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Derivative Instruments and Hedging Activities (Tables)
 6 Months Ended
Jun. 30, 2012
Derivative Instruments and Hedging Activities [Line Items]  
Commodity Price Risk (Non-trading) - Economic Activity - Pre-tax Gains (Losses) Associated with Economic Activity

The unrealized gains (losses) for economic activity for the periods ended June 30 were as follows.

   Three Months Six Months
   2012 2011 2012 2011
PPL Energy Supply            
Operating Revenues            
 Unregulated retail electric and gas $ (12) $ 1 $ (2) $ 5
 Wholesale energy marketing    (458)   (44)   394   13
Operating Expenses            
 Fuel   (16)   (11)   (14)   12
 Energy purchases   442   109   (149)   127
Commodity Volumetric Activity - Sales of Baseload Generation - Expected Sales, in GWh, of Baseload Generation

The following table presents the expected sales, in GWh, from competitive baseload generation and tolling arrangements that are included in the baseload portfolio based on current forecasted assumptions for 2012-2014.

2012 (a) 2013 2014
     
25,889  49,602  52,358

(a)       Represents expected sales for the balance of the current year.

Commodity Volumetric Activity - Sales of Baseload Generation - Percentage of Expected Baseload Generation Sales

The following table presents the percentage of expected competitive baseload generation sales shown above that has been sold forward under fixed price contracts and the related percentage of fuel that has been purchased or committed at June 30, 2012.

   Derivative Total Power Fuel Purchases (c)
Year Sales (a) Sales (b) Coal Nuclear
          
2012 (d) 94% 97% 108% 100%
2013 90% 94% 106% 100%
2014 (e) 21% 25% 71% 100%

(a)       Excludes non-derivative contracts and contracts that qualify for NPNS. Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option.

(b)       Amount represents derivative (including contracts that qualify for NPNS) and non-derivative contracts. Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option. Percentages are based on fixed-price contracts only.

(c)       Coal and nuclear contracts receive accrual accounting treatment, as they are not derivative contracts. Percentages are based on both fixed- and variable-priced contracts.

(d)       Represents the balance of the current year.

(e)       Volumes for derivative sales contracts that deliver in future periods total 1,737 GWh and 2.0 Bcf.

Commodity Volumetric Activity - Sales of Baseload Generation - Economic Hedges Related to Fuel Price Risk

The following table presents the net volumes (in thousands of barrels) of derivative (sales)/purchase contracts and contracts that qualify for NPNS used in support of these strategies at June 30, 2012.

  2012 (a) 2013 2014
        
 Oil Swaps  68  393  240

(a)       Represents the balance of the current year.

Commodity Volumetric Activity - Optimization of Intermediate and Peaking Generation

The following table presents the net volumes of derivative (sales)/purchase contracts used in support of this strategy at June 30, 2012.

   Units 2012 (a) 2013 2014
          
Net Power Sales (b) GWh  (2,188)  (408)  
Net Fuel Purchases (b) (c) Bcf  25.5  2.6 (0.3)

(a)       Represents the balance of the current year.

(b)       Volumes for derivative contracts used in support of these strategies that deliver in future periods are insignificant.

(c)       Included in these volumes are non-options and exercised option contracts that converted to non-option derivative contracts. Volumes associated with option contracts are insignificant.

Commodity Volumetric Activity - Marketing Activities

The following table presents the volume of (sales)/purchase contracts, excluding FTRs, RECs, basis and capacity contracts, used in support of these activities at June 30, 2012.

   Units 2012 (a) 2013 2014
          
Energy sales contracts (b) GWh  (9,905)  (9,387)  (4,306)
Related energy supply contracts (b)        
 Energy purchases GWh  6,904  5,196  1,916
 Volumetric hedges (c) GWh  212  270  74
 Generation supply GWh  1,703  3,049  2,234
Retail natural gas sales contracts Bcf  (8.4)  (8.0)  (2.3)
Retail natural gas purchase contracts Bcf  8.4  8.0  2.3

(a)       Represents the balance of the current year.

