Duke Energy plans to exit coal generation by 2035
Duke Energy plans to reduce its energy generated from coal to less than 5 percent by 2030 and exit coal generation entirely by 2035 as part of the largest planned coal fleet retirement in the industry.
The company is also expanding its 2050 net-zero goals to now include Scope 2 and certain Scope 3 emissions. In its electric business, the company’s net-zero goal will include greenhouse gas emissions from the power it purchases for resale, from the procurement of fossil fuels used for generation, and from the electricity purchased for its own use.
In the natural gas business, the new net-zero by 2050 goal includes upstream methane and carbon emissions related to purchased gas and downstream carbon emissions from customers’ consumption.
To date, Duke Energy has reduced Scope 1 carbon emissions from electricity generation by 44 percent from 2005 levels. It is on pace to achieve its goals of at least 50 percent reduction by 2030 and net-zero by 2050 from electricity generation and net-zero methane emissions by 2030.
To achieve those results, it has retired 56 coal units, representing approximately 7,500 megawatts since 2010, filed integrated resource plans with preferred scenarios that support exiting coal generation by 2035, and partnered with Accenture and Microsoft on a satellite leak detection platform designed to measure actual baseline methane emissions from natural gas distribution systems.
“As one of America’s largest electric and gas utilities, we and many of our stakeholders share the view that we can take a leadership role in tackling the greenhouse gas emissions associated with our business and value chain,” Duke Energy Chief Sustainability Officer Katherine Neebe said. “Policy changes and technological innovation are expected to play a key role in meeting these enhanced goals.”
For reference, Scope 1 emissions are direct emissions from the company, such as the power the company generates and its fleet of vehicles. Scope 2 emissions are indirect emissions from power the company purchases from others to use in its facilities. Scope 3 includes indirect emissions that arise from others in the company’s value chain.
In its Sustainability Report, Duke Energy discloses Scope 1, 2, and some Scope 3 emissions. Over the coming months, the company will determine the emissions associated with the prioritized Scope 3 categories and identify what actions it can take to reduce these emissions.
“The energy sector must transform for the future in a way that also benefits our society today,” Neebe said. “Achieving this vision will require us to transition to low- and zero-emissions fuel sources, invest in our communities, and develop and prepare a diverse workforce. Taken together, these efforts will deliver long-term value for our stakeholders.”
