Purchasing: What does it mean to the neighborhood?
Duke Energy spends between $8 billion and $10 billion a year purchasing everything from wind turbines to office supplies.
Quality and cost are prime drivers of these decisions. But customers have told us corporate sustainability should be in the mix, too. That’s why supplier diversity, local economic impact and environmental stewardship are part of Duke Energy’s purchasing equation.
In 2015, working with NC State University and Duke University, the company developed a method to assess the economic impact of our spending. Out of the $8.2 billion we spent in 2014, $2.7 billion was spent with local companies in our six retail states. That’s 32 percent of our overall spend.
That $2.7 billion in local spending helps support close to 26,000 jobs. It also means an extra $1.7 billion in salaries, local purchases and business taxes are kept in our communities.
Duke Energy selects suppliers that provide the most value to our customers and shareholders, while creating broader value for the company and the communities we serve. We also continue to focus on diversity and environmental stewardship.
The future? We expect our increased focus on sustainability criteria in purchasing decisions to lead to even more local spending.