Duke Energy Rate Increases in North Carolina: What Carolina Beach and Kure Beach Residents Need to Know

North Carolina electric bills could increase again beginning in 2027—and for local homeowners, the proposed change is not insignificant.

Before getting into the numbers, there is one important distinction:

Carolina Beach, Kure Beach, Wilmington, and much of eastern North Carolina are generally served by Duke Energy Progress, not Duke Energy Carolinas.

Both utilities are owned by Duke Energy, but they currently have different service areas, prices, and pending rate cases.

The rate settlement announced on July 13, 2026, applies to Duke Energy Carolinas. Local residents should pay closer attention to the separate Duke Energy Progress proposal, which could result in an even larger monthly increase.

Current Versus Proposed Duke Energy Progress Bills

Duke Energy’s filing uses a residential customer consuming 1,000 kilowatt-hours per month as its standard example.

For a typical Duke Energy Progress customer, the proposal would look like this:

Period	Monthly bill	Increase from current bill
Current representative bill	$163.84	—
Proposed January 2027 bill	$186.95	$23.11, or approximately 14.1%
Proposed January 2028 bill	$193.54	$29.70, or approximately 18.1% total

The second phase would add another $6.59 per month in 2028.

Once both proposed increases were in place, the representative customer would pay approximately:

• $29.70 more per month

• $356.40 more per year

• About 18.1% more than the current representative bill

These are Duke Energy’s requested figures, not final approved rates. The North Carolina Utilities Commission can reduce, revise, or reject portions of the request. (North Carolina Utilities Commission)

What Was Announced on July 13?

Duke Energy Carolinas and the North Carolina Public Staff reached partial settlements on several disputed parts of the Duke Energy Carolinas rate case.

Duke Energy Carolinas serves much of central and western North Carolina, rather than the Carolina Beach and Kure Beach area.

Under the latest Duke Energy Carolinas proposal, a typical customer using 1,000 kilowatt-hours per month would see:

Period	Monthly bill	Increase
Current representative bill	$156.81	—
Proposed January 2027 bill	$166.20	$9.39, or approximately 7.5%
Proposed January 2028 bill	$171.72	Another $5.52
Total proposed increase	—	Approximately 11.6%

Duke Energy Carolinas originally sought an increase of roughly 18% over two years. The company later reduced that proposal to approximately 11.6%.

The settlement does not make the increase final. It means Duke Energy and the Public Staff have reached agreement on certain issues while continuing to disagree on others, including Duke’s proposed shareholder return. The Utilities Commission will make the final decision. (https://www.wbtv.com)

The Local Comparison

For residents in southeastern North Carolina, the key comparison is straightforward:

Utility	Current representative bill	Proposed 2028 bill	Total proposed increase
Duke Energy Carolinas	$156.81	$171.72	Approximately 11.6%
Duke Energy Progress	$163.84	$193.54	Approximately 18.1%

Based on Duke’s representative examples, Duke Energy Progress customers already begin with a higher monthly bill and could face a larger proposed increase.

That is why Carolina Beach and Kure Beach residents should not assume that the smaller increase discussed in recent headlines represents what may happen to their own bills.

Why Is Duke Energy Asking for Higher Rates?

Duke Energy says the additional revenue is needed to strengthen the electric system and keep pace with North Carolina’s continued growth.

The company says the money would support:

• Stronger poles, power lines, and substations

• Tree trimming and storm preparation

• Grid technology that can reroute power during outages

• New natural-gas and nuclear investments

• Battery-storage and solar projects

• Infrastructure for growing residential and commercial demand

For coastal communities, storm resilience is especially important. Hurricanes, tropical storms, flooding, wind, falling trees, and salt exposure can all damage electrical infrastructure.

The larger debate is not simply whether upgrades are needed. Regulators must decide which investments are reasonable, how quickly customers should pay for them, and how much profit Duke Energy should be allowed to earn.

Why Are Consumer Advocates Pushing Back?

The North Carolina Public Staff represents utility customers during rate proceedings.

Consumer advocates have questioned several parts of Duke Energy’s requests, including:

• Duke Energy’s proposed shareholder return

• Corporate aircraft expenses

• The treatment of previously unpaid customer bills

• How infrastructure expenses are divided among households, businesses, factories, and data centers

• Whether residential customers could indirectly pay for infrastructure needed by major corporate users

Duke Energy says large-load customers, including data centers, are charged in a way that reflects the cost of serving them.

The Utilities Commission will ultimately decide which expenses customers must pay and which should remain the responsibility of Duke Energy and its shareholders.

Why Coastal Homeowners Could Feel It More

The proposed bill examples assume monthly electricity use of 1,000 kilowatt-hours.

Many Carolina Beach and Kure Beach homes may use considerably more, especially during the summer.

