Plan And Goals
Improve the lives of our customers and vitality of our communities.
Affordable Energy: Maintain rates lower than the national average.
2014 Status: Duke Energy’s rates were lower than the national averages for the three customer categories (residential, commercial and industrial) in all six states we serve.
Energy Efficiency: Achieve a cumulative reduction in customer energy consumption of 15,000 GWh (equivalent to the annual usage of 1.25 million homes) by 2020.
2014 Status: As of year-end 2014, energy consumption was reduced by more than 8,000 GWh.
Energy Efficiency: Achieve a cumulative reduction in peak demand of 4,800 MW (equivalent to eight 600-MW power plants) by 2020.
2014 Status: As of year-end 2014, peak demand was reduced by nearly 3,800 MW.
Potential changes in state energy efficiency requirements may have an impact on our future energy efficiency goals.
Charitable Giving: Continue to engage key community partners to measure the number of lives positively affected by our grants.
2014 Status: We continued our engagement with community partners to measure our impact on communities. Through this engagement we evaluated 10 of our most significant recent grants, totaling over $530,000, and learned that over 680,000 lives are being positively affected by the projects these grants support.
New Goal: During 2015, develop and launch a strategic philanthropy and volunteerism initiative for our communities and employees.
Community Leader Ratings: During 2014, conduct a community leader study across all of our service territories, to establish baseline performance.
2014 Status: The Community Leader Study was launched and achieved relatively high response rates. Community Leaders reported overall satisfaction ratings in the 80-95% range for all Duke Energy jurisdictions but Florida (72%). Results showed high satisfaction with our reliable service and community support activities. Areas for improvement included environmental performance and the need for more proactive communications with the communities served.
Grow and adapt the business and achieve our financial objectives.
Economic Development: Stimulate growth in our communities and help attract at least 40,000 jobs and $10 billion in capital investments from 2013 to 2017.
2014 Status: Since 2013, Duke Energy helped our communities attract more than 25,000 jobs and over $6.5 billion in capital investments to our service territories.
Total Shareholder Return (TSR): Outperform other investorowned utilities in TSR, annually and over a three-year period, as measured by the Philadelphia Utility Index (UTY).
2014 Status: Duke Energy achieved a TSR of 26.4%, slightly below the UTY return of 28.9%. Over three years, our TSR was 13.1%, outperforming the UTY’s 12.5%.
Renewables: Own or contract 6,000 MW of wind, solar and biomass by 2020.
2014 Status: As of year-end 2014, Duke Energy owned or had under contract more than 3,000 MW of wind, solar and biomass.
Governance: Keep abreast of developments regarding corporate governance principles and recommend internal improvements as appropriate.
2014 Status: In 2014, Duke Energy made these improvements in corporate governance practices:
- Established ability for shareholders to take action by less than unanimous written consent
- Established ability for shareholders to call a special shareholder meeting
- Implemented a shareholder engagement program
- Put systems in place for robust governance of political activities
Transparency: Achieve top-quartile performance in disclosure, as measured by Bloomberg Environmental, Social and Governance (ESG) Disclosure Scores for our industry.
2014 Status: As of December 15, 2014, Duke Energy had a Bloomberg ESG Disclosure Score of 66.8, the highest score among our peer U.S. utilities.
Excel in safety, operational performance and environmental stewardship.
Safety: Achieve zero work-related fatalities.
2014 Status: Tragically, three employees and one contractor lost their lives on the job in 2014.
Safety: Achieve top-decile safety performance in employee Total Incident Case Rate (TICR) by 2015.
2014 Status: We improved employee TICR to 0.58 in 2014 from 0.62 in 2013, and were in the top decile of our industry peers in 2013 (when latest industry data were available).
Reliable Energy: During 2014, maintain the high reliability of our generation fleet with a nuclear capacity factor of at least 93.3%, regulated fossil commercial availability of at least 86.5%, and nonregulated fossil commercial availability and renewables yield of at least 92.0%.
2014 Status: The generation fleets performed well, consistently meeting customer demand, but did not achieve these aggressive goals. Nuclear capacity factor improved to nearly 93.2%, up from 2013, but just shy of the goal. Regulated fossil commercial availability improved to 85.9%, and nonregulated fossil commercial availability and renewables yield was 88.9%.
Reliable Energy: During 2014, maintain the high reliability of our distribution system with an average number of outages* of 1.15 or less, and an average time without power* of 126 minutes or less.
2014 Status: Average number of outages was 1.13, and average time without power was 123 minutes.
* Outages longer than 5 minutes, per customer
Carbon*: Reduce or offset carbon dioxide (CO2) emissions from our generation fleet 17% from 2005 emissions by 2020 (i.e., go from 169 million tons in 2005 to 141 million tons in 2020).
2014 Status: Our generation fleet emitted about 138 million tons of CO2, lower than our 2020 goal for the third straight year. Current forecasts indicate that CO2 emissions could slightly exceed 141 million tons in 2020.
Carbon*: Reduce the carbon intensity (pounds of CO2 emitted per net kilowatt-hour (kWh) of electricity produced) of our generation fleet from 1.28 in 2005 to 0.94 by 2020.
2014 Status: Generation carbon intensity increased from 1.05 in 2013 to 1.06 in 2014.
* We plan to reassess our carbon goals in 2015 based on U.S. EPA regulations.
Solid Waste: Increase the percentage of solid waste that is recycled from 69% in 2013 to 80% in 2018. (This goal excludes Duke Energy International and Duke Energy Renewables.)
2014 Status: Approximately 71% of solid waste produced was recycled.
Coal Ash Management: During 2014: 1) conduct an engineering review of the company’s ash management practices to identify potential opportunities for improvement, and 2) develop a long-term strategy to manage the closure of coal ash basins across our system.
2014 Status: The engineering review was completed. A proposed long-term closure strategy was developed, with implementation subject to regulatory approval.
New Goal: Develop detailed engineering closure plans for all coal ash sites by mid-2016.
Develop and engage employees and strengthen leadership.
Employee Engagement: Maintain management and employee engagement scores of 75% and 65%, respectively, or higher, measured by favorable responses to survey questions.
2014 Status: Management and employee engagement were 79.4% and 72.3%, respectively.
New Goal: Develop tools to support performance accountability through greater emphasis on effective performance management.
New Goal: Advance the focus on diversity hiring, retention, and increasing diversity in the leadership pipeline.