Duke draws $1 billion under its Master Credit Agreement

By PR Newswire


NFPA 70e Training

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 6 hours Instructor-led
  • Group Training Available
Regular Price:
$199
Coupon Price:
$149
Reserve Your Seat Today
Duke Energy Corporation announced it is drawing approximately $1 billion under its $3.2 billion Master Credit Agreement, which expires in June 2012.

"In light of the uncertain market environment, we made this proactive financial decision to increase our liquidity and cash position and to bridge our access to the debt capital markets," said David Hauser, group executive and chief financial officer. "This improves our flexibility as we continue to execute our business plans."

With this draw, the company expects to have approximately $2 billion of cash and cash equivalents.

Duke Energy, one of the largest electric power companies in the United States, supplies and delivers electricity to approximately 4 million U.S. customers in its regulated jurisdictions. The company has approximately 35,000 megawatts of electric generating capacity in the Midwest and the Carolinas, and natural gas distribution services in Ohio and Kentucky.

In addition, Duke Energy has more than 4,000 megawatts of electric generation in Latin America, and is a joint-venture partner in a U.S. real estate company.

Related News

Why California's Climate Policies Are Causing Electricity Blackouts

California Rolling Blackouts expose grid reliability risks amid a heatwave, as CAISO curtails power while solar output fades at sunset, wind stalls, and scarce natural gas and nuclear capacity plus PG&E issues strain imports.

 

Key Points

Grid outages during heatwaves from low reserves, fading solar, weak wind, and limited firm capacity.

✅ Heatwave demand rose as solar output dropped at sunset

✅ Limited imports and gas, nuclear shortfalls cut reserves

✅ Policy, pricing, and maintenance gaps increased outage risk

 

Millions of Californians were denied electrical power and thus air conditioning during a heatwave, raising the risk of heatstroke and death, particularly among the elderly and sick. 

The blackouts come at a time when people, particularly the elderly, are forced to remain indoors due to Covid-19, and as later heat waves would test the grid again statewide.

At first, the state’s electrical grid operator last night asked customers to voluntarily reduce electricity use. But after lapses in power supply pushed reserves to dangerous levels it declared a “Stage 3 emergency” cutting off power to people across the state at 6:30 pm.

The immediate reason for the black-outs was the failure of a 500-megawatt power plant and an out-of-service 750-megawatt unit not being available. “There is nothing nefarious going on here,” said a spokeswoman for California Independent System Operator (CAISO). “We are just trying to run the grid.”

But the underlying reasons that California is experiencing rolling black-outs for the second time in less than a year stem from the state’s climate policies, which California policymakers have justified as necessary to prevent deaths from heatwaves, and which it is increasingly exporting to Western states as a model.

In October, Pacific Gas and Electric cut off power to homes across California to avoid starting forest fires after reports that its power lines may have started fires in recent seasons. The utility and California’s leaders had over the previous decade diverted billions meant for grid maintenance to renewables. 

And yesterday, California had to impose rolling blackouts because it had failed to maintain sufficient reliable power from natural gas and nuclear plants, or pay in advance for enough guaranteed electricity imports from other states.

It may be that California’s utilities and their regulator, the California Public Utilities Commission, which is also controlled by Gov. Newsom, didn’t want to spend the extra money to guarantee the additional electricity out of fears of raising California’s electricity prices even more than they had already raised them.

California saw its electricity prices rise six times more than the rest of the United States from 2011 to 2019, helping explain why electricity prices are soaring across the state, due to its huge expansion of renewables. Republicans in the U.S. Congress point to that massive increase to challenge justifications by Democrats to spend $2 trillion on renewables in the name of climate change.

Even though the cost of solar panels declined dramatically between 2011 and 2019, their unreliable and weather-dependent nature meant that they imposed large new costs in the form of storage and transmission to keep electricity as reliable. California’s solar panels and farms were all turning off as the blackouts began, with no help available from the states to the East already in nightfall.

Electricity from solar goes away at the very moment when the demand for electricity rises. “The peak demand was steady in late hours,” said the spokesperson for CAISO, which is controlled by Gov. Gavin Newsom, “and we had thousands of megawatts of solar reducing their output as the sunset.”

The two blackouts in less than a year are strong evidence that the tens of billions that Californians have spent on renewables come with high human, economic, and environmental costs.

Last December, a report by done for PG&E concluded that the utility’s customers could see blackouts double over the next 15 years and quadruple over the next 30.

California’s anti-nuclear policies also contributed to the blackouts. In 2013, Gov. Jerry Brown forced a nuclear power plant, San Onofre, in southern California to close.

