Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Jan. 30, 2015 | Jun. 30, 2014 | |
Document Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Amendment Flag | FALSE | ||
Entity Registrant Name | PPL Corp | ||
Entity Central Index Key | 922224 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $23,592,574,036 | ||
Entity Common Stock, Shares Outstanding | 666,968,138 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
PPL Energy Supply LLC [Member] | |||
Document Entity Information [Line Items] | |||
Amendment Flag | FALSE | ||
Entity Registrant Name | PPL ENERGY SUPPLY LLC | ||
Entity Central Index Key | 1161976 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Filer Category | Non-accelerated Filer | ||
PPL Electric Utilities Corp [Member] | |||
Document Entity Information [Line Items] | |||
Amendment Flag | FALSE | ||
Entity Registrant Name | PPL ELECTRIC UTILITIES CORP | ||
Entity Central Index Key | 317187 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 66,368,056 | ||
LG And E And KU Energy LLC [Member] | |||
Document Entity Information [Line Items] | |||
Amendment Flag | FALSE | ||
Entity Registrant Name | LG&E & KU Energy LLC | ||
Entity Central Index Key | 1518339 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Louisville Gas And Electric Co [Member] | |||
Document Entity Information [Line Items] | |||
Amendment Flag | FALSE | ||
Entity Registrant Name | LOUISVILLE GAS & ELECTRIC CO | ||
Entity Central Index Key | 60549 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 21,294,223 | ||
Kentucky Utilities Co [Member] | |||
Document Entity Information [Line Items] | |||
Amendment Flag | FALSE | ||
Entity Registrant Name | KENTUCKY UTILITIES CO | ||
Entity Central Index Key | 55387 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 37,817,878 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (USD $) | 12 Months Ended | |||||
In Millions, except Share data in Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Operating Revenues | ||||||
Utility | $7,782 | $7,201 | $6,808 | |||
Unregulated wholesale energy | 1,808 | 2,909 | 3,976 | |||
Unregulated retail energy | 1,239 | 1,023 | 840 | |||
Energy-related businesses | 670 | 588 | 508 | |||
Total Operating Revenues | 11,499 | 11,721 | 12,132 | |||
Operation | ||||||
Fuel | 2,161 | 1,944 | 1,837 | |||
Energy purchases | 1,041 | 1,967 | 2,555 | |||
Other operation and maintenance | 2,803 | 2,779 | 2,791 | |||
Loss on lease termination | 0 | 697 | 0 | |||
Depreciation | 1,220 | 1,142 | 1,087 | |||
Taxes, other than income | 374 | 351 | 352 | |||
Energy-related businesses | 628 | 563 | 484 | |||
Total Operating Expenses | 8,227 | 9,443 | 9,106 | |||
Operating Income (Loss) | 3,272 | 2,278 | 3,026 | |||
Other Income (Expense) - net | 118 | -23 | -39 | |||
Other-Than-Temporary Impairments | 2 | 1 | 27 | |||
Interest Expense | 1,024 | 994 | 951 | |||
Income (Loss) Before Income Taxes | 2,364 | 1,260 | 2,009 | |||
Income Taxes | 781 | 163 | 518 | |||
Income (Loss) from Continuing Operations After Income Taxes | 1,583 | 1,097 | 1,491 | |||
Income (Loss) from Discontinued Operations (net of income taxes) | 154 | 34 | 40 | |||
Net Income (Loss) | 1,737 | 1,131 | 1,531 | |||
Net Income (Loss) Attributable to Noncontrolling Interests | 0 | 1 | 5 | |||
Net Income (Loss) Attributable to Shareowners | 1,737 | 1,130 | 1,526 | |||
Amounts Attributable to Shareowners: | ||||||
Income from Continuing Operations After Income Taxes | 1,583 | 1,096 | 1,486 | |||
Income (Loss) from Discontinued Operations (net of income taxes) | 154 | 34 | 40 | |||
Net Income (Loss) | 1,737 | 1,130 | 1,526 | |||
Income from Continuing Operations After Income Taxes Available to PPL Common Shareowners: | ||||||
Basic (in dollars per share) | $2.41 | $1.79 | $2.55 | |||
Diluted (in dollars per share) | $2.38 | $1.71 | $2.54 | |||
Net Income Available to PPL Common Shareowners: | ||||||
Basic (in dollars per share) | $2.64 | $1.85 | $2.61 | |||
Diluted (in dollars per share) | $2.61 | $1.76 | $2.60 | |||
Dividends Declared Per Share of Common Stock | $1.49 | $1.47 | $1.44 | |||
Weighted-Average Shares of Common Stock Outstanding (in thousands) | ||||||
Basic | 653,504 | 608,983 | 580,276 | |||
Diluted | 665,973 | 663,073 | 581,626 | |||
PPL Energy Supply LLC [Member] | ||||||
Operating Revenues | ||||||
Unregulated wholesale energy | 1,808 | 2,909 | 3,976 | |||
Unregulated retail energy | 1,243 | 1,027 | 844 | |||
Revenue to affiliates | 84 | 51 | 78 | |||
Energy-related businesses | 601 | 527 | 448 | |||
Total Operating Revenues | 3,736 | 4,514 | 5,346 | |||
Operation | ||||||
Fuel | 1,196 | 1,049 | 965 | |||
Energy purchases | 209 | 1,171 | 1,821 | |||
Other operation and maintenance | 1,007 | 1,026 | 997 | |||
Loss on lease termination | 0 | 697 | 0 | |||
Depreciation | 297 | 299 | 272 | |||
Taxes, other than income | 57 | 53 | 55 | |||
Energy-related businesses | 573 | 512 | 432 | |||
Total Operating Expenses | 3,339 | 4,807 | 4,542 | |||
Operating Income (Loss) | 397 | -293 | 804 | |||
Other Income (Expense) - net | 30 | 32 | 19 | |||
Interest Expense | 124 | 159 | 158 | |||
Income (Loss) Before Income Taxes | 303 | -420 | 665 | |||
Income Taxes | 116 | [1] | -159 | [1] | 236 | [1] |
Income (Loss) from Continuing Operations After Income Taxes | 187 | -261 | 429 | |||
Income (Loss) from Discontinued Operations (net of income taxes) | 223 | 32 | 46 | |||
Net Income (Loss) | 410 | -229 | 475 | |||
Net Income (Loss) Attributable to Noncontrolling Interests | 0 | 1 | 1 | |||
Net Income (Loss) Attributable to Shareowners | 410 | -230 | 474 | |||
Amounts Attributable to Shareowners: | ||||||
Income from Continuing Operations After Income Taxes | 187 | -262 | 428 | |||
Income (Loss) from Discontinued Operations (net of income taxes) | 223 | 32 | 46 | |||
Net Income (Loss) | 410 | -230 | 474 | |||
PPL Electric Utilities Corp [Member] | ||||||
Operating Revenues | ||||||
Total Operating Revenues | 2,044 | 1,870 | 1,763 | |||
Operation | ||||||
Energy purchases - realized | 587 | 588 | 550 | |||
Energy purchases from affiliates | 84 | 51 | 78 | |||
Other operation and maintenance | 543 | 531 | 576 | |||
Depreciation | 185 | 178 | 160 | |||
Taxes, other than income | 107 | 103 | 105 | |||
Total Operating Expenses | 1,506 | 1,451 | 1,469 | |||
Operating Income (Loss) | 538 | 419 | 294 | |||
Other Income (Expense) - net | 7 | 6 | 9 | |||
Interest Expense | 122 | 108 | 99 | |||
Income (Loss) Before Income Taxes | 423 | 317 | 204 | |||
Income Taxes | 160 | 108 | 68 | |||
Net Income (Loss) | 263 | [2] | 209 | [2] | 136 | [2] |
Distributions on Preferred Securities | 0 | 0 | 4 | |||
Net Income Available to PPL | 263 | 209 | 132 | |||
LG And E And KU Energy LLC [Member] | ||||||
Operating Revenues | ||||||
Total Operating Revenues | 3,168 | 2,976 | 2,759 | |||
Operation | ||||||
Fuel | 965 | 896 | 872 | |||
Energy purchases - realized | 253 | 217 | 195 | |||
Other operation and maintenance | 815 | 778 | 778 | |||
Depreciation | 354 | 334 | 346 | |||
Taxes, other than income | 52 | 48 | 46 | |||
Total Operating Expenses | 2,439 | 2,273 | 2,237 | |||
Operating Income (Loss) | 729 | 703 | 522 | |||
Other Income (Expense) - net | -9 | -7 | -15 | |||
Other-Than-Temporary Impairments | 0 | 0 | 25 | |||
Interest Expense | 167 | 144 | 150 | |||
Interest Expense with Affiliates | 0 | 1 | 1 | |||
Income (Loss) Before Income Taxes | 553 | 551 | 331 | |||
Income Taxes | 209 | [3] | 206 | [3] | 106 | [3] |
Income (Loss) from Continuing Operations After Income Taxes | 344 | 345 | 225 | |||
Income (Loss) from Discontinued Operations (net of income taxes) | 0 | 2 | -6 | |||
Net Income (Loss) | 344 | 347 | 219 | |||
Louisville Gas And Electric Co [Member] | ||||||
Operating Revenues | ||||||
Utility | 1,445 | 1,351 | 1,247 | |||
Revenue to affiliates | 88 | 59 | 77 | |||
Total Operating Revenues | 1,533 | 1,410 | 1,324 | |||
Operation | ||||||
Fuel | 404 | 367 | 374 | |||
Energy purchases - realized | 230 | 195 | 163 | |||
Energy purchases from affiliates | 14 | 10 | 12 | |||
Other operation and maintenance | 379 | 373 | 363 | |||
Depreciation | 157 | 148 | 152 | |||
Taxes, other than income | 25 | 24 | 23 | |||
Total Operating Expenses | 1,209 | 1,117 | 1,087 | |||
Operating Income (Loss) | 324 | 293 | 237 | |||
Other Income (Expense) - net | -3 | -2 | -3 | |||
Interest Expense | 49 | 34 | 42 | |||
Income (Loss) Before Income Taxes | 272 | 257 | 192 | |||
Income Taxes | 103 | 94 | 69 | |||
Net Income (Loss) | 169 | [4] | 163 | [4] | 123 | [4] |
Kentucky Utilities Co [Member] | ||||||
Operating Revenues | ||||||
Utility | 1,723 | 1,625 | 1,512 | |||
Revenue to affiliates | 14 | 10 | 12 | |||
Total Operating Revenues | 1,737 | 1,635 | 1,524 | |||
Operation | ||||||
Fuel | 561 | 529 | 498 | |||
Energy purchases - realized | 23 | 22 | 32 | |||
Energy purchases from affiliates | 88 | 59 | 77 | |||
Other operation and maintenance | 408 | 382 | 384 | |||
Depreciation | 197 | 186 | 193 | |||
Taxes, other than income | 27 | 24 | 23 | |||
Total Operating Expenses | 1,304 | 1,202 | 1,207 | |||
Operating Income (Loss) | 433 | 433 | 317 | |||
Other Income (Expense) - net | -1 | -3 | -8 | |||
Other-Than-Temporary Impairments | 0 | 0 | 25 | |||
Interest Expense | 77 | 70 | 69 | |||
Income (Loss) Before Income Taxes | 355 | 360 | 215 | |||
Income Taxes | 135 | [5] | 132 | [5] | 78 | [5] |
Net Income (Loss) | $220 | [2] | $228 | [2] | $137 | [2] |
[1] | Excludes current and deferred federal and state tax expense recorded to Discontinued Operations of $109 million, $17 million and $27 million in 2014, 2013 and 2012. Also excludes federal and state tax expense (benefit) recorded to OCI of $(56) million, $47 million and $(267) million in 2014, 2013 and 2012. | |||||
[2] | Net income approximates comprehensive income. | |||||
[3] | Excludes current and deferred federal and state tax expense (benefit) recorded to Discontinued Operations of less than $1 million in 2014, $1 million in 2013,and $(4) million in 2012.Also, excludes deferred federal and state tax expense (benefit) recorded to OCI of $(36) million in 2014, $18 million in 2013and $(12) million in 2012. | |||||
[4] | Net income equals comprehensive income. | |||||
[5] | Excludes deferred federal and state tax expense (benefit) recorded to OCI of less than$(1) million in both 2014 and in 2013 and $1 million in 2012. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Net income (loss) | $1,737 | $1,131 | $1,531 | |||
Amounts arising during the period - gains (losses), net of tax (expense) benefit: | ||||||
Foreign currency translation adjustments, net of tax | -275 | 138 | 94 | |||
Available-for-sale securities, net of tax | 35 | 67 | 29 | |||
Qualifying derivatives, net of tax | -10 | 45 | 39 | |||
Equity investees' other comprehensive income (loss), net of tax | 0 | 0 | 2 | |||
Defined benefit plans: | ||||||
Prior service costs, net of tax | 5 | 2 | 1 | |||
Net actuarial gain (loss), net of tax | -509 | 71 | -965 | |||
Reclassifications to net income - (gains) losses, net of tax expense (benefit): | ||||||
Available-for-sale securities, net of tax | -6 | -6 | -7 | |||
Qualifying derivatives, net of tax | -64 | -83 | -434 | |||
Defined benefit plans: | ||||||
Prior service costs, net of tax | 4 | 6 | 10 | |||
Net actuarial loss, net of tax | 111 | 135 | 79 | |||
Total other comprehensive income (loss) | -709 | 375 | -1,152 | |||
Comprehensive income (loss) | 1,028 | 1,506 | 379 | |||
Comprehensive income attributable to noncontrolling interests | 0 | 1 | 5 | |||
Comprehensive income (loss) attributable to Shareowners | 1,028 | 1,505 | 374 | |||
PPL Energy Supply LLC [Member] | ||||||
Net income (loss) | 410 | -229 | 475 | |||
Amounts arising during the period - gains (losses), net of tax (expense) benefit: | ||||||
Available-for-sale securities, net of tax | 35 | 67 | 29 | |||
Qualifying derivatives, net of tax | 0 | 0 | 68 | |||
Defined benefit plans: | ||||||
Prior service costs, net of tax | 8 | 2 | 1 | |||
Net actuarial gain (loss), net of tax | -120 | 71 | -82 | |||
Reclassifications to net income - (gains) losses, net of tax expense (benefit): | ||||||
Available-for-sale securities, net of tax | -6 | -6 | -7 | |||
Qualifying derivatives, net of tax | -25 | -123 | -463 | |||
Defined benefit plans: | ||||||
Prior service costs, net of tax | 3 | 4 | 5 | |||
Net actuarial loss, net of tax | 5 | 14 | 10 | |||
Total other comprehensive income (loss) | -100 | 29 | -439 | |||
Comprehensive income (loss) | 310 | -200 | 36 | |||
Comprehensive income attributable to noncontrolling interests | 0 | 1 | 1 | |||
Comprehensive income (loss) attributable to Shareowners | 310 | -201 | 35 | |||
PPL Electric Utilities Corp [Member] | ||||||
Net income (loss) | 263 | [1] | 209 | [1] | 136 | [1] |
LG And E And KU Energy LLC [Member] | ||||||
Net income (loss) | 344 | 347 | 219 | |||
Amounts arising during the period - gains (losses), net of tax (expense) benefit: | ||||||
Equity investees' other comprehensive income (loss), net of tax | 0 | 0 | 1 | |||
Defined benefit plans: | ||||||
Prior service costs, net of tax | -7 | 0 | 0 | |||
Net actuarial gain (loss), net of tax | -50 | 28 | -21 | |||
Reclassifications to net income - (gains) losses, net of tax expense (benefit): | ||||||
Equity investee's other comprehensive (income) loss, net of tax | -1 | 0 | 0 | |||
Defined benefit plans: | ||||||
Prior service costs, net of tax | 1 | 0 | 0 | |||
Net actuarial loss, net of tax | -1 | 0 | 1 | |||
Total other comprehensive income (loss) | -58 | 28 | -19 | |||
Comprehensive income (loss) attributable to Shareowners | 286 | 375 | 200 | |||
Louisville Gas And Electric Co [Member] | ||||||
Net income (loss) | 169 | [2] | 163 | [2] | 123 | [2] |
Kentucky Utilities Co [Member] | ||||||
Net income (loss) | 220 | [1] | 228 | [1] | 137 | [1] |
Defined benefit plans: | ||||||
Total other comprehensive income (loss) | ($1) | $1 | ||||
[1] | Net income approximates comprehensive income. | |||||
[2] | Net income equals comprehensive income. |
CONSOLIDATED_STATEMENTS_OF_COM1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Tax effect of foreign currency translation adjustments arising during the period | ($8) | $4 | $2 |
Tax effect of available-for-sale securities arising during the period | -39 | -72 | -31 |
Tax effect of qualifying derivatives arising during the period | 23 | -41 | -32 |
Tax effect of equity investees' other comprehensive income (loss) arising during the period | 0 | 0 | -1 |
Tax effect of defined benefit plans - prior service costs arising during period | -4 | -1 | 0 |
Tax effect of defined benefit plans - net actuarial gain (loss) arising during period | 225 | -73 | 343 |
Tax effect of available-for-sale securities reclassified to net income | 7 | 4 | 1 |
Tax effect of qualifying derivatives reclassified to net income | 23 | 80 | 278 |
Tax effect of prior service costs reclassified to net income | -3 | -4 | -5 |
Tax effect of net actuarial loss reclassified to net income | -34 | -49 | -29 |
PPL Energy Supply LLC [Member] | |||
Tax effect of available-for-sale securities arising during the period | -40 | -72 | -31 |
Tax effect of qualifying derivatives arising during the period | 0 | 0 | -46 |
Tax effect of defined benefit plans - prior service costs arising during period | -6 | -1 | 0 |
Tax effect of defined benefit plans - net actuarial gain (loss) arising during period | 83 | -49 | 56 |
Tax effect of available-for-sale securities reclassified to net income | 7 | 4 | 1 |
Tax effect of qualifying derivatives reclassified to net income | 17 | 84 | 291 |
Tax effect of prior service costs reclassified to net income | -1 | -3 | -2 |
Tax effect of net actuarial loss reclassified to net income | -4 | -10 | -2 |
LG And E And KU Energy LLC [Member] | |||
Tax effect of equity investees' other comprehensive income (loss) arising during the period | 0 | 0 | -1 |
Tax effect of defined benefit plans - prior service costs arising during period | 4 | 0 | 0 |
Tax effect of defined benefit plans - net actuarial gain (loss) arising during period | 32 | -18 | 13 |
Tax effect of equity investees' other comprehensive (income) loss reclassified to net income | 0 | 0 | 0 |
Tax effect of prior service costs reclassified to net income | 0 | 0 | 0 |
Tax effect of net actuarial loss reclassified to net income | $0 | $0 | $0 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Cash Flows from Operating Activities | ||||||
Net income (loss) | $1,737 | $1,131 | $1,531 | |||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||||
Depreciation | 1,237 | 1,161 | 1,100 | |||
Amortization | 228 | 222 | 186 | |||
Defined benefit plans - expense | 90 | 176 | 166 | |||
Deferred income taxes and investment tax credits | 640 | 72 | 424 | |||
Unrealized (gains) losses on derivatives, and other hedging activities | -175 | 236 | 27 | |||
Adjustment to WPD line loss accrual | 65 | 45 | -90 | |||
Stock compensation expense | 64 | 51 | 49 | |||
Pre-tax gain from the sale of the Montana hydroelectric generation business | -246 | 0 | 0 | |||
Loss on lease termination | 0 | 426 | 0 | |||
Other | 57 | 49 | 31 | |||
Change in current assets and current liabilities | ||||||
Accounts receivable | -83 | -165 | 7 | |||
Accounts payable | -4 | 25 | -29 | |||
Unbilled revenues | 90 | 27 | -19 | |||
Fuel, materials and supplies | -134 | -27 | -18 | |||
Counterparty collateral | -17 | -81 | -34 | |||
Taxes payable | 158 | 20 | 24 | |||
Uncertain tax positions | 0 | -114 | -4 | |||
Other | 80 | -35 | 55 | |||
Other operating activities | ||||||
Defined benefit plans - funding | -419 | -563 | -607 | |||
Other assets | 12 | 7 | -33 | |||
Other liabilities | 23 | 194 | -2 | |||
Net cash provided by (used in) operating activities | 3,403 | 2,857 | 2,764 | |||
Cash Flows from Investing Activities | ||||||
Expenditures for property, plant and equipment | -4,090 | -4,212 | -3,105 | |||
Proceeds from the sale of the Montana hydroelectric generation business | 900 | 0 | 0 | |||
Ironwood Acquisition, net of cash acquired | 0 | 0 | -84 | |||
Expenditures for intangible assets | -95 | -95 | -71 | |||
Purchases of nuclear plant decommissioning trust investments | -170 | -159 | -154 | |||
Proceeds from the sale of nuclear plant decommissioning trust investments | 154 | [1] | 144 | [1] | 139 | [1] |
Proceeds from receipt of grants | 164 | 4 | 4 | |||
Purchases of other investments | -120 | 0 | 0 | |||
Net (increase) decrease in restricted cash and cash equivalents | -89 | -20 | 96 | |||
Other investing activities | 17 | 43 | 52 | |||
Net cash provided by (used in) investing activities | -3,329 | -4,295 | -3,123 | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 296 | 2,038 | 1,223 | |||
Retirement of long-term debt | -546 | -747 | -108 | |||
Repurchase of common stock | 0 | -74 | 0 | |||
Issuance of common stock | 1,074 | 1,411 | 72 | |||
Payment of common stock dividends | -967 | -878 | -833 | |||
Redemption of preference stock of a subsidiary | 0 | 0 | -250 | |||
Debt issuance and credit facility costs | -22 | -49 | -17 | |||
Contract adjustment payments on Equity Units | -22 | -82 | -94 | |||
Net increase (decrease) in short-term debt | 777 | 49 | 74 | |||
Other financing activities | -7 | -37 | -19 | |||
Net cash provided by (used in) financing activities | 583 | 1,631 | 48 | |||
Effect of Exchange Rates on Cash and Cash Equivalents | -8 | 8 | 10 | |||
Net Increase (Decrease) in Cash and Cash Equivalents | 649 | 201 | -301 | |||
Cash and Cash Equivalents at Beginning of Period | 1,102 | 901 | 1,202 | |||
Cash and Cash Equivalents at End of Period | 1,751 | 1,102 | 901 | |||
Supplemental Disclosures of Cash Flow Information: | ||||||
Interest - net of amount capitalized | 959 | 916 | 847 | |||
Income taxes - net | 190 | 128 | 73 | |||
PPL Energy Supply LLC [Member] | ||||||
Cash Flows from Operating Activities | ||||||
Net income (loss) | 410 | -229 | 475 | |||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||||
Depreciation | 313 | 318 | 285 | |||
Amortization | 163 | 156 | 119 | |||
Defined benefit plans - expense | 42 | 51 | 43 | |||
Deferred income taxes and investment tax credits | -26 | -296 | 152 | |||
Impairment of assets | 20 | 65 | 3 | |||
Unrealized (gains) losses on derivatives, and other hedging activities | 4 | 171 | -41 | |||
Pre-tax gain from the sale of the Montana hydroelectric generation business | -315 | 0 | 0 | |||
Loss on lease termination | 0 | 426 | 0 | |||
Other | 36 | 2 | 19 | |||
Change in current assets and current liabilities | ||||||
Accounts receivable | 17 | 23 | -54 | |||
Accounts payable | 2 | -56 | -22 | |||
Unbilled revenues | 68 | 83 | 33 | |||
Fuel, materials and supplies | -97 | -31 | -29 | |||
Prepayments | -53 | -5 | -1 | |||
Counterparty collateral | -17 | -81 | -34 | |||
Price risk management assets and liabilities | -30 | 7 | -21 | |||
Taxes payable | -3 | -31 | -27 | |||
Other | -40 | -16 | -17 | |||
Other operating activities | ||||||
Defined benefit plans - funding | -35 | -113 | -75 | |||
Other assets | 3 | -4 | -41 | |||
Other liabilities | 0 | -30 | 17 | |||
Net cash provided by (used in) operating activities | 462 | 410 | 784 | |||
Cash Flows from Investing Activities | ||||||
Expenditures for property, plant and equipment | -416 | -583 | -648 | |||
Proceeds from the sale of the Montana hydroelectric generation business | 900 | 0 | 0 | |||
Ironwood Acquisition, net of cash acquired | 0 | 0 | -84 | |||
Expenditures for intangible assets | -46 | -42 | -45 | |||
Purchases of nuclear plant decommissioning trust investments | -170 | -159 | -154 | |||
Proceeds from the sale of nuclear plant decommissioning trust investments | 154 | [1] | 144 | [1] | 139 | [1] |
Proceeds from receipt of grants | 164 | 3 | 0 | |||
Net (increase) decrease in notes receivable from affiliates | 0 | 0 | 198 | |||
Net (increase) decrease in restricted cash and cash equivalents | -108 | -22 | 104 | |||
Other investing activities | 19 | 28 | 21 | |||
Net cash provided by (used in) investing activities | 497 | -631 | -469 | |||
Cash Flows from Financing Activities | ||||||
Retirement of long-term debt | -309 | -747 | -9 | |||
Contributions from member | 739 | 1,577 | 563 | |||
Distributions to member | -1,906 | -408 | -787 | |||
Net increase (decrease) in short-term debt | 630 | -356 | -44 | |||
Other financing activities | 0 | -19 | -4 | |||
Net cash provided by (used in) financing activities | -846 | 47 | -281 | |||
Net Increase (Decrease) in Cash and Cash Equivalents | 113 | -174 | 34 | |||
Cash and Cash Equivalents at Beginning of Period | 239 | 413 | 379 | |||
Cash and Cash Equivalents at End of Period | 352 | 239 | 413 | |||
Supplemental Disclosures of Cash Flow Information: | ||||||
Interest - net of amount capitalized | 122 | 157 | 150 | |||
Income taxes - net | 310 | 189 | 128 | |||
PPL Electric Utilities Corp [Member] | ||||||
Cash Flows from Operating Activities | ||||||
Net income (loss) | 263 | [2] | 209 | [2] | 136 | [2] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||||
Depreciation | 185 | 178 | 160 | |||
Amortization | 19 | 19 | 18 | |||
Defined benefit plans - expense | 15 | 21 | 22 | |||
Deferred income taxes and investment tax credits | 87 | 127 | 114 | |||
Other | -23 | -9 | -9 | |||
Change in current assets and current liabilities | ||||||
Accounts receivable | -64 | -29 | 3 | |||
Accounts payable | 30 | 12 | 38 | |||
Prepayments | 1 | 36 | 2 | |||
Taxes payable | 75 | 49 | 12 | |||
Other | 18 | -15 | -14 | |||
Other operating activities | ||||||
Defined benefit plans - funding | -23 | -93 | -59 | |||
Other assets | 19 | 8 | -3 | |||
Other liabilities | 11 | 10 | -31 | |||
Net cash provided by (used in) operating activities | 613 | 523 | 389 | |||
Cash Flows from Investing Activities | ||||||
Expenditures for property, plant and equipment | -931 | -903 | -624 | |||
Expenditures for intangible assets | -26 | -39 | -9 | |||
Net (increase) decrease in notes receivable from affiliates | 150 | -150 | 0 | |||
Other investing activities | 16 | 12 | 20 | |||
Net cash provided by (used in) investing activities | -791 | -1,080 | -613 | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 296 | 348 | 249 | |||
Retirement of long-term debt | -10 | 0 | 0 | |||
Contributions from parent | 263 | 205 | 150 | |||
Redemption of preference stock of a subsidiary | 0 | 0 | -250 | |||
Payment of common stock dividends to parent | -158 | -127 | -95 | |||
Net increase (decrease) in short-term debt | -20 | 20 | 0 | |||
Other financing activities | -4 | -4 | -10 | |||
Net cash provided by (used in) financing activities | 367 | 442 | 44 | |||
Net Increase (Decrease) in Cash and Cash Equivalents | 189 | -115 | -180 | |||
Cash and Cash Equivalents at Beginning of Period | 25 | 140 | 320 | |||
Cash and Cash Equivalents at End of Period | 214 | 25 | 140 | |||
Supplemental Disclosures of Cash Flow Information: | ||||||
Interest - net of amount capitalized | 110 | 87 | 81 | |||
Income taxes - net | 40 | -45 | -42 | |||
LG And E And KU Energy LLC [Member] | ||||||
Cash Flows from Operating Activities | ||||||
Net income (loss) | 344 | 347 | 219 | |||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||||
Depreciation | 354 | 334 | 346 | |||
Amortization | 25 | 22 | 27 | |||
Defined benefit plans - expense | 25 | 48 | 40 | |||
Deferred income taxes and investment tax credits | 449 | 254 | 133 | |||
Impairment of assets | 0 | 0 | 25 | |||
Other | 16 | 5 | 2 | |||
Change in current assets and current liabilities | ||||||
Accounts receivable | -20 | -91 | -9 | |||
Accounts payable | 12 | 40 | 1 | |||
Accounts payable to affiliates | -1 | 1 | -1 | |||
Unbilled revenues | 13 | -24 | -10 | |||
Fuel, materials and supplies | -32 | -1 | 8 | |||
Income tax receivable | -136 | 1 | 2 | |||
Taxes payable | -3 | 13 | 1 | |||
Other | -1 | 22 | 0 | |||
Other operating activities | ||||||
Defined benefit plans - funding | -45 | -168 | -70 | |||
Settlement of interest rate swaps | 0 | 86 | 0 | |||
Other assets | -7 | 9 | -8 | |||
Other liabilities | 6 | 22 | 38 | |||
Net cash provided by (used in) operating activities | 999 | 920 | 744 | |||
Cash Flows from Investing Activities | ||||||
Expenditures for property, plant and equipment | -1,262 | -1,434 | -768 | |||
Net (increase) decrease in notes receivable from affiliates | 70 | -70 | 15 | |||
Other investing activities | 1 | 2 | 0 | |||
Net cash provided by (used in) investing activities | -1,191 | -1,502 | -753 | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 0 | 496 | 0 | |||
Contributions from member | 248 | 243 | 0 | |||
Distributions to member | -436 | -254 | -155 | |||
Debt issuance and credit facility costs | -5 | -6 | -2 | |||
Net increase (decrease) in notes payable to affiliates | 41 | -25 | 25 | |||
Net increase (decrease) in short-term debt | 330 | 120 | 125 | |||
Net cash provided by (used in) financing activities | 178 | 574 | -7 | |||
Net Increase (Decrease) in Cash and Cash Equivalents | -14 | -8 | -16 | |||
Cash and Cash Equivalents at Beginning of Period | 35 | 43 | 59 | |||
Cash and Cash Equivalents at End of Period | 21 | 35 | 43 | |||
Supplemental Disclosures of Cash Flow Information: | ||||||
Interest - net of amount capitalized | 157 | 137 | 139 | |||
Income taxes - net | -75 | -67 | -45 | |||
Louisville Gas And Electric Co [Member] | ||||||
Cash Flows from Operating Activities | ||||||
Net income (loss) | 169 | [3] | 163 | [3] | 123 | [3] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||||
Depreciation | 157 | 148 | 152 | |||
Amortization | 12 | 6 | 11 | |||
Defined benefit plans - expense | 9 | 18 | 18 | |||
Deferred income taxes and investment tax credits | 118 | 26 | 69 | |||
Other | 2 | 9 | -13 | |||
Change in current assets and current liabilities | ||||||
Accounts receivable | -35 | -23 | -2 | |||
Accounts payable | 25 | 16 | 0 | |||
Accounts payable to affiliates | -4 | 1 | -3 | |||
Unbilled revenues | 9 | -13 | -7 | |||
Fuel, materials and supplies | -8 | -12 | 0 | |||
Income tax receivable | -74 | 0 | 0 | |||
Taxes payable | 8 | 9 | -7 | |||
Other | 0 | 8 | -7 | |||
Other operating activities | ||||||
Defined benefit plans - funding | -13 | -48 | -27 | |||
Settlement of interest rate swaps | 0 | 43 | 0 | |||
Other assets | -2 | 9 | -24 | |||
Other liabilities | -2 | 6 | 22 | |||
Net cash provided by (used in) operating activities | 371 | 366 | 305 | |||
Cash Flows from Investing Activities | ||||||
Expenditures for property, plant and equipment | -656 | -577 | -286 | |||
Net cash provided by (used in) investing activities | -656 | -577 | -286 | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 0 | 248 | 0 | |||
Contributions from parent | 157 | 86 | 0 | |||
Payment of common stock dividends to parent | -112 | -99 | -75 | |||
Debt issuance and credit facility costs | -2 | -3 | -2 | |||
Net increase (decrease) in short-term debt | 244 | -35 | 55 | |||
Net cash provided by (used in) financing activities | 287 | 197 | -22 | |||
Net Increase (Decrease) in Cash and Cash Equivalents | 2 | -14 | -3 | |||
Cash and Cash Equivalents at Beginning of Period | 8 | 22 | 25 | |||
Cash and Cash Equivalents at End of Period | 10 | 8 | 22 | |||
Supplemental Disclosures of Cash Flow Information: | ||||||
Interest - net of amount capitalized | 46 | 36 | 39 | |||
Income taxes - net | 65 | 51 | 5 | |||
Kentucky Utilities Co [Member] | ||||||
Cash Flows from Operating Activities | ||||||
Net income (loss) | 220 | [2] | 228 | [2] | 137 | [2] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||||
Depreciation | 197 | 186 | 193 | |||
Amortization | 11 | 14 | 14 | |||
Defined benefit plans - expense | 5 | 18 | 11 | |||
Deferred income taxes and investment tax credits | 224 | 69 | 99 | |||
Impairment of assets | 0 | 0 | 25 | |||
Other | 13 | -3 | 10 | |||
Change in current assets and current liabilities | ||||||
Accounts receivable | -9 | -37 | -17 | |||
Accounts payable | -10 | 23 | 1 | |||
Accounts payable to affiliates | 22 | -8 | 0 | |||
Unbilled revenues | 4 | -11 | -3 | |||
Fuel, materials and supplies | -25 | 10 | 7 | |||
Income tax receivable | -60 | 0 | 0 | |||
Taxes payable | -19 | 7 | 15 | |||
Other | -5 | 10 | 6 | |||
Other operating activities | ||||||
Defined benefit plans - funding | -5 | -65 | -21 | |||
Settlement of interest rate swaps | 0 | 43 | 0 | |||
Other assets | -4 | 1 | -3 | |||
Other liabilities | 7 | 10 | 26 | |||
Net cash provided by (used in) operating activities | 566 | 495 | 500 | |||
Cash Flows from Investing Activities | ||||||
Expenditures for property, plant and equipment | -604 | -855 | -480 | |||
Other investing activities | 1 | 2 | 0 | |||
Net cash provided by (used in) investing activities | -603 | -853 | -480 | |||
Cash Flows from Financing Activities | ||||||
Issuance of long-term debt | 0 | 248 | 0 | |||
Contributions from parent | 91 | 157 | 0 | |||
Payment of common stock dividends to parent | -148 | -124 | -100 | |||
Debt issuance and credit facility costs | -2 | -3 | 0 | |||
Net increase (decrease) in short-term debt | 86 | 80 | 70 | |||
Net cash provided by (used in) financing activities | 27 | 358 | -30 | |||
Net Increase (Decrease) in Cash and Cash Equivalents | -10 | 0 | -10 | |||
Cash and Cash Equivalents at Beginning of Period | 21 | 21 | 31 | |||
Cash and Cash Equivalents at End of Period | 11 | 21 | 21 | |||
Supplemental Disclosures of Cash Flow Information: | ||||||
Interest - net of amount capitalized | 73 | 61 | 62 | |||
Income taxes - net | $0 | $47 | ($39) | |||
[1] | These proceeds are used to pay income taxes and fees related to managing the trust. Remaining proceeds are reinvested in the trust. | |||||
[2] | Net income approximates comprehensive income. | |||||
[3] | Net income equals comprehensive income. |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Current Assets | ||||
Cash and cash equivalents | $1,751 | $1,102 | ||
Short-term investments | 120 | 0 | ||
Restricted cash and cash equivalents | 180 | 83 | ||
Accounts receivable (less reserve:) | ||||
Customer | 923 | 923 | ||
Other | 171 | 97 | ||
Unbilled revenues | 735 | 835 | ||
Fuel, materials and supplies | 836 | 702 | ||
Prepayments | 87 | 153 | ||
Deferred income taxes | 129 | 246 | ||
Price risk management assets | 1,158 | 942 | ||
Regulatory assets | 37 | 33 | ||
Other current assets | 32 | 37 | ||
Total Current Assets | 6,159 | 5,153 | ||
Investments | ||||
Nuclear plant decommissioning trust funds | 950 | 864 | ||
Other investments | 35 | 43 | ||
Total Investments | 985 | 907 | ||
Property, Plant and Equipment | ||||
Regulated utility plant | 30,568 | 27,755 | ||
Less: accumulated depreciation - regulated utility plant | 5,361 | 4,873 | ||
Regulated utility plant, net | 25,207 | 22,882 | ||
Non-regulated property, plant and equipment | ||||
Generation | 11,310 | 11,881 | ||
Nuclear fuel | 624 | 591 | ||
Other | 885 | 834 | ||
Less: accumulated depreciation - non-regulated property, plant and equipment | 6,404 | 6,172 | ||
Non-regulated property, plant and equipment, net | 6,415 | 7,134 | ||
Construction work in progress | 2,975 | 3,071 | ||
Property, Plant and Equipment, net | 34,597 | 33,087 | ||
Other Noncurrent Assets | ||||
Regulatory assets | 1,562 | 1,246 | ||
Goodwill | 4,005 | [1] | 4,225 | [1] |
Other intangibles | 925 | 947 | ||
Price risk management assets | 319 | 337 | ||
Other noncurrent assets | 312 | 357 | ||
Total Other Noncurrent Assets | 7,123 | 7,112 | ||
Total Assets | 48,864 | 46,259 | ||
Current Liabilities | ||||
Short-term debt | 1,466 | 701 | ||
Long-term debt due within one year | 1,535 | 315 | ||
Accounts payable | 1,356 | 1,308 | ||
Taxes | 230 | 114 | ||
Interest | 314 | 325 | ||
Dividends | 249 | 232 | ||
Price risk management liabilities | 1,126 | 829 | ||
Regulatory liabilities | 91 | 90 | ||
Other current liabilities | 1,076 | 998 | ||
Total Current Liabilities | 7,443 | 4,912 | ||
Long-term Debt | 18,856 | 20,592 | ||
Deferred Credits and Other Noncurrent Liabilities | ||||
Deferred income taxes | 4,450 | 3,928 | ||
Investment tax credits | 159 | 342 | ||
Price risk management liabilities | 252 | 415 | ||
Accrued pension obligations | 1,756 | 1,286 | ||
Asset retirement obligations | 739 | 687 | ||
Regulatory liabilities | 992 | 1,048 | ||
Other deferred credits and noncurrent liabilities | 589 | 583 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 8,937 | 8,289 | ||
Commitments and Contingent Liabilities | ||||
Equity | ||||
Common stock | 7 | [2] | 6 | [2] |
Additional paid-in capital | 9,433 | 8,316 | ||
Earnings reinvested | 6,462 | 5,709 | ||
Accumulated other comprehensive income (loss) | -2,274 | -1,565 | ||
Total Stockholders' Equity | 13,628 | 12,466 | ||
Total Liabilities and Equity | 48,864 | 46,259 | ||
PPL Energy Supply LLC [Member] | ||||
Current Assets | ||||
Cash and cash equivalents | 352 | 239 | ||
Restricted cash and cash equivalents | 176 | 68 | ||
Accounts receivable (less reserve:) | ||||
Customer | 186 | 233 | ||
Other | 103 | 97 | ||
Accounts receivable from affiliates | 36 | 45 | ||
Unbilled revenues | 218 | 286 | ||
Fuel, materials and supplies | 455 | 358 | ||
Prepayments | 70 | 20 | ||
Price risk management assets | 1,079 | 860 | ||
Other current assets | 26 | 27 | ||
Total Current Assets | 2,701 | 2,233 | ||
Investments | ||||
Nuclear plant decommissioning trust funds | 950 | 864 | ||
Other investments | 30 | 37 | ||
Total Investments | 980 | 901 | ||
Non-regulated property, plant and equipment | ||||
Generation | 11,318 | 11,891 | ||
Nuclear fuel | 624 | 591 | ||
Other | 293 | 288 | ||
Less: accumulated depreciation - non-regulated property, plant and equipment | 6,242 | 6,046 | ||
Non-regulated property, plant and equipment, net | 5,993 | 6,724 | ||
Construction work in progress | 443 | 450 | ||
Property, Plant and Equipment, net | 6,436 | 7,174 | ||
Other Noncurrent Assets | ||||
Goodwill | 72 | 86 | ||
Other intangibles | 257 | 266 | ||
Price risk management assets | 239 | 328 | ||
Other noncurrent assets | 75 | 86 | ||
Total Other Noncurrent Assets | 643 | 766 | ||
Total Assets | 10,760 | 11,074 | ||
Current Liabilities | ||||
Short-term debt | 630 | 0 | ||
Long-term debt due within one year | 535 | 304 | ||
Accounts payable | 361 | 393 | ||
Accounts payable to affiliates | 50 | 4 | ||
Taxes | 28 | 31 | ||
Interest | 16 | 22 | ||
Price risk management liabilities | 1,024 | 750 | ||
Other current liabilities | 246 | 278 | ||
Total Current Liabilities | 2,890 | 1,782 | ||
Long-term Debt | 1,683 | 2,221 | ||
Deferred Credits and Other Noncurrent Liabilities | ||||
Deferred income taxes | 1,223 | 1,114 | ||
Investment tax credits | 27 | 205 | ||
Price risk management liabilities | 193 | 320 | ||
Accrued pension obligations | 299 | 111 | ||
Asset retirement obligations | 415 | 393 | ||
Other deferred credits and noncurrent liabilities | 123 | 130 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 2,280 | 2,273 | ||
Commitments and Contingent Liabilities | ||||
Equity | ||||
Accumulated other comprehensive income (loss) | -23 | 77 | ||
Member's Equity | 3,907 | 4,798 | ||
Total Liabilities and Equity | 10,760 | 11,074 | ||
PPL Electric Utilities Corp [Member] | ||||
Current Assets | ||||
Cash and cash equivalents | 214 | 25 | ||
Accounts receivable (less reserve:) | ||||
Customer | 312 | 284 | ||
Other | 44 | 5 | ||
Accounts receivable from affiliates | 1 | 4 | ||
Unbilled revenues | 113 | 116 | ||
Notes receivable from affiliates | 0 | 150 | ||
Fuel, materials and supplies | 43 | 35 | ||
Prepayments | 10 | 40 | ||
Deferred income taxes | 58 | 85 | ||
Regulatory assets | 12 | 6 | ||
Other current assets | 12 | 16 | ||
Total Current Assets | 819 | 766 | ||
Property, Plant and Equipment | ||||
Regulated utility plant | 7,589 | 6,888 | ||
Less: accumulated depreciation - regulated utility plant | 2,517 | 2,417 | ||
Regulated utility plant, net | 5,072 | 4,471 | ||
Non-regulated property, plant and equipment | ||||
Construction work in progress | 738 | 591 | ||
Property, Plant and Equipment, net | 5,810 | 5,062 | ||
Other Noncurrent Assets | ||||
Regulatory assets | 897 | 772 | ||
Other intangibles | 235 | 211 | ||
Other noncurrent assets | 24 | 35 | ||
Total Other Noncurrent Assets | 1,156 | 1,018 | ||
Total Assets | 7,785 | 6,846 | ||
Current Liabilities | ||||
Short-term debt | 0 | 20 | ||
Long-term debt due within one year | 100 | 10 | ||
Accounts payable | 325 | 295 | ||
Accounts payable to affiliates | 70 | 57 | ||
Taxes | 85 | 51 | ||
Interest | 34 | 34 | ||
Regulatory liabilities | 76 | 76 | ||
Other current liabilities | 103 | 82 | ||
Total Current Liabilities | 793 | 625 | ||
Long-term Debt | 2,502 | 2,305 | ||
Deferred Credits and Other Noncurrent Liabilities | ||||
Deferred income taxes | 1,483 | 1,399 | ||
Accrued pension obligations | 212 | 96 | ||
Regulatory liabilities | 18 | 15 | ||
Other deferred credits and noncurrent liabilities | 60 | 57 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 1,773 | 1,567 | ||
Commitments and Contingent Liabilities | ||||
Equity | ||||
Common stock | 364 | [3] | 364 | [3] |
Additional paid-in capital | 1,603 | 1,340 | ||
Earnings reinvested | 750 | 645 | ||
Total Stockholders' Equity | 2,717 | 2,349 | ||
Total Liabilities and Equity | 7,785 | 6,846 | ||
LG And E And KU Energy LLC [Member] | ||||
Current Assets | ||||
Cash and cash equivalents | 21 | 35 | ||
Accounts receivable (less reserve:) | ||||
Customer | 231 | 224 | ||
Other | 18 | 20 | ||
Unbilled revenues | 167 | 180 | ||
Notes receivable from affiliates | 0 | 70 | ||
Fuel, materials and supplies | 311 | 278 | ||
Prepayments | 28 | 21 | ||
Income taxes receivable | 136 | 0 | ||
Deferred income taxes | 16 | 159 | ||
Regulatory assets | 25 | 27 | ||
Other current assets | 3 | 3 | ||
Total Current Assets | 956 | 1,017 | ||
Property, Plant and Equipment | ||||
Regulated utility plant | 10,007 | 8,526 | ||
Less: accumulated depreciation - regulated utility plant | 1,067 | 778 | ||
Regulated utility plant, net | 8,940 | 7,748 | ||
Non-regulated property, plant and equipment | ||||
Other, net | 5 | 3 | ||
Construction work in progress | 1,559 | 1,793 | ||
Property, Plant and Equipment, net | 10,504 | 9,544 | ||
Other Noncurrent Assets | ||||
Regulatory assets | 665 | 474 | ||
Goodwill | 996 | 996 | ||
Other intangibles | 174 | 221 | ||
Other noncurrent assets | 101 | 98 | ||
Total Other Noncurrent Assets | 1,936 | 1,789 | ||
Total Assets | 13,396 | 12,350 | ||
Current Liabilities | ||||
Short-term debt | 575 | 245 | ||
Long-term debt due within one year | 900 | 0 | ||
Notes payable with affiliates | 41 | 0 | ||
Accounts payable | 399 | 346 | ||
Accounts payable to affiliates | 2 | 3 | ||
Taxes | 36 | 39 | ||
Interest | 23 | 23 | ||
Price risk management liabilities | 5 | 4 | ||
Price risk management liabilities from affiliates | 66 | 0 | ||
Regulatory liabilities | 15 | 14 | ||
Customer deposits | 52 | 50 | ||
Other current liabilities | 131 | 111 | ||
Total Current Liabilities | 2,245 | 835 | ||
Long-term Debt | 3,667 | 4,565 | ||
Deferred Credits and Other Noncurrent Liabilities | ||||
Deferred income taxes | 1,241 | 965 | ||
Investment tax credits | 131 | 135 | ||
Price risk management liabilities | 43 | 32 | ||
Accrued pension obligations | 305 | 152 | ||
Asset retirement obligations | 274 | 245 | ||
Regulatory liabilities | 974 | 1,033 | ||
Other deferred credits and noncurrent liabilities | 268 | 238 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 3,236 | 2,800 | ||
Commitments and Contingent Liabilities | ||||
Equity | ||||
Accumulated other comprehensive income (loss) | -45 | 13 | ||
Member's Equity | 4,248 | 4,150 | ||
Total Liabilities and Equity | 13,396 | 12,350 | ||
Louisville Gas And Electric Co [Member] | ||||
Current Assets | ||||
Cash and cash equivalents | 10 | 8 | ||
Accounts receivable (less reserve:) | ||||
Customer | 107 | 102 | ||
Other | 11 | 9 | ||
Accounts receivable from affiliates | 23 | 0 | ||
Unbilled revenues | 76 | 85 | ||
Fuel, materials and supplies | 162 | 154 | ||
Prepayments | 8 | 7 | ||
Income taxes receivable | 74 | 0 | ||
Regulatory assets | 21 | 17 | ||
Other current assets | 1 | 3 | ||
Total Current Assets | 493 | 385 | ||
Property, Plant and Equipment | ||||
Regulated utility plant | 4,031 | 3,383 | ||
Less: accumulated depreciation - regulated utility plant | 456 | 332 | ||
Regulated utility plant, net | 3,575 | 3,051 | ||
Non-regulated property, plant and equipment | ||||
Construction work in progress | 676 | 651 | ||
Property, Plant and Equipment, net | 4,251 | 3,702 | ||
Other Noncurrent Assets | ||||
Regulatory assets | 397 | 303 | ||
Goodwill | 389 | 389 | ||
Other intangibles | 97 | 120 | ||
Other noncurrent assets | 35 | 35 | ||
Total Other Noncurrent Assets | 918 | 847 | ||
Total Assets | 5,662 | 4,934 | ||
Current Liabilities | ||||
Short-term debt | 264 | 20 | ||
Long-term debt due within one year | 250 | 0 | ||
Accounts payable | 240 | 166 | ||
Accounts payable to affiliates | 20 | 24 | ||
Taxes | 19 | 11 | ||
Interest | 6 | 6 | ||
Price risk management liabilities | 5 | 4 | ||
Price risk management liabilities from affiliates | 33 | 0 | ||
Regulatory liabilities | 10 | 9 | ||
Customer deposits | 25 | 24 | ||
Other current liabilities | 42 | 32 | ||
Total Current Liabilities | 914 | 296 | ||
Long-term Debt | 1,103 | 1,353 | ||
Deferred Credits and Other Noncurrent Liabilities | ||||
Deferred income taxes | 700 | 582 | ||
Investment tax credits | 36 | 38 | ||
Price risk management liabilities | 43 | 32 | ||
Accrued pension obligations | 57 | 19 | ||
Asset retirement obligations | 66 | 68 | ||
Regulatory liabilities | 458 | 482 | ||
Other deferred credits and noncurrent liabilities | 111 | 104 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 1,471 | 1,325 | ||
Commitments and Contingent Liabilities | ||||
Equity | ||||
Common stock | 424 | [4] | 424 | [4] |
Additional paid-in capital | 1,521 | 1,364 | ||
Earnings reinvested | 229 | 172 | ||
Total Stockholders' Equity | 2,174 | 1,960 | ||
Total Liabilities and Equity | 5,662 | 4,934 | ||
Kentucky Utilities Co [Member] | ||||
Current Assets | ||||
Cash and cash equivalents | 11 | 21 | ||
Accounts receivable (less reserve:) | ||||
Customer | 124 | 122 | ||
Other | 6 | 9 | ||
Unbilled revenues | 91 | 95 | ||
Fuel, materials and supplies | 149 | 124 | ||
Prepayments | 10 | 4 | ||
Income taxes receivable | 60 | 0 | ||
Regulatory assets | 4 | 10 | ||
Other current assets | 4 | 6 | ||
Total Current Assets | 459 | 391 | ||
Property, Plant and Equipment | ||||
Regulated utility plant | 5,976 | 5,143 | ||
Less: accumulated depreciation - regulated utility plant | 611 | 446 | ||
Regulated utility plant, net | 5,365 | 4,697 | ||
Non-regulated property, plant and equipment | ||||
Other, net | 1 | 1 | ||
Construction work in progress | 880 | 1,139 | ||
Property, Plant and Equipment, net | 6,246 | 5,837 | ||
Other Noncurrent Assets | ||||
Regulatory assets | 268 | 171 | ||
Goodwill | 607 | 607 | ||
Other intangibles | 77 | 101 | ||
Other noncurrent assets | 58 | 56 | ||
Total Other Noncurrent Assets | 1,010 | 935 | ||
Total Assets | 7,715 | 7,163 | ||
Current Liabilities | ||||
Short-term debt | 236 | 150 | ||
Long-term debt due within one year | 250 | 0 | ||
Accounts payable | 141 | 159 | ||
Accounts payable to affiliates | 47 | 25 | ||
Taxes | 14 | 33 | ||
Interest | 11 | 11 | ||
Price risk management liabilities from affiliates | 33 | 0 | ||
Regulatory liabilities | 5 | 5 | ||
Customer deposits | 27 | 26 | ||
Other current liabilities | 41 | 36 | ||
Total Current Liabilities | 805 | 445 | ||
Long-term Debt | 1,841 | 2,091 | ||
Deferred Credits and Other Noncurrent Liabilities | ||||
Deferred income taxes | 884 | 658 | ||
Investment tax credits | 95 | 97 | ||
Accrued pension obligations | 59 | 11 | ||
Asset retirement obligations | 208 | 177 | ||
Regulatory liabilities | 516 | 551 | ||
Other deferred credits and noncurrent liabilities | 101 | 89 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 1,863 | 1,583 | ||
Commitments and Contingent Liabilities | ||||
Equity | ||||
Common stock | 308 | [5] | 308 | [5] |
Additional paid-in capital | 2,596 | 2,505 | ||
Earnings reinvested | 302 | 230 | ||
Accumulated other comprehensive income (loss) | 0 | 1 | ||
Total Stockholders' Equity | 3,206 | 3,044 | ||
Total Liabilities and Equity | $7,715 | $7,163 | ||
[1] | There were no accumulated impairment losses related to goodwill. | |||
[2] | 780,000 shares authorized; 665,849 and 630,321 shares issued and outstanding at December 31, 2014 and 2013. | |||
[3] | 170,000 shares authorized; 66,368 shares issued and outstanding at December 31, 2014 and 2013. | |||
[4] | 75,000 shares authorized; 21,294 shares issued and outstanding at December 31, 2014 and December 31, 2013. | |||
[5] | 80,000 shares authorized; 37,818 shares issued and outstanding at December 31, 2014 and December 31, 2013. |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Millions, except Share data in Thousands, unless otherwise specified | ||||
Receivables Net Current [Abstract] | ||||
Accounts receivable reserve for uncollectible accounts | $46 | $64 | ||
Equity | ||||
Common stock par value | $0.01 | $0.01 | ||
Common stock shares authorized | 780,000 | 780,000 | ||
Common stock shares issued | 665,849 | 630,321 | ||
Common stock shares outstanding | 665,849 | 630,321 | ||
PPL Energy Supply LLC [Member] | ||||
Receivables Net Current [Abstract] | ||||
Accounts receivable reserve for uncollectible accounts | 2 | 21 | ||
PPL Electric Utilities Corp [Member] | ||||
Receivables Net Current [Abstract] | ||||
Accounts receivable reserve for uncollectible accounts | 17 | 18 | ||
Equity | ||||
Common stock no par value | ||||
Common stock shares authorized | 170,000 | 170,000 | ||
Common stock shares issued | 66,368 | 66,368 | ||
Common stock shares outstanding | 66,368 | [1] | 66,368 | [1] |
LG And E And KU Energy LLC [Member] | ||||
Receivables Net Current [Abstract] | ||||
Accounts receivable reserve for uncollectible accounts | 25 | 22 | ||
Louisville Gas And Electric Co [Member] | ||||
Receivables Net Current [Abstract] | ||||
Accounts receivable reserve for uncollectible accounts | 2 | 2 | ||
Equity | ||||
Common stock no par value | ||||
Common stock shares authorized | 75,000 | 75,000 | ||
Common stock shares issued | 21,294 | 21,294 | ||
Common stock shares outstanding | 21,294 | 21,294 | ||
Kentucky Utilities Co [Member] | ||||
Receivables Net Current [Abstract] | ||||
Accounts receivable reserve for uncollectible accounts | $2 | $4 | ||
Equity | ||||
Common stock no par value | ||||
Common stock shares authorized | 80,000 | 80,000 | ||
Common stock shares issued | 37,818 | 37,818 | ||
Common stock shares outstanding | 37,818 | 37,818 | ||
[1] | Shares in thousands. All common shares of PPL Electric stock are owned by PPL. |
CONSOLIDATED_STATEMENTS_OF_EQU
CONSOLIDATED STATEMENTS OF EQUITY (USD $) | Total | Common Stock | Additional Paid-in Capital | Earnings Reinvested | Accumulated Other Comprehensive Loss | Non-controlling Interests | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | LG And E And KU Energy LLC [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | ||||||||
In Millions, except Share data in Thousands | Member's Equity | Non-controlling Interests | Common Stock | Preferred Securities | Additional Paid-in Capital | Earnings Reinvested | Common Stock | Additional Paid-in Capital | Earnings Reinvested | Common Stock | Additional Paid-in Capital | Earnings Reinvested | Accumulated Other Comprehensive Loss | |||||||||||||||||||
Balance at beginning of period at Dec. 31, 2011 | $2,125 | $364 | $250 | $979 | $532 | $1,762 | $424 | $1,278 | $60 | $2,745 | $308 | $2,348 | $89 | |||||||||||||||||||
Balance at beginning of period at Dec. 31, 2011 | 11,096 | 6 | 6,813 | 4,797 | -788 | 268 | ||||||||||||||||||||||||||
Balance at beginning of period - shares at Dec. 31, 2011 | 578,405 | [1] | 66,368 | 21,294 | [2] | 37,818 | [3] | |||||||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2011 | 4,037 | 4,019 | 18 | 3,741 | ||||||||||||||||||||||||||||
Common stock shares issued | [1] | 3,543 | ||||||||||||||||||||||||||||||
Common stock issued | 99 | 99 | ||||||||||||||||||||||||||||||
Common stock shares repurchased | 4 | |||||||||||||||||||||||||||||||
Stock-based compensation | 18 | 18 | ||||||||||||||||||||||||||||||
Net income (loss) | 1,531 | 1,526 | 5 | 475 | 474 | 1 | 136 | [4] | 136 | 219 | 123 | [5] | 123 | 137 | [4] | 137 | ||||||||||||||||
Dividends, dividend equivalents, redemptions and distributions | -1,094 | -6 | -845 | -255 | ||||||||||||||||||||||||||||
Cash dividends declared on preference stock | -4 | -4 | ||||||||||||||||||||||||||||||
Cash dividends declared on common stock | -95 | -95 | -75 | -75 | -100 | -100 | ||||||||||||||||||||||||||
Distributions to member | -788 | -787 | -1 | -155 | ||||||||||||||||||||||||||||
Contributions from member | 563 | 563 | ||||||||||||||||||||||||||||||
Capital contributions from parent | 150 | 150 | ||||||||||||||||||||||||||||||
Redemption of preference stock | -250 | -250 | 6 | -6 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) | -1,152 | -1,152 | -439 | -439 | -19 | 1 | 1 | |||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2012 | 2,062 | 364 | 1,135 | 563 | 1,810 | 424 | 108 | 2,783 | 308 | 126 | 1 | |||||||||||||||||||||
Balance at end of period at Dec. 31, 2012 | 10,498 | 6 | 6,936 | 5,478 | -1,940 | 18 | ||||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2012 | 3,786 | |||||||||||||||||||||||||||||||
Balance at end of period - shares at Dec. 31, 2012 | 581,944 | [1] | 66,368 | 21,294 | [2] | 37,818 | [3] | |||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2012 | 3,848 | 3,830 | 18 | |||||||||||||||||||||||||||||
Net income (loss) | 413 | [6] | 64 | [7] | ||||||||||||||||||||||||||||
