Duke Energy Carolinas Proposes Annual Update to Fuel Charges for South Carolina Customers

Duke Energy Carolinas today made its annual filing with the Public Service Commission of South Carolina (PSCSC) for the costs associated with the purchase of fuel to generate electricity at its power plants.

The PSCSC reviews fuel costs and adjusts the fuel component of customer rates accordingly. By law, the company makes no profit from the fuel component of rates.

If approved, the total monthly impact for a typical residential customer in South Carolina using 1,000 kilowatt-hours (kWh) per month would be an increase of $4.75. Commercial customers would see an average increase in the fuel charge of about 6.1 percent, and industrial customers would receive an average increase of about 8.0 percent.

Natural gas prices rose this winter due to heavy demand for residential, commercial, and industrial usage to meet customer energy needs during prolonged freezing conditions. These increased prices, coupled with high demand, contributed to an under collection for the cost of fuel over the past year. The elevated demand for power resulted in the highest energy usage week on record in the Carolinas.

The fuel rate is based on the projected cost of fuel used to provide electric service to the company's customers, plus a true-up of the prior year's projection. If approved by the PSCSC, the new fuel rates would go into effect Oct. 1.

Duke Energy Carolinas serves customers primarily in the Upstate of South Carolina.