Utility Rate Regulation (Tables)

6 Months Ended

Jun. 30, 2015

Utility Rate Regulation [Line Items]

Regulatory Assets

The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations.

		PPL				PPL Electric
		June 30,		December 31,		June 30,		December 31,
		2015		2014		2015		2014
Current Regulatory Assets:
	Environmental cost recovery	$	16	$	5
	Gas supply clause		1		15
	Transmission service charge		7		6	$	7	$	6
	Other		10		11		3		6
Total current regulatory assets (a)		$	34	$	37	$	10	$	12
Noncurrent Regulatory Assets:
	Defined benefit plans	$	745	$	720	$	417	$	372
	Taxes recoverable through future rates		319		316		319		316
	Storm costs		108		124		38		46
	Unamortized loss on debt		74		77		46		49
	Interest rate swaps		98		122
	Accumulated cost of removal of utility plant		125		114		125		114
	AROs		91		79
	Other		9		10		1
Total noncurrent regulatory assets		$	1,569	$	1,562	$	946	$	897

		LKE				LG&E				KU
		June 30,		December 31,		June 30,		December 31,		June 30,		December 31,
		2015		2014		2015		2014		2015		2014
Current Regulatory Assets:
	Environmental cost recovery	$	16	$	5	$	9	$	4	$	7	$	1
	Gas supply clause		1		15		1		15
	Fuel adjustment clause				4				2				2
	Other		7		1						7		1
Total current regulatory assets		$	24	$	25	$	10	$	21	$	14	$	4
Noncurrent Regulatory Assets:
	Defined benefit plans	$	328	$	348	$	203	$	215	$	125	$	133
	Storm costs		70		78		39		43		31		35
	Unamortized loss on debt		28		28		18		18		10		10
	Interest rate swaps		98		122		75		89		23		33
	AROs		91		79		33		28		58		51
	Other		8		10		2		4		6		6
Total noncurrent regulatory assets		$	623	$	665	$	370	$	397	$	253	$	268

Regulatory Liabilities

The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations.

Current Regulatory Liabilities:
	Generation supply charge	$	31	$	28	$	31	$	28
	Demand side management		12		2
	Gas supply clause		9		6
	Transmission formula rate		66		42		66		42
	Storm damage expense		10		3		10		3
	Other		9		10		3		3
Total current regulatory liabilities		$	137	$	91	$	110	$	76
Noncurrent Regulatory Liabilities:
	Accumulated cost of removal of utility plant	$	693	$	693
	Coal contracts (b)		38		59
	Power purchase agreement - OVEC (b)		88		92
	Net deferred tax assets		24		26
	Act 129 compliance rider		26		18	$	26	$	18
	Defined benefit plans		21		16
	Interest rate swaps		84		84
	Other		3		4
Total noncurrent regulatory liabilities		$	977	$	992	$	26	$	18

Current Regulatory Liabilities:
		Demand side management	$	12	$	2	$	5	$	1	$	7	$	1
		Gas supply clause		9		6		9		6
		Fuel adjustment clause		4								4
		Gas line tracker		1		3		1		3
		Other		1		4						1		4
Total current regulatory liabilities			$	27	$	15	$	15	$	10	$	12	$	5
Noncurrent Regulatory Liabilities:
	Accumulated cost of removal
		of utility plant	$	693	$	693	$	303	$	302	$	390	$	391
	Coal contracts (b)			38		59		16		25		22		34
	Power purchase agreement - OVEC (b)			88		92		60		63		28		29
	Net deferred tax assets			24		26		23		24		1		2
	Defined benefit plans			21		16						21		16
	Interest rate swaps			84		84		42		42		42		42
	Other			3		4		2		2		1		2
Total noncurrent regulatory liabilities			$	951	$	974	$	446	$	458	$	505	$	516

(a) For PPL, these amounts are included in "Other current assets" on the Balance Sheets.

(b)These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL.