Duke Energy Progress proposes new rates to support ongoing efforts to build a smarter energy future for South Carolina customers

Rhea-AI Summary

Duke Energy Progress (DUK) has filed its first rate review request since 2022 with South Carolina regulators, seeking a $74.8 million revenue increase, representing a 12.1% increase over current revenues. If approved, residential customers using 1,000 kWh monthly will see bills rise by $21.66, from $144.85 to $166.51, effective February 1, 2026. Commercial customers face a 12.8% increase, while industrial customers will see a 3.6% increase. The rate adjustment aims to support grid strengthening, storm readiness improvements, and generating fleet maintenance for Duke's 177,000 South Carolina customers. The company highlighted the effectiveness of its grid investments during Hurricane Helene, where smart technology automatically restored over 10,000 outages and saved 28,000 hours of total outage time.

Positive

• Smart grid technology demonstrated effectiveness during Hurricane Helene by automatically restoring 10,000+ outages
• Grid investments have improved storm readiness and system reliability
• Company's disciplined approach to operational excellence and thoughtful timing of rate adjustments

Negative

• Significant rate increase of 12.1% overall affecting customers' bills
• Residential customers face $21.66 monthly increase on typical 1,000 kWh usage
• Commercial customers will experience higher than average increase at 12.8%

Insights

Utility Sector Financial Analyst

Duke Energy's 12.1% rate increase request would boost revenue by $74.8 million, strengthening finances while recovering grid investment costs.

Duke Energy Progress has submitted its first rate increase request since 2022, seeking a $74.8 million revenue boost – a 12.1% increase over current levels. This request targets all customer segments with residential bills projected to rise $21.66 monthly for typical 1,000 kWh users, commercial customers facing 12.8% increases, and industrial customers seeing more modest 3.6% hikes.

The timing of this request is financially significant, coming after a four-year gap between rate reviews, suggesting disciplined capital deployment and financial management. The staggered increase structure across customer classes indicates the company is implementing cost-based rate design principles, with each segment's increase calibrated to better align with the actual cost to serve them.

Duke Energy has strategically focused this rate case narrative on demonstrating tangible benefits from past grid investments. Their self-healing grid technology already proved valuable during Hurricane Helene, automatically restoring over 10,000 customer outages and saving more than 28,000 outage hours. This documented performance strengthens their regulatory case by showing direct customer benefits from capital expenditures.

While Duke Energy Progress represents a relatively small portion of Duke Energy's overall customer base (serving about 177,000 South Carolina customers versus 8.6 million across its broader portfolio), this rate case establishes important precedent for the company's ability to recover infrastructure investments across its regulated territories.

The February 2026 effective date indicates a standard regulatory timeline for rate case proceedings. If approved substantially as requested, this rate increase would meaningfully strengthen Duke Energy Progress's revenue stability in South Carolina while supporting continued infrastructure modernization.

• Recent investments have strengthened the grid and reduced outages for customers
• Company last requested a regulatory review of rates in 2022

GREENVILLE, S.C., June 12, 2025 /PRNewswire/ -- Duke Energy Progress today asked South Carolina regulators to perform a public review of the company's current rates.

• This is the company's first request to review rates since 2022. It comes as the company continues working to increase system diversity and reliability, enhance the customer experience and meet future energy demands.
• Duke Energy Progress serves about 177,000 customers primarily in central and northeastern South Carolina.

By the numbers: The company's application in front of the Public Service Commission of South Carolina (PSCSC) requests an overall revenue increase of $74.8 million, which represents a 12.1% increase over current revenues.

• If approved, monthly electric bills for typical residential customers using 1,000 kilowatt-hours per month would increase $21.66 a month – from $144.85 per month to $166.51 – effective Feb. 1, 2026. Commercial customers will see an average increase of 12.8% and industrial customers will see an average increase of around 3.6%. The amount of increase per customer class can vary based upon how much more additional revenue is needed to ensure that the class is covering the cost to serve them.

Why it matters: Duke Energy is committed to meeting customers' increasingly higher expectations around reliability, responsiveness, affordability and value.

• This proposal reflects the investments we have made to strengthen the grid, improve storm readiness, maintain and enhance our generating fleet and serve a growing customer base.
• It also reflects how the company is doing that work: with discipline, with a focus on operational excellence, and with a thoughtful approach to how and when we seek rate adjustments.

Investments in action: The company's grid investments have positioned it well for storm response.

• For example, as Hurricane Helene made its way across the Carolinas, grid improvements were already helping to combat power outages from the storm.
• Smart, self-healing technology installed across the Duke Energy Progress service territory helped to automatically restore more than 10,000 customer outages and saved more than 28,000 hours of total outage time, showing the value of the self-healing programs. 

Our view:

• "We know families and businesses are juggling a lot and we do not take a request to increase rates lightly but being upfront and timely with our request is the right thing to do and in the best interest of our customers." – Tim Pearson, Duke Energy's South Carolina president

More info: Details on the company's proposal, the rate review process and the variety of assistance programs and billing options offered by the company can be found here.

Duke Energy Progress
Duke Energy Progress, a subsidiary of Duke Energy, owns 13,800 megawatts of energy capacity, supplying electricity to 1.8 million residential, commercial and industrial customers across a 28,000-square-mile service area in North Carolina and South Carolina.

Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.6 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,100 megawatts of energy capacity. Its natural gas utilities serve 1.7 million customers in North Carolina, South Carolina, Tennessee, Ohio and Kentucky.

Duke Energy is executing an ambitious energy transition, keeping customer reliability and value at the forefront as it builds a smarter energy future. The company is investing in major electric grid upgrades and cleaner generation, including natural gas, nuclear, renewables and energy storage.

More information is available at duke-energy.com and the Duke Energy News Center. Follow Duke Energy on X, LinkedIn, Instagram and Facebook, and visit illumination for stories about the people and innovations powering our energy transition.

Contact: Ryan Mosier

24-Hour: 800.559.3853

 

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SOURCE Duke Energy

FAQ

How much will Duke Energy Progress rates increase for South Carolina customers in 2026?

Duke Energy Progress has requested a 12.1% overall revenue increase, with residential customers seeing a $21.66 monthly increase for 1,000 kWh usage, from $144.85 to $166.51, effective February 1, 2026.

What is the reason for DUK's rate increase request in South Carolina?

The rate increase is to support grid strengthening, improve storm readiness, maintain generating fleet, and serve growing customer base while building a smarter energy future.

How will different customer classes be affected by Duke Energy's proposed rate increase?

Residential customers will see a $21.66 monthly increase, commercial customers will face a 12.8% increase, and industrial customers will experience a 3.6% increase.

When was Duke Energy Progress's last rate review request in South Carolina?

Duke Energy Progress's last rate review request in South Carolina was in 2022.

How effective were Duke Energy's grid improvements during Hurricane Helene?

During Hurricane Helene, Duke Energy's smart self-healing technology automatically restored more than 10,000 customer outages and saved over 28,000 hours of total outage time.