(b)       Includes NPNS and contracts that are not derivatives, which receive accrual accounting.

(c)       PPL Energy Supply uses power and gas options, swaps and futures to hedge the volumetric risk associated with sales contracts since the demand for power varies hourly. Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option.

Commodity Volumetric Activity - Financial Transmission Rights and Other Basis Positions

The following table represents the net volumes of derivative FTR and basis (sales)/purchase contracts at June 30, 2012.

  Units 2012 (a) 2013 2014
          
FTRs GWh  24,818  19,308  232
Power Basis Positions (b) GWh  (8,034)  (8,244)  (2,628)
Gas Basis Positions (b) Bcf  11.7  (4.9)  (5.2)

(a)       Represents the balance of the current year.

(b)       Net volumes that deliver in future periods are (677) GWh and (5.5) Bcf.

Commodity Volumetric Activity - Capacity Positions

The following table presents the net volumes of derivative capacity (sales)/purchase contracts at June 30, 2012.

  Units 2012 (a) 2013 2014
          
Capacity (b) MW-months  (6,184)  (7,075)  (2,786)

(a)       Represents the balance of the current year.

(b)       Net volumes that deliver in future periods are 989 MW-months.

Fair Value and Balance Sheet Location of Derivative Instruments

The following tables present the fair value and location of derivative instruments recorded on the Balance Sheets.

       June 30, 2012 December 31, 2011
       Derivatives designated as  Derivatives not designated Derivatives designated as  Derivatives not designated
       hedging instruments  as hedging instruments (a) hedging instruments  as hedging instruments (a)
       Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities
Current:                        
 Price Risk Management                         
  Assets/Liabilities (b):                        
   Interest rate swaps    $ 15    $ 5 $ 3 $ 3    $ 5
   Cross-currency swaps  $ 1   2            2      
   Foreign currency                        
    contracts   3    $ 8   3   7    $ 11   
   Commodity contracts   91      2,380   1,570   872   3   1,655   1,557
     Total current   95   17   2,388   1,578   882   8   1,666   1,562
Noncurrent:                        
 Price Risk Management                         
  Assets/Liabilities (b):                        
   Interest rate swaps            57            55
   Cross-currency swaps    69            24         
   Foreign currency                        
    contracts         8   1            
   Commodity contracts   34   1   1,001   957   42   2   854   783
     Total noncurrent   103   1   1,009   1,015   66   2   854   838
Total derivatives $ 198 $ 18 $ 3,397 $ 2,593 $ 948 $ 10 $ 2,520 $ 2,400

(a)       $455 million and $237 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at June 30, 2012 and December 31, 2011.

(b)       Represents the location on the Balance Sheet.

 
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or OCI

The following tables present the pre-tax effect of derivative instruments recognized in income, OCI or regulatory assets for the periods ended June 30, 2012.

Derivatives in Hedged Items in  Location of Gain Gain (Loss) Recognized Gain (Loss) Recognized
Fair Value Hedging Fair Value Hedging  (Loss) Recognized in Income on Derivative  in Income on Related Item
Relationships Relationships  in Income Three Months Six Months Three Months Six Months
                  
Interest rate swaps Fixed rate debt Interest expense $ 1 $ 1 $ 1 $ 2

              Three Months Six Months
                 Gain (Loss)    Gain (Loss)
                 Recognized    Recognized
                 in Income    in Income
              on Derivative Gain (Loss) on Derivative
           Gain (Loss) (Ineffective Reclassified (Ineffective
           Reclassified Portion and from AOCI Portion and
     Derivative Gain Location of from AOCI Amount into Amount
     (Loss) Recognized in Gain (Loss) into Income Excluded from Income Excluded from
Derivative   OCI (Effective Portion) Recognized  (Effective Effectiveness (Effective Effectiveness
Relationships Three Months Six Months in Income Portion) Testing) Portion) Testing)
Cash Flow Hedges:                    
 Interest rate swaps $ (25) $ (22) Interest expense $ (5)    $ (9)   
 Cross-currency swaps   34   46 Interest expense         (1)   
           Other income            
            (expense) - net   47      28   
 Commodity contracts   (14)   99 Wholesale energy             
            marketing   227 $ (5)   499 $ (1)
           Depreciation         1   
           Energy purchases   (45)   1   (85)   (3)
Total $ (5) $ 123    $ 224 $ (4) $ 433 $ (4)
                         
