Millions of Duke Energy customers in North Carolina could soon see higher electric bills after the utility reached a partial agreement that keeps its proposed rate increase moving forward, though at a lower level than originally requested.
The agreement, filed with the North Carolina Utilities Commission, resolves several issues in Duke Energy Carolinas’ ongoing rate case but still requires approval from regulators.
“If the settlements are approved by regulators, monthly electric bills for typical Duke Energy Carolinas residential customers using 1,000 kWh per month would increase $9.39 a month – from $156.81 to $166.20 – starting Jan. 1, followed by a $5.52 increase on Jan. 1, 2028,” said Duke spokesman Bill Norton in an e-mail sent out this week.
The settlement follows Duke Energy’s decision last month to cut its proposed residential rate increase from 18% to 11.6%, the largest voluntary reduction in a rate request during the rebuttal phase of a case in company history.
The agreement also allows Duke to use surplus hurricane bond funds to cover February’s winter storm costs and expand the use of federal solar tax credits to help offset customer bills.
Several issues remain unresolved, including Duke’s proposed 10.48% return on equity, which affects the utility’s allowed profit.
The North Carolina Utilities Commission will continue hearing testimony before deciding later this year whether to approve, modify, or reject the proposed rate increases.
