Duke Energy Files to Recover Winter Fuel and Purchased Power Costs; Rate Impact Expected Beginning June 1 as the Company Plans 19,600 MW of New Generation in the Carolinas

Duke Energy has filed requests with the North Carolina Utilities Commission (NCUC) to recover fuel and purchased power costs incurred during one of the most extreme winter periods in the past decade, driven by record customer energy demand during cold weather and the company’s commitment to keep electricity available and reliable.

Extreme winter demand drove record electricity use

Extreme cold across North Carolina in late January and early February pushed electricity demand beyond what existing power plants and storage resources alone could supply. During sustained subfreezing temperatures—about 10 to 20 degrees below normal—customer energy use surged across the Carolinas.

On Jan. 27, energy demand reached a new winter peak of 37,308 megawatt-hours, the highest on record across Duke Energy’s Carolinas system.

To maintain service through prolonged freezing conditions, Duke Energy purchased additional electricity from neighboring utilities at elevated market prices.

Reliance on purchased power and grid reliability

“When customers need power the most – during extreme cold or heat – reliability is not optional,” said Kendal Bowman, Duke Energy’s North Carolina president. “Our responsibility is to deliver electricity safely and reliably, even when demand exceeds what our system can supply on its own.”

Duke Energy said it relied on regional energy utilities to supplement its own generation to ensure continuous service during the prolonged cold weather.

Supporting reliability amid growing demand

Duke Energy cited ongoing growth in North Carolina’s economy and population as a driver of sustained increases in electricity demand year-round.

• Duke Energy has added approximately 150,000 customers in North Carolina over the past two years, primarily residential and small business customers.
• In 2025, companies announced projects bringing more than 35,000 jobs and $24 billion in investment statewide, much of it tied to energy-intensive manufacturing.

To serve future growth and reduce reliance on purchased power, Duke Energy plans to add 19,600 megawatts of diverse new generation capacity over the next decade, including new power plants in Person County, N.C., and Anderson County, S.C., along with grid upgrades and energy storage.

“Energy conservation helps manage costs, but long-term reliability requires new infrastructure,” Bowman said. “Meeting customer demand – today and in the future – means investing in a system that can perform under the most extreme conditions.”

Requested recovery of extraordinary fuel and purchased power costs

The filings seek recovery of fuel and purchased power costs, including solar purchases, incurred during the winter period—approximately $500 million for Duke Energy Carolinas and $309 million for Duke Energy Progress. Duke Energy said these pass-through costs reflect actual expenses, without markup, necessary to supply power.

To reduce the immediate impact on customers, Duke Energy is proposing to spread recovery over 19 months rather than the typical 12-month period.

Estimated monthly impact if approved

• Typical Duke Energy Carolinas residential customers using 1,000 kWh per month would see an increase of about $6.90 per month starting June 1.
• Typical Duke Energy Progress residential customers using 1,000 kWh per month would see an increase of about $7.88 per month starting June 1.

Customer support and bill management resources

Duke Energy said it offers resources to help customers manage energy use and bills, including energy efficiency programs, budget billing and payment plans, and financial assistance and agency partnerships.

More information is available at duke-energy.com/help and duke-energy.com/BillHelp.

Service footprint and capacity

Duke Energy Carolinas serves about 2.3 million households and businesses in central and western North Carolina, including Charlotte, Durham and the Triad. Duke Energy Progress serves about 1.6 million customers in central and eastern North Carolina and in the Asheville region.

Duke Energy Carolinas

Duke Energy Carolinas, a subsidiary of Duke Energy, owns 20,800 megawatts of energy capacity, supplying electricity to 3 million residential, commercial and industrial customers across a 24,000-square-mile service area in North Carolina and South Carolina.

Duke Energy Progress

Duke Energy Progress, a subsidiary of Duke Energy, owns 13,800 megawatts of energy capacity, supplying electricity to 1.8 million residential, commercial and industrial customers across a 28,000-square-mile service area in North Carolina and South Carolina.

Company overview

Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America’s largest energy holding companies. Its electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.

Duke Energy said it is executing an energy modernization strategy, investing in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.