Duke Energy CORP (Form: 8-K, Received: 07/02/2019 15:06:33)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 2, 2019

Commission file number	Registrant, State of Incorporation or Organization, Address of Principal Executive Offices, and Telephone Number	IRS Employer Identification No.

1-32853	DUKE ENERGY CORPORATION	20-2777218
	(a Delaware corporation) 550 South Tryon Street Charlotte, North Carolina 28202-1803 704-382-6200

1-3543	DUKE ENERGY INDIANA, LLC	35-0594457
	(an Indiana limited liability company) 1000 East Main Street Plainfield, Indiana 46168

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240. 13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, $0.001 par value	DUK	New York Stock Exchange LLC
5.125% Junior Subordinated Debentures due January 15, 2073	DUKH	New York Stock Exchange LLC
5.625% Junior Subordinated Debentures due September 15, 2078	DUKB	New York Stock Exchange LLC
Depositary Shares, each representing a 1/1,000 th interest in a share of 5.75% Series A Cumulative Redeemable Perpetual Preferred Stock, par value $0.001 per share	DUK PR A	New York Stock Exchange LLC

Item 8.01. Other Events.

On July 2, 2019, Duke Energy Indiana, LLC (“DEI”) filed a general rate case with the Indiana Utility Regulatory Commission (the “IURC”) to request an overall approximate 15% increase in retail revenues, or approximately $395 million, with an overall rate of return of approximately 6.15% based on approval of a 10.4% return on equity and a 53% equity component of the capital structure. The request is premised upon a DEI rate base of $10.2 billion as of December 31, 2018, and adjusted for projected changes through December 31, 2020.

Although a procedural schedule has not yet been established by the IURC, hearings are expected to commence in late 2019 or early 2020, with rates to be effective in mid-2020.

An overview providing additional detail on the filing is attached to this Form 8-K as Exhibit 99.1.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

99.1	Duke Energy Indiana Summary of 2019 Rate Case Filing

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	DUKE ENERGY CORPORATION


Date: July 2, 2019	By:	/s/ David S. Maltz
	Name:	David S. Maltz
	Title:	Assistant Secretary


	DUKE ENERGY INDIANA, LLC


Date: July 2, 2019	By:	/s/ David S. Maltz
	Name:	David S. Maltz
	Title:	Assistant Secretary

Exhibit 99.1

Duke Energy Indiana

Summary of 2019 Rate Case Filing

(IURC Cause No. 45253)

· On July 2, 2019, Duke Energy Indiana (DEI) filed a general rate case with the Indiana Utilities Regulatory Commission (IURC) to request an overall approximate 15 percent increase in retail revenues, or approximately $395 million:

· The rate case filing requests an overall rate of return of 6.15%(1) based on approval of a 10.4% return on equity and a 53% equity component of the capital structure.

· The request is based on a DEI rate base of $10.2 billion as of December 31, 2018, and adjusted for projected changes through December 31, 2020.

· If approved, annualized rates would increase $345 million in 2020 and another $50 million in 2021.

· This is DEI’s first general rate case filing in Indiana in 16 years and includes modernized regulatory mechanisms

· In 2013, legislation was passed in Indiana allowing utilities to utilize forward-looking test years. This is DEI’s first filing under this modernized regulatory mechanism.

· Duke Energy Indiana’s T&D Infrastructure Modernization Plan (TDSIC) was approved since the last rate case, in June 2016. The approved TDSIC plan covers the company’s seven-year, $1.4 billion grid modernization plan, and includes rider recovery of 80% of incurred costs under the plan. The remaining 20% of costs under the TDSIC plan are recovered via base rates.

· As part of the request, DEI is also offering new electric rate proposals for state regulators to consider, including a pilot five-year de-coupling program for residential and commercial customers and optional “time of use” rates.

· This rate increase request is driven by:

Drivers	Revenue Requirement		% of Total Request
Significant Plant Additions and Changes	$	164 million	42	%
Depreciation rates, primarily due to accelerated retirement dates for certain coal-fired power units	$	138 million	35	%
Coal ash basin closure costs(2)	$	28 million	7	%
All other changes to rate base, operating costs, and operating revenues	$	65 million	16	%

· The rate increase request is driven by strategic investments to generate cleaner electricity, improve reliability and serve a growing customer base. Major capital investments include:

· The largest part of the increase (~$1.8 billion) covers grid investments, including more than 1,400 miles of new power lines to serve the more than 100,000 customers added since the last rate case. Includes deferred amounts from TDSIC rider (~ 20% of investment) and Advanced Metering Infrastructure ($150 million).

(1) Indiana’s capital structure includes Accumulated Deferred Income Taxes (ADIT). When ADIT is excluded, resulting cap structure approximates 53% equity.

(2) Requests recovery of $212 million of deferred coal ash costs incurred through 2018 over an 18-year period and an ongoing deferral of post-2018 costs.

· The Edwardsport IGCC station will be moved from a rider to base rates and the rider currently recovering the costs will be terminated.

· Shortly after the filing is made, the IURC will establish the procedural schedule, including the date of the evidentiary hearing.

· DEI anticipates that the IURC will schedule the evidentiary hearing for late 2019/early 2020, which would enable the rate change arising from this proceeding to take effect mid-2020.