North Carolina Utilities Commission Order on Duke Energy Carbon Plan Leaves Path to Offshore Wind on the Table

RALEIGH, N.C. (November 4, 2024) - On Friday, the North Carolina Utilities Commission issued an order in the Carbon Plan docket, almost two months ahead of schedule. As expected, it largely ratifies an agreement reached by Duke Energy and the state's Public Staff, which allows Duke to delay its timeline for hitting the 70% by 2030 carbon reduction target set by a 2021 state law. The Commission, in its order, will still require Duke to take "all reasonable steps" to hit the target by the "earliest possible date." While those elements of the order are not well-defined, a new analysis from Environmental Defense Fund (EDF) comes to the conclusion that North Carolina can still hit the target by 2032, even with the new gas resources Duke will pursue under this order.

"Although the Commission missed an opportunity in this order to require Duke to move more quickly on offshore wind, proceedings in 2025 present another chance to get North Carolina back on track to achieving the carbon reduction goals as directed by state law," said Will Scott, EDF's Director of Southeast Climate and Clean Energy. "By accelerating offshore wind and solar, the Commission can still set a course for meaningful emissions reductions from the power sector that are fueling the effects of climate change, including dangerous and expensive storms like Hurricane Helene."

As Will Scott further elaborates in a new blog post, EDF's analysis found that modest alterations to the proposed stipulation could put us back on target to hit the 70% by 2030-32 interim target that House Bill 951 put into law in 2021 by overwhelming, bi-partisan majorities. Incremental increases in our annual solar procurement targets and adopting an offshore wind build schedule consistent with what developers have publicly committed to delivering would make way for accelerated coal plant retirement and avoid the construction of at least two large additional gas power plants that would tie ratepayers to years of stranded costs and leave us at the mercy of volatile oil and gas markets.

"North Carolina ratepayers deserve cleaner, more affordable energy choices, and the state law passed in 2021 requires Duke to develop a plan that reduces emissions and diversifies its energy sources to include renewable energy alternatives to polluting, expensive gas plants," added Scott. "This new analysis shows that delivering the cleaner, predictably-priced alternative ratepayers were promised is still possible on the timeline the law directs. It remains up to the Commission to follow through on that target."