Duke Energy Tests Solar Panels and New Smart Grid Technology in Charlotte

CHARLOTTE, N.C., June 16 /PRNewswire-FirstCall/ -- An array of 213 solar
panels will soon provide electricity to homes served by Duke Energy's McAlpine
Creek substation in south Charlotte - all part of an effort to implement new
smart grid technology.

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The substation's new solar panels will provide approximately 50 kilowatts of
electricity, enough to power five homes when the panels are operating.
Electricity from these panels can be sent directly into the distribution lines
serving the McAlpine Creek test area or used to charge a 500-kilowatt storage
battery planned for installation at the substation in the weeks ahead.

The solar panels and battery will be used in conjunction with residential
energy management systems to determine how Duke Energy can create a "virtual
power plant" by combining renewable sources, storage technology and energy
efficiency to meet customer needs.

For more than a year in the McAlpine area, Duke Energy has been installing new
smart meters at 8,100 customer homes and new digital communications technology
on utility poles and power lines. When fully implemented, the new technology
will improve reliability, reduce outage duration, and provide customers with
usage data and the ability to customize their energy usage.

"Today's electric distribution system has changed little over the past 100
years," said David Mohler, Duke Energy's chief technology officer. "Smart
grid will provide a 21st century, two-way digital communications link between
the company and its customers."

Beyond the smart meters, about 100 McAlpine area households are participating
in a residential energy management system pilot. This pilot will focus on the
technical, operational and customer satisfaction characteristics of emerging
energy management systems that will allow customers to save electricity and
money by customizing how they use energy.

For example, a customer will be able to work with Duke Energy to develop an
"energy profile" which will be used to monitor and control appliances, air
conditioners, heat pumps, water heaters, dryers, etc. This means greater
efficiency and savings for the customer.

"McAlpine is becoming a key laboratory where we will learn as much as possible
about smart grid technology in a real-life application. We plan to launch
similar installations throughout our system in the future," said Mohler.

Additional information about the McAlpine Smart Energy Pilot project,
including videos and photos, is available in our online smart energy newsroom
at http://smartenergynewsroom.com/.

Duke Energy Carolinas owns nuclear, coal-fired, natural gas and hydroelectric
generation. That diverse fuel mix provides approximately 19,000 megawatts of
electricity capacity to approximately 2.4 million customers in a
22,000-square-mile service area of North Carolina and South Carolina.

Duke Energy (NYSE: DUK) is the third largest electric power holding company in
the United States, based on kilowatt-hour sales. Its regulated utility
operations serve approximately 4 million customers located in five states --
North Carolina, South Carolina, Indiana, Ohio and Kentucky -- representing a
population of approximately 11 million people. Duke Energy's commercial power
and international business segments operate diverse power generation assets in
North America and Latin America, including a growing portfolio of renewable
energy assets in the United States.

Headquartered in Charlotte, N.C., Duke Energy is a Fortune 500 company traded
on the New York Stock Exchange under the symbol DUK. More information about
the company is available on the Internet at: www.duke-energy.com.
Duke Energy Contacts: Andy Thompson
704-382-8336
24-Hour: 704-382-8333

SOURCE Duke Energy

Andy Thompson of Duke Energy, +1-704-382-8336, 24-Hour: +1-704-382-8333