Duke Energy Proposes Electricity Rate Increase in South Carolina

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News Summary

Duke Energy has proposed a 12.1% electricity rate increase in South Carolina to improve infrastructure resilience and fund a new natural gas plant. If approved, residential customers could see their monthly bills rise by approximately $21.66. This initiative comes in response to recent weather challenges and aims to bolster grid reliability. The company also supports legislative measures to enhance energy security and diversify energy sources through various technologies, including solar and hydrogen.

South Carolina – Duke Energy has announced a proposed electricity rate increase aimed at enhancing infrastructure resiliency and the construction of a new natural gas plant in the state. The increase, which accounts for a 12.1% rise in current revenues, would generate an additional $74.8 million. If approved, residential customers could see their monthly bills rise by approximately $21.66, raising the average charge from $144.85 to $166.51 starting February 1, 2026. Commercial and industrial customers would face average hikes of 12.8% and 3.6%, respectively.

Tim Pearson, President of Duke Energy’s utility operations in South Carolina, oversees the initiative as part of the company’s commitment to delivering reliable energy and enhancing economic vitality. Duke Energy currently serves about 835,500 electric retail customers and 164,000 natural gas customers across the state. The significant rate increase is a reflection of necessary investments to bolster grid resilience and preparedness for storm-related challenges, particularly in light of recent experiences with major weather events.

Hurricane Helene, which caused widespread power outages for 1.34 million customers, underscored the necessity for improved infrastructure. Duke Energy has committed to developing more robust systems that incorporate self-healing technology. In 2024 alone, this technology prevented around 130,000 outages and saved over 320,000 outage hours.

Proposed Natural Gas Plant

In conjunction with the rate increase, Duke Energy intends to file an application for the construction of a new natural gas-fired combined-cycle power plant in Anderson County. This project, which is anticipated to produce roughly 1,400 megawatts of power, marks the company’s first substantial request for new generation capacity in South Carolina in over a decade. Construction is projected to commence in summer 2027, with operations expected to begin in early 2031. GE Vernova will be responsible for providing the gas turbines, manufactured in Greenville, South Carolina.

Legislative Support and Sustainability Efforts

Duke Energy supports legislative measures, particularly House Bill 3309, designed to expand energy generation capabilities to match South Carolina’s growth needs. The company champions an “all of the above” energy strategy that diversifies energy sources and strengthens energy security. Their resource plan includes investments not only in natural gas but also in hydrogen technology, solar power, battery storage, advanced nuclear capabilities, and energy-efficient programs.

Community Commitment

Beyond infrastructure enhancements, Duke Energy also invests in community welfare. The Duke Energy Foundation has contributed over $2 million since 2021 to combat hunger in the region, while employees collectively volunteered more than 4,500 hours in community service last year.

As Duke Energy prepares to submit its application for the new plant later in 2025 and advances the rate increase proposal, the utility company’s focus remains on maintaining effective energy delivery and supporting the economic stability of the communities they serve. The strategic initiatives are part of a broader commitment to ensuring reliable service and infrastructure development in South Carolina amidst an evolving energy landscape.

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Author: HERE Florence

HERE Florence

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