Related Party Transactions (Tables)

9 Months Ended

Sep. 30, 2012

		Three months ended September 30				Nine months ended September 30
(in millions)		2012		2011		2012		2011
PROGRESS ENERGY
Corporate governance and shared services provided by Duke Energy^(a)		$	31	$	0	$	31	$	0
Corporate governance and shared services provided to Duke Energy^(b)			30		0		30		0
JDA revenues^(c)			37		0		37		0
JDA expenses^(d)			8		0		8		0
Indemnification coverage expenses^(e)			7		0		7		0
PEC
Corporate governance and shared service expenses^(a)		$	72	$	48	$	183	$	155
JDA revenues^(c)			37		0		37		0
JDA expenses^(d)			8		0		8		0
Indemnification coverage expenses^(e)			3		0		3		0
PEF
Corporate governance and shared service expenses^(a)		$	52	$	41	$	136	$	122
Indemnification coverage expenses^(e)			4		0		4		0

^(a)	Progress Energy Registrants are charged their proportionate share of corporate governance and other costs by PESC (only applicable to PEC and PEF) and an unconsolidated affiliate that is a consolidated affiliate of Duke Energy. Corporate governance and other shared costs are primarily related to human resources, employee benefits, legal and accounting fees, as well as other third-party costs. These expenses are recorded in O&M in the Statements of Operations and Comprehensive Income.
^(b)	PESC charges a proportionate share of corporate governance and other costs to unconsolidated affiliates that are consolidated affiliates of Duke Energy. Corporate governance and other shared costs are primarily related to human resources, employee benefits, legal and accounting fees, as well as other third-party costs. These charges are recorded as an offset to O&M in the Statements of Operations and Comprehensive Income.
^(c)	Effective with the consummation of the merger, PEC and Duke Energy Carolinas began to participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customers' rates (See Note 4). The revenues from the sale of power to Duke Energy Carolinas are recorded in regulated electric revenues in the Consolidated Statements of Operations and Comprehensive Income.
^(d)	Effective with the consummation of the merger, PEC and Duke Energy Carolinas began to participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customers' rates (See Note 4). The expenses from the purchase of power from Duke Energy Carolinas are recorded in fuel used in electric generation and purchased power in the Consolidated Statements of Operations and Comprehensive Income.
^(e)	Effective with the consummation of the merger, Progress Energy Registrants incur expenses related to certain indemnification coverages through Bison, Duke Energy's wholly owned captive insurance subsidiary. These expenses are recorded in O&M in the Statements of Operations and Comprehensive Income.

PEC [Member]

Schedule of related party transactions

		Three months ended September 30				Nine months ended September 30
(in millions)		2012		2011		2012		2011
PROGRESS ENERGY
Corporate governance and shared services provided by Duke Energy^(a)		$	31	$	0	$	31	$	0
Corporate governance and shared services provided to Duke Energy^(b)			30		0		30		0
JDA revenues^(c)			37		0		37		0
JDA expenses^(d)			8		0		8		0
Indemnification coverage expenses^(e)			7		0		7		0
PEC
Corporate governance and shared service expenses^(a)		$	72	$	48	$	183	$	155
JDA revenues^(c)			37		0		37		0
JDA expenses^(d)			8		0		8		0
Indemnification coverage expenses^(e)			3		0		3		0
PEF
Corporate governance and shared service expenses^(a)		$	52	$	41	$	136	$	122
Indemnification coverage expenses^(e)			4		0		4		0

