Debt and Credit Facilities

12 Months Ended

Dec. 31, 2022

Debt Disclosure [Abstract]

Debt and Credit Facilities

DEBT AND CREDIT FACILITIES

Summary of Debt and Related Terms

The following tables summarize outstanding debt and includes debt attributable to the Commercial Renewables Disposal Groups. See Note 2 for further details.

	December 31, 2022
	Weighted
	Average				Duke				Duke		Duke		Duke		Duke
	Interest		Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Rate		Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Unsecured debt, maturing 2023-2082	4.20	%	$	29,585	$	1,150	$	2,600	$	—	$	950	$	1,330	$	697	$	3,390
Secured debt, maturing 2023-2052	4.11	%	5,632		1,317		2,383		1,155		1,228		—		—		—
First mortgage bonds, maturing 2023-2052(a)	3.89	%	32,645		11,306		16,350		8,776		7,576		1,850		3,138		—
Finance leases, maturing 2023-2051(b)	7.90	%	764		284		628		587		41		—		9		—
Tax-exempt bonds, maturing 2027-2046(c)	3.84	%	1,331		—		500		500		—		77		352		—
Notes payable and commercial paper(d)	4.50	%	4,582		—		—		—		—		—		—		—
Money pool/intercompany borrowings			—		1,533		993		389		605		522		585		514
Fair value hedge carrying value adjustment			(5)		—		—		—		—		—		—		—
Unamortized debt discount and premium, net(e)			1,016		(21)		(40)		(23)		(16)		(25)		(17)		(9)
Unamortized debt issuance costs(f)			(383)		(70)		(132)		(59)		(70)		(12)		(22)		(18)
Total debt	4.09	%	$	75,167	$	15,499	$	23,282	$	11,325	$	10,314	$	3,742	$	4,742	$	3,877
Short-term notes payable and commercial paper			(3,952)		—		—		—		—		—		—		—
Short-term money pool/intercompany borrowings			—		(1,233)		(843)		(238)		(605)		(497)		(435)		(514)
Current maturities of long-term debt(g)			(4,154)		(1,018)		(697)		(369)		(328)		(475)		(303)		(45)
Total long-term debt(g)			$	67,061	$	13,248	$	21,742	$	10,718	$	9,381	$	2,770	$	4,004	$	3,318

(a)Substantially all electric utility property is mortgaged under mortgage bond indentures.

(b)Duke Energy includes $164 million of finance lease purchase accounting adjustments related to Duke Energy Florida related to PPAs that are not accounted for as finance leases in their respective financial statements because of grandfathering provisions in GAAP.

(c)Substantially all tax-exempt bonds are secured by first mortgage bonds, letters of credit or the Master Credit Facility.

(d)Includes $625 million classified as Long-Term Debt on the Consolidated Balance Sheets due to the existence of long-term credit facilities that backstop these commercial paper balances, along with Duke Energy’s ability and intent to refinance these balances on a long-term basis. The weighted average days to maturity for Duke Energy's commercial paper program was 15 days.

(e)Duke Energy includes $1,057 million and $85 million in purchase accounting adjustments related to Progress Energy and Piedmont, respectively.

(f)Duke Energy includes $27 million in purchase accounting adjustments primarily related to the merger with Progress Energy.

(g)Refer to Note 18 for additional information on amounts from consolidated VIEs.

