The North Carolina Utilities Commission has unexpectedly denied Duke Energy’s proposal to construct a $584 million gas turbine at the Smith Energy Complex in Richmond County. This would have been the sixth turbine at the site, located near an Amazon data center.
The Commission expressed concerns over the substantial cost and the actual demand for power in light of potential delays or cancellations of data center projects that drive energy forecasts. Commissioner Donald van der Vaart emphasized the need for Duke Energy to explore more cost-effective alternatives, such as battery storage.
Duke Energy expressed disappointment in the decision and is evaluating its options, with the possibility of reapplying for project approval after addressing the Commission’s concerns. One commissioner dissented, arguing that the turbine is essential for grid reliability and that delays could increase costs for ratepayers.