^(a)	Progress Energy Registrants are charged their proportionate share of corporate governance and other costs by PESC (only applicable to PEC and PEF) and an unconsolidated affiliate that is a consolidated affiliate of Duke Energy. Corporate governance and other shared costs are primarily related to human resources, employee benefits, legal and accounting fees, as well as other third-party costs. These expenses are recorded in O&M in the Statements of Operations and Comprehensive Income.
^(b)	PESC charges a proportionate share of corporate governance and other costs to unconsolidated affiliates that are consolidated affiliates of Duke Energy. Corporate governance and other shared costs are primarily related to human resources, employee benefits, legal and accounting fees, as well as other third-party costs. These charges are recorded as an offset to O&M in the Statements of Operations and Comprehensive Income.
^(c)	Effective with the consummation of the merger, PEC and Duke Energy Carolinas began to participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customers' rates (See Note 4). The revenues from the sale of power to Duke Energy Carolinas are recorded in regulated electric revenues in the Consolidated Statements of Operations and Comprehensive Income.
^(d)	Effective with the consummation of the merger, PEC and Duke Energy Carolinas began to participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customers' rates (See Note 4). The expenses from the purchase of power from Duke Energy Carolinas are recorded in fuel used in electric generation and purchased power in the Consolidated Statements of Operations and Comprehensive Income.
^(e)	Effective with the consummation of the merger, Progress Energy Registrants incur expenses related to certain indemnification coverages through Bison, Duke Energy's wholly owned captive insurance subsidiary. These expenses are recorded in O&M in the Statements of Operations and Comprehensive Income.

PEF [Member]

Schedule of related party transactions

		Three months ended September 30				Nine months ended September 30
(in millions)		2012		2011		2012		2011
PROGRESS ENERGY
Corporate governance and shared services provided by Duke Energy^(a)		$	31	$	0	$	31	$	0
Corporate governance and shared services provided to Duke Energy^(b)			30		0		30		0
JDA revenues^(c)			37		0		37		0
JDA expenses^(d)			8		0		8		0
Indemnification coverage expenses^(e)			7		0		7		0
PEC
Corporate governance and shared service expenses^(a)		$	72	$	48	$	183	$	155
JDA revenues^(c)			37		0		37		0
JDA expenses^(d)			8		0		8		0
Indemnification coverage expenses^(e)			3		0		3		0
PEF
Corporate governance and shared service expenses^(a)		$	52	$	41	$	136	$	122
Indemnification coverage expenses^(e)			4		0		4		0

^(a)	Progress Energy Registrants are charged their proportionate share of corporate governance and other costs by PESC (only applicable to PEC and PEF) and an unconsolidated affiliate that is a consolidated affiliate of Duke Energy. Corporate governance and other shared costs are primarily related to human resources, employee benefits, legal and accounting fees, as well as other third-party costs. These expenses are recorded in O&M in the Statements of Operations and Comprehensive Income.
^(b)	PESC charges a proportionate share of corporate governance and other costs to unconsolidated affiliates that are consolidated affiliates of Duke Energy. Corporate governance and other shared costs are primarily related to human resources, employee benefits, legal and accounting fees, as well as other third-party costs. These charges are recorded as an offset to O&M in the Statements of Operations and Comprehensive Income.
^(c)	Effective with the consummation of the merger, PEC and Duke Energy Carolinas began to participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customers' rates (See Note 4). The revenues from the sale of power to Duke Energy Carolinas are recorded in regulated electric revenues in the Consolidated Statements of Operations and Comprehensive Income.
^(d)	Effective with the consummation of the merger, PEC and Duke Energy Carolinas began to participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customers' rates (See Note 4). The expenses from the purchase of power from Duke Energy Carolinas are recorded in fuel used in electric generation and purchased power in the Consolidated Statements of Operations and Comprehensive Income.
^(e)	Effective with the consummation of the merger, Progress Energy Registrants incur expenses related to certain indemnification coverages through Bison, Duke Energy's wholly owned captive insurance subsidiary. These expenses are recorded in O&M in the Statements of Operations and Comprehensive Income.

- Definition

A tabular disclosure of related party transactions. Disclosure may include: the nature of the relationship(s), a description of the transactions, the amount of the transactions, the effects of any change in the method of establishing the terms of the transaction from the previous period, stated interest rate, expiration date, terms and manner of settlement per the agreement with the related party, revenues and expenses from related party transactions and amounts due to or from related parties. If the entity and one or more other entities are under common ownership or management control and this control affects the operating results or financial position, disclosure includes the nature of the control relationship even if there are no transactions between the entities. Disclosure may also include the aggregate amount of current and deferred tax expense for each statement of earnings presented where the entity is a member of a group that files a consolidated tax return, the amount of any tax related balances due to or from affiliates as of the date of each statement of financial position presented, the principal provisions of the method by which the consolidated amount of current and deferred tax expense is allocated to the members of the group and the nature and effect of any changes in that method. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

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