Duke Energy says new data center development across its service territory is expected to generate billions of dollars in long-term bill savings for existing customers while supporting investments in grid infrastructure and new energy resources.

The utility said the projected customer benefits will come from long-term agreements with large-load customers that are designed to ensure data centers cover the costs associated with connecting to and being served by the electric system.

According to Duke Energy, its Customer Protection Plus framework is intended to guide how the company evaluates and manages data center growth through three priorities: maintaining grid reliability, requiring financial protections from large customers and creating value for existing customers.

Before connecting new data centers, the utility said it conducts engineering studies to confirm the electric system can serve the additional load while maintaining reliability and power quality for existing customers.

Under the framework, data center agreements may include customer-funded interconnection costs, long-term service commitments, upfront financial security, termination charges and temporary curtailment provisions during limited grid events. Duke Energy said these measures are intended to provide greater planning certainty and help ensure that growth does not shift costs to other customers.

The utility also said that when revenue from new large-load customers exceeds the cost of serving them, the additional revenue can support customer bill savings as well as investments to strengthen the grid, expand energy resources and support long-term economic development.

"Duke Energy remains focused on ensuring data centers not only pay their fair share but also yield savings for our existing customers," said Harry Sideris, president and CEO of Duke Energy, in a statement.

Sasha Weintraub, the company's executive vice president and chief customer officer, said the utility is working with customers, regulators and other stakeholders to ensure data center growth provides customer benefits while preparing the electric system for future demand.