Higher electricity use can result from:

• Large or aging HVAC systems

• High coastal humidity

• Poor insulation

• Elevated homes with exposed floors

• Pools, hot tubs, elevators, and dehumidifiers

• Large windows and sliding-glass doors

• Vacation-rental guests leaving doors open

• Salt-air corrosion reducing HVAC efficiency

A home using 1,500 or 2,000 kilowatt-hours during a busy summer month could experience a larger dollar increase than the representative example.

The increase also may not apply as one simple percentage to every bill. Electric bills contain base charges, energy charges, fuel adjustments, riders, taxes, and other components.

What This Means for Vacation-Rental Owners

Electricity is already one of the most significant operating expenses for many Carolina Beach and Kure Beach vacation rentals.

Guests may lower thermostats, run frequent laundry loads, leave exterior doors open, and operate pools, hot tubs, ice makers, and other equipment throughout the day.

For rental-property owners, higher electric rates could affect:

• Annual operating expenses

• Net rental income

• Property-management budgets

• Off-season profitability

• Pool and hot-tub operating costs

• Decisions about nightly or weekly rental pricing

A $29.70 monthly increase equals about $356 per year, but that example is based on 1,000 kilowatt-hours. A large, heavily occupied rental could experience a greater increase.

Owners should review at least 12 months of bills to understand the property’s actual annual use.

Could Higher Electric Bills Affect Home Values?

An electric-rate increase by itself is unlikely to cause an immediate decline in Carolina Beach or Kure Beach property values.

However, buyers increasingly focus on the complete cost of owning a home, including:

• Mortgage payments

• Property insurance

• Wind-and-hail coverage

• Flood insurance

• Property taxes

• HOA dues

• Maintenance

• Utilities

As those expenses increase together, energy efficiency can become a stronger selling feature.

A property with a newer HVAC system, updated windows, good insulation, a smart thermostat, or lower documented electric use may compare more favorably with a similar home that costs significantly more to operate.

What Buyers Should Request

Before purchasing a coastal home, buyers may want to request:

• Twelve months of electricity bills

• The highest summer and winter usage

• The age and efficiency of the HVAC system

• Information about insulation and ductwork

• Pool and hot-tub operating costs

• Whether the home was occupied full-time or used as a rental

• Details about solar panels or efficiency upgrades

The property’s use must also be considered.

A low electric bill from a second home occupied only occasionally may not reflect what a full-time resident would pay. A high bill from a busy vacation rental does not automatically mean the home is inefficient.

What Homeowners Can Do Now

There is no need to panic or rush into expensive upgrades. Final rates have not yet been approved.

Homeowners can still take a few practical steps.

Review Usage Instead of Only the Amount Due

Look at the number of kilowatt-hours consumed and compare the same month across several years.

This helps separate rate increases from weather-related or household usage changes.

Maintain the HVAC System

Dirty coils, clogged filters, leaking ducts, low refrigerant, and salt-air corrosion can all increase electricity use.

Check Insulation and Air Leaks

Common trouble spots include attic doors, sliding doors, older windows, crawlspaces, duct connections, and the floors of elevated homes.

Consider Smarter Temperature Controls

A smart thermostat can be particularly useful in second homes and vacation rentals, where owners may need to monitor or limit extreme temperature settings remotely.

What Happens Next?

The North Carolina Utilities Commission is continuing to review Duke Energy’s rate requests and the partial settlements.

The commission can:

• Approve the proposals

• Reduce the increases

• Change how the rates are structured

• Reject certain expenses

• Authorize a different shareholder return

Final decisions are expected later in 2026. Approved changes would generally begin in 2027, with a possible second increase in 2028. (North Carolina Utilities Commission)

The Bottom Line

The recent settlement receiving attention in the news concerns Duke Energy Carolinas, but most Carolina Beach, Kure Beach, and Wilmington-area customers are served by Duke Energy Progress.

For the representative Duke Energy Progress customer using 1,000 kilowatt-hours per month:

• The current bill used in Duke’s filing is $163.84

• The proposed 2027 bill is $186.95

• The proposed 2028 bill is $193.54

• The total proposed increase is $29.70 per month

• That represents an increase of approximately 18.1%

• The annual difference would be approximately $356

Nothing is final yet.

The Utilities Commission will determine whether the full increase is justified and how much customers will ultimately pay.

For local homeowners, buyers, sellers, and vacation-rental owners, the best step is to understand the property’s actual electricity use and continue following the case as regulators move toward a final decision.

This article is for general informational purposes. The bill examples are based on Duke Energy’s representative residential customer using 1,000 kilowatt-hours per month. Actual bills vary based on usage, rate schedules, riders, taxes, and final regulatory decisions.

One numerical correction from the previous draft: the newly reported Duke Energy Carolinas current representative bill is $156.81, while the $144.98 figure came from Duke’s earlier filing baseline and is no longer the clearest figure to use when describing the July settlement.