	December 31, 2021
	Weighted
	Average				Duke				Duke		Duke		Duke		Duke
	Interest		Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Rate		Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Unsecured debt, maturing 2022-2082	3.71	%	$	24,564	$	1,150	$	2,250	$	—	$	150	$	1,330	$	700	$	2,990
Secured debt, maturing 2022-2052	2.50	%	5,584		1,094		2,397		1,120		1,278		—		—		—
First mortgage bonds, maturing 2022-2051(a)	3.87	%	31,026		10,507		15,450		8,375		7,075		1,850		3,219		—
Finance leases, maturing 2022-2051(b)	5.81	%	915		289		690		629		61		—		10		—
Tax-exempt bonds, maturing 2027-2041(c)	0.65	%	360		—		48		48		—		27		285		—
Notes payable and commercial paper(d)	0.35	%	3,929		—		—		—		—		—		—		—
Money pool/intercompany borrowings			—		526		2,959		322		199		128		150		518
Fair value hedge carrying value adjustment			4		4		—		—		—		—		—		—
Unamortized debt discount and premium, net(e)			1,119		(21)		(34)		(19)		(14)		(27)		(18)		(6)
Unamortized debt issuance costs(f)			(362)		(67)		(128)		(54)		(68)		(13)		(23)		(16)
Total debt	3.50	%	$	67,139	$	13,482	$	23,632	$	10,421	$	8,681	$	3,295	$	4,323	$	3,486
Short-term notes payable and commercial paper			(3,304)		—		—		—		—		—		—		—
Short-term money pool/intercompany borrowings			—		(226)		(2,809)		(172)		(199)		(103)		—		(518)
Current maturities of long-term debt(g)			(3,387)		(362)		(1,082)		(556)		(76)		—		(84)		—
Total long-term debt(g)			$	60,448	$	12,894	$	19,741	$	9,693	$	8,406	$	3,192	$	4,239	$	2,968

(a)    Substantially all electric utility property is mortgaged under mortgage bond indentures.

(b)    Duke Energy includes $256 million of finance lease purchase accounting adjustments related to Duke Energy Florida related to PPAs that are not accounted for as finance leases in their respective financial statements because of grandfathering provisions in GAAP.

(c)    Substantially all tax-exempt bonds are secured by first mortgage bonds, letters of credit or the Master Credit Facility.

(d)    Includes $625 million that was classified as Long-Term Debt on the Consolidated Balance Sheets due to the existence of long-term credit facilities that backstop these commercial paper balances, along with Duke Energy’s ability and intent to refinance these balances on a long-term basis. The weighted average days to maturity for Duke Energy's commercial paper programs was 15 days.

(e)    Duke Energy includes $1,121 million and $100 million in purchase accounting adjustments related to Progress Energy and Piedmont, respectively.

(f)    Duke Energy includes $29 million in purchase accounting adjustments primarily related to the merger with Progress Energy.

(g)     Refer to Note 18 for additional information on amounts from consolidated VIEs.

Current Maturities of Long-Term Debt

The following table shows the significant components of Current maturities of Long-Term Debt on the Consolidated Balance Sheets. The Duke Energy Registrants currently anticipate satisfying these obligations with cash on hand and proceeds from additional borrowings.

(in millions)	Maturity Date	Interest Rate		December 31, 2022
Unsecured Debt
Duke Energy (Parent)	April 2023	2.875	%	$	350
Duke Energy (Parent)(a)	June 2023	3.469	%	500
Duke Energy (Parent)	October 2023	3.950	%	400
Duke Energy Ohio(a)	October 2023	4.272	%	150
Duke Energy Indiana(a)	October 2023	4.118	%	300
First Mortgage Bonds
Duke Energy Carolinas	March 2023	2.500	%	500
Duke Energy Carolinas	March 2023	3.050	%	500
Duke Energy Progress	September 2023	3.375	%	300
Duke Energy Ohio	September 2023	3.800	%	300
Other(b)				854
Current maturities of long-term debt				$	4,154

(a)    Debt has a floating interest rate.

(b)    Includes finance lease obligations, amortizing debt, tax-exempt bonds with mandatory put options and small bullet maturities.

Maturities and Call Options

The following table shows the annual maturities of long-term debt for the next five years and thereafter. Amounts presented exclude short-term notes payable, commercial paper and money pool borrowings and debt issuance costs for the Subsidiary Registrants.

