Duke Energy has submitted requests to the North Carolina Utilities Commission (NCUC) seeking revised rates for its two utilities in the state, Duke Energy Carolinas and Duke Energy Progress. The company is proposing targeted investments aimed at strengthening the energy grid against storms, upgrading existing power plants, and supporting the state’s economic growth.
The proposed rate adjustments would result in an annual revenue increase of $1 billion for Duke Energy Carolinas—$727 million in 2027 and $275 million in 2028—representing a 15% rise over current revenues. For Duke Energy Progress, the request is for a $729 million increase—$528 million in 2027 and $200 million in 2028—or a 15.1% increase over current revenues. These requests are based on a 10.95% return on equity and a capital structure of 53% equity, pending NCUC approval.
If approved, residential customers using 1,000 kilowatt-hours per month would see their monthly bills with Duke Energy Carolinas rise by $17.22 to $162.20 starting January 1, 2027, followed by an additional $6.34 increase in January 2028. Commercial customers would experience average increases of 8.7% and then 3.9%, while industrial customers would see around 6.3% and then 3.4%. For Duke Energy Progress residential customers, bills would go up by $23.11 to $186.95 beginning January 1, 2027, with another $6.59 added the following year; commercial customers’ rates would rise by averages of 9.2% and then 4.6%, while industrial rates would climb about 7.4% and then another 4.3%.
“Our goal is to deliver reliable power at the lowest possible cost for customers,” said Kendal Bowman, Duke Energy’s North Carolina president. “It’s important to strike the right balance of prioritizing investments that enhance the energy grid for current and future needs while also maximizing cost-saving measures for our customers.”
Duke Energy has implemented several cost-saving strategies since its last base rate case, including reducing operation and maintenance expenses and passing along savings from falling fuel prices to customers last winter—a move that lowered rates by more than six percent for both utilities.
Storm bonds issued after Hurricane Helene have saved North Carolina customers approximately $422 million so far; highly efficient nuclear units are expected to generate hundreds of millions of dollars in tax credits through the next decade.
The company’s grid modernization efforts include expanding self-healing technology to serve three-quarters of North Carolina customers as of this year—a measure credited with preventing more than one million outages and saving nearly three million hours of outage time during just the first ten months of this year.
Additional investments have included replacing tens of thousands of distribution poles with steel or concrete alternatives that proved resilient during recent major storms such as Hurricane Helene.
As North Carolina’s population grows—with roughly 150,000 new customer accounts added over two years—and new manufacturing projects bringing jobs and investment into the state, electricity demand continues to climb rapidly.
To meet these needs cost-effectively, Duke Energy plans upgrades such as adding nearly 300 megawatts (MW) of clean capacity through nuclear power uprates by 2031 as well as investing $1.7 billion in battery storage projects across its service area between now and late-2028.
“Customers count on us to manage our costs on their behalf, but they also want options to manage their own bills now,” Bowman said. “That’s why we’re helping customers lower their energy use – and lower their bills – through programs that make a measurable difference.”
The company offers various programs designed to help residents reduce consumption—including weatherization services for income-qualified households—and bill management tools such as rebates for home improvements or credits for shifting usage away from peak periods.
According to Duke Energy data from last year: Home Energy House Call participants saved an average of about $47 annually; Smart Saver program users saved roughly $125; Weatherization participants saw savings exceeding $150 per year.
Duke Energy Carolinas serves approximately two million households and businesses primarily across central and western parts of North Carolina including Charlotte, Durham, and the Triad region; Duke Energy Progress serves about one-and-a-half million accounts mainly in central/eastern areas plus Asheville.
This rate review follows previous ones initiated separately by each utility since early-2023; if regulators approve combining them next year it will be their final separate reviews.
Public hearings are expected statewide next spring ahead of a final decision from NCUC anticipated late next year.
More information about this proposal is available at duke-energy.com/NorthCarolinaRates.
