NC — Power Infrastructure Updated 2026-07-17

North Carolina

SERC/PJM Natural Gas Nuclear Solar Storage Data Center PPAs Queue Bottlenecks

Last updated: 2026-07-17. Web research refreshed for developments from February 1, 2026 through July 17, 2026.

1) Grid operator and market structure

  • Balancing authorities / control areas: Duke Energy Carolinas and Duke Energy Progress operate balancing authorities serving large portions of North Carolina, and the EPA eGRID code lookup identifies Duke Energy Carolinas (DUK) and Duke Energy Progress East/West (CPLE/CPLW) as balancing authority codes relevant to the state. Source: EPA eGRID, accessed 2026-06-10.
  • RTO/ISO status: Duke’s Carolinas service territory remains outside an RTO/ISO market, which is why North Carolina’s large-load questions are primarily handled through vertically integrated utility planning, bilateral service arrangements, and NCUC proceedings rather than an ISO tariff. Source: NC Utilities Commission, accessed 2026-06-10.
  • Additional service area nuance: TVA provides electricity in parts of western North Carolina through local power companies, so not all North Carolina data center sites would necessarily fall inside Duke’s balancing authorities or retail utility territory. Source: TVA, FY 2019.
  • Retail market structure: North Carolina remains a regulated retail electricity market where customers generally take service from their local utility, municipal system, or electric cooperative rather than choosing a competitive retail supplier. Source: NC Utilities Commission, accessed 2026-06-10.

2) Interconnection queue status (depth, timing, data center specificity, reforms)

  • Queue reforms / process changes: Duke’s revised FERC large-generator interconnection procedures took effect November 1, 2025 and shifted the Resource Solicitation Cluster to the Order 2023/2023A-aligned cluster process. In the 2025 RSC, Duke delivered the Phase 1 report May 1, 2026 and set June 1 as the North Carolina/FERC commercial-readiness-deposit deadline. Sources: Duke Energy Carolinas 2024 interconnection FAQ, accessed 2026-07-17 and Duke Energy Carolinas 2025 interconnection FAQ, 2026-05-12.
  • 2026 solicitation-cluster timing: As of June 25, Duke said the 2026 solar solicitation and its North Carolina-relevant RSC timing remained contingent on the pending CPIRP decision; only projects bidding into an open RFP could enter the RSC. The July 15 opening applied to the South Carolina battery solicitation, not a general North Carolina large-load queue. Source: Duke Energy Carolinas 2026 interconnection FAQ, 2026-06-25.
  • Queue depth and wait time (general): Lawrence Berkeley National Laboratory reported roughly 10,300 active projects in U.S. interconnection queues at the end of 2024 and median queue durations above 4 years for recent vintages, providing context for long study timelines even though the dataset is generation/storage-focused rather than data-center-load-focused. Source: Lawrence Berkeley National Laboratory, 2025-04-10.
  • Data center-specific requests: Public interconnection queue datasets primarily track generation and storage projects and do not provide a consolidated North Carolina-only public list of data center load interconnection requests, so data center load growth is better tracked through utility load forecasts, local land-use proceedings, and large-load tariff/contract proposals. Sources: Lawrence Berkeley National Laboratory, 2025-04-10 and Duke Energy Carolinas RFP FAQ, accessed 2026-06-10.
  • Pipeline signal outside the queue: The April 2026 Commerce memo estimated approximately 6.3 GW of planned data center pipeline in North Carolina, a load-growth signal that is not visible as a standard generation interconnection queue count. Source: NC Department of Commerce, 2026-04-06.

3) Ratepayer protection (large-load tariffs, cost allocation, dockets)