Net Investment Hedges:                     
  Foreign currency contracts $ 2 $ (1)               

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Foreign currency contracts Other income (expense) - net $ 25 $ 7
Interest rate swaps Interest expense   (2)   (4)
Commodity contracts Unregulated retail electric and gas   1   23
  Wholesale energy marketing   33   1,376
  Net energy trading margins (a)   13   22
  Fuel   (12)   (6)
  Energy purchases   (11)   (1,081)
  Total $ 47 $ 337
         
Derivatives Not Designated as Location of Gain (Loss) Recognized as      
Hedging Instruments: Regulatory Liabilities/Assets Three Months Six Months
         
Interest rate swaps Regulatory assets - noncurrent $ (9) $ (3)

(a)       Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative.

The following tables present the pre-tax effect of derivative instruments recognized in income or OCI for the periods ended June 30, 2011.

Derivatives in Hedged Items in  Location of Gain Gain (Loss) Recognized Gain (Loss) Recognized
Fair Value Hedging Fair Value Hedging  (Loss) Recognized in Income on Derivative  in Income on Related Item
Relationships Relationships  in Income Three Months Six Months Three Months Six Months
                  
Interest rate swaps Fixed rate debt Interest expense $ 1 $ 2 $ 8 $ 18

              Three Months Six Months
                 Gain (Loss)    Gain (Loss)
                 Recognized    Recognized
                 in Income    in Income
              on Derivative Gain (Loss) on Derivative
           Gain (Loss) (Ineffective Reclassified (Ineffective
           Reclassified Portion and from AOCI Portion and
     Derivative Gain Location of from AOCI Amount into Amount
     (Loss) Recognized in Gain (Loss) into Income Excluded from Income Excluded from
Derivative   OCI (Effective Portion) Recognized  (Effective Effectiveness (Effective Effectiveness
Relationships Three Months Six Months in Income Portion) Testing) Portion) Testing)
Cash Flow Hedges:                    
 Interest rate swaps $ (9) $ 1 Interest expense $ (3) $ (12) $ (6) $ (13)
 Cross-currency swaps   (8)   (33) Interest expense         3   
           Other income            
            (expense) - net   30      17   
 Commodity contracts   (34)   50 Wholesale energy             
            marketing   164   (14)   367   (22)
           Energy purchases   (47)      (117)   1
Total $ (51) $ 18    $ 144 $ (26) $ 264 $ (34)
                         
Net Investment Hedges:                     
  Foreign currency contracts    $ (1)               

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Foreign currency contracts Other income (expense) - net $ 64 $ 55
Interest rate swaps Interest expense   (2)   (4)
Commodity contracts Utility   (3)   (2)
  Unregulated retail electric and gas   4   5
  Wholesale energy marketing   (71)   (26)
  Net energy trading margins (a)   4   11
  Fuel   (8)   15
  Energy purchases   91   36
  Total $ 79 $ 90
         
Derivatives Not Designated as Location of Gain (Loss) Recognized as      
Hedging Instruments: Regulatory Liabilities/Assets Three Months Six Months
         
Interest rate swaps Regulatory assets $ (3) $ (1)

(a)       Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative.

