US utility Duke Energy is set to continue using coal-fired power plants for the foreseeable future.

In its latest Carolinas Resource Plan, the utility revealed that it would extend the operations of several of its coal-fired plants into the late 2030s.

Much of the increased power requirement stems from new data center and AI infrastructure, according to Duke. “Regulators have made clear that replacement generation must be online and serving customers before additional coal units can retire,” company spokesman Bill Norton said.

In the plan, Duke said that due to “increasing challenges” in maintaining grid stability, the plants would have to be extended. The utility had aimed to retire all of its remaining coal plants by 2035. The plants slated for extension include the 2.24GW Belews Creek facility in Stokes County, North Carolina, which could continue operations until 2040.

Following this, the utility has said it intends to deploy small modular nuclear reactors (SMR) at former coal sites, targeting deployment by 2037.

Alongside delayed coal retirements, Duke intends to expand its natural gas fleet, requiring more than 100 miles of new pipeline infrastructure across North Carolina. While thermal generation has received a boost, the utility also reported its intention to scale back renewable targets, with projected solar additions dropping from 8.2GW by 2031 to 7.9GW by 2033, while onshore and offshore wind, which was previously forecast to add 3.6GW within ten years, has now been excluded until at least 2040.

The updated roadmap closely follows notable changes in state and federal energy policy. Last month, the US Department of Energy indicated that it was prepared to utilize emergency powers to extend the lifespan of coal-fired power plants.

The statements are a continuation of a pro-coal policy first announced by President Trump in April, when he signed a series of executive orders to “reinvigorate” the country’s coal sector to meet the surging energy demand of AI data centers.

The orders included edicts to “remove federal regulatory barriers that undermine coal production, encouraging the utilization of coal to meet growing domestic energy demands, increasing American coal exports, and ensuring that Federal policy does not discriminate against coal production or coal-fired electricity generation.”

Several utilities have already extended the life of coal-fired plants this year, citing data center demand as a major driver. A recent example is Southern Company, which in February announced its intention to extend the life of three plants with a combined capacity of 8.2GW from 2028 to 2035.

Duke Energy is based in Charlotte, North Carolina, and owns 54.8GW of baseload and peak generation in the US. It serves 8.4 million customers across six US states, including Ohio, Kentucky, Indiana, North and, South Carolina, and Florida. It also has subsidiaries in Puerto Rico and Argentina.