Balance at end of period at Mar. 31, 2013 | ||||||||||||||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2012 | 2,062 | 364 | 1,135 | 563 | 1,810 | 424 | 1,278 | 108 | 2,783 | 308 | 2,348 | 126 | ||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2012 | 10,498 | 6 | 6,936 | 5,478 | -1,940 | 18 | ||||||||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2012 | 3,786 | |||||||||||||||||||||||||||||||
Balance at beginning of period - shares at Dec. 31, 2012 | 581,944 | [1] | 66,368 | 21,294 | [2] | 37,818 | [3] | |||||||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2012 | 3,848 | 3,830 | 18 | |||||||||||||||||||||||||||||
Common stock shares issued | [1] | 50,807 | ||||||||||||||||||||||||||||||
Common stock issued | 1,437 | 1,437 | ||||||||||||||||||||||||||||||
Common stock shares repurchased | [1] | 2,430 | ||||||||||||||||||||||||||||||
Common stock repurchased | 74 | 74 | ||||||||||||||||||||||||||||||
Cash settlement of equity forward agreements | -13 | -13 | ||||||||||||||||||||||||||||||
Stock-based compensation | 30 | 30 | ||||||||||||||||||||||||||||||
Net income (loss) | 1,131 | 1,130 | 1 | -229 | -230 | 1 | 209 | [4] | 209 | 347 | 163 | [5] | 163 | 228 | [4] | 228 | ||||||||||||||||
Dividends, dividend equivalents, redemptions and distributions | -918 | -899 | -19 | |||||||||||||||||||||||||||||
Cash dividends declared on common stock | -127 | -127 | -99 | -99 | -124 | -124 | ||||||||||||||||||||||||||
Distributions to member | -427 | -408 | -19 | -254 | ||||||||||||||||||||||||||||
Contributions from member | 1,577 | 1,577 | 243 | |||||||||||||||||||||||||||||
Capital contributions from parent | 205 | 205 | 86 | 86 | 157 | 157 | ||||||||||||||||||||||||||
Other comprehensive income (loss) | 375 | 375 | 29 | 29 | 28 | |||||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2013 | 12,466 | 2,349 | 364 | 1,340 | 645 | 1,960 | 424 | 1,364 | 172 | 3,044 | 308 | 2,505 | 230 | |||||||||||||||||||
Balance at end of period at Dec. 31, 2013 | 6 | 8,316 | 5,709 | -1,565 | ||||||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2013 | 4,798 | 4,150 | ||||||||||||||||||||||||||||||
Balance at end of period - shares at Dec. 31, 2013 | 630,321 | 630,321 | [1] | 66,368 | [8] | 66,368 | 21,294 | 21,294 | [2] | 37,818 | 37,818 | [3] | ||||||||||||||||||||
Balance at end of period at Dec. 31, 2013 | 4,798 | |||||||||||||||||||||||||||||||
Balance at beginning of period at Sep. 30, 2013 | ||||||||||||||||||||||||||||||||
Net income (loss) | -98 | [6],[9] | 49 | [7] | ||||||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2013 | 12,466 | 2,349 | 364 | 424 | 308 | |||||||||||||||||||||||||||
Balance at end of period - shares at Dec. 31, 2013 | 630,321 | 66,368 | [8] | 66,368 | 21,294 | [2] | 37,818 | [3] | ||||||||||||||||||||||||
Net income (loss) | 316 | [6] | 85 | [7] | ||||||||||||||||||||||||||||
Balance at end of period at Mar. 31, 2014 | ||||||||||||||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2013 | 12,466 | 2,349 | 364 | 1,340 | 645 | 1,960 | 424 | 1,364 | 172 | 3,044 | 308 | 2,505 | 230 | 1 | ||||||||||||||||||
Balance at beginning of period at Dec. 31, 2013 | 6 | 8,316 | 5,709 | -1,565 | ||||||||||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2013 | 4,798 | 4,150 | ||||||||||||||||||||||||||||||
Balance at beginning of period - shares at Dec. 31, 2013 | 630,321 | 630,321 | [1] | 66,368 | [8] | 66,368 | 21,294 | 21,294 | [2] | 37,818 | 37,818 | [3] | ||||||||||||||||||||
Balance at beginning of period at Dec. 31, 2013 | 4,798 | |||||||||||||||||||||||||||||||
Common stock shares issued | 35,528 | |||||||||||||||||||||||||||||||
Common stock issued | 1,090 | 1 | 1,089 | |||||||||||||||||||||||||||||
Stock-based compensation | 28 | 28 | ||||||||||||||||||||||||||||||
Net income (loss) | 1,737 | 1,737 | 410 | 410 | 263 | [4] | 263 | 344 | 169 | [5] | 169 | 220 | [4] | 220 | ||||||||||||||||||
Dividends, dividend equivalents, redemptions and distributions | 984 | 984 | ||||||||||||||||||||||||||||||
Cash dividends declared on common stock | -158 | -158 | -112 | -112 | -148 | -148 | ||||||||||||||||||||||||||
Distributions to member | -1,940 | -1,940 | -436 | |||||||||||||||||||||||||||||
Contributions from member | 739 | 739 | 248 | |||||||||||||||||||||||||||||
Capital contributions from parent | 263 | 263 | 157 | 157 | 91 | 91 | ||||||||||||||||||||||||||
Other comprehensive income (loss) | -709 | -709 | -100 | -100 | -58 | -1 | -1 | |||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2014 | 13,628 | 2,717 | 364 | 1,603 | 750 | 2,174 | 424 | 1,521 | 229 | 3,206 | 308 | 2,596 | 302 | |||||||||||||||||||
Balance at end of period at Dec. 31, 2014 | 7 | 9,433 | 6,462 | -2,274 | ||||||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2014 | 3,907 | 4,248 | ||||||||||||||||||||||||||||||
Balance at end of period - shares at Dec. 31, 2014 | 665,849 | 665,849 | [1] | 66,368 | [8] | 66,368 | 21,294 | 21,294 | [2] | 37,818 | 37,818 | [3] | ||||||||||||||||||||
Balance at end of period at Dec. 31, 2014 | 3,907 | |||||||||||||||||||||||||||||||
Balance at beginning of period at Sep. 30, 2014 | ||||||||||||||||||||||||||||||||
Net income (loss) | 695 | [10],[6] | 69 | [7] | ||||||||||||||||||||||||||||
Balance at end of period at Dec. 31, 2014 | $13,628 | $2,717 | $364 | $424 | $308 | |||||||||||||||||||||||||||
Balance at end of period - shares at Dec. 31, 2014 | 665,849 | 66,368 | [8] | 66,368 | 21,294 | [2] | 37,818 | [3] | ||||||||||||||||||||||||
[1] | Shares in thousands. Each share entitles the holder to one vote on any question presented at any shareowners' meeting. | |||||||||||||||||||||||||||||||
[2] | Shares in thousands. All common shares of LG&E stock are owned by LKE. | |||||||||||||||||||||||||||||||
[3] | Shares in thousands. All common shares of KU stock are owned by LKE. | |||||||||||||||||||||||||||||||
[4] | Net income approximates comprehensive income. | |||||||||||||||||||||||||||||||
[5] | Net income equals comprehensive income. | |||||||||||||||||||||||||||||||
[6] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||||||||||||||
[7] | PPL Electric's business is seasonal in nature, with peak sales periods generally occurring in the winter and summer months. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||||||||||||||
[8] | Shares in thousands. All common shares of PPL Electric stock are owned by PPL. | |||||||||||||||||||||||||||||||
[9] | Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||||||||||||||||||
[10] | Fourth quarter of 2014 includes a gain of $137 million (after tax) from the sale of hydroelectric generating facilities of PPL Montana. See Note 8 to the Financial Statements for additional information. |
CONSOLIDATED_STATEMENTS_OF_EQU1
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Vote per share of PPL's common stock | 1 | 1 | 1 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||
Summary of Significant Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies | |||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
General | ||||||||||||||||||||||||||||||||||
Capitalized terms and abbreviations appearing in the combined notes to financial statements are defined in the glossary. Dollars are in millions, except per share data, unless otherwise noted. The specific Registrant to which disclosures are applicable is identified in parenthetical headings in italics above the applicable disclosure or within the applicable disclosure for its related activities and disclosures. Within combined disclosures, amounts are disclosed for any Registrant when significant. | ||||||||||||||||||||||||||||||||||
Business and Consolidation | ||||||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||||||
PPL is an energy and utility holding company that, through its subsidiaries, is primarily engaged in: 1) the regulated distribution of electricity in the U.K.; 2) the regulated generation, transmission, distribution and sale of electricity and the regulated distribution and sale of natural gas, primarily in Kentucky; 3) the regulated transmission, distribution and sale of electricity in Pennsylvania; and 4) the competitive generation and marketing of electricity in portions of the northeastern and northwestern U.S. Headquartered in Allentown, PA, PPL's principal subsidiaries are PPL Global, LKE (including its principal subsidiaries, LG&E and KU), PPL Electric and PPL Energy Supply (including its principal subsidiaries, PPL EnergyPlus and PPL Generation). PPL's corporate level financing subsidiary is PPL Capital Funding. | ||||||||||||||||||||||||||||||||||
WPD, a subsidiary of PPL Global, through indirect wholly owned subsidiaries operates regulated distribution networks providing electricity service in the U.K. WPD serves end-users in Wales and southwest and central England. Its principal subsidiaries are WPD (South Wales), WPD (South West), WPD (East Midlands) and WPD (West Midlands). | ||||||||||||||||||||||||||||||||||
PPL consolidates WPD on a one-month lag. Material intervening events, such as debt issuances that occur in the lag period, are recognized in the current period financial statements. Events that are significant but not material are disclosed. | ||||||||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply is an energy company conducting business primarily through its principal subsidiaries PPL Generation and PPL EnergyPlus. PPL Generation owns and operates a portfolio of competitive domestic power generating assets. These power plants are located in Pennsylvania and Montana and use well-diversified fuel sources including coal, uranium, natural gas, oil and water. PPL EnergyPlus sells electricity produced by PPL Generation subsidiaries, participates in wholesale market load-following auctions, and markets various energy products and commodities such as: capacity, transmission, FTRs, coal, natural gas, oil, uranium, emission allowances, RECs and other commodities in competitive wholesale and competitive retail markets, primarily in the northeastern and northwestern U.S. | ||||||||||||||||||||||||||||||||||
In June 2014, PPL and PPL Energy Supply executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. See Note 8 for additional information. | ||||||||||||||||||||||||||||||||||
In November 2014, PPL Montana completed the sale of its hydroelectric generating facilities. See Note 8 for additional information. | ||||||||||||||||||||||||||||||||||
(PPL and PPL Electric) | ||||||||||||||||||||||||||||||||||
PPL Electric is a cost-based rate-regulated utility subsidiary of PPL. PPL Electric's principal business is the regulated transmission and distribution of electricity to serve retail customers in its franchised territory in eastern and central Pennsylvania and the regulated supply of electricity to retail customers in that territory as a PLR. | ||||||||||||||||||||||||||||||||||
(PPL, LKE, LG&E and KU) | ||||||||||||||||||||||||||||||||||
LKE is a utility holding company with cost-based rate-regulated utility operations through its subsidiaries, LG&E and KU. LG&E and KU are engaged in the regulated generation, transmission, distribution and sale of electricity. LG&E also engages in the regulated distribution and sale of natural gas. LG&E and KU maintain their separate identities and serve customers in Kentucky under their respective names. KU also serves customers in Virginia (under the Old Dominion Power name) and in Tennessee under the KU name. | ||||||||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
"Income (Loss) from Discontinued Operations (net of income taxes)" on the Statements of Income includes the activities of PPL Montana's hydroelectric generating facilities and the gain on the sale of these facilities to NorthWestern in November 2014. The related assets and liabilities have not been reclassified to assets/liabilities of discontinued operations on the balance sheet at December 31, 2013. The Statements of Cash Flows do not separately report the cash flows of the Discontinued Operations. See Note 8 for additional information. | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
The financial statements of the Registrants include each company's own accounts as well as the accounts of all entities in which the company has a controlling financial interest. Entities for which a controlling financial interest is not demonstrated through voting interests are evaluated based on accounting guidance for VIEs. The Registrants consolidate a VIE when they are determined to have a controlling interest in the VIE, and thus are the primary beneficiary of the entity. The Registrants are not the primary beneficiary in any material VIEs. Investments in entities in which a company has the ability to exercise significant influence but does not have a controlling financial interest are accounted for under the equity method. All other investments are carried at cost or fair value. All significant intercompany transactions have been eliminated. Any noncontrolling interests are reflected in the financial statements. | ||||||||||||||||||||||||||||||||||
The financial statements of PPL, PPL Energy Supply, LKE, LG&E and KU include their share of any undivided interests in jointly owned facilities, as well as their share of the related operating costs of those facilities. See Note 12 for additional information. | ||||||||||||||||||||||||||||||||||
Regulation | ||||||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||||||
WPD operates in an incentive-based regulatory structure under distribution licenses granted by Ofgem. Electricity distribution revenues are set by Ofgem for a given time period through price control reviews that are not directly based on cost recovery. The price control formula that governs WPD's allowed revenue is designed to provide economic incentives to minimize operating, capital and financing costs. As a result, WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. | ||||||||||||||||||||||||||||||||||
(All Registrants except PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
PPL Electric, LG&E and KU are cost-based rate-regulated utilities for which rates are set by regulators to enable PPL Electric, LG&E and KU to recover the costs of providing electric or gas service, as applicable, and to provide a reasonable return to shareholders. Rates are generally established based on a historical or future test period. As a result, the financial statements are subject to the accounting for certain types of regulation as prescribed by GAAP and reflect the effects of regulatory actions. Regulatory assets are recognized for the effect of transactions or events where future recovery of underlying costs is probable in regulated customer rates. The effect of such accounting is to defer certain or qualifying costs that would otherwise currently be charged to expense. Regulatory liabilities are recognized for amounts expected to be returned through future regulated customer rates. In certain cases, regulatory liabilities are recorded based on an understanding or agreement with the regulator that rates have been set to recover costs that are expected to be incurred in the future, and the regulated entity is accountable for any amounts charged pursuant to such rates and not yet expended for the intended purpose. The accounting for regulatory assets and regulatory liabilities is based on specific ratemaking decisions or precedent for each transaction or event as prescribed by the FERC or the applicable state regulatory commissions. See Note 6 for additional details regarding regulatory matters. | ||||||||||||||||||||||||||||||||||
Accounting Records (All Registrants except PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
The system of accounts for domestic regulated entities is maintained in accordance with the Uniform System of Accounts prescribed by the FERC and adopted by the applicable state regulatory commissions. | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Use of Estimates | ||||||||||||||||||||||||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||||||||||||||||||||||
Loss Accruals | ||||||||||||||||||||||||||||||||||
Potential losses are accrued when (1) information is available that indicates it is "probable" that a loss has been incurred, given the likelihood of the uncertain future events and (2) the amount of the loss can be reasonably estimated. Accounting guidance defines "probable" as cases in which "the future event or events are likely to occur." The Registrants continuously assess potential loss contingencies for environmental remediation, litigation claims, regulatory penalties and other events. Loss accruals for environmental remediation are discounted when appropriate. | ||||||||||||||||||||||||||||||||||
The accrual of contingencies that might result in gains is not recorded, unless realization is assured. | ||||||||||||||||||||||||||||||||||
Changes in Classification | ||||||||||||||||||||||||||||||||||
The classification of certain amounts in the 2013 and 2012 financial statements have been changed to conform to the current presentation. The changes in classification did not affect the Registrants' net income or equity. | ||||||||||||||||||||||||||||||||||
Earnings Per Share (PPL) | ||||||||||||||||||||||||||||||||||
EPS is computed using the two-class method, which is an earnings allocation method for computing EPS that treats a participating security as having rights to earnings that would otherwise have been available to common shareowners. Share-based payment awards that provide recipients a non-forfeitable right to dividends or dividend equivalents are considered participating securities. | ||||||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Energy and energy-related contracts are used to hedge the variability of expected cash flows associated with the generating units and marketing activities, as well as for trading purposes at PPL Energy Supply. Interest rate contracts are used to hedge exposures to changes in the fair value of debt instruments and to hedge exposures to variability in expected cash flows associated with existing floating-rate debt instruments or forecasted fixed-rate issuances of debt. Foreign currency exchange contracts are used to hedge foreign currency exposures, primarily associated with PPL's investments in U.K. subsidiaries. Similar derivatives may receive different accounting treatment, depending on management’s intended use and documentation. | ||||||||||||||||||||||||||||||||||
Certain energy and energy-related contracts meet the definition of a derivative, while others do not meet the definition of a derivative because they lack a notional amount or a net settlement provision. In cases where there is no net settlement provision, markets are periodically assessed to determine whether market mechanisms have evolved that would facilitate net settlement. Certain derivative energy contracts have been excluded from the requirements of derivative accounting treatment because NPNS has been elected. These contracts are accounted for using accrual accounting. All other contracts that have been classified as derivative contracts are reflected on the balance sheets at fair value. These contracts are recorded as "Price risk management assets" and "Price risk management liabilities" on the Balance Sheets. The portion of derivative positions that deliver within a year are included in "Current Assets" and "Current Liabilities," while the portion of derivative positions that deliver beyond a year are recorded in "Other Noncurrent Assets" and "Deferred Credits and Other Noncurrent Liabilities." PPL considers intra-month transactions to be spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||||||
Energy and energy-related contracts are assigned a strategy and accounting classification. Processes exist that allow for subsequent review and validation of the contract information. See Note 17 for more information. The accounting department provides the traders and the risk management department with guidelines on appropriate accounting classifications for various contract types and strategies. Some examples of these guidelines include, but are not limited to: | ||||||||||||||||||||||||||||||||||
Physical coal, limestone, lime, uranium, electric transmission, gas transportation, gas storage and renewable energy credit contracts not traded on an exchange are not derivatives due to the lack of net settlement provisions. | ||||||||||||||||||||||||||||||||||
Only contracts where physical delivery is deemed probable throughout the entire term of the contract can qualify for NPNS. | ||||||||||||||||||||||||||||||||||
Physical transactions that permit cash settlement and financial transactions do not qualify for NPNS because physical delivery cannot be asserted; however, these transactions can receive cash flow hedge treatment if they effectively hedge the volatility in the future cash flows for energy-related commodities. | ||||||||||||||||||||||||||||||||||
Certain purchased option contracts or net purchased option collars may receive cash flow hedge treatment. | ||||||||||||||||||||||||||||||||||
Derivative transactions that do not qualify for NPNS or cash flow hedge treatment, or for which NPNS or cash flow hedge treatment is not elected, are recorded at fair value through earnings. | ||||||||||||||||||||||||||||||||||
A similar process is also followed by the treasury department as it relates to interest rate and foreign currency derivatives. Examples of accounting guidelines provided to the treasury department staff include, but are not limited to: | ||||||||||||||||||||||||||||||||||
Transactions to lock in an interest rate prior to a debt issuance can be designated as cash flow hedges, to the extent the forecasted debt issuances remain probable of occurring. | ||||||||||||||||||||||||||||||||||
Cross-currency transactions to hedge interest and principal repayments can be designated as cash flow hedges. | ||||||||||||||||||||||||||||||||||
Transactions entered into to hedge fluctuations in the fair value of existing debt can be designated as fair value hedges. | ||||||||||||||||||||||||||||||||||
Transactions entered into to hedge the value of a net investment of foreign operations can be designated as net investment hedges. | ||||||||||||||||||||||||||||||||||
Derivative transactions that do not qualify for cash flow or net investment hedge treatment are marked to fair value through earnings. These transactions generally include foreign currency swaps and options to hedge GBP earnings translation risk associated with PPL's U.K. subsidiaries that report their financial statements in GBP. As such, these transactions reduce earnings volatility due solely to changes in foreign currency exchange rates. | ||||||||||||||||||||||||||||||||||
Derivative transactions may be marked to fair value through regulatory assets/liabilities at PPL Electric, LG&E and KU if approved by the appropriate regulatory body. These transactions generally include the effect of interest rate swaps that are included in customer rates. | ||||||||||||||||||||||||||||||||||
Cash inflows and outflows related to derivative instruments are included as a component of operating, investing or financing activities on the Statements of Cash Flows, depending on the classification of the hedged items. | ||||||||||||||||||||||||||||||||||
PPL and its subsidiaries have elected not to offset net derivative positions against the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) under master netting arrangements. | ||||||||||||||||||||||||||||||||||
PPL Energy Supply reflects its net realized and unrealized gains and losses associated with all derivatives that are held for trading purposes in "Unregulated wholesale energy" on the Statements of Income. | ||||||||||||||||||||||||||||||||||
See Notes 16 and 17 for additional information on derivatives. | ||||||||||||||||||||||||||||||||||
(PPL and PPL Electric) | ||||||||||||||||||||||||||||||||||
To meet its obligation as a PLR to its customers, PPL Electric has entered into certain contracts that meet the definition of a derivative. However, NPNS has been elected for these contracts. See Notes 16 and 17 for additional information. | ||||||||||||||||||||||||||||||||||
Revenue | ||||||||||||||||||||||||||||||||||
Utility Revenue (PPL) | ||||||||||||||||||||||||||||||||||
For the years ended December 31, the Statements of Income "Utility" line item contains rate-regulated revenue from the following: | ||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Domestic electric and gas revenue (a) | $ | 5,209 | $ | 4,842 | $ | 4,519 | ||||||||||||||||||||||||||||
U.K. electric revenue (b) | 2,573 | 2,359 | 2,289 | |||||||||||||||||||||||||||||||
Total | $ | 7,782 | $ | 7,201 | $ | 6,808 | ||||||||||||||||||||||||||||
(a) Represents revenue from cost-based rate-regulated generation, transmission and/or distribution in Pennsylvania, Kentucky, Virginia and Tennessee, including regulated wholesale revenue. | ||||||||||||||||||||||||||||||||||
(b) Represents regulated electricity distribution revenue from the operation of WPD's distribution networks. | ||||||||||||||||||||||||||||||||||
Revenue Recognition | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Operating revenues, except for certain energy and energy-related contracts that meet the definition of derivative instruments and "Energy-related businesses," are recorded based on energy deliveries through the end of the calendar month. Unbilled retail revenues result because customers' meters are read and bills are rendered throughout the month, rather than all being read at the end of the month. Unbilled revenues for a month are calculated by multiplying an estimate of unbilled kWh by the estimated average cents per kWh. Unbilled wholesale energy revenues are recorded at month-end to reflect estimated amounts until actual dollars and MWhs are confirmed and invoiced. Any difference between estimated and actual revenues is adjusted the following month. | ||||||||||||||||||||||||||||||||||
Certain PPL subsidiaries participate primarily in the PJM RTO, as well as in other RTOs and ISOs. In PJM, PPL EnergyPlus is a marketer, a load-serving entity and a seller for PPL Energy Supply’s generation subsidiaries. A function of interchange accounting is to match participants' MWh entitlements (generation plus scheduled bilateral purchases) against their MWh obligations (load plus scheduled bilateral sales) during every hour of every day. If the net result during any given hour is an entitlement, the participant is credited with a spot-market sale to the RTO at the respective market price for that hour; if the net result is an obligation, the participant is charged with a spot-market purchase at the respective market price for that hour. PPL Energy Supply records the hourly net sales in its Statements of Income as "Unregulated wholesale energy" if in a net sales position and "Energy purchases" if in a net purchase position. | ||||||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||||||
WPD’s revenue is primarily from charges to suppliers to use its distribution system to deliver electricity to the end-user. During the price control period, WPD’s revenue is decoupled from volume. However, in any fiscal period, WPD’s revenue could be negatively affected if its tariffs and the volume delivered do not fully recover the allowed revenue for a particular period. Conversely, WPD could also over-recover revenue. Over and under-recoveries are added or subtracted to the base demand revenue in future years. Under applicable GAAP, WPD does not record a receivable for under-recoveries, but does record a liability for over-recoveries. WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. | ||||||||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply records non-derivative energy marketing activity in the period when the energy is delivered. Generally, sales contracts held for non-trading purposes are reported gross on the Statements of Income within "Unregulated wholesale energy" and "Unregulated retail energy." However, non-trading physical sales and purchases of electricity at major market delivery points (which is any delivery point with liquid pricing available, such as the pricing hub for PJM West), are netted and reported in the Statements of Income within "Unregulated wholesale energy" or "Energy purchases," depending on the net hourly position. Certain energy and energy-related contracts that meet the definition of derivative instruments are recorded at fair value with subsequent changes in fair value recognized as revenue or expense (see Note 17), unless hedge accounting is applied or NPNS is elected. If derivatives meet cash flow hedging criteria, changes in fair value are recorded in AOCI. The unrealized and realized results of derivative and non-derivative contracts that are designated as proprietary trading activities are reported net on the Statements of Income within "Unregulated wholesale energy." | ||||||||||||||||||||||||||||||||||
"Energy-related businesses" revenue primarily includes revenue from PPL Energy Supply's mechanical contracting and engineering subsidiaries. These subsidiaries record revenue from construction contracts on the percentage-of-completion method of accounting, measured by the actual cost incurred to date as a percentage of the estimated total cost for each contract. Accordingly, costs and estimated earnings in excess of billings on uncompleted contracts are recorded within "Unbilled revenues" on the Balance Sheets, and billings in excess of costs and estimated earnings on uncompleted contracts are recorded within "Other current liabilities" on the Balance Sheets. The amount of costs and estimated earnings in excess of billings was $20 million and $14 million at December 31, 2014 and 2013, and the amount of billings in excess of costs and estimated earnings was $41 million and $75 million at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
During 2014, PPL and PPL Energy Supply recorded a $17 million increase to "Energy-related businesses" revenues and “Income from Continuing Operations before Income Taxes” on the 2014 Statement of Income related to prior periods and the timing of revenue recognition for a mechanical contracting and engineering subsidiary. The $10 million after-tax impact of correcting this error increased “Income from Continuing Operations after Income Taxes” and “Net Income” on the 2014 Statement of Income. The impact of the error is not material to the previously-issued financial statements or to the full year results for 2014. | ||||||||||||||||||||||||||||||||||
Accounts Receivable | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Accounts receivable are reported on the Balance Sheets at the gross outstanding amount adjusted for an allowance for doubtful accounts. Accounts receivable that are acquired are initially recorded at fair value on the date of acquisition. | ||||||||||||||||||||||||||||||||||
(PPL, PPL Energy Supply and PPL Electric) | ||||||||||||||||||||||||||||||||||
In accordance with a PUC-approved purchase of accounts receivable program, PPL Electric purchases certain accounts receivable from alternative electricity suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative electricity suppliers have no continuing involvement or interest in the purchased accounts receivable. The purchased accounts receivable are initially recorded at fair value using a market approach based on the purchase price paid and are classified as Level 2 in the fair value hierarchy. During 2014, 2013 and 2012, PPL Electric purchased $1.1 billion, $985 million and $848 million of accounts receivable from unaffiliated third parties. During 2014, 2013 and 2012, PPL Electric purchased $336 million, $294 million and $313 million of accounts receivable from PPL EnergyPlus. | ||||||||||||||||||||||||||||||||||
Allowance for Doubtful Accounts (All Registrants) | ||||||||||||||||||||||||||||||||||
Accounts receivable collectability is evaluated using a combination of factors, including past due status based on contractual terms, trends in write-offs, the age of the receivable, counterparty creditworthiness and economic conditions. Specific events, such as bankruptcies, are also considered. Adjustments to the allowance for doubtful accounts are made when necessary based on the results of analysis, the aging of receivables and historical and industry trends. | ||||||||||||||||||||||||||||||||||
Accounts receivable are written off in the period in which the receivable is deemed uncollectible. Recoveries of accounts receivable previously written off are recorded when it is known they will be received. | ||||||||||||||||||||||||||||||||||
The changes in the allowance for doubtful accounts were: | ||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||
Balance at | Charged to | Balance at | ||||||||||||||||||||||||||||||||
Beginning of Period | Charged to Income | Other Accounts | Deductions (a) | End of Period | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
2014 | $ | 64 | $ | 49 | $ | 67 | $ | 46 | ||||||||||||||||||||||||||
2013 | 64 | 39 | $ | 4 | (c) | 43 | 64 | |||||||||||||||||||||||||||
2012 | 54 | 55 | (b) | 45 | 64 | |||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||
2014 | $ | 21 | $ | 19 | (b) | $ | 2 | |||||||||||||||||||||||||||
2013 | 23 | $ | 1 | 3 | 21 | |||||||||||||||||||||||||||||
2012 | 15 | 12 | (b) | 4 | 23 | |||||||||||||||||||||||||||||
PPL Electric | ||||||||||||||||||||||||||||||||||
2014 | $ | 18 | $ | 34 | $ | 35 | $ | 17 | ||||||||||||||||||||||||||
2013 | 18 | 32 | 32 | 18 | ||||||||||||||||||||||||||||||
2012 | 17 | 32 | 31 | 18 | ||||||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||||||
2014 | $ | 22 | $ | 14 | $ | 11 | $ | 25 | ||||||||||||||||||||||||||
2013 | 19 | 4 | $ | 4 | (c) | 5 | 22 | |||||||||||||||||||||||||||
2012 | 17 | 9 | 7 | 19 | ||||||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||||||
2014 | $ | 2 | $ | 5 | $ | -1 | (c) | $ | 4 | $ | 2 | |||||||||||||||||||||||
2013 | 1 | 2 | 1 | (c) | 2 | 2 | ||||||||||||||||||||||||||||
2012 | 2 | 2 | 3 | 1 | ||||||||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||||||
2014 | $ | 4 | $ | 8 | $ | -3 | (c) | $ | 7 | $ | 2 | |||||||||||||||||||||||
2013 | 2 | 3 | 3 | (c) | 4 | 4 | ||||||||||||||||||||||||||||
2012 | 2 | 4 | 4 | 2 | ||||||||||||||||||||||||||||||
(a) Primarily related to uncollectible accounts written off. | ||||||||||||||||||||||||||||||||||
(b) In 2011, a wholesale customer, SMGT, filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy code. In 2012, PPL EnergyPlus recorded an additional allowance for unpaid amounts under the long-term power contract and the U.S. Bankruptcy Court for the District of Montana approved a request to terminate the contract. In 2014, PPL EnergyPlus received an insignificant amount of cash, settling the outstanding administrative claim and therefore, the related reserve balance was offset against the accounts receivable balance. | ||||||||||||||||||||||||||||||||||
(c) Primarily related to capital projects, thus the provision was recorded as an adjustment to construction work in progress. | ||||||||||||||||||||||||||||||||||
Cash | ||||||||||||||||||||||||||||||||||
Cash Equivalents (All Registrants) | ||||||||||||||||||||||||||||||||||
All highly liquid investments with original maturities of three months or less are considered to be cash equivalents. | ||||||||||||||||||||||||||||||||||
Restricted Cash and Cash Equivalents (PPL, PPL Energy Supply and PPL Electric) | ||||||||||||||||||||||||||||||||||
Bank deposits and other cash equivalents that are restricted by agreement or that have been clearly designated for a specific purpose are classified as restricted cash and cash equivalents. The change in restricted cash and cash equivalents is reported as an investing activity on the Statements of Cash Flows. On the Balance Sheets, the current portion of restricted cash and cash equivalents is shown as "Restricted cash and cash equivalents" for PPL and PPL Energy Supply and included in "Other current assets" for PPL Electric, while the noncurrent portion is included in "Other noncurrent assets" for all three Registrants. | ||||||||||||||||||||||||||||||||||
At December 31, the balances of restricted cash and cash equivalents included the following. | ||||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | PPL Electric | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Margin deposits posted to | ||||||||||||||||||||||||||||||||||
counterparties | $ | 175 | $ | 67 | $ | 175 | $ | 67 | ||||||||||||||||||||||||||
Low carbon network fund (a) | 19 | 27 | ||||||||||||||||||||||||||||||||
Funds deposited with a trustee | 12 | $ | 12 | |||||||||||||||||||||||||||||||
Ironwood debt service reserves | 17 | 17 | 17 | 17 | ||||||||||||||||||||||||||||||
Other | 13 | 11 | 1 | 1 | $ | 3 | ||||||||||||||||||||||||||||
$ | 224 | $ | 134 | $ | 193 | $ | 85 | $ | 3 | $ | 12 | |||||||||||||||||||||||
(a) Funds received by WPD, which are to be spent on approved initiatives to support a low carbon environment. | ||||||||||||||||||||||||||||||||||
Fair Value Measurements (All Registrants) | ||||||||||||||||||||||||||||||||||
The Registrants value certain financial and nonfinancial assets and liabilities at fair value. Generally, the most significant fair value measurements relate to price risk management assets and liabilities, investments in securities including investments in the NDT funds and defined benefit plans, and cash and cash equivalents. PPL and its subsidiaries use, as appropriate, a market approach (generally, data from market transactions), an income approach (generally, present value techniques and option-pricing models) and/or a cost approach (generally, replacement cost) to measure the fair value of an asset or liability. These valuation approaches incorporate inputs such as observable, independent market data and/or unobservable data that management believes are predicated on the assumptions market participants would use to price an asset or liability. These inputs may incorporate, as applicable, certain risks such as nonperformance risk, which includes credit risk. | ||||||||||||||||||||||||||||||||||
The Registrants classify fair value measurements within one of three levels in the fair value hierarchy. The level assigned to a fair value measurement is based on the lowest level input that is significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are as follows: | ||||||||||||||||||||||||||||||||||
Level 1 - quoted prices (unadjusted) in active markets for identical assets or liabilities that are accessible at the measurement date. Active markets are those in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. | ||||||||||||||||||||||||||||||||||
Level 2 - inputs other than quoted prices included within Level 1 that are either directly or indirectly observable for substantially the full term of the asset or liability. | ||||||||||||||||||||||||||||||||||
Level 3 - unobservable inputs that management believes are predicated on the assumptions market participants would use to measure the asset or liability at fair value. | ||||||||||||||||||||||||||||||||||
Assessing the significance of a particular input requires judgment that considers factors specific to the asset or liability. As such, the Registrants' assessment of the significance of a particular input may affect how the assets and liabilities are classified within the fair value hierarchy. | ||||||||||||||||||||||||||||||||||
Investments | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Generally, the original maturity date of an investment and management's intent and ability to sell an investment prior to its original maturity determine the classification of investments as either short-term or long-term. Investments that would otherwise be classified as short-term, but are restricted as to withdrawal or use for other than current operations or are clearly designated for expenditure in the acquisition or construction of noncurrent assets or for the liquidation of long-term debts, are classified as long-term. | ||||||||||||||||||||||||||||||||||
Short-term Investments | ||||||||||||||||||||||||||||||||||
Short-term investments generally include certain deposits as well as securities that are considered highly liquid or provide for periodic reset of interest rates. Investments with original maturities greater than three months and less than a year, as well as investments with original maturities of greater than a year that management has the ability and intent to sell within a year, are included in “Short-term investments” (“Other current assets” if not material) on the Balance Sheets. | ||||||||||||||||||||||||||||||||||
Investments in Debt and Equity Securities | ||||||||||||||||||||||||||||||||||
Investments in debt securities are classified as held-to-maturity and measured at amortized cost when there is an intent and ability to hold the securities to maturity. Debt and equity securities held principally to capitalize on fluctuations in their value with the intention of selling them in the near-term are classified as trading. All other investments in debt and equity securities are classified as available-for-sale. Both trading and available-for-sale securities are carried at fair value. The specific identification method is used to calculate realized gains and losses on debt and equity securities. Any unrealized gains and losses on trading securities are included in earnings. | ||||||||||||||||||||||||||||||||||
The criteria for determining whether a decline in fair value of a debt security is other than temporary and whether the other-than-temporary impairment is recognized in earnings or reported in OCI require that when a debt security is in an unrealized loss position and: | ||||||||||||||||||||||||||||||||||
there is an intent or a requirement to sell the security before recovery, the other-than-temporary impairment is recognized currently in earnings; or | ||||||||||||||||||||||||||||||||||
there is no intent or requirement to sell the security before recovery, the portion of the other-than-temporary impairment that is considered a credit loss, if any, is recognized currently in earnings and the remainder of the other-than-temporary impairment is reported in OCI, net of tax. | ||||||||||||||||||||||||||||||||||
Unrealized gains and losses on available-for-sale equity securities are reported, net of tax, in OCI. When an equity security's decline in fair value below cost is determined to be an other-than-temporary impairment, the unrealized loss is recognized currently in earnings. See Notes 16 and 20 for additional information on investments in debt and equity securities. | ||||||||||||||||||||||||||||||||||
Equity Method Investment (PPL, LKE and KU) | ||||||||||||||||||||||||||||||||||
Investments in entities over which PPL, LKE and KU have the ability to exercise significant influence, but not control, are accounted for using the equity method of accounting and are reported in “Other Investments” on PPL’s Balance Sheet and in “Other noncurrent assets” on LKE’s and KU's Balance Sheets. In accordance with the accounting guidance for equity method investments, the recoverability of the investment is periodically assessed. If an identified event or change in circumstances requires an impairment evaluation, the fair value of the investment is assessed. The difference between the carrying amount of the investment and its estimated fair value is recognized as an impairment loss when the loss in value is deemed other-than-temporary and such loss is included in “Other-Than-Temporary Impairments” on the Statements of Income. | ||||||||||||||||||||||||||||||||||
KU owns 20% of the common stock of EEI, which is accounted for as an equity method investment. During 2012, KU recorded losses of $8 million from its share of EEI's operating results. In December 2012, KU concluded that an other-than-temporary decline in the value of its investment in EEI had occurred. KU recorded an impairment charge of $25 million ($15 million, after-tax) which reduced the investment balance to zero, the estimated fair value at December 31, 2014, 2013 and 2012. See Note 16 for additional information. | ||||||||||||||||||||||||||||||||||
Cost Method Investment (LKE, LG&E and KU) | ||||||||||||||||||||||||||||||||||
LG&E and KU each have an investment in OVEC, which is accounted for using the cost method. The investment is recorded in "Other noncurrent assets" on the LKE, LG&E and KU Balance Sheets and in “Other investments” on the PPL Balance Sheets. LG&E and KU and ten other electric utilities are equity owners of OVEC. OVEC's power is currently supplied to LG&E and KU and 11 other companies affiliated with the various owners. LG&E and KU own 5.63% and 2.5% of OVEC's common stock. Pursuant to a power purchase agreement, LG&E and KU are contractually entitled to their ownership percentage of OVEC's output, which is approximately 120 MW for LG&E and approximately 53 MW for KU. | ||||||||||||||||||||||||||||||||||
LG&E’s and KU's combined investment in OVEC is not significant. The direct exposure to loss as a result of LG&E's and KU's involvement with OVEC is generally limited to the value of their investments; however, LG&E and KU are conditionally responsible for a pro-rata share of certain OVEC obligations. As part of PPL's acquisition of LKE, the value of the power purchase contract was recorded as an intangible asset with an offsetting regulatory liability, both of which are being amortized using the units-of-production method until March 2026, the expiration date of the agreement. See Notes 13 and 18 for additional discussion on the power purchase agreement. | ||||||||||||||||||||||||||||||||||
Long-Lived and Intangible Assets | ||||||||||||||||||||||||||||||||||
Property, Plant and Equipment | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
PP&E is recorded at original cost, unless impaired. PP&E acquired in business combinations is recorded at fair value at the time of acquisition, which establishes its original cost. If impaired, the asset is written down to fair value at that time, which becomes the new cost basis of the asset. Original cost for constructed assets includes material, labor, contractor costs, certain overheads and financing costs, where applicable. The cost of repairs and minor replacements are charged to expense as incurred. The Registrants record costs associated with planned major maintenance projects in the period in which the costs are incurred. No costs associated with planned major maintenance projects are accrued in advance of the period in which the work is performed. LG&E and KU accrue costs of removal net of estimated salvage value through depreciation, which is included in the calculation of customer rates over the assets' depreciable lives in accordance with regulatory practices. Cost of removal amounts accrued through depreciation rates are accumulated as a regulatory liability until the removal costs are incurred. See "Asset Retirement Obligations" below and Note 6 for additional information. PPL Electric records net cost of removal when incurred as a regulatory asset. The regulatory asset is subsequently amortized through depreciation over a five-year period, which is recoverable in customer rates in accordance with regulatory practices. | ||||||||||||||||||||||||||||||||||
(All Registrants except PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
AFUDC is capitalized at PPL Electric as part of the construction costs for cost-based rate-regulated projects for which a return on such costs is recovered after the project is placed in service. The debt component of AFUDC is credited to "Interest Expense" and the equity component is credited to "Other Income (Expense) - net" on the Statements of Income. LG&E and KU generally do not record AFUDC, except for certain instances in KU’s FERC approved rates charged to its municipal customers, as a return is provided on construction work in progress. | ||||||||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
Nuclear fuel-related costs, including fuel, conversion, enrichment, fabrication and assemblies, are capitalized as PP&E. Such costs are amortized as the fuel is spent using the units-of-production method and included in "Fuel" on the Statements of Income. | ||||||||||||||||||||||||||||||||||
PPL and PPL Energy Supply capitalize interest costs as part of construction costs. Capitalized interest, excluding AFUDC for PPL, was as follows. | ||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
PPL | Energy Supply | |||||||||||||||||||||||||||||||||
2014 | $ | 34 | $ | 23 | ||||||||||||||||||||||||||||||
2013 | 46 | 37 | ||||||||||||||||||||||||||||||||
2012 | 53 | 47 | ||||||||||||||||||||||||||||||||
Depreciation | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Depreciation is recorded over the estimated useful lives of property using various methods including the straight-line, composite and group methods. When a component of PP&E that was depreciated under the composite or group method is retired, the original cost is charged to accumulated depreciation. When all or a significant portion of an operating unit that was depreciated under the composite or group method is retired or sold, the property and the related accumulated depreciation account is reduced and any gain or loss is included in income, unless otherwise required by regulators. | ||||||||||||||||||||||||||||||||||
Following are the weighted-average rates of depreciation at December 31. | ||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
Energy | PPL | |||||||||||||||||||||||||||||||||
PPL | Supply | Electric | LKE | LG&E | KU | |||||||||||||||||||||||||||||
Regulated utility plant | 2.92 | 2.46 | 3.8 | 4.05 | 3.63 | |||||||||||||||||||||||||||||
Non-regulated PP&E - Generation | 3.28 | 3.28 | ||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
Energy | PPL | |||||||||||||||||||||||||||||||||
PPL | Supply | Electric | LKE | LG&E | KU | |||||||||||||||||||||||||||||
Regulated utility plant | 2.94 | 2.61 | 4.07 | 4.52 | 3.77 | |||||||||||||||||||||||||||||
Non-regulated PP&E - Generation | 3.1 | 3.1 | ||||||||||||||||||||||||||||||||
(PPL, LKE, LG&E and KU) | ||||||||||||||||||||||||||||||||||
The KPSC approved new lower depreciation rates for LG&E and KU as part of the rate-case settlement agreement reached in November 2012. Effective January 1, 2013, the new rates resulted in annual reductions in depreciation expense of approximately $22 million ($8 million for LG&E and $14 million for KU). | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets | ||||||||||||||||||||||||||||||||||
Goodwill represents the excess of the purchase price paid over the fair value of the identifiable net assets acquired in a business combination. | ||||||||||||||||||||||||||||||||||
Other acquired intangible assets are initially measured based on their fair value. Intangibles that have finite useful lives are amortized over their useful lives based upon the pattern in which the economic benefits of the intangible assets are consumed or otherwise used. Costs incurred to obtain an initial license and renew or extend terms of licenses are capitalized as intangible assets. | ||||||||||||||||||||||||||||||||||