Credit Risk-Related Contingent Features

At June 30, 2012, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit contingent features and were in a net liability position is summarized as follows:

       PPL      
    PPL Energy Supply LKE LG&E
               
Aggregate fair value of derivative instruments in a net liability             
 position with credit contingent provisions $ 211 $ 167 $ 40 $ 40
Aggregate fair value of collateral posted on these derivative instruments   34   3   31   31
Aggregate fair value of additional collateral requirements in the event of            
 a credit downgrade below investment grade (a)   186  172   9  9

(a)       Includes the effect of net receivables and payables already recorded on the Balance Sheet.

PPL Energy Supply LLC [Member]
  
Derivative Instruments and Hedging Activities [Line Items]  
Commodity Price Risk (Non-trading) - Economic Activity - Pre-tax Gains (Losses) Associated with Economic Activity

The unrealized gains (losses) for economic activity for the periods ended June 30 were as follows.

   Three Months Six Months
   2012 2011 2012 2011
PPL Energy Supply            
Operating Revenues            
 Unregulated retail electric and gas $ (12) $ 1 $ (2) $ 5
 Wholesale energy marketing    (458)   (44)   394   13
Operating Expenses            
 Fuel   (16)   (11)   (14)   12
 Energy purchases   442   109   (149)   127
Commodity Volumetric Activity - Sales of Baseload Generation - Expected Sales, in GWh, of Baseload Generation

The following table presents the expected sales, in GWh, from competitive baseload generation and tolling arrangements that are included in the baseload portfolio based on current forecasted assumptions for 2012-2014.

2012 (a) 2013 2014
     
25,889  49,602  52,358

(a)       Represents expected sales for the balance of the current year.

Commodity Volumetric Activity - Sales of Baseload Generation - Percentage of Expected Baseload Generation Sales

The following table presents the percentage of expected competitive baseload generation sales shown above that has been sold forward under fixed price contracts and the related percentage of fuel that has been purchased or committed at June 30, 2012.

   Derivative Total Power Fuel Purchases (c)
Year Sales (a) Sales (b) Coal Nuclear
          
2012 (d) 94% 97% 108% 100%
2013 90% 94% 106% 100%
2014 (e) 21% 25% 71% 100%

(a)       Excludes non-derivative contracts and contracts that qualify for NPNS. Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option.

(b)       Amount represents derivative (including contracts that qualify for NPNS) and non-derivative contracts. Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option. Percentages are based on fixed-price contracts only.

(c)       Coal and nuclear contracts receive accrual accounting treatment, as they are not derivative contracts. Percentages are based on both fixed- and variable-priced contracts.

(d)       Represents the balance of the current year.

(e)       Volumes for derivative sales contracts that deliver in future periods total 1,737 GWh and 2.0 Bcf.

Commodity Volumetric Activity - Sales of Baseload Generation - Economic Hedges Related to Fuel Price Risk

The following table presents the net volumes (in thousands of barrels) of derivative (sales)/purchase contracts and contracts that qualify for NPNS used in support of these strategies at June 30, 2012.

  2012 (a) 2013 2014
        
 Oil Swaps  68  393  240

(a)       Represents the balance of the current year.

Commodity Volumetric Activity - Optimization of Intermediate and Peaking Generation

The following table presents the net volumes of derivative (sales)/purchase contracts used in support of this strategy at June 30, 2012.

   Units 2012 (a) 2013 2014
          
Net Power Sales (b) GWh  (2,188)  (408)  
Net Fuel Purchases (b) (c) Bcf  25.5  2.6 (0.3)

(a)       Represents the balance of the current year.

(b)       Volumes for derivative contracts used in support of these strategies that deliver in future periods are insignificant.

(c)       Included in these volumes are non-options and exercised option contracts that converted to non-option derivative contracts. Volumes associated with option contracts are insignificant.

Commodity Volumetric Activity - Marketing Activities

The following table presents the volume of (sales)/purchase contracts, excluding FTRs, RECs, basis and capacity contracts, used in support of these activities at June 30, 2012.