	December 31, 2022
			Duke				Duke		Duke		Duke		Duke
	Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Energy(a)		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
2023	$	4,154	$	1,018	$	697	$	369	$	328	$	475	$	303	$	45
2024	3,216		19		939		72		867		—		4		40
2025	4,322		491		1,040		975		65		245		4		205
2026	2,682		621		345		279		66		45		4		40
2027	3,203		323		947		233		714		102		177		300
Thereafter	52,999		11,884		18,642		9,238		7,753		2,415		3,853		2,760
Total long-term debt, including current maturities	$	70,576	$	14,356	$	22,610	$	11,166	$	9,793	$	3,282	$	4,345	$	3,390

(a)    Excludes $1,169 million in purchase accounting adjustments related to the Progress Energy merger and the Piedmont acquisition.

The Duke Energy Registrants have the ability under certain debt facilities to call and repay the obligation prior to its scheduled maturity. Therefore, the actual timing of future cash repayments could be materially different than as presented above.

Short-Term Obligations Classified as Long-Term Debt

Tax-exempt bonds that may be put to the Duke Energy Registrants at the option of the holder and certain commercial paper issuances and money pool borrowings are classified as Long-Term Debt on the Consolidated Balance Sheets. These tax-exempt bonds, commercial paper issuances and money pool borrowings, which are short-term obligations by nature, are classified as long-term due to Duke Energy’s intent and ability to utilize such borrowings as long-term financing. As Duke Energy’s Master Credit Facility and other bilateral letter of credit agreements have non-cancelable terms in excess of one year as of the balance sheet date, Duke Energy has the ability to refinance these short-term obligations on a long-term basis. The following tables show short-term obligations classified as long-term debt.

	December 31, 2022 and 2021
			Duke		Duke		Duke		Duke
	Duke		Energy		Energy		Energy		Energy
(in millions)	Energy		Carolinas		Progress		Ohio		Indiana
Tax-exempt bonds	$	312	$	—	$	—	$	27	$	285
Commercial paper(a)	625		300		150		25		150
Total	$	937	$	300	$	150	$	52	$	435

(a)    Progress Energy amounts are equal to Duke Energy Progress amounts.

Summary of Significant Debt Issuances

In January 2023, Duke Energy Carolinas issued $1.8 billion of first mortgage bonds. The issuance was split between a $900 million,10-year tranche at 4.95% and a $900 million, 30-year tranche at 5.35%. The net proceeds will be used to refinance $1 billion of Duke Energy Carolinas bonds maturing in March 2023, to pay down short-term debt and for general company purposes.

The following tables summarize significant debt issuances (in millions).

				Year Ended December 31, 2022
						Duke		Duke		Duke		Duke
	Maturity	Interest		Duke		Energy		Energy		Energy		Energy
Issuance Date	Date	Rate		Energy		(Parent)		Carolinas		Progress		Florida		Piedmont
Unsecured Debt
May 2022(a)	May 2052	5.050	%	$	400	$	—	$	—	$	—	$	—	$	400
June 2022(b)	June 2028	4.750	%	645		645		—		—		—		—
June 2022(b)	June 2034	5.306	%	537		537		—		—		—		—
August 2022(c)	March 2028	4.300	%	900		900		—		—		—		—
August 2022(c)	August 2032	4.500	%	1,150		1,150		—		—		—		—
August 2022(c)	August 2052	5.000	%	1,150		1,150		—		—				—
December 2022(d)	December 2025	5.000	%	500		500		—		—		—		—
December 2022(d)	December 2027	5.000	%	500		500		—		—		—		—
First Mortgage Bonds
March 2022(e)	March 2032	2.850	%	500		—		500		—		—		—
March 2022(e)	March 2052	3.550	%	650		—		650		—		—		—
March 2022(e)	April 2032	3.400	%	500		—		—		500		—		—
March 2022(e)	April 2052	4.000	%	400		—		—		400		—		—
November 2022(f)	November 2052	5.950	%	500		—		—		—		500		—
Tax-exempt Bonds
June 2022(g)	September 2030	4.000	%	168		168		—		—		—		—
June 2022(g)	November 2039	4.250	%	234		234		—		—		—		—
September 2022(h)	October 2046	3.300	%	200		—		—		200				—
September 2022(i)	October 2046	3.700	%	210		—		—		210				—
September 2022(i)	October 2046	4.000	%	42		—		—		42				—
Total issuances				$	9,186	$	5,784	$	1,150	$	1,352	$	500	$	400

(a)Debt issued to repay a portion of outstanding intercompany short-term debt and for general corporate purposes.

