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LG&E and KU reach agreement with several key stakeholders on plans to meet Kentucky's growing energy needs

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PPL Corporation's (NYSE:PPL) subsidiaries Louisville Gas and Electric Company (LG&E) and Kentucky Utilities Company (KU) have reached a significant stipulation agreement with key stakeholders regarding their generation expansion plans. The agreement supports the construction of two 645-megawatt natural gas combined-cycle units, with Brown 12 expected online in 2030 and Mill Creek 6 in 2031.

The agreement includes the installation of a selective catalytic reduction facility for Ghent Unit 2 by 2028 to reduce NOx emissions, and extends Mill Creek Unit 2's operation beyond its planned 2027 retirement until 2031. The utilities have withdrawn their request for battery storage at Cane Run but maintain the right to file a separate request later.

This expansion plan aims to address Kentucky's unprecedented economic growth and data center development needs, serving over 1.3 million customers across Kentucky and Virginia.

Le filiali di PPL Corporation (NYSE:PPL), Louisville Gas and Electric Company (LG&E) e Kentucky Utilities Company (KU), hanno raggiunto un importante accordo con le principali parti interessate riguardo ai loro piani di espansione della generazione. L'accordo sostiene la costruzione di due unità a ciclo combinato a gas naturale da 645 megawatt, con Brown 12 previsto online nel 2030 e Mill Creek 6 nel 2031.

L'accordo prevede l'installazione di un impianto di riduzione catalitica selettiva per l'Unità 2 di Ghent entro il 2028 per ridurre le emissioni di NOx, e prolunga l'operatività dell'Unità 2 di Mill Creek oltre il previsto ritiro nel 2027 fino al 2031. Le utility hanno ritirato la richiesta di stoccaggio a batteria a Cane Run, ma si riservano il diritto di presentare una richiesta separata in futuro.

Questo piano di espansione mira a rispondere alla crescita economica senza precedenti del Kentucky e alle esigenze di sviluppo dei data center, servendo oltre 1,3 milioni di clienti in Kentucky e Virginia.

Las subsidiarias de PPL Corporation (NYSE:PPL), Louisville Gas and Electric Company (LG&E) y Kentucky Utilities Company (KU), han alcanzado un acuerdo significativo con las partes interesadas clave sobre sus planes de expansión de generación. El acuerdo apoya la construcción de dos unidades de ciclo combinado de gas natural de 645 megavatios, con Brown 12 previsto para entrar en línea en 2030 y Mill Creek 6 en 2031.

El acuerdo incluye la instalación de una planta de reducción catalítica selectiva para la Unidad 2 de Ghent antes de 2028 para reducir las emisiones de NOx, y extiende la operación de la Unidad 2 de Mill Creek más allá de su retiro planeado en 2027 hasta 2031. Las compañías eléctricas han retirado su solicitud de almacenamiento de baterías en Cane Run, pero mantienen el derecho a presentar una solicitud separada más adelante.

Este plan de expansión tiene como objetivo responder al crecimiento económico sin precedentes de Kentucky y a las necesidades de desarrollo de centros de datos, atendiendo a más de 1.3 millones de clientes en Kentucky y Virginia.

PPL Corporation(NYSE:PPL)의 자회사인 Louisville Gas and Electric Company(LG&E)와 Kentucky Utilities Company(KU)가 발전 확장 계획에 대해 주요 이해관계자들과 중요한 합의에 도달했습니다. 이 합의는 645메가와트 천연가스 복합 사이클 발전기 2기 건설을 지원하며, Brown 12는 2030년에, Mill Creek 6는 2031년에 가동될 예정입니다.

합의에는 NOx 배출 저감을 위한 Ghent 2호기 선택적 촉매 환원 시설 설치가 2028년까지 포함되어 있으며, Mill Creek 2호기의 2027년 예정된 폐지 시점을 2031년까지 연장합니다. 유틸리티 회사들은 Cane Run의 배터리 저장 요청을 철회했으나, 추후 별도의 요청을 제출할 권리는 유지하고 있습니다.

이 확장 계획은 켄터키주의 전례 없는 경제 성장과 데이터 센터 개발 수요를 충족시키기 위한 것으로, 켄터키와 버지니아에 걸쳐 130만 명 이상의 고객에게 서비스를 제공합니다.

Les filiales de PPL Corporation (NYSE:PPL), Louisville Gas and Electric Company (LG&E) et Kentucky Utilities Company (KU), ont conclu un accord important avec les parties prenantes clés concernant leurs plans d'expansion de la production d'énergie. L'accord soutient la construction de deux unités à cycle combiné au gaz naturel de 645 mégawatts, avec Brown 12 prévu en service en 2030 et Mill Creek 6 en 2031.

