NC Utilities Commission Files 2024 Carbon Plan Order
For Immediate Release: November 4th, 2024
Media Contact: Karly Lohan, karlyl@sewind.org
Raleigh, N.C. - Last week, the North Carolina Utilities Commission (NCUC or Commission) issued an order accepting Duke Energy’s combined Carbon Plan and Integrated Resource Plan. The Carbon Plan is mandated through HB951 and requires the NCUC to take ‘all reasonable steps’ to achieve 70 percent carbon emission reductions from 2005 levels by 2030, and achieve carbon neutrality by 2050 using a least-cost approach.
Rather than approving a single portfolio proposed by Duke Energy, the Commission accepted a settlement agreement between Duke Energy, the North Carolina Public Staff, Walmart, and the Carolinas Clean Energy Business Association and approved a series of actions for Duke Energy to take in the near-term. Both offshore and land based wind resources are included as part of the Commission’s least-cost path to achieving the emissions reduction goals of H.B. 951 while maintaining system reliability. In the order, the Commission directs Duke Energy to take reasonable and prudent steps towards the development of offshore and land based wind in the Carolinas, including:
Administering an offshore wind Acquisition Request for Information (ARFI) in early 2025 for up to 2,400 MW of offshore wind resource options.
Procuring 1,200 MW of onshore wind to achieve commercial operation by 2033, including at least 300 MW targeted for commercial operation by 2031.
The Commission expects that the offshore wind ARFI will request information that will expedite the procurement of offshore wind if it is confirmed to be a least-cost and viable resource option. Duke Energy was directed to engage an independent evaluator to support the execution of the ARFI, and incur initial development costs up to $1.4 million to develop and administer the ARFI, with final results due no later than July 30, 2025.
Katharine Kollins, President of the Southeastern Wind Coalition, stated “This Carbon Plan order is an important milestone for offshore wind in North Carolina; both Duke and the Commission have recognized that it is a predictable, reliable, and cost effective resource that will play an important role in the state’s energy future.”
Kollins added “We know that North Carolina needs utility-scale generation that can address increasing energy demand and carbon reduction goals in a reliable and affordable manner. Offshore wind can do exactly that, and we need to see continued commitment from the State to ensure that this industry has a clear pathway to market.”
Karly Lohan, Carolinas Program Manager at the Southeastern Wind Coalition, added “Overall, this order is a positive development for wind in the Carolinas, but there are still a number of steps that stand between this Carbon Plan order and an RFP for offshore wind. Time is of the essence, and developing offshore wind in an expedient manner is unequivocally in the best interest of North Carolina electricity consumers from both a cost and reliability perspective.”
About SEWC
The Southeastern Wind Coalition is a 501(c)(3) that works to advance the land-based and offshore wind industry in the Southeast. We focus on providing fact-based information on the economic and environmental opportunities of wind energy, and encourage solutions that result in net economic benefits to residents and ratepayers. For more information about the Southeastern Wind Coalition visit www.sewind.org.