(b)Duke Energy (Parent) issued 600 million euros aggregate principal amount of 3.10% senior notes due June 2028 and 500 million euros aggregate principal amount of 3.85% senior notes due June 2034. Debt issued to repay a $500 million debt maturity, pay down short-term debt and for general corporate purposes. Duke Energy's obligations under its euro-denominated fixed-rate notes were effectively converted to fixed-rate U.S. dollars at issuance through cross-currency swaps, mitigating foreign currency exchange risk associated with the interest and principal payments. See Note 15 for additional information.

(c)Debt issued to repay a portion of short-term debt and for general corporate purposes.

(d)Proceeds will be used to repay a portion of commercial paper and for general corporate purposes.

(e)Debt issued to finance or refinance, in whole or in part, existing or new eligible projects under the sustainable financing framework.

(f)Debt issued to repay a portion of outstanding intercompany short-term debt and for general company purposes.

(g)Debt issued to refund the Ohio Air Quality Development Revenue Refunding bonds, previously held in treasury, which were used to finance or refinance portions of certain solid waste disposal facilities. The mandatory purchase date of these bonds is June 1, 2027.

(h)Debt issued to provide funds to refund the prior bonds, which were used to finance or refinance portions of certain air and water pollution control equipment and solid waste disposal equipment. The mandatory purchase date of these bonds is October 1, 2026.

(i)Debt issued to provide funds to refund the prior bonds, which were used to finance or refinance portions of certain air and water pollution control equipment and solid waste disposal equipment. The mandatory purchase date of these bonds is October 1, 2030.

				Year Ended December 31, 2021
						Duke		Duke		Duke		Duke
	Maturity	Interest		Duke		Energy		Energy		Energy		Energy
Issuance Date	Date	Rate		Energy		(Parent)		Carolinas		Progress		Florida		Piedmont
Unsecured Debt
March 2021a)	March 2031	2.500	%	$	350	$	—	$	—	$	—	$	—	$	350
June 2021(b)(c)	June 2023	0.299	%	500		500		—		—		—		—
June 2021(c)	June 2031	2.550	%	1,000		1,000		—		—		—		—
June 2021(c)	June 2041	3.300	%	750		750		—		—		—		—
June 2021(c)	June 2051	3.500	%	750		750		—		—		—		—
September 2021(d)	January 2082	3.250	%	500		500		—		—		—		—
Secured Debt
November 2021(e)	July 2031	1.679	%	100		—		100		—		—		—
November 2021(e)	July 2041	2.617	%	137		—		137		—		—		—
November 2021(e)	July 2028	1.295	%	221		—		—		221		—		—
November 2021(e)	July 2037	2.387	%	352		—		—		352		—		—
November 2021(e)	July 2041	2.799	%	197		—		—		197		—		—
First Mortgage Bonds
April 2021(f)	April 2031	2.550	%	550		—		550		—		—		—
April 2021(f)	April 2051	3.450	%	450		—		450		—		—		—
August 2021(g)	August 2031	2.000	%	650		—		—		650		—		—
August 2021(g)	August 2051	2.900	%	450		—		—		450		—		—
December 2021(h)	December 2031	2.400	%	650		—		—		—		650		—
December 2021(h)	December 2051	3.000	%	500		—		—		—		500		—
Total issuances				$	8,107	$	3,500	$	1,237	$	1,870	$	1,150	$	350

(a)Debt issued to repay at maturity $160 million senior unsecured notes due June 2021, pay down short-term debt and for general corporate purposes.