Had San Onofre still been operating, there almost certainly would not have been blackouts on Friday as the reserve margin would have been significantly larger. The capacity of San Onofre was double that of the lost generation capacity that triggered the blackout.

California's current and former large nuclear plants are located on the coast, which allows for their electricity to travel shorter distances, and through less-constrained transmission lines than the state’s industrial solar farms, to get to the coastal cities where electricity is in highest demand.

There has been very little electricity from wind during the summer heatwave in California and the broader western U.S., further driving up demand. In fact, the same weather pattern, a stable high-pressure bubble, is the cause of heatwaves, since it brought very low wind for days on end along with very high temperatures.

Things won’t be any better, and may be worse, in the winter, with a looming shortage as it produces far less solar electricity than the summer. Solar plus storage, an expensive attempt to fix problems like what led to this blackout, cannot help through long winters of low output.

California’s electricity prices will continue to rise if it continues to add more renewables to its grid, and goes forward with plans to shut down its last nuclear plant, Diablo Canyon, in 2025.

Had California spent an estimated $100 billion on nuclear instead of on wind and solar, it would have had enough energy to replace all fossil fuels in its in-state electricity mix.

To manage the increasingly unreliable grid, California will either need to keep its nuclear plant operating, build more natural gas plants, underscoring its reliance on fossil fuels for reliability, or pay ever more money annually to reserve emergency electricity supplies from its neighbors.

After the blackouts last October, Gov. Newsom attacked PG&E Corp. for “greed and mismanagement” and named a top aide, Ana Matosantos, to be his “energy czar.” 

“This is not the new normal, and this does not take 10 years to solve,” Newsom said. “The entire system needs to be reimagined.”

 

Related News

View more

Duke Energy installing high-tech meters for customers

Duke Energy Smart Meters enable remote meter reading, daily energy usage data, and two-way outage detection via AMI, with encrypted data, faster restoration, and remote connect/disconnect for Indiana customers in Howard County.

 

Key Points

Advanced meters that support remote readings, daily usage insights, two-way outage detection, and secure, encrypted data.

✅ Daily energy usage available online the next day

✅ Two-way communications speed outage detection and restoration

✅ Remote connect/disconnect; manual reads optional with opt-out fee

 

Say goodbye to your neighborhood meter reader. Say hello to your new smart meter.

Over the next three months, Duke Energy will install nearly 43,000 new high-tech electric meters for Howard County customers that will allow the utility company to remotely access meters via the digital grid instead of sending out employees to a homeowner's property for walk-by readings.

That means there's no need to estimate bills when meters can't be easily accessed, such as during severe weather or winter storms.

Other counties serviced by Duke Energy slated to receive the meters include Miami, Tipton, Cass and Carroll counties.

Angeline Protogere, Duke Energy's lead communication consultant, said besides saving the company money and manpower, the new smart meters come with a host of benefits for customers enabled by smart grid solutions today.

The meters are capable of capturing daily energy usage data, which is available online the next day. Having this information available on a daily basis can help customers make smarter energy decisions and support customer analytics that avoid billing surprises at the end of the month, she said.

"The real advantage is for the consumer, because they can track their energy usage and adjust their usage before the bills come," Protogere said.

When it comes to power outages, the meters are capable of two-way communications. That allows the company to know more about an outage through synchrophasor monitoring, which can help speed up restoration. However, customers will still need to notify Duke Energy if their power goes out.

If a customer is moving, they don't have to wait for a Duke Energy representative to come to the premises to connect or disconnect the energy service because requests can be performed remotely.

Protogere said when it comes to installing the meters, the changeover takes less than 5 minutes to complete. Customers should receive advance notices from the company, but the technician also will knock on the door to let the customer know they are there.

If no one is available and the meter is safely accessible, the technician will go ahead and change out the meter, Protogere said. There will be a momentary outage between the time the old meter is removed and the new meter is installed.

Kokomo and the surrounding areas are one of the last parts of the state to receive Duke Energy's new, high-tech meters, which are commonly used by other utility companies and in smart city initiatives across the U.S.

Protogere said statewide, the company started installing smart meters in August 2016 as utilities deploy digital transformer stations to modernize the grid. To date, they have installed 694,000 of the 854,000 they have planned for the state.

The company says the information stored and transmitted on the smart meters is safe, protected and confidential. Duke Energy said on its website that it does not share data with anyone without customers' authorization. The information coming from the meters is encrypted and protected from the moment it is collected until the moment it is purged, the company said.

Digital smart meter technology uses radio frequency bands that have been used for many years in devices such as baby monitors and medical monitors. The radio signals are far below the levels emitted by common household appliances and electronics, including cellphones and microwave ovens.

