RALEIGH, N.C., June 17, 2002 — CP&L recently announced that it had filed for an increase in the fuel rate charged to its North Carolina customers. CP&L is asking the North Carolina Utilities Commission (NCUC) to approve a $46.3 million or 2 percent increase in its fuel rate to recover fuel cost shortfall for the period ending March 31, 2002, and to meet expected fuel costs in the near future. The increase would take effect October 1, 2002.
The fuel rate is a regulated, direct pass-through charge on all electric consumers for the actual cost of fuel to the utility to produce electricity to meet customer demand. CP&L has not requested a general rate increase since 1988.
“CP&L is committed to providing reliable energy for our customers at the least possible cost,” said Skip Orser, president, energy supply for Progress Energy. “Even with this proposed fuel charge increase, the price most CP&L customers pay for electricity will be considerably lower than the national average and less than it was in 1990. The continued outstanding performance at our nuclear plants, coupled with improved operating efficiencies at all of our power plants, has allowed us to keep our costs down, which has benefited all of our customers.”
The average increase would be 1.7 percent for residential customers.