When determining the useful life of an intangible asset, including intangible assets that are renewed or extended, PPL and its subsidiaries consider the expected use of the asset; the expected useful life of other assets to which the useful life of the intangible asset may relate; legal, regulatory, or contractual provisions that may limit the useful life; the company's historical experience as evidence of its ability to support renewal or extension; the effects of obsolescence, demand, competition, and other economic factors; and the level of maintenance expenditures required to obtain the expected future cash flows from the asset. | ||||||||||||||||||||||||||||||||||
PPL and PPL Energy Supply account for RECs as intangible assets. PPL and PPL Energy Supply buy and/or sell RECs and also create RECs through owned renewable energy generation facilities. In any period, PPL and PPL Energy Supply can be a net purchaser or seller of RECs depending on their contractual obligations to purchase or deliver RECs and the production of RECs from their renewable energy generation facilities. The carrying value of RECs created from their renewable energy generation facilities is initially recorded at zero value and purchased RECs are initially recorded based on their purchase price. When RECs are consumed to satisfy an obligation to deliver RECs to meet a state's Renewable Portfolio Standard Obligation or when RECs are sold to third parties, they are removed from the Balance Sheet at their weighted-average carrying value. Since the economic benefits of RECs are not diminished until they are consumed, RECs are not amortized; rather, they are expensed when consumed or a gain or loss is recognized when sold. Such expense is included in "Energy purchases" on the Statements of Income. Gains and losses on the sale of RECs are included in "Other operation and maintenance" on the Statements of Income. | ||||||||||||||||||||||||||||||||||
PPL, PPL Energy Supply, LKE, LG&E and KU account for emission allowances as intangible assets. PPL, PPL Energy Supply, LKE, LG&E and KU are allocated emission allowances by states based on their generation facilities' historical emissions experience, and have purchased emission allowances generally when it is expected that additional allowances will be needed. The carrying value of allocated emission allowances is initially recorded at zero value and purchased allowances are initially recorded based on their purchase price. When consumed or sold, emission allowances are removed from the Balance Sheet at their weighted-average carrying value. Since the economic benefits of emission allowances are not diminished until they are consumed, emission allowances are not amortized; rather, they are expensed when consumed or a gain or loss is recognized when sold. Such expense is included in "Fuel" on the Statements of Income. Gains and losses on the sale of emission allowances are included in "Other operation and maintenance" on the Statements of Income. | ||||||||||||||||||||||||||||||||||
Asset Impairment (Excluding Investments) | ||||||||||||||||||||||||||||||||||
The Registrants review long-lived assets that are subject to depreciation or amortization, including finite-lived intangibles, for impairment when events or circumstances indicate carrying amounts may not be recoverable. | ||||||||||||||||||||||||||||||||||
A long-lived asset classified as held and used is impaired when the carrying amount of the asset exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. If impaired, the asset's carrying value is written down to its fair value. See Note 16 for a discussion of asset impairments, including the Corette coal-fired plant and the Kerr Dam Project, both in Montana. | ||||||||||||||||||||||||||||||||||
A long-lived asset classified as held for sale is impaired when the carrying amount of the asset (disposal group) exceeds its fair value less cost to sell. If impaired, the asset's (disposal group's) carrying value is written down to its fair value less cost to sell. | ||||||||||||||||||||||||||||||||||
The depressed level of energy and capacity prices in PJM, as well as management's forward view of these prices using its fundamental pricing models, has put pressure on the recoverability assessment of PPL Energy Supply's investment in its Pennsylvania coal-fired generation assets. In the fourth quarter of 2013, after updating its fundamental pricing models in conjunction with the annual business planning process, management tested the Brunner Island and Montour plants for impairment and concluded neither plant was impaired as of December 31, 2013. The recoverability assessment is very sensitive to forward energy and capacity price assumptions as well as forecasted operation and maintenance and capital spending. Therefore, a further decline in forecasted long-term energy or capacity prices or changes in environmental laws requiring additional capital or operations and maintenance expenditures, could negatively impact PPL Energy Supply's operations of these facilities and potentially result in future impairment charges for some or all of the carrying value of these plants. There were no events or changes in circumstances that indicated a recoverability assessment was required to be performed in 2014. The carrying value of these assets was $2.6 billion as of December 31, 2014 ($1.4 billion for Brunner Island and $1.2 billion for Montour). | ||||||||||||||||||||||||||||||||||
PPL, PPL Energy Supply, LKE, LG&E and KU review goodwill for impairment at the reporting unit level annually or more frequently when events or circumstances indicate that the carrying amount of a reporting unit may be greater than the unit's fair value. Additionally, goodwill must be tested for impairment in circumstances when a portion of goodwill has been allocated to a business to be disposed. PPL's, PPL Energy Supply's, LKE's, LG&E's and KU's reporting units are at the operating segment level. | ||||||||||||||||||||||||||||||||||
PPL, PPL Energy Supply, LKE, LG&E and KU may elect either to initially make a qualitative evaluation about the likelihood of an impairment of goodwill or to bypass the qualitative evaluation and test goodwill for impairment using a two-step quantitative test. If the qualitative evaluation (referred to as "step zero") is elected and the assessment results in a determination that it is not more likely than not that the fair value of a reporting unit is less than the carrying amount, the two-step quantitative impairment test is not necessary. However, the quantitative impairment test is required if management concludes it is more likely than not that the fair value of a reporting unit is less than the carrying amount based on the step zero assessment. | ||||||||||||||||||||||||||||||||||
If the carrying amount of the reporting unit, including goodwill, exceeds its fair value, the implied fair value of goodwill must be calculated in the same manner as goodwill in a business combination. The fair value of a reporting unit is allocated to all assets and liabilities of that unit as if the reporting unit had been acquired in a business combination. The excess of the fair value of the reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. If the implied fair value of goodwill is less than the carrying amount, goodwill is written down to its implied fair value. | ||||||||||||||||||||||||||||||||||
PPL (for its U.K. Regulated and Kentucky Regulated segments), and individually, LKE, LG&E and KU elected to perform the qualitative step zero evaluation of goodwill in the fourth quarter of 2014 and determined that it was not more likely than not that the fair values of their reporting units were less than their carrying values. | ||||||||||||||||||||||||||||||||||
PPL, for its Supply segment, and PPL Energy Supply elected to bypass step zero and quantitatively tested the goodwill of these reporting units for impairment in the fourth quarter of 2014 and no impairment was recognized. | ||||||||||||||||||||||||||||||||||
Asset Retirement Obligations | ||||||||||||||||||||||||||||||||||
PPL and its subsidiaries record liabilities to reflect various legal obligations associated with the retirement of long-lived assets. Initially, this obligation is measured at fair value and offset with an increase in the value of the capitalized asset, which is depreciated over the asset's useful life. Until the obligation is settled, the liability is increased through the recognition of accretion expense classified within "Other operation and maintenance" on the Statements of Income to reflect changes in the obligation due to the passage of time. The accretion and depreciation expenses recorded by LG&E and KU are recorded as a regulatory asset, such that there is no earnings impact. | ||||||||||||||||||||||||||||||||||
Estimated ARO costs and settlement dates, which affect the carrying value of the ARO and the related capitalized asset, are reviewed periodically to ensure that any material changes are incorporated into the latest estimate of the ARO. Any change to the capitalized asset, positive or negative, is generally amortized over the remaining life of the associated long-lived asset. See Note 19 for additional information on AROs. | ||||||||||||||||||||||||||||||||||
Compensation and Benefits | ||||||||||||||||||||||||||||||||||
Defined Benefits (All Registrants) | ||||||||||||||||||||||||||||||||||
Certain PPL subsidiaries sponsor various defined benefit pension and other postretirement plans. An asset or liability is recorded to recognize the funded status of all defined benefit plans with an offsetting entry to AOCI or, for LG&E, KU and PPL Electric, to regulatory assets or liabilities. Consequently, the funded status of all defined benefit plans is fully recognized on the Balance Sheets. | ||||||||||||||||||||||||||||||||||
The expected return on plan assets is determined based on a market-related value of plan assets, which is calculated by rolling forward the prior year market-related value with contributions, disbursements and long-term expected return on investments. One-fifth of the difference between the actual value and the expected value is added (or subtracted if negative) to the expected value to determine the new market-related value. | ||||||||||||||||||||||||||||||||||
PPL uses an accelerated amortization method for the recognition of gains and losses for its defined benefit pension plans. Under the accelerated method, actuarial gains and losses in excess of 30% of the plan's projected benefit obligation are amortized on a straight-line basis over one-half of the expected average remaining service of active plan participants. Actuarial gains and losses in excess of 10% of the greater of the plan's projected benefit obligation or the market-related value of plan assets and less than 30% of the plan's projected benefit obligation are amortized on a straight-line basis over the expected average remaining service period of active plan participants. | ||||||||||||||||||||||||||||||||||
See Note 11 for a discussion of defined benefits. | ||||||||||||||||||||||||||||||||||
Stock-Based Compensation | ||||||||||||||||||||||||||||||||||
(All Registrants except LG&E and KU) | ||||||||||||||||||||||||||||||||||
PPL has several stock-based compensation plans for purposes of granting stock options, restricted stock, restricted stock units and performance units to certain employees as well as stock units and restricted stock units to directors. PPL grants most stock-based awards in the first quarter of each year. PPL and its subsidiaries recognize compensation expense for stock-based awards based on the fair value method. Stock options that vest in installments are valued as a single award. PPL grants stock options with an exercise price that is not less than the fair value of PPL's common stock on the date of grant. See Note 10 for a discussion of stock-based compensation. All awards are recorded as equity or a liability on the Balance Sheets. Stock-based compensation is primarily included in "Other operation and maintenance" on the Statements of Income. Stock-based compensation expense for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense. | ||||||||||||||||||||||||||||||||||
Taxes | ||||||||||||||||||||||||||||||||||
Income Taxes | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
PPL and its domestic subsidiaries file a consolidated U.S. federal income tax return. | ||||||||||||||||||||||||||||||||||
Significant management judgment is required in developing the Registrants' provision for income taxes, primarily due to the uncertainty related to tax positions taken or expected to be taken in tax returns, valuation allowances on deferred tax assets and whether the undistributed earnings of WPD are considered indefinitely reinvested. | ||||||||||||||||||||||||||||||||||
Significant management judgment is also required to determine the amount of benefit to be recognized in relation to an uncertain tax position. The Registrants use a two-step process to evaluate tax positions. The first step requires an entity to determine whether, based on the technical merits supporting a particular tax position, it is more likely than not (greater than a 50% chance) that the tax position will be sustained. This determination assumes that the relevant taxing authority will examine the tax position and is aware of all the relevant facts surrounding the tax position. The second step requires an entity to recognize in the financial statements the benefit of a tax position that meets the more-likely-than-not recognition criterion. The benefit recognized is measured at the largest amount of benefit that has a likelihood of realization, upon settlement, that exceeds 50%. The amounts ultimately paid upon resolution of issues raised by taxing authorities may differ materially from the amounts accrued and may materially impact the financial statements of the Registrants in future periods. | ||||||||||||||||||||||||||||||||||
Deferred income taxes reflect the net future tax effects of temporary differences between the carrying amounts of assets and liabilities for accounting purposes and their basis for income tax purposes, as well as the tax effects of net operating losses and tax credit carryforwards. | ||||||||||||||||||||||||||||||||||
The Registrants record valuation allowances to reduce deferred tax assets to the amounts that are more likely than not to be realized. The Registrants consider the reversal of temporary differences, future taxable income and ongoing prudent and feasible tax planning strategies in initially recording and subsequently reevaluating the need for valuation allowances. If the Registrants determine that they are able to realize deferred tax assets in the future in excess of recorded net deferred tax assets, adjustments to the valuation allowances increase income by reducing tax expense in the period that such determination is made. Likewise, if the Registrants determine that they are not able to realize all or part of net deferred tax assets in the future, adjustments to the valuation allowances would decrease income by increasing tax expense in the period that such determination is made. | ||||||||||||||||||||||||||||||||||
The Registrants defer investment tax credits when the credits are utilized and amortize the deferred amounts over the average lives of the related assets. | ||||||||||||||||||||||||||||||||||
The Registrants recognize interest and penalties in "Income Taxes" on their Statements of Income. | ||||||||||||||||||||||||||||||||||
The Registrants record the receipt of grants related to assets as a reduction to the book basis of the property and the related deferred income taxes as an immediate reduction to income tax expense. | ||||||||||||||||||||||||||||||||||
See Note 5 for additional discussion regarding income taxes including management’s conclusion that the undistributed earnings of WPD are considered indefinitely reinvested. Based on this conclusion, PPL Global does not record U.S. taxes on WPD’s undistributed earnings. | ||||||||||||||||||||||||||||||||||
(All Registrants except PPL Energy Supply) | ||||||||||||||||||||||||||||||||||
The provision for PPL, PPL Electric, LKE, LG&E and KU's deferred income taxes for regulated assets is based upon the ratemaking principles reflected in rates established by the regulators. The difference in the provision for deferred income taxes for regulated assets and the amount that otherwise would be recorded under GAAP is deferred and included on the Balance Sheet in noncurrent "Regulatory assets" or "Regulatory liabilities." | ||||||||||||||||||||||||||||||||||
(All Registrants except PPL) | ||||||||||||||||||||||||||||||||||
The income tax provision for PPL Energy Supply, PPL Electric, LKE, LG&E and KU is calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if PPL Energy Supply, PPL Electric, LKE, LG&E, KU and any domestic subsidiaries each filed a separate return. Tax benefits are not shared between companies. The entity that generates a tax benefit is the entity that is entitled to the tax benefit. The effect of PPL filing a consolidated tax return is taken into account in the settlement of current taxes and the recognition of deferred taxes. At December 31, the following intercompany tax receivables (payables) were recorded. | ||||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||
PPL Energy Supply | $ | 105 | $ | 44 | ||||||||||||||||||||||||||||||
PPL Electric | -25 | -19 | ||||||||||||||||||||||||||||||||
LKE | 136 | -28 | ||||||||||||||||||||||||||||||||
LG&E | 74 | -8 | ||||||||||||||||||||||||||||||||
KU | 60 | -27 | ||||||||||||||||||||||||||||||||
Taxes, Other Than Income (All Registrants) | ||||||||||||||||||||||||||||||||||
The Registrants present sales taxes in "Other current liabilities" and PPL presents value-added taxes in "Taxes" on the Balance Sheets. These taxes are not reflected on the Statements of Income. See Note 5 for details on taxes included in "Taxes, other than income" on the Statements of Income. | ||||||||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||||||||
Leases | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
The Registrants evaluate whether arrangements entered into contain leases for accounting purposes. See Note 9 for a discussion of arrangements under which PPL Energy Supply, LG&E and KU are lessees for accounting purposes. | ||||||||||||||||||||||||||||||||||
Fuel, Materials and Supplies | ||||||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||||||
Fuel, natural gas stored underground and materials and supplies are valued at the lower of cost or market using the average cost method. Fuel costs for electric generation are charged to expense as used. For LG&E, natural gas supply costs are charged to expense as delivered to the distribution system. See Note 6 for further discussion of the fuel adjustment clause and gas supply clause. | ||||||||||||||||||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||||||||||||||||||
"Fuel, materials and supplies" on the Balance Sheets consisted of the following at December 31. | ||||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | LKE | LG&E | KU | ||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Fuel | $ | 408 | $ | 305 | $ | 243 | $ | 163 | $ | 166 | $ | 141 | $ | 66 | $ | 64 | $ | 100 | $ | 77 | ||||||||||||||
Natural gas stored underground (a) | 62 | 49 | 7 | 2 | 54 | 48 | 54 | 48 | ||||||||||||||||||||||||||
Materials and supplies | 366 | 348 | 205 | 193 | 91 | 89 | 42 | 42 | 49 | 47 | ||||||||||||||||||||||||
Total | $ | 836 | $ | 702 | $ | 455 | $ | 358 | $ | 311 | $ | 278 | $ | 162 | $ | 154 | $ | 149 | $ | 124 | ||||||||||||||
(a) The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. | ||||||||||||||||||||||||||||||||||
Guarantees (All Registrants) | ||||||||||||||||||||||||||||||||||
Generally, the initial measurement of a guarantee liability is the fair value of the guarantee at its inception. However, there are certain guarantees excluded from the scope of accounting guidance and other guarantees that are not subject to the initial recognition and measurement provisions of accounting guidance that only require disclosure. See Note 13 for further discussion of recorded and unrecorded guarantees. | ||||||||||||||||||||||||||||||||||
Treasury Stock (PPL and PPL Electric) | ||||||||||||||||||||||||||||||||||
PPL and PPL Electric restore all shares of common stock acquired to authorized but unissued shares of common stock upon acquisition. | ||||||||||||||||||||||||||||||||||
Foreign Currency Translation and Transactions (PPL) | ||||||||||||||||||||||||||||||||||
WPD's functional currency is the GBP, which is the local currency in the U.K. As such, assets and liabilities are translated to U.S. dollars at the exchange rates on the date of consolidation and related revenues and expenses are translated at average exchange rates prevailing during the period included in PPL's results of operations. Adjustments resulting from foreign currency translation are recorded in AOCI. | ||||||||||||||||||||||||||||||||||
Gains or losses relating to foreign currency transactions are recognized in "Other Income (Expense) - net" on the Statements of Income. See Note 15 for additional information. | ||||||||||||||||||||||||||||||||||
New Accounting Guidance Adopted (All Registrants) | ||||||||||||||||||||||||||||||||||
Accounting for Obligations Resulting from Joint and Several Liability Arrangements | ||||||||||||||||||||||||||||||||||
Effective January 1, 2014, the Registrants retrospectively adopted accounting guidance for the recognition, measurement and disclosure of certain obligations resulting from joint and several liability arrangements when the amount of the obligation is fixed at the reporting date. If the obligation is determined to be in the scope of this guidance, it will be measured as the sum of the amount the reporting entity agreed to pay on the basis of its arrangements among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. This guidance also requires additional disclosures for these obligations. | ||||||||||||||||||||||||||||||||||
The adoption of this guidance did not have a significant impact on the Registrants. | ||||||||||||||||||||||||||||||||||
Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity | ||||||||||||||||||||||||||||||||||
Effective January 1, 2014, PPL prospectively adopted accounting guidance that requires a cumulative translation adjustment to be released into earnings when an entity ceases to have a controlling financial interest in a subsidiary or group of assets within a consolidated foreign entity and the sale or transfer results in the complete or substantially complete liquidation of the foreign entity. For the step acquisition of previously held equity method investments that are foreign entities, this guidance clarifies that the amount of accumulated other comprehensive income that is reclassified and included in the calculation of a gain or loss shall include any foreign currency translation adjustment related to that previously held investment. | ||||||||||||||||||||||||||||||||||
The initial adoption of this guidance did not have a significant impact on PPL; however, the impact in future periods could be material. | ||||||||||||||||||||||||||||||||||
Presentation of Unrecognized Tax Benefits When Net Operating Loss Carryforwards, Similar Tax Losses, or Tax Credit Carryforwards Exist | ||||||||||||||||||||||||||||||||||
Effective January 1, 2014, the Registrants prospectively adopted accounting guidance that requires an unrecognized tax benefit, or a portion of an unrecognized tax benefit, to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. | ||||||||||||||||||||||||||||||||||
The adoption of this guidance did not have a significant impact on the Registrants. |
Segment_and_Related_Informatio
Segment and Related Information | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Segment and Related Information [Abstract] | ||||||||||||||
Segment and Related Information | 2. Segment and Related Information | |||||||||||||
(PPL) | ||||||||||||||
PPL is organized into four segments: U.K. Regulated, Kentucky Regulated, Pennsylvania Regulated and Supply. PPL’s segments are split between its regulated and competitive businesses with its regulated businesses further segmented by geographic location. | ||||||||||||||
The U.K. Regulated segment consists of PPL Global which primarily includes WPD's regulated electricity distribution operations, the results of hedging the translation of WPD’s earnings from British pound sterling into U.S. dollars, and certain costs, such as U.S. income taxes, administrative costs, and allocated financing costs. | ||||||||||||||
The Kentucky Regulated segment consists primarily of LKE’s regulated electricity generation, transmission and distribution operations of LG&E and KU, as well as LG&E’s regulated distribution and sale of natural gas. In addition, certain financing costs are allocated to the Kentucky Regulated segment. | ||||||||||||||
The Pennsylvania Regulated segment includes the regulated electricity transmission and distribution operations of PPL Electric. | ||||||||||||||
The Supply segment consists primarily of PPL Energy Supply's wholesale, retail, marketing and trading activities, as well as its competitive generation operations. In addition, certain financing and other costs are allocated to the Supply segment. | ||||||||||||||
In June 2014, PPL and PPL Energy Supply, which primarily represents PPL's Supply segment, executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. The transaction is expected to close in the second quarter of 2015. Upon completion of this transaction, PPL will no longer have a Supply segment. See Note 8 for additional information. | ||||||||||||||
"Corporate and Other" primarily includes financing costs incurred at the corporate level that have not been allocated or assigned to the segments, as well as certain other unallocated costs, which is presented to reconcile segment information to PPL’s consolidated results. | ||||||||||||||
Financial data for the segments are: | ||||||||||||||
Income Statement Data | 2014 | 2013 | 2012 | |||||||||||
Revenues from external customers by product | ||||||||||||||
U.K. Regulated | ||||||||||||||
Utility service (a) | $ | 2,573 | $ | 2,359 | $ | 2,289 | ||||||||
Energy-related businesses | 48 | 44 | 47 | |||||||||||
Total | 2,621 | 2,403 | 2,336 | |||||||||||
Kentucky Regulated | ||||||||||||||
Utility service (a) | 3,168 | 2,976 | 2,759 | |||||||||||
Pennsylvania Regulated | ||||||||||||||
Utility service (a) | 2,044 | 1,866 | 1,760 | |||||||||||
Supply | ||||||||||||||
Energy (b) | 3,051 | 3,936 | 4,816 | |||||||||||
Energy-related businesses | 601 | 527 | 461 | |||||||||||
Total | 3,652 | 4,463 | 5,277 | |||||||||||
Corporate and Other | 14 | 13 | ||||||||||||
Total | 11,499 | 11,721 | 12,132 | |||||||||||
Intersegment electric revenues | ||||||||||||||
Supply (c) | 84 | 51 | 79 | |||||||||||
Depreciation | ||||||||||||||
U.K. Regulated | 337 | 300 | 279 | |||||||||||
Kentucky Regulated | 354 | 334 | 346 | |||||||||||
Pennsylvania Regulated | 185 | 178 | 160 | |||||||||||
Supply | 297 | 299 | 276 | |||||||||||
Corporate and Other | 47 | 31 | 26 | |||||||||||
Total | 1,220 | 1,142 | 1,087 | |||||||||||
Amortization (d) | ||||||||||||||
U.K. Regulated | 17 | 19 | 15 | |||||||||||
Kentucky Regulated | 25 | 22 | 27 | |||||||||||
Pennsylvania Regulated | 19 | 19 | 18 | |||||||||||
Supply | 163 | 156 | 126 | |||||||||||
Corporate and Other | 4 | 6 | ||||||||||||
Total | 228 | 222 | 186 | |||||||||||
Unrealized (gains) losses on derivatives and other hedging activities (b) | ||||||||||||||
U.K. Regulated | -199 | 44 | 52 | |||||||||||
Kentucky Regulated | 12 | 12 | 11 | |||||||||||
Supply | 12 | 180 | -36 | |||||||||||
Total | -175 | 236 | 27 | |||||||||||
Interest Expense | ||||||||||||||
U.K. Regulated | 461 | 425 | 421 | |||||||||||
Kentucky Regulated | 219 | 212 | 219 | |||||||||||
Pennsylvania Regulated | 122 | 108 | 99 | |||||||||||
Supply | 181 | 216 | 212 | |||||||||||
Corporate and Other | 41 | 33 | ||||||||||||
Total | 1,024 | 994 | 951 | |||||||||||
Income from Continuing Operations Before Income Taxes | ||||||||||||||
U.K. Regulated | 1,311 | 993 | 953 | |||||||||||
Kentucky Regulated | 501 | 484 | 263 | |||||||||||
Pennsylvania Regulated | 423 | 317 | 204 | |||||||||||
Supply (b) (e) | 246 | -477 | 589 | |||||||||||
Corporate and Other (f) | -117 | -57 | ||||||||||||
Total | 2,364 | 1,260 | 2,009 | |||||||||||
Income Taxes (g) | ||||||||||||||
U.K. Regulated | 329 | 71 | 150 | |||||||||||
Kentucky Regulated | 189 | 179 | 80 | |||||||||||
Pennsylvania Regulated | 160 | 108 | 68 | |||||||||||
Supply | 93 | -174 | 220 | |||||||||||
Corporate and Other (f) | 10 | -21 | ||||||||||||
Total | 781 | 163 | 518 | |||||||||||
Deferred income taxes and investment tax credits (h) | ||||||||||||||
U.K. Regulated | 94 | -45 | 26 | |||||||||||
Kentucky Regulated | 449 | 254 | 136 | |||||||||||
Pennsylvania Regulated | 87 | 127 | 114 | |||||||||||
Supply | -110 | -291 | 141 | |||||||||||
Corporate and Other (f) | 36 | 32 | ||||||||||||
Total | 556 | 77 | 417 | |||||||||||
Net Income Attributable to PPL Shareowners | ||||||||||||||
U.K. Regulated | 982 | 922 | 803 | |||||||||||
Kentucky Regulated | 312 | 307 | 177 | |||||||||||
Pennsylvania Regulated | 263 | 209 | 132 | |||||||||||
Supply (b) (e) (i) | 307 | -272 | 414 | |||||||||||
Corporate and Other (f) | -127 | -36 | ||||||||||||
Total | $ | 1,737 | $ | 1,130 | $ | 1,526 | ||||||||
Cash Flow Data | 2014 | 2013 | 2012 | |||||||||||
Expenditures for long-lived assets | ||||||||||||||
U.K. Regulated | $ | 1,438 | $ | 1,280 | $ | 1,016 | ||||||||
Kentucky Regulated | 1,262 | 1,434 | 768 | |||||||||||
Pennsylvania Regulated | 957 | 942 | 633 | |||||||||||
Supply | 431 | 568 | 736 | |||||||||||
Corporate and Other | 66 | 59 | ||||||||||||
Total | $ | 4,154 | $ | 4,283 | $ | 3,153 | ||||||||
As of December 31, | ||||||||||||||
2014 | 2013 | |||||||||||||
Balance Sheet Data | ||||||||||||||
Total Assets | ||||||||||||||
U.K. Regulated | $ | 16,005 | $ | 15,895 | ||||||||||
Kentucky Regulated | 13,062 | 12,016 | ||||||||||||
Pennsylvania Regulated | 7,785 | 6,846 | ||||||||||||
Supply | 11,025 | 11,408 | ||||||||||||
Corporate and Other (j) | 987 | 94 | ||||||||||||
Total | $ | 48,864 | $ | 46,259 | ||||||||||
2014 | 2013 | 2012 | ||||||||||||
Geographic Data | ||||||||||||||
Revenues from external customers | ||||||||||||||
U.K. | $ | 2,621 | $ | 2,403 | $ | 2,336 | ||||||||
U.S. | 8,878 | 9,318 | 9,796 | |||||||||||
Total | $ | 11,499 | $ | 11,721 | $ | 12,132 | ||||||||
As of December 31, | ||||||||||||||
2014 | 2013 | |||||||||||||
Long-Lived Assets | ||||||||||||||
U.K. | $ | 11,942 | $ | 11,384 | ||||||||||
U.S. | 23,572 | 22,638 | ||||||||||||
Total | $ | 35,514 | $ | 34,022 | ||||||||||
(a) See Note 1 for additional information on Utility Revenue. | ||||||||||||||
(b) Includes unrealized gains and losses from economic activity. See Note 17 for additional information. | ||||||||||||||
(c) See "PLR Contracts/Purchase of Accounts Receivable" in Note 14 for a discussion of the basis of accounting between reportable segments. | ||||||||||||||
(d) Represents non-cash expense items that include amortization of nuclear fuel, regulatory assets, debt discounts and premiums, debt issuance costs, emission allowances and RECs. | ||||||||||||||
(e) 2013 includes a charge of $697 million ($413 million after tax) for the termination of the lease of the Colstrip coal-fired electric generating facility. See Note 8 for additional information. | ||||||||||||||
(f) 2014 includes most of the costs related to the anticipated spinoff of PPL Energy Supply, including deferred income tax expense, transaction and transition costs and separation benefits for PPL Services employees. See Note 8 for additional information. | ||||||||||||||
(g) Represents both current and deferred income taxes, including investment tax credits. | ||||||||||||||
(h) Represents a non-cash expense item that is also included in "Income Taxes." | ||||||||||||||
(i) 2014 includes a gain of $237 million ($137 million after tax) on the sale of the Montana hydroelectric generating facilities. See Note 8 for additional information. | ||||||||||||||
(j) Primarily consists of unallocated items, including cash, PP&E and the elimination of inter-segment transactions. Increase in 2014 was primarily due to increased cash on hand. | ||||||||||||||
(All Registrants except PPL) | ||||||||||||||
PPL Energy Supply, PPL Electric, LKE, LG&E and KU each operate within a single reportable segment. |
Preferred_Securities
Preferred Securities | 12 Months Ended |
Dec. 31, 2014 | |
Preferred Securities [Line Items] | |
Preferred Securities | 3. Preferred Securities |
(PPL) | |
In June 2012, PPL Electric redeemed all $250 million of its preference stock at par value, without premium. | |
PPL is authorized to issue up to 10 million shares of preferred stock. No PPL preferred stock was issued or outstanding in 2014, 2013 or 2012. | |
(PPL Electric) | |
PPL Electric is authorized to issue up to 20,629,936 shares of preferred stock. No PPL Electric preferred stock was issued or outstanding in 2014, 2013 or 2012. Prior to October 31, 2013, PPL Electric was authorized to issue up to 10 million shares of preference stock. In June 2012, PPL Electric redeemed, at par, all 2.5 million shares of its outstanding 6.25% Series Preference Stock (Preference Shares), par value of $100 per share. | |
(LG&E) | |
LG&E is authorized to issue up to 1,720,000 shares of preferred stock at a $25 par value and 6,750,000 shares of preferred stock without par value. LG&E had no preferred stock issued or outstanding in 2014, 2013 or 2012. | |
(KU) | |
KU is authorized to issue up to 5,300,000 shares of preferred stock and 2,000,000 shares of preference stock without par value. KU had no preferred or preference stock issued or outstanding in 2014, 2013 or 2012. | |
PPL Electric Utilities Corp [Member] | |
Preferred Securities [Line Items] | |
Preferred Securities | 3. Preferred Securities |
(PPL) | |
In June 2012, PPL Electric redeemed all $250 million of its preference stock at par value, without premium. | |
PPL is authorized to issue up to 10 million shares of preferred stock. No PPL preferred stock was issued or outstanding in 2014, 2013 or 2012. | |
(PPL Electric) | |
PPL Electric is authorized to issue up to 20,629,936 shares of preferred stock. No PPL Electric preferred stock was issued or outstanding in 2014, 2013 or 2012. Prior to October 31, 2013, PPL Electric was authorized to issue up to 10 million shares of preference stock. In June 2012, PPL Electric redeemed, at par, all 2.5 million shares of its outstanding 6.25% Series Preference Stock (Preference Shares), par value of $100 per share. | |
(LG&E) | |
LG&E is authorized to issue up to 1,720,000 shares of preferred stock at a $25 par value and 6,750,000 shares of preferred stock without par value. LG&E had no preferred stock issued or outstanding in 2014, 2013 or 2012. | |
(KU) | |
KU is authorized to issue up to 5,300,000 shares of preferred stock and 2,000,000 shares of preference stock without par value. KU had no preferred or preference stock issued or outstanding in 2014, 2013 or 2012. | |
Louisville Gas And Electric Co [Member] | |
Preferred Securities [Line Items] | |
Preferred Securities | 3. Preferred Securities |
(PPL) | |
In June 2012, PPL Electric redeemed all $250 million of its preference stock at par value, without premium. | |
PPL is authorized to issue up to 10 million shares of preferred stock. No PPL preferred stock was issued or outstanding in 2014, 2013 or 2012. | |
(PPL Electric) | |
PPL Electric is authorized to issue up to 20,629,936 shares of preferred stock. No PPL Electric preferred stock was issued or outstanding in 2014, 2013 or 2012. Prior to October 31, 2013, PPL Electric was authorized to issue up to 10 million shares of preference stock. In June 2012, PPL Electric redeemed, at par, all 2.5 million shares of its outstanding 6.25% Series Preference Stock (Preference Shares), par value of $100 per share. | |
(LG&E) | |
LG&E is authorized to issue up to 1,720,000 shares of preferred stock at a $25 par value and 6,750,000 shares of preferred stock without par value. LG&E had no preferred stock issued or outstanding in 2014, 2013 or 2012. | |
(KU) | |
KU is authorized to issue up to 5,300,000 shares of preferred stock and 2,000,000 shares of preference stock without par value. KU had no preferred or preference stock issued or outstanding in 2014, 2013 or 2012. | |
Kentucky Utilities Co [Member] | |
Preferred Securities [Line Items] | |
Preferred Securities | 3. Preferred Securities |
(PPL) | |
In June 2012, PPL Electric redeemed all $250 million of its preference stock at par value, without premium. | |
PPL is authorized to issue up to 10 million shares of preferred stock. No PPL preferred stock was issued or outstanding in 2014, 2013 or 2012. | |
(PPL Electric) | |
PPL Electric is authorized to issue up to 20,629,936 shares of preferred stock. No PPL Electric preferred stock was issued or outstanding in 2014, 2013 or 2012. Prior to October 31, 2013, PPL Electric was authorized to issue up to 10 million shares of preference stock. In June 2012, PPL Electric redeemed, at par, all 2.5 million shares of its outstanding 6.25% Series Preference Stock (Preference Shares), par value of $100 per share. | |
(LG&E) | |
LG&E is authorized to issue up to 1,720,000 shares of preferred stock at a $25 par value and 6,750,000 shares of preferred stock without par value. LG&E had no preferred stock issued or outstanding in 2014, 2013 or 2012. | |
(KU) | |
KU is authorized to issue up to 5,300,000 shares of preferred stock and 2,000,000 shares of preference stock without par value. KU had no preferred or preference stock issued or outstanding in 2014, 2013 or 2012. |
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Earnings Per Share | 4. Earnings Per Share | ||||||||||||
(PPL) | |||||||||||||
Basic EPS is computed by dividing income available to PPL common shareowners by the weighted-average number of common shares outstanding during the applicable period. Diluted EPS is computed by dividing income available to PPL common shareowners by the weighted-average number of common shares outstanding, increased by incremental shares that would be outstanding if potentially dilutive non-participating securities were converted to common shares as calculated using the Treasury Stock Method or If-Converted Method, as applicable. Incremental non-participating securities that have a dilutive impact are detailed in the table below. | |||||||||||||
Reconciliations of the amounts of income and shares of PPL common stock (in thousands) for the periods ended December 31 used in the EPS calculation are: | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Income (Numerator) | |||||||||||||
Income from continuing operations after income taxes attributable to PPL shareowners | $ | 1,583 | $ | 1,096 | $ | 1,486 | |||||||
Less amounts allocated to participating securities | 8 | 6 | 8 | ||||||||||
Less issuance costs on subsidiary's preferred securities redeemed | 6 | ||||||||||||
Income from continuing operations after income taxes available to PPL common | |||||||||||||
shareowners - Basic | 1,575 | 1,090 | 1,472 | ||||||||||
Plus interest charges (net of tax) related to Equity Units (a) | 9 | 44 | |||||||||||
Income from continuing operations after income taxes available to PPL common | |||||||||||||
shareowners - Diluted | $ | 1,584 | $ | 1,134 | $ | 1,472 | |||||||
Income (loss) from discontinued operations (net of income taxes) available to PPL | |||||||||||||
common shareowners - Basic and Diluted | $ | 154 | $ | 34 | $ | 40 | |||||||
Net income attributable to PPL shareowners | $ | 1,737 | $ | 1,130 | $ | 1,526 | |||||||
Less amounts allocated to participating securities | 9 | 6 | 8 | ||||||||||
Less issuance costs on subsidiary's preferred securities redeemed | 6 | ||||||||||||
Net income available to PPL common shareowners - Basic | 1,728 | 1,124 | 1,512 | ||||||||||
Plus interest charges (net of tax) related to Equity Units | 9 | 44 | |||||||||||
Net income available to PPL common shareowners - Diluted | $ | 1,737 | $ | 1,168 | $ | 1,512 | |||||||
Shares of Common Stock (Denominator) | |||||||||||||
Weighted-average shares - Basic EPS | 653,504 | 608,983 | 580,276 | ||||||||||
Add incremental non-participating securities: | |||||||||||||
Share-based payment awards (b) | 1,910 | 1,062 | 563 | ||||||||||
Equity Units (a) | 10,559 | 52,568 | |||||||||||
Forward sale agreements and purchase contracts (b) | 460 | 787 | |||||||||||
Weighted-average shares - Diluted EPS | 665,973 | 663,073 | 581,626 | ||||||||||
Basic EPS | |||||||||||||
Available to PPL common shareowners: | |||||||||||||
Income from continuing operations after income taxes | $ | 2.41 | $ | 1.79 | $ | 2.55 | |||||||
Income (loss) from discontinued operations (net of income taxes) | 0.23 | 0.06 | 0.06 | ||||||||||
Net Income | $ | 2.64 | $ | 1.85 | $ | 2.61 | |||||||
Diluted EPS | |||||||||||||
Available to PPL common shareowners: | |||||||||||||
Income from continuing operations after income taxes | $ | 2.38 | $ | 1.71 | $ | 2.54 | |||||||
Income (loss) from discontinued operations (net of income taxes) | 0.23 | 0.05 | 0.06 | ||||||||||
Net Income | $ | 2.61 | $ | 1.76 | $ | 2.6 | |||||||
(a) In 2014 and 2013, the If-Converted Method was applied to the Equity Units prior to settlement. See Note 7 for additional information on the Equity Units, including the issuance of PPL common stock to settle the Purchase contracts. | |||||||||||||
(b) The Treasury Stock Method was applied to non-participating share-based payment awards, forward sale agreements and the 2010 Purchase Contracts for 2012. | |||||||||||||
For the year ended December 31, PPL issued common stock related to stock-based compensation plans and DRIP as follows (in thousands): | |||||||||||||
2014 | |||||||||||||
Stock-based compensation plans (a) | 2,985 | ||||||||||||
DRIP | 868 | ||||||||||||
(a) Includes stock options exercised, vesting of performance units, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors. | |||||||||||||
For the years ended December 31, the following shares (in thousands) were excluded from the computations of diluted EPS because the effect would have been antidilutive. | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Stock options | 1,816 | 4,446 | 5,293 | ||||||||||
Performance units | 5 | 55 | 58 | ||||||||||
Restricted stock units | 31 | 29 |
Income_and_Other_Taxes
Income and Other Taxes | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Income and Other Taxes [Abstract] | ||||||||||||||||||
Income and Other Taxes | 5. Income and Other Taxes | |||||||||||||||||
(PPL) | ||||||||||||||||||
"Income from Continuing Operations Before Income Taxes" included the following. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Domestic income | $ | 1,157 | $ | 201 | $ | 1,000 | ||||||||||||
Foreign income | 1,207 | 1,059 | 1,009 | |||||||||||||||
Total | $ | 2,364 | $ | 1,260 | $ | 2,009 | ||||||||||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for accounting purposes and their basis for income tax purposes and the tax effects of net operating loss and tax credit carryforwards. The provision for PPL's deferred income taxes for regulated assets and liabilities is based upon the ratemaking principles of the applicable jurisdiction. See Notes 1 and 6 for additional information. | ||||||||||||||||||
Net deferred tax assets have been recognized based on management's estimates of future taxable income for the U.S. and certain foreign jurisdictions in which PPL's operations have historically been profitable. | ||||||||||||||||||
Significant components of PPL's deferred income tax assets and liabilities were as follows: | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Deferred investment tax credits (a) | $ | 63 | $ | 137 | ||||||||||||||
Regulatory obligations | 131 | 144 | ||||||||||||||||
Accrued pension costs | 298 | 140 | ||||||||||||||||
Federal loss carryforwards | 151 | 331 | ||||||||||||||||
State loss carryforwards | 304 | 304 | ||||||||||||||||
Federal and state tax credit carryforwards (a) | 209 | 332 | ||||||||||||||||
Foreign capital loss carryforwards | 446 | 467 | ||||||||||||||||
Foreign loss carryforwards | 6 | 6 | ||||||||||||||||
Foreign - pensions | 182 | 202 | ||||||||||||||||
Foreign - regulatory obligations | 23 | 26 | ||||||||||||||||
Foreign - other | 11 | 12 | ||||||||||||||||
Contributions in aid of construction | 138 | 137 | ||||||||||||||||
Domestic - other | 273 | 211 | ||||||||||||||||
Unrealized losses on qualifying derivatives | 46 | |||||||||||||||||
Valuation allowances | -700 | -663 | ||||||||||||||||
Total deferred tax assets | 1,581 | 1,786 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Domestic plant - net (a) | 4,453 | 4,073 | ||||||||||||||||
Taxes recoverable through future rates | 156 | 151 | ||||||||||||||||
Unrealized gain on qualifying derivatives | 28 | 37 | ||||||||||||||||
Other regulatory assets | 322 | 244 | ||||||||||||||||
Reacquired debt costs | 31 | 34 | ||||||||||||||||
Foreign plant - net | 854 | 859 | ||||||||||||||||
Domestic - other | 58 | 78 | ||||||||||||||||
Total deferred tax liabilities | 5,902 | 5,476 | ||||||||||||||||
Net deferred tax liability | $ | 4,321 | $ | 3,690 | ||||||||||||||
(a) During 2014, PPL accepted U.S. government grants for hydroelectric plant expansions resulting in reductions of investment tax credits previously claimed and reductions in the carrying value of the related plants. See Note 8 for additional information. | ||||||||||||||||||
At December 31, PPL had the following loss and tax credit carryforwards. | ||||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses (a) | $ | 432 | 2031-2032 | |||||||||||||||
State net operating losses (a) (b) | 5,059 | 2017-2034 | ||||||||||||||||
State contributions | 33 | 2015-2018 | ||||||||||||||||
Foreign net operating losses (c) | 29 | Indefinite | ||||||||||||||||
Foreign capital losses (d) | 2,231 | Indefinite | ||||||||||||||||
Credit carryforwards | ||||||||||||||||||
Federal investment tax credit | 125 | 2025-2028 | ||||||||||||||||
Federal alternative minimum tax credit | 44 | Indefinite | ||||||||||||||||
Federal - other | 34 | 2016-2034 | ||||||||||||||||
State - other | 8 | 2022 | ||||||||||||||||
State capital loss and foreign tax credit carryforwards were insignificant at December 31, 2014. | ||||||||||||||||||
(a) Includes an insignificant amount of federal and state net operating loss carryforwards from excess tax deductions related to stock compensation for which a tax benefit will be recorded in Equity when realized. | ||||||||||||||||||
(b) A valuation allowance of $238 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
(c) A valuation allowance of $6 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
(d) A valuation allowance of $446 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
Valuation allowances have been established for the amount that, more likely than not, will not be realized. The changes in deferred tax valuation allowances were as follows: | ||||||||||||||||||
Additions | ||||||||||||||||||
Balance at | Charged to | Balance | ||||||||||||||||
Beginning | Charged | Other | at End | |||||||||||||||
of Period | to Income | Accounts | Deductions | of Period | ||||||||||||||
2014 | $ | 663 | $ | 57 | $ | 6 | $ | 26 | $ | 700 | ||||||||
2013 | 706 | 29 | 72 | (a) | 663 | |||||||||||||
2012 | 724 | 18 | 10 | 46 | (a) | 706 | ||||||||||||
(a) The reductions of the U.K. statutory income tax rate in 2013 and 2012 resulted in $67 million and $46 million in reductions in deferred tax assets and the corresponding valuation allowances. See "Reconciliation of Income Tax Expense" below for more information on the impact of the U.K. Finance Acts 2013 and 2012. | ||||||||||||||||||
PPL Global does not record U.S. income taxes on the undistributed earnings of WPD, with the exception of certain financing entities, as management has determined that the earnings are indefinitely reinvested. Historically, dividends paid by WPD have been distributions from current year's earnings. WPD's long-term working capital forecasts and capital expenditure projections for the foreseeable future require reinvestment of WPD's undistributed earnings, and WPD would have to issue debt or access credit facilities to fund any distributions in excess of current earnings. Additionally, U.S. long-term working capital forecasts and capital expenditure projections for the foreseeable future do not require or contemplate distributions from WPD in excess of some portion of future WPD earnings. The cumulative undistributed earnings are included in "Earnings Reinvested" on the Balance Sheets. The amounts considered indefinitely reinvested at December 31, 2014 and 2013 were $3.7 billion and $2.9 billion, respectively. If the WPD undistributed earnings were remitted as dividends, PPL Global could be subject to additional U.S. taxes, net of allowable foreign tax credits. It is not practicable to estimate the amount of additional taxes that could be payable on these foreign earnings in the event of repatriation to the U.S. | ||||||||||||||||||
Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | 43 | $ | -91 | $ | -15 | ||||||||||||
Current - State | 30 | -4 | -5 | |||||||||||||||
Current - Foreign | 152 | 181 | 121 | |||||||||||||||
Total Current Expense | 225 | 86 | 101 | |||||||||||||||
Deferred - Federal | 345 | 75 | 547 | |||||||||||||||
Deferred - State | 136 | 45 | 100 | |||||||||||||||
Deferred - Foreign | 96 | -53 | 35 | |||||||||||||||
Total Deferred Expense, excluding operating loss carryforwards | 577 | 67 | 682 | |||||||||||||||
Investment tax credit, net - Federal | -7 | -8 | -10 | |||||||||||||||
Tax expense (benefit) of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal (a) | 8 | 36 | -195 | |||||||||||||||
Deferred - State | -22 | -18 | -60 | |||||||||||||||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | -14 | 18 | -255 | |||||||||||||||
Total income taxes from continuing operations | $ | 781 | $ | 163 | $ | 518 | ||||||||||||
Total income tax expense - Federal | $ | 389 | $ | 12 | $ | 327 | ||||||||||||
Total income tax expense - State | 144 | 23 | 35 | |||||||||||||||
Total income tax expense - Foreign | 248 | 128 | 156 | |||||||||||||||
Total income taxes from continuing operations | $ | 781 | $ | 163 | $ | 518 | ||||||||||||
(a) A 2012 Federal income tax return adjustment was recorded in 2013 related to a reduction in the 2012 NOL recorded in the filed return. The reduction was primarily due to PPL's decision, at the time of filing, to utilize regular modified accelerated cost recovery system (MACRS) depreciation rates for certain non-regulated assets otherwise eligible for bonus tax depreciation. | ||||||||||||||||||
In the table above, the following income tax expense (benefits) are excluded from income taxes from continuing operations. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Discontinued operations | $ | 109 | $ | 18 | $ | 23 | ||||||||||||
Stock-based compensation recorded to Additional Paid-in Capital | -4 | -2 | -1 | |||||||||||||||
Valuation allowance on state deferred taxes related to issuance costs of Purchase Contracts | ||||||||||||||||||
recorded to Additional Paid-in Capital | -2 | |||||||||||||||||
Other comprehensive income | 190 | 159 | -526 | |||||||||||||||
Valuation allowance on state deferred taxes recorded to other comprehensive income | -7 | |||||||||||||||||
Total | $ | 295 | $ | 166 | $ | -504 | ||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Tax Expense | ||||||||||||||||||
