Duke Energy 2013 Annual Report Download - page 5

2013 ANNUAL REPORT
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our jurisdictions to reflect modernizing our
system for customers. These regulatory
outcomes will create about $600 million
in incremental annualized revenues, while
still keeping our overall electricity prices
below the national average.
We met our merger-related milestones as
well. By the end of 2013, we had exceeded
our target for fuel and joint-dispatch savings,
realizing about $190 million in cumulative
savings for our Carolinas customers. We also
exceeded our merger target of 5 to 7 percent
in nonfuel operating and maintenance
expense savings. This puts us on pace to
deliver about 9 percent, or $550 million, in
savings in 2014.
Another major accomplishment was
resolving the future of the damaged Crystal
River nuclear unit in Florida. In early 2013,
after considerable analysis, we decided to
retire the plant rather than attempt a costly,
uncertain repair.
In October, Florida regulators approved
a constructive regulatory agreement that
provides for cost recovery and a framework
to meet Florida’s future energy needs.
BEING ACCOUNTABLE
TO OUR COMMUNITIES
Nothing is more important to us than
maintaining the public’s trust in Duke
Energy. That’s why we acted quickly after
the February 2014 break in a stormwater
pipe at one of our coal ash basins in North
Carolina, which resulted in a release of ash
into the Dan River. We mobilized hundreds
of employees, contractors and experts to the
site. We permanently sealed the pipe, and
government testing confirmed that public
drinking water supplies remain safe.
We are accountable for this accident and
are working closely with the affected
communities. In coordination with state and
federal agencies, we will do what it takes
to address the impact on the river. We are
learning from this event and are looking for
ways to improve the management of coal
ash at all our sites.
BUILDING A STRONG
FINANCIAL TRACK RECORD
We are committed to maintaining investor
confidence in our long-cycle, capital-
intensive business. This ensures we can
MET OUR
2013 GOALS:
Completed a $9 billion plant
modernization program
Put Edwardsport clean
coal plant into service
Achieved constructive rate
case settlements and approvals
Met merger-integration and
cost-savings milestones
Resolved Crystal River
Nuclear Plant future
Achieved our nancial
objectives