There are at least a couple of thoughts that occur this morning in wake of the latest news about Duke Energy’s acquisition of (sorry, merger with) Progress Energy (née CP&L):

#1 – While some in the mainstream news media (and the Utilities Commission Public Staff) seem surprised that former progress chief Bill Johnson (right) has now been muscled out of the way and given a platinum parachute by the big Monopoly game winner Jim Rogers (left), my first reaction was: How could you not see this coming? Fat cat, empire-building CEO’s like Rogers are not about sharing power; they’re about winning it and grabbing more. The bottom line here is that Rogers came to this game with more weapons and almost certainly always intended to emerge “victorious.” All the public talk about cooperation and merger were almost certainly p.r. bull.

#2- And as for Johnson, Read More


This week the NC Justice Center, NC WARN and the NC Housing Coalition challenged the proposed Duke Energy rate hike settlement that the NC Utilities Commission Public Staff is supporting. The organizations are highlighting how unfair the proposal for a 7.21% rate increase is to residential and most business customers, because the rate allocation method is biased to accommodate energy hogging industries.

Energy Hog

These energy hogs – such as Facebook and Google data centers – are already being subsidized by various tax breaks and incentives offered by the state, creating few jobs and benefiting from Duke’s biased rate allocation method.

The organizations also raised concerns about discriminatory practices regarding residential late payment charges and shut off notices, noting how these practices disproportionately impact low-income customers.

The NC Utilities Commission needs to require Duke Energy to develop a rate allocation method that reflects the new demand brought on by the energy hogs, reflecting the need for peak, intermediate and base load capacity through the year. This issue will also become important to Progress Energy customers if the Duke-Progress merger is approved because Progress uses a different, more fair rate allocation, and how the two will be resolved remains to be seen.






You’ve probably read that Duke Energy is requesting a 17.4% rate hike for residential customers and a 14% rate hike for businesses to pay for its new nuclear and coal plants. This comes after an 8% increase last year. All the while, Duke’s profits for 2010 were $1.3 million, up 23% from 2009 and CEO Jim Rogers made $8.8 million.

If approved, this rate hike will cost the average residential household an extra $200/year. It’s time for consumers to speak out against the rate hikes and demand a new path for Duke Energy. Read More