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The Kentucky Public Service Commission (PSC) held a public hearing at the Harlan County Courthouse on Thursday concerning a proposal to retire multiple coal-fired electric plants in Kentucky.

The PSC hearing was designed to provide the public an opportunity to hear information on case 2022-00402, which includes the proposed retirement of four coal-fired power plants. The public was allowed to ask questions and comment on the Kentucky Utilities (KU)/Louisville Gas and Electric’s (LG&E) proposal.

According to information provided by the PSC, the proposal intends to replace the facilities with two natural gas combined cycle facilities, one battery storage facility, and four solar power purchase agreements. If approved, the new facilities would be expected to go into service by 2028 at a cost of $2,095,000,000.

PSC Executive Director Linda Birdwell explained that the hearing would not delve into the case’s specifics.

“This is your opportunity to ask questions, but I want to emphasize this is about the process of the case; we really will not be able to go into detail about the substance of the case,” Birdwell explained. “I can help you with how to find more information. I want everybody to understand the commissioners are not here to answer questions about the case; they’re here to take public comments.”

Many individuals were on hand to make a public comment, including Kentucky State Representatives Adam Bowling and Jacob Justice, Kentucky State Senator Johnny Turner, Harlan County Judge-Executive Dan Mosley and Harlan County Magistrates Paul Browning and Robert Leo Miller.

Turner pointed out an issue with the reliability of natural gas, citing a problem that occurred during severe cold temperatures.

“I don’t need to say anything about coal; everybody knows it’s the thing that saved America from way back – World War I, World War II,” Turner said. “They want to replace one of these with gas. We had one of the utilities out in western Kentucky tell us they have all this gas…a valve froze, it took them almost two days to find out where it was at and what it was.”

Justice talked about the possible outcomes of the proposal.

“If we’re wondering what the potential outcome of such a decision like this could be, you have to look no further than Pike County and the residential customers of Kentucky Power, who in approximately the last decade have seen nearly an 80 percent increase in their power bills,” Justice said. “During that same time frame, LG&E customers had a 33 percent increase in their power bills…what do they have in common? It’s the closing of coal-fired plants. That’s what these decisions can do.”

Bowling noted that most people in the region are impacted financially by the coal industry.

“I believe it goes without saying that coal is a mainstay in Kentucky,” Bowling said. “Chances are, everyone in this room either knows, is, or is related to someone who has worked or is currently working in a coal mine. The retiring of coal-powered energy-producing plants is in its entirety a bad idea, both fiscally and socially. Why would we risk abandoning a tried-and-true method of production for a less reliable and less cost-efficient method? This is bad policy for our region, our state, and our nation.”

Mosley expressed disapproval of the plan to shut down the coal-fired plants.

“I’m here to speak in opposition of this case and respectfully request that the plan submitted be denied,” Mosley said. “LG&E/KU’s proposal includes replacing the current systems with two natural gas combined cycle facilities, two solar facilities, one battery storage facility and four solar power purchase agreements. It is my understanding that if approved, the replacement generation would be online between 2026 and 2028 and would cost $2.09 billion. I’m personally opposed to this plan for several reasons.”

Mosley stated he fears the proposal would cause higher electricity prices.

“Coal has consistently been the cheapest form of electricity, and Kentucky was known for years for having some of the lowest utility rates in the nation,” Mosley said. “Retiring coal plants and replacing them with other sources will negatively impact rates…just as has been the trend since 2013. Since that year, it is a proven fact the 11 coal-fired plants have been shut down in Kentucky, and rates have still gone up.”

Mosley pointed out from 2013 to 2022, electricity rates have increased while coal-powered plants have been shut down across Kentucky.

“Also, over that time frame – 2013 to 2022 – Kentucky went from the number three state in the nation for the cheapest electricity to number 21,” Mosley said. “This undoubtedly has caused us to lose industry and added to the complexities of recruiting new industry to our county and region.”

According to Mosley, the KU/LG&E customers will shoulder the over $2 billion cost of the proposal. He pointed out that reliable, affordable electricity is required for people with health issues who rely on medical equipment that must have electricity to operate. He also mentioned Germany and other countries which previously moved away from coal-fired power plants have recently moved back to coal due to the cost and relative unreliability of other methods of electricity production.

“I humbly ask this plan be rejected once the hearing process concludes,” Mosley said.

A complete record of the case, including hearings and public comments, can be found at the Kentucky Public Service Commission website at psc.ky.gov. The case number is 2022-00402.