AP

Duke Energy Carolinas seeks big rate increases for gas costs

Mar 1, 2023, 8:45 AM | Updated: 8:50 am

CHARLOTTE, N.C. (AP) — A Duke Energy Corp. subsidiary for North Carolina electric customers has asked state regulators to let them raise residential rates by 16.6% in the coming months largely to recover their fuel costs, which it said soared mainly from natural gas prices last year.

Duke Energy Carolinas serves about 2 million households and businesses in western and central North Carolina. It said Wednesday that if the request is approved by the state Utilities Commission, the typical residential customer’s monthly bill would increase from $115.01 to a little over $134.11.

The Charlotte-based utility emphasized such approved requests don’t widen anticipated profits, but rather cover its expenses to obtain the fuel that generates electricity, such as natural gas, coal and nuclear rods. Their customers paid $1 billion less than their actual cost of fuel during 2022, the company said in a news release. Higher natural gas demand and tight supplies drove most of the rate request, the company said.

“Fuel costs to generate electricity have more than tripled over the last year, which is a challenge faced by energy providers across the country,” said Kendal Bowman, Duke Energy’s North Carolina president. “Our rates in North Carolina are far below the national average, and we’re doing everything we can to keep customer bills as low as possible.”

Tuesday’s application with the commission, which marks the largest ever fuel filing increase in the history of either of Duke Energy’s North Carolina electric subsidiaries, seeks a 16.2% residential rate increase by Sept. 1, with a 0.4% increase by Jan. 1. Duke Energy Carolinas also said it would seek a 15.2% rate increase for commercial customers and 12.1% increase for industrial customers. The subsidiary’s coverage area includes Charlotte, Durham and the Triad.

The other North Carolina electric-producing subsidiary, Duke Energy Progress, will make its annual fuel filing in June, the news release said. It has 1.5 million customers in eastern and central North Carolina — including those in Raleigh, Fayetteville and Wilmington — as well as in and near Asheville.

These filings are separate from the broader multiyear rate filings at the commission in recent months by Duke Energy Carolinas and Duke Energy Progress. The additional revenues sought there would go in part to make electric grid reliability and security improvements and help it collect more power from renewable sources.

The seven-member Utilities Commission generally has the final say on rate filings, barring appeals. Companies and customer advocates — the commission’s Public Staff among them — can push back on Duke Energy’s requests.

Annual fuel rate filings reflect changing commodity prices and supply and demand. Before a 9.6% fuel filing increase for residential customers last year by Duke Energy Carolinas, the utility’s fuel rates had dropped for these customers in eight of the past 10 years in North Carolina, Duke Energy said. While natural gas prices have fallen recently, North Carolina law prevented the utility from seeking a rate adjustment for the higher prices until now.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

Republican presidential candidates, former New Jersey Gov. Chris Christie, left, talking with forme...

Associated Press

The GOP debate field was asked about Trump. But most of the stage’s attacks focused on Nikki Haley

The four Republican presidential candidates debating Wednesday night mostly targeted each other instead of Donald Trump.

5 days ago

Law enforcement officers head into the University of Nevada, Las Vegas, campus after reports of an ...

Associated Press

Police say 3 dead, fourth wounded and shooter also dead in University of Nevada, Las Vegas attack

Police said a suspect was found dead Wednesday as officers responded to an active shooter and reports of multiple victims at UNLV.

5 days ago

President Joe Biden's son, Hunter Biden, leaves after a court appearance, July 26, 2023, in Wilming...

Associated Press

Republicans threaten contempt proceedings if Hunter Biden refuses to appear for deposition

House Republicans are threatening to hold Hunter Biden in contempt if he does not show up this month for a closed-door deposition.

5 days ago

Sen. Tommy Tuberville, R-Ala., listens to a question during a news conference, March 30, 2022, in W...

Associated Press

Tuberville is ending blockade of most military nominees, clearing way for hundreds to be approved

Sen. Tommy Tuberville announced Tuesday that he's ending his blockade of hundreds of military promotions, following heavy criticism.

6 days ago

An employee works inside the Hanwha Qcells Solar plant on Oct. 16, 2023, in Dalton, Ga. On Tuesday,...

Associated Press

US job openings fall to lowest level since March 2021 as labor market cools

U.S. employers posted 8.7 million job openings in October, the fewest since March 2021, in a sign that hiring is cooling.

6 days ago

Megyn Kelly poses at The Hollywood Reporter's 25th annual Women in Entertainment Breakfast, Dec. 7,...

Associated Press

The fourth GOP debate will be a key moment for the young NewsNation cable network

By airing the fourth Republican presidential debate, NewsNation network will almost certainly reach the largest audience in its history.

6 days ago

Sponsored Articles

Follow @KTAR923...

Valley residents should be mindful of plumbing ahead of holidays

With Halloween in the rear-view and more holidays coming up, Day & Night recommends that Valley residents prepare accordingly.

Follow @KTAR923...

West Hunsaker at Morris Hall supports Make-A-Wish Foundation in Arizona

KTAR's Community Spotlight this month focuses on Morris Hall and its commitment to supporting the Make-A-Wish Foundation in Arizona.

...

Desert Institute for Spine Care

Desert Institute for Spine Care (DISC) wants to help Valley residents address back, neck issues through awake spine surgery

As the weather begins to change, those with back issues can no longer rely on the dry heat to aid their backs. That's where DISC comes in.

Duke Energy Carolinas seeks big rate increases for gas costs