DUK Duke Energy

Filed: 13 Oct 21, 3:10pm





Washington, D.C. 20549





Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934


Date of Report (Date of earliest event reported): October 13, 2021


Commission file numberRegistrant, State of Incorporation or Organization,
Address of Principal Executive Offices and Telephone Number
IRS Employer
Identification Number


(a Delaware corporation)

550 South Tryon Street

Charlotte, North Carolina 28202-1803





(a North Carolina limited liability company)

526 South Church Street

Charlotte, North Carolina 28202-1803





(a North Carolina limited liability company)

410 South Wilmington Street

Raleigh, North Carolina 27601-1748





Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:


¨            Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)


¨            Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)


¨            Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))


¨            Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240. 13e-4(c))




Registrant Title of each class Trading
 Name of each exchange on
which registered
Duke Energy Common Stock, $0.001 par value DUK New York Stock Exchange LLC
Duke Energy 5.625% Junior Subordinated Debentures due September 15, 2078 DUKB New York Stock Exchange LLC
Duke Energy Depositary Shares each representing a 1/1,000th interest in a share of 5.75% Series A Cumulative Redeemable Perpetual Preferred Stock, par value $0.001 per share DUK PR A New York Stock Exchange LLC


Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).


Emerging growth company ¨


If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨







Item 7.01. Regulation FD Disclosure.


On October 13, 2021, North Carolina Governor Roy Cooper signed into law legislation passed by the North Carolina House of Representatives and Senate (the “Legislation”). This Legislation establishes a framework overseen by the North Carolina Utilities Commission (the “NCUC”) to advance state CO2 emissions reductions through the use of least cost planning while providing for continued reliability and affordable rates for customers served by such generation. It also authorizes the use of performance-based regulation in North Carolina. Among other things, the Legislation requires the NCUC to:


·develop an initial carbon plan that would target a 70% reduction in CO2 emissions from public utilities' electric generation by 2030 and carbon neutrality by 2050, considering all resource options and the latest technology;
·consider approval of performance-based regulation that would include multi-year rate plans with a maximum 3-year term, performance incentive mechanisms to track utility performance, and revenue decoupling for the residential customer class;
·establish rules to securitize costs associated with the early retirement of subcritical coal-fired electric generating facilities necessary to achieve the authorized carbon reduction goals at 50% of remaining net book value, with the remaining net book value recovered through normal cost of service basis; and
 ·establish rules for updating rates and terms of certain existing solar power purchase agreements executed under PURPA.


An overview providing additional detail on the Legislation is attached to this Form 8-K as Exhibit 99.1. The information in Exhibit 99.1 is being furnished pursuant to this Item 7.01 and shall not be deemed “filed” for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section.


Forward Looking Statements


This document includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on management’s beliefs and assumptions and can often be identified by terms and phrases that include “anticipate,” “believe,” “intend,” “estimate,” “expect,” “continue,” “should,” “could,” “may,” “plan,” “project,” “predict,” “will,” “potential,” “forecast,” “target,” “guidance,” “outlook” or other similar terminology. Various factors may cause actual results to be materially different than the suggested outcomes within forward-looking statements; accordingly, there is no assurance that such results will be realized. These factors include, but are not limited to:


·The impact of the COVID-19 pandemic;
·State, federal and foreign legislative and regulatory initiatives, including costs of compliance with existing and future environmental requirements, including those related to climate change, as well as rulings that affect cost and investment recovery or have an impact on rate structures or market prices;
·The extent and timing of costs and liabilities to comply with federal and state laws, regulations and legal requirements related to coal ash remediation, including amounts for required closure of certain ash impoundments, are uncertain and difficult to estimate;
·The ability to recover eligible costs, including amounts associated with coal ash impoundment retirement obligations and costs related to significant weather events, and to earn an adequate return on investment through rate case proceedings and the regulatory process;
·The costs of decommissioning nuclear facilities could prove to be more extensive than amounts estimated and all costs may not be fully recoverable through the regulatory process;
·Costs and effects of legal and administrative proceedings, settlements, investigations and claims;
·Industrial, commercial and residential growth or decline in service territories or customer bases resulting from sustained downturns of the economy and the economic health of our service territories or variations in customer usage patterns, including energy efficiency efforts and use of alternative energy sources, such as self-generation and distributed generation technologies;
·Federal and state regulations, laws and other efforts designed to promote and expand the use of energy efficiency measures and distributed generation technologies, such as private solar and battery storage, in Duke Energy service territories could result in customers leaving the electric distribution system, excess generation resources as well as stranded costs;
·Advancements in technology;
·Additional competition in electric and natural gas markets and continued industry consolidation;