According to the World Health Organization, FCC, U.S. Food and Drug Administration and Electric Power Research Institute, no adverse health effects have been shown to occur from the radio frequency signals produced by smart meters or other such wireless networks.

However, customers can still opt-out of getting a smart meter and continue to have their meter manually read.

Those who choose not to get a smart meter must pay a $75 initial opt-out fee and an additional $17.50 monthly meter reading charge per account.

If smart meters have not yet been installed, Duke Energy will waive the $75 initial opt-out fee if customers notify the company they want to opt out within 21 days of receiving the installation postcard notice.

 

Related News

View more

Egypt, Eni ink MoU on hydrogen production projects

Egypt-ENI Hydrogen MoU outlines joint feasibility studies for green and blue hydrogen using renewable energy, carbon capture, and CO2 storage, targeting domestic demand, exports, and net-zero goals within Egypt's energy transition.

 

Key Points

A pact to study green and blue hydrogen in Egypt, leveraging renewables, CO2 storage, and export/demand pathways.

✅ Feasibility study for green and blue hydrogen projects

✅ Uses renewables, SMR, carbon capture, and CO2 storage

✅ Targets local demand, exports, and net-zero alignment

 

The Egyptian Electricity Holding Company (EEHC) and the Egyptian Natural Gas Holding Company (EGAS) signed a memorandum of understanding (MoU) with the Italian energy giant Eni to assess the technical and commercial feasibility of green and blue hydrogen production projects in Egypt, which many see as central to power companies' future strategies worldwide today.

Under the MoU, a study will be conducted to assess joint projects for the production of green hydrogen using electricity generated from renewable energy and supported by regional electricity interconnections where relevant, and blue hydrogen using the storage of CO2 in depleted natural gas fields, according to a statement by the Ministry of Petroleum on Thursday.

The study will also estimate the potential local market consumption of hydrogen and export opportunities, taking cues from Ontario's hydrogen economy proposal to align electricity rates for growth.

This agreement is part of Eni's objective to achieve zero net emissions by 2050 and Egypt's strategy towards diversifying the energy mix and developing hydrogen projects in collaboration with major international companies, taking note of Italy's green hydrogen initiatives in Sicily as a comparable effort.

It signed the deal with Egyptian Natural Gas Holding (EGAS) and Egyptian Electricity Holding Co. (EEHC).

The companies will carry out a joint study on producing renewable energy powered green hydrogen, informed by electrolyzer investments in similar projects, where applicable. They will also work on blue hydrogen. This involves reforming natural gas and capturing the resulting CO2, in this instance in depleted natural gas fields.

The study will also consider domestic hydrogen use and export options, including funding models like the Hydrogen Innovation Fund now in Ontario.

Eni said the MoU was in line with its plans to eliminate net emissions and emissions cancel emission intensity by 2050. The company noted the agreement was in line with Egypt’s plan for the energy transition, in which it pursues hydrogen plans with major international companies, alongside broader clean-tech collaboration such as Tesla cooperation discussions in Dubai, to accelerate progress.

 

Related News

View more

Toshiba, Tohoku Electric Power and Iwatani start development of large H2 energy system

Fukushima Hydrogen Energy System leverages a 10,000 kW H2 production hub for grid balancing, demand response, and renewable integration, delivering hydrogen supply across Tohoku while supporting storage, forecasting, and flexible power management.

 

Key Points

A 10,000 kW H2 project in Namie for grid balancing, renewable integration, and regional hydrogen supply.

✅ 10,000 kW H2 production hub in Namie, Fukushima

✅ Balances renewable-heavy grids via demand response

✅ Supported by NEDO; partners Toshiba, Tohoku Electric, Iwatani

 

Toshiba Corporation, Tohoku Electric Power Co. and Iwatani Corporation have announced they will construct and operate a large-scale hydrogen (H2) energy system in Japan, based on a 10,000 kilowat class H2 production facility, which reflects advances in PEM hydrogen R&D worldwide.

The system, which will be built in Namie-Cho, Fukushima, will use H2 to offset grid loads and deliver H2 to locations in Tohoku and beyond, while complementary approaches like power-to-gas storage in Europe demonstrate broader storage options, and will seek to demonstrate the advantages of H2 as a solution in grid balancing and as a H2 gas supply.

The product has won a positive evaluation from Japan’s New Energy and Industrial Technology Development Organisation (NEDO), and its continued support for the transition to the technical demonstration phase. The practical effectiveness of the large-scale system will be determined by verification testing in financial year 2020, even as interest grows in nuclear beyond electricity for complementary services.

