Duke Energy has filed a request with state and federal regulators to combine its two electric utilities in the Carolinas, Duke Energy Carolinas (DEC) and Duke Energy Progress (DEP). The company projects that this move could result in billions of dollars in customer savings, including more than $1 billion through 2038.
The combination would create a single utility serving the Carolinas, streamlining operations and reducing costs. DEC and DEP have operated as separate entities since the 2012 merger of Duke Energy and Progress Energy. The proposed reorganization is intended to align corporate divisions for greater efficiency rather than being a traditional merger.
“Combining our two utilities reduces customer costs, simplifies operations, supports economic growth and promotes regulatory efficiencies, all of which will create value for customers in both states,” said Kodwo Ghartey-Tagoe, executive vice president and CEO of Duke Energy Carolinas. “There will be no immediate changes to retail customer rates or services. We look forward to sharing more details with our customers on how rates will evolve over time if the combination is approved by regulators.”
If approved by regulators—including the North Carolina Utilities Commission, the Public Service Commission of South Carolina, and the Federal Energy Regulatory Commission—the targeted effective date for the combination is January 1, 2027. There would be no immediate changes to customer bills or service before that date; any adjustments to rates would occur gradually after approval.
According to Duke Energy, combining DEC and DEP would allow for more efficient planning across their combined 52,000-square-mile service area in North Carolina and South Carolina. The company expects this approach will help avoid redundant investments, improve grid reliability, moderate rate impacts by spreading infrastructure costs over a larger base of customers, and reduce maintenance expenses by operating fewer generating units.
Since their holding companies merged in 2012, joint dispatching of power generation resources has already produced over $1 billion in cumulative savings for customers. However, further coordination between DEC and DEP has been limited by regulation; only a full combination can unlock additional savings opportunities.
The proposed reorganization would also simplify regulatory compliance by reducing duplicative filings across state lines. Each state’s commission will continue to regulate retail rates separately after the combination.
Duke Energy serves about 8.6 million electric customers across several states including North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky. Its subsidiaries own significant energy capacity: DEC provides electricity to approximately 2.9 million customers across a 24,000-square-mile area while DEP serves about 1.8 million customers over 28,000 square miles.
The company continues investing in modernizing its grid infrastructure and expanding cleaner energy sources such as renewables and storage as part of an ongoing transition toward smarter energy solutions.
More information can be found at duke-energy.com or through Duke Energy’s official social media channels.
