Duke Energy prices may drop after rate decrease filed

Duke Energy Carolinas has a filed a request with the Public Service Commission of South Carolina that could slightly decrease customer rates.

As proposed, fuel charge rates for general service customers would be 2.4 percent, lighting customers 1.4 percent, and industrial customers 3.5 percent.

If the new fuel charge is approved, electric rates for residential customers would decrease about 0.9 percent or about $1.06 per month – from $117.05 to $115.99 – for those using 1,000 kilowatt-hours a month, Duke Energy Carolinas said a statement released Monday.

Duke Energy Carolinas said it proposed the rate decrease because of lower projected coal and natural gas prices and a $19-million decrease in the period “true-up” of fuel costs from the prior year's projection

These deductions were partially offset by higher projected nuclear fuel prices and higher sales, the company said.

Duke Energy Carolinas makes a fuel cost-recovery filing annually in South Carolina. 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.

The Public Service Commission 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 new fuel rates would start Oct. 1.

This story was originally published August 3, 2015 at 10:54 AM with the headline "Duke Energy prices may drop after rate decrease filed."