Retail sales growth
Duke Energy (DUK) continued to see flattish retail load growth in the second quarter of 2016. Its rolling 12-month retail sales in the quarter were offset due to fair customer base growth. Duke Energy’s annual customer base growth was 1.4% in 2Q16, which balanced lower electricity usage per customer.
US electric utilities’ margins are severely squeezed due to neutral electricity demand growth. As a result, they are focusing on growing geographically to enhance their customer base in order to keep up the revenue growth. Along with electric operations, traditional utilities (SO) (PPL) are expanding their gas distribution, midstream, and similar segments too.