Duke Energy Progress Rate Increase Takes Effect Oct. 1
CHARLOTTE, N.C. – Duke Energy Progress will implement new rates for North Carolina customers on Oct. 1 as approved by the North Carolina Utilities Commission (NCUC).
Rates for North Carolina customers will remain below the national average, even after Duke Energy Progress completes approximately $6.3 billion in upgrades to make the electric grid more resistant to outages and enable faster power restoration.
And for the first time, the NCUC approval covers multiyear rates, along with incentives and penalties to hold the utility accountable for reliability and other performance metrics.
“We’ve made major infrastructure enhancements in recent years to meet our customers’ needs and expectations, and this order will enable even more improvement while limiting annual rate increases and giving customers more cost certainty,” said Kendal Bowman, Duke Energy’s North Carolina president.
Rate changes start Oct. 1
After extensive evaluation since the rate review was requested last October, along with constructive settlements with the NCUC Public Staff and other parties, the NCUC approved a net increase in retail revenues in year one of about $234 million (5.8%), followed by $126 million (3.2%) in year two and $138 million (3.4%) in year three.
Customer bills already reflect an interim rate adjustment implemented June 1. Accounting for that, beginning Oct. 1, 2023, the change from current rates for a typical residential customer using 1,000 kilowatt-hours (kWh) per month will be an increase of $8.04, from $144.12 to $152.16 per month, followed by a $4.67 increase on Oct. 1, 2024, and a $5.15 increase on Oct. 1, 2025, for a total of $161.98 by late 2025.
According to the Edison Electric Institute, the national monthly average for typical residential customers was $171.67 as of Jan. 1, 2023, before other utilities go through their own rate adjustments.
The full NCUC rate review order can be found here. Duke Energy Progress serves about 1.5 million customers in central and eastern North Carolina and in the Asheville region.
Help for low-income customers
The NCUC ordered Duke Energy Progress to establish a Customer Assistance Program (CAP) that will reduce bills for the utility’s most vulnerable customers through a $42 monthly credit for 12 months. Customers helped by the Low-Income Energy Assistance Program (LIEAP) or the Crisis Intervention Program (CIP) – federally funded initiatives for those at or below 130% and 150% of the poverty level, respectively – will be automatically enrolled in CAP once the program launches in January in partnership with the North Carolina Department of Health and Human Services.
Duke Energy will also refer CAP customers to weatherization and energy efficiency services that can help provide long-term solutions to reduce energy usage. As part of a settlement in the rate cases for both Duke Energy Progress and Duke Energy Carolinas (still subject to NCUC approval), Duke Energy shareholders will contribute $10 million for health and safety repairs that would otherwise prevent low-income customers from qualifying for weatherization and other energy efficiency improvements. Duke Energy shareholders are contributing an additional $6 million to the Share the Light Fund in support of North Carolina customers.
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9 Comments
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They can’t even consistently keep my house powered why should I have to pay more?? Ridiculous! On a bright sunny day 2 weeks ago we lost power 4 different times throughout the day with no real explanation! And that was after losing power 5 days prior 2 times for no reason. None of the outages were due to motor vehicle accidents. We all give them plenty of money each month, there is no excuse for poor service.
The new rates are still not on their web site, only a promise that they will be posted Oct 1, after they are in effect.
They’ve also radically changed the rules/hours/rates of the TOUD-R (time of use demand) plan. Not mentioned in the email but mentioned on the web page, they will now charge a kW demand charge FOR ALL HOURS including non-peak. The rate is not announced yet, of course, but filings from June show it to be $3.77/kW.
This will be a SUBSTANTIAL charge on your monthly bill if you are running large loads like electric heat, dryer, water heater, car charger timed to run at the same time during off-peak hours. If you are on this plan, look at the last bill for the off-peak billing demand. If it’s over about 10kW, you will need to CONSISTENTLY stagger the loads or face a large monthly increase.
It’s disappointing that the NCUC have allowed this.
This is Bidenomics and the Inflation Reduction Act at work!!! Keep voting Blue until we are through!!!
In 2022, Duke spent $18M on political donations (PACs and individual contributions). While they donate to both sides of the aisle, 83% were given to GOP PACs and leaders. Guess which party ad a super-majority in thr NC Generral Assembly and oversees the public utility rate commission? I bet the same sheeple here complaining will also vote to re-elect the same folks in November. #FollowTheMoney #VoteOutIncumbents #ReapWhatYouVote
Every commissioner was appointed by Roy Cooper.
Can someone please tell me when is all of these solar farms suppose to help decrease our power
Also why should we pay Duke to upgrade their stuff just so they can charge us more. So will our bill go back down once they made their money back for what they spent to upgrade their system. I swear this makes no since
Yea, I’m pretty sure that will help inflation…..nice going dems.
Its all about funding the green energy agenda. HB951 smoothly sailed through NCGA with tons of GOP support. Vote out all incumbents, let’s find some decent candidates that are in it for We the People.
That’s it exactly.
People have been misled. “Green” energy is not cheaper, it’s more expensive. It’s costly to build, costly to maintain, vulnerable to natural disasters and short lived. It’s also low capacity and doesn’t adjust quickly to changes in demand. That’s why there’s a new and costly demand charge at night for those who used to save money by timing their demand.
You can bet they’re all invested in it, and that’s why they want to mandate it. Nuclear generates no CO2 and less toxic waste than these new technologies, but there’s no interest in it because it’s already established and there’s no large financial gains to be made in it. All elected officials should be banned from choosing stocks to invest in; it’s a conflict of interest.
And to add the last insult, it’s Oct 1 and the new rates are STILL not posted. It’s impossible to plan demand without the rates.