  • Duke large-load proposal in DEC rate case: In late-June rebuttal testimony in the Duke Energy Carolinas rate case, Duke proposed standardized terms for customers of at least 50 MW: minimum bills based on 75% of contract demand, contract terms of 10 or 15 years, and minimum-payment obligations lasting at least a decade. The proposal would standardize bilateral service agreements rather than create a separate customer class. Source: Canary Media, 2026-07-06.
  • No final NCUC tariff or cost-allocation ruling by July 17: The expert-witness hearing in DEC docket E-7, Sub 1329 began July 7 and continued July 14 and 16. The Commission had not issued a final rate-case order or adopted a statewide data-center class by July 17; a decision was expected later in 2026. Sources: NC Utilities Commission hearing calendar, accessed 2026-07-17 and Canary Media, 2026-07-06.
  • Attorney General cost-allocation position: Expert testimony filed for Attorney General Jeff Jackson urged the NCUC to create a separate rate class for data centers and other very large users, arguing that Duke’s existing approach leaves other customers exposed to load-forecast and infrastructure risk. Source: NC Department of Justice, 2026-06-01.
  • Energy Policy Task Force recommendation: The Governor’s Energy Policy Task Force recommended that the NCUC continue developing special classes and rate structures for large loads and that investor-owned utilities develop optional tariffs allowing large customers to directly fund clean energy resources. Source: NC Energy Policy Task Force, 2026-02-15.
  • SB730 proposed utility contract regime: The June 3 engrossed bill would require each data center with peak monthly demand of 100 MW or more to sign a utility contract protecting other customers from subsidies and stranded costs, with minimum billing and a cost-recovery term. It remained pending rather than enacted. Source: NC General Assembly bill text, 2026-06-03.
  • SB730 status: After the House passed its substitute on June 3, the Senate received it for concurrence and referred it to Senate Rules on June 8; no further action occurred by July 17. Source: NC General Assembly bill page, accessed 2026-07-17.
  • HB1180 proposed large-load tariff: HB1180 would require an NCUC-approved tariff above 20 MW, with a minimum 10-year term and 85% take-or-pay demand; it remained in House Rules on July 17. Sources: NC General Assembly bill page, accessed 2026-07-17 and NC General Assembly bill text, 2026-05-04.
  • HB1063 alternative proposal: HB1063 would require large data centers to self-supply at least 25% of demand with on-site clean generation and place them on special rates recovering the full marginal cost of service; it remained in House Rules without action. Sources: NC General Assembly bill page, accessed 2026-07-17 and NC General Assembly bill text, 2026-04-28.
  • HB1002 remains inactive: HB1002, the 2025 proposal to bar recovery of grid and energy costs incurred solely for data centers, remained in House Rules and had not become law by July 17. Source: NC General Assembly bill page, accessed 2026-07-17.

4) Generation adequacy (planned resources & shortfall concerns)

  • Duke 2025 Carolinas Resource Plan: Duke filed its 2025 Carolinas Resource Plan on October 1, 2025, framing resource additions around rapid demand growth and including new natural gas resources, nuclear evaluation, expanded solar, and battery storage. Source: Duke Energy, 2025-10-01.
  • Load growth pressure from data centers: The April 2026 Commerce memo estimated current data center electricity consumption in North Carolina at roughly 1.98 GW and planned data center pipeline at roughly 6.3 GW, reinforcing data centers as a major new load-growth driver for resource planning. Source: NC Department of Commerce, 2026-04-06.
  • RTO recommendation: The Energy Policy Task Force recommended that North Carolina pursue participation in a regional transmission organization with a deadline and penalty for delay, linking regional market participation to reliability, affordability, and clean-energy objectives. Source: NC Energy Policy Task Force, 2026-02-15.
  • Pending baseload-retirement restriction: SB730 would bar the NCUC from authorizing retirement of baseload or dispatchable generation above 100 MW until a certificate has been issued for at least one 1,000 MW nuclear facility; it remained pending in Senate Rules on July 17. Sources: NC General Assembly bill page, accessed 2026-07-17 and NC General Assembly bill text, 2026-06-03.
  • New gas-generation applications remain pending: The NCUC calendar listed pending need/CPCN proceedings for a 1,365 MW Duke Energy Carolinas combined-cycle plant in Anderson County, South Carolina, a 1,360 MW Duke Energy Progress combined-cycle plant in Person County, and an 850 MW Duke Energy Carolinas combustion-turbine project in Rowan County, with hearings scheduled from July through September. These projects form part of Duke’s response to forecast load growth, but none had a final approval by July 17. Source: NC Utilities Commission hearing calendar, accessed 2026-07-17.
  • July heat emergency order: During extreme heat, the U.S. Department of Energy authorized DEC and DEP to operate specified generating units at maximum output notwithstanding environmental permit limits, from July 2 through July 9, illustrating near-term reliability pressure in the Carolinas. Source: US Department of Energy, 2026-07-02.

