The Kentucky Public Service Commission has approved PPL Corporation's proposed acquisition of E.ON US, the parent company of Louisville Gas and Electric (LG&E) and Kentucky Utilities Company.
The commission’s approval is subject to PPL’s acceptance of all conditions, including additional conditions related to continued operation of LG&E as both an electric and gas utility, the PSC’s authority regarding provisions of the order, and a requirement that PPL submit reports on its energy conservation and efficiency efforts in other states in which it operates.
In its order, the commission approved PPL’s application and a series of commitments the company has made to customers and communities in Kentucky as part of the transaction.
The settlement also provides for a mechanism under which any earnings above a 10.75% return on equity will be shared with customers on a 50:50 basis.
In August, PPL received antitrust clearance from the Federal Trade Commission and the US Department of Justice for the acquisition.
The acquisition also requires approvals from the Tennessee Regulatory Authority, the Virginia State Corporation Commission and the Federal Energy Regulatory Commission.