GREENVILLE, S.C. – South Carolina customers of Duke Energy Carolinas will receive more than $5 in monthly savings starting Oct. 1 as the company’s new fuel rates take effect.
The new fuel rates, approved last week by the Public Service Commission of South Carolina (PSCSC), are the lowest since 2006.
What’s driving customer savings
On July 22, Duke Energy Carolinas made its annual fuel filing with the PSCSC for fuel-related costs associated with providing electricity to customers. The commission conducted a hearing on the filing Sept. 13 and approved the new rates Sept. 21.
As approved, typical residential customers using 1,000 kilowatt-hours (kWh) per month would see their bills decrease from the current $116.57 to $110.84, a savings of $5.73.
General service customers would see an average decrease in the fuel charge of about 6.4 percent, and industrial customers would receive an average decrease of about 10.4 percent.
The main reasons for the proposed overall decrease in rates include:
Lower projected coal and natural gas fuel prices
A $75 million decrease in the prior period true-up of fuel costs, as compared to the prior period true-up included in the current bill
Key factors in the company’s ability to maintain lower fuel and fuel-related rates include its diverse generating portfolio mix of nuclear, coal, natural gas and hydro; lower natural gas prices; the capacity factors of its nuclear fleet; and fuel procurement strategies that mitigate volatility in supply costs.
Duke Energy Carolinas makes a fuel cost recovery filing annually in South Carolina. The fuel rate is based on the projected cost of fuel used to provide electric service to the company's customers, plus a true-up of the prior year’s projection.
The PSCSC reviews fuel costs and adjusts the fuel component of customer rates accordingly. By law, the company makes no profit from the fuel component of rates.
About Duke Energy Carolinas
Duke Energy Carolinas owns nuclear, coal-fired, 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.
Headquartered in Charlotte, N.C., Duke Energy is an S&P 100 Stock Index company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available at duke-energy.com.
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Contact: Ryan Mosier