NC Utilities Commission approves Duke Energy Progress request to lower customer rates by 4.5%

Rhea-AI Summary

Duke Energy Progress has received approval from the North Carolina Utilities Commission to reduce customer rates by 4.5% starting December 1, 2024. A typical residential customer using 1,000 kWh monthly will see bills decrease by $7.34, from $161.97 to $154.63, which is 11% below the national average of $174.21. Commercial customers will see an average 6.3% decrease, while industrial customers will experience a minimal 0.1% reduction. The rate adjustment reflects falling fuel costs and is part of an annual review process. Duke Energy Progress serves approximately 1.5 million customers in central and eastern North Carolina.

Positive

• Rate decrease of 4.5% for residential customers, resulting in $7.34 monthly savings
• Commercial customers receiving larger 6.3% rate reduction
• Customer rates are 11% below national average, saving approximately $235 annually
• Carbon-free nuclear provides about half of North Carolina's generation, helping minimize price volatility

Negative

• Minimal rate decrease (0.1%) for industrial customers

Insights

Utility Rate Analyst

This rate decrease represents a meaningful cost reduction for Duke Energy Progress customers, driven by lower fuel costs. The 4.5% reduction for residential customers translates to annual savings of $88.08 per household, while commercial customers see a more substantial 6.3% decrease. The impact is particularly significant given that Duke's rates are already 11% below the national average.

The timing of this reduction, coinciding with Duke Energy Carolinas' upcoming 3.6% decrease, affects approximately 1.5 million customers across North Carolina. The company's strategic fuel contract management and significant nuclear generation capacity (about 50% of NC generation) help stabilize costs. This rate adjustment demonstrates effective cost management while maintaining Duke's ability to invest in grid modernization and clean energy transition.

• Falling fuel prices result in lower customer rates
• Annual bills for typical residential customer are $235 below national average

CHARLOTTE, N.C., Dec. 2, 2024 /PRNewswire/ -- Starting Dec. 1, rates for Duke Energy Progress residential customers in North Carolina fell by 4.5% as part of an annual adjustment for the cost of fuel used to generate electricity at the utility's power plants.

A typical residential customer in North Carolina using 1,000 kilowatt-hours (kWh) per month will see an overall decrease of $7.34, or about 4.5% lower than prior rates, falling from $161.97 to $154.63. That is 11% below the national average of $174.21 – a difference of approximately $235 per year.

Commercial customers will benefit from an average decrease of about 6.3%, while industrial customers will see an average decrease of less than 0.1%.

Duke Energy Progress serves about 1.5 million customers in central and eastern North Carolina, including Raleigh, as well as the Asheville region.

A similar decrease for Duke Energy Carolinas customers will go into effect on Jan. 1, when rates for residential customers drop 3.6%.

Customer Savings Driven by Falling Fuel Prices

To ensure accurate rates, the North Carolina Utilities Commission (NCUC) annually reviews the fuel costs required to generate electricity for customers, along with rider updates for state programs to encourage clean energy adoption and reduce energy use. The NCUC issued its order approving the annual adjustment on Nov. 13.

Duke Energy Progress works to actively manage fuel contracts to keep costs as low as possible for customers. Bills reflect actual fuel costs – customers pay what we pay. Additionally, carbon-free nuclear provides about half of North Carolina's generation and helps minimize price swings. Learn more at Fuel Costs & Your Bill.

Duke Energy Progress 

Duke Energy Progress, a subsidiary of Duke Energy, owns 13,800 megawatts of energy capacity, supplying electricity to 1.7 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 8.4 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 54,800 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 clean energy transition, keeping reliability, affordability and accessibility at the forefront as the company works toward net-zero methane emissions from its natural gas business by 2030 and net-zero carbon emissions from electricity generation by 2050. The company is investing in major electric grid upgrades and cleaner generation, including expanded energy storage, renewables, natural gas and nuclear.  

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: Bill Norton
24-hour media line: 800.559.3853

 

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SOURCE Duke Energy

FAQ

How much will Duke Energy Progress (DUK) residential rates decrease in December 2024?

Duke Energy Progress residential rates will decrease by 4.5%, or $7.34 per month for typical customers using 1,000 kWh, from $161.97 to $154.63.

What is the rate decrease for Duke Energy Progress (DUK) commercial customers in 2024?

Commercial customers will see an average rate decrease of 6.3% starting December 1, 2024.

How much are Duke Energy Progress (DUK) rates below the national average?

Duke Energy Progress rates are 11% below the national average of $174.21, resulting in approximately $235 annual savings for customers.

When did the North Carolina Utilities Commission approve Duke Energy Progress (DUK) rate decrease?

The North Carolina Utilities Commission approved the rate decrease on November 13, 2024.