DUKE ENERGY CAROLINAS, LLC



Exhibit No. 12



COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES



The ratio of earnings to fixed charges is calculated using the Securities and Exchange Commission
guidelines(a).



|                                                                       |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|---------------------------------------------------------------------- |  | ----------------------- | ----- | ---- | - | ----- |  | ---- | ----- |  | ---- | ----- |  |  | - | -----
|                                                                       |  | Year Ended December 31,
|                                                                       |  | 2006                    |       | 2005 |   | 2004  |  | 2003 |       |  | 2002
|                                                                       |  | (dollars in millions)  
|Earnings as defined for fixed charges calculation                      |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Add:                                                                   |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Pretax income from continuing operations(b)                            |  | $                       | 890   |      | $ | 980   |  | $    | 910   |  | $    | 783   |  |  | $ | 1,121
|Fixed charges                                                          |  |                         | 502   |      |   | 1,159 |  |      | 1,433 |  |      | 1,620 |  |  |   | 1,550
|Distributed income of equity investees                                 |  |                         | 215   |      |   | 473   |  |      | 140   |  |      | 263   |  |  |   | 369  
|Deduct:                                                                |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Preference security dividend requirements of consolidated subsidiaries |  |                         | 7     |      |   | 27    |  |      | 31    |  |      | 139   |  |  |   | 170  
|Interest capitalized(c)                                                |  |                         | 18    |      |   | 23    |  |      | 18    |  |      | 58    |  |  |   | 193  
|                                                                       |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Total earnings (as defined for the Fixed Charges calculation)          |  | $                       | 1,582 |      | $ | 2,562 |  | $    | 2,434 |  | $    | 2,469 |  |  | $ | 2,677
|                                                                       |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Fixed charges:                                                         |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Interest on debt, including capitalized portions                       |  | $                       | 481   |      | $ | 1,096 |  | $    | 1,365 |  | $    | 1,441 |  |  | $ | 1,340
|Estimate of interest within rental expense                             |  |                         | 14    |      |   | 36    |  |      | 37    |  |      | 40    |  |  |   | 40   
|Preference security dividend requirements of consolidated subsidiaries |  |                         | 7     |      |   | 27    |  |      | 31    |  |      | 139   |  |  |   | 170  
|                                                                       |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Total fixed charges                                                    |  | $                       | 502   |      | $ | 1,159 |  | $    | 1,433 |  | $    | 1,620 |  |  | $ | 1,550
|                                                                       |  |                         |       |      |   |       |  |      |       |  |      |       |  |  |   |      
|Ratio of earnings to fixed charges                                     |  |                         | 3.2   |      |   | 2.2   |  |      | 1.7   |  |      | 1.5   |  |  |   | 1.7  



|(a) | Certain prior year amounts above have been adjusted for businesses reclassified to discontinued operations during 2006 as a result of Duke Energy Carolinas transfer of all its
membership interests in Spectra Energy Capital to Duke Energy on April 3, 2006.
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|(b) | Excludes minority interest expenses and income or loss from equity investees.
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|(c) | Excludes equity costs related to AFUDC that are included in Other Income and Expenses in the Consolidated Statements of Operations.
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