   Units 2012 (a) 2013 2014
          
Energy sales contracts (b) GWh  (9,905)  (9,387)  (4,306)
Related energy supply contracts (b)        
 Energy purchases GWh  6,904  5,196  1,916
 Volumetric hedges (c) GWh  212  270  74
 Generation supply GWh  1,703  3,049  2,234
Retail natural gas sales contracts Bcf  (8.4)  (8.0)  (2.3)
Retail natural gas purchase contracts Bcf  8.4  8.0  2.3

(a)       Represents the balance of the current year.

(b)       Includes NPNS and contracts that are not derivatives, which receive accrual accounting.

(c)       PPL Energy Supply uses power and gas options, swaps and futures to hedge the volumetric risk associated with sales contracts since the demand for power varies hourly. Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option.

Commodity Volumetric Activity - Financial Transmission Rights and Other Basis Positions

The following table represents the net volumes of derivative FTR and basis (sales)/purchase contracts at June 30, 2012.

  Units 2012 (a) 2013 2014
          
FTRs GWh  24,818  19,308  232
Power Basis Positions (b) GWh  (8,034)  (8,244)  (2,628)
Gas Basis Positions (b) Bcf  11.7  (4.9)  (5.2)

(a)       Represents the balance of the current year.

(b)       Net volumes that deliver in future periods are (677) GWh and (5.5) Bcf.

Commodity Volumetric Activity - Capacity Positions

The following table presents the net volumes of derivative capacity (sales)/purchase contracts at June 30, 2012.

  Units 2012 (a) 2013 2014
          
Capacity (b) MW-months  (6,184)  (7,075)  (2,786)

(a)       Represents the balance of the current year.

(b)       Net volumes that deliver in future periods are 989 MW-months.

Fair Value and Balance Sheet Location of Derivative Instruments

The following table presents the fair value and location of derivative instruments recorded on the Balance Sheets.

       June 30, 2012 December 31, 2011
       Derivatives designated as Derivatives not designated Derivatives designated as Derivatives not designated
       hedging instruments  as hedging instruments (a) hedging instruments  hedging instruments (a)
       Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities
Current:                        
 Price Risk Management                         
  Assets/Liabilities (b):                        
   Commodity contracts $ 91    $ 2,380 $ 1,570 $ 872 $ 3 $ 1,655 $ 1,557
     Total current   91      2,380   1,570   872   3   1,655   1,557
Noncurrent:                        
 Price Risk Management                         
  Assets/Liabilities (b):                        
   Commodity contracts   34 $ 1   1,001   957   42   2   854   783
     Total noncurrent   34   1   1,001   957   42   2   854   783
Total derivatives $ 125 $ 1 $ 3,381 $ 2,527 $ 914 $ 5 $ 2,509 $ 2,340

(a)       $455 million and $237 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at June 30, 2012 and December 31, 2011.

(b)       Represents the location on the balance sheet.

Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or OCI

The following tables present the pre-tax effect of derivative instruments recognized in income or OCI for the six months ended June 30, 2012.

             Three Months Six Months
                Gain (Loss)    Gain (Loss)
                 Recognized    Recognized
                in Income    in Income
                on Derivative    on Derivative
          Gain (Loss) (Ineffective Gain (Loss) (Ineffective
          Reclassified Portion and Reclassified Portion and
     Derivative Gain Location of from AOCI Amount from AOCI Amount
     (Loss) Recognized in Gains (Losses) into Income Excluded from into Income Excluded from
Derivative  OCI (Effective Portion) Recognized (Effective Effectiveness (Effective Effectiveness
Relationships Three Months Six Months in Income  Portion)  Testing) Portion) Testing)
Cash Flow Hedges:                    
           Wholesale energy             
  Commodity contracts $ (14) $ 99  marketing $ 227 $ (5) $ 499 $ (1)
           Depreciation   1      1   
           Energy purchases   (45)   1   (85)   (3)
Total $ (14) $ 99    $ 183 $ (4) $ 415 $ (4)
                         

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Commodity contracts Unregulated retail electric and gas $ 1 $ 23
  Wholesale energy marketing   33   1,376
  Net energy trading margins (a)   13   22
  Fuel   (12)   (6)
  Energy purchases   (11)   (1,081)
  Total $ 24 $ 334

(a)       Differs from the Statement of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative.