Federal income tax on Income from Continuing Operations Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 827 | $ | 441 | $ | 703 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 41 | -9 | 25 | |||||||||||||||
State valuation allowance adjustments (a) | 55 | 24 | 13 | |||||||||||||||
Impact of lower U.K. income tax rates (b) | -167 | -129 | -110 | |||||||||||||||
U.S. income tax on foreign earnings - net of foreign tax credit (c) | 53 | 9 | 26 | |||||||||||||||
Federal and state tax reserves adjustments (d) | -1 | -43 | -1 | |||||||||||||||
Federal and state income tax return adjustments (e) | 2 | -5 | 16 | |||||||||||||||
Impact of the U.K. Finance Acts on deferred tax balances (b) | -1 | -97 | -75 | |||||||||||||||
Federal income tax credits (f) | -1 | -9 | -11 | |||||||||||||||
Depreciation not normalized | -7 | -8 | -11 | |||||||||||||||
State deferred tax rate change (g) | -1 | 15 | -19 | |||||||||||||||
Intercompany interest on U.K. financing entities | -8 | -10 | -9 | |||||||||||||||
Other | -11 | -16 | -29 | |||||||||||||||
Total increase (decrease) | -46 | -278 | -185 | |||||||||||||||
Total income taxes from continuing operations | $ | 781 | $ | 163 | $ | 518 | ||||||||||||
Effective income tax rate | 33.00% | 12.90% | 25.80% | |||||||||||||||
(a) As a result of the PPL Energy Supply spinoff announcement, PPL recorded $50 million deferred income tax expense during 2014 to adjust the valuation allowance on deferred tax assets primarily for state net operating loss carryforwards that were previously supported by the future earnings of PPL Energy Supply. See Note 8 for additional information on the anticipated spinoff. | ||||||||||||||||||
During 2013, PPL recorded $23 million of state deferred income tax expense related to a deferred tax valuation allowance primarily due to a decrease in projected future taxable income at PPL Energy Supply over the remaining carryforward period of Pennsylvania net operating losses. | ||||||||||||||||||
(b) The U.K. Finance Act 2013, enacted in July 2013, reduced the U.K. statutory income tax rate from 23% to 21% effective April 1, 2014 and from 21% to 20% effective April 1, 2015. As a result, PPL reduced its net deferred tax liabilities and recognized a deferred tax benefit during 2013 related to both rate decreases. | ||||||||||||||||||
The U.K. Finance Act 2012, enacted in July 2012, reduced the U.K. statutory income tax rate from 25% to 24% retroactive to April 1, 2012 and from 24% to 23% effective April 1, 2013. As a result, PPL reduced its net deferred tax liabilities and recognized a deferred tax benefit during 2012 related to both rate decreases. | ||||||||||||||||||
(c) During 2014, PPL recorded $47 million of income tax expense primarily attributable to taxable dividends. | ||||||||||||||||||
During 2013, PPL recorded $28 million of income tax expense resulting from increased taxable dividends offset by a $19 million income tax benefit associated with a ruling obtained from the IRS impacting the recalculation of 2010 U.K. earnings and profits that was reflected on an amended 2010 U.S. tax return. | ||||||||||||||||||
During 2012, PPL recorded a $23 million adjustment to federal income tax expense related to the recalculation of 2010 U.K. earnings and profits. | ||||||||||||||||||
(d) In 1997, the U.K. imposed a Windfall Profits Tax (WPT) on privatized utilities, including WPD. PPL filed its federal income tax returns for years subsequent to its 1997 and 1998 claims for refund on the basis that the U.K. WPT was creditable. In September 2010, the U.S. Tax Court (Tax Court) ruled in PPL’s favor in a dispute with the IRS, concluding that the U.K. WPT is a creditable tax for U.S. tax purposes. As a result, and with the finalization of other issues, PPL recorded a $42 million tax benefit in 2010. In January 2011, the IRS appealed the Tax Court’s decision to the U.S. Court of Appeals for the Third Circuit (Third Circuit). In December 2011, the Third Circuit issued its opinion reversing the Tax Court’s decision, holding that the U.K. WPT is not a creditable tax. As a result of the Third Circuit’s adverse determination, PPL recorded a $39 million expense in 2011. In June 2012, the U.S. Court of Appeals for the Fifth Circuit issued a contrary opinion in an identical case involving another company. In July 2012, PPL filed a petition for a writ of certiorari seeking U.S. Supreme Court review of the Third Circuit’s opinion. The Supreme Court granted PPL’s petition and oral argument was held in February 2013. On May 20, 2013, the Supreme Court reversed the Third Circuit’s opinion and ruled that the WPT is a creditable tax. As a result of the Supreme Court ruling, PPL recorded a tax benefit of $44 million during 2013, of which $19 million relates to interest. | ||||||||||||||||||
PPL recorded a tax benefit of $7 million during 2013 and $6 million during 2012 federal and state income tax reserves related to stranded cost securitization. The reserve balance at December 31, 2013 related to stranded costs securitization was zero. | ||||||||||||||||||
(e) During 2012, PPL recorded $16 million in federal and state income tax expense related to the filing of the 2011 federal and state income tax returns. Of this amount, $5 million relates to the reversal of prior years’ state income tax benefits related to regulated depreciation. PPL changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year. In August 2011, the IRS issued guidance regarding the use and evaluation of statistical samples and sampling estimates for network assets. The IRS guidance provided a safe harbor method of determining whether the repair expenditures for electric transmission and distribution property can be currently deducted for tax purposes. PPL adopted the safe harbor method with the filing of its 2011 federal income tax return. | ||||||||||||||||||
(f) During 2013 and 2012, PPL recorded deferred tax benefits related to investment tax credits on progress expenditures for the Holtwood hydroelectric plant expansion. See Note 8 for additional information. | ||||||||||||||||||
(g) During 2014, 2013 and 2012, PPL recorded adjustments related to its December 31 state deferred tax liabilities as a result of annual changes in state apportionment and the impact on the future estimated state income tax rate. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
State gross receipts | $ | 147 | $ | 135 | $ | 135 | ||||||||||||
Foreign property | 157 | 147 | 147 | |||||||||||||||
Domestic Other | 70 | 69 | 70 | |||||||||||||||
Total | $ | 374 | $ | 351 | $ | 352 | ||||||||||||
(PPL Energy Supply) | ||||||||||||||||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for accounting purposes and their basis for income tax purposes and the tax effects of net operating loss and tax credit carryforwards. | ||||||||||||||||||
Net deferred tax assets have been recognized based on management's estimates of future taxable income for the U.S. jurisdictions in which PPL Energy Supply's operations have historically been profitable. | ||||||||||||||||||
Significant components of PPL Energy Supply's deferred income tax assets and liabilities were as follows: | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Deferred investment tax credits (a) | $ | 11 | $ | 84 | ||||||||||||||
Accrued pension costs | 98 | 39 | ||||||||||||||||
Federal loss carryforwards | 22 | 28 | ||||||||||||||||
Federal tax credit carryforwards (a) | 13 | 131 | ||||||||||||||||
State loss carryforwards | 79 | 80 | ||||||||||||||||
Other | 79 | 69 | ||||||||||||||||
Valuation allowances | -78 | -78 | ||||||||||||||||
Total deferred tax assets | 224 | 353 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net (a) | 1,374 | 1,392 | ||||||||||||||||
Unrealized gain on qualifying derivatives | 28 | 38 | ||||||||||||||||
Other | 42 | 46 | ||||||||||||||||
Total deferred tax liabilities | 1,444 | 1,476 | ||||||||||||||||
Net deferred tax liability | $ | 1,220 | $ | 1,123 | ||||||||||||||
(a) During 2014, PPL accepted U.S. government grants for hydroelectric plant expansions resulting in reductions of investment tax credits previously claimed and reductions in the carrying value of the related plants. See Note 8 for additional information. | ||||||||||||||||||
At December 31, PPL Energy Supply had the following loss and tax credit carryforwards. | ||||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses | $ | 63 | 2031-2032 | |||||||||||||||
State net operating losses (a) | 1,228 | 2018-2034 | ||||||||||||||||
Credit carryforwards | ||||||||||||||||||
Federal AMT credit | 6 | Indefinite | ||||||||||||||||
Federal - other | 7 | 2031-2034 | ||||||||||||||||
(a) A valuation allowance of $78 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
Valuation allowances have been established for the amount that, more likely than not, will not be realized. The changes in deferred tax valuation allowances were: | ||||||||||||||||||
Additions | ||||||||||||||||||
Balance at | Charged to | Balance | ||||||||||||||||
Beginning | Charged | Other | at End | |||||||||||||||
of Period | to Income | Accounts | Deductions | of Period | ||||||||||||||
2014 | $ | 78 | $ | 78 | ||||||||||||||
2013 | 74 | $ | 4 | 78 | ||||||||||||||
2012 | 72 | 2 | 74 | |||||||||||||||
Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | 28 | $ | 118 | $ | 74 | ||||||||||||
Current - State | 13 | 16 | 19 | |||||||||||||||
Total Current Expense | 41 | 134 | 93 | |||||||||||||||
Deferred - Federal | 66 | -285 | 187 | |||||||||||||||
Deferred - State | 11 | -27 | 7 | |||||||||||||||
Total Deferred Expense (Benefit), excluding operating loss carryforwards | 77 | -312 | 194 | |||||||||||||||
Investment tax credit, net - federal | -2 | -3 | -2 | |||||||||||||||
Tax expense (benefit) of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal (a) | 22 | -48 | ||||||||||||||||
Deferred - State | -1 | |||||||||||||||||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 22 | -49 | ||||||||||||||||
Total income taxes (benefits) from continuing operations (b) | $ | 116 | $ | -159 | $ | 236 | ||||||||||||
Total income tax expense (benefit) - Federal | $ | 92 | $ | -148 | $ | 211 | ||||||||||||
Total income tax expense (benefit) - State | 24 | -11 | 25 | |||||||||||||||
Total income taxes (benefits) from continuing operations (b) | $ | 116 | $ | -159 | $ | 236 | ||||||||||||
(a) A 2012 federal income tax return adjustment was recorded in 2013 related to a reduction in the 2012 NOL recorded in the filed return. The reduction was primarily due to PPL's decision, at the time of filing, to utilize regular MACRS depreciation rates for certain non-regulated assets otherwise eligible for bonus tax depreciation. | ||||||||||||||||||
(b) Excludes current and deferred federal and state tax expense recorded to Discontinued Operations of $109 million, $17 million and $27 million in 2014, 2013 and 2012. Also excludes federal and state tax expense (benefit) recorded to OCI of $(56) million, $47 million and $(267) million in 2014, 2013 and 2012. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Tax Expense | ||||||||||||||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 106 | $ | -147 | $ | 233 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 17 | -24 | 30 | |||||||||||||||
State deferred tax rate change (a) | -1 | 15 | -19 | |||||||||||||||
Federal income tax credits (b) | -8 | -11 | ||||||||||||||||
Other | -6 | 5 | 3 | |||||||||||||||
Total increase (decrease) | 10 | -12 | 3 | |||||||||||||||
Total income taxes from continuing operations | $ | 116 | $ | -159 | $ | 236 | ||||||||||||
Effective income tax rate | 38.30% | 37.90% | 35.50% | |||||||||||||||
(a) During 2014, 2013 and 2012, PPL Energy Supply recorded adjustments related to its December 31 state deferred tax liabilities as a result of annual changes in state apportionment and the impact on the future estimated state income tax rate. | ||||||||||||||||||
(b) During 2013 and 2012, PPL Energy Supply recorded deferred tax benefits related to investment tax credits on progress expenditures for the Holtwood hydroelectric plant expansion. See Note 8 for additional information. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
State gross receipts | $ | 45 | $ | 37 | $ | 35 | ||||||||||||
State capital stock | 1 | 1 | 5 | |||||||||||||||
Property and other | 11 | 15 | 15 | |||||||||||||||
Total | $ | 57 | $ | 53 | $ | 55 | ||||||||||||
(PPL Electric) | ||||||||||||||||||
The provision for PPL Electric's deferred income taxes for regulated assets and liabilities is based upon the ratemaking principles reflected in rates established by the PUC and the FERC. The difference in the provision for deferred income taxes for regulated assets and liabilities and the amount that otherwise would be recorded under GAAP is deferred and included in "Regulatory assets" or "Regulated liabilities" on the Balance Sheets. | ||||||||||||||||||
Significant components of PPL Electric's deferred income tax assets and liabilities were as follows. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Accrued pension costs | $ | 85 | $ | 42 | ||||||||||||||
Contributions in aid of construction | 110 | 109 | ||||||||||||||||
Regulatory obligations | 39 | 38 | ||||||||||||||||
State loss carryforwards | 30 | 35 | ||||||||||||||||
Federal loss carryforwards | 51 | 72 | ||||||||||||||||
Other | 54 | 45 | ||||||||||||||||
Total deferred tax assets | 369 | 341 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Electric utility plant - net | 1,453 | 1,366 | ||||||||||||||||
Taxes recoverable through future rates | 132 | 129 | ||||||||||||||||
Reacquired debt costs | 20 | 23 | ||||||||||||||||
Other regulatory assets | 173 | 129 | ||||||||||||||||
Other | 16 | 8 | ||||||||||||||||
Total deferred tax liabilities | 1,794 | 1,655 | ||||||||||||||||
Net deferred tax liability | $ | 1,425 | $ | 1,314 | ||||||||||||||
At December 31, PPL Electric had the following loss carryforwards. | ||||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses | $ | 146 | 2031-2032 | |||||||||||||||
State net operating losses | 467 | 2030-2032 | ||||||||||||||||
Credit and state contribution carryforwards were insignificant at December 31, 2014. | ||||||||||||||||||
Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | 60 | $ | -15 | $ | -28 | ||||||||||||
Current - State | 15 | -4 | -18 | |||||||||||||||
Total Current Expense (Benefit) | 75 | -19 | -46 | |||||||||||||||
Deferred - Federal | 70 | 109 | 162 | |||||||||||||||
Deferred - State | 16 | 16 | 42 | |||||||||||||||
Total Deferred Expense, excluding operating loss carryforwards | 86 | 125 | 204 | |||||||||||||||
Investment tax credit, net - Federal | -1 | -1 | -1 | |||||||||||||||
Tax expense (benefit) of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | 4 | -72 | ||||||||||||||||
Deferred - State | -1 | -17 | ||||||||||||||||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 3 | -89 | ||||||||||||||||
Total income tax expense | $ | 160 | $ | 108 | $ | 68 | ||||||||||||
Total income tax expense - Federal | $ | 129 | $ | 97 | $ | 61 | ||||||||||||
Total income tax expense - State | 31 | 11 | 7 | |||||||||||||||
Total income tax expense | $ | 160 | $ | 108 | $ | 68 | ||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at statutory tax rate - 35% | $ | 148 | $ | 111 | $ | 71 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 22 | 16 | 9 | |||||||||||||||
Federal and state tax reserves adjustments (a) | -1 | -9 | -8 | |||||||||||||||
Federal and state income tax return adjustments (b) | 1 | -1 | 7 | |||||||||||||||
Depreciation not normalized | -6 | -6 | -8 | |||||||||||||||
Other | -4 | -3 | -3 | |||||||||||||||
Total increase (decrease) | 12 | -3 | -3 | |||||||||||||||
Total income tax expense | $ | 160 | $ | 108 | $ | 68 | ||||||||||||
Effective income tax rate | 37.80% | 34.10% | 33.30% | |||||||||||||||
(a) PPL Electric recorded a tax benefit of $7 million during 2013 and $6 million during 2012 to federal and state income tax reserves related to stranded cost securitization. The reserve balance at December 31, 2013 related to stranded costs securitization was zero. | ||||||||||||||||||
(b) PPL Electric changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year. In August 2011, the IRS issued guidance regarding the use and evaluation of statistical samples and sampling estimates for network assets. The IRS guidance provided a safe harbor method of determining whether the repair expenditures for electric transmission and distribution property can be currently deducted for tax purposes. PPL Electric adopted the safe harbor method with the filing of its 2011 federal income tax return and recorded a $5 million adjustment to federal and state income tax expense in 2012 resulting from the reversal of prior years’ state income tax benefits related to regulated depreciation. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
State gross receipts | $ | 102 | $ | 98 | $ | 101 | ||||||||||||
Other | 5 | 5 | 4 | |||||||||||||||
Total | $ | 107 | $ | 103 | $ | 105 | ||||||||||||
(LKE) | ||||||||||||||||||
The provision for LKE’s deferred income taxes for regulated assets and liabilities is based upon the ratemaking principles reflected in rates established by the KPSC, VSCC, TRA and the FERC. The difference in the provision for deferred income taxes for regulated assets and liabilities and the amount that otherwise would be recorded under GAAP is deferred and included in "Regulatory assets" or "Regulatory liabilities" on the Balance Sheets. | ||||||||||||||||||
Significant components of LKE's deferred income tax assets and liabilities were as follows: | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Net operating loss carryforward | $ | 82 | $ | 222 | ||||||||||||||
Tax credit carryforwards | 182 | 179 | ||||||||||||||||
Regulatory liabilities | 92 | 107 | ||||||||||||||||
Accrued pension costs | 53 | 26 | ||||||||||||||||
Capital loss carryforward | 4 | |||||||||||||||||
Income taxes due to customers | 20 | 23 | ||||||||||||||||
Deferred investment tax credits | 51 | 52 | ||||||||||||||||
Derivative liability | 45 | 14 | ||||||||||||||||
Other | 44 | 43 | ||||||||||||||||
Valuation allowances | -4 | |||||||||||||||||
Total deferred tax assets | 569 | 666 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net | 1,639 | 1,327 | ||||||||||||||||
Regulatory assets | 143 | 133 | ||||||||||||||||
Other | 12 | 12 | ||||||||||||||||
Total deferred tax liabilities | 1,794 | 1,472 | ||||||||||||||||
Net deferred tax liability | $ | 1,225 | $ | 806 | ||||||||||||||
LKE expects to have adequate levels of taxable income to realize its recorded deferred income tax assets. | ||||||||||||||||||
At December 31, LKE had the following loss and tax credit carryforwards. | ||||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses | $ | 132 | 2031-2032 | |||||||||||||||
State net operating losses | 927 | 2028-2032 | ||||||||||||||||
State capital losses | 1 | 2016 | ||||||||||||||||
Credit carryforwards | ||||||||||||||||||
Federal investment tax credit | 125 | 2025-2028 | ||||||||||||||||
Federal alternative minimum tax credit | 30 | Indefinite | ||||||||||||||||
Federal - other | 27 | 2016-2034 | ||||||||||||||||
State - other | 8 | 2022 | ||||||||||||||||
Changes in deferred tax valuation allowances were: | ||||||||||||||||||
Balance at | Balance | |||||||||||||||||
Beginning | at End | |||||||||||||||||
of Period | Additions | Deductions | of Period | |||||||||||||||
2014 | $ | 4 | $ | 4 | (a) | |||||||||||||
2013 | 5 | 1 | (a) | $ | 4 | |||||||||||||
2012 | 5 | 5 | ||||||||||||||||
(a) Primarily related to the expiration of state capital loss carryforwards. | ||||||||||||||||||
Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | -247 | $ | -59 | $ | -32 | ||||||||||||
Current - State | 8 | 10 | 2 | |||||||||||||||
Total Current Expense (Benefit) | -239 | -49 | -30 | |||||||||||||||
Deferred - Federal | 437 | 244 | 185 | |||||||||||||||
Deferred - State | 23 | 20 | 15 | |||||||||||||||
Total Deferred Expense, excluding benefits of operating loss carryforwards | 460 | 264 | 200 | |||||||||||||||
Investment tax credit, net - Federal | -4 | -4 | -6 | |||||||||||||||
Tax benefit of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | -8 | -4 | -46 | |||||||||||||||
Deferred - State | -1 | -12 | ||||||||||||||||
Total Tax Benefit of Operating Loss Carryforwards | -8 | -5 | -58 | |||||||||||||||
Total income tax expense from continuing operations (a) | $ | 209 | $ | 206 | $ | 106 | ||||||||||||
Total income tax expense - Federal | $ | 178 | $ | 177 | $ | 101 | ||||||||||||
Total income tax expense - State | 31 | 29 | 5 | |||||||||||||||
Total income tax expense from continuing operations (a) | $ | 209 | $ | 206 | $ | 106 | ||||||||||||
(a) Excludes current and deferred federal and state tax expense (benefit) recorded to Discontinued Operations of less than $1 million in 2014, $1 million in 2013, and $(4) million in 2012. Also, excludes deferred federal and state tax expense (benefit) recorded to OCI of $(36) million in 2014, $18 million in 2013 and $(12) million in 2012. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 194 | $ | 193 | $ | 116 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 20 | 20 | 6 | |||||||||||||||
Amortization of investment tax credit | -4 | -4 | -6 | |||||||||||||||
Net operating loss carryforward (a) | -9 | |||||||||||||||||
Other | -1 | -3 | -1 | |||||||||||||||
Total increase (decrease) | 15 | 13 | -10 | |||||||||||||||
Total income tax expense from continuing operations | $ | 209 | $ | 206 | $ | 106 | ||||||||||||
Effective income tax rate | 37.80% | 37.40% | 32.00% | |||||||||||||||
(a) During 2012, LKE recorded adjustments to deferred taxes related to net operating loss carryforwards based on income tax return adjustments. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
Property and other | $ | 52 | $ | 48 | $ | 46 | ||||||||||||
Total | $ | 52 | $ | 48 | $ | 46 | ||||||||||||
(LG&E) | ||||||||||||||||||
The provision for LG&E's deferred income taxes for regulated assets and liabilities is based upon the ratemaking principles reflected in rates established by the KPSC and the FERC. The difference in the provision for deferred income taxes for regulated assets and liabilities and the amount that otherwise would be recorded under GAAP is deferred and included in "Regulatory assets" or "Regulatory liabilities" on the Balance Sheets. | ||||||||||||||||||
Significant components of LG&E's deferred income tax assets and liabilities were as follows: | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Regulatory liabilities | $ | 51 | $ | 59 | ||||||||||||||
Deferred investment tax credits | 14 | 15 | ||||||||||||||||
Income taxes due to customers | 18 | 19 | ||||||||||||||||
Derivative liability | 32 | 14 | ||||||||||||||||
Other | 9 | 14 | ||||||||||||||||
Total deferred tax assets | 124 | 121 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net | 698 | 585 | ||||||||||||||||
Regulatory assets | 90 | 83 | ||||||||||||||||
Accrued pension costs | 28 | 24 | ||||||||||||||||
Other | 8 | 8 | ||||||||||||||||
Total deferred tax liabilities | 824 | 700 | ||||||||||||||||
Net deferred tax liability | $ | 700 | $ | 579 | ||||||||||||||
LG&E expects to have adequate levels of taxable income to realize its recorded deferred income tax assets. | ||||||||||||||||||
At December 31, 2014, LG&E had $4 million of state credit carryforwards that expire in 2022. | ||||||||||||||||||
Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | -25 | $ | 52 | $ | -2 | ||||||||||||
Current - State | 10 | 16 | 3 | |||||||||||||||
Total Current Expense (Benefit) | -15 | 68 | 1 | |||||||||||||||
Deferred - Federal | 114 | 33 | 65 | |||||||||||||||
Deferred - State | 6 | -2 | 6 | |||||||||||||||
Total Deferred Expense, excluding benefits of operating loss carryforwards | 120 | 31 | 71 | |||||||||||||||
Investment tax credit, net - Federal | -2 | -2 | -3 | |||||||||||||||
Tax benefit of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | -3 | |||||||||||||||||
Total Tax Benefit of Operating Loss Carryforwards | -3 | |||||||||||||||||
Total income tax expense | $ | 103 | $ | 94 | $ | 69 | ||||||||||||
Total income tax expense - Federal | $ | 87 | $ | 80 | $ | 60 | ||||||||||||
Total income tax expense - State | 16 | 14 | 9 | |||||||||||||||
Total income tax expense | $ | 103 | $ | 94 | $ | 69 | ||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 95 | $ | 90 | $ | 67 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 10 | 10 | 5 | |||||||||||||||
Amortization of investment tax credit | -2 | -2 | -3 | |||||||||||||||
Other | -4 | |||||||||||||||||
Total increase (decrease) | 8 | 4 | 2 | |||||||||||||||
Total income tax expense | $ | 103 | $ | 94 | $ | 69 | ||||||||||||
Effective income tax rate | 37.90% | 36.60% | 35.90% | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
Property and other | $ | 25 | $ | 24 | $ | 23 | ||||||||||||
Total | $ | 25 | $ | 24 | $ | 23 | ||||||||||||
(KU) | ||||||||||||||||||
The provision for KU's deferred income taxes for regulated assets and liabilities is based upon the ratemaking principles reflected in rates established by the KPSC, VSCC, TRA and the FERC. The difference in the provision for deferred income taxes for regulated assets and liabilities and the amount that otherwise would be recorded under GAAP is deferred and included in "Regulatory assets" or "Regulatory liabilities" on the Balance Sheets. | ||||||||||||||||||
Significant components of KU's deferred income tax assets and liabilities were as follows: | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Regulatory liabilities | $ | 41 | $ | 47 | ||||||||||||||
Deferred investment tax credits | 37 | 38 | ||||||||||||||||
Net operating loss carryforward | 23 | |||||||||||||||||
Income taxes due to customers | 2 | 4 | ||||||||||||||||
Derivative liability | 13 | |||||||||||||||||
Other | 7 | 8 | ||||||||||||||||
Total deferred tax assets | 100 | 120 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net | 922 | 721 | ||||||||||||||||
Regulatory assets | 53 | 50 | ||||||||||||||||
Other | 7 | 4 | ||||||||||||||||
Total deferred tax liabilities | 982 | 775 | ||||||||||||||||
Net deferred tax liability | $ | 882 | $ | 655 | ||||||||||||||
KU expects to have adequate levels of taxable income to realize its recorded deferred income tax assets. | ||||||||||||||||||
At December 31, 2014, KU had $4 million of state credit carryforwards that expire in 2022. | ||||||||||||||||||
Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | -95 | $ | 51 | $ | -20 | ||||||||||||
Current - State | 6 | 12 | -1 | |||||||||||||||
Total Current Expense (Benefit) | -89 | 63 | -21 | |||||||||||||||
Deferred - Federal | 212 | 66 | 111 | |||||||||||||||
Deferred - State | 14 | 8 | 11 | |||||||||||||||
Total Deferred Expense, excluding benefits of operating loss carryforwards | 226 | 74 | 122 | |||||||||||||||
Investment tax credit, net - Federal | -2 | -2 | -3 | |||||||||||||||
Tax benefit of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | -3 | -20 | ||||||||||||||||
Total Tax Benefit of Operating Loss Carryforwards | -3 | -20 | ||||||||||||||||
Total income tax expense (a) | $ | 135 | $ | 132 | $ | 78 | ||||||||||||
Total income tax expense - Federal | $ | 115 | $ | 112 | $ | 68 | ||||||||||||
Total income tax expense - State | 20 | 20 | 10 | |||||||||||||||
Total income tax expense (a) | $ | 135 | $ | 132 | $ | 78 | ||||||||||||
(a) Excludes deferred federal and state tax expense (benefit) recorded to OCI of less than $(1) million in both 2014 and in 2013 and $1 million in 2012. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 124 | $ | 126 | $ | 75 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 13 | 14 | 6 | |||||||||||||||
Amortization of investment tax credit | -2 | -2 | -3 | |||||||||||||||
Other | -6 | |||||||||||||||||
Total increase (decrease) | 11 | 6 | 3 | |||||||||||||||
Total income tax expense | $ | 135 | $ | 132 | $ | 78 | ||||||||||||
Effective income tax rate | 38.00% | 36.70% | 36.30% | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
Property and other | $ | 27 | $ | 24 | $ | 23 | ||||||||||||
Total | $ | 27 | $ | 24 | $ | 23 | ||||||||||||
Unrecognized Tax Benefits (All Registrants) | ||||||||||||||||||
Changes to unrecognized tax benefits were as follows: | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | ||||||||||||||||||
Beginning of period | $ | 22 | $ | 92 | ||||||||||||||
Additions based on tax positions of prior years | 1 | 3 | ||||||||||||||||
Reductions based on tax positions of prior years | -2 | -32 | ||||||||||||||||
Settlements | -1 | -30 | ||||||||||||||||
Lapse of applicable statute of limitation | -11 | |||||||||||||||||
End of period | $ | 20 | $ | 22 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
Beginning of period | $ | 15 | $ | 30 | ||||||||||||||
Reductions based on tax positions of prior years | -15 | |||||||||||||||||
End of period | $ | 15 | $ | 15 | ||||||||||||||
PPL Electric | ||||||||||||||||||
Beginning of period | $ | 26 | ||||||||||||||||
Reductions based on tax positions of prior years | -17 | |||||||||||||||||
Lapse of applicable statute of limitation | -9 | |||||||||||||||||
End of period | $ | |||||||||||||||||
LKE's, LG&E's and KU's unrecognized tax benefits and changes in those unrecognized tax benefits are insignificant at December 31, 2014 and December 31, 2013. | ||||||||||||||||||
At December 31, 2014, it was reasonably possible that during the next 12 months the total amount of unrecognized tax benefits could increase or decrease by the following amounts. For PPL Electric, LKE, LG&E and KU, no significant changes in unrecognized tax benefits are projected over the next 12 months. | ||||||||||||||||||
Increase | Decrease | |||||||||||||||||
PPL | $ | $ | 20 | |||||||||||||||
PPL Energy Supply | 15 | |||||||||||||||||
These potential changes could result from subsequent recognition, derecognition and/or changes in the measurement of uncertain tax positions related to the creditability of foreign taxes, the timing and utilization of foreign tax credits and the related impact on alternative minimum tax and other credits, the timing and/or valuation of certain deductions, intercompany transactions and unitary filing groups. The events that could cause these changes are direct settlements with taxing authorities, litigation, legal or administrative guidance by relevant taxing authorities and the lapse of an applicable statute of limitation. | ||||||||||||||||||
At December 31, the total unrecognized tax benefits and related indirect effects that, if recognized, would decrease the effective tax rate were as follows. The amounts for PPL Electric, LKE, LG&E and KU were insignificant. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | $ | 19 | $ | 21 | ||||||||||||||
PPL Energy Supply | 14 | 14 | ||||||||||||||||
At December 31, the following receivable (payable) balances were recorded for interest related to tax positions. The amounts for PPL Electric, LKE, LG&E and KU were insignificant. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | $ | 14 | $ | 15 | ||||||||||||||
PPL Energy Supply | 16 | 15 | ||||||||||||||||
The following interest expense (benefit) was recognized in income taxes. The amounts for LKE, LG&E and KU were insignificant. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
PPL | $ | 1 | $ | -30 | $ | -4 | ||||||||||||
PPL Energy Supply | -1 | 5 | -4 | |||||||||||||||
PPL Electric | -7 | -4 | ||||||||||||||||
PPL or its subsidiaries file tax returns in five major tax jurisdictions. The income tax provisions for PPL Energy Supply, PPL Electric, LKE, LG&E and KU are calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if each domestic subsidiary filed a separate consolidated return. Based on this tax sharing agreement, PPL Energy Supply or its subsidiaries indirectly or directly file tax returns in three major tax jurisdictions, PPL Electric or its subsidiaries indirectly or directly file tax returns in two major tax jurisdictions, and LKE, LG&E and KU or their subsidiaries indirectly or directly file tax returns in two major tax jurisdictions. With few exceptions, at December 31, 2014, these jurisdictions, as well as the tax years that are no longer subject to examination, were as follows: | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||
U.S. (federal) | 1997 and prior | 1997 and prior | 1997 and prior | 10/31/2010 and prior | 10/31/2010 and prior | 10/31/2010 and prior | ||||||||||||
Pennsylvania (state) | 2010 and prior | 2010 and prior | 2008 and prior | |||||||||||||||
Kentucky (state) | 2009 and prior | 2010 and prior | 2010 and prior | 2010 and prior | ||||||||||||||
Montana (state) | 2010 and prior | 2010 and prior | ||||||||||||||||
U.K. (foreign) | 2011 and prior |
Utility_Rate_Regulation
Utility Rate Regulation | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | |||||||||||||||||||||
Utility Rate Regulation | 6. Utility Rate Regulation | ||||||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
As discussed in Note 1 and summarized below, PPL, PPL Electric, LKE, LG&E and KU reflect the effects of regulatory actions in the financial statements for their cost-based rate-regulated utility operations. Regulatory assets and liabilities are classified as current if, upon initial recognition, the entire amount related to that item will be recovered or refunded within a year of the balance sheet date. | |||||||||||||||||||||
WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. See Note 1 for additional information. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
LG&E is subject to the jurisdiction of the KPSC and FERC, and KU is subject to the jurisdiction of the KPSC, FERC, VSCC and TRA. | |||||||||||||||||||||
LG&E's and KU's Kentucky base rates are calculated based on a return on capitalization (common equity, long-term debt and short-term debt) including adjustments for certain net investments and costs recovered separately through other means. As such, LG&E and KU generally earn a return on regulatory assets. | |||||||||||||||||||||
As a result of purchase accounting requirements, certain fair value amounts related to contracts that had favorable or unfavorable terms relative to market were recorded on the Balance Sheets with an offsetting regulatory asset or liability. LG&E and KU recover in customer rates the cost of coal contracts, power purchases and emission allowances. As a result, management believes the regulatory assets and liabilities created to offset the fair value amounts at LKE's acquisition date meet the recognition criteria established by existing accounting guidance and eliminate any rate-making impact of the fair value adjustments. LG&E's and KU’s customer rates will continue to reflect the original contracted prices for these contracts. | |||||||||||||||||||||
(PPL, LKE and KU) | |||||||||||||||||||||
KU's Virginia base rates are calculated based on a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities, except the levelized fuel factor, are excluded from the return on rate base utilized in the calculation of Virginia base rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
KU’s rates to municipal customers for wholesale requirements are calculated based on annual updates to a rate formula that utilizes a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities are excluded from the return on rate base utilized in the development of municipal rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
PPL Electric's distribution base rates are calculated based on a return on rate base (net utility plant plus a cash working capital allowance less plant-related deferred taxes and other miscellaneous additions and deductions). PPL Electric's transmission revenues are billed in accordance with a FERC tariff that allows for recovery of transmission costs incurred, a return on transmission-related plant and an automatic annual update. See "Transmission Formula Rate" below for additional information on this tariff. All regulatory assets and liabilities are excluded from distribution and transmission return on investment calculations; therefore, generally no return is earned on PPL Electric's regulatory assets. | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Following is an overview of selected regulatory assets and liabilities detailed in the preceding tables. Specific developments with respect to certain of these regulatory assets and liabilities are discussed in "Regulatory Matters." | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
Defined Benefit Plans | |||||||||||||||||||||
Defined benefit plan regulatory assets and liabilities represent the portion of unrecognized transition obligation, prior service cost and net actuarial losses that will be recovered in defined benefit plans expense through future base rates based upon established regulatory practices and generally, are amortized over the average remaining service lives of plan participants. These regulatory assets and liabilities are adjusted at least annually or whenever the funded status of defined benefit plans is re-measured. Of the regulatory asset and liability balances recorded, costs of $58 million for PPL, $18 million for PPL Electric, $40 million for LKE, $25 million for LG&E and $15 million for KU are expected to be amortized into net periodic defined benefit costs in 2015. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
PPL Electric, LG&E and KU have the ability to request from the PUC, KPSC and VSCC, as applicable, the authority to treat expenses related to specific extraordinary storms as a regulatory asset and defer such costs for regulatory accounting and reporting purposes. Once such authority is granted, LG&E and KU can request recovery of those expenses in a base rate case and begin amortizing the costs when recovery starts. PPL Electric can recover qualifying expenses caused by major storm events, as defined in its retail tariff, over three years through the Storm Damage Expense Rider commencing in the application year after the storm occurred. LG&E's and KU's storm costs are being amortized through various dates ending in 2020. | |||||||||||||||||||||
Unamortized Loss on Debt | |||||||||||||||||||||
Unamortized loss on reacquired debt represents losses on long-term debt reacquired or redeemed that have been deferred and will be amortized and recovered over either the original life of the extinguished debt or the life of the replacement debt (in the case of refinancing). Such costs are being amortized through 2029 for PPL Electric, 2035 for LG&E and through 2040 for PPL, LKE and KU. | |||||||||||||||||||||
Accumulated Cost of Removal of Utility Plant | |||||||||||||||||||||
LG&E and KU accrue for costs of removal through depreciation expense with an offsetting credit to a regulatory liability. The regulatory liability is relieved as costs are incurred. See Note 1 for additional information. | |||||||||||||||||||||
PPL Electric does not accrue for costs of removal. When costs of removal are incurred, PPL Electric records the deferral of costs as a regulatory asset. Such deferral is included in rates and amortized over the subsequent five-year period. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
Generation Supply Charge | |||||||||||||||||||||
The generation supply charge is a cost recovery mechanism that permits PPL Electric to recover costs incurred to provide generation supply to PLR customers who receive basic generation supply service. The recovery includes charges for generation supply (energy and capacity and ancillary services), as well as administration of the acquisition process. In addition, the generation supply charge contains a reconciliation mechanism whereby any over- or under-recovery from prior quarters is refunded to, or recovered from, customers through the adjustment factor determined for the subsequent quarter. | |||||||||||||||||||||
Transmission Service Charge (TSC) | |||||||||||||||||||||
PPL Electric is charged by PJM for transmission service-related costs applicable to its PLR customers. PPL Electric passes these costs on to customers, who receive basic generation supply service through the PUC-approved TSC cost recovery mechanism. The TSC contains a reconciliation mechanism whereby any over- or under-recovery from customers is either refunded to, or recovered from, customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Transmission Formula Rate | |||||||||||||||||||||
PPL Electric's transmission revenues are billed in accordance with a FERC-approved open access transmission tariff that utilizes a formula-based rate recovery mechanism. The formula rate is based on prior year expenditures and forecasted current calendar year transmission plant additions. An adjustment to the prior year expenditures is recorded as a regulatory asset or regulatory liability. | |||||||||||||||||||||
Universal Service Rider (USR) | |||||||||||||||||||||
PPL Electric's distribution rates permit recovery of applicable costs associated with the universal service programs provided to PPL Electric's residential customers. Universal service programs include low-income programs, such as OnTrack and Winter Relief Assistance Program (WRAP). OnTrack is a special payment program for low-income households within the federal poverty level that have difficulty paying their electric bills. This program is funded by residential customers and administered by community-based organizations. Customers who participate in OnTrack receive assistance in the form of reduced payment arrangements, protection against termination of electric service and referrals to other community programs and services. The WRAP program reduces electric bills and improves living comfort for low-income customers by providing services such as weatherization measures and energy education services. The USR is applied to distribution charges for each customer who receives distribution service under PPL Electric's residential service rate schedules. The USR contains a reconciliation mechanism whereby any over- or under-recovery from the current year is refunded to or recovered from residential customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Storm Damage Expense | |||||||||||||||||||||
In accordance with the PUC's December 2012 final rate case order, PPL Electric proposed the establishment of a Storm Damage Expense Rider (SDER) with the PUC. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date. On June 20, 2014, the Office of Consumer Advocate (OCA) filed a petition requesting the Commonwealth Court of Pennsylvania to reverse and remand the April 2014 order, which petition remains outstanding. On January 15, 2015, the PUC issued an order modifying the effective date of the SDER to February 1, 2015. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on the SDER. | |||||||||||||||||||||
Taxes Recoverable through Future Rates | |||||||||||||||||||||
Taxes recoverable through future rates represent the portion of future income taxes that will be recovered through future rates based upon established regulatory practices. Accordingly, this regulatory asset is recognized when the offsetting deferred tax liability is recognized. For general-purpose financial reporting, this regulatory asset and the deferred tax liability are not offset; rather, each is displayed separately. This regulatory asset is expected to be recovered over the period that the underlying book-tax timing differences reverse and the actual cash taxes are incurred. | |||||||||||||||||||||
Act 129 Compliance Rider | |||||||||||||||||||||
In compliance with Pennsylvania's Act 129 of 2008 and implementing regulations, Phase I of PPL Electric's energy efficiency and conservation plan was approved by a PUC order in October 2009. The order allows PPL Electric to recover the maximum $250 million cost of the program ratably over the life of the plan, from January 1, 2010 through May 31, 2013. Phase II of PPL's energy efficiency and conservation plan allows PPL Electric to recover the maximum $185 million cost of the program over the three year period June 1, 2013 through May 31, 2016. The plan includes programs intended to reduce electricity consumption. The recoverable costs include direct and indirect charges, including design and development costs, general and administrative costs and applicable state evaluator costs. The rates are applied to customers who receive distribution service through the Act 129 Compliance Rider. The actual program costs are reconcilable, and any over- or under-recovery from customers will be refunded or recovered at the end of the program. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on Act 129. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Environmental Cost Recovery | |||||||||||||||||||||
Kentucky law permits LG&E and KU to recover the costs, including a return of operating expenses and a return of and on capital invested, of complying with the Clean Air Act and those federal, state or local environmental requirements which apply to coal combustion wastes and by-products from coal-fired electric generating facilities. The KPSC requires reviews of the past operations of the environmental surcharge for six-month and two-year billing periods to evaluate the related charges, credits and rates of return, as well as to provide for the roll-in of ECR amounts to base rates each two-year period. The ECR regulatory asset or liability represents the amount that has been under- or over-recovered due to timing or adjustments to the mechanism and is typically recovered within 12 months. As a result of the settlement agreement in the 2012 rate case, beginning in 2013, LG&E and KU began receiving a 10.25% return on equity for all ECR projects included in the 2009 and 2011 compliance plans. In 2012 and 2011, LG&E and KU were authorized to receive a 10.63% return on equity for projects associated with the 2009 compliance plan and a 10.10% return on equity for projects associated with the 2011 compliance plan. | |||||||||||||||||||||
Gas Supply Clause | |||||||||||||||||||||
LG&E's natural gas rates contain a gas supply clause, whereby the expected cost of natural gas supply and variances between actual and expected costs from prior periods are adjusted quarterly in LG&E's rates, subject to approval by the KPSC. The gas supply clause includes a separate natural gas procurement incentive mechanism, which allows LG&E's rates to be adjusted annually to share variances between actual costs and market indices between the shareholders and the customers during each performance-based rate year (12 months ending October 31). The regulatory assets or liabilities represent the total amounts that have been under- or over-recovered due to timing or adjustments to the mechanisms and are typically recovered within 18 months. | |||||||||||||||||||||
Fuel Adjustment Clauses | |||||||||||||||||||||
LG&E's and KU's retail electric rates contain a fuel adjustment clause, whereby variances in the cost of fuel to generate electricity, including transportation costs, from the costs embedded in base rates are adjusted in LG&E's and KU’s rates. The KPSC requires public hearings at six-month intervals to examine past fuel adjustments and at two-year intervals to review past operations of the fuel adjustment clause and, to the extent appropriate, reestablish the fuel charge included in base rates. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
KU also employs a levelized fuel factor mechanism for Virginia customers using an average fuel cost factor based primarily on projected fuel costs. The Virginia levelized fuel factor allows fuel recovery based on projected fuel costs for the coming year plus an adjustment for any under- or over-recovery of fuel expenses from the prior year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
Demand Side Management | |||||||||||||||||||||
LG&E's and KU's DSM programs consist of energy efficiency programs which are intended to reduce peak demand and delay the investment in additional power plant construction, provide customers with tools and information to become better managers of their energy usage and prepare for potential future legislation governing energy efficiency. LG&E's and KU's rates contain a DSM provision which includes a rate recovery mechanism that provides for concurrent recovery of DSM costs, and allows for the recovery of DSM revenues from lost sales associated with the DSM programs. Additionally, LG&E and KU earn an approved return on equity for capital expenditures associated with the residential and commercial load management/demand conservation programs. The cost of DSM programs is assigned only to the class or classes of customers that benefit from the programs. | |||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL that have terms identical to forward-starting swaps entered into by PPL with third parties. Net realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in “Interest Expense” on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. At December 31, 2014, the total notional amount of forward starting interest rate swaps outstanding was $1 billion (LG&E and KU each held contracts of $500 million). The swaps range in maturity through 2045. There were no forward starting interest rate swaps outstanding at December 31, 2013. Net cash settlements of $86 million were received on swaps that were terminated in 2013 (LG&E and KU each received $43 million). Net realized gains on these terminated swaps will be returned through regulated rates. As such, the net settlements were recorded in regulatory liabilities and are being recognized in "Interest Expense" on the Statements of Income over the life of the new debt which matures in 2043. See Note 17 for additional information related to the forward-starting interest rate swaps. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
In addition to the hedges terminated as a result of the debt issuance, realized amounts associated with LG&E's interest rate swaps, including a terminated swap contract from 2008, are recoverable through rates based on an order from the KPSC, LG&E's unrealized losses and gains are recorded as a regulatory asset or liability until they are realized as interest expense. Interest expense from existing swaps is realized and recovered over the terms of the associated debt, which matures through 2033. Amortization of the gain or loss related to the 2008 terminated swap contract is to be recovered through 2035. | |||||||||||||||||||||
AROs | |||||||||||||||||||||
As discussed in Note 1, the accretion and depreciation expenses related to LG&E’s and KU’s AROs are recorded as a regulatory asset, such that there is no earnings impact. When an asset with an ARO is retired, the related ARO regulatory asset is offset against the associated cost of removal regulatory liability, PP&E and ARO liability. | |||||||||||||||||||||
Gas Line Tracker | |||||||||||||||||||||
In the 2012 rate case order, the KPSC approved the GLT rate recovery mechanism. The GLT authorizes LG&E to recover its incremental operating expenses, depreciation and property taxes, and to earn a 10.25% return on equity for capital associated with the five year gas service riser, leak mitigation and customer service line ownership programs. As part of this program, LG&E makes necessary repairs and assumes ownership of natural gas lines. LG&E annually files projected costs in October to become effective on the first billing cycle in January. After the completion of a plan year, LG&E submits a balancing adjustment filing to the KPSC to amend rates charged for the differences between the actual costs and actual GLT charges for the preceding year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to these timing differences. | |||||||||||||||||||||
