Duke Energy Under Fire as Winter Rates Surge and Customers Question Billing Transparency

2026-03-01 companies

Charlotte, Sunday, 1 March 2026.
Scrutiny intensifies as customers report doubled bills, driven by severe winter weather and a staggering 122 percent increase in Duke Energy Ohio’s natural gas supply rates.

Rate Shocks and Market Volatility

As of March 1, 2026, Duke Energy (NYSE: DUK) finds itself at the center of a consumer firestorm following dramatic billing increases across its service territories. In Ohio, the financial strain on households intensified sharply on February 1, 2026, when Duke Energy Ohio raised its default Price to Compare (PTC) for natural gas supply. The rate surged from $0.2834 per ccf in January to $0.6305 per ccf, representing a massive increase of 122.477 percent [6]. The utility attributed this spike to market volatility exacerbated by Winter Storm Fern, which drove natural gas spot market prices to an average of $9.03 per mmBTU, with some hubs in the Northeast exceeding $40 [6]. Consequently, a typical customer using 100 ccf monthly saw their gas supply charge alone jump to $63.05, pushing total bills potentially beyond the $200 mark when taxes and delivery fees are included [6].

Regulatory Battles and Weather Narratives in North Carolina

In North Carolina, the tension between the utility and its customer base is equally palpable, though the drivers differ slightly. Residents have reported doubled energy bills following prolonged freezes in January 2026 [2]. Duke Energy spokesperson Logan Stewart has consistently maintained that these increases are driven by usage rather than rate hikes, stating that consumption tied to colder temperatures is the primary factor for the surge in costs [2]. However, this defense comes amid a contentious legal backdrop. On February 19, 2026, the North Carolina Court of Appeals ruled that state regulators had improperly approved a 2024 rate increase linked to Duke Energy Carolinas’ annual fuel rider [2]. despite this legal victory for consumer advocacy groups, a recently passed state law prevents customers from receiving refunds for the overcharges [2].

Merger Settlements and Future Relief

Amidst the scrutiny, Duke Energy is maneuvering to consolidate its operations in a bid to stabilize long-term costs. On February 26, 2026, the company reached a settlement with multiple clean energy and consumer groups regarding the proposed merger of its Carolinas and Progress subsidiaries [7]. Pending approval by the North Carolina Utilities Commission, this agreement is designed to gradually converge retail rates and is projected to put downward pressure on bills over time [7]. The settlement includes provisions for tracking merger costs against benefits over a 14-year period to ensure savings are passed on to ratepayers [7]. While advocates like the Southern Environmental Law Center view this as a step toward affordability, immediate relief remains elusive for customers currently grappling with the financial impact of the 2026 winter season [7].

Sources

Utilities Duke Energy