Jackson opposes Duke Energy Progress settlement with 6.8% residential rate increase
RALEIGH — North Carolina Attorney General Jeff Jackson said Wednesday that he will not sign a proposed settlement in Duke Energy Progress’ pending rate case, arguing that a planned 6.8% residential rate increase remains too high.
Duke Energy Progress originally sought an 18.1% residential rate increase over two years. Duke later reached a proposed settlement with the North Carolina Public Staff and other parties that would reduce that increase to approximately 6.8%, according to the Department of Justice.
The settlement remains subject to approval by the North Carolina Utilities Commission, which has authority over regulated utility rates. If regulators approve the proposal as filed, the first new rates would take effect Jan. 1, 2027.
Jackson said his office believes the revised increase remains higher than necessary to cover Duke's investments.
The proposal also contains provisions affecting large power users. Duke Energy Progress agreed to participate in a separate expedited proceeding already involving Duke Energy Carolinas to develop rules for data centers and other large electricity customers.
Jackson has advocated for creating a separate rate structure for large energy users so infrastructure costs associated with those customers are not shifted to residential ratepayers.
Under another provision of the proposed settlement, Duke shareholders would contribute $10 million toward programs designed to help customers pay electric bills and weatherize homes.
The Progress case is separate from a Duke Energy Carolinas rate proceeding. Jackson declined in July to sign that proposed settlement, which the Department of Justice said would increase residential rates by about 9.5%. Duke Energy Progress primarily serves eastern North Carolina and the Asheville area, while Duke Energy Carolinas serves much of central and western North Carolina.
The attorney general is also seeking to have Duke formalize commitments involving large electricity users that were included in a federal ratepayer protection pledge.
The Utilities Commission will ultimately determine whether the proposed Duke Energy Progress settlement is accepted, modified or rejected.
Editor’s note:
This article was drafted with the assistance of artificial intelligence and was reviewed and fact-checked by a member of the NC Political News editorial team before publication.
