

“The recent federal tax reform provides a unique opportunity to pass the direct benefits of that reform to customers,” David Fountain, Duke Energy North Carolina president, said in prepared remarks. “With the North Carolina Utilities Commission’s decision in hand, we will deliver real savings to customers while providing the full benefits of cleaner, more reliable electricity.”

Images courtesy of Duke Energy