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To maximize the value and uptake of these resources,the undersigned further request that the NCUC direct <br /> Duke Energy to consult with community groups,community-based organizations,and nonprofit energy <br /> affordability groups to support the creation of new grid-edge programs and increase participation in existing <br /> ones. Community engagement in program design and implementation is essential to program success, and local <br /> governments can be valuable partners to Duke Energy in this effort. Such collaboration can enhance the efficacy, <br /> reach, and scale of existing and future projects, ultimately improving outcomes for customers and supporting the <br /> goals of the Carbon Plan. <br /> 5. Protect North Carolina communities from disproportionate cost burdens associated with new large <br /> loads through financial safeguards for existing ratepayers. <br /> Local governments share the concerns of advocates and community organizations that, if not properly allocated, <br /> infrastructure costs needed to serve new large loads could be subsidized by other customers. As discussed earlier, <br /> Duke Energy's projections of substantial near-term load growth—driven primarily by economic development <br /> projects such as data centers—form the basis of its Recommended Portfolio and subsequent action plans. <br /> Balancing this economic development with the affordability concerns of existing ratepayers is a critical priority as <br /> electricity demand increases across the state. <br /> The undersigned therefore ask that the NCUC take measures to ensure that residential and other commercial <br /> ratepayers are protected from unfairly bearing the costs of infrastructure built to support new large economic <br /> development loads. While direct ratemaking decisions fall outside the scope of CPIRP proceedings,the significant <br /> influence of new economic development load on Duke Energy's resource planning decisions makes it essential for <br /> NCUC to evaluate long-term resource decisions with fair and reasonable cost allocation in mind. Consistent with <br /> longstanding ratemaking principles, residential and other commercial customers should not be expected to pay for <br /> infrastructure that they did not cause and from which they do not benefit. <br /> The NCUC can look to other jurisdictions for approaches that promote fair cost allocation in response to rapid <br /> large-load growth. In Virginia,for example, the State Corporation Commission directed Dominion Energy to <br /> develop proposals for new cost allocation methodologies for generation and transmission costs associated with <br /> new data center construction.29 Many utilities have also adopted large load tariff structures that include consumer <br /> protections such as large exit fees, minimum contract lengths, minimum demand charges, and options for <br /> co-located generation.30 These approaches can address the unique demands of large load customers while <br /> minimizing financial risk to other ratepayers. <br /> As North Carolina faces record growth in electricity demand from data centers and other large loads, it is critical <br /> that the state's approach evolves to continue protecting ratepayers from unfair cost-shifting by incorporating <br /> industry best practices and using accurate demand forecasting. <br /> Conclusion <br /> The undersigned local governments are committed to the economic well-being, health, and resilience of our <br /> communities. Although our specific goals vary, we share a common commitment to an affordable, reliable, and <br /> clean energy system that supports the needs of all North Carolinians.The plans and actions proposed by Duke <br /> Energy have a profound influence on local governments' ability to meet our goals and targets. In particular, the <br /> significant amount of projected energy demand,the proposed short-term investments in natural gas, and the <br /> delayed retirement of coal units to meet this demand create an economically risky environment with adverse <br /> health and financial impacts on residents and businesses. Some of these risks may be mitigated through <br /> refinements to Duke Energy's planning processes and expansion of customer choice programs. <br /> 29 Virginia State Corporation Commission,Docket PUR-2025-00058(Nov.2025),HTTPS://WWW.SCC.VIRGINIA.GOV/DOCKETSEARCH/DOCS/89G601!.PDF. <br /> 30 Alyssa Perez et al.,Large energy users want power. Here's how to protect other ratepayers from the costs, RM I(Nov.2025), <br /> https://rm i.org/la rge-energy-users-wa nt-power-heres-how-to-protect-other-ratel2a)rers-from-the-costs/. <br /> 8 <br />