Duke Energy’s Carbon Plan: What stakeholders need to know

According to the North Carolina Utilities Commission, the Carbon Plan, also known as the Consolidated Carbon Plan, was submitted by Duke Energy Progress LLC and Duke Energy Carolinas LLC to meet the North Carolina General Assembly’s carbon dioxide emissions reduction mandate on Nov. 1, 2024 [1]. The plan was approved under House Bill 951, “Energy Solutions for North Carolina,” a bipartisan law that requires Duke Energy to reduce carbon emissions by 70% from 2005 levels by 2030 and achieve net-zero emissions by 2050 [2]. The parameters for meeting these goals include, but are not limited to, grid modernization, energy storage and efficiency, and improved energy demand management while transitioning away from coal as a base energy source [2].

However, legislation such as Senate Bill 266, along with policy shifts favoring fossil fuels under the current administration and increased demand from data centers, has prompted Duke Energy to propose rolling back provisions from an earlier version of the plan [3]. Those proposed changes include extending the use of coal by two to four additional years beyond the original timeline, eliminating the interim goal of reducing emissions by 70% by 2030, and reducing investment in renewable energy sources such as wind, solar and hydropower [3]. In addition to placing climate targets at risk, community advocates have raised concerns about the siting of fossil-fueled power plants near Black communities and the financial impact of the revised plan on Black residents and other marginalized groups in North Carolina [4].

Utility rates are another significant concern stemming from changes to the Carbon Plan. The costs associated with continuing coal operations, expanding data center infrastructure, and delaying the transition to clean energy are often passed on to consumers. At a time when rates are already rising, Duke Energy has requested billions in additional revenue, with proposed increases averaging about 15%, which would cost the typical household approximately $30 more per month [5]. Delaying the retirement of coal facilities would also increase environmental harm, further burdening communities already disproportionately affected by pollution. Duke Energy projects an additional 47,331 gigawatt-hours of demand by 2036 due to data centers — nearly 50 times New York City’s annual electricity consumption [6].

Given the potential impact of these changes, community stakeholders and concerned residents are encouraged to attend public hearings on the current Carbon Plan. CleanAIRE NC provides listings for each public hearing, along with an Advocacy Toolkit [4]. For a comprehensive analysis of the proposed plan, see the review by the North Carolina Sustainable Energy Association [2].

References

1. NCUC: Carbon Plan
2. North Carolina’s Carbon Plan (CPIRP) – NC Sustainable Energy Association
3. In Its New Carbon Plan, Duke Energy Gambles on Coal as a Shorter-Term Fix for Powering Data Centers
4. The Carbon Plan – CleanAIRE NC
5. Duke Energy seeks higher rates, profits in NC despite soaring disconnections
6. Environmentalists and clean energy advocates decry Duke’s proposed Carbon Plan