Coal Contracts | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, LG&E's and KU's coal contracts were recorded at fair value on the Balance Sheets with offsets to regulatory assets for those contracts with unfavorable terms relative to current market prices and offsets to regulatory liabilities for those contracts with favorable terms relative to current market prices. These regulatory assets and liabilities are being amortized over the same terms as the related contracts, which expire at various times through 2016. | |||||||||||||||||||||
Power Purchase Agreement - OVEC | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, the fair values of the OVEC power purchase agreement were recorded on the balance sheets of LKE, LG&E and KU with offsets to regulatory liabilities. The regulatory liabilities are being amortized using the units-of-production method until March 2026, the expiration date of the agreement at the date of the acquisition. | |||||||||||||||||||||
Regulatory Liability Associated with Net Deferred Tax Assets | |||||||||||||||||||||
LG&E's and KU's regulatory liabilities associated with net deferred tax assets represent the future revenue impact from the reversal of deferred income taxes required primarily for unamortized investment tax credits. These regulatory liabilities are recognized when the offsetting deferred tax assets are recognized. For general-purpose financial reporting, these regulatory liabilities and the deferred tax assets are not offset; rather, each is displayed separately. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
U.K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
In March 2014, Ofgem issued its final decision on the DPCR4 line loss incentives and penalties mechanism. As a result, during the first quarter of 2014 WPD increased its existing liability by $65 million for over-recovery of line losses with a reduction to "Utility" revenues on the Statement of Income. Previously, WPD recorded an increase of $45 million to the liability with a reduction to "Utility" revenue on the Statement of Income in 2013, compared to a $79 million reduction of the liability with a credit to "Utility" revenue on the Statement of Income in 2012. In June 2014, WPD applied for judicial review of certain of Ofgem's decisions related to closing out the DPCR4 line loss mechanism. The court held a hearing on November 20, 2014, however, WPD was denied permission to apply for judicial review and WPD considers the matter now closed. Other activity impacting the liability included reductions in the liability that have been included in tariffs and foreign exchange movements. The recorded liability at December 31, 2014 and 2013 was $99 million and $74 million. The total recorded liability will be refunded to customers from April 1, 2015 through March 31, 2019. | |||||||||||||||||||||
Kentucky Activities | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
On November 26, 2014, LG&E and KU filed requests with the KPSC for increases in annual base electricity rates of approximately $30 million at LG&E and approximately $153 million at KU and an increase in annual base gas rates of approximately $14 million at LG&E. The proposed base rate increases would result in electricity rate increases of 2.7% at LG&E and 9.6% at KU and a gas rate increase of 4.2% at LG&E and would become effective in July 2015. LG&E’s and KU’s applications each include a request for authorized returns-on-equity of 10.5%. The applications are based on a forecasted test year of July 1, 2015 through June 30, 2016. A number of parties have been granted intervention requests in the proceedings. A hearing on the applications is scheduled to commence on April 21, 2015. LG&E and KU cannot predict the outcome of these proceedings. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
CPCN Filings | |||||||||||||||||||||
In January 2014, LG&E and KU filed an application for a CPCN with the KPSC requesting approval to build a solar generating facility at the E.W. Brown generating site. LG&E and KU entered into a stipulation in this proceeding agreeing to certain matters with some interveners and a hearing was held in November 2014. In December 2014, a final order was issued approving the request to construct the solar generating facility at E.W. Brown along with the acceptance of the provisions in the stipulation agreement. | |||||||||||||||||||||
Pennsylvania Activities (PPL and PPL Electric) | |||||||||||||||||||||
Rate Case Proceeding | |||||||||||||||||||||
In December 2012, the PUC approved a total distribution revenue increase of about $71 million for PPL Electric, including a 10.40% allowed return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
Storm Damage Expense Rider | |||||||||||||||||||||
In its December 28, 2012 final rate case order, the PUC directed PPL Electric to file a proposed SDER. The SDER is a reconcilable automatic adjustment clause under which PPL Electric annually will compare actual storm costs to storm costs allowed in base rates and refund or recoup any differences from customers. In March 2013, PPL Electric filed its proposed SDER with the PUC and, as part of that filing, requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy. PPL Electric proposed that the SDER become effective January 1, 2013 at a zero rate with qualifying storm costs incurred in 2013 and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. As of December 31, 2013, PPL Electric had a $14 million regulatory liability balance for amounts expected to be refunded to customers for revenues collected to cover storm costs in excess of actual storm costs incurred during 2013. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date and initially including actual storm costs compared to collections for December 2013 through November 2014. As a result, PPL Electric reduced its 2013 regulatory liability by $12 million. Also, as part of the April 2014 order, PPL Electric was authorized to recover Hurricane Sandy storm damage costs through the SDER over a three-year period beginning January 1, 2015. | |||||||||||||||||||||
On June 20, 2014, the OCA filed a petition with the Commonwealth Court of Pennsylvania requesting that the Court reverse and remand the April 2014 order permitting PPL Electric to establish the SDER. This matter remains pending before the Commonwealth Court. On October 31, 2014, PPL Electric filed with the PUC a preliminary calculation of the SDER for the period January 1, 2015 through December 31, 2015 and a tariff supplement pursuant to the April Order. On December 3, 2014, the OCA filed a formal complaint and public statement with the PUC challenging PPL Electric's October 31 filings. In response to the OCA's formal complaint, the PUC suspended the effective date of the SDER until April 20, 2015 and opened an investigation. On January 12, 2015, the OCA filed a petition to withdraw its complaint against PPL Electric's October 31 filings. On January 13, 2015, the Administrative Law Judge issued an initial decision granting the OCA's petition to withdraw. On January 15, 2015, the PUC issued a final order closing the investigation and modifying the effective date of the SDER to February 1, 2015. | |||||||||||||||||||||
Act 129 | |||||||||||||||||||||
Act 129 requires Pennsylvania Electric Distribution Companies (EDCs) to meet specified goals for reduction in customer electricity usage and peak demand by specified dates. EDCs not meeting the requirements of Act 129 are subject to significant penalties. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electricity generation supply service to customers pursuant to a PUC-approved default service procurement plan through auctions, requests for proposal and bilateral contracts at the sole discretion of the DSP. Act 129 requires a mix of spot market purchases, short-term contracts and long-term contracts (4 to 20 years), with long-term contracts limited to 25% of load unless otherwise approved by the PUC. A DSP is able to recover the costs associated with its default service procurement plan. | |||||||||||||||||||||
In January 2013, the PUC approved PPL Electric's DSP procurement plan for the period June 1, 2013 through May 31, 2015. PPL Electric filed a new DSP procurement plan with the PUC for the period June 1, 2015 through May 31, 2017. In September 2014, the parties filed with the presiding Administrative Law Judge a partial settlement resolving all but two issues in the proceeding related to the structure of the DSP, without direct financial impact of PPL Electric. The parties filed briefs on those two issues. In October 2014, a recommended decision was issued approving the partial settlement. Exceptions and reply exceptions were filed by the parties. On January 15, 2015, an Opinion and Order was issued approving the partial settlement and granting PPL Electric's Petition with slight modifications and closing the investigation. | |||||||||||||||||||||
Smart Meter Rider | |||||||||||||||||||||
Act 129 also requires installation of smart meters for new construction, upon the request of consumers and at their cost, or on a depreciation schedule not exceeding 15 years. Under Act 129, EDCs are able to recover the costs of providing smart metering technology. All of PPL Electric's metered customers currently have advanced meters installed at their service locations capable of many of the functions required under Act 129. PPL Electric conducted pilot projects and technical evaluations of its current advanced metering technology and concluded that the current technology does not meet all of the requirements of Act 129. PPL Electric recovered the cost of its evaluations through a cost recovery mechanism, the Smart Meter Rider (SMR). In August 2013, PPL Electric filed with the PUC an annual report describing the actions it was taking under its Smart Meter Plan during 2013 and its planned actions for 2014. PPL Electric also submitted revised SMR charges that became effective January 1, 2014. On June 30, 2014, PPL Electric filed its final Smart Meter Plan with the PUC. In that plan, PPL Electric proposes to replace all of its current meters with advanced meters that meet the Act 129 requirements. Full deployment of the new meters is expected to be complete by the end of 2019. The total cost of the project is estimated to be approximately $450 million. PPL Electric proposes to recover these costs through the SMR which the PUC previously has approved for recovery of such costs. The PUC assigned PPL Electric's plan to an Administrative Law Judge for hearings and preparation of a recommended decision. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
PUC Investigation of Retail Electricity Market | |||||||||||||||||||||
In April 2011, the PUC opened an investigation of Pennsylvania's retail electricity market to be conducted in two phases. Phase one addressed the status of the existing retail market and explored potential changes. Questions issued by the PUC for phase one of the investigation focused primarily on default service issues. Phase two was initiated in July 2011 to develop specific proposals for changes to the retail market and default service model. From December 2011 through the end of 2012, the PUC issued several orders and other pronouncements related to the investigation. A final implementation order was issued in February 2013, and the PUC created several working groups to address continuing competitive issues. Although the final implementation order contains provisions that will require numerous modifications to PPL Electric's current default service model for retail customers, those modifications are not expected to have a material adverse effect on PPL Electric's results of operations. | |||||||||||||||||||||
Distribution System Improvement Charge | |||||||||||||||||||||
Act 11 authorizes the PUC to approve two specific ratemaking mechanisms: the use of a fully projected future test year in base rate proceedings and, subject to certain conditions, the use of a DSIC. Such alternative ratemaking procedures and mechanisms provide opportunity for accelerated cost-recovery and, therefore, are important to PPL Electric as it begins a period of significant capital investment to maintain and enhance the reliability of its delivery system, including the replacement of aging distribution assets. In August 2012, the PUC issued a Final Implementation Order adopting procedures, guidelines and a model tariff for the implementation of Act 11. Act 11 requires utilities to file an LTIIP as a prerequisite to filing for recovery through the DSIC. The LTIIP is mandated to be a five- to ten-year plan describing projects eligible for inclusion in the DSIC. | |||||||||||||||||||||
In September 2012, PPL Electric filed its LTIIP describing projects eligible for inclusion in the DSIC and, in an order entered on May 23, 2013, the PUC approved PPL Electric's proposed DSIC with an initial rate effective July 1, 2013, subject to refund after hearings. The PUC also assigned four technical recovery calculation issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. In August 2014, the presiding Administrative Law Judge issued a recommended decision which would not have a significant impact on PPL Electric. Exceptions and reply exceptions have been filed by the parties. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
During 2012, PPL Electric experienced several PUC-reportable storms, including Hurricane Sandy, resulting in total restoration costs of $81 million, of which $61 million were initially recorded in "Other operation and maintenance" on the Statement of Income. In particular, in late October 2012, PPL Electric experienced widespread significant damage to its distribution network from Hurricane Sandy resulting in total restoration costs of $66 million, of which $50 million were initially recorded in "Other operation and maintenance" on the Statement of Income. Although PPL Electric had storm insurance coverage, the costs incurred from Hurricane Sandy exceeded the policy limits. Probable insurance recoveries recorded during 2012 were $18.25 million, of which $14 million were included in "Other operation and maintenance" on the Statement of Income. At December 31, 2014 and 2013, $29 million was included on the Balance Sheets as a regulatory asset. In February 2013, PPL Electric received an order from the PUC granting permission to defer qualifying storm costs in excess of insurance recoveries associated with Hurricane Sandy. See "Storm Damage Expense Rider" above for information regarding PPL Electric's filing of a proposed Storm Damage Expense Rider with the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Formula Rates (PPL and PPL Electric) | |||||||||||||||||||||
Transmission rates are regulated by the FERC. PPL Electric's transmission revenues are billed in accordance with a FERC-approved PJM open access transmission tariff (OATT) that utilizes a formula-based rate recovery mechanism. The formula rate is calculated, in part, based on financial results as reported in PPL Electric's annual FERC Form 1, filed under the FERC's Uniform System of Accounts. | |||||||||||||||||||||
PPL Electric initiated its formula rate 2012, 2011 and 2010 Annual Updates. Each update was subsequently challenged by a group of municipal customers, whose challenges were opposed by PPL Electric. Between 2011 and 2013, numerous hearings before the FERC and settlement conferences were convened in an attempt to resolve these matters. Beginning in the second half of 2013, PPL Electric and the group of municipal customers exchanged confidential settlement proposals. In September 2014, the parties filed a Joint Offer of Settlement with the FERC resolving all issues in the pending challenges, and including refunds of certain insignificant amounts to the municipalities. The settlement judge certified the uncontested settlement to the FERC with a recommendation that it be approved. The Chief Judge issued an order terminating settlement judge procedures. On February 9, 2015, FERC issued a letter order approving the Joint Offer of Settlement and directing PPL Electric to file tariff revisions that implement within the PJM OATT the changes to the formula rate set forth in the Joint Settlement. | |||||||||||||||||||||
FERC Wholesale Formula Rates (LKE and KU) | |||||||||||||||||||||
In September 2013, KU filed an application with the FERC to adjust the formula rate under which KU provides wholesale requirements power sales to 12 municipal customers. Among other changes, the application requests an amended formula whereby KU would charge cost-based rates with a subsequent true-up to actual costs, replacing the current formula which does not include a true-up. KU's application proposed an authorized return on equity of 10.7%. Certain elements, including the new formula rate, became effective April 23, 2014, subject to refund. In April 2014, nine municipalities submitted notices of termination, under the original notice period provisions, to cease taking power under the wholesale requirements contracts. Such terminations are to be effective in 2019, except in the case of one municipality with a 2017 effective date. In addition, a tenth municipality has a previously settled termination date of 2016. In July 2014, KU agreed on settlement terms with the two municipal customers that did not provide termination notices and filed the settlement proposal with the FERC for its approval. In August 2014, the FERC issued an order on the interim settlement agreement allowing the proposed rates to become effective pending a final order. If approved, the settlement agreement will resolve the rate case with respect to these two municipalities, including an authorized return on equity of 10.0% or the return on equity awarded to other parties in this case, whichever is lower. Also in July 2014, KU made a contractually required filing with the FERC that addressed certain rate recovery matters affecting the nine terminating municipalities during the remaining term of their contracts. KU and the terminating municipalities continue settlement discussions in this proceeding. KU cannot currently predict the outcome of its FERC applications regarding its wholesale power agreements with the municipalities. | |||||||||||||||||||||
PPL Electric Utilities Corp [Member] | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | |||||||||||||||||||||
Utility Rate Regulation | 6. Utility Rate Regulation | ||||||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
As discussed in Note 1 and summarized below, PPL, PPL Electric, LKE, LG&E and KU reflect the effects of regulatory actions in the financial statements for their cost-based rate-regulated utility operations. Regulatory assets and liabilities are classified as current if, upon initial recognition, the entire amount related to that item will be recovered or refunded within a year of the balance sheet date. | |||||||||||||||||||||
WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. See Note 1 for additional information. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
LG&E is subject to the jurisdiction of the KPSC and FERC, and KU is subject to the jurisdiction of the KPSC, FERC, VSCC and TRA. | |||||||||||||||||||||
LG&E's and KU's Kentucky base rates are calculated based on a return on capitalization (common equity, long-term debt and short-term debt) including adjustments for certain net investments and costs recovered separately through other means. As such, LG&E and KU generally earn a return on regulatory assets. | |||||||||||||||||||||
As a result of purchase accounting requirements, certain fair value amounts related to contracts that had favorable or unfavorable terms relative to market were recorded on the Balance Sheets with an offsetting regulatory asset or liability. LG&E and KU recover in customer rates the cost of coal contracts, power purchases and emission allowances. As a result, management believes the regulatory assets and liabilities created to offset the fair value amounts at LKE's acquisition date meet the recognition criteria established by existing accounting guidance and eliminate any rate-making impact of the fair value adjustments. LG&E's and KU’s customer rates will continue to reflect the original contracted prices for these contracts. | |||||||||||||||||||||
(PPL, LKE and KU) | |||||||||||||||||||||
KU's Virginia base rates are calculated based on a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities, except the levelized fuel factor, are excluded from the return on rate base utilized in the calculation of Virginia base rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
KU’s rates to municipal customers for wholesale requirements are calculated based on annual updates to a rate formula that utilizes a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities are excluded from the return on rate base utilized in the development of municipal rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
PPL Electric's distribution base rates are calculated based on a return on rate base (net utility plant plus a cash working capital allowance less plant-related deferred taxes and other miscellaneous additions and deductions). PPL Electric's transmission revenues are billed in accordance with a FERC tariff that allows for recovery of transmission costs incurred, a return on transmission-related plant and an automatic annual update. See "Transmission Formula Rate" below for additional information on this tariff. All regulatory assets and liabilities are excluded from distribution and transmission return on investment calculations; therefore, generally no return is earned on PPL Electric's regulatory assets. | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Following is an overview of selected regulatory assets and liabilities detailed in the preceding tables. Specific developments with respect to certain of these regulatory assets and liabilities are discussed in "Regulatory Matters." | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
Defined Benefit Plans | |||||||||||||||||||||
Defined benefit plan regulatory assets and liabilities represent the portion of unrecognized transition obligation, prior service cost and net actuarial losses that will be recovered in defined benefit plans expense through future base rates based upon established regulatory practices and generally, are amortized over the average remaining service lives of plan participants. These regulatory assets and liabilities are adjusted at least annually or whenever the funded status of defined benefit plans is re-measured. Of the regulatory asset and liability balances recorded, costs of $58 million for PPL, $18 million for PPL Electric, $40 million for LKE, $25 million for LG&E and $15 million for KU are expected to be amortized into net periodic defined benefit costs in 2015. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
PPL Electric, LG&E and KU have the ability to request from the PUC, KPSC and VSCC, as applicable, the authority to treat expenses related to specific extraordinary storms as a regulatory asset and defer such costs for regulatory accounting and reporting purposes. Once such authority is granted, LG&E and KU can request recovery of those expenses in a base rate case and begin amortizing the costs when recovery starts. PPL Electric can recover qualifying expenses caused by major storm events, as defined in its retail tariff, over three years through the Storm Damage Expense Rider commencing in the application year after the storm occurred. LG&E's and KU's storm costs are being amortized through various dates ending in 2020. | |||||||||||||||||||||
Unamortized Loss on Debt | |||||||||||||||||||||
Unamortized loss on reacquired debt represents losses on long-term debt reacquired or redeemed that have been deferred and will be amortized and recovered over either the original life of the extinguished debt or the life of the replacement debt (in the case of refinancing). Such costs are being amortized through 2029 for PPL Electric, 2035 for LG&E and through 2040 for PPL, LKE and KU. | |||||||||||||||||||||
Accumulated Cost of Removal of Utility Plant | |||||||||||||||||||||
LG&E and KU accrue for costs of removal through depreciation expense with an offsetting credit to a regulatory liability. The regulatory liability is relieved as costs are incurred. See Note 1 for additional information. | |||||||||||||||||||||
PPL Electric does not accrue for costs of removal. When costs of removal are incurred, PPL Electric records the deferral of costs as a regulatory asset. Such deferral is included in rates and amortized over the subsequent five-year period. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
Generation Supply Charge | |||||||||||||||||||||
The generation supply charge is a cost recovery mechanism that permits PPL Electric to recover costs incurred to provide generation supply to PLR customers who receive basic generation supply service. The recovery includes charges for generation supply (energy and capacity and ancillary services), as well as administration of the acquisition process. In addition, the generation supply charge contains a reconciliation mechanism whereby any over- or under-recovery from prior quarters is refunded to, or recovered from, customers through the adjustment factor determined for the subsequent quarter. | |||||||||||||||||||||
Transmission Service Charge (TSC) | |||||||||||||||||||||
PPL Electric is charged by PJM for transmission service-related costs applicable to its PLR customers. PPL Electric passes these costs on to customers, who receive basic generation supply service through the PUC-approved TSC cost recovery mechanism. The TSC contains a reconciliation mechanism whereby any over- or under-recovery from customers is either refunded to, or recovered from, customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Transmission Formula Rate | |||||||||||||||||||||
PPL Electric's transmission revenues are billed in accordance with a FERC-approved open access transmission tariff that utilizes a formula-based rate recovery mechanism. The formula rate is based on prior year expenditures and forecasted current calendar year transmission plant additions. An adjustment to the prior year expenditures is recorded as a regulatory asset or regulatory liability. | |||||||||||||||||||||
Universal Service Rider (USR) | |||||||||||||||||||||
PPL Electric's distribution rates permit recovery of applicable costs associated with the universal service programs provided to PPL Electric's residential customers. Universal service programs include low-income programs, such as OnTrack and Winter Relief Assistance Program (WRAP). OnTrack is a special payment program for low-income households within the federal poverty level that have difficulty paying their electric bills. This program is funded by residential customers and administered by community-based organizations. Customers who participate in OnTrack receive assistance in the form of reduced payment arrangements, protection against termination of electric service and referrals to other community programs and services. The WRAP program reduces electric bills and improves living comfort for low-income customers by providing services such as weatherization measures and energy education services. The USR is applied to distribution charges for each customer who receives distribution service under PPL Electric's residential service rate schedules. The USR contains a reconciliation mechanism whereby any over- or under-recovery from the current year is refunded to or recovered from residential customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Storm Damage Expense | |||||||||||||||||||||
In accordance with the PUC's December 2012 final rate case order, PPL Electric proposed the establishment of a Storm Damage Expense Rider (SDER) with the PUC. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date. On June 20, 2014, the Office of Consumer Advocate (OCA) filed a petition requesting the Commonwealth Court of Pennsylvania to reverse and remand the April 2014 order, which petition remains outstanding. On January 15, 2015, the PUC issued an order modifying the effective date of the SDER to February 1, 2015. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on the SDER. | |||||||||||||||||||||
Taxes Recoverable through Future Rates | |||||||||||||||||||||
Taxes recoverable through future rates represent the portion of future income taxes that will be recovered through future rates based upon established regulatory practices. Accordingly, this regulatory asset is recognized when the offsetting deferred tax liability is recognized. For general-purpose financial reporting, this regulatory asset and the deferred tax liability are not offset; rather, each is displayed separately. This regulatory asset is expected to be recovered over the period that the underlying book-tax timing differences reverse and the actual cash taxes are incurred. | |||||||||||||||||||||
Act 129 Compliance Rider | |||||||||||||||||||||
In compliance with Pennsylvania's Act 129 of 2008 and implementing regulations, Phase I of PPL Electric's energy efficiency and conservation plan was approved by a PUC order in October 2009. The order allows PPL Electric to recover the maximum $250 million cost of the program ratably over the life of the plan, from January 1, 2010 through May 31, 2013. Phase II of PPL's energy efficiency and conservation plan allows PPL Electric to recover the maximum $185 million cost of the program over the three year period June 1, 2013 through May 31, 2016. The plan includes programs intended to reduce electricity consumption. The recoverable costs include direct and indirect charges, including design and development costs, general and administrative costs and applicable state evaluator costs. The rates are applied to customers who receive distribution service through the Act 129 Compliance Rider. The actual program costs are reconcilable, and any over- or under-recovery from customers will be refunded or recovered at the end of the program. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on Act 129. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Environmental Cost Recovery | |||||||||||||||||||||
Kentucky law permits LG&E and KU to recover the costs, including a return of operating expenses and a return of and on capital invested, of complying with the Clean Air Act and those federal, state or local environmental requirements which apply to coal combustion wastes and by-products from coal-fired electric generating facilities. The KPSC requires reviews of the past operations of the environmental surcharge for six-month and two-year billing periods to evaluate the related charges, credits and rates of return, as well as to provide for the roll-in of ECR amounts to base rates each two-year period. The ECR regulatory asset or liability represents the amount that has been under- or over-recovered due to timing or adjustments to the mechanism and is typically recovered within 12 months. As a result of the settlement agreement in the 2012 rate case, beginning in 2013, LG&E and KU began receiving a 10.25% return on equity for all ECR projects included in the 2009 and 2011 compliance plans. In 2012 and 2011, LG&E and KU were authorized to receive a 10.63% return on equity for projects associated with the 2009 compliance plan and a 10.10% return on equity for projects associated with the 2011 compliance plan. | |||||||||||||||||||||
Gas Supply Clause | |||||||||||||||||||||
LG&E's natural gas rates contain a gas supply clause, whereby the expected cost of natural gas supply and variances between actual and expected costs from prior periods are adjusted quarterly in LG&E's rates, subject to approval by the KPSC. The gas supply clause includes a separate natural gas procurement incentive mechanism, which allows LG&E's rates to be adjusted annually to share variances between actual costs and market indices between the shareholders and the customers during each performance-based rate year (12 months ending October 31). The regulatory assets or liabilities represent the total amounts that have been under- or over-recovered due to timing or adjustments to the mechanisms and are typically recovered within 18 months. | |||||||||||||||||||||
Fuel Adjustment Clauses | |||||||||||||||||||||
LG&E's and KU's retail electric rates contain a fuel adjustment clause, whereby variances in the cost of fuel to generate electricity, including transportation costs, from the costs embedded in base rates are adjusted in LG&E's and KU’s rates. The KPSC requires public hearings at six-month intervals to examine past fuel adjustments and at two-year intervals to review past operations of the fuel adjustment clause and, to the extent appropriate, reestablish the fuel charge included in base rates. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
KU also employs a levelized fuel factor mechanism for Virginia customers using an average fuel cost factor based primarily on projected fuel costs. The Virginia levelized fuel factor allows fuel recovery based on projected fuel costs for the coming year plus an adjustment for any under- or over-recovery of fuel expenses from the prior year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
Demand Side Management | |||||||||||||||||||||
LG&E's and KU's DSM programs consist of energy efficiency programs which are intended to reduce peak demand and delay the investment in additional power plant construction, provide customers with tools and information to become better managers of their energy usage and prepare for potential future legislation governing energy efficiency. LG&E's and KU's rates contain a DSM provision which includes a rate recovery mechanism that provides for concurrent recovery of DSM costs, and allows for the recovery of DSM revenues from lost sales associated with the DSM programs. Additionally, LG&E and KU earn an approved return on equity for capital expenditures associated with the residential and commercial load management/demand conservation programs. The cost of DSM programs is assigned only to the class or classes of customers that benefit from the programs. | |||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL that have terms identical to forward-starting swaps entered into by PPL with third parties. Net realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in “Interest Expense” on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. At December 31, 2014, the total notional amount of forward starting interest rate swaps outstanding was $1 billion (LG&E and KU each held contracts of $500 million). The swaps range in maturity through 2045. There were no forward starting interest rate swaps outstanding at December 31, 2013. Net cash settlements of $86 million were received on swaps that were terminated in 2013 (LG&E and KU each received $43 million). Net realized gains on these terminated swaps will be returned through regulated rates. As such, the net settlements were recorded in regulatory liabilities and are being recognized in "Interest Expense" on the Statements of Income over the life of the new debt which matures in 2043. See Note 17 for additional information related to the forward-starting interest rate swaps. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
In addition to the hedges terminated as a result of the debt issuance, realized amounts associated with LG&E's interest rate swaps, including a terminated swap contract from 2008, are recoverable through rates based on an order from the KPSC, LG&E's unrealized losses and gains are recorded as a regulatory asset or liability until they are realized as interest expense. Interest expense from existing swaps is realized and recovered over the terms of the associated debt, which matures through 2033. Amortization of the gain or loss related to the 2008 terminated swap contract is to be recovered through 2035. | |||||||||||||||||||||
AROs | |||||||||||||||||||||
As discussed in Note 1, the accretion and depreciation expenses related to LG&E’s and KU’s AROs are recorded as a regulatory asset, such that there is no earnings impact. When an asset with an ARO is retired, the related ARO regulatory asset is offset against the associated cost of removal regulatory liability, PP&E and ARO liability. | |||||||||||||||||||||
Gas Line Tracker | |||||||||||||||||||||
In the 2012 rate case order, the KPSC approved the GLT rate recovery mechanism. The GLT authorizes LG&E to recover its incremental operating expenses, depreciation and property taxes, and to earn a 10.25% return on equity for capital associated with the five year gas service riser, leak mitigation and customer service line ownership programs. As part of this program, LG&E makes necessary repairs and assumes ownership of natural gas lines. LG&E annually files projected costs in October to become effective on the first billing cycle in January. After the completion of a plan year, LG&E submits a balancing adjustment filing to the KPSC to amend rates charged for the differences between the actual costs and actual GLT charges for the preceding year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to these timing differences. | |||||||||||||||||||||
Coal Contracts | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, LG&E's and KU's coal contracts were recorded at fair value on the Balance Sheets with offsets to regulatory assets for those contracts with unfavorable terms relative to current market prices and offsets to regulatory liabilities for those contracts with favorable terms relative to current market prices. These regulatory assets and liabilities are being amortized over the same terms as the related contracts, which expire at various times through 2016. | |||||||||||||||||||||
Power Purchase Agreement - OVEC | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, the fair values of the OVEC power purchase agreement were recorded on the balance sheets of LKE, LG&E and KU with offsets to regulatory liabilities. The regulatory liabilities are being amortized using the units-of-production method until March 2026, the expiration date of the agreement at the date of the acquisition. | |||||||||||||||||||||
Regulatory Liability Associated with Net Deferred Tax Assets | |||||||||||||||||||||
LG&E's and KU's regulatory liabilities associated with net deferred tax assets represent the future revenue impact from the reversal of deferred income taxes required primarily for unamortized investment tax credits. These regulatory liabilities are recognized when the offsetting deferred tax assets are recognized. For general-purpose financial reporting, these regulatory liabilities and the deferred tax assets are not offset; rather, each is displayed separately. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
U.K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
In March 2014, Ofgem issued its final decision on the DPCR4 line loss incentives and penalties mechanism. As a result, during the first quarter of 2014 WPD increased its existing liability by $65 million for over-recovery of line losses with a reduction to "Utility" revenues on the Statement of Income. Previously, WPD recorded an increase of $45 million to the liability with a reduction to "Utility" revenue on the Statement of Income in 2013, compared to a $79 million reduction of the liability with a credit to "Utility" revenue on the Statement of Income in 2012. In June 2014, WPD applied for judicial review of certain of Ofgem's decisions related to closing out the DPCR4 line loss mechanism. The court held a hearing on November 20, 2014, however, WPD was denied permission to apply for judicial review and WPD considers the matter now closed. Other activity impacting the liability included reductions in the liability that have been included in tariffs and foreign exchange movements. The recorded liability at December 31, 2014 and 2013 was $99 million and $74 million. The total recorded liability will be refunded to customers from April 1, 2015 through March 31, 2019. | |||||||||||||||||||||
Kentucky Activities | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
On November 26, 2014, LG&E and KU filed requests with the KPSC for increases in annual base electricity rates of approximately $30 million at LG&E and approximately $153 million at KU and an increase in annual base gas rates of approximately $14 million at LG&E. The proposed base rate increases would result in electricity rate increases of 2.7% at LG&E and 9.6% at KU and a gas rate increase of 4.2% at LG&E and would become effective in July 2015. LG&E’s and KU’s applications each include a request for authorized returns-on-equity of 10.5%. The applications are based on a forecasted test year of July 1, 2015 through June 30, 2016. A number of parties have been granted intervention requests in the proceedings. A hearing on the applications is scheduled to commence on April 21, 2015. LG&E and KU cannot predict the outcome of these proceedings. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
CPCN Filings | |||||||||||||||||||||
In January 2014, LG&E and KU filed an application for a CPCN with the KPSC requesting approval to build a solar generating facility at the E.W. Brown generating site. LG&E and KU entered into a stipulation in this proceeding agreeing to certain matters with some interveners and a hearing was held in November 2014. In December 2014, a final order was issued approving the request to construct the solar generating facility at E.W. Brown along with the acceptance of the provisions in the stipulation agreement. | |||||||||||||||||||||
Pennsylvania Activities (PPL and PPL Electric) | |||||||||||||||||||||
Rate Case Proceeding | |||||||||||||||||||||
In December 2012, the PUC approved a total distribution revenue increase of about $71 million for PPL Electric, including a 10.40% allowed return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
Storm Damage Expense Rider | |||||||||||||||||||||
In its December 28, 2012 final rate case order, the PUC directed PPL Electric to file a proposed SDER. The SDER is a reconcilable automatic adjustment clause under which PPL Electric annually will compare actual storm costs to storm costs allowed in base rates and refund or recoup any differences from customers. In March 2013, PPL Electric filed its proposed SDER with the PUC and, as part of that filing, requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy. PPL Electric proposed that the SDER become effective January 1, 2013 at a zero rate with qualifying storm costs incurred in 2013 and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. As of December 31, 2013, PPL Electric had a $14 million regulatory liability balance for amounts expected to be refunded to customers for revenues collected to cover storm costs in excess of actual storm costs incurred during 2013. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date and initially including actual storm costs compared to collections for December 2013 through November 2014. As a result, PPL Electric reduced its 2013 regulatory liability by $12 million. Also, as part of the April 2014 order, PPL Electric was authorized to recover Hurricane Sandy storm damage costs through the SDER over a three-year period beginning January 1, 2015. | |||||||||||||||||||||
On June 20, 2014, the OCA filed a petition with the Commonwealth Court of Pennsylvania requesting that the Court reverse and remand the April 2014 order permitting PPL Electric to establish the SDER. This matter remains pending before the Commonwealth Court. On October 31, 2014, PPL Electric filed with the PUC a preliminary calculation of the SDER for the period January 1, 2015 through December 31, 2015 and a tariff supplement pursuant to the April Order. On December 3, 2014, the OCA filed a formal complaint and public statement with the PUC challenging PPL Electric's October 31 filings. In response to the OCA's formal complaint, the PUC suspended the effective date of the SDER until April 20, 2015 and opened an investigation. On January 12, 2015, the OCA filed a petition to withdraw its complaint against PPL Electric's October 31 filings. On January 13, 2015, the Administrative Law Judge issued an initial decision granting the OCA's petition to withdraw. On January 15, 2015, the PUC issued a final order closing the investigation and modifying the effective date of the SDER to February 1, 2015. | |||||||||||||||||||||
Act 129 | |||||||||||||||||||||
Act 129 requires Pennsylvania Electric Distribution Companies (EDCs) to meet specified goals for reduction in customer electricity usage and peak demand by specified dates. EDCs not meeting the requirements of Act 129 are subject to significant penalties. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electricity generation supply service to customers pursuant to a PUC-approved default service procurement plan through auctions, requests for proposal and bilateral contracts at the sole discretion of the DSP. Act 129 requires a mix of spot market purchases, short-term contracts and long-term contracts (4 to 20 years), with long-term contracts limited to 25% of load unless otherwise approved by the PUC. A DSP is able to recover the costs associated with its default service procurement plan. | |||||||||||||||||||||
In January 2013, the PUC approved PPL Electric's DSP procurement plan for the period June 1, 2013 through May 31, 2015. PPL Electric filed a new DSP procurement plan with the PUC for the period June 1, 2015 through May 31, 2017. In September 2014, the parties filed with the presiding Administrative Law Judge a partial settlement resolving all but two issues in the proceeding related to the structure of the DSP, without direct financial impact of PPL Electric. The parties filed briefs on those two issues. In October 2014, a recommended decision was issued approving the partial settlement. Exceptions and reply exceptions were filed by the parties. On January 15, 2015, an Opinion and Order was issued approving the partial settlement and granting PPL Electric's Petition with slight modifications and closing the investigation. | |||||||||||||||||||||
Smart Meter Rider | |||||||||||||||||||||
Act 129 also requires installation of smart meters for new construction, upon the request of consumers and at their cost, or on a depreciation schedule not exceeding 15 years. Under Act 129, EDCs are able to recover the costs of providing smart metering technology. All of PPL Electric's metered customers currently have advanced meters installed at their service locations capable of many of the functions required under Act 129. PPL Electric conducted pilot projects and technical evaluations of its current advanced metering technology and concluded that the current technology does not meet all of the requirements of Act 129. PPL Electric recovered the cost of its evaluations through a cost recovery mechanism, the Smart Meter Rider (SMR). In August 2013, PPL Electric filed with the PUC an annual report describing the actions it was taking under its Smart Meter Plan during 2013 and its planned actions for 2014. PPL Electric also submitted revised SMR charges that became effective January 1, 2014. On June 30, 2014, PPL Electric filed its final Smart Meter Plan with the PUC. In that plan, PPL Electric proposes to replace all of its current meters with advanced meters that meet the Act 129 requirements. Full deployment of the new meters is expected to be complete by the end of 2019. The total cost of the project is estimated to be approximately $450 million. PPL Electric proposes to recover these costs through the SMR which the PUC previously has approved for recovery of such costs. The PUC assigned PPL Electric's plan to an Administrative Law Judge for hearings and preparation of a recommended decision. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
PUC Investigation of Retail Electricity Market | |||||||||||||||||||||
In April 2011, the PUC opened an investigation of Pennsylvania's retail electricity market to be conducted in two phases. Phase one addressed the status of the existing retail market and explored potential changes. Questions issued by the PUC for phase one of the investigation focused primarily on default service issues. Phase two was initiated in July 2011 to develop specific proposals for changes to the retail market and default service model. From December 2011 through the end of 2012, the PUC issued several orders and other pronouncements related to the investigation. A final implementation order was issued in February 2013, and the PUC created several working groups to address continuing competitive issues. Although the final implementation order contains provisions that will require numerous modifications to PPL Electric's current default service model for retail customers, those modifications are not expected to have a material adverse effect on PPL Electric's results of operations. | |||||||||||||||||||||
Distribution System Improvement Charge | |||||||||||||||||||||
Act 11 authorizes the PUC to approve two specific ratemaking mechanisms: the use of a fully projected future test year in base rate proceedings and, subject to certain conditions, the use of a DSIC. Such alternative ratemaking procedures and mechanisms provide opportunity for accelerated cost-recovery and, therefore, are important to PPL Electric as it begins a period of significant capital investment to maintain and enhance the reliability of its delivery system, including the replacement of aging distribution assets. In August 2012, the PUC issued a Final Implementation Order adopting procedures, guidelines and a model tariff for the implementation of Act 11. Act 11 requires utilities to file an LTIIP as a prerequisite to filing for recovery through the DSIC. The LTIIP is mandated to be a five- to ten-year plan describing projects eligible for inclusion in the DSIC. | |||||||||||||||||||||
In September 2012, PPL Electric filed its LTIIP describing projects eligible for inclusion in the DSIC and, in an order entered on May 23, 2013, the PUC approved PPL Electric's proposed DSIC with an initial rate effective July 1, 2013, subject to refund after hearings. The PUC also assigned four technical recovery calculation issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. In August 2014, the presiding Administrative Law Judge issued a recommended decision which would not have a significant impact on PPL Electric. Exceptions and reply exceptions have been filed by the parties. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
During 2012, PPL Electric experienced several PUC-reportable storms, including Hurricane Sandy, resulting in total restoration costs of $81 million, of which $61 million were initially recorded in "Other operation and maintenance" on the Statement of Income. In particular, in late October 2012, PPL Electric experienced widespread significant damage to its distribution network from Hurricane Sandy resulting in total restoration costs of $66 million, of which $50 million were initially recorded in "Other operation and maintenance" on the Statement of Income. Although PPL Electric had storm insurance coverage, the costs incurred from Hurricane Sandy exceeded the policy limits. Probable insurance recoveries recorded during 2012 were $18.25 million, of which $14 million were included in "Other operation and maintenance" on the Statement of Income. At December 31, 2014 and 2013, $29 million was included on the Balance Sheets as a regulatory asset. In February 2013, PPL Electric received an order from the PUC granting permission to defer qualifying storm costs in excess of insurance recoveries associated with Hurricane Sandy. See "Storm Damage Expense Rider" above for information regarding PPL Electric's filing of a proposed Storm Damage Expense Rider with the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Formula Rates (PPL and PPL Electric) | |||||||||||||||||||||
