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Leases
 12 Months Ended
Dec. 31, 2020
Leases [Line Items]  
Lessor, Operating Leases [Text Block]
Lessor Transactions

Third parties lease land from LKE, LG&E and KU at certain generation plants to produce refined coal used to generate electricity. The leases are operating leases and expire in 2021. Payments are allocated among lease and non-lease components as stated in the agreements. Lease payments are fixed or are determined based on the amount of refined coal used in electricity generation at the facility. Payments received are primarily recorded as a regulatory liability and are amortized in accordance with regulatory approvals.

WPD leases property and telecom assets to third parties, which generally expire through 2029. These leases are operating leases. Generally, lease payments are fixed and include only a lease component.

The following table shows the fixed lease payments that PPL, LKE, LG&E and KU expect to receive over the remaining term of their operating lease agreements for the years ended December 31:
2020
 PPLLKELG&EKU
2021$11 $5 $— $5 
20226 — — — 
20236 1 — — 
20245 — — — 
20254 — — — 
Thereafter12 — — — 
Total$44 $6 $— $5 
Lease income recognized for the twelve months ended December 31, 2020$21 $15 $6 $9 
Lease income recognized for the twelve months ended December 31, 201921 13 5 8 
Lessee, Operating Leases [Text Block]
(All Registrants)

The Registrants determine whether contractual arrangements contain a lease by evaluating whether those arrangements either implicitly or explicitly identify an asset, whether the Registrants have the right to obtain substantially all of the economic benefits from use of the asset throughout the term of the arrangement, and whether the Registrants have the right to direct the use of the asset. Renewal options are included in the lease term if it is reasonably certain the Registrants will exercise those options. Periods for which the Registrants are reasonably certain not to exercise termination options are also included in the
lease term. The Registrants have certain agreements with lease and non-lease components, such as office space leases, which are generally accounted for separately.

LKE, LG&E and KU have entered into various operating leases primarily for office space, vehicles and railcars. The leases generally have fixed payments with expiration dates ranging from 2021 to 2025, some of which have options to extend the leases from one year to ten years and some have options to terminate at LKE's, LG&E's and KU's discretion.

PPL has also entered into various operating leases primarily for office space, land easements, telecom assets and warehouse space. These leases generally have fixed payments with expiration dates ranging from 2020 through 2029, except for the land agreements which extend through 2116.

PPL Electric also has operating leases which do not have a significant impact to its operations.

Short-term Leases

Short-term leases are leases with a term that is 12 months or less and do not include a purchase option or option to extend the initial term of the lease to greater than 12 months that the Registrants are reasonably certain to exercise. The Registrants have made an accounting policy election to not recognize the ROU asset and the lease liability arising from leases classified as short-term. Expenses related to short-term leases are included in the tables below.

Discount Rate

The discount rate for a lease is the rate implicit in the lease unless that rate cannot be readily determined. In that case, the Registrants are required to use their incremental borrowing rate, which is the rate the Registrants would have to pay to borrow, on a collateralized basis over a similar term, an amount equal to the lease payments in a similar economic environment.

The Registrants receive secured borrowing rates from financial institutions based on their applicable credit profiles. The Registrants use the secured rate which corresponds with the term of the applicable lease.

(PPL, LKE, LG&E and KU)

Lessee Transactions

The following table provides the components of lease cost for the Registrants' operating leases for the years ended December 31:
2020
 PPLLKELG&EKU
Lease cost: 
Operating lease cost$30 $22 $8 $13 
Short-term lease cost9 2 1 1 
Total lease cost$39 $24 $9 $14 

2019
 PPLLKELG&EKU
Lease cost: 
Operating lease cost$33 $25 $12 $13 
Short-term lease cost7 2 1 1 
Total lease cost$40 $27 $13 $14 

The following table provides other key information related to the Registrants' operating leases at December 31:
2020
 PPLLKELG&EKU
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$26 $18 $7 $11 
Right-of-use asset obtained in exchange for new operating lease liabilities17 16 6 9 

2019
 PPLLKELG&EKU
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$29 $21 $9 $11 
Right-of-use asset obtained in exchange for new operating lease liabilities46 16 5 11 

The following table provides the total future minimum rental payments for operating leases, as well as a reconciliation of these undiscounted cash flows to the lease liabilities recognized on the Balance Sheets as of December 31, 2020.
PPLLKELG&EKU
2021$27$17$6$10
2022221358
2023181046
202415834
20258633
Thereafter20312
Total$110$57$22$33
Weighted-average discount rate
3.35%3.66%3.53%3.68%
Weighted-average remaining lease term (in years)
8444
Current lease liabilities (a)$24$16$6$9
Non-current lease liabilities (a)70371521
Right-of-use assets (b)87461727

(a)    Current lease liabilities are included in "Other Current Liabilities" on the Balance Sheets. Non-current lease liabilities are included in "Other deferred credits and noncurrent liabilities" on the Balance Sheets. The difference between the total future minimum lease payments and the recorded lease liabilities is due to the impact of discounting.
(b)    Right-of-use assets are included in "Other noncurrent assets" on the Balance Sheets.