Bills for thousands of SC electricity customers could go up in 2022. Here’s what to know
Rising fuel costs nationwide could result in higher electricity rates this year for hundreds of thousands of South Carolinians.
Duke Energy Progress, which serves 180,000 customers in the Pee Dee region, and Duke Energy Carolinas, which serves 800,000 customers in the Upstate, plan to ask state officials later this year to allow the utility to raise rates to cover the rising costs of fuel, such as natural gas and coal.
Duke Energy’s requests will follow a similar ask made by Dominion Energy to increase the company’s electricity rates. Dominion’s request is under review by the state’s Public Service Commission, which rules on rate requests from investor-owned utilities. Dominion Energy serves 750,000 customers in the Midlands, including in the Columbia area.
Nanette Edwards, the executive director of the Office of Regulatory Staff, which represents the public’s interests during rate cases, compared the rising costs to the high cost of motor fuel.
“The same pain you’re feeling at the pump, it’s kind of like that,” Edwards said. “These fuel cases will be rough, just to be blunt.”
Duke Energy Progress wants to raise its monthly rates on the average customer to $11.40 and $13.40 a month, according to estimates provided by the Office of Regulatory Staff, using data from Duke Energy.
Hearings are scheduled to begin June 6, with a new rate taking effect July 1.
Duke Energy Carolina wants to raise its average monthly rates to between $5.39 and $7.39 a month, according to estimates from the same oversight agency. Hearings for that rate case will start Sept. 12, and a new rate is planned to take effect Oct. 1.
Duke Energy declined to say what they planned to propose to state regulators.
“It is too early to speculate as to what the companies will present to the (Public Service Commission of South Carolina) in their annual fuel cost-recovery filings this year,” said Ryan Mosier, spokesman for Duke Energy.
The Office of Regulatory of Staff is currently reviewing Duke Energy’s planned request.
Duke Energy’s cases are expected to take place after Dominion’s case is resolved.
Dominion has asked state officials for permission to raise its average rate to $6.50 a month for its 750,000 electric customers in the Midlands. The company’s request comes a year after it agreed not to raise its general rates to operate and maintain its system until 2024. But the agreement allowed the utility to come back and request a hike under “unforeseen extraordinary or financial conditions.”
The utility is allowed to request rate changes every year to account for changing fuel costs.
Dominion’s rate request will kick in in May should it be approved.
This story was originally published April 13, 2022 at 1:43 PM.