Transmission rates are regulated by the FERC. PPL Electric's transmission revenues are billed in accordance with a FERC-approved PJM open access transmission tariff (OATT) that utilizes a formula-based rate recovery mechanism. The formula rate is calculated, in part, based on financial results as reported in PPL Electric's annual FERC Form 1, filed under the FERC's Uniform System of Accounts. | |||||||||||||||||||||
PPL Electric initiated its formula rate 2012, 2011 and 2010 Annual Updates. Each update was subsequently challenged by a group of municipal customers, whose challenges were opposed by PPL Electric. Between 2011 and 2013, numerous hearings before the FERC and settlement conferences were convened in an attempt to resolve these matters. Beginning in the second half of 2013, PPL Electric and the group of municipal customers exchanged confidential settlement proposals. In September 2014, the parties filed a Joint Offer of Settlement with the FERC resolving all issues in the pending challenges, and including refunds of certain insignificant amounts to the municipalities. The settlement judge certified the uncontested settlement to the FERC with a recommendation that it be approved. The Chief Judge issued an order terminating settlement judge procedures. On February 9, 2015, FERC issued a letter order approving the Joint Offer of Settlement and directing PPL Electric to file tariff revisions that implement within the PJM OATT the changes to the formula rate set forth in the Joint Settlement. | |||||||||||||||||||||
FERC Wholesale Formula Rates (LKE and KU) | |||||||||||||||||||||
In September 2013, KU filed an application with the FERC to adjust the formula rate under which KU provides wholesale requirements power sales to 12 municipal customers. Among other changes, the application requests an amended formula whereby KU would charge cost-based rates with a subsequent true-up to actual costs, replacing the current formula which does not include a true-up. KU's application proposed an authorized return on equity of 10.7%. Certain elements, including the new formula rate, became effective April 23, 2014, subject to refund. In April 2014, nine municipalities submitted notices of termination, under the original notice period provisions, to cease taking power under the wholesale requirements contracts. Such terminations are to be effective in 2019, except in the case of one municipality with a 2017 effective date. In addition, a tenth municipality has a previously settled termination date of 2016. In July 2014, KU agreed on settlement terms with the two municipal customers that did not provide termination notices and filed the settlement proposal with the FERC for its approval. In August 2014, the FERC issued an order on the interim settlement agreement allowing the proposed rates to become effective pending a final order. If approved, the settlement agreement will resolve the rate case with respect to these two municipalities, including an authorized return on equity of 10.0% or the return on equity awarded to other parties in this case, whichever is lower. Also in July 2014, KU made a contractually required filing with the FERC that addressed certain rate recovery matters affecting the nine terminating municipalities during the remaining term of their contracts. KU and the terminating municipalities continue settlement discussions in this proceeding. KU cannot currently predict the outcome of its FERC applications regarding its wholesale power agreements with the municipalities. | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | |||||||||||||||||||||
Utility Rate Regulation | 6. Utility Rate Regulation | ||||||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
As discussed in Note 1 and summarized below, PPL, PPL Electric, LKE, LG&E and KU reflect the effects of regulatory actions in the financial statements for their cost-based rate-regulated utility operations. Regulatory assets and liabilities are classified as current if, upon initial recognition, the entire amount related to that item will be recovered or refunded within a year of the balance sheet date. | |||||||||||||||||||||
WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. See Note 1 for additional information. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
LG&E is subject to the jurisdiction of the KPSC and FERC, and KU is subject to the jurisdiction of the KPSC, FERC, VSCC and TRA. | |||||||||||||||||||||
LG&E's and KU's Kentucky base rates are calculated based on a return on capitalization (common equity, long-term debt and short-term debt) including adjustments for certain net investments and costs recovered separately through other means. As such, LG&E and KU generally earn a return on regulatory assets. | |||||||||||||||||||||
As a result of purchase accounting requirements, certain fair value amounts related to contracts that had favorable or unfavorable terms relative to market were recorded on the Balance Sheets with an offsetting regulatory asset or liability. LG&E and KU recover in customer rates the cost of coal contracts, power purchases and emission allowances. As a result, management believes the regulatory assets and liabilities created to offset the fair value amounts at LKE's acquisition date meet the recognition criteria established by existing accounting guidance and eliminate any rate-making impact of the fair value adjustments. LG&E's and KU’s customer rates will continue to reflect the original contracted prices for these contracts. | |||||||||||||||||||||
(PPL, LKE and KU) | |||||||||||||||||||||
KU's Virginia base rates are calculated based on a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities, except the levelized fuel factor, are excluded from the return on rate base utilized in the calculation of Virginia base rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
KU’s rates to municipal customers for wholesale requirements are calculated based on annual updates to a rate formula that utilizes a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities are excluded from the return on rate base utilized in the development of municipal rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
PPL Electric's distribution base rates are calculated based on a return on rate base (net utility plant plus a cash working capital allowance less plant-related deferred taxes and other miscellaneous additions and deductions). PPL Electric's transmission revenues are billed in accordance with a FERC tariff that allows for recovery of transmission costs incurred, a return on transmission-related plant and an automatic annual update. See "Transmission Formula Rate" below for additional information on this tariff. All regulatory assets and liabilities are excluded from distribution and transmission return on investment calculations; therefore, generally no return is earned on PPL Electric's regulatory assets. | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Following is an overview of selected regulatory assets and liabilities detailed in the preceding tables. Specific developments with respect to certain of these regulatory assets and liabilities are discussed in "Regulatory Matters." | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
Defined Benefit Plans | |||||||||||||||||||||
Defined benefit plan regulatory assets and liabilities represent the portion of unrecognized transition obligation, prior service cost and net actuarial losses that will be recovered in defined benefit plans expense through future base rates based upon established regulatory practices and generally, are amortized over the average remaining service lives of plan participants. These regulatory assets and liabilities are adjusted at least annually or whenever the funded status of defined benefit plans is re-measured. Of the regulatory asset and liability balances recorded, costs of $58 million for PPL, $18 million for PPL Electric, $40 million for LKE, $25 million for LG&E and $15 million for KU are expected to be amortized into net periodic defined benefit costs in 2015. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
PPL Electric, LG&E and KU have the ability to request from the PUC, KPSC and VSCC, as applicable, the authority to treat expenses related to specific extraordinary storms as a regulatory asset and defer such costs for regulatory accounting and reporting purposes. Once such authority is granted, LG&E and KU can request recovery of those expenses in a base rate case and begin amortizing the costs when recovery starts. PPL Electric can recover qualifying expenses caused by major storm events, as defined in its retail tariff, over three years through the Storm Damage Expense Rider commencing in the application year after the storm occurred. LG&E's and KU's storm costs are being amortized through various dates ending in 2020. | |||||||||||||||||||||
Unamortized Loss on Debt | |||||||||||||||||||||
Unamortized loss on reacquired debt represents losses on long-term debt reacquired or redeemed that have been deferred and will be amortized and recovered over either the original life of the extinguished debt or the life of the replacement debt (in the case of refinancing). Such costs are being amortized through 2029 for PPL Electric, 2035 for LG&E and through 2040 for PPL, LKE and KU. | |||||||||||||||||||||
Accumulated Cost of Removal of Utility Plant | |||||||||||||||||||||
LG&E and KU accrue for costs of removal through depreciation expense with an offsetting credit to a regulatory liability. The regulatory liability is relieved as costs are incurred. See Note 1 for additional information. | |||||||||||||||||||||
PPL Electric does not accrue for costs of removal. When costs of removal are incurred, PPL Electric records the deferral of costs as a regulatory asset. Such deferral is included in rates and amortized over the subsequent five-year period. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
Generation Supply Charge | |||||||||||||||||||||
The generation supply charge is a cost recovery mechanism that permits PPL Electric to recover costs incurred to provide generation supply to PLR customers who receive basic generation supply service. The recovery includes charges for generation supply (energy and capacity and ancillary services), as well as administration of the acquisition process. In addition, the generation supply charge contains a reconciliation mechanism whereby any over- or under-recovery from prior quarters is refunded to, or recovered from, customers through the adjustment factor determined for the subsequent quarter. | |||||||||||||||||||||
Transmission Service Charge (TSC) | |||||||||||||||||||||
PPL Electric is charged by PJM for transmission service-related costs applicable to its PLR customers. PPL Electric passes these costs on to customers, who receive basic generation supply service through the PUC-approved TSC cost recovery mechanism. The TSC contains a reconciliation mechanism whereby any over- or under-recovery from customers is either refunded to, or recovered from, customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Transmission Formula Rate | |||||||||||||||||||||
PPL Electric's transmission revenues are billed in accordance with a FERC-approved open access transmission tariff that utilizes a formula-based rate recovery mechanism. The formula rate is based on prior year expenditures and forecasted current calendar year transmission plant additions. An adjustment to the prior year expenditures is recorded as a regulatory asset or regulatory liability. | |||||||||||||||||||||
Universal Service Rider (USR) | |||||||||||||||||||||
PPL Electric's distribution rates permit recovery of applicable costs associated with the universal service programs provided to PPL Electric's residential customers. Universal service programs include low-income programs, such as OnTrack and Winter Relief Assistance Program (WRAP). OnTrack is a special payment program for low-income households within the federal poverty level that have difficulty paying their electric bills. This program is funded by residential customers and administered by community-based organizations. Customers who participate in OnTrack receive assistance in the form of reduced payment arrangements, protection against termination of electric service and referrals to other community programs and services. The WRAP program reduces electric bills and improves living comfort for low-income customers by providing services such as weatherization measures and energy education services. The USR is applied to distribution charges for each customer who receives distribution service under PPL Electric's residential service rate schedules. The USR contains a reconciliation mechanism whereby any over- or under-recovery from the current year is refunded to or recovered from residential customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Storm Damage Expense | |||||||||||||||||||||
In accordance with the PUC's December 2012 final rate case order, PPL Electric proposed the establishment of a Storm Damage Expense Rider (SDER) with the PUC. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date. On June 20, 2014, the Office of Consumer Advocate (OCA) filed a petition requesting the Commonwealth Court of Pennsylvania to reverse and remand the April 2014 order, which petition remains outstanding. On January 15, 2015, the PUC issued an order modifying the effective date of the SDER to February 1, 2015. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on the SDER. | |||||||||||||||||||||
Taxes Recoverable through Future Rates | |||||||||||||||||||||
Taxes recoverable through future rates represent the portion of future income taxes that will be recovered through future rates based upon established regulatory practices. Accordingly, this regulatory asset is recognized when the offsetting deferred tax liability is recognized. For general-purpose financial reporting, this regulatory asset and the deferred tax liability are not offset; rather, each is displayed separately. This regulatory asset is expected to be recovered over the period that the underlying book-tax timing differences reverse and the actual cash taxes are incurred. | |||||||||||||||||||||
Act 129 Compliance Rider | |||||||||||||||||||||
In compliance with Pennsylvania's Act 129 of 2008 and implementing regulations, Phase I of PPL Electric's energy efficiency and conservation plan was approved by a PUC order in October 2009. The order allows PPL Electric to recover the maximum $250 million cost of the program ratably over the life of the plan, from January 1, 2010 through May 31, 2013. Phase II of PPL's energy efficiency and conservation plan allows PPL Electric to recover the maximum $185 million cost of the program over the three year period June 1, 2013 through May 31, 2016. The plan includes programs intended to reduce electricity consumption. The recoverable costs include direct and indirect charges, including design and development costs, general and administrative costs and applicable state evaluator costs. The rates are applied to customers who receive distribution service through the Act 129 Compliance Rider. The actual program costs are reconcilable, and any over- or under-recovery from customers will be refunded or recovered at the end of the program. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on Act 129. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Environmental Cost Recovery | |||||||||||||||||||||
Kentucky law permits LG&E and KU to recover the costs, including a return of operating expenses and a return of and on capital invested, of complying with the Clean Air Act and those federal, state or local environmental requirements which apply to coal combustion wastes and by-products from coal-fired electric generating facilities. The KPSC requires reviews of the past operations of the environmental surcharge for six-month and two-year billing periods to evaluate the related charges, credits and rates of return, as well as to provide for the roll-in of ECR amounts to base rates each two-year period. The ECR regulatory asset or liability represents the amount that has been under- or over-recovered due to timing or adjustments to the mechanism and is typically recovered within 12 months. As a result of the settlement agreement in the 2012 rate case, beginning in 2013, LG&E and KU began receiving a 10.25% return on equity for all ECR projects included in the 2009 and 2011 compliance plans. In 2012 and 2011, LG&E and KU were authorized to receive a 10.63% return on equity for projects associated with the 2009 compliance plan and a 10.10% return on equity for projects associated with the 2011 compliance plan. | |||||||||||||||||||||
Gas Supply Clause | |||||||||||||||||||||
LG&E's natural gas rates contain a gas supply clause, whereby the expected cost of natural gas supply and variances between actual and expected costs from prior periods are adjusted quarterly in LG&E's rates, subject to approval by the KPSC. The gas supply clause includes a separate natural gas procurement incentive mechanism, which allows LG&E's rates to be adjusted annually to share variances between actual costs and market indices between the shareholders and the customers during each performance-based rate year (12 months ending October 31). The regulatory assets or liabilities represent the total amounts that have been under- or over-recovered due to timing or adjustments to the mechanisms and are typically recovered within 18 months. | |||||||||||||||||||||
Fuel Adjustment Clauses | |||||||||||||||||||||
LG&E's and KU's retail electric rates contain a fuel adjustment clause, whereby variances in the cost of fuel to generate electricity, including transportation costs, from the costs embedded in base rates are adjusted in LG&E's and KU’s rates. The KPSC requires public hearings at six-month intervals to examine past fuel adjustments and at two-year intervals to review past operations of the fuel adjustment clause and, to the extent appropriate, reestablish the fuel charge included in base rates. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
KU also employs a levelized fuel factor mechanism for Virginia customers using an average fuel cost factor based primarily on projected fuel costs. The Virginia levelized fuel factor allows fuel recovery based on projected fuel costs for the coming year plus an adjustment for any under- or over-recovery of fuel expenses from the prior year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
Demand Side Management | |||||||||||||||||||||
LG&E's and KU's DSM programs consist of energy efficiency programs which are intended to reduce peak demand and delay the investment in additional power plant construction, provide customers with tools and information to become better managers of their energy usage and prepare for potential future legislation governing energy efficiency. LG&E's and KU's rates contain a DSM provision which includes a rate recovery mechanism that provides for concurrent recovery of DSM costs, and allows for the recovery of DSM revenues from lost sales associated with the DSM programs. Additionally, LG&E and KU earn an approved return on equity for capital expenditures associated with the residential and commercial load management/demand conservation programs. The cost of DSM programs is assigned only to the class or classes of customers that benefit from the programs. | |||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL that have terms identical to forward-starting swaps entered into by PPL with third parties. Net realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in “Interest Expense” on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. At December 31, 2014, the total notional amount of forward starting interest rate swaps outstanding was $1 billion (LG&E and KU each held contracts of $500 million). The swaps range in maturity through 2045. There were no forward starting interest rate swaps outstanding at December 31, 2013. Net cash settlements of $86 million were received on swaps that were terminated in 2013 (LG&E and KU each received $43 million). Net realized gains on these terminated swaps will be returned through regulated rates. As such, the net settlements were recorded in regulatory liabilities and are being recognized in "Interest Expense" on the Statements of Income over the life of the new debt which matures in 2043. See Note 17 for additional information related to the forward-starting interest rate swaps. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
In addition to the hedges terminated as a result of the debt issuance, realized amounts associated with LG&E's interest rate swaps, including a terminated swap contract from 2008, are recoverable through rates based on an order from the KPSC, LG&E's unrealized losses and gains are recorded as a regulatory asset or liability until they are realized as interest expense. Interest expense from existing swaps is realized and recovered over the terms of the associated debt, which matures through 2033. Amortization of the gain or loss related to the 2008 terminated swap contract is to be recovered through 2035. | |||||||||||||||||||||
AROs | |||||||||||||||||||||
As discussed in Note 1, the accretion and depreciation expenses related to LG&E’s and KU’s AROs are recorded as a regulatory asset, such that there is no earnings impact. When an asset with an ARO is retired, the related ARO regulatory asset is offset against the associated cost of removal regulatory liability, PP&E and ARO liability. | |||||||||||||||||||||
Gas Line Tracker | |||||||||||||||||||||
In the 2012 rate case order, the KPSC approved the GLT rate recovery mechanism. The GLT authorizes LG&E to recover its incremental operating expenses, depreciation and property taxes, and to earn a 10.25% return on equity for capital associated with the five year gas service riser, leak mitigation and customer service line ownership programs. As part of this program, LG&E makes necessary repairs and assumes ownership of natural gas lines. LG&E annually files projected costs in October to become effective on the first billing cycle in January. After the completion of a plan year, LG&E submits a balancing adjustment filing to the KPSC to amend rates charged for the differences between the actual costs and actual GLT charges for the preceding year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to these timing differences. | |||||||||||||||||||||
Coal Contracts | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, LG&E's and KU's coal contracts were recorded at fair value on the Balance Sheets with offsets to regulatory assets for those contracts with unfavorable terms relative to current market prices and offsets to regulatory liabilities for those contracts with favorable terms relative to current market prices. These regulatory assets and liabilities are being amortized over the same terms as the related contracts, which expire at various times through 2016. | |||||||||||||||||||||
Power Purchase Agreement - OVEC | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, the fair values of the OVEC power purchase agreement were recorded on the balance sheets of LKE, LG&E and KU with offsets to regulatory liabilities. The regulatory liabilities are being amortized using the units-of-production method until March 2026, the expiration date of the agreement at the date of the acquisition. | |||||||||||||||||||||
Regulatory Liability Associated with Net Deferred Tax Assets | |||||||||||||||||||||
LG&E's and KU's regulatory liabilities associated with net deferred tax assets represent the future revenue impact from the reversal of deferred income taxes required primarily for unamortized investment tax credits. These regulatory liabilities are recognized when the offsetting deferred tax assets are recognized. For general-purpose financial reporting, these regulatory liabilities and the deferred tax assets are not offset; rather, each is displayed separately. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
U.K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
In March 2014, Ofgem issued its final decision on the DPCR4 line loss incentives and penalties mechanism. As a result, during the first quarter of 2014 WPD increased its existing liability by $65 million for over-recovery of line losses with a reduction to "Utility" revenues on the Statement of Income. Previously, WPD recorded an increase of $45 million to the liability with a reduction to "Utility" revenue on the Statement of Income in 2013, compared to a $79 million reduction of the liability with a credit to "Utility" revenue on the Statement of Income in 2012. In June 2014, WPD applied for judicial review of certain of Ofgem's decisions related to closing out the DPCR4 line loss mechanism. The court held a hearing on November 20, 2014, however, WPD was denied permission to apply for judicial review and WPD considers the matter now closed. Other activity impacting the liability included reductions in the liability that have been included in tariffs and foreign exchange movements. The recorded liability at December 31, 2014 and 2013 was $99 million and $74 million. The total recorded liability will be refunded to customers from April 1, 2015 through March 31, 2019. | |||||||||||||||||||||
Kentucky Activities | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
On November 26, 2014, LG&E and KU filed requests with the KPSC for increases in annual base electricity rates of approximately $30 million at LG&E and approximately $153 million at KU and an increase in annual base gas rates of approximately $14 million at LG&E. The proposed base rate increases would result in electricity rate increases of 2.7% at LG&E and 9.6% at KU and a gas rate increase of 4.2% at LG&E and would become effective in July 2015. LG&E’s and KU’s applications each include a request for authorized returns-on-equity of 10.5%. The applications are based on a forecasted test year of July 1, 2015 through June 30, 2016. A number of parties have been granted intervention requests in the proceedings. A hearing on the applications is scheduled to commence on April 21, 2015. LG&E and KU cannot predict the outcome of these proceedings. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
CPCN Filings | |||||||||||||||||||||
In January 2014, LG&E and KU filed an application for a CPCN with the KPSC requesting approval to build a solar generating facility at the E.W. Brown generating site. LG&E and KU entered into a stipulation in this proceeding agreeing to certain matters with some interveners and a hearing was held in November 2014. In December 2014, a final order was issued approving the request to construct the solar generating facility at E.W. Brown along with the acceptance of the provisions in the stipulation agreement. | |||||||||||||||||||||
Pennsylvania Activities (PPL and PPL Electric) | |||||||||||||||||||||
Rate Case Proceeding | |||||||||||||||||||||
In December 2012, the PUC approved a total distribution revenue increase of about $71 million for PPL Electric, including a 10.40% allowed return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
Storm Damage Expense Rider | |||||||||||||||||||||
In its December 28, 2012 final rate case order, the PUC directed PPL Electric to file a proposed SDER. The SDER is a reconcilable automatic adjustment clause under which PPL Electric annually will compare actual storm costs to storm costs allowed in base rates and refund or recoup any differences from customers. In March 2013, PPL Electric filed its proposed SDER with the PUC and, as part of that filing, requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy. PPL Electric proposed that the SDER become effective January 1, 2013 at a zero rate with qualifying storm costs incurred in 2013 and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. As of December 31, 2013, PPL Electric had a $14 million regulatory liability balance for amounts expected to be refunded to customers for revenues collected to cover storm costs in excess of actual storm costs incurred during 2013. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date and initially including actual storm costs compared to collections for December 2013 through November 2014. As a result, PPL Electric reduced its 2013 regulatory liability by $12 million. Also, as part of the April 2014 order, PPL Electric was authorized to recover Hurricane Sandy storm damage costs through the SDER over a three-year period beginning January 1, 2015. | |||||||||||||||||||||
On June 20, 2014, the OCA filed a petition with the Commonwealth Court of Pennsylvania requesting that the Court reverse and remand the April 2014 order permitting PPL Electric to establish the SDER. This matter remains pending before the Commonwealth Court. On October 31, 2014, PPL Electric filed with the PUC a preliminary calculation of the SDER for the period January 1, 2015 through December 31, 2015 and a tariff supplement pursuant to the April Order. On December 3, 2014, the OCA filed a formal complaint and public statement with the PUC challenging PPL Electric's October 31 filings. In response to the OCA's formal complaint, the PUC suspended the effective date of the SDER until April 20, 2015 and opened an investigation. On January 12, 2015, the OCA filed a petition to withdraw its complaint against PPL Electric's October 31 filings. On January 13, 2015, the Administrative Law Judge issued an initial decision granting the OCA's petition to withdraw. On January 15, 2015, the PUC issued a final order closing the investigation and modifying the effective date of the SDER to February 1, 2015. | |||||||||||||||||||||
Act 129 | |||||||||||||||||||||
Act 129 requires Pennsylvania Electric Distribution Companies (EDCs) to meet specified goals for reduction in customer electricity usage and peak demand by specified dates. EDCs not meeting the requirements of Act 129 are subject to significant penalties. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electricity generation supply service to customers pursuant to a PUC-approved default service procurement plan through auctions, requests for proposal and bilateral contracts at the sole discretion of the DSP. Act 129 requires a mix of spot market purchases, short-term contracts and long-term contracts (4 to 20 years), with long-term contracts limited to 25% of load unless otherwise approved by the PUC. A DSP is able to recover the costs associated with its default service procurement plan. | |||||||||||||||||||||
In January 2013, the PUC approved PPL Electric's DSP procurement plan for the period June 1, 2013 through May 31, 2015. PPL Electric filed a new DSP procurement plan with the PUC for the period June 1, 2015 through May 31, 2017. In September 2014, the parties filed with the presiding Administrative Law Judge a partial settlement resolving all but two issues in the proceeding related to the structure of the DSP, without direct financial impact of PPL Electric. The parties filed briefs on those two issues. In October 2014, a recommended decision was issued approving the partial settlement. Exceptions and reply exceptions were filed by the parties. On January 15, 2015, an Opinion and Order was issued approving the partial settlement and granting PPL Electric's Petition with slight modifications and closing the investigation. | |||||||||||||||||||||
Smart Meter Rider | |||||||||||||||||||||
Act 129 also requires installation of smart meters for new construction, upon the request of consumers and at their cost, or on a depreciation schedule not exceeding 15 years. Under Act 129, EDCs are able to recover the costs of providing smart metering technology. All of PPL Electric's metered customers currently have advanced meters installed at their service locations capable of many of the functions required under Act 129. PPL Electric conducted pilot projects and technical evaluations of its current advanced metering technology and concluded that the current technology does not meet all of the requirements of Act 129. PPL Electric recovered the cost of its evaluations through a cost recovery mechanism, the Smart Meter Rider (SMR). In August 2013, PPL Electric filed with the PUC an annual report describing the actions it was taking under its Smart Meter Plan during 2013 and its planned actions for 2014. PPL Electric also submitted revised SMR charges that became effective January 1, 2014. On June 30, 2014, PPL Electric filed its final Smart Meter Plan with the PUC. In that plan, PPL Electric proposes to replace all of its current meters with advanced meters that meet the Act 129 requirements. Full deployment of the new meters is expected to be complete by the end of 2019. The total cost of the project is estimated to be approximately $450 million. PPL Electric proposes to recover these costs through the SMR which the PUC previously has approved for recovery of such costs. The PUC assigned PPL Electric's plan to an Administrative Law Judge for hearings and preparation of a recommended decision. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
PUC Investigation of Retail Electricity Market | |||||||||||||||||||||
In April 2011, the PUC opened an investigation of Pennsylvania's retail electricity market to be conducted in two phases. Phase one addressed the status of the existing retail market and explored potential changes. Questions issued by the PUC for phase one of the investigation focused primarily on default service issues. Phase two was initiated in July 2011 to develop specific proposals for changes to the retail market and default service model. From December 2011 through the end of 2012, the PUC issued several orders and other pronouncements related to the investigation. A final implementation order was issued in February 2013, and the PUC created several working groups to address continuing competitive issues. Although the final implementation order contains provisions that will require numerous modifications to PPL Electric's current default service model for retail customers, those modifications are not expected to have a material adverse effect on PPL Electric's results of operations. | |||||||||||||||||||||
Distribution System Improvement Charge | |||||||||||||||||||||
Act 11 authorizes the PUC to approve two specific ratemaking mechanisms: the use of a fully projected future test year in base rate proceedings and, subject to certain conditions, the use of a DSIC. Such alternative ratemaking procedures and mechanisms provide opportunity for accelerated cost-recovery and, therefore, are important to PPL Electric as it begins a period of significant capital investment to maintain and enhance the reliability of its delivery system, including the replacement of aging distribution assets. In August 2012, the PUC issued a Final Implementation Order adopting procedures, guidelines and a model tariff for the implementation of Act 11. Act 11 requires utilities to file an LTIIP as a prerequisite to filing for recovery through the DSIC. The LTIIP is mandated to be a five- to ten-year plan describing projects eligible for inclusion in the DSIC. | |||||||||||||||||||||
In September 2012, PPL Electric filed its LTIIP describing projects eligible for inclusion in the DSIC and, in an order entered on May 23, 2013, the PUC approved PPL Electric's proposed DSIC with an initial rate effective July 1, 2013, subject to refund after hearings. The PUC also assigned four technical recovery calculation issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. In August 2014, the presiding Administrative Law Judge issued a recommended decision which would not have a significant impact on PPL Electric. Exceptions and reply exceptions have been filed by the parties. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
During 2012, PPL Electric experienced several PUC-reportable storms, including Hurricane Sandy, resulting in total restoration costs of $81 million, of which $61 million were initially recorded in "Other operation and maintenance" on the Statement of Income. In particular, in late October 2012, PPL Electric experienced widespread significant damage to its distribution network from Hurricane Sandy resulting in total restoration costs of $66 million, of which $50 million were initially recorded in "Other operation and maintenance" on the Statement of Income. Although PPL Electric had storm insurance coverage, the costs incurred from Hurricane Sandy exceeded the policy limits. Probable insurance recoveries recorded during 2012 were $18.25 million, of which $14 million were included in "Other operation and maintenance" on the Statement of Income. At December 31, 2014 and 2013, $29 million was included on the Balance Sheets as a regulatory asset. In February 2013, PPL Electric received an order from the PUC granting permission to defer qualifying storm costs in excess of insurance recoveries associated with Hurricane Sandy. See "Storm Damage Expense Rider" above for information regarding PPL Electric's filing of a proposed Storm Damage Expense Rider with the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Formula Rates (PPL and PPL Electric) | |||||||||||||||||||||
Transmission rates are regulated by the FERC. PPL Electric's transmission revenues are billed in accordance with a FERC-approved PJM open access transmission tariff (OATT) that utilizes a formula-based rate recovery mechanism. The formula rate is calculated, in part, based on financial results as reported in PPL Electric's annual FERC Form 1, filed under the FERC's Uniform System of Accounts. | |||||||||||||||||||||
PPL Electric initiated its formula rate 2012, 2011 and 2010 Annual Updates. Each update was subsequently challenged by a group of municipal customers, whose challenges were opposed by PPL Electric. Between 2011 and 2013, numerous hearings before the FERC and settlement conferences were convened in an attempt to resolve these matters. Beginning in the second half of 2013, PPL Electric and the group of municipal customers exchanged confidential settlement proposals. In September 2014, the parties filed a Joint Offer of Settlement with the FERC resolving all issues in the pending challenges, and including refunds of certain insignificant amounts to the municipalities. The settlement judge certified the uncontested settlement to the FERC with a recommendation that it be approved. The Chief Judge issued an order terminating settlement judge procedures. On February 9, 2015, FERC issued a letter order approving the Joint Offer of Settlement and directing PPL Electric to file tariff revisions that implement within the PJM OATT the changes to the formula rate set forth in the Joint Settlement. | |||||||||||||||||||||
FERC Wholesale Formula Rates (LKE and KU) | |||||||||||||||||||||
In September 2013, KU filed an application with the FERC to adjust the formula rate under which KU provides wholesale requirements power sales to 12 municipal customers. Among other changes, the application requests an amended formula whereby KU would charge cost-based rates with a subsequent true-up to actual costs, replacing the current formula which does not include a true-up. KU's application proposed an authorized return on equity of 10.7%. Certain elements, including the new formula rate, became effective April 23, 2014, subject to refund. In April 2014, nine municipalities submitted notices of termination, under the original notice period provisions, to cease taking power under the wholesale requirements contracts. Such terminations are to be effective in 2019, except in the case of one municipality with a 2017 effective date. In addition, a tenth municipality has a previously settled termination date of 2016. In July 2014, KU agreed on settlement terms with the two municipal customers that did not provide termination notices and filed the settlement proposal with the FERC for its approval. In August 2014, the FERC issued an order on the interim settlement agreement allowing the proposed rates to become effective pending a final order. If approved, the settlement agreement will resolve the rate case with respect to these two municipalities, including an authorized return on equity of 10.0% or the return on equity awarded to other parties in this case, whichever is lower. Also in July 2014, KU made a contractually required filing with the FERC that addressed certain rate recovery matters affecting the nine terminating municipalities during the remaining term of their contracts. KU and the terminating municipalities continue settlement discussions in this proceeding. KU cannot currently predict the outcome of its FERC applications regarding its wholesale power agreements with the municipalities. | |||||||||||||||||||||
Louisville Gas And Electric Co [Member] | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | |||||||||||||||||||||
Utility Rate Regulation | 6. Utility Rate Regulation | ||||||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
As discussed in Note 1 and summarized below, PPL, PPL Electric, LKE, LG&E and KU reflect the effects of regulatory actions in the financial statements for their cost-based rate-regulated utility operations. Regulatory assets and liabilities are classified as current if, upon initial recognition, the entire amount related to that item will be recovered or refunded within a year of the balance sheet date. | |||||||||||||||||||||
WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. See Note 1 for additional information. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
LG&E is subject to the jurisdiction of the KPSC and FERC, and KU is subject to the jurisdiction of the KPSC, FERC, VSCC and TRA. | |||||||||||||||||||||
LG&E's and KU's Kentucky base rates are calculated based on a return on capitalization (common equity, long-term debt and short-term debt) including adjustments for certain net investments and costs recovered separately through other means. As such, LG&E and KU generally earn a return on regulatory assets. | |||||||||||||||||||||
As a result of purchase accounting requirements, certain fair value amounts related to contracts that had favorable or unfavorable terms relative to market were recorded on the Balance Sheets with an offsetting regulatory asset or liability. LG&E and KU recover in customer rates the cost of coal contracts, power purchases and emission allowances. As a result, management believes the regulatory assets and liabilities created to offset the fair value amounts at LKE's acquisition date meet the recognition criteria established by existing accounting guidance and eliminate any rate-making impact of the fair value adjustments. LG&E's and KU’s customer rates will continue to reflect the original contracted prices for these contracts. | |||||||||||||||||||||
(PPL, LKE and KU) | |||||||||||||||||||||
KU's Virginia base rates are calculated based on a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities, except the levelized fuel factor, are excluded from the return on rate base utilized in the calculation of Virginia base rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
KU’s rates to municipal customers for wholesale requirements are calculated based on annual updates to a rate formula that utilizes a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities are excluded from the return on rate base utilized in the development of municipal rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
PPL Electric's distribution base rates are calculated based on a return on rate base (net utility plant plus a cash working capital allowance less plant-related deferred taxes and other miscellaneous additions and deductions). PPL Electric's transmission revenues are billed in accordance with a FERC tariff that allows for recovery of transmission costs incurred, a return on transmission-related plant and an automatic annual update. See "Transmission Formula Rate" below for additional information on this tariff. All regulatory assets and liabilities are excluded from distribution and transmission return on investment calculations; therefore, generally no return is earned on PPL Electric's regulatory assets. | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Following is an overview of selected regulatory assets and liabilities detailed in the preceding tables. Specific developments with respect to certain of these regulatory assets and liabilities are discussed in "Regulatory Matters." | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
Defined Benefit Plans | |||||||||||||||||||||
Defined benefit plan regulatory assets and liabilities represent the portion of unrecognized transition obligation, prior service cost and net actuarial losses that will be recovered in defined benefit plans expense through future base rates based upon established regulatory practices and generally, are amortized over the average remaining service lives of plan participants. These regulatory assets and liabilities are adjusted at least annually or whenever the funded status of defined benefit plans is re-measured. Of the regulatory asset and liability balances recorded, costs of $58 million for PPL, $18 million for PPL Electric, $40 million for LKE, $25 million for LG&E and $15 million for KU are expected to be amortized into net periodic defined benefit costs in 2015. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
PPL Electric, LG&E and KU have the ability to request from the PUC, KPSC and VSCC, as applicable, the authority to treat expenses related to specific extraordinary storms as a regulatory asset and defer such costs for regulatory accounting and reporting purposes. Once such authority is granted, LG&E and KU can request recovery of those expenses in a base rate case and begin amortizing the costs when recovery starts. PPL Electric can recover qualifying expenses caused by major storm events, as defined in its retail tariff, over three years through the Storm Damage Expense Rider commencing in the application year after the storm occurred. LG&E's and KU's storm costs are being amortized through various dates ending in 2020. | |||||||||||||||||||||
Unamortized Loss on Debt | |||||||||||||||||||||
Unamortized loss on reacquired debt represents losses on long-term debt reacquired or redeemed that have been deferred and will be amortized and recovered over either the original life of the extinguished debt or the life of the replacement debt (in the case of refinancing). Such costs are being amortized through 2029 for PPL Electric, 2035 for LG&E and through 2040 for PPL, LKE and KU. | |||||||||||||||||||||
Accumulated Cost of Removal of Utility Plant | |||||||||||||||||||||
LG&E and KU accrue for costs of removal through depreciation expense with an offsetting credit to a regulatory liability. The regulatory liability is relieved as costs are incurred. See Note 1 for additional information. | |||||||||||||||||||||
PPL Electric does not accrue for costs of removal. When costs of removal are incurred, PPL Electric records the deferral of costs as a regulatory asset. Such deferral is included in rates and amortized over the subsequent five-year period. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
Generation Supply Charge | |||||||||||||||||||||
The generation supply charge is a cost recovery mechanism that permits PPL Electric to recover costs incurred to provide generation supply to PLR customers who receive basic generation supply service. The recovery includes charges for generation supply (energy and capacity and ancillary services), as well as administration of the acquisition process. In addition, the generation supply charge contains a reconciliation mechanism whereby any over- or under-recovery from prior quarters is refunded to, or recovered from, customers through the adjustment factor determined for the subsequent quarter. | |||||||||||||||||||||
Transmission Service Charge (TSC) | |||||||||||||||||||||
PPL Electric is charged by PJM for transmission service-related costs applicable to its PLR customers. PPL Electric passes these costs on to customers, who receive basic generation supply service through the PUC-approved TSC cost recovery mechanism. The TSC contains a reconciliation mechanism whereby any over- or under-recovery from customers is either refunded to, or recovered from, customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Transmission Formula Rate | |||||||||||||||||||||
PPL Electric's transmission revenues are billed in accordance with a FERC-approved open access transmission tariff that utilizes a formula-based rate recovery mechanism. The formula rate is based on prior year expenditures and forecasted current calendar year transmission plant additions. An adjustment to the prior year expenditures is recorded as a regulatory asset or regulatory liability. | |||||||||||||||||||||
Universal Service Rider (USR) | |||||||||||||||||||||
PPL Electric's distribution rates permit recovery of applicable costs associated with the universal service programs provided to PPL Electric's residential customers. Universal service programs include low-income programs, such as OnTrack and Winter Relief Assistance Program (WRAP). OnTrack is a special payment program for low-income households within the federal poverty level that have difficulty paying their electric bills. This program is funded by residential customers and administered by community-based organizations. Customers who participate in OnTrack receive assistance in the form of reduced payment arrangements, protection against termination of electric service and referrals to other community programs and services. The WRAP program reduces electric bills and improves living comfort for low-income customers by providing services such as weatherization measures and energy education services. The USR is applied to distribution charges for each customer who receives distribution service under PPL Electric's residential service rate schedules. The USR contains a reconciliation mechanism whereby any over- or under-recovery from the current year is refunded to or recovered from residential customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Storm Damage Expense | |||||||||||||||||||||
In accordance with the PUC's December 2012 final rate case order, PPL Electric proposed the establishment of a Storm Damage Expense Rider (SDER) with the PUC. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date. On June 20, 2014, the Office of Consumer Advocate (OCA) filed a petition requesting the Commonwealth Court of Pennsylvania to reverse and remand the April 2014 order, which petition remains outstanding. On January 15, 2015, the PUC issued an order modifying the effective date of the SDER to February 1, 2015. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on the SDER. | |||||||||||||||||||||
Taxes Recoverable through Future Rates | |||||||||||||||||||||
