Dive Brief:
- The North Carolina Utilities Commission on Friday accepted the integrated resource plan filed in August by Duke Energy Progress and Duke Energy Carolinas, approving the construction of several new gas-fired plants as well as the procurement of solar, battery storage, onshore wind, pumped hydropower and advanced nuclear generation.
- The proposed plan was the result of a July settlement agreement reached by Duke Energy, NCUC Public Staff, Walmart and the Carolinas Clean Energy Business Association, “which allows Duke to delay its timeline for hitting the [70% below 2005 levels] by 2030 carbon reduction target set by a 2021 state law,” said the Environmental Defense Fund in a Monday release.
- NCUC’s Nov. 1 order requires that Duke take all reasonable steps to hit that carbon reduction target as early as possible, and EDF said it recently completed an analysis showing that “North Carolina can still hit the target by 2032, even with the new gas resources Duke will pursue under this order.”
Dive Insight:
The order also approves Duke conducting an advanced request for information, or ARFI, process to “gather information regarding the development of up to 2,400 MW of offshore wind” with the aim to have this generation in commercial operation by 2035.
“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.
The other approved actions include:
- “Retiring the [company’s] remaining coal-fired generating units, more than 8,000 MW, by 2036;
- Conducting two competitive solar procurements between 2025 [and] 2026, targeting 3,460 MW of new controllable solar generation to be placed into service by 2031;
- Procuring 1,100 MW of battery storage, including 475 MW of standalone storage and at least 625 MW of battery energy storage paired with solar generation to be placed into service by 2031;
- Procuring 1,200 MW of onshore wind to achieve commercial operation by 2033, including at least 300 MW targeted for commercial operation by 2031;
- Pursuing the development of 900 MW of new natural gas-fired combustion turbine generation to achieve commercial operation by 2030;
- Pursuing the development of 2,720 MW of new natural gas-fired combined cycle generation to achieve commercial operation by 2031;
- Working toward the construction of 1,834 MW of pumped storage hydropower at the Bad Creek Hydroelectric Station in Oconee County, South Carolina, to be placed into service by 2034;
- Conducting early development activities associated with 300 MW of advanced nuclear generation to be placed into service by 2034 and an additional 300 MW of advanced nuclear generation to be placed into service by 2035;
- Continuing to work toward the extension of the operating licenses for Duke’s existing nuclear fleet.”
The Southern Environmental Law Center criticized the order in a Monday release, saying that “advocates noted that much more solar, wind, and battery storage can be connected to the grid than Duke says is possible.”
“North Carolina can’t afford the new climate pollution in Duke’s approved plan,” said David Neal, a senior attorney with the SELC. “This outcome will leave our communities holding the bill for more expensive, polluting power plants and underinvest in the clean, reliable resources that must form the backbone of our grid.”
In a Saturday release, Duke said the NCUC’s order was a “constructive outcome” that “confirms the importance of a diverse, ‘all of the above’ approach that is essential for long-term resource planning and helps us meet the energy needs of our region’s growing economy.”
Duke noted that the Public Service Commission of South Carolina continues to deliberate on the company’s resource plan for the Carolinas and will issue an order on or before Nov. 26.
“Following that order, Duke Energy will immediately begin executing the plan while simultaneously developing the modeling required for our 2025 plan update in North Carolina, which must be filed by September 2025,” Duke said.
