Duke Energy Carolinas Electric Rate Increases: What Customers Need to Know

After raising rates each of the last three years, Duke Energy Carolinas (DEC) is proposing another series of rate hikes, beginning with a 12% increase to residential bills in early 2027.

While 2026 will see the final “Step 3” increase from the previous 2023 rate case, the utility has officially filed a new proposal for 2027 and 2028 that significantly escalates costs for North Carolina households.

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At-A-Glance: Duke Energy Carolinas Rate Impact

Why Is Duke Energy Carolinas Asking for Higher Rates?

According to the filing, Duke Energy is requesting a massive revenue boost to support an $8.3 billion investment plan. This plan is driven by North Carolina’s rapid population growth and the massive energy demands of new manufacturing and data centers.

Key drivers include:

• Grid Modernization: $3.2 billion for 436 projects aimed at “self-healing” grid technology and storm resilience.

• Energy Storage: $1.7 billion for battery storage to replace retiring coal plants.

• Nuclear & Renewables: Over $900 million for nuclear license renewals and 276 MW of new solar capacity.

• Greater Return on Equity: Duke is requesting to increase its Return on Equity (ROE) to 10.95%, one of the highest requested ROEs in the industry nationwide.

How Will the Proposed Rates Impact Your Bill?

For a typical family in North Carolina using 1,000 kWh per month, the proposed increases represent a permanent shift in the cost of living. By 2028, the average monthly bill is projected to be $168.54—up significantly from the $130.29 average seen in early 2024.

Over the next decade, this 2027-2028 hike alone will cost the average household an additional $2,800. This does not account for annual “fuel riders” or potential future base rate cases, which could push the total 10-year cost increase well above $5,000 for many families.

How to Offset the Duke Energy Rate Hike

Installing solar is the most effective tool for North Carolinians to hedge against these compounding rate increases. By producing your own power at a low and predictable cost, you reduce the number of kilowatt-hours Duke can charge you for at these new, higher rates.

Plus, solar paired with battery storage can power your home when the grid fails, keeping you safe, comfortable, and productive.

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Frequently Asked Questions

1. When will the next big increase start? While smaller adjustments occur in 2026, the major $17.22 monthly increase is proposed to take effect on January 1, 2027, followed by another jump in 2028.

2. Is this increase due to data centers? Yes, in part. Duke cites “advanced manufacturing and data centers” as primary drivers for the $8.3 billion in new infrastructure needed to support the state’s growth.

3. Can I voice opposition to this rate hike? Yes. The NCUC will hold a series of public hearings in Spring 2026 (including Raleigh on March 30 and Charlotte on April 29) where customers can testify.