The main objectives of the partners are to promote expanded use of renewable energy in the electricity grid, including UK offshore wind investment by Japanese utilities, in order to balance supply and demand and process load management; and to realise a new control system that optimises H2 production and supply with demand forecasting for H2.

Hiroyuki Ota, General Manager of Toshiba’s Energy Systems and Solutions Company, said, “Through this project, Toshiba will continue to provide comprehensive H2 solutions, encompassing all processes from the production to utilisation of hydrogen.”

Manager of Tohoku Electric Power Co., Ltd, Mitsuhiro Matsumoto, added, “We will study how to use H2 energy systems to stabilize electricity grids with the aim of increasing the use of renewable energy and contributing to Fukushima.”

Moriyuki Fujimoto, General Manager of Iwatani Corporation, commented, “Iwatani considers that this project will contribute to the early establishment of a H2 economy that draws on our experience in the transportation, storage and supply of industrial H2, and the construction and operation of H2stations.”

Japan’s Ministry of Economy, Trade and Industry’s ‘Long-term Energy Supply and Demand Outlook’ targets increasing the share of renewable energy in Japan’s overall power generation mix from 10.7% in 2013 to 22-24% by 2030. Since output from renewable energy sources is intermittent and fluctuates widely with the weather and season, grid management requires another compensatory power source, as highlighted by a near-blackout event in Japan. The large hydrogen energy system is expected to provide a solution for grids with a high penetration of renewables.

 

Related News

View more

"Energy war": Ukraine tries to protect electricity supply before winter

Ukraine Power Grid Resilience details preparations for winter blackouts, airstrike defense, decentralized generation, backup generators, battery storage, DTEK restorations, EU grid synchronization, and upgraded air defenses to safeguard electricity, heating, water, and essential services.

 

Key Points

Ukraine Power Grid Resilience is a strategy to harden energy systems against winter attacks and outages.

✅ DTEK repairs, backup equipment, and fortified plants across Ukraine

✅ Expanded air defenses targeting missiles and attack drones

✅ EU grid sync enables emergency imports and power trading

 

Oleksandr Gindyuk is determined not to be caught off guard if electricity supplies fail again this winter. When Russia pounded Ukraine’s power grid with widespread and repeated waves of airstrikes last year, causing massive rolling blackouts, his wife had just given birth to their second daughter.

“It was quite difficult,”  Gindyuk, who lives with his family in the suburbs of the capital, Kyiv, told CNN. “There is no life in our house if there is no electricity. Without electricity, we have no water, light or heating.”

He has spent the summer preparing for Russia to repeat its strategy, which was designed to sow terror and make life unsustainable, robbing Ukrainians of heat, water and health services. “We are totally ready — we have a diesel generator and a powerful 9 kWh battery. We are not scared, we are ready,” Gindyuk told CNN.

As families like Gindyuk’s gird themselves for the possibility of another dark winter, Ukraine has been rushing to rebuild and, drawing on protecting the grid lessons, protect its fragile energy infrastructure.

The summer provided a respite for Ukraine’s power grid. Russia focused its attacks on military targets and on ports on the Black Sea and the Danube River, to hinder Ukraine’s efforts to move grain and choke off an important income stream.

As the days grow shorter and the temperatures drop, Russia has another opportunity to try to break Ukrainian resilience with punishing blackouts. But this winter, defense and energy officials say Ukraine is better prepared.

With limited Ukrainian air defenses in operation last year, Russia was able to target and hit the energy grid easily, including during missile and drone assaults on Kyiv’s grid that strained responders.

“The Russians may use a combination of missile weapons and attack UAVs (unmanned aerial vehicles, or drones). These will definitely not be such primitive attacks as last year. It will be difficult for the Russians to achieve a result - we are also preparing and understanding how they act.”

DTEK, the country’s largest private energy company, has spent the past seven months restoring infrastructure, trying to boost output and bolstering defenses at its facilities across Ukraine, mindful of Russian utility hacks reported elsewhere.

“We restored what could be restored, bought back-up equipment and installed defenses around power plants, as Russian-linked breaches at US plants have underscored risks,” DTEK chief executive Maxim Timchenko told CNN.

The company generates around a quarter of Ukraine’s electricity and runs 40% of its grid network, making it a prime target for Russian attacks. Four DTEK employees have been killed while on duty and its power stations have been attacked nearly 300 times since the start of the full-scale invasion, according to the company. “Last winter, determination carried us through. This winter we are stronger, and our people are more experienced,” Timchenko said.