L'accord inclut l'installation d'une installation de réduction catalytique sélective pour l'unité 2 de Ghent d'ici 2028 afin de réduire les émissions de NOx, et prolonge l'exploitation de l'unité 2 de Mill Creek au-delà de sa mise hors service prévue en 2027 jusqu'en 2031. Les services publics ont retiré leur demande de stockage par batterie à Cane Run, mais se réservent le droit de déposer une demande distincte ultérieurement.

Ce plan d'expansion vise à répondre à la croissance économique sans précédent du Kentucky et aux besoins de développement des centres de données, desservant plus de 1,3 million de clients dans le Kentucky et en Virginie.

Die Tochtergesellschaften von PPL Corporation (NYSE:PPL), Louisville Gas and Electric Company (LG&E) und Kentucky Utilities Company (KU), haben eine bedeutende Vereinbarung mit wichtigen Interessengruppen bezüglich ihrer Ausbaupläne für die Stromerzeugung getroffen. Die Vereinbarung unterstützt den Bau von zwei 645-Megawatt-Gaskombikraftwerken, wobei Brown 12 voraussichtlich 2030 und Mill Creek 6 im Jahr 2031 in Betrieb gehen sollen.

Die Vereinbarung umfasst die Installation einer selektiven katalytischen Reduktionsanlage für Ghent Einheit 2 bis 2028 zur Reduzierung der NOx-Emissionen und verlängert den Betrieb der Mill Creek Einheit 2 über die geplante Stilllegung 2027 hinaus bis 2031. Die Versorgungsunternehmen haben ihren Antrag auf Batteriespeicher bei Cane Run zurückgezogen, behalten sich jedoch das Recht vor, später einen separaten Antrag einzureichen.

Dieser Ausbauplan zielt darauf ab, das beispiellose wirtschaftliche Wachstum Kentuckys und den Bedarf an Rechenzentren zu decken und versorgt über 1,3 Millionen Kunden in Kentucky und Virginia.

Positive
  • Approval for two new highly-efficient 645-megawatt natural gas combined-cycle units to meet growing energy demands
  • Environmental improvement through NOx emissions reduction at Ghent Unit 2
  • Extension of Mill Creek Unit 2's operation ensures continuous power supply until new unit is operational
  • Strong stakeholder support including Attorney General and Kentucky Industrial Utility Customers
Negative
  • Withdrawal of battery storage plans at Cane Run facility
  • Extended timeline for new capacity with first unit not available until 2030
  • Continued reliance on fossil fuel infrastructure with new natural gas units

Insights

PPL subsidiaries secured key stakeholder support for major gas-fired generation expansion, reflecting strong demand growth in Kentucky's evolving energy landscape.

LG&E and KU's stipulation agreement represents a significant regulatory milestone in their generation expansion strategy. The agreement supports the construction of two 645-megawatt natural gas combined-cycle units to be operational by 2030 and 2031, and environmental upgrades at Ghent Unit 2. The settlement also extends the life of Mill Creek Unit 2 beyond its planned 2027 retirement until 2031, while withdrawing the battery storage component from the current request.

This agreement addresses multi-billion dollar infrastructure investments driven by what the utilities describe as "record-breaking economic growth" and data center development in Kentucky. The regulatory breakthrough comes after extensive information requests through Kentucky's Public Service Commission process, demonstrating the utilities' ability to navigate complex regulatory frameworks while maintaining their expansion plans.

What's particularly notable is the coalition of diverse stakeholders supporting the agreement, including the Attorney General, industrial customers, renewable energy advocates, and the coal association - groups that often have competing interests. This broad support significantly increases the likelihood of final KPSC approval expected by November.

The utilities' focus on gas-fired generation rather than renewables for baseload capacity reflects the practical realities of meeting rapid load growth in a historically coal-dependent region. By maintaining the core generation expansion while deferring battery storage to a potential future filing, LG&E and KU have prioritized reliability while keeping the door open for future clean energy investments.

Stipulation agreement with several intervening parties in the utilities' CPCN case was filed today with the Kentucky Public Service Commission

LOUISVILLE, Ky., July 29, 2025 /PRNewswire/ -- Louisville Gas and Electric Company, Kentucky Utilities Company and several intervening parties involved in the utilities' current request before the Kentucky Public Service Commission to add new generation have reached a stipulation agreement that will support LG&E and KU's ability to continue serving customers safely and reliably, while keeping pace with Kentucky's record-breaking economic development needs.

