Duke Energy Rates Dropping Due to Fuel Prices Falling

Duke Energy Carolinas customers in South Durham could see lower electric bills beginning Jan. 1, thanks to annual adjustments in fuel costs and other rider programs.

A typical residential customer using 1,000 kilowatt-hours (kWh) per month could see a 6.2% reduction in their bill, translating to a savings of $8.96 per month. Rates will drop from $144.31 to $135.35, well below the national average of $174.21. This reduction amounts to an annual savings of approximately $466.

Commercial customers will benefit from an average 11.5% decrease, while industrial customers will see smaller reductions of less than 1%.

Duke Energy Carolinas provides electricity to 2.2 million homes and businesses in central and western North Carolina, including areas such as Charlotte, Durham, and the Triad.

Meanwhile, Duke Energy Progress customers in other parts of the state have been enjoying a 4.5% rate decrease since Dec. 1.

The rate changes stem from the North Carolina Utilities Commission’s (NCUC) annual review of fuel expenses and adjustments to state-mandated riders promoting clean energy and energy efficiency. Key updates approved by the commission include:

• An 8.8% decrease due to declining fuel prices.
• A 0.6% decrease linked to nuclear production tax credits under the Inflation Reduction Act (IRA). More than half of Duke Energy’s electricity in the Carolinas is generated by carbon-free nuclear power.
• Minor adjustments—less than 1%—to riders for customer assistance, storm securitization, and energy efficiency programs.
• A 2.9% increase in base rates approved last January as part of a multiyear rate plan.

Despite the base rate increase, the fuel cost reductions led to an overall 6.2% decrease for residential customers.