Energy Secretary Promotes Coal Investment During North Carolina Visit

 

October 3, 2026 - U.S. Energy Secretary Chris Wright visited Duke Energy’s Roxboro coal plant Friday to highlight federal funding for upgrades he says will help keep electricity affordable and reliable as demand grows.

The plant, which Duke plans to retire, was selected in June for up to $28.4 million in federal support. The utility says the money will offset previously planned repair costs that customers would otherwise pay.

WRAL asked Wright how health impacts and coal ash cleanup factor into his assessment of coal’s affordability.

He described improvements to plant operations, then gestured toward a white plume.

“That is water vapor,” he said.

A plume’s appearance does not establish the absence of pollution. Carbon dioxide is invisible, and Roxboro reported releasing about 4.1 million metric tons of it from electricity generation in 2023, according to EPA records.

Burning coal adds heat-trapping gases to the atmosphere. The resulting warming increases risks from extreme heat and heavy rainfall, with consequences for health, property and infrastructure, according to the Intergovernmental Panel on Climate Change. Those costs extend beyond what customers pay for electricity.

EPA also identifies sulfur dioxide, nitrogen oxides, particulate matter and mercury among emissions from fossil fuel power plants, with effects that can extend beyond neighboring communities. 

Wright did not explain how health impacts or coal ash cleanup costs were included in the department’s evaluation of the Roxboro investment. He emphasized coal’s availability during periods of high demand and said the upgrades would help the plant operate more cleanly.

Wright said the department prioritized projects intended to deliver the greatest savings for customers. He cited an estimated $15 million in annual savings from separate transmission upgrades in North Carolina.

Upgrading coal while building its replacement

 

Construction is underway beside the coal plant on natural gas generation intended to replace it. The first gas unit is targeted to begin operating in 2028. Roxboro has generated electricity since 1966.

Wright said the administration supports gas, nuclear and other sources while seeking to avoid retiring existing plants before replacement power is available.

“What we’re against is close a coal plant today and then say you’re going to replace it later,” he said.

DOE lists more than 60 projects involving boilers, scrubbers, electrical equipment and other systems at coal units 2 and 3. The upgrades total about $72.7 million, including roughly $44.3 million in nonfederal funding.

Duke applied for funding after identifying components needing refurbishment. Its June announcement said final grant amounts were subject to negotiations.

“This funding supports previously planned critical upgrades that help ensure we can continue delivering reliable power to our North Carolina customers while keeping costs as low as possible,” Kendal Bowman, president of Duke’s North Carolina utility operations, said in that announcement.

Who pays for data center growth?

 

North Carolina also faces decisions about how to pay for power plants and grid upgrades needed to serve growing demand, including from data centers.

Wright described data centers as “intelligence factories” that could attract investment and support economic growth.

Asked how residents would be protected from paying for infrastructure serving large technology companies, he pointed to the administration’s Ratepayer Protection Pledge.

“No one’s going to pay for their infrastructure,” Wright said.

Participating companies commit to covering their energy and infrastructure costs. The pledge itself is voluntary; household protections depend on enforceable agreements and regulatory decisions governing how those costs are allocated.

It's unclear what will prevent residents from paying if a company’s electricity demand falls short of projections or its commitments do not cover the infrastructure built to serve it.

Checking the claims about electricity prices

Wright blamed emissions deadlines and policies encouraging renewable energy for higher electricity prices.

The U.S. Energy Information Administration identifies fuel costs, power plant financing, grid construction and maintenance, weather and regulation among the factors affecting electricity prices. Those conditions vary by location.

Solar and wind can be inexpensive sources of new electricity generation. Financial advisory firm Lazard’s 2026 analysis found renewables remained the most economical category of new generation without tax subsidies. The same analysis emphasized the value of a diverse power supply and found that rising construction costs can make existing plants more competitive to retain.

The cost of producing electricity is only part of the comparison. Utilities also must account for when power is available and the infrastructure needed to deliver reliable service.

North Carolina lawmakers eliminated the interim requirement to reduce covered power plant carbon dioxide emissions 70% from 2005 levels by 2030. The carbon neutrality goal for 2050 remains.

For customers, federal support can reduce an expense without lowering the overall bill. Duke Energy Progress’ August rate settlement announcement illustrates that distinction: It said the grant would reduce costs for Roxboro upgrades while proposing average annual rate increases of 3.4% over two years, subject to approval by the North Carolina Utilities Commission.