DUK · 8-K · 20260805PR091159
Rate Case Outcomes
Duke Energy CORP · 2026-08-05 · Importance 59 · Surprise 60 · Contradicted
Duke Energy Progress filed with the North Carolina Utilities Commission (NCUC) for retail revenue increases, initially seeking approximately $729 million over two years and later reducing the request to $610 million. The Comprehensive Revenue Requirement Settlement filed on August 5, 2026, reduces the increase to $338 million over two years, equivalent to an average annual rate increase of 3.4%. The settlement establishes a 9.8% return on equity with a 53% equity component, extends deferred coal ash amortization from five to eight years, and increases annual production tax credit refunds to customers to $120 million in 2027 and 2028 from $40 million. Subject to NCUC approval, Year 1 rates are requested to take effect no later than January 1, 2027, and the settlement is expected to produce approximately $30 million of one-time pre-tax accounting charges in 2026.
Key facts
- DEP will increase the flow back of production tax credits to customers from $40 million annually in the Company’s original request to $120 million annually for 2027 and 2028. source
- The initial filing requested an approximately 15.1% overall increase in retail revenues over the two-year period, or approximately $729 million. source
- On July 24, 2026, the Company filed an updated revenue requirement request which reduced the requested increase to approximately $610 million over the two-year period, which is an approximate 12.3% overall increase in retail revenues. source
- The Comprehensive Settlement results in a revised revenue requirement increase of $338 million over the two-year period, an average annual rate increase of 3.4% over two years. source
- After all adjustments the revised revenue requirement increase after the Comprehensive Settlement was $338 million (combined total). source
- On August 5, 2026, DEP and the Public Staff and other intervening parties filed a Comprehensive Revenue Requirement Settlement with the NCUC resolving all remaining revenue requirement issues in the case. source
- The Comprehensive Settlement includes agreement on 9.8% ROE and 53% equity component in the capital structure. source
- The Comprehensive Settlement is expected to result in one-time pre-tax accounting charges of approximately $30 million, to be recognized by DEP in 2026. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | probable | +2.2% | The Comprehensive Settlement results in a revised revenue requirement increase of $338 million over the two-year period, an average annual… |
| revenue | negative | probable | -1.1% | DEP will increase the flow back of production tax credits to customers from $40 million annually in the Company’s original request to $120… |
| operating_income | negative | committed | -0.3% | The Comprehensive Settlement is expected to result in one-time pre-tax accounting charges of approximately $30 million, to be recognized… |
| operating_income | negative | probable | — | The Comprehensive Settlement includes agreement on 9.8% ROE and 53% equity component in the capital structure. |
| revenue | unclear | contingent | — | The Company will evaluate the potential to delay its next base rate case filing until no earlier than November 1, 2028. |
| assets | negative | probable | — | Under the Comprehensive Settlement the historic base case is based on North Carolina retail rate base of approximately $17.8 billion. |
| cash | negative | committed | — | DEP agrees to a $10 million shareholder contribution to support bill assistance through the Share the Light Fund and health and safety… |