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Federal Constitutional Law Issues related to Duke Energy Carolinas Storm Recovery Bonds

Duke Energy Carolinas (DEC) | November 25, 2025

By Rachel Baker

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Duke Energy Carolinas issued $561,398,000 aggregate principal amount of Senior Secured Storm Recovery Bonds

The bonds are being sold under the Indenture dated November 25, 2025

The State of South Carolina pledged to bondholders not to alter the Financing Act provisions related to storm recovery property

Bond Issuance

DEC issued $561,398,000 in Senior Secured Storm Recovery Bonds

State Pledge

The State of South Carolina pledged not to alter provisions related to storm recovery property

Legislative Background

The Financing Act allows utilities to issue storm recovery bonds for lower-cost funds

  • The Storm Recovery Bonds offer DEC a source of lower-cost funding for storm recovery expenses
  • The State Pledge provides security and stability for bondholders and investors

The issuance of the Senior Secured Storm Recovery Bonds by Duke Energy Carolinas provides a sustainable financial solution for storm recovery, supported by the State of South Carolina's commitment to bondholders.