5) Utility load forecasts & IRP/CPIRP treatment of data centers

  • Commerce pipeline estimate as planning context: Commerce reported 60 data centers and a 6.3 GW planned pipeline, the most explicit statewide public estimate located through July 17. Source: NC Department of Commerce, 2026-04-06.
  • Duke planning treatment: Duke’s 2025 Carolinas Resource Plan describes unprecedented demand growth and was filed with the NCUC as a biennial update to long-range resource planning, making it the primary utility planning vehicle for data-center-class load growth in Duke territory. Source: Duke Energy, 2025-10-01.
  • Forecast revised upward: Duke’s 2035 forecast for large-customer demand in the Carolinas rose to 8 GW, 2 GW above the prior year’s projection, with most of the increment attributed to data centers. That forecast was being litigated in the rate and Carbon Plan proceedings and was not itself a Commission finding. Sources: Canary Media, 2026-07-06 and NC Department of Justice, 2026-06-01.
  • WhiteFiber NC-1 load milestone: WhiteFiber’s Madison campus reported 24 MW operational/near-term capacity and 99 MW secured, with expansion to 200 MW conditional on additional Duke service agreements and other milestones. Source: WhiteFiber, last updated 2026-05.
  • Carbon Plan/IRP status: The consolidated Carbon Plan and Integrated Resource Plan matter remained awaiting a Commission decision as of July 17; no final 2026 resource-plan order had yet resolved the competing load forecasts. Source: NC Utilities Commission hearing calendar, accessed 2026-07-17.
  • SB730 reporting proposal: SB730 would require electric public utilities to report each data center’s contracted demand and actual peak demand in long-range generation needs reports, creating a data-center-specific load reporting mechanism if enacted. Source: NC General Assembly bill text, 2026-06-03.

6) Behind-the-meter / co-location / direct PPA activity

  • Queue data limits: Public queue datasets used for benchmarking do not capture all behind-the-meter, distribution-connected, or load interconnection arrangements, limiting visibility into data center co-location and self-supply activity. Source: Lawrence Berkeley National Laboratory, 2025-04-10.
  • Federal context: FERC’s AD24-11 proceeding addressed generic issues related to co-location of large loads at generating facilities, but no North Carolina-specific final co-location rule or tariff decision was located through July 17. Sources: Federal Register/FERC, 2024-09-17 and NC Utilities Commission hearing calendar, accessed 2026-07-17.
  • Task Force clean-energy tariff recommendation: The Energy Policy Task Force recommended optional tariffs that would allow large customers to directly fund clean energy resources, a potential alternative to behind-the-meter procurement if implemented by investor-owned utilities. Source: NC Energy Policy Task Force, 2026-02-15.

7) Transmission constraints & planned upgrades

  • Regional transmission planning: The Carolinas Transmission Planning Collaborative’s 2024-2034 plan identified 121 major transmission projects totaling roughly $2.956B across the Carolinas, including Duke Energy Carolinas and Duke Energy Progress projects, indicating substantial regional upgrade activity relevant to large-load siting. Source: ElectriCities, 2025-02-03.
  • Grid hardening and transmission pole upgrades: Duke’s 2025 North Carolina rate-case materials highlighted grid upgrades including replacement or upgrading of 13,403 wood transmission poles, indicating ongoing investment in transmission resilience and reliability. Source: Duke Energy, 2025-11-20.
  • Data centers as a transmission-planning pressure point: Commerce’s 6.3 GW data center pipeline estimate and the Task Force recommendation to pursue RTO participation together indicate that data-center-class loads are now being treated as a material factor in North Carolina’s grid planning debate. Sources: NC Department of Commerce, 2026-04-06 and NC Energy Policy Task Force, 2026-02-15.

8) Water, cooling, and environmental load-management issues

  • Microsoft Person County cooling plan: Microsoft’s May 2026 Person County project update says the planned datacenters are expected to reduce water use by relying on air-cooled chillers and a closed, recirculating water loop instead of traditional water-intensive cooling. Source: Microsoft Local, 2026-05-01.
  • Microsoft Catawba County water projection: Catawba County EDC said the Microsoft sites are expected to rely primarily on less water-intensive cooling and, at full operation, use about 1% of Hickory’s daily water-production capacity. This is a local-project projection rather than independently measured operating use. Source: Catawba County EDC, 2026-06-23.
  • SB730 water/cooling proposal: SB730 would require data center applicants to attest to closed-loop water or liquid cooling and direct DEQ to adopt data-center water-use standards, but it remained pending in Senate Rules on July 17. Sources: NC General Assembly bill page, accessed 2026-07-17 and NC General Assembly bill text, 2026-06-03.
  • Amazon bridge power and backup generation: For the Richmond County Energy Way campus, Duke sought a permit for 57 diesel engines as temporary bridge generation, to be retired within one year after operation, while Amazon sought a separate permit for 588 emergency diesel engines that would remain as backup. DEQ’s preliminary determinations were headed to a July 30 hearing and were not final by July 17. Source: NC Department of Environmental Quality, 2026-06-26.
  • Local infrastructure concern: Charlotte’s June 2026 moratorium cited infrastructure capacity, noise, and environmental concerns as reasons for pausing new data center applications, showing that energy and utility infrastructure questions are now being handled at both city and state levels. Source: City of Charlotte, 2026-06-08.