Duke Energy, Amazon, Google, Microsoft and Nucor Execute Agreements to Accelerate Clean Energy Options

Author photo: Jim Frazer
ByJim Frazer
Category:
Acquisition or Partnership

Duke Energy, Amazon, Google, Microsoft, and Nucor announced agreements to explore new and innovative approaches to support carbon-free energy generation and help utilities serve the future energy needs of large businesses in North Carolina and South Carolina. The announcement was made at the White House Summit on Domestic Nuclear Deployment.    

In memorandums of understanding (MOUs) signed this month, the companies proposed developing new rate structures, known as "tariffs" in the utility industry, designed specifically to lower the long-term costs of investing in clean energy technologies like new nuclear and long-duration storage through early commitments.

The proposed Accelerating Clean Energy (ACE) tariffs would enable large customers like Amazon, Google, Microsoft, and Nucor to directly support carbon-free energy generation investments through innovative financing structures and contributions that address project risk to lower costs of emerging technologies. ACE tariffs would facilitate beneficial on-site generation at customer facilities, participation in load flexibility programs and investments in clean energy assets – features attractive to customers with large-scale energy needs.

The ACE framework also would include a Clean Transition Tariff (CTT) – the key feature enabling Duke Energy to provide individualized portfolios of new carbon-free energy to commercial and industrial customers. The CTT would match clean-energy generation and customer load to accelerate overall grid decarbonization. This would be a voluntary program for larger customers seeking to advance their clean energy goals, and it would include protections for non-participating customers.
Next steps and additional information

Clean Energy Options

Duke Energy looks forward to working with other new and existing customers with similar energy needs and sustainability goals. The ACE tariffs would represent new, voluntary pricing structures for Duke Energy's large commercial and industrial customers. Duke Energy's five-year capital plan will continue as planned, and these tariffs would be subject to regulatory approvals in North Carolina and South Carolina.

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