Duke Energy's Rate Hike Proposal Sparks Concern for Low-Income Customers

Duke Energy's bid to increase electric rates in North Carolina has been met with opposition from politicians, consumer advocates, and the public. The proposed rate hike could result in an average increase of $10 per month for residential customers. However, low-income families may face much steeper increases, as a program providing a $42 monthly bill credit is set to expire.

## Impact on Low-Income Customers The Customer Assistance Program, which has been in place since early 2024, has provided vital support to tens of thousands of low-income residents. The program is set to expire on December 31, and no replacement is currently planned. Customers who began receiving the benefit in 2026 will not receive a full year of relief and will see their bills spike in January. Aid organizations and advocates say the program's demise is poorly timed, given the current economic climate and the fact that many households are already struggling with inflation and volatile gas prices.

## Program Details The Customer Assistance Program was designed to provide a $42 monthly bill credit to low-income customers who are enrolled in certain federal programs. The program is administered in partnership with the North Carolina Department of Health and Human Services, which verifies the eligibility of participating households. The program also provides referrals to internal programs and outside organizations that offer free energy-efficiency upgrades, such as weatherization services. These services can help reduce energy demand and lower monthly bills.

## Proposed Rate Hike Duke Energy's proposed rate hike has been the subject of intense public and political backlash. The company initially proposed an 18% rate increase over two years, but has since revised its proposal to a 9.5% increase over the same period. The revised proposal includes a commitment from Duke shareholders to contribute $20 million to bill aid and home repairs. However, the Customer Assistance Program is not included in the revised proposal, and its future remains uncertain.

| Program | Monthly Bill Credit | Eligibility | | --- | --- | --- | | Customer Assistance Program | $42 | Low-income customers enrolled in certain federal programs | | Low-Income Energy Assistance Program | one-time payment | Households earning at or below 150% of the federal poverty level | | Crisis Intervention Program | aid to prevent utility shutoffs | Households earning at or below 150% of the federal poverty level |

Advocates for low-income customers say that the Customer Assistance Program should be made permanent, given its proven benefits in reducing energy burdens and preventing utility shutoffs. However, Duke Energy has made no commitment to continue the program, and its spokesperson has suggested that the costs of the program may outweigh its benefits. The North Carolina Utilities Commission will ultimately decide the fate of the program, but advocates say that the company should take a more proactive role in supporting its low-income customers.