Taxes recoverable through future rates represent the portion of future income taxes that will be recovered through future rates based upon established regulatory practices. Accordingly, this regulatory asset is recognized when the offsetting deferred tax liability is recognized. For general-purpose financial reporting, this regulatory asset and the deferred tax liability are not offset; rather, each is displayed separately. This regulatory asset is expected to be recovered over the period that the underlying book-tax timing differences reverse and the actual cash taxes are incurred. | |||||||||||||||||||||
Act 129 Compliance Rider | |||||||||||||||||||||
In compliance with Pennsylvania's Act 129 of 2008 and implementing regulations, Phase I of PPL Electric's energy efficiency and conservation plan was approved by a PUC order in October 2009. The order allows PPL Electric to recover the maximum $250 million cost of the program ratably over the life of the plan, from January 1, 2010 through May 31, 2013. Phase II of PPL's energy efficiency and conservation plan allows PPL Electric to recover the maximum $185 million cost of the program over the three year period June 1, 2013 through May 31, 2016. The plan includes programs intended to reduce electricity consumption. The recoverable costs include direct and indirect charges, including design and development costs, general and administrative costs and applicable state evaluator costs. The rates are applied to customers who receive distribution service through the Act 129 Compliance Rider. The actual program costs are reconcilable, and any over- or under-recovery from customers will be refunded or recovered at the end of the program. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on Act 129. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Environmental Cost Recovery | |||||||||||||||||||||
Kentucky law permits LG&E and KU to recover the costs, including a return of operating expenses and a return of and on capital invested, of complying with the Clean Air Act and those federal, state or local environmental requirements which apply to coal combustion wastes and by-products from coal-fired electric generating facilities. The KPSC requires reviews of the past operations of the environmental surcharge for six-month and two-year billing periods to evaluate the related charges, credits and rates of return, as well as to provide for the roll-in of ECR amounts to base rates each two-year period. The ECR regulatory asset or liability represents the amount that has been under- or over-recovered due to timing or adjustments to the mechanism and is typically recovered within 12 months. As a result of the settlement agreement in the 2012 rate case, beginning in 2013, LG&E and KU began receiving a 10.25% return on equity for all ECR projects included in the 2009 and 2011 compliance plans. In 2012 and 2011, LG&E and KU were authorized to receive a 10.63% return on equity for projects associated with the 2009 compliance plan and a 10.10% return on equity for projects associated with the 2011 compliance plan. | |||||||||||||||||||||
Gas Supply Clause | |||||||||||||||||||||
LG&E's natural gas rates contain a gas supply clause, whereby the expected cost of natural gas supply and variances between actual and expected costs from prior periods are adjusted quarterly in LG&E's rates, subject to approval by the KPSC. The gas supply clause includes a separate natural gas procurement incentive mechanism, which allows LG&E's rates to be adjusted annually to share variances between actual costs and market indices between the shareholders and the customers during each performance-based rate year (12 months ending October 31). The regulatory assets or liabilities represent the total amounts that have been under- or over-recovered due to timing or adjustments to the mechanisms and are typically recovered within 18 months. | |||||||||||||||||||||
Fuel Adjustment Clauses | |||||||||||||||||||||
LG&E's and KU's retail electric rates contain a fuel adjustment clause, whereby variances in the cost of fuel to generate electricity, including transportation costs, from the costs embedded in base rates are adjusted in LG&E's and KU’s rates. The KPSC requires public hearings at six-month intervals to examine past fuel adjustments and at two-year intervals to review past operations of the fuel adjustment clause and, to the extent appropriate, reestablish the fuel charge included in base rates. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
KU also employs a levelized fuel factor mechanism for Virginia customers using an average fuel cost factor based primarily on projected fuel costs. The Virginia levelized fuel factor allows fuel recovery based on projected fuel costs for the coming year plus an adjustment for any under- or over-recovery of fuel expenses from the prior year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
Demand Side Management | |||||||||||||||||||||
LG&E's and KU's DSM programs consist of energy efficiency programs which are intended to reduce peak demand and delay the investment in additional power plant construction, provide customers with tools and information to become better managers of their energy usage and prepare for potential future legislation governing energy efficiency. LG&E's and KU's rates contain a DSM provision which includes a rate recovery mechanism that provides for concurrent recovery of DSM costs, and allows for the recovery of DSM revenues from lost sales associated with the DSM programs. Additionally, LG&E and KU earn an approved return on equity for capital expenditures associated with the residential and commercial load management/demand conservation programs. The cost of DSM programs is assigned only to the class or classes of customers that benefit from the programs. | |||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL that have terms identical to forward-starting swaps entered into by PPL with third parties. Net realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in “Interest Expense” on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. At December 31, 2014, the total notional amount of forward starting interest rate swaps outstanding was $1 billion (LG&E and KU each held contracts of $500 million). The swaps range in maturity through 2045. There were no forward starting interest rate swaps outstanding at December 31, 2013. Net cash settlements of $86 million were received on swaps that were terminated in 2013 (LG&E and KU each received $43 million). Net realized gains on these terminated swaps will be returned through regulated rates. As such, the net settlements were recorded in regulatory liabilities and are being recognized in "Interest Expense" on the Statements of Income over the life of the new debt which matures in 2043. See Note 17 for additional information related to the forward-starting interest rate swaps. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
In addition to the hedges terminated as a result of the debt issuance, realized amounts associated with LG&E's interest rate swaps, including a terminated swap contract from 2008, are recoverable through rates based on an order from the KPSC, LG&E's unrealized losses and gains are recorded as a regulatory asset or liability until they are realized as interest expense. Interest expense from existing swaps is realized and recovered over the terms of the associated debt, which matures through 2033. Amortization of the gain or loss related to the 2008 terminated swap contract is to be recovered through 2035. | |||||||||||||||||||||
AROs | |||||||||||||||||||||
As discussed in Note 1, the accretion and depreciation expenses related to LG&E’s and KU’s AROs are recorded as a regulatory asset, such that there is no earnings impact. When an asset with an ARO is retired, the related ARO regulatory asset is offset against the associated cost of removal regulatory liability, PP&E and ARO liability. | |||||||||||||||||||||
Gas Line Tracker | |||||||||||||||||||||
In the 2012 rate case order, the KPSC approved the GLT rate recovery mechanism. The GLT authorizes LG&E to recover its incremental operating expenses, depreciation and property taxes, and to earn a 10.25% return on equity for capital associated with the five year gas service riser, leak mitigation and customer service line ownership programs. As part of this program, LG&E makes necessary repairs and assumes ownership of natural gas lines. LG&E annually files projected costs in October to become effective on the first billing cycle in January. After the completion of a plan year, LG&E submits a balancing adjustment filing to the KPSC to amend rates charged for the differences between the actual costs and actual GLT charges for the preceding year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to these timing differences. | |||||||||||||||||||||
Coal Contracts | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, LG&E's and KU's coal contracts were recorded at fair value on the Balance Sheets with offsets to regulatory assets for those contracts with unfavorable terms relative to current market prices and offsets to regulatory liabilities for those contracts with favorable terms relative to current market prices. These regulatory assets and liabilities are being amortized over the same terms as the related contracts, which expire at various times through 2016. | |||||||||||||||||||||
Power Purchase Agreement - OVEC | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, the fair values of the OVEC power purchase agreement were recorded on the balance sheets of LKE, LG&E and KU with offsets to regulatory liabilities. The regulatory liabilities are being amortized using the units-of-production method until March 2026, the expiration date of the agreement at the date of the acquisition. | |||||||||||||||||||||
Regulatory Liability Associated with Net Deferred Tax Assets | |||||||||||||||||||||
LG&E's and KU's regulatory liabilities associated with net deferred tax assets represent the future revenue impact from the reversal of deferred income taxes required primarily for unamortized investment tax credits. These regulatory liabilities are recognized when the offsetting deferred tax assets are recognized. For general-purpose financial reporting, these regulatory liabilities and the deferred tax assets are not offset; rather, each is displayed separately. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
U.K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
In March 2014, Ofgem issued its final decision on the DPCR4 line loss incentives and penalties mechanism. As a result, during the first quarter of 2014 WPD increased its existing liability by $65 million for over-recovery of line losses with a reduction to "Utility" revenues on the Statement of Income. Previously, WPD recorded an increase of $45 million to the liability with a reduction to "Utility" revenue on the Statement of Income in 2013, compared to a $79 million reduction of the liability with a credit to "Utility" revenue on the Statement of Income in 2012. In June 2014, WPD applied for judicial review of certain of Ofgem's decisions related to closing out the DPCR4 line loss mechanism. The court held a hearing on November 20, 2014, however, WPD was denied permission to apply for judicial review and WPD considers the matter now closed. Other activity impacting the liability included reductions in the liability that have been included in tariffs and foreign exchange movements. The recorded liability at December 31, 2014 and 2013 was $99 million and $74 million. The total recorded liability will be refunded to customers from April 1, 2015 through March 31, 2019. | |||||||||||||||||||||
Kentucky Activities | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
On November 26, 2014, LG&E and KU filed requests with the KPSC for increases in annual base electricity rates of approximately $30 million at LG&E and approximately $153 million at KU and an increase in annual base gas rates of approximately $14 million at LG&E. The proposed base rate increases would result in electricity rate increases of 2.7% at LG&E and 9.6% at KU and a gas rate increase of 4.2% at LG&E and would become effective in July 2015. LG&E’s and KU’s applications each include a request for authorized returns-on-equity of 10.5%. The applications are based on a forecasted test year of July 1, 2015 through June 30, 2016. A number of parties have been granted intervention requests in the proceedings. A hearing on the applications is scheduled to commence on April 21, 2015. LG&E and KU cannot predict the outcome of these proceedings. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
CPCN Filings | |||||||||||||||||||||
In January 2014, LG&E and KU filed an application for a CPCN with the KPSC requesting approval to build a solar generating facility at the E.W. Brown generating site. LG&E and KU entered into a stipulation in this proceeding agreeing to certain matters with some interveners and a hearing was held in November 2014. In December 2014, a final order was issued approving the request to construct the solar generating facility at E.W. Brown along with the acceptance of the provisions in the stipulation agreement. | |||||||||||||||||||||
Pennsylvania Activities (PPL and PPL Electric) | |||||||||||||||||||||
Rate Case Proceeding | |||||||||||||||||||||
In December 2012, the PUC approved a total distribution revenue increase of about $71 million for PPL Electric, including a 10.40% allowed return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
Storm Damage Expense Rider | |||||||||||||||||||||
In its December 28, 2012 final rate case order, the PUC directed PPL Electric to file a proposed SDER. The SDER is a reconcilable automatic adjustment clause under which PPL Electric annually will compare actual storm costs to storm costs allowed in base rates and refund or recoup any differences from customers. In March 2013, PPL Electric filed its proposed SDER with the PUC and, as part of that filing, requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy. PPL Electric proposed that the SDER become effective January 1, 2013 at a zero rate with qualifying storm costs incurred in 2013 and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. As of December 31, 2013, PPL Electric had a $14 million regulatory liability balance for amounts expected to be refunded to customers for revenues collected to cover storm costs in excess of actual storm costs incurred during 2013. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date and initially including actual storm costs compared to collections for December 2013 through November 2014. As a result, PPL Electric reduced its 2013 regulatory liability by $12 million. Also, as part of the April 2014 order, PPL Electric was authorized to recover Hurricane Sandy storm damage costs through the SDER over a three-year period beginning January 1, 2015. | |||||||||||||||||||||
On June 20, 2014, the OCA filed a petition with the Commonwealth Court of Pennsylvania requesting that the Court reverse and remand the April 2014 order permitting PPL Electric to establish the SDER. This matter remains pending before the Commonwealth Court. On October 31, 2014, PPL Electric filed with the PUC a preliminary calculation of the SDER for the period January 1, 2015 through December 31, 2015 and a tariff supplement pursuant to the April Order. On December 3, 2014, the OCA filed a formal complaint and public statement with the PUC challenging PPL Electric's October 31 filings. In response to the OCA's formal complaint, the PUC suspended the effective date of the SDER until April 20, 2015 and opened an investigation. On January 12, 2015, the OCA filed a petition to withdraw its complaint against PPL Electric's October 31 filings. On January 13, 2015, the Administrative Law Judge issued an initial decision granting the OCA's petition to withdraw. On January 15, 2015, the PUC issued a final order closing the investigation and modifying the effective date of the SDER to February 1, 2015. | |||||||||||||||||||||
Act 129 | |||||||||||||||||||||
Act 129 requires Pennsylvania Electric Distribution Companies (EDCs) to meet specified goals for reduction in customer electricity usage and peak demand by specified dates. EDCs not meeting the requirements of Act 129 are subject to significant penalties. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electricity generation supply service to customers pursuant to a PUC-approved default service procurement plan through auctions, requests for proposal and bilateral contracts at the sole discretion of the DSP. Act 129 requires a mix of spot market purchases, short-term contracts and long-term contracts (4 to 20 years), with long-term contracts limited to 25% of load unless otherwise approved by the PUC. A DSP is able to recover the costs associated with its default service procurement plan. | |||||||||||||||||||||
In January 2013, the PUC approved PPL Electric's DSP procurement plan for the period June 1, 2013 through May 31, 2015. PPL Electric filed a new DSP procurement plan with the PUC for the period June 1, 2015 through May 31, 2017. In September 2014, the parties filed with the presiding Administrative Law Judge a partial settlement resolving all but two issues in the proceeding related to the structure of the DSP, without direct financial impact of PPL Electric. The parties filed briefs on those two issues. In October 2014, a recommended decision was issued approving the partial settlement. Exceptions and reply exceptions were filed by the parties. On January 15, 2015, an Opinion and Order was issued approving the partial settlement and granting PPL Electric's Petition with slight modifications and closing the investigation. | |||||||||||||||||||||
Smart Meter Rider | |||||||||||||||||||||
Act 129 also requires installation of smart meters for new construction, upon the request of consumers and at their cost, or on a depreciation schedule not exceeding 15 years. Under Act 129, EDCs are able to recover the costs of providing smart metering technology. All of PPL Electric's metered customers currently have advanced meters installed at their service locations capable of many of the functions required under Act 129. PPL Electric conducted pilot projects and technical evaluations of its current advanced metering technology and concluded that the current technology does not meet all of the requirements of Act 129. PPL Electric recovered the cost of its evaluations through a cost recovery mechanism, the Smart Meter Rider (SMR). In August 2013, PPL Electric filed with the PUC an annual report describing the actions it was taking under its Smart Meter Plan during 2013 and its planned actions for 2014. PPL Electric also submitted revised SMR charges that became effective January 1, 2014. On June 30, 2014, PPL Electric filed its final Smart Meter Plan with the PUC. In that plan, PPL Electric proposes to replace all of its current meters with advanced meters that meet the Act 129 requirements. Full deployment of the new meters is expected to be complete by the end of 2019. The total cost of the project is estimated to be approximately $450 million. PPL Electric proposes to recover these costs through the SMR which the PUC previously has approved for recovery of such costs. The PUC assigned PPL Electric's plan to an Administrative Law Judge for hearings and preparation of a recommended decision. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
PUC Investigation of Retail Electricity Market | |||||||||||||||||||||
In April 2011, the PUC opened an investigation of Pennsylvania's retail electricity market to be conducted in two phases. Phase one addressed the status of the existing retail market and explored potential changes. Questions issued by the PUC for phase one of the investigation focused primarily on default service issues. Phase two was initiated in July 2011 to develop specific proposals for changes to the retail market and default service model. From December 2011 through the end of 2012, the PUC issued several orders and other pronouncements related to the investigation. A final implementation order was issued in February 2013, and the PUC created several working groups to address continuing competitive issues. Although the final implementation order contains provisions that will require numerous modifications to PPL Electric's current default service model for retail customers, those modifications are not expected to have a material adverse effect on PPL Electric's results of operations. | |||||||||||||||||||||
Distribution System Improvement Charge | |||||||||||||||||||||
Act 11 authorizes the PUC to approve two specific ratemaking mechanisms: the use of a fully projected future test year in base rate proceedings and, subject to certain conditions, the use of a DSIC. Such alternative ratemaking procedures and mechanisms provide opportunity for accelerated cost-recovery and, therefore, are important to PPL Electric as it begins a period of significant capital investment to maintain and enhance the reliability of its delivery system, including the replacement of aging distribution assets. In August 2012, the PUC issued a Final Implementation Order adopting procedures, guidelines and a model tariff for the implementation of Act 11. Act 11 requires utilities to file an LTIIP as a prerequisite to filing for recovery through the DSIC. The LTIIP is mandated to be a five- to ten-year plan describing projects eligible for inclusion in the DSIC. | |||||||||||||||||||||
In September 2012, PPL Electric filed its LTIIP describing projects eligible for inclusion in the DSIC and, in an order entered on May 23, 2013, the PUC approved PPL Electric's proposed DSIC with an initial rate effective July 1, 2013, subject to refund after hearings. The PUC also assigned four technical recovery calculation issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. In August 2014, the presiding Administrative Law Judge issued a recommended decision which would not have a significant impact on PPL Electric. Exceptions and reply exceptions have been filed by the parties. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
During 2012, PPL Electric experienced several PUC-reportable storms, including Hurricane Sandy, resulting in total restoration costs of $81 million, of which $61 million were initially recorded in "Other operation and maintenance" on the Statement of Income. In particular, in late October 2012, PPL Electric experienced widespread significant damage to its distribution network from Hurricane Sandy resulting in total restoration costs of $66 million, of which $50 million were initially recorded in "Other operation and maintenance" on the Statement of Income. Although PPL Electric had storm insurance coverage, the costs incurred from Hurricane Sandy exceeded the policy limits. Probable insurance recoveries recorded during 2012 were $18.25 million, of which $14 million were included in "Other operation and maintenance" on the Statement of Income. At December 31, 2014 and 2013, $29 million was included on the Balance Sheets as a regulatory asset. In February 2013, PPL Electric received an order from the PUC granting permission to defer qualifying storm costs in excess of insurance recoveries associated with Hurricane Sandy. See "Storm Damage Expense Rider" above for information regarding PPL Electric's filing of a proposed Storm Damage Expense Rider with the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Formula Rates (PPL and PPL Electric) | |||||||||||||||||||||
Transmission rates are regulated by the FERC. PPL Electric's transmission revenues are billed in accordance with a FERC-approved PJM open access transmission tariff (OATT) that utilizes a formula-based rate recovery mechanism. The formula rate is calculated, in part, based on financial results as reported in PPL Electric's annual FERC Form 1, filed under the FERC's Uniform System of Accounts. | |||||||||||||||||||||
PPL Electric initiated its formula rate 2012, 2011 and 2010 Annual Updates. Each update was subsequently challenged by a group of municipal customers, whose challenges were opposed by PPL Electric. Between 2011 and 2013, numerous hearings before the FERC and settlement conferences were convened in an attempt to resolve these matters. Beginning in the second half of 2013, PPL Electric and the group of municipal customers exchanged confidential settlement proposals. In September 2014, the parties filed a Joint Offer of Settlement with the FERC resolving all issues in the pending challenges, and including refunds of certain insignificant amounts to the municipalities. The settlement judge certified the uncontested settlement to the FERC with a recommendation that it be approved. The Chief Judge issued an order terminating settlement judge procedures. On February 9, 2015, FERC issued a letter order approving the Joint Offer of Settlement and directing PPL Electric to file tariff revisions that implement within the PJM OATT the changes to the formula rate set forth in the Joint Settlement. | |||||||||||||||||||||
FERC Wholesale Formula Rates (LKE and KU) | |||||||||||||||||||||
In September 2013, KU filed an application with the FERC to adjust the formula rate under which KU provides wholesale requirements power sales to 12 municipal customers. Among other changes, the application requests an amended formula whereby KU would charge cost-based rates with a subsequent true-up to actual costs, replacing the current formula which does not include a true-up. KU's application proposed an authorized return on equity of 10.7%. Certain elements, including the new formula rate, became effective April 23, 2014, subject to refund. In April 2014, nine municipalities submitted notices of termination, under the original notice period provisions, to cease taking power under the wholesale requirements contracts. Such terminations are to be effective in 2019, except in the case of one municipality with a 2017 effective date. In addition, a tenth municipality has a previously settled termination date of 2016. In July 2014, KU agreed on settlement terms with the two municipal customers that did not provide termination notices and filed the settlement proposal with the FERC for its approval. In August 2014, the FERC issued an order on the interim settlement agreement allowing the proposed rates to become effective pending a final order. If approved, the settlement agreement will resolve the rate case with respect to these two municipalities, including an authorized return on equity of 10.0% or the return on equity awarded to other parties in this case, whichever is lower. Also in July 2014, KU made a contractually required filing with the FERC that addressed certain rate recovery matters affecting the nine terminating municipalities during the remaining term of their contracts. KU and the terminating municipalities continue settlement discussions in this proceeding. KU cannot currently predict the outcome of its FERC applications regarding its wholesale power agreements with the municipalities. | |||||||||||||||||||||
Kentucky Utilities Co [Member] | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | |||||||||||||||||||||
Utility Rate Regulation | 6. Utility Rate Regulation | ||||||||||||||||||||
Regulatory Assets and Liabilities | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
As discussed in Note 1 and summarized below, PPL, PPL Electric, LKE, LG&E and KU reflect the effects of regulatory actions in the financial statements for their cost-based rate-regulated utility operations. Regulatory assets and liabilities are classified as current if, upon initial recognition, the entire amount related to that item will be recovered or refunded within a year of the balance sheet date. | |||||||||||||||||||||
WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. See Note 1 for additional information. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
LG&E is subject to the jurisdiction of the KPSC and FERC, and KU is subject to the jurisdiction of the KPSC, FERC, VSCC and TRA. | |||||||||||||||||||||
LG&E's and KU's Kentucky base rates are calculated based on a return on capitalization (common equity, long-term debt and short-term debt) including adjustments for certain net investments and costs recovered separately through other means. As such, LG&E and KU generally earn a return on regulatory assets. | |||||||||||||||||||||
As a result of purchase accounting requirements, certain fair value amounts related to contracts that had favorable or unfavorable terms relative to market were recorded on the Balance Sheets with an offsetting regulatory asset or liability. LG&E and KU recover in customer rates the cost of coal contracts, power purchases and emission allowances. As a result, management believes the regulatory assets and liabilities created to offset the fair value amounts at LKE's acquisition date meet the recognition criteria established by existing accounting guidance and eliminate any rate-making impact of the fair value adjustments. LG&E's and KU’s customer rates will continue to reflect the original contracted prices for these contracts. | |||||||||||||||||||||
(PPL, LKE and KU) | |||||||||||||||||||||
KU's Virginia base rates are calculated based on a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities, except the levelized fuel factor, are excluded from the return on rate base utilized in the calculation of Virginia base rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
KU’s rates to municipal customers for wholesale requirements are calculated based on annual updates to a rate formula that utilizes a return on rate base (net utility plant plus working capital less deferred taxes and miscellaneous deductions). All regulatory assets and liabilities are excluded from the return on rate base utilized in the development of municipal rates. Therefore, no return is earned on the related assets. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
PPL Electric's distribution base rates are calculated based on a return on rate base (net utility plant plus a cash working capital allowance less plant-related deferred taxes and other miscellaneous additions and deductions). PPL Electric's transmission revenues are billed in accordance with a FERC tariff that allows for recovery of transmission costs incurred, a return on transmission-related plant and an automatic annual update. See "Transmission Formula Rate" below for additional information on this tariff. All regulatory assets and liabilities are excluded from distribution and transmission return on investment calculations; therefore, generally no return is earned on PPL Electric's regulatory assets. | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Following is an overview of selected regulatory assets and liabilities detailed in the preceding tables. Specific developments with respect to certain of these regulatory assets and liabilities are discussed in "Regulatory Matters." | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
Defined Benefit Plans | |||||||||||||||||||||
Defined benefit plan regulatory assets and liabilities represent the portion of unrecognized transition obligation, prior service cost and net actuarial losses that will be recovered in defined benefit plans expense through future base rates based upon established regulatory practices and generally, are amortized over the average remaining service lives of plan participants. These regulatory assets and liabilities are adjusted at least annually or whenever the funded status of defined benefit plans is re-measured. Of the regulatory asset and liability balances recorded, costs of $58 million for PPL, $18 million for PPL Electric, $40 million for LKE, $25 million for LG&E and $15 million for KU are expected to be amortized into net periodic defined benefit costs in 2015. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
PPL Electric, LG&E and KU have the ability to request from the PUC, KPSC and VSCC, as applicable, the authority to treat expenses related to specific extraordinary storms as a regulatory asset and defer such costs for regulatory accounting and reporting purposes. Once such authority is granted, LG&E and KU can request recovery of those expenses in a base rate case and begin amortizing the costs when recovery starts. PPL Electric can recover qualifying expenses caused by major storm events, as defined in its retail tariff, over three years through the Storm Damage Expense Rider commencing in the application year after the storm occurred. LG&E's and KU's storm costs are being amortized through various dates ending in 2020. | |||||||||||||||||||||
Unamortized Loss on Debt | |||||||||||||||||||||
Unamortized loss on reacquired debt represents losses on long-term debt reacquired or redeemed that have been deferred and will be amortized and recovered over either the original life of the extinguished debt or the life of the replacement debt (in the case of refinancing). Such costs are being amortized through 2029 for PPL Electric, 2035 for LG&E and through 2040 for PPL, LKE and KU. | |||||||||||||||||||||
Accumulated Cost of Removal of Utility Plant | |||||||||||||||||||||
LG&E and KU accrue for costs of removal through depreciation expense with an offsetting credit to a regulatory liability. The regulatory liability is relieved as costs are incurred. See Note 1 for additional information. | |||||||||||||||||||||
PPL Electric does not accrue for costs of removal. When costs of removal are incurred, PPL Electric records the deferral of costs as a regulatory asset. Such deferral is included in rates and amortized over the subsequent five-year period. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
Generation Supply Charge | |||||||||||||||||||||
The generation supply charge is a cost recovery mechanism that permits PPL Electric to recover costs incurred to provide generation supply to PLR customers who receive basic generation supply service. The recovery includes charges for generation supply (energy and capacity and ancillary services), as well as administration of the acquisition process. In addition, the generation supply charge contains a reconciliation mechanism whereby any over- or under-recovery from prior quarters is refunded to, or recovered from, customers through the adjustment factor determined for the subsequent quarter. | |||||||||||||||||||||
Transmission Service Charge (TSC) | |||||||||||||||||||||
PPL Electric is charged by PJM for transmission service-related costs applicable to its PLR customers. PPL Electric passes these costs on to customers, who receive basic generation supply service through the PUC-approved TSC cost recovery mechanism. The TSC contains a reconciliation mechanism whereby any over- or under-recovery from customers is either refunded to, or recovered from, customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Transmission Formula Rate | |||||||||||||||||||||
PPL Electric's transmission revenues are billed in accordance with a FERC-approved open access transmission tariff that utilizes a formula-based rate recovery mechanism. The formula rate is based on prior year expenditures and forecasted current calendar year transmission plant additions. An adjustment to the prior year expenditures is recorded as a regulatory asset or regulatory liability. | |||||||||||||||||||||
Universal Service Rider (USR) | |||||||||||||||||||||
PPL Electric's distribution rates permit recovery of applicable costs associated with the universal service programs provided to PPL Electric's residential customers. Universal service programs include low-income programs, such as OnTrack and Winter Relief Assistance Program (WRAP). OnTrack is a special payment program for low-income households within the federal poverty level that have difficulty paying their electric bills. This program is funded by residential customers and administered by community-based organizations. Customers who participate in OnTrack receive assistance in the form of reduced payment arrangements, protection against termination of electric service and referrals to other community programs and services. The WRAP program reduces electric bills and improves living comfort for low-income customers by providing services such as weatherization measures and energy education services. The USR is applied to distribution charges for each customer who receives distribution service under PPL Electric's residential service rate schedules. The USR contains a reconciliation mechanism whereby any over- or under-recovery from the current year is refunded to or recovered from residential customers through the adjustment factor determined for the subsequent year. | |||||||||||||||||||||
Storm Damage Expense | |||||||||||||||||||||
In accordance with the PUC's December 2012 final rate case order, PPL Electric proposed the establishment of a Storm Damage Expense Rider (SDER) with the PUC. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date. On June 20, 2014, the Office of Consumer Advocate (OCA) filed a petition requesting the Commonwealth Court of Pennsylvania to reverse and remand the April 2014 order, which petition remains outstanding. On January 15, 2015, the PUC issued an order modifying the effective date of the SDER to February 1, 2015. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on the SDER. | |||||||||||||||||||||
Taxes Recoverable through Future Rates | |||||||||||||||||||||
Taxes recoverable through future rates represent the portion of future income taxes that will be recovered through future rates based upon established regulatory practices. Accordingly, this regulatory asset is recognized when the offsetting deferred tax liability is recognized. For general-purpose financial reporting, this regulatory asset and the deferred tax liability are not offset; rather, each is displayed separately. This regulatory asset is expected to be recovered over the period that the underlying book-tax timing differences reverse and the actual cash taxes are incurred. | |||||||||||||||||||||
Act 129 Compliance Rider | |||||||||||||||||||||
In compliance with Pennsylvania's Act 129 of 2008 and implementing regulations, Phase I of PPL Electric's energy efficiency and conservation plan was approved by a PUC order in October 2009. The order allows PPL Electric to recover the maximum $250 million cost of the program ratably over the life of the plan, from January 1, 2010 through May 31, 2013. Phase II of PPL's energy efficiency and conservation plan allows PPL Electric to recover the maximum $185 million cost of the program over the three year period June 1, 2013 through May 31, 2016. The plan includes programs intended to reduce electricity consumption. The recoverable costs include direct and indirect charges, including design and development costs, general and administrative costs and applicable state evaluator costs. The rates are applied to customers who receive distribution service through the Act 129 Compliance Rider. The actual program costs are reconcilable, and any over- or under-recovery from customers will be refunded or recovered at the end of the program. See below under "Regulatory Matters - Pennsylvania Activities" for additional information on Act 129. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Environmental Cost Recovery | |||||||||||||||||||||
Kentucky law permits LG&E and KU to recover the costs, including a return of operating expenses and a return of and on capital invested, of complying with the Clean Air Act and those federal, state or local environmental requirements which apply to coal combustion wastes and by-products from coal-fired electric generating facilities. The KPSC requires reviews of the past operations of the environmental surcharge for six-month and two-year billing periods to evaluate the related charges, credits and rates of return, as well as to provide for the roll-in of ECR amounts to base rates each two-year period. The ECR regulatory asset or liability represents the amount that has been under- or over-recovered due to timing or adjustments to the mechanism and is typically recovered within 12 months. As a result of the settlement agreement in the 2012 rate case, beginning in 2013, LG&E and KU began receiving a 10.25% return on equity for all ECR projects included in the 2009 and 2011 compliance plans. In 2012 and 2011, LG&E and KU were authorized to receive a 10.63% return on equity for projects associated with the 2009 compliance plan and a 10.10% return on equity for projects associated with the 2011 compliance plan. | |||||||||||||||||||||
Gas Supply Clause | |||||||||||||||||||||
LG&E's natural gas rates contain a gas supply clause, whereby the expected cost of natural gas supply and variances between actual and expected costs from prior periods are adjusted quarterly in LG&E's rates, subject to approval by the KPSC. The gas supply clause includes a separate natural gas procurement incentive mechanism, which allows LG&E's rates to be adjusted annually to share variances between actual costs and market indices between the shareholders and the customers during each performance-based rate year (12 months ending October 31). The regulatory assets or liabilities represent the total amounts that have been under- or over-recovered due to timing or adjustments to the mechanisms and are typically recovered within 18 months. | |||||||||||||||||||||
Fuel Adjustment Clauses | |||||||||||||||||||||
LG&E's and KU's retail electric rates contain a fuel adjustment clause, whereby variances in the cost of fuel to generate electricity, including transportation costs, from the costs embedded in base rates are adjusted in LG&E's and KU’s rates. The KPSC requires public hearings at six-month intervals to examine past fuel adjustments and at two-year intervals to review past operations of the fuel adjustment clause and, to the extent appropriate, reestablish the fuel charge included in base rates. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
KU also employs a levelized fuel factor mechanism for Virginia customers using an average fuel cost factor based primarily on projected fuel costs. The Virginia levelized fuel factor allows fuel recovery based on projected fuel costs for the coming year plus an adjustment for any under- or over-recovery of fuel expenses from the prior year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to timing or adjustments to the mechanism and are typically recovered within 12 months. | |||||||||||||||||||||
Demand Side Management | |||||||||||||||||||||
LG&E's and KU's DSM programs consist of energy efficiency programs which are intended to reduce peak demand and delay the investment in additional power plant construction, provide customers with tools and information to become better managers of their energy usage and prepare for potential future legislation governing energy efficiency. LG&E's and KU's rates contain a DSM provision which includes a rate recovery mechanism that provides for concurrent recovery of DSM costs, and allows for the recovery of DSM revenues from lost sales associated with the DSM programs. Additionally, LG&E and KU earn an approved return on equity for capital expenditures associated with the residential and commercial load management/demand conservation programs. The cost of DSM programs is assigned only to the class or classes of customers that benefit from the programs. | |||||||||||||||||||||
Interest Rate Swaps | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL that have terms identical to forward-starting swaps entered into by PPL with third parties. Net realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in “Interest Expense” on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. At December 31, 2014, the total notional amount of forward starting interest rate swaps outstanding was $1 billion (LG&E and KU each held contracts of $500 million). The swaps range in maturity through 2045. There were no forward starting interest rate swaps outstanding at December 31, 2013. Net cash settlements of $86 million were received on swaps that were terminated in 2013 (LG&E and KU each received $43 million). Net realized gains on these terminated swaps will be returned through regulated rates. As such, the net settlements were recorded in regulatory liabilities and are being recognized in "Interest Expense" on the Statements of Income over the life of the new debt which matures in 2043. See Note 17 for additional information related to the forward-starting interest rate swaps. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
In addition to the hedges terminated as a result of the debt issuance, realized amounts associated with LG&E's interest rate swaps, including a terminated swap contract from 2008, are recoverable through rates based on an order from the KPSC, LG&E's unrealized losses and gains are recorded as a regulatory asset or liability until they are realized as interest expense. Interest expense from existing swaps is realized and recovered over the terms of the associated debt, which matures through 2033. Amortization of the gain or loss related to the 2008 terminated swap contract is to be recovered through 2035. | |||||||||||||||||||||
AROs | |||||||||||||||||||||
As discussed in Note 1, the accretion and depreciation expenses related to LG&E’s and KU’s AROs are recorded as a regulatory asset, such that there is no earnings impact. When an asset with an ARO is retired, the related ARO regulatory asset is offset against the associated cost of removal regulatory liability, PP&E and ARO liability. | |||||||||||||||||||||
Gas Line Tracker | |||||||||||||||||||||
In the 2012 rate case order, the KPSC approved the GLT rate recovery mechanism. The GLT authorizes LG&E to recover its incremental operating expenses, depreciation and property taxes, and to earn a 10.25% return on equity for capital associated with the five year gas service riser, leak mitigation and customer service line ownership programs. As part of this program, LG&E makes necessary repairs and assumes ownership of natural gas lines. LG&E annually files projected costs in October to become effective on the first billing cycle in January. After the completion of a plan year, LG&E submits a balancing adjustment filing to the KPSC to amend rates charged for the differences between the actual costs and actual GLT charges for the preceding year. The regulatory assets or liabilities represent the amounts that have been under- or over-recovered due to these timing differences. | |||||||||||||||||||||
Coal Contracts | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, LG&E's and KU's coal contracts were recorded at fair value on the Balance Sheets with offsets to regulatory assets for those contracts with unfavorable terms relative to current market prices and offsets to regulatory liabilities for those contracts with favorable terms relative to current market prices. These regulatory assets and liabilities are being amortized over the same terms as the related contracts, which expire at various times through 2016. | |||||||||||||||||||||
Power Purchase Agreement - OVEC | |||||||||||||||||||||
As a result of purchase accounting associated with PPL's acquisition of LKE, the fair values of the OVEC power purchase agreement were recorded on the balance sheets of LKE, LG&E and KU with offsets to regulatory liabilities. The regulatory liabilities are being amortized using the units-of-production method until March 2026, the expiration date of the agreement at the date of the acquisition. | |||||||||||||||||||||
Regulatory Liability Associated with Net Deferred Tax Assets | |||||||||||||||||||||
LG&E's and KU's regulatory liabilities associated with net deferred tax assets represent the future revenue impact from the reversal of deferred income taxes required primarily for unamortized investment tax credits. These regulatory liabilities are recognized when the offsetting deferred tax assets are recognized. For general-purpose financial reporting, these regulatory liabilities and the deferred tax assets are not offset; rather, each is displayed separately. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
U.K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
In March 2014, Ofgem issued its final decision on the DPCR4 line loss incentives and penalties mechanism. As a result, during the first quarter of 2014 WPD increased its existing liability by $65 million for over-recovery of line losses with a reduction to "Utility" revenues on the Statement of Income. Previously, WPD recorded an increase of $45 million to the liability with a reduction to "Utility" revenue on the Statement of Income in 2013, compared to a $79 million reduction of the liability with a credit to "Utility" revenue on the Statement of Income in 2012. In June 2014, WPD applied for judicial review of certain of Ofgem's decisions related to closing out the DPCR4 line loss mechanism. The court held a hearing on November 20, 2014, however, WPD was denied permission to apply for judicial review and WPD considers the matter now closed. Other activity impacting the liability included reductions in the liability that have been included in tariffs and foreign exchange movements. The recorded liability at December 31, 2014 and 2013 was $99 million and $74 million. The total recorded liability will be refunded to customers from April 1, 2015 through March 31, 2019. | |||||||||||||||||||||
Kentucky Activities | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
On November 26, 2014, LG&E and KU filed requests with the KPSC for increases in annual base electricity rates of approximately $30 million at LG&E and approximately $153 million at KU and an increase in annual base gas rates of approximately $14 million at LG&E. The proposed base rate increases would result in electricity rate increases of 2.7% at LG&E and 9.6% at KU and a gas rate increase of 4.2% at LG&E and would become effective in July 2015. LG&E’s and KU’s applications each include a request for authorized returns-on-equity of 10.5%. The applications are based on a forecasted test year of July 1, 2015 through June 30, 2016. A number of parties have been granted intervention requests in the proceedings. A hearing on the applications is scheduled to commence on April 21, 2015. LG&E and KU cannot predict the outcome of these proceedings. | |||||||||||||||||||||
(PPL, LKE and LG&E) | |||||||||||||||||||||
CPCN Filings | |||||||||||||||||||||
In January 2014, LG&E and KU filed an application for a CPCN with the KPSC requesting approval to build a solar generating facility at the E.W. Brown generating site. LG&E and KU entered into a stipulation in this proceeding agreeing to certain matters with some interveners and a hearing was held in November 2014. In December 2014, a final order was issued approving the request to construct the solar generating facility at E.W. Brown along with the acceptance of the provisions in the stipulation agreement. | |||||||||||||||||||||
Pennsylvania Activities (PPL and PPL Electric) | |||||||||||||||||||||
Rate Case Proceeding | |||||||||||||||||||||
In December 2012, the PUC approved a total distribution revenue increase of about $71 million for PPL Electric, including a 10.40% allowed return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
Storm Damage Expense Rider | |||||||||||||||||||||
