Duke Energy claims to have reached agreements with multiple parties to further protect existing customers in North Carolina from the costs associated with data centers, while also generating billions of dollars in long-term revenue.
Charlotte, North Carolina, October 7, 2026 / PRNewswire / — Duke Energy announced that the company has reached an agreement with relevant stakeholders to further protect existing customers in North Carolina from bearing the costs incurred in providing services to data centers and other large-scale load customers.
Duke Energy stated that the company proactively implemented important customer protection measures in 2024 to ensure that large load customers bear the related costs of the services provided to them. This agreement formalizes these protection measures in writing and further strengthens them on that basis.
These adjustments are reflected in a new settlement agreement reached between two public utility companies in North Carolina under the company's umbrella – Duke Energy Carolinas and Duke Energy Progress – and the North Carolina Public Affairs Office (North Carolina Public Staff), which represents utility customers. Other parties to the agreement include Amazon, Google, Meta, Microsoft, Carolina Industrial Group, for, Fair Utility Rates, as well as the U.S. Department of Defense.
Duke Energy's President for North Carolina, Kendal Bowman, stated: "It's quite simple – the data center will prepay the full cost of connecting to the power grid. We are isolating these costs for other customers in a way that protects the reliability of power supply and ensures that everyone can benefit from North Carolina's upcoming economic growth."
Protocol Summary:
- For power grid facilities that serve only that customer, the customer is required to pay a non-refundable upfront fee, such as for the substation used to connect to the power grid.
- For power grid upgrade projects that serve all customers, such as transmission lines, customers are required to pay a deposit in advance and provide a guarantee.
- New large-load customers, including new data centers, must receive power supply services according to a high-load coefficient (High Load Factor) tariff table – this is a separate tariff established for large loads.
Why it's important:Duke Energy had previously required data centers and other large-load customers (100 megawatts or more) to agree to the relevant contract terms in order to protect other customers from incurring such costs. The company stated that, if approved by state regulatory authorities, this new agreement will apply to all large-load customers in North Carolina who sign electricity service agreements (ESA) after June 1, 2026, with a standard of 50 megawatts or more and a load factor of 80%. For electricity service agreements signed before June 1, a comprehensive set of similar customer protection measures are already included.
Duke Energy stated that in July, the company announced the “Customer Protection Plus” framework, which outlines how data center growth will generate billions of dollars in revenue for customers in the future and save expenses for existing customers. The company said that this agreement is a supplement to that framework and specifically addresses issues raised by regulatory authorities and customers in North Carolina. For more information about Duke Energy’s data center solutions, please refer to duke-energy.com / DataCenters.
Next step:The agreement still requires approval from the North Carolina Public Utilities Commission, with a decision expected to be made in mid-November.
Duke Energy Carolinas serves approximately 2.3 million households and businesses in central and western North Carolina, covering areas such as Charlotte, Durham, and Triad; Duke Energy Progress provides services to around 1.6 million customers in central and eastern North Carolina as well as the Asheville region. The two companies will merge into a single utility company on January 1, 2027.
About Duke Energy
Duke Energy ( NYSE : DUK ), headquartered in Charlotte, North Carolina, is one of the Fortune 150 companies and also one of the largest energy holding companies in the United States. The company's electric utility business serves 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio, and Kentucky, with a total installed energy capacity of 55,700 megawatts. Its natural gas utility business serves 1.6 million customers in North Carolina, South Carolina, Ohio, and Kentucky.
Duke Energy stated that the company is advancing its energy modernization strategy. While investing in grid upgrades and efficient power generation resources, it places customer value at the core in order to enhance system resilience and meet the growing energy demands.
For more information, please visit duke-energy.com.
