Duke Energy announced on Mar. 10 that it has reached settlement agreements with several organizations, including the North Carolina Public Staff and the North Carolina Attorney General’s Office, regarding its proposed combination of Duke Energy Carolinas and Duke Energy Progress. The agreement is designed to provide measurable benefits and cost savings for customers in North Carolina and South Carolina.
The proposed merger aims to lower costs for customers by streamlining operations and improving efficiency across both utilities. According to Kendal Bowman, Duke Energy’s North Carolina president, “We’re pleased that Public Staff and the Attorney General’s Office agree our customers will see significant future cost savings and other meaningful benefits from combining our two utilities. It reduces customer costs, simplifies operations, promotes regulatory efficiencies and supports economic growth across the Carolinas.”
The settlement guarantees hundreds of millions of dollars in future savings for customers through more efficient production and planning. Examples include using less fuel, reducing out-of-state energy purchases, and eliminating 200 megawatts of battery storage from long-term plans while maintaining reliability. These guaranteed savings will be tracked over a 14-year period.
A recent analysis filed in October projected approximately $2.3 billion in customer savings from 2027 to 2040 after expenses, with additional savings expected beyond that timeframe as plans evolve. If approved by state regulators, Duke Energy will report annually on achieved customer savings until all transaction costs are covered.
Other parties joining the settlement include Google, Nucor, Walmart, the North Carolina Housing Coalition, North Carolina Justice Center, North Carolina Sustainable Energy Association, Southern Alliance for Clean Energy, and Vote Solar. The Federal Energy Regulatory Commission approved the combination on Jan. 30; approvals from the North Carolina Utilities Commission and Public Service Commission of South Carolina are still pending. Independent orders are expected in the second quarter of 2026 with a targeted effective date of Jan. 1, 2027 if approved.
Duke Energy Carolinas serves about 2.9 million customers with a capacity of 20,800 megawatts across a service area spanning both states. Duke Energy Progress supplies electricity to about 1.8 million customers with a capacity of 13,800 megawatts over a larger area.
Duke Energy is one of America’s largest energy holding companies serving electric utility customers across six states.