(b)Debt has a floating interest rate.

(c)Debt issued to repay $1.75 billion of Duke Energy (Parent) debt maturities, to repay a portion of short-term debt and for general corporate purposes.

(d)Debt issued to repay in October 2021 $500 million of Duke Energy (Parent) unsecured notes. The interest rate resets every five years.

(e)Debt issued to finance the North Carolina portion of storm restoration expenditures related to Hurricane Florence, Hurricane Michael, Hurricane Dorian and Winter Storm Diego.

(f)Debt issued to repay at maturity $500 million first mortgage bonds due June 2021, pay down short-term debt and for general company purposes.

(g)Debt issued to repay at maturity a total of $600 million first mortgage bonds due September 2021, pay down short-term debt and for general company purposes.

(h)Proceeds were used to finance or refinance, in whole or in part, existing or new eligible projects under the sustainable financing framework.

AVAILABLE CREDIT FACILITIES

Master Credit Facility

In March 2022, Duke Energy amended its existing Master Credit Facility to increase the amount of the facility from $8 billion to $9 billion and to extend the termination date to March 2027. The Duke Energy Registrants, excluding Progress Energy, have borrowing capacity under the Master Credit Facility up to a specified sublimit for each borrower. Duke Energy has the unilateral ability at any time to increase or decrease the borrowing sublimits of each borrower, subject to a maximum sublimit for each borrower. The amount available under the Master Credit Facility has been reduced to backstop issuances of commercial paper, certain letters of credit and variable-rate demand tax-exempt bonds that may be put to the Duke Energy Registrants at the option of the holder.

The table below includes the current borrowing sublimits and available capacity under these credit facilities.

	December 31, 2022
			Duke		Duke		Duke		Duke		Duke		Duke
	Duke		Energy		Energy		Energy		Energy		Energy		Energy
(in millions)	Energy		(Parent)		Carolinas		Progress		Florida		Ohio		Indiana		Piedmont
Facility size(a)	$	9,000	$	2,375	$	1,925	$	800	$	1,150	$	900	$	1,050	$	800
Reduction to backstop issuances
Commercial paper(b)	(3,685)		463		(1,533)		(389)		(605)		(522)		(585)		(514)
Outstanding letters of credit	(40)		(27)		(4)		(2)		(7)		—		—		—
Tax-exempt bonds	(81)		—		—		—		—		—		(81)		—
Available capacity	$	5,194	$	2,811	$	388	$	409	$	538	$	378	$	384	$	286

(a)    Represents the sublimit of each borrower.

(b)    Duke Energy issued $625 million of commercial paper and loaned the proceeds through the money pool to Duke Energy Carolinas, Duke Energy Progress, Duke Energy Ohio and Duke Energy Indiana. The balances are classified as Long-Term Debt Payable to Affiliated Companies in the Consolidated Balance Sheets.

Duke Energy (Parent) Term Loan Facility

On March 9, 2022, Duke Energy (Parent) entered into a Term Loan Credit Agreement (Credit Agreement) with commitments totaling $1.4 billion maturing on March 9, 2024. The maturity date of the Credit Agreement may be extended for up to two years by request of Duke Energy (Parent), upon satisfaction of certain conditions contained in the Credit Agreement. Borrowings under the facility were used to repay amounts drawn under the Three-Year Revolving Credit Facility and for general corporate purposes, including repayment of a portion of Duke Energy's outstanding commercial paper. In December 2022, Duke Energy (Parent) repaid $400 million of the term loan. The balance is classified as Long-Term Debt on Duke Energy's Consolidated Balance Sheets. The Three-Year Revolving Credit Facility was terminated in March 2022.

Duke Energy Florida Term Loan Facility

In October 2022, Duke Energy Florida entered into a term loan facility with commitments totaling $800 million expiring in April 2024. The term loan was fully drawn at the time of closing In October and borrowings were used for storm costs, under-collected fuel and general company purposes. The balance is classified as Long-Term Debt on Duke Energy Florida's Consolidated Balance Sheet.

