Duke Energy Carolinas files new rates to pass federal tax savings to North Carolina customers

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- New rates remain below the national average - New rates include investments in cleaner, more reliable energy - Duke Energy shareholders will contribute $4 million to help low-income customers who qualify for bill assistance

CHARLOTTE, N.C., July 18, 2018 /PRNewswire/ -- Duke Energy Carolinas today filed new rates for North Carolina customers based on the North Carolina Utilities Commission's (NCUC) order issued June 22. The proposed changes in customer rates include savings from recent federal tax reform. The new rates will remain below the national average, even after adjustments are made to reflect investments in cleaner, more reliable energy.

Duke Energy, the nation's largest electric utility, unveils its new logo. (PRNewsFoto/Duke Energy) (PRNewsfoto/Duke Energy)

"The recent federal tax reform provides a unique opportunity to pass the direct benefits of that reform to customers," said David Fountain, Duke Energy's North Carolina president. "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."

Rate impact by customer group
Electric rates will be phased in over four years to account for a return of North Carolina state income taxes. Rates will decrease 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.

The following chart illustrates the net rate change by customer group, which will go into effect after final NCUC approval:

Average net rate change percentage – Years 1-4

  • Residential: 0.30 percent
  • General Service: -2.58 percent
  • Industrial: -3.86 percent

Average net rate change percentage – After Year 4

  • Residential: 1.19 percent
  • General Service: -1.57 percent
  • Industrial: -2.70 percent

These numbers show the average impact of the compliance rates for each customer group. The specific increase or decrease for individual customers will vary depending on the rate they pay and other factors.

The annualized bill for a typical residential customer using 1,000 kilowatt-hours (kWh) of electricity per month will increase to $104.69 from the current $103.85 once new rates are approved by the NCUC.

The NCUC approved the company's partial settlement with the Public Staff, which includes costs related to a highly efficient natural gas plant and two new solar projects.

Also approved by the NCUC are 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 final rate order can be viewed at the NCUC website (NCUC Docket No. E-7, Sub 1146).

Helping customers manage their energy costs 
Duke Energy shareholders will contribute $4 million to help low-income customers who qualify for bill assistance through the Share the Warmth energy assistance fund.

"We're committed to helping customers manage electricity costs through energy efficiency programs, bill-lowering tools and assistance for low-income customers," said Fountain.

Customers can learn more about saving energy and money on their bill at duke-energy.com/savings.

Duke Energy Carolinas

Duke Energy Carolinas owns nuclear, coal, natural gas, renewables and hydroelectric generation. That diverse fuel mix provides approximately 19,600 megawatts of owned electric capacity to about 2.5 million customers in a 24,000-square-mile service area of North Carolina and South Carolina.

Duke Energy Carolinas is a subsidiary of Duke Energy (NYSE: DUK).

Headquartered in Charlotte, N.C., Duke Energy is one of the largest energy holding companies in the U.S., with approximately 29,000 employees and a generating capacity of 49,500 megawatts. The company is transforming its customers' experience, modernizing its energy grid, generating cleaner energy and expanding its natural gas infrastructure to create a smarter energy future for the people and communities it serves.

The company's Electric Utilities and Infrastructure unit serves approximately 7.6 million retail electric customers in six states – North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky. Its Gas Utilities and Infrastructure unit distributes natural gas to approximately 1.6 million customers in five states – North Carolina, South Carolina, Tennessee, Ohio and Kentucky. Its Commercial Renewables unit operates a growing renewable energy portfolio across the U.S.

A Fortune 125 company, Duke Energy was named to Fortune's 2018 "World's Most Admired Companies" list and Forbes' 2018 "America's Best Employers" list.

More information about the company is available at duke-energy.com. The Duke Energy News Center includes 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.

Contact: Meredith Archie
24-Hour: 800.559.3853


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SOURCE Duke Energy