The following tables present the pre-tax effect of derivative instruments recognized in income or OCI for the periods ended June 30, 2011.

Derivatives in Hedged Items in  Location of Gain Gain (Loss) Recognized Gain (Loss) Recognized
Fair Value Hedging Fair Value Hedging  (Loss) Recognized in Income on Derivative  in Income on Related Item
Relationships Relationships  in Income Three Months Six Months Three Months Six Months
                  
Interest rate swaps Fixed rate debt Interest expense       $ 1 $ 1

             Three Months Six Months
                Gain (Loss)    Gain (Loss)
                 Recognized    Recognized
                in Income    in Income
                on Derivative    on Derivative
          Gain (Loss) (Ineffective Gain (Loss) (Ineffective
          Reclassified Portion and Reclassified Portion and
     Derivative Gain Location of from AOCI Amount from AOCI Amount
     (Loss) Recognized in Gains (Losses) into Income Excluded from into Income Excluded from
Derivative  OCI (Effective Portion) Recognized (Effective Effectiveness (Effective Effectiveness
Relationships Three Months Six Months in Income  Portion)  Testing) Portion) Testing)
Cash Flow Hedges:                    
          Wholesale energy             
  Commodity contracts $ (34) $ 50  marketing $ 164 $ (14) $ 367 $ (22)
           Energy purchases   (47)      (117)   1
Total $ (34) $ 50    $ 117 $ (14) $ 250 $ (21)

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Commodity contracts Unregulated retail electric and gas $ 4 $ 5
  Wholesale energy marketing   (71)   (26)
  Net energy trading margins (a)   4   11
  Fuel   (8)   15
  Energy purchases   91   36
  Total $ 20 $ 41

(a)       Differs from the Statement of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative.

Credit Risk-Related Contingent Features

At June 30, 2012, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit contingent features and were in a net liability position is summarized as follows:

       PPL      
    PPL Energy Supply LKE LG&E
               
Aggregate fair value of derivative instruments in a net liability             
 position with credit contingent provisions $ 211 $ 167 $ 40 $ 40
Aggregate fair value of collateral posted on these derivative instruments   34   3   31   31
Aggregate fair value of additional collateral requirements in the event of            
 a credit downgrade below investment grade (a)   186  172   9  9

(a)       Includes the effect of net receivables and payables already recorded on the Balance Sheet.

LG And E And KU Energy LLC [Member]
  
Derivative Instruments and Hedging Activities [Line Items]  
Fair Value and Balance Sheet Location of Derivative Instruments

The following table presents the fair value and location of derivative instruments recorded on the Balance Sheets.

       June 30, 2012 December 31, 2011
       Derivatives designated as  Derivatives not designated Derivatives designated as  Derivatives not designated
       hedging instruments  as hedging instruments hedging instruments  as hedging instruments
       Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities
Current:                        
 Other Current                         
  Assets/Liabilities (a):                        
   Interest rate swaps          $ 5          $ 5
     Total current            5            5
Noncurrent:                        
 Price Risk Management                         
  Assets/Liabilities (a):                        
   Interest rate swaps            57            55
     Total noncurrent            57            55
Total derivatives          $ 62          $ 60

(a)       Represents the location on the Balance Sheet.

Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or OCI

The following tables present the pre-tax effect of derivative instruments recognized in income or regulatory assets for the periods ended June 30, 2012.

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Interest rate swaps Interest expense $ (2) $ (4)
         
Derivatives Not Designated as Location of Gain (Loss) Recognized as      
Hedging Instruments: Regulatory Liabilities/Assets Three Months Six Months
         
Interest rate swaps Regulatory assets $ (9) $ (3)

The following tables present the pre-tax effect of derivative instruments recognized in income or regulatory assets for the periods ended June 30, 2011.

