The Business Journal reported that NC regulators have approved an increase in Duke Energy Carolinas' fuel charge that will increase the utility's rates by 5% to 7%, depending on the customer class.

Residential customers will see the smallest increase, at a little more than 5%. Duke estimates that the typical residential customer will see an average monthly bill increase by USD 4.55 once the new fuel charge goes in effect September 1st 2011.

Duke has residential, commercial and industrial customers throughout the Triad. Commercial customers will see rates increase 5.9%. Industrial customer rates will go up 7%. Because power consumption among commercial and industrial customers varies so widely, Duke does not calculate a typical dollar increase for those customers.

The NC Utilities Commission order approving the fuel charge increase was issued Tuesday. The fuel charge is calculated to simply pass along cost increases or decreases for fuel to customers annually. Coal prices in particular have been rising, causing Duke to seek an increase.

The new fuel charge is unrelated to the 15.2% general rate increase Duke is seeking in North Carolina. If that increase is approved, a typical customer’s average monthly bill would be USD 19 more than it is now.

Duke Energy Carolinas is a utility operation of Charlotte based Duke Energy Corporation.

(Sourced from www.bizjournals.com)