On September 23, 2013, Kentucky Utilities (KU) filed a rate case with the Federal Energy Regulatory Commission (FERC) to significantly modify the terms and conditions of Frankfort Plant Board’s (FPB) current power supply contract.
Because of extensive changes proposed by KU, Frankfort’s current wholesale energy supplier, FPB worked with industry experts to investigate other power supply alternatives. FPB, along with their consultants, have determined there are several viable power supply options. FPB Chair Ralph Ludwig explained how this decision could have multiple positive results. “These options may enable FPB to reduce power costs to our community and provide a more diversified power supply portfolio which will reduce our exposure to future carbon or other environmental legislation.”
Consequently, FPB has decided to provide KU with the contractually required five year notice of termination letter, allowing FPB to retain its ability to secure a different power provider.