Kentucky utilities request approval for 1.2GW natural gas and 400MW BESS

March 4, 2025
LinkedIn
Twitter
Reddit
Facebook
Email

Louisville Gas and Electric Company (LG&E) and Kentucky Utilities Company (KU) are proposing to build two 645MW natural gas stations and a 400MW battery energy storage system (BESS).

LG&E and KU requested approval for a Certificate of Convenience and Necessity (CCN) last week (28 February) from the Kentucky Public Service Commission for the natural gas stations and BESS.

LG&E and KU recognised the potential need for additional generation at the E.W. Brown Generating Station in Mercer County, KY in 2023. The companies expect to have Brown 12, the first natural gas unit available in 2030 and the second, Mill Creek 6, available in 2031.

The companies then plan to install 400MW of BESS at the Cane Run Generating Station and a selective catalytic reduction facility to reduce nitrogen oxide (NOx) emissions for Ghent Unit 2. These are expected operational in 2028.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The two utility companies, subsidiaries of US firm PPL Corporation, cited Kentucky’s economic growth and the growth of data centres in the state as reasons for adding the natural gas stations and BESS. The existing grid connection for the gas stations is likely an influence on the placement of the BESS.

Kentucky is part of two power markets, PJM and MISO. In 2024, Aurora Energy Research noted that PJM is home to the largest concentration of data centres globally. In the same year, MISO reported that: “The scale of proposed data centres greatly exceeds that of retail electric customer classes, with future data centres expected to match the energy demand of major U.S. cities.”

In January, it was announced that PowerHouse Data Centers would build a ‘hyperscale’ data centre in Louisville, KY. Independent news outlet The Kentucky Lantern reported at the time: “The eventual electricity demand for the new data centre campus is nearly equivalent to the entire capacity of LG&E and KU coal-fired unit at its E.W. Brown Generating Station.”

LG&E and KU forecast in an integrated resource plan (IRP) that despite forecasted load growth, they will not deploy any new solar PV until 2035 unless solar becomes more “economically competitive,” as reported by our colleagues at PV Tech.   

Kentucky is also home to the first pumped hydro energy storage (PHES) project to be built at a former coal mine in the US. In October 2024, it was announced that the project would receive up to US$81 million in funding from the US Department of Energy (DOE).

The state also saw Canadian Solar invest an initial US$384 million into the lithium-ion battery cell and BESS manufacturing factory, which was vacated by metal-hydrogen battery company EnerVenue.

John R. Crockett III, LG&E and KU President and PPL Chief Development Officer said of the announced gas and BESS projects:

“This is an exciting time for Kentucky as the interest in locating new and expanding businesses continues to grow.”

“These investments in our system will allow us to continue serving our customers safely and reliably while meeting our regulatory obligation and the growing economic interest in the commonwealth – all while maintaining affordability.”

24 February 2026
InterContinental London - The O2, London, UK
This isn’t just another summit – it’s our biggest and most exhilarating Summit yet! Picture this: immersive workshop spaces where ideas come to life, dedicated industry working groups igniting innovation, live podcasts sparking lively discussions, hard-hitting keynotes that will leave you inspired, and an abundance of networking opportunities that will take your connections to new heights!
24 March 2026
Dallas, Texas
The Energy Storage Summit USA is the only place where you are guaranteed to meet all the most important investors, developers, IPPs, RTOs and ISOs, policymakers, utilities, energy buyers, service providers, consultancies and technology providers in one room, to ensure that your deals get done as efficiently as possible. Book your ticket today to join us in 2026!
9 June 2026
Stuttgart, Germany
Held alongside The Battery Show Europe, Energy Storage Summit provides a focused platform to understand the policies, revenue models and deployment conditions shaping Germany’s utility-scale storage boom. With contributions from TSOs, banks, developers and optimisers, the Summit explores regulation, merchant strategies, financing, grid tariffs and project delivery in a market forecast to integrate 24GW of storage by 2037.

Read Next

January 13, 2026
The Governor of Illinois, JB Pritzker, has signed a clean energy bill into law that will boost solar PV and energy storage investments in the state, among others.
January 13, 2026
Aurora Energy Research has released its latest battery storage performance data, showing mixed revenue for storage across Australia’s NEM.
January 13, 2026
Horizon Power has submitted an application under Australia’s Environment Protection and Biodiversity Conservation (EPBC) Act for a 239MWh battery energy storage system (BESS) in Broome, Western Australia.
January 9, 2026
Jointly owned by Masdar and Igneo Infrastructure Partners, independent power producer (IPP) Terra-Gen’s Lockhart CL I and II battery energy storage system (BESS) projects have reached commercial operations in San Bernardino County, California, US.
Premium
January 9, 2026
Javier Savolainen of Wärtsilä explains how Australia’s battery storage and pumped hydro fleet have been impacted by the current heatwave.