Sierra Club Settlement Agreement with Duke Energy Will Lower Rate Hike Burden on Customers

RALEIGH, N.C. — Duke Energy Progress customers won’t have to foot the entire cost of toxic coal ash cleanup after a settlement agreement between the Sierra Club and utility reduces the company’s request for an 18.9% residential bill increase and prevents Duke from making customers pay $50 million for coal ash basin closure costs.

Duke originally sought a total of about $100 million for closure costs incurred through August 2022 from South Carolina customers. Under the terms of the agreement, Duke and its shareholders will now pay 50% of those costs.

Per the agreement, a typical residential customer using 1,000 kWh will see a monthly bill increase of about $11, rather than an increase as high as $18.76, as first requested by Duke.

By now, the dangers coal ash poses to communities, wildlife and our waterways are clear. These sites contain some of the most dangerous known toxic chemicals on earth — like arsenic, lead, mercury, and chromium — which raise the risk for cancer, heart disease, and stroke, and can inflict permanent brain damage on children. 

In response, Mikaela Curry, senior representative for the Sierra Club’s Beyond Coal campaign in the Carolinas, released the following statement:

“Duke Energy kept storing toxic coal ash in unlined ponds long after they knew it was a public health hazard, so this measure of financial relief for customers is more than justified. We look forward to working with Duke to further reduce this cost burden on families and businesses, and, just as important, pushing Duke to cut off toxic pollution at the source: to stop burning fossil fuels and help our communities transition to a diverse, renewable energy economy rooted in energy efficiency and powered by the sun, wind and storage.”