Russia launched 1,200 attacks on Ukraine’s energy system between October 2022 and April 2023, with every thermal power and hydro-electric plant in the country sustaining some damage, according to DTEK.

In a damage assessment report released in June, the United Nations Development Programme said that Ukraine’s power generation capacity had been reduced to about half of what it was before Russia’s full-scale invasion. “Ukraine’s power system continues to operate in an emergency mode, which affects both power grids and generation, amid rising concerns about state-backed grid hacking worldwide,” a news release accompanying the report said.

The report also laid out a roadmap to rebuilding the energy sector, prioritizing decentralization, renewable energy sources and greater integration with the European Union. Ukraine has been hooked into the EU’s power grid since the full-scale invasion, allowing it to synchronize and trade power with the bloc. But the massive wave of attacks on energy infrastructure last winter threw that balance off kilter.

 

Related News

View more

Study: US Power Grid Has More Blackouts Than ENTIRE Developed World

US Power Grid Blackouts highlight aging infrastructure, rising outages, and declining reliability per DOE and NERC data, with weather-driven failures, cyberattack risk, and underinvestment stressing utilities, transmission lines, and modernization efforts.

 

Key Points

US power grid blackouts are outages caused by aging grid assets, severe weather, and cyber threats reducing reliability.

✅ DOE and NERC data show rising outage frequency and duration.

✅ Weather now drives 68-73% of major failures since 2008.

✅ Modernization, hardening, and cybersecurity investments are critical.

 

The United States power grid has more blackouts than any other country in the developed world, according to new data and U.S. blackout warnings that spotlight the country’s aging and unreliable electric system.

The data by the Department of Energy (DOE) and the North American Electric Reliability Corporation (NERC) shows that Americans face more power grid failures lasting at least an hour than residents of other developed nations.

And it’s getting worse.

Going back three decades, the US grid loses power 285 percent more often than it did in 1984, when record keeping began, International Business Times reported. The power outages cost businesses in the United States as much as $150 billion per year, according to the Department of Energy.

Customers in Japan lose power for an average of 4 minutes per year, as compared to customers in the US upper Midwest (92 minutes) and upper Northwest (214), University of Minnesota Professor Massoud Amin told the Times. Amin is director of the Technological Leadership Institute at the school.

#google#

The grid is becoming less dependable each year, he said.

“Each one of these blackouts costs tens of hundreds of millions, up to billions, of dollars in economic losses per event,” Amin said. “… We used to have two to five major weather events per year [that knocked out power], from the ‘50s to the ‘80s. Between 2008 and 2012, major outages caused by weather, reflecting extreme weather trends, increased to 70 to 130 outages per year. Weather used to account for about 17 to 21 percent of all root causes. Now, in the last five years, it’s accounting for 68 to 73 percent of all major outages.”

As previously reported by Off The Grid News, the power grid received a “D+” grade on its power grid report card from the American Society of Civil Engineers (ASCE) in 2013. The power grid grade card rating means the energy infrastructure is in “poor to fair condition and mostly below standard, with many elements approaching the end of their service life.” It further means a “large portion of the system exhibits significant deterioration” with a “strong risk of failure.”

“America relies on an aging electrical grid and pipeline distribution systems, some of which originated in the 1880s,” the 2013 ASCE report read. “Investment in power transmission has increased since 2005, but ongoing permitting issues, weather events, and limited maintenance have contributed to an increasing number of failures and power interruptions.”

As The Times noted, the US power grid as it exists today was built shortly after World War II, with the design dating back to Thomas Edison. While Edison was a genius, he and his contemporaries could not have envisioned all the strains the modern world would place upon the grid and the multitude of tech gadgets many Americans treat as an extension of their body. While the drain on the grid has advanced substantially, the infrastructure itself has not.

There are approximately 5 million miles of electrical transmission lines throughout the United States, and thousands of power generating plants dot the landscape. The electrical grid is managed by a group of 3,300 different utilities and serve about 150 million customers, The Times said. The entire power grid system is currently valued at $876 billion.

Many believe the grid is vulnerable to an attack on substations and other threats.

Former Department of Homeland Security Secretary Janet Napolitano once said that a power grid cyber attack is a matter of “when” not “if,” as Russians hacked utilities incidents have shown.

 

Related News

View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Live Online & In-person Group Training

Advantages To Instructor-Led Training – Instructor-Led Course, Customized Training, Multiple Locations, Economical, CEU Credits, Course Discounts.

Request For Quotation

Whether you would prefer Live Online or In-Person instruction, our electrical training courses can be tailored to meet your company's specific requirements and delivered to your employees in one location or at various locations.