Other Debt Matters

In September 2022, Duke Energy filed a Form S-3 with the SEC. Under this Form S-3, which is uncapped, the Duke Energy Registrants, excluding Progress Energy, may issue debt and other securities, including preferred stock, in the future at amounts, prices and with terms to be determined at the time of future offerings. The registration statement was filed to replace a similar prior filing upon expiration of its three-year term and also allows for the issuance of common and preferred stock by Duke Energy.

Also in September 2022, to replace another similar prior filing, Duke Energy filed an effective Form S-3 with the SEC to sell up to $4 billion of variable denomination floating-rate demand notes, called PremierNotes. The Form S-3 states that no more than $2 billion of the notes will be outstanding at any particular time. The notes are offered on a continuous basis and bear interest at a floating rate per annum determined by the Duke Energy PremierNotes Committee, or its designee, on a weekly basis. The interest rate payable on notes held by an investor may vary based on the principal amount of the investment. The notes have no stated maturity date, are non-transferable and may be redeemed in whole or in part by Duke Energy or at the investor’s option at any time. The balance as of December 31, 2022, and 2021, was $897 million and $1,066 million, respectively. The notes are short-term debt obligations of Duke Energy and are reflected as Notes payable and commercial paper on Duke Energy’s Consolidated Balance Sheets.

Money Pool and Intercompany Credit Agreements

The Subsidiary Registrants, excluding Progress Energy, are eligible to receive support for their short-term borrowing needs through participation with Duke Energy and certain of its subsidiaries in a money pool arrangement. Under this arrangement, those companies with short-term funds may provide short-term loans to affiliates participating in this arrangement. The money pool is structured such that the Subsidiary Registrants, excluding Progress Energy, separately manage their cash needs and working capital requirements. Accordingly, there is no net settlement of receivables and payables between money pool participants. Duke Energy (Parent), may loan funds to its participating subsidiaries, but may not borrow funds through the money pool. Accordingly, as the money pool activity is between Duke Energy and its subsidiaries, all money pool balances are eliminated within Duke Energy’s Consolidated Balance Sheets.

Money pool receivable balances are reflected within Notes receivable from affiliated companies on the Subsidiary Registrants’ Consolidated Balance Sheets. Money pool payable balances are reflected within either Notes payable to affiliated companies or Long-Term Debt Payable to Affiliated Companies on the Subsidiary Registrants’ Consolidated Balance Sheets.

In March 2022, Progress Energy closed a revolving credit agreement with Duke Energy (Parent), which allowed up to $2.5 billion in intercompany borrowings.

Restrictive Debt Covenants

The Duke Energy Registrants’ debt and credit agreements contain various financial and other covenants. Duke Energy's Master Credit Facility contains a covenant requiring the debt-to-total capitalization ratio not to exceed 65% for each borrower, excluding Piedmont, and 70% for Piedmont. Failure to meet those covenants beyond applicable grace periods could result in accelerated due dates and/or termination of the agreements. As of December 31, 2022, Duke Energy presented approximately $131 million of long-term debt as current on the Consolidated Balance Sheet as a result of a technical default due to the bankruptcy filing of a Duke Energy customer. The Duke Energy Registrants were in compliance with all other covenants related to their debt agreements as of December 31, 2022. In addition, some credit agreements may allow for acceleration of payments or termination of the agreements due to nonpayment, or acceleration of other significant indebtedness of the borrower or some of its subsidiaries. None of the debt or credit agreements contain material adverse change clauses.

Other Loans

As of December 31, 2022, and 2021, Duke Energy had loans outstanding of $852 million, including $33 million at Duke Energy Progress and $819 million, including $34 million at Duke Energy Progress, respectively, against the cash surrender value of life insurance policies it owns on the lives of its executives. The amounts outstanding were carried as a reduction of the related cash surrender value that is included in Other within Other Noncurrent Assets on the Consolidated Balance Sheets.