The Southern Renewable Energy Association (SREA) filed written comments this week with the Kentucky Public Service Commission (PSC) in response to Staff’s report on Louisville Gas & Electric and Kentucky Utilities’ (LG&E/KU) 2024 Integrated Resource Plan (IRP) – the utility’s long-term planning roadmap for meeting Kentucky’s energy needs.

In March 2025, SREA filed comments on LG&E/KU’s original IRP. At that time, concerns were raised about LG&E/KU’s overstatement of fossil fuel reliability, undervaluation of renewable generation, and outdated load forecasts that failed to reflect the needs of new commercial and industrial customers.

The PSC Staff report incorporated many of those recommendations, including:

• Recognizing solar and wind capacity contributions year-round. Staff agreed with SREA that solar should be credited for its winter value, and that wind should count in both summer and winter planning.
• More realistic fossil assumptions. Staff recommended lowering inflated capacity factors and requiring more accurate modeling of thermal plants, particularly under extreme weather conditions.
• Better demand forecasting. Staff called for more rigorous load forecasts that account for new data center demand and to study how other utilities are addressing this growth.
• Competitive resource options. Staff supported greater attention to imports, transmission planning, and competitive solicitations for renewables and storage as cost-effective options.

These findings underscore the importance of balancing the resource mix. SREA also noted that while it is reasonable to model scenarios without federal tax incentives, utilities should not assume the permanent loss of those credits. Historically, renewable energy incentives have been extended multiple times, and best practices require planning for a range of possible futures rather than relying on a single scenario.

Kentucky is entering a pivotal period. With new industrial and data center loads on the horizon, the state must ensure electricity that is affordable, reliable, and clean. Incorporating renewables, storage, and transmission solutions will help Kentucky remain competitive in attracting investment while keeping costs stable for ratepayers.

SREA will continue working with the Commission, utilities, and stakeholders to ensure the state’s resource plans reflect today’s realities and tomorrow’s opportunities.