Duke Energy strikes North Carolina data center grid cost deal
Duke Energy has reached a settlement requiring North Carolina data centers and other large-load customers to pay upfront for dedicated grid infrastructure, including substations, pending regulatory approval.
The agreement with North Carolina Public Staff and technology companies also requires deposits or financial guarantees for shared transmission upgrades. Payments for dedicated facilities are nonrefundable, and new large-load customers must use a separate High Load Factor rate schedule.
The provisions would apply to customers requiring at least 50 MW with an 80% load factor who signed service agreements after June 1, 2026.
“It's simple – data centers will pay upfront for all costs to connect to the grid,” said Kendal Bowman, Duke Energy’s North Carolina president.
The settlement includes Amazon, Google, Meta, Microsoft and other stakeholders.
The North Carolina Utilities Commission is expected to decide by mid-November. Duke Energy said the agreement strengthens customer protections introduced in 2024.
Source: Duke Energy
