PPL subsidiaries Louisville Gas and Electric (LG&E) and Kentucky Utilities (KU) in the United States have unveiled their plan to replace 1,500 MW of aging coal-fired generation, or nearly one-third of Kentucky's coal fleet, that is expected to be retired by 2028. The companies would add two new combined-cycle natural gas plants, nearly 1,000 MW of solar generation, 125 MW of battery storage and more than a dozen new energy efficiency programmes. LG&E and KU have requested an approval from the Kentucky Public Service Commission (KPSC) by 1 October 2023.
The proposed replacement strategy, if approved by the KPSC, represents US$2.1bn of total capital investment in Kentucky. This includes building two 621 MW natural gas combined-cycle units, building a 120 MW solar array, acquiring another 120 MW array to be developed by a third-party and constructing 125 MW of battery storage. The LG&E and KU plan also includes securing power purchase agreements for more than 600 MW of additional solar generation and adding 14 new energy efficiency offerings to help reduce electricity demand in the state. The proposed energy efficiency programme, developed in collaboration with community partners, would reduce LG&E and KU's overall need for future generation by nearly 200 MW.
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