Duke Energy: another rate hike and what it's really costing you
Duke Energy's "Storm Recovery Bonds": Because Gouging You Once Just Isn't Enough
Oh, great. More financial wizardry from Duke Energy. So, they're patting themselves on the back because Hunton Andrews Kurth LLP helped them issue over $1.6 BILLION in "Senior Secured Storm Recovery Bonds." Right. Let's translate that corporate-speak for the rest of us: they're borrowing a boatload of money to cover costs from past hurricanes and winter storms, and offcourse we, the customers, are gonna be paying it back. With interest.
"Storm recovery property?" What fresh hell is that? Apparently, it's some accounting trick that lets them sell off the costs to a special purpose entity (aka a shell company), which then issues these bonds. They get the cash now, and we get the pleasure of footing the bill for the next, oh, I don't know, decade?
And get this: these bonds were "sold pursuant to financing orders issued by the North Carolina Utilities Commission and the Public Service Commission of South Carolina." So, the government is in on it too. Surprise, surprise. Are these commissions actually looking out for the people, or are they just rubber-stamping whatever Duke Energy throws at them? I wonder...
The Double Dip: Rate Hikes on Top of Bonds?
But wait, it gets better. Or worse, depending on how you look at it. While Duke Energy is busy issuing these bonds to cover past storm costs, they're also proposing a 15% rate increase for customers over the next two years.
Fifteen percent! That's not a typo. That's $20 to $30 more per month by 2028, according to WRAL. And what's their justification? "To help boost reliability and support economic growth." Oh, give me a break. It's to boost their profits and support their executive bonuses.
I saw some poor sap named Roosevelt Farmer quoted as saying, “I don’t think I’m using what they’re charging me.” That's the understatement of the century. It's like they're charging us for electricity we haven't even invented yet.
And then there's Lindy Olive, who says, “It’s sad because I want to make more money. My bills are going up, but my income is not going up.” That's the story of America right there, isn't it? Wages stagnant, while corporations bleed us dry.
The "Merger Savings" Mirage
Oh, and let's not forget the "proposed merger" between Duke Energy Carolinas (DEC) and Duke Energy Progress (DEP), which they claim will save customers more than $1 billion through 2038. Yeah, and I've got a bridge to sell you.
Farmer, the skeptical customer, nails it: “Don’t give it to me and then turn around and take it away. I’m like a child. Babies don’t like for their toys to be taken away.” Exactly. It's a classic bait-and-switch. Promise savings with one hand, then pickpocket us with the other.
Seriously, what are we supposed to do? Just bend over and take it? Is there some kind of class-action lawsuit brewing? Because honestly... I'm starting to feel like we're being robbed blind.
And all those lawyers at Hunton Andrews Kurth LLP? Good for them, I guess. They're just doing their jobs. But still, something about helping a giant corporation squeeze even more money out of ordinary people leaves a bad taste in my mouth. Maybe I'm just jealous I didn't think of it first. Then again, maybe not.
So, What's the Real Story?
It ain't about "storm recovery" or "economic growth." It's about Duke Energy lining its pockets while the rest of us struggle to keep the lights on. It's a rigged game, and we're all just pawns in their corporate chess match.