·The influence of weather and other natural phenomena on operations, including the economic, operational and other effects of severe storms, hurricanes, droughts, earthquakes and tornadoes, including extreme weather associated with climate change;
·Changing customer expectations and demands including heightened emphasis on environmental, social and governance concerns;
·The ability to successfully operate electric generating facilities and deliver electricity to customers including direct or indirect effects to the company resulting from an incident that affects the U.S. electric grid or generating resources;
·Operational interruptions to our natural gas distribution and transmission activities;
·The availability of adequate interstate pipeline transportation capacity and natural gas supply;
·The impact on facilities and business from a terrorist attack, cybersecurity threats, data security breaches, operational accidents, information technology failures or other catastrophic events, such as fires, explosions, pandemic health events or other similar occurrences;
·The inherent risks associated with the operation of nuclear facilities, including environmental, health, safety, regulatory and financial risks, including the financial stability of third-party service providers;
·The timing and extent of changes in commodity prices and interest rates and the ability to recover such costs through the regulatory process, where appropriate, and their impact on liquidity positions and the value of underlying assets;
·The results of financing efforts, including the ability to obtain financing on favorable terms, which can be affected by various factors, including credit ratings, interest rate fluctuations, compliance with debt covenants and conditions and general market and economic conditions;
·Credit ratings of the Duke Energy and its subsidiaries (the “Duke Energy Registrants) may be different from what is expected;
·Declines in the market prices of equity and fixed-income securities and resultant cash funding requirements for defined benefit pension plans, other post-retirement benefit plans and nuclear decommissioning trust funds;
·Construction and development risks associated with the completion of the Duke Energy Registrants’ capital investment projects, including risks related to financing, obtaining and complying with terms of permits, meeting construction budgets and schedules and satisfying operating and environmental performance standards, as well as the ability to recover costs from customers in a timely manner, or at all;
·Changes in rules for regional transmission organizations, including changes in rate designs and new and evolving capacity markets, and risks related to obligations created by the default of other participants;
·The ability to control operation and maintenance costs;
·The level of creditworthiness of counterparties to transactions;
·The ability to obtain adequate insurance at acceptable costs;
·Employee workforce factors, including the potential inability to attract and retain key personnel;





·The ability of subsidiaries to pay dividends or distributions to Duke Energy Corporation holding company (the Parent);
·The performance of projects undertaken by our nonregulated businesses and the success of efforts to invest in and develop new opportunities;
·The effect of accounting pronouncements issued periodically by accounting standard-setting bodies;
·The impact of U.S. tax legislation to our financial condition, results of operations or cash flows and our credit ratings;
·The impacts from potential impairments of goodwill or equity method investment carrying values;
·The actions of activist shareholders could disrupt our operations, impact our ability to execute on our business strategy, or cause fluctuations in the trading price of our common stock; and
·The ability to implement our business strategy, including enhancing existing technology systems.


Additional risks and uncertainties are identified and discussed in the Duke Energy Registrants’ reports filed with the SEC and available at the SEC’s website at In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements might not occur or might occur to a different extent or at a different time than described. Forward-looking statements speak only as of the date they are made and the Duke Energy Registrants expressly disclaim an obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.


Item 9.01. Financial Statements and Exhibits.


(d)  Exhibits.


99.1Summary of North Carolina Energy Legislation
104Cover Page Interactive Data File (the cover page XBRL tags are embedded in the Inline XBRL document).







Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


Date: October 13, 2021By:/s/ David S. Maltz            
 Name:David S. Maltz
 Title:Vice President, Legal, Chief Governance Officer and Assistant Corporate Secretary
Date: October 13, 2021By:/s/ David S. Maltz
 Name:David S. Maltz
 Title:Vice President, Legal, Chief Governance Officer and Assistant Secretary
Date: October 13, 2021By:/s/ David S. Maltz
 Name:David S. Maltz
 Title:Vice President, Legal, Chief Governance Officer and Assistant Secretary




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