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Interest rate swaps Interest expense $ (2) $ (4)
Commodity contracts Operating revenues - retail and wholesale (a)   (3)   (2)
  Total $ (5) $ (6)
         
Derivatives Not Designated as Location of Gain (Loss) Recognized as      
Hedging Instruments: Regulatory Liabilities/Assets Three Months Six Months
         
Interest rate swaps Regulatory assets $ (3) $ (1)

(a)       Amounts are included in "Operating Revenues" for LKE.

Credit Risk-Related Contingent Features

At June 30, 2012, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit contingent features and were in a net liability position is summarized as follows:

       PPL      
    PPL Energy Supply LKE LG&E
               
Aggregate fair value of derivative instruments in a net liability             
 position with credit contingent provisions $ 211 $ 167 $ 40 $ 40
Aggregate fair value of collateral posted on these derivative instruments   34   3   31   31
Aggregate fair value of additional collateral requirements in the event of            
 a credit downgrade below investment grade (a)   186  172   9  9

(a)       Includes the effect of net receivables and payables already recorded on the Balance Sheet.

Louisville Gas And Electric Co [Member]
  
Derivative Instruments and Hedging Activities [Line Items]  
Fair Value and Balance Sheet Location of Derivative Instruments

The following table presents the fair value and location of derivative instruments recorded on the Balance Sheets.

       June 30, 2012 December 31, 2011
       Derivatives designated as  Derivatives not designated Derivatives designated as  Derivatives not designated
       hedging instruments  as hedging instruments hedging instruments  as hedging instruments
       Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities
Current:                        
 Other Current                         
  Assets/Liabilities (a):                        
   Interest rate swaps          $ 5          $ 5
     Total current            5            5
Noncurrent:                        
 Price Risk Management                         
  Assets/Liabilities (a):                        
   Interest rate swaps            57            55
     Total noncurrent            57            55
Total derivatives          $ 62          $ 60

(a)       Represents the location on the Balance Sheet.

Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or OCI

The following tables present the pre-tax effect of derivative instruments recognized in income or regulatory assets for the periods ended June 30, 2012.

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Interest rate swaps Interest expense $ (2) $ (4)
         
Derivatives Not Designated as Location of Gain (Loss) Recognized as      
Hedging Instruments: Regulatory Liabilities/Assets Three Months Six Months
         
Interest rate swaps Regulatory assets $ (9) $ (3)

The following tables present the pre-tax effect of derivative instruments recognized in income or regulatory assets for the periods ended June 30, 2011.

Derivatives Not Designated as Location of Gain (Loss) Recognized in      
Hedging Instruments:  Income on Derivatives Three Months Six Months
         
Interest rate swaps Interest expense $ (2) $ (4)
Commodity contracts Operating revenues - retail and wholesale (a)   (3)   (2)
  Total $ (5) $ (6)
         
Derivatives Not Designated as Location of Gain (Loss) Recognized as      
Hedging Instruments: Regulatory Liabilities/Assets Three Months Six Months
         
Interest rate swaps Regulatory assets $ (3) $ (1)

(a)       Amounts are included in "Operating Revenues" for LKE.

Credit Risk-Related Contingent Features

At June 30, 2012, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit contingent features and were in a net liability position is summarized as follows:

       PPL      
    PPL Energy Supply LKE LG&E
               
Aggregate fair value of derivative instruments in a net liability             
 position with credit contingent provisions $ 211 $ 167 $ 40 $ 40
Aggregate fair value of collateral posted on these derivative instruments   34   3   31   31
Aggregate fair value of additional collateral requirements in the event of            
 a credit downgrade below investment grade (a)   186  172   9  9

(a)       Includes the effect of net receivables and payables already recorded on the Balance Sheet.