Duke Energy outlines steps to reliably serve record customer demand resulting from extreme winter weather

• Extreme cold in late January and early February required Duke Energy to purchase power from other utilities - to be reflected in customer rates beginning June 1 - reinforcing need for new generation in the Carolinas

CHARLOTTE, N.C. - Duke Energy has filed requests with the North Carolina Utilities Commission (NCUC) related to fuel and purchased power costs incurred during one of the most extreme winter periods in the past decade - costs driven by record customer energy demand resulting from the cold weather and the utility's commitment to keep power available and reliable when it is needed most.

Why it matters

• 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.
  
• To ensure homes and businesses stayed warm and powered during prolonged freezing conditions, Duke Energy purchased additional electricity from neighboring utilities at elevated market prices.
  
• These actions underscore the importance of continued investment in reliable, around-the-clock generation and grid infrastructure as customer demand continues to grow.

Meeting record demand during extreme conditions

During sustained subfreezing temperatures - 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.

"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."

To meet that obligation, Duke Energy relied on regional energy utilities to supplement its own generation, ensuring continuous service during prolonged cold weather.

Supporting reliability for a growing state

North Carolina's strong economic and population growth is driving sustained increases in electricity demand year-round - not only during extreme weather.

• Duke Energy has added approximately 150,000 customers in North Carolina over the past two years, primarily residential and small business customers.
  
• In 2025 alone, 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 minimize our reliance upon purchased power from other utilities, 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."

Recovering extraordinary fuel and power costs

The filings request 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. These pass-through costs represent the actual expenses, without markup, necessary to supply power.

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

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.

Helping customers manage energy costs

Duke Energy recognizes the financial pressures customers face and offers a range of resources to help manage energy use and bills, including:

• Energy efficiency programs
  
• Budget billing and payment plans
  
• Financial assistance and agency partnerships

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

Duke Energy Carolinas serves about 2.3 million households and businesses in central and western North Carolina, including Charlotte, Durham and the Triad, while 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.

Duke Energy

Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's 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 is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.

More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.

Contact: Bill Norton
24-hour media line: 800.559.3853