The agreement was filed today with the KPSC for approval.

Unprecedented economic growth in the commonwealth prompted LG&E and KU, subsidiaries of PPL Corporation (NYSE:PPL), to request approval on February 28 for a Certificate of Public Convenience and Necessity (CPCN) from the Commission to add two new, highly-efficient natural gas combined-cycle units, install more battery storage and upgrade environmental technologies on Unit 2 at Ghent Generating Station. Through the regulatory process, LG&E and KU have responded to hundreds of requests for information on their generation investment plans from parties involved in the case.

The stipulation agreement supports:

  • Construction of two 645-megawatt natural gas combined-cycle units as initially proposed. These modern generating units will use advanced technology, similar to Mill Creek 5 currently under construction at the company's Mill Creek Generating Station in Jefferson County. LG&E and KU expect to have the first unit, Brown 12, available in 2030 and the second unit, Mill Creek 6, available in 2031.
  • Installation, as initially proposed, of a selective catalytic reduction facility, available in 2028, to reduce nitrogen oxide (NOx) emissions for Ghent Unit 2.
  • The companies agreeing to request to extend the operation of Mill Creek Unit 2, subject to environmental permitting, beyond its previously planned 2027 retirement date until Mill Creek 6 is in-service in 2031.
  • LG&E and KU withdrawing the request to add battery storage at Cane Run, with the companies reserving the right to file a separate CPCN request tied to battery storage at a future date if necessary.

"Kentucky has a very open and transparent regulatory process that allows for customer input and representation, and we appreciate that this process enables thoughtful discussion, opportunities for public input and extensive reviews among the parties involved," said John R. Crockett III, LG&E and KU President. "As Kentucky's largest regulated utilities, we have an obligation to serve all customers and new economic development load in the lowest reasonable cost manner. This agreement reflects the importance of that role and the critical needs addressed in our long-term generation investment plans."

LG&E and KU forecasted last fall through their Integrated Resource Plan record-breaking economic growth and data center development. This forecast remains on pace and is not dependent upon any one specific project.

The settlement agreement was reached with the Attorney General of the Commonwealth of Kentucky; Kentucky Industrial Utility Customers, Inc., Southern Renewable Energy Association and the Kentucky Coal Association, Inc.

Parties to the case who did not join the stipulation agreement have the same opportunities as normal to continue participating in the regulatory process. The KPSC is expected to rule on the utilities' CPCN request, including the stipulation agreement, by November.

Visit lge-ku.com/investments to learn more about LG&E and KU's long-term plans and projects to support Kentucky's energy future.

Louisville Gas and Electric Company and Kentucky Utilities Company, part of the PPL Corporation (NYSE: PPL) family of companies, are regulated utilities that serve more than 1.3 million customers and have consistently ranked among the best companies for customer service in the United States. LG&E serves 335,000 natural gas and 436,000 electric customers in Louisville and 16 surrounding counties. KU serves 545,000 customers in 77 Kentucky counties and 28,000 in five counties in Virginia. More information is available at www.lge-ku.com and www.pplweb.com.

For more information:
Contact the LG&E and KU 24/7 media hotline at (502) 627-4999.

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/lge-and-ku-reach-agreement-with-several-key-stakeholders-on-plans-to-meet-kentuckys-growing-energy-needs-302516611.html

SOURCE Louisville Gas and Electric and Kentucky Utilities

FAQ

What new generation capacity did PPL's subsidiaries LG&E and KU get approval for in July 2025?

The utilities received support for constructing two 645-megawatt natural gas combined-cycle units: Brown 12 (available 2030) and Mill Creek 6 (available 2031).

How will the July 2025 agreement affect PPL's environmental compliance at Ghent Unit 2?

The agreement includes installing a selective catalytic reduction facility by 2028 to reduce nitrogen oxide (NOx) emissions at Ghent Unit 2.

What happened to LG&E and KU's battery storage plans at Cane Run?

The utilities withdrew their request for battery storage at Cane Run but retained the right to file a separate request for battery storage in the future.

When will PPL's new natural gas units begin operations in Kentucky?

The first unit (Brown 12) will be operational in 2030, and the second unit (Mill Creek 6) will come online in 2031.

How many customers do LG&E and KU serve across their service territory?

The utilities serve more than 1.3 million customers across Kentucky (including 335,000 natural gas and 436,000 electric customers for LG&E, and 545,000 KU customers) and Virginia (28,000 customers).
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