In its December 28, 2012 final rate case order, the PUC directed PPL Electric to file a proposed SDER. The SDER is a reconcilable automatic adjustment clause under which PPL Electric annually will compare actual storm costs to storm costs allowed in base rates and refund or recoup any differences from customers. In March 2013, PPL Electric filed its proposed SDER with the PUC and, as part of that filing, requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy. PPL Electric proposed that the SDER become effective January 1, 2013 at a zero rate with qualifying storm costs incurred in 2013 and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. As of December 31, 2013, PPL Electric had a $14 million regulatory liability balance for amounts expected to be refunded to customers for revenues collected to cover storm costs in excess of actual storm costs incurred during 2013. In April 2014, the PUC issued a final order approving the SDER with a January 1, 2015 effective date and initially including actual storm costs compared to collections for December 2013 through November 2014. As a result, PPL Electric reduced its 2013 regulatory liability by $12 million. Also, as part of the April 2014 order, PPL Electric was authorized to recover Hurricane Sandy storm damage costs through the SDER over a three-year period beginning January 1, 2015. | |||||||||||||||||||||
On June 20, 2014, the OCA filed a petition with the Commonwealth Court of Pennsylvania requesting that the Court reverse and remand the April 2014 order permitting PPL Electric to establish the SDER. This matter remains pending before the Commonwealth Court. On October 31, 2014, PPL Electric filed with the PUC a preliminary calculation of the SDER for the period January 1, 2015 through December 31, 2015 and a tariff supplement pursuant to the April Order. On December 3, 2014, the OCA filed a formal complaint and public statement with the PUC challenging PPL Electric's October 31 filings. In response to the OCA's formal complaint, the PUC suspended the effective date of the SDER until April 20, 2015 and opened an investigation. On January 12, 2015, the OCA filed a petition to withdraw its complaint against PPL Electric's October 31 filings. On January 13, 2015, the Administrative Law Judge issued an initial decision granting the OCA's petition to withdraw. On January 15, 2015, the PUC issued a final order closing the investigation and modifying the effective date of the SDER to February 1, 2015. | |||||||||||||||||||||
Act 129 | |||||||||||||||||||||
Act 129 requires Pennsylvania Electric Distribution Companies (EDCs) to meet specified goals for reduction in customer electricity usage and peak demand by specified dates. EDCs not meeting the requirements of Act 129 are subject to significant penalties. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electricity generation supply service to customers pursuant to a PUC-approved default service procurement plan through auctions, requests for proposal and bilateral contracts at the sole discretion of the DSP. Act 129 requires a mix of spot market purchases, short-term contracts and long-term contracts (4 to 20 years), with long-term contracts limited to 25% of load unless otherwise approved by the PUC. A DSP is able to recover the costs associated with its default service procurement plan. | |||||||||||||||||||||
In January 2013, the PUC approved PPL Electric's DSP procurement plan for the period June 1, 2013 through May 31, 2015. PPL Electric filed a new DSP procurement plan with the PUC for the period June 1, 2015 through May 31, 2017. In September 2014, the parties filed with the presiding Administrative Law Judge a partial settlement resolving all but two issues in the proceeding related to the structure of the DSP, without direct financial impact of PPL Electric. The parties filed briefs on those two issues. In October 2014, a recommended decision was issued approving the partial settlement. Exceptions and reply exceptions were filed by the parties. On January 15, 2015, an Opinion and Order was issued approving the partial settlement and granting PPL Electric's Petition with slight modifications and closing the investigation. | |||||||||||||||||||||
Smart Meter Rider | |||||||||||||||||||||
Act 129 also requires installation of smart meters for new construction, upon the request of consumers and at their cost, or on a depreciation schedule not exceeding 15 years. Under Act 129, EDCs are able to recover the costs of providing smart metering technology. All of PPL Electric's metered customers currently have advanced meters installed at their service locations capable of many of the functions required under Act 129. PPL Electric conducted pilot projects and technical evaluations of its current advanced metering technology and concluded that the current technology does not meet all of the requirements of Act 129. PPL Electric recovered the cost of its evaluations through a cost recovery mechanism, the Smart Meter Rider (SMR). In August 2013, PPL Electric filed with the PUC an annual report describing the actions it was taking under its Smart Meter Plan during 2013 and its planned actions for 2014. PPL Electric also submitted revised SMR charges that became effective January 1, 2014. On June 30, 2014, PPL Electric filed its final Smart Meter Plan with the PUC. In that plan, PPL Electric proposes to replace all of its current meters with advanced meters that meet the Act 129 requirements. Full deployment of the new meters is expected to be complete by the end of 2019. The total cost of the project is estimated to be approximately $450 million. PPL Electric proposes to recover these costs through the SMR which the PUC previously has approved for recovery of such costs. The PUC assigned PPL Electric's plan to an Administrative Law Judge for hearings and preparation of a recommended decision. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
PUC Investigation of Retail Electricity Market | |||||||||||||||||||||
In April 2011, the PUC opened an investigation of Pennsylvania's retail electricity market to be conducted in two phases. Phase one addressed the status of the existing retail market and explored potential changes. Questions issued by the PUC for phase one of the investigation focused primarily on default service issues. Phase two was initiated in July 2011 to develop specific proposals for changes to the retail market and default service model. From December 2011 through the end of 2012, the PUC issued several orders and other pronouncements related to the investigation. A final implementation order was issued in February 2013, and the PUC created several working groups to address continuing competitive issues. Although the final implementation order contains provisions that will require numerous modifications to PPL Electric's current default service model for retail customers, those modifications are not expected to have a material adverse effect on PPL Electric's results of operations. | |||||||||||||||||||||
Distribution System Improvement Charge | |||||||||||||||||||||
Act 11 authorizes the PUC to approve two specific ratemaking mechanisms: the use of a fully projected future test year in base rate proceedings and, subject to certain conditions, the use of a DSIC. Such alternative ratemaking procedures and mechanisms provide opportunity for accelerated cost-recovery and, therefore, are important to PPL Electric as it begins a period of significant capital investment to maintain and enhance the reliability of its delivery system, including the replacement of aging distribution assets. In August 2012, the PUC issued a Final Implementation Order adopting procedures, guidelines and a model tariff for the implementation of Act 11. Act 11 requires utilities to file an LTIIP as a prerequisite to filing for recovery through the DSIC. The LTIIP is mandated to be a five- to ten-year plan describing projects eligible for inclusion in the DSIC. | |||||||||||||||||||||
In September 2012, PPL Electric filed its LTIIP describing projects eligible for inclusion in the DSIC and, in an order entered on May 23, 2013, the PUC approved PPL Electric's proposed DSIC with an initial rate effective July 1, 2013, subject to refund after hearings. The PUC also assigned four technical recovery calculation issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. In August 2014, the presiding Administrative Law Judge issued a recommended decision which would not have a significant impact on PPL Electric. Exceptions and reply exceptions have been filed by the parties. This matter remains pending before the PUC. PPL Electric cannot predict the outcome of this proceeding. | |||||||||||||||||||||
Storm Costs | |||||||||||||||||||||
During 2012, PPL Electric experienced several PUC-reportable storms, including Hurricane Sandy, resulting in total restoration costs of $81 million, of which $61 million were initially recorded in "Other operation and maintenance" on the Statement of Income. In particular, in late October 2012, PPL Electric experienced widespread significant damage to its distribution network from Hurricane Sandy resulting in total restoration costs of $66 million, of which $50 million were initially recorded in "Other operation and maintenance" on the Statement of Income. Although PPL Electric had storm insurance coverage, the costs incurred from Hurricane Sandy exceeded the policy limits. Probable insurance recoveries recorded during 2012 were $18.25 million, of which $14 million were included in "Other operation and maintenance" on the Statement of Income. At December 31, 2014 and 2013, $29 million was included on the Balance Sheets as a regulatory asset. In February 2013, PPL Electric received an order from the PUC granting permission to defer qualifying storm costs in excess of insurance recoveries associated with Hurricane Sandy. See "Storm Damage Expense Rider" above for information regarding PPL Electric's filing of a proposed Storm Damage Expense Rider with the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Formula Rates (PPL and PPL Electric) | |||||||||||||||||||||
Transmission rates are regulated by the FERC. PPL Electric's transmission revenues are billed in accordance with a FERC-approved PJM open access transmission tariff (OATT) that utilizes a formula-based rate recovery mechanism. The formula rate is calculated, in part, based on financial results as reported in PPL Electric's annual FERC Form 1, filed under the FERC's Uniform System of Accounts. | |||||||||||||||||||||
PPL Electric initiated its formula rate 2012, 2011 and 2010 Annual Updates. Each update was subsequently challenged by a group of municipal customers, whose challenges were opposed by PPL Electric. Between 2011 and 2013, numerous hearings before the FERC and settlement conferences were convened in an attempt to resolve these matters. Beginning in the second half of 2013, PPL Electric and the group of municipal customers exchanged confidential settlement proposals. In September 2014, the parties filed a Joint Offer of Settlement with the FERC resolving all issues in the pending challenges, and including refunds of certain insignificant amounts to the municipalities. The settlement judge certified the uncontested settlement to the FERC with a recommendation that it be approved. The Chief Judge issued an order terminating settlement judge procedures. On February 9, 2015, FERC issued a letter order approving the Joint Offer of Settlement and directing PPL Electric to file tariff revisions that implement within the PJM OATT the changes to the formula rate set forth in the Joint Settlement. | |||||||||||||||||||||
FERC Wholesale Formula Rates (LKE and KU) | |||||||||||||||||||||
In September 2013, KU filed an application with the FERC to adjust the formula rate under which KU provides wholesale requirements power sales to 12 municipal customers. Among other changes, the application requests an amended formula whereby KU would charge cost-based rates with a subsequent true-up to actual costs, replacing the current formula which does not include a true-up. KU's application proposed an authorized return on equity of 10.7%. Certain elements, including the new formula rate, became effective April 23, 2014, subject to refund. In April 2014, nine municipalities submitted notices of termination, under the original notice period provisions, to cease taking power under the wholesale requirements contracts. Such terminations are to be effective in 2019, except in the case of one municipality with a 2017 effective date. In addition, a tenth municipality has a previously settled termination date of 2016. In July 2014, KU agreed on settlement terms with the two municipal customers that did not provide termination notices and filed the settlement proposal with the FERC for its approval. In August 2014, the FERC issued an order on the interim settlement agreement allowing the proposed rates to become effective pending a final order. If approved, the settlement agreement will resolve the rate case with respect to these two municipalities, including an authorized return on equity of 10.0% or the return on equity awarded to other parties in this case, whichever is lower. Also in July 2014, KU made a contractually required filing with the FERC that addressed certain rate recovery matters affecting the nine terminating municipalities during the remaining term of their contracts. KU and the terminating municipalities continue settlement discussions in this proceeding. KU cannot currently predict the outcome of its FERC applications regarding its wholesale power agreements with the municipalities. |
Financing_Activities
Financing Activities | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||
Financing Activities [Abstract] | |||||||||||||||||||||||||||
Financing Activities | 7. Financing Activities | ||||||||||||||||||||||||||
Credit Arrangements and Short-term Debt | |||||||||||||||||||||||||||
(All Registrants) | |||||||||||||||||||||||||||
The Registrants maintain credit facilities to enhance liquidity, provide credit support and provide a backstop to commercial paper programs. For reporting purposes, on a consolidated basis, the credit facilities and commercial paper programs of PPL Energy Supply, PPL Electric, LKE, LG&E and KU also apply to PPL and the credit facilities and commercial paper programs of LG&E and KU also apply to LKE. The amounts borrowed below are recorded as "Short-term debt" on the Balance Sheets. The following credit facilities were in place at: | |||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||
Letters of | Letters of | ||||||||||||||||||||||||||
Credit | Credit | ||||||||||||||||||||||||||
and | and | ||||||||||||||||||||||||||
Commercial | Commercial | ||||||||||||||||||||||||||
Expiration | Paper | Unused | Paper | ||||||||||||||||||||||||
Date | Capacity | Borrowed | Issued | Capacity | Borrowed | Issued | |||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
U.K. | |||||||||||||||||||||||||||
WPD Ltd. | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Dec. 2016 | £ | 210 | £ | 103 | £ | 107 | £ | 103 | ||||||||||||||||||
WPD (South West) | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Jul-19 | 245 | 245 | ||||||||||||||||||||||||
WPD (East Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Jul-19 | 300 | 64 | 236 | |||||||||||||||||||||||
WPD (West Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Jul-19 | 300 | 300 | ||||||||||||||||||||||||
Uncommitted Credit Facilities | 105 | £ | 5 | 100 | £ | 5 | |||||||||||||||||||||
Total U.K. Credit Facilities (b) | £ | 1,160 | £ | 167 | £ | 5 | £ | 988 | £ | 103 | £ | 5 | |||||||||||||||
U.S. | |||||||||||||||||||||||||||
PPL Capital Funding | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) (f) | Nov. 2018 | $ | 300 | $ | 300 | $ | 270 | ||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | 300 | 300 | ||||||||||||||||||||||||
Bilateral Credit Facility (c) (d) | Mar. 2015 | 150 | $ | 21 | 129 | ||||||||||||||||||||||
Uncommitted Credit Facility | 65 | 1 | 64 | ||||||||||||||||||||||||
Total PPL Capital Funding Credit Facilities | $ | 815 | $ | 22 | $ | 793 | $ | 270 | |||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) (f) | Nov. 2017 | $ | 3,000 | $ | 630 | $ | 121 | $ | 2,249 | $ | 29 | ||||||||||||||||
Letter of Credit Facility (d) | Mar. 2015 | 150 | 138 | 12 | 138 | ||||||||||||||||||||||
Uncommitted Credit Facilities (d) | 100 | 22 | 78 | 77 | |||||||||||||||||||||||
Total PPL Energy Supply Credit Facilities | $ | 3,250 | $ | 630 | $ | 281 | $ | 2,339 | $ | 244 | |||||||||||||||||
PPL Electric | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | $ | 300 | $ | 1 | $ | 299 | $ | 21 | ||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) (f) | Oct. 2018 | $ | 75 | $ | 75 | $ | 75 | ||||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | $ | 500 | $ | 264 | $ | 236 | $ | 20 | ||||||||||||||||||
KU | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | $ | 400 | $ | 236 | $ | 164 | $ | 150 | ||||||||||||||||||
Letter of Credit Facility (c) (d) (e) | Oct. 2017 | 198 | 198 | 198 | |||||||||||||||||||||||
Total KU Credit Facilities | $ | 598 | $ | 434 | $ | 164 | $ | 348 | |||||||||||||||||||
(a) The facilities contain financial covenants to maintain an interest coverage ratio of not less than 3.0 times consolidated earnings before income taxes, depreciation and amortization and total net debt not in excess of 85% of its RAV, calculated in accordance with the credit facility. | |||||||||||||||||||||||||||
(b) WPD Ltd.'s amounts borrowed at December 31, 2014 and 2013 were USD-denominated borrowings of $161 million and $166 million, which bore interest at 1.86% and 1.87%. WPD (East Midlands) amount borrowed at December 31, 2014 was a GBP-denominated borrowing which equated to $100 million and bore interest at 1.00%. At December 31, 2014, the unused capacity under the U.K. credit facilities was approximately $1.5 billion. | |||||||||||||||||||||||||||
(c) Each company pays customary fees under its respective facility and borrowings generally bear interest at LIBOR-based rates plus an applicable margin. | |||||||||||||||||||||||||||
(d) The facilities contain a financial covenant requiring debt to total capitalization not to exceed 65% for PPL Energy Supply and 70% for PPL Capital Funding, PPL Electric, LKE, LG&E and KU, as calculated in accordance with the facilities and other customary covenants. Additionally, as it relates to the syndicated and bilateral credit facilities and subject to certain conditions, PPL Capital Funding may request that the capacity of its facility expiring in July 2019 be increased by up to $100 million and the facilities expiring in November 2018 and March 2015 may be increased by up to $30 million, PPL Energy Supply may request that its facility's capacity be increased by up to $500 million, PPL Electric and KU each may request up to a $100 million increase in its facility's capacity and LKE may request up to a $25 million increase in its facility's capacity. | |||||||||||||||||||||||||||
(e) KU's letter of credit facility agreement allows for certain payments under the letter of credit facility to be converted to loans rather than requiring immediate payment. | |||||||||||||||||||||||||||
(f) At December 31, 2014, PPL Energy Supply’s and LKE's interest rates on outstanding borrowings were 2.05% and 1.67%, respectively. At December 31, 2013, PPL Capital Funding's and LKE’s interest rates on outstanding borrowings were 1.79% and 1.67%, respectively. | |||||||||||||||||||||||||||
PPL Electric, LG&E and KU maintain commercial paper programs to provide an additional financing source to fund short-term liquidity needs, as necessary. Commercial paper issuances, included in "Short-term debt" on the Balance Sheets, are supported by the respective Registrant's Syndicated Credit Facility. The following commercial paper programs were in place at: | |||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Electric | $ | 300 | $ | 300 | 0.23% | $ | 20 | ||||||||||||||||||||
LG&E | 0.42% | 350 | $ | 264 | 86 | 0.29% | 20 | ||||||||||||||||||||
KU | 0.49% | 350 | 236 | 114 | 0.32% | 150 | |||||||||||||||||||||
Total | $ | 1,000 | $ | 500 | $ | 500 | $ | 190 | |||||||||||||||||||
In August 2014, PPL Energy Supply terminated its commercial paper program. | |||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||
PPL Energy Supply maintains a $500 million Facility Agreement expiring June 2017, which provides PPL Energy Supply the ability to request up to $500 million of committed letter of credit capacity at fees to be agreed upon at the time of each request, based on certain market conditions. At December 31, 2014, PPL Energy Supply had not requested any capacity for the issuance of letters of credit under this arrangement. | |||||||||||||||||||||||||||
PPL Energy Supply, PPL EnergyPlus, PPL Montour and PPL Brunner Island maintain an $800 million secured energy marketing and trading facility, whereby PPL EnergyPlus will receive credit to be applied to satisfy collateral posting obligations related to its energy marketing and trading activities with counterparties participating in the facility. The credit amount is guaranteed by PPL Energy Supply, PPL Montour and PPL Brunner Island. PPL Montour and PPL Brunner Island have granted liens on their respective generating facilities to secure any amount they may owe under their guarantees, which had an aggregate carrying value of $2.6 billion at December 31, 2014. The facility expires in November 2019, but is subject to automatic one-year renewals under certain conditions. There were $64 million of secured obligations outstanding under this facility at December 31, 2014. | |||||||||||||||||||||||||||
(All Registrants except PPL) | |||||||||||||||||||||||||||
See Note 14 for discussion of intercompany borrowings. | |||||||||||||||||||||||||||
Long-term Debt (All Registrants) | |||||||||||||||||||||||||||
Weighted-Average | December 31, | ||||||||||||||||||||||||||
Rate | Maturities | 2014 | 2013 | ||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
U.S. | |||||||||||||||||||||||||||
Senior Unsecured Notes (a) | 4.28% | 2015 - 2044 | $ | 6,018 | $ | 5,568 | |||||||||||||||||||||
Senior Secured Notes/First Mortgage Bonds (b) (c) (d) | 3.83% | 2015 - 2044 | 6,119 | 5,823 | |||||||||||||||||||||||
Junior Subordinated Notes | 6.31% | 2067 - 2073 | 930 | 1,908 | |||||||||||||||||||||||
Other | 15 | ||||||||||||||||||||||||||
Total U.S. Long-term Debt | 13,067 | 13,314 | |||||||||||||||||||||||||
U.K. | |||||||||||||||||||||||||||
Senior Unsecured Notes (e) | 5.53% | 2016 - 2040 | 6,627 | 6,872 | |||||||||||||||||||||||
Index-linked Senior Unsecured Notes (f) | 1.83% | 2043 - 2056 | 732 | 749 | |||||||||||||||||||||||
Total U.K. Long-term Debt (g) | 7,359 | 7,621 | |||||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 20,426 | 20,935 | |||||||||||||||||||||||||
Fair market value adjustments | 18 | 23 | |||||||||||||||||||||||||
Unamortized premium and (discount), net | -53 | -51 | |||||||||||||||||||||||||
Total Long-term Debt | 20,391 | 20,907 | |||||||||||||||||||||||||
Less current portion of Long-term Debt (a) | 1,535 | 315 | |||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 18,856 | $ | 20,592 | |||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Senior Unsecured Notes (a) | 5.31% | 2015 - 2036 | $ | 2,193 | $ | 2,493 | |||||||||||||||||||||
Senior Secured Notes | 8.86% | 2025 | 45 | 49 | |||||||||||||||||||||||
Other | 5 | ||||||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 2,238 | 2,547 | |||||||||||||||||||||||||
Fair market value adjustments | -19 | -22 | |||||||||||||||||||||||||
Unamortized premium and (discount), net | -1 | ||||||||||||||||||||||||||
Total Long-term Debt | 2,218 | 2,525 | |||||||||||||||||||||||||
Less current portion of Long-term Debt (a) | 535 | 304 | |||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 1,683 | $ | 2,221 | |||||||||||||||||||||||
PPL Electric | |||||||||||||||||||||||||||
Senior Secured Notes/First Mortgage Bonds (b) (c) | 4.57% | 2015 - 2044 | $ | 2,614 | $ | 2,314 | |||||||||||||||||||||
Other | 10 | ||||||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 2,614 | 2,324 | |||||||||||||||||||||||||
Unamortized discount | -12 | -9 | |||||||||||||||||||||||||
Total Long-term Debt | 2,602 | 2,315 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 100 | 10 | |||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 2,502 | $ | 2,305 | |||||||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Senior Unsecured Notes | 3.31% | 2015 - 2021 | $ | 1,125 | $ | 1,125 | |||||||||||||||||||||
First Mortgage Bonds (b) (d) | 3.21% | 2015 - 2043 | 3,460 | 3,460 | |||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 4,585 | 4,585 | |||||||||||||||||||||||||
Fair market value adjustments | -1 | -1 | |||||||||||||||||||||||||
Unamortized discount | -17 | -19 | |||||||||||||||||||||||||
Total Long-term Debt | 4,567 | 4,565 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 900 | ||||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 3,667 | $ | 4,565 | |||||||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
First Mortgage Bonds (b) (d) | 2.85% | 2015 - 2043 | $ | 1,359 | $ | 1,359 | |||||||||||||||||||||
Total Long-term Debt Before Adjustments | 1,359 | 1,359 | |||||||||||||||||||||||||
Fair market value adjustments | -1 | -1 | |||||||||||||||||||||||||
Unamortized discount | -5 | -5 | |||||||||||||||||||||||||
Total Long-term Debt | 1,353 | 1,353 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 250 | ||||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 1,103 | $ | 1,353 | |||||||||||||||||||||||
KU | |||||||||||||||||||||||||||
First Mortgage Bonds (b) (d) | 3.44% | 2015 - 2043 | $ | 2,101 | $ | 2,101 | |||||||||||||||||||||
Total Long-term Debt Before Adjustments | 2,101 | 2,101 | |||||||||||||||||||||||||
Fair market value adjustments | 1 | ||||||||||||||||||||||||||
Unamortized discount | -10 | -11 | |||||||||||||||||||||||||
Total Long-term Debt | 2,091 | 2,091 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 250 | ||||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 1,841 | $ | 2,091 | |||||||||||||||||||||||
(a) Includes $300 million of 5.70% REset Put Securities due 2035 (REPS). The REPS bear interest at a rate of 5.70% per annum to, but excluding, October 15, 2015 (Remarketing Date). The REPS are required to be put by existing holders on the Remarketing Date either for (a) purchase and remarketing by a designated remarketing dealer or (b) repurchase by PPL Energy Supply. If the remarketing dealer elects to purchase the REPS for remarketing, it will purchase the REPS at 100% of the principal amount, and the REPS will bear interest on and after the Remarketing Date at a new fixed rate per annum determined in the remarketing. PPL Energy Supply has the right to terminate the remarketing process. If the remarketing is terminated at the option of PPL Energy Supply or under certain other circumstances, including the occurrence of an event of default by PPL Energy Supply under the related indenture or a failed remarketing for certain specified reasons, PPL Energy Supply will be required to pay the remarketing dealer a settlement amount as calculated in accordance with the related remarketing agreement. | |||||||||||||||||||||||||||
(b) Includes PPL Electric's senior secured and first mortgage bonds that are secured by the lien of PPL Electric's 2001 Mortgage Indenture, which covers substantially all electric distribution plant and certain transmission plant owned by PPL Electric. The carrying value of PPL Electric's property, plant and equipment was approximately $5.8 billion and $5.1 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
Includes LG&E's first mortgage bonds that are secured by the lien of the LG&E 2010 Mortgage Indenture which creates a lien, subject to certain exceptions and exclusions, on substantially all of LG&E's real and tangible personal property located in Kentucky and used or to be used in connection with the generation, transmission and distribution of electricity and the storage and distribution of natural gas. The aggregate carrying value of the property subject to the lien was $3.7 billion and $3.2 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
Includes KU's first mortgage bonds that are secured by the lien of the KU 2010 Mortgage Indenture which creates a lien, subject to certain exceptions and exclusions, on substantially all of KU's real and tangible personal property located in Kentucky and used or to be used in connection with the generation, transmission and distribution of electricity. The aggregate carrying value of the property subject to the lien was $5.5 billion and $5.1 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
(c) Includes PPL Electric's series of senior secured bonds that secure its obligations to make payments with respect to each series of Pollution Control Bonds that were issued by the LCIDA and the PEDFA on behalf of PPL Electric. These senior secured bonds were issued in the same principal amount, contain payment and redemption provisions that correspond to and bear the same interest rate as such Pollution Control Bonds. These senior secured bonds were issued under PPL Electric's 2001 Mortgage Indenture and are secured as noted in (b) above. This amount includes $224 million that may be redeemed at par beginning in 2015 and $90 million that may be redeemed, in whole or in part, at par beginning in October 2020 and are subject to mandatory redemption upon determination that the interest rate on the bonds would be included in the holders' gross income for federal tax purposes. | |||||||||||||||||||||||||||
(d) Includes LG&E's and KU's series of first mortgage bonds that were issued to the respective trustees of tax-exempt revenue bonds to secure its respective obligations to make payments with respect to each series of bonds. The first mortgage bonds were issued in the same principal amounts, contain payment and redemption provisions that correspond to and bear the same interest rate as such tax-exempt revenue bonds. These first mortgage bonds were issued under the LG&E 2010 Mortgage Indenture and the KU 2010 Mortgage Indenture and are secured as noted in (b) above. The related tax-exempt revenue bonds were issued by various governmental entities, principally counties in Kentucky, on behalf of LG&E and KU. The related revenue bond documents allow LG&E and KU to convert the interest rate mode on the bonds from time to time to a commercial paper rate, daily rate, weekly rate, term rate of at least one year or, in some cases, an auction rate or a LIBOR index rate. | |||||||||||||||||||||||||||
At December 31, 2014, the aggregate tax-exempt revenue bonds issued on behalf of LG&E and KU that were in a term rate mode totaled $418 million for LKE, comprised of $391 million and $27 million for LG&E and KU, respectively. At December 31, 2014, the aggregate tax-exempt revenue bonds issued on behalf of LG&E and KU that were in a variable rate mode totaled $507 million for LKE, comprised of $183 million and $324 million for LG&E and KU, respectively. | |||||||||||||||||||||||||||
Several series of the tax-exempt revenue bonds are insured by monoline bond insurers whose ratings were reduced due to exposures relating to insurance of sub-prime mortgages. Of the bonds outstanding, $231 million are in the form of insured auction rate securities ($135 million for LG&E and $96 million for KU), wherein interest rates are reset either weekly or every 35 days via an auction process. Beginning in late 2007, the interest rates on these insured bonds began to increase due to investor concerns about the creditworthiness of the bond insurers. During 2008, interest rates increased, and LG&E and KU experienced failed auctions when there were insufficient bids for the bonds. When a failed auction occurs, the interest rate is set pursuant to a formula stipulated in the indenture. As noted above, the instruments governing these auction rate bonds permit LG&E and KU to convert the bonds to other interest rate modes. | |||||||||||||||||||||||||||
Certain variable rate tax-exempt revenue bonds totaling $251 million at December 31, 2014 ($23 million for LG&E and $228 million for KU), are subject to tender for purchase by LG&E and KU at the option of the holder and to mandatory tender for purchase by LG&E and KU upon the occurrence of certain events. | |||||||||||||||||||||||||||
(e) Includes £225 million ($352 million at December 31, 2014) of notes that may be redeemed, in total but not in part, on December 21, 2026, at the greater of the principal value or a value determined by reference to the gross redemption yield on a nominated U.K. Government bond. | |||||||||||||||||||||||||||
(f) The principal amount of the notes issued by WPD (South West) and WPD (East Midlands) is adjusted based on changes in a specified index, as detailed in the terms of the related indentures. The adjustment to the principal amounts from 2013 to 2014 was an increase of approximately £10 million ($16 million) resulting from inflation. In addition, this amount includes £225 million ($352 million at December 31, 2014) of notes issued by WPD (South West) that may be redeemed, in total by series, on December 1, 2026, at the greater of the adjusted principal value and a make-whole value determined by reference to the gross real yield on a nominated U.K. government bond. | |||||||||||||||||||||||||||
(g) Includes £3.8 billion ($5.9 billion at December 31, 2014) of notes that may be put by the holders to the issuer for redemption if the long-term credit ratings assigned to the notes are withdrawn by any of the rating agencies (Moody's, S&P or Fitch) or reduced to a non-investment grade rating of Ba1 or BB+ in connection with a restructuring event which includes the loss of, or a material adverse change to, the distribution licenses under which the issuer operates. | |||||||||||||||||||||||||||
None of the outstanding debt securities noted above have sinking fund requirements. The aggregate maturities of long-term debt, based on stated maturities or earlier put dates, for the periods 2015 through 2019 and thereafter are as follows: | |||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Energy | PPL | ||||||||||||||||||||||||||
PPL | Supply | Electric | LKE | LG&E | KU | ||||||||||||||||||||||
2015 | $ | 1,535 | $ | 535 | $ | 100 | $ | 900 | $ | 250 | $ | 250 | |||||||||||||||
2016 | 839 | 354 | 25 | 25 | |||||||||||||||||||||||
2017 | 298 | 4 | 194 | 194 | |||||||||||||||||||||||
2018 | 750 | 403 | 98 | 98 | |||||||||||||||||||||||
2019 | 44 | 4 | 40 | 40 | |||||||||||||||||||||||
Thereafter | 16,960 | 938 | 2,514 | 3,328 | 752 | 1,851 | |||||||||||||||||||||
Total | $ | 20,426 | $ | 2,238 | $ | 2,614 | $ | 4,585 | $ | 1,359 | $ | 2,101 | |||||||||||||||
Long-term Debt and Equity Securities Activities | |||||||||||||||||||||||||||
(PPL) | |||||||||||||||||||||||||||
2010 Equity Units | |||||||||||||||||||||||||||
In May 2013, PPL Capital Funding remarketed $1.150 billion of 4.625% Junior Subordinated Notes due 2018 that were originally issued in June 2010 as a component of PPL's 2010 Equity Units. In connection with the remarketing, PPL Capital Funding issued $300 million of 2.04% Junior Subordinated Notes due 2016 and $850 million of 2.77% Junior Subordinated Notes due 2018, which were simultaneously exchanged for three tranches of Senior Notes: $250 million of 1.90% Senior Notes due 2018, $600 million of 3.40% Senior Notes due 2023 and $300 million of 4.70% Senior Notes due 2043. The transaction was accounted for as a debt extinguishment, resulting in a $10 million loss on extinguishment of the Junior Subordinated Notes, recorded to "Interest Expense" on the Statement of Income. The transaction was considered non-cash activity that was excluded from the Statement of Cash Flows for the year ended December 31, 2013. Additionally, in July 2013, PPL issued 40 million shares of common stock at $28.73 per share to settle the 2010 Purchase Contracts. PPL received net cash proceeds of $1.150 billion, which were used to repay short-term and long-term debt and for general corporate purposes. | |||||||||||||||||||||||||||
2011 Equity Units | |||||||||||||||||||||||||||
In March 2014, PPL Capital Funding remarketed $978 million of 4.32% Junior Subordinated Notes due 2019 that were originally issued in April 2011 as a component of PPL's 2011 Equity Units. In connection with the remarketing, PPL Capital Funding retired $228 million of the 4.32% Junior Subordinated Notes due 2019 and issued $350 million of 2.189% Junior Subordinated Notes due 2017 and $400 million of 3.184% Junior Subordinated Notes due 2019. Simultaneously, the newly issued Junior Subordinated Notes were exchanged for $350 million of 3.95% Senior Notes due 2024 and $400 million of 5.00% Senior Notes due 2044. The transaction was accounted for as a debt extinguishment, resulting in a $9 million loss on extinguishment of the Junior Subordinated Notes, recorded to "Interest Expense" on the Statement of Income. Except for the $228 million retirement of the 4.32% Junior Subordinated Notes and fees related to the transactions, the activity was non-cash and excluded from the Statement of Cash Flows for the year ended December 31, 2014. Additionally, in May 2014, PPL issued 31.7 million shares of common stock at $30.86 per share to settle the 2011 Purchase Contracts. PPL received net cash proceeds of $978 million, which were used to repay short-term debt and for general corporate purposes. | |||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||
In August 2014, PPL Energy Supply repaid the entire $300 million principal amount of its 5.40% Senior Notes upon maturity. | |||||||||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||||||||
In June 2014, PPL Electric issued $300 million of 4.125% First Mortgage Bonds due 2044. PPL Electric received proceeds of $294 million, net of a discount and underwriting fees, which were used for capital expenditures, to repay short-term debt and for general corporate purposes. | |||||||||||||||||||||||||||
Legal Separateness (All Registrants) | |||||||||||||||||||||||||||
The subsidiaries of PPL are separate legal entities. PPL's subsidiaries are not liable for the debts of PPL. Accordingly, creditors of PPL may not satisfy their debts from the assets of PPL’s subsidiaries absent a specific contractual undertaking by a subsidiary to pay PPL's creditors or as required by applicable law or regulation. Similarly, PPL is not liable for the debts of its subsidiaries, nor are its subsidiaries liable for the debts of one another. Accordingly, creditors of PPL's subsidiaries may not satisfy their debts from the assets of PPL or its other subsidiaries absent a specific contractual undertaking by PPL or its other subsidiaries to pay the creditors or as required by applicable law or regulation. | |||||||||||||||||||||||||||
Similarly, the subsidiaries of PPL Energy Supply, PPL Electric and LKE are each separate legal entities. These subsidiaries are not liable for the debts of PPL Energy Supply, PPL Electric and LKE. Accordingly, creditors of PPL Energy Supply, PPL Electric and LKE may not satisfy their debts from the assets of their subsidiaries absent a specific contractual undertaking by a subsidiary to pay the creditors or as required by applicable law or regulation. Similarly, PPL Energy Supply, PPL Electric and LKE are not liable for the debts of their subsidiaries, nor are their subsidiaries liable for the debts of one another. Accordingly, creditors of these subsidiaries may not satisfy their debts from the assets of PPL Energy Supply, PPL Electric and LKE (or their other subsidiaries) absent a specific contractual undertaking by that parent or other subsidiary to pay such creditors or as required by applicable law or regulation. | |||||||||||||||||||||||||||
Distributions and Related Restrictions | |||||||||||||||||||||||||||
(PPL) | |||||||||||||||||||||||||||
In November 2014, PPL declared its quarterly common stock dividend, payable January 2, 2015, at 37.25 cents per share (equivalent to $1.49 per annum). Future dividends, declared at the discretion of the Board of Directors, will depend upon future earnings, cash flows, financial and legal requirements and other factors. | |||||||||||||||||||||||||||
Neither PPL Capital Funding nor PPL may declare or pay any cash dividend or distribution on its capital stock during any period in which PPL Capital Funding defers interest payments on its 2007 Series A Junior Subordinated Notes due 2067 or 2013 Series B Junior Subordinated Notes due 2073. At December 31, 2014, no interest payments were deferred. | |||||||||||||||||||||||||||
WPD subsidiaries have financing arrangements that limit their ability to pay dividends. However, PPL does not, at this time, expect that any of such limitations would significantly impact PPL's ability to meet its cash obligations. | |||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||
Under the terms of the spinoff agreements with affiliates of Riverstone to create Talen Energy, PPL Energy Supply is generally prohibited from making distributions or other payments to PPL or any PPL affiliate that is not a subsidiary of PPL Energy Supply, with the exception of specific distributions and other payments set forth in the agreements. These exceptions are generally limited to a planned distribution from PPL Energy Supply to PPL during the first quarter of 2015 in an amount not to exceed $191 million. At December 31, 2014, PPL Energy Supply’s net assets of $3.7 billion were restricted for the purposes of transferring funds to PPL in the form of distributions, loans or advances. | |||||||||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||||||||
PPL relies on dividends or loans from its subsidiaries to fund PPL's dividends to its common shareholders. The net assets of certain PPL subsidiaries are subject to legal restrictions. LKE primarily relies on dividends from its subsidiaries to fund its dividends to PPL. LG&E, KU and PPL Electric are subject to Section 305(a) of the Federal Power Act, which makes it unlawful for a public utility to make or pay a dividend from any funds "properly included in capital account." The meaning of this limitation has never been clarified under the Federal Power Act. LG&E, KU and PPL Electric believe, however, that this statutory restriction, as applied to their circumstances, would not be construed or applied by the FERC to prohibit the payment from retained earnings of dividends that are not excessive and are for lawful and legitimate business purposes. In February 2012, LG&E and KU petitioned the FERC requesting authorization to pay dividends in the future based on retained earnings balances calculated without giving effect to the impact of purchase accounting adjustments for the acquisition of LKE by PPL. In May 2012, FERC approved the petitions with the further condition that each utility may not pay dividends if such payment would cause its adjusted equity ratio to fall below 30% of total capitalization. Accordingly, at December 31, 2014, net assets of $2.4 billion ($0.9 billion for LG&E and $1.5 billion for KU) were restricted for purposes of paying dividends to LKE, and net assets of $2.9 billion ($1.2 billion for LG&E and $1.7 billion for KU) were available for payment of dividends to LKE. LG&E and KU believe they will not be required to change their current dividend practices as a result of the foregoing requirement. In addition, under Virginia law, KU is prohibited from making loans to affiliates without the prior approval of the VSCC. There are no comparable statutes under Kentucky law applicable to LG&E and KU, or under Pennsylvania law applicable to PPL Electric. However, orders from the KPSC require LG&E and KU to obtain prior consent or approval before lending amounts to PPL. |
Acquisitions_Development_and_D
Acquisitions, Development and Divestitures | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Acquisitions Development And Divestitures [Abstract] | ||||||||||
Acquisitions, Development and Divestitures | 8. Acquisitions, Development and Divestitures | |||||||||
(All Registrants) | ||||||||||
The Registrants from time to time evaluate opportunities for potential acquisitions, divestitures and development projects. Development projects are reexamined based on market conditions and other factors to determine whether to proceed with the projects, sell, cancel or expand them, execute tolling agreements or pursue other options. Any resulting transactions may impact future financial results. | ||||||||||
Divestitures | ||||||||||
Anticipated Spinoff of PPL Energy Supply | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
In June 2014, PPL and PPL Energy Supply executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. Under the terms of the agreements, at closing, PPL will spin off to PPL shareowners a newly formed entity, Talen Energy Holdings, Inc. (Holdco), which at such time will own all of the membership interests of PPL Energy Supply and all of the common stock of Talen Energy. Immediately following the spinoff, Holdco will merge with a special purpose subsidiary of Talen Energy, with Holdco continuing as the surviving company to the merger and as a wholly owned subsidiary of Talen Energy and the sole owner of PPL Energy Supply. Substantially contemporaneous with the spinoff and merger, RJS Power will be contributed by its owners to become a subsidiary of Talen Energy. Following completion of these transactions, PPL shareowners will own 65% of Talen Energy and affiliates of Riverstone will own 35%. PPL will have no continuing ownership interest in, control of, or affiliation with Talen Energy and PPL's shareowners will receive a number of Talen Energy shares at closing based on the number of PPL shares owned as of the spinoff record date. The spinoff will have no effect on the number of PPL common shares owned by PPL shareowners or the number of shares of PPL common stock outstanding. The transaction is intended to be tax-free to PPL and its shareowners for U.S. federal income tax purposes and is subject to customary closing conditions, including receipt of certain regulatory approvals by the NRC, FERC, DOJ and PUC. In addition, there must be available, subject to certain conditions, at least $1 billion of undrawn credit capacity under a Talen Energy (or its subsidiaries) revolving credit or similar facility. Any letters of credit or other credit support measures posted in connection with energy marketing and trading transactions at the time of the spinoff are excluded from this calculation. | ||||||||||
On December 18, 2014, the FERC issued a final order approving, subject to certain market power mitigation requirements, the combination of the competitive generation assets to form Talen Energy. On January 27, 2015, PPL and an affiliate of RJS Power filed a joint response with the FERC accepting additional market power mitigation measures required for the FERC’s approval. PPL and RJS Power originally proposed divesting either of two groups of assets each having approximately 1,300 MW of generating capacity. PPL and RJS Power have agreed that within 12 months after closing of the transaction, Talen Energy will divest generating assets in one of the groups (from PPL Energy Supply’s existing portfolio, this includes either the Holtwood and Wallenpaupack hydroelectric facilities or the Ironwood facility), and limit PJM energy market offers from assets it would retain in the other group to cost-based offers. | ||||||||||
The transaction is expected to close in the second quarter of 2015. | ||||||||||
(PPL, PPL Energy Supply and PPL Electric) | ||||||||||
Following the announcement of the transaction to form Talen Energy, efforts were initiated to identify the appropriate staffing for Talen Energy and for PPL and its subsidiaries following completion of the spinoff. Organizational plans and staffing selections were substantially completed in 2014. | ||||||||||
The new organizational plans identify the need to resize and restructure the organizations. As a result, during 2014, charges for employee separation benefits were recorded in “Other operation and maintenance” on the Statement of Income and in "Other current liabilities" on the Balance Sheet as follows. | ||||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Separation benefits | $ | 36 | $ | 16 | $ | 1 | ||||
Number of positions | 306 | 112 | 14 | |||||||
The separation benefits incurred include cash severance compensation, lump sum COBRA reimbursement payments and outplacement services. Most separations and payment of separation benefits are expected to occur in 2015. | ||||||||||
Additional employee-related costs to be incurred primarily include accelerated stock-based compensation and pro-rated performance-based cash incentive and stock-based compensation awards, primarily for PPL Energy Supply employees and for PPL employees who will become PPL Energy Supply employees in connection with the transaction. These costs will be recognized at the spinoff closing date. PPL and PPL Energy Supply estimate these additional costs will be in the range of $30 million to $40 million. | ||||||||||
(PPL) | ||||||||||
As a result of the spinoff announcement, PPL recorded $50 million of deferred income tax expense in 2014, to adjust valuation allowances on deferred tax assets primarily for state net operating loss carryforwards that were previously supported by the future earnings of PPL Energy Supply. | ||||||||||
In addition, PPL recorded $27 million of third-party costs in 2014 related to this transaction. Of these costs, $19 million were primarily for investment bank advisory, legal and accounting fees to facilitate the transaction, and are recorded in "Other Income (Expense) - net" on the Statement of Income. An additional $8 million of consulting and other costs were incurred to ready the new Talen Energy organization and reconfigure the remaining PPL service functions. These costs are recorded in "Other operation and maintenance" on the Statement of Income. PPL currently estimates a range of total third-party costs that will ultimately be incurred of between $60 million and $70 million. | ||||||||||
The assets and liabilities of PPL Energy Supply will continue to be classified as "held and used" on PPL's Balance Sheet until the closing of the transaction. In conducting its annual goodwill impairment assessment in the fourth quarter of 2014 for its Supply segment reporting unit, PPL determined that the estimated fair value of PPL Energy Supply exceeded its carrying value and no impairment was recognized. However, an impairment loss could be recognized by PPL at the spinoff date if the aggregate carrying amount of PPL Energy Supply's assets and liabilities exceeds its aggregate fair value at that date. PPL cannot predict whether an impairment loss will be recorded at the spinoff date. | ||||||||||
(PPL Energy Supply) | ||||||||||
In accordance with business combination accounting guidance, PPL Energy Supply will treat the combination with RJS Power as an acquisition and PPL Energy Supply will be considered the acquirer of RJS Power. | ||||||||||
Discontinued Operations | ||||||||||
Montana Hydro Sale (PPL and PPL Energy Supply) | ||||||||||
In November 2014, PPL Montana completed the sale to NorthWestern of 633 MW of hydroelectric generating facilities located in Montana for approximately $900 million in cash. The sale included 11 hydroelectric power facilities