May offset expected rate hike or avoid passing on storm-related costs…
(Ana Michaels, Liberty Headlines) In a press release on Thursday, Duke Energy announced the company’s intention to pass savings from the Republicans’ national Tax Cut and Jobs Act to their customers in North Carolina.
The new tax reforms reduced what companies pay in taxes on profits from 35 percent to 21 percent.
“With a balanced approach, our customers can benefit from a reduction in the corporate income tax rate, while we continue to make smart investments on behalf of our customers,” said David Fountain, Duke Energy’s North Carolina president.
The proposal by the nation’s largest electricity utility included options such as applying the tax savings to offset part of a rate hike Duke wants for customers in the Charlotte area and in other regions in the state.
The proposal also suggested the savings could be used to avoid billing customers for “storm-related and ongoing environmental-compliance costs.”
In the announcement, Duke said the North Carolina Utilities Commission needs to approve the timing and amount of any customer rate changes.
The statement also said “it is premature” to estimate exactly how much their customer’s energy bills will be impacted.
Duke Energy’s proposal was submitted to the commission the same day as the announcement.