We’re creating a more sustainable energy future with the right mix – responsible, affordable and reliable.

The Kentucky Public Service Commission has approved our plans for a more balanced generation portfolio that allows us to maintain safe, reliable service well into the future.

Here are the high-level details of the approved order, issued by the Kentucky Public Service Commission (KPSC) on Nov. 6, 2023.

We’re retiring aging coal-fired generation and building additional natural gas combined cycle generation.

We received approval on Nov. 6 from the KPSC to retire two of our aging coal generation units, Mill Creek 1 and 2, totaling 600 megawatts and three small natural gas turbines.
The KPSC also approved building a new 640-megawatt natural gas combined-cycle (NGCC) generating unit at our Mill Creek Generating Station.
The KPSC deferred the second NGCC given its denial of the retirements of the coal units, Ghent 2 and Brown 3. The KPSC noted the need for additional clarity surrounding environmental regulations as the basis for its decision.

Today, our generation energy mix is: 84% coal, 15% natural gas and 1% renewable energy.

Once our planned unit retirements occur and our replacement generation is in service, our generation energy mix will change to: 64% coal, 29% natural gas and 7% renewable energy.

We’re increasing solar generation and battery storage.

With our planned investments in solar, we'll be able to produce four times more energy from renewables.
Specifically, the KPSC approved more than 1,000 megawatts of solar energy and battery storage. This includes building a 120-megawatt solar array in Mercer County, acquiring another in Marion County, and building a 125-megawatt battery storage unit.
LG&E and KU also are authorized, subject to certain conditions, to secure four power purchase agreements for additional solar generation in excess of 600 megawatts.

We’re rolling out the largest number of energy efficiency offerings in our company’s history.

The KPSC approved our plans to provide 14 new energy efficiency offerings, which will help our customers save energy and reduce the amount of generation we need to build to meet our customers’ around-the-clock energy needs.
Our new energy efficiency portfolio will be the largest in our companies’ history, reducing our overall need for future generation by nearly 200 megawatts.
Importantly, it includes expanded programs and benefits for low-income customers that include weatherization, energy audits, and smart thermostats. We also received approval for an appliance recycling program for residential customers and small businesses as well as incentives for customers who reduce their consumption during times of high energy demand.
We are working expeditiously to roll out certain programs in 2024 and phase in additional ones over the life of the approved filing.
We will keep our customers informed as plans progress and begin communicating program availability to customers in 2024, including how to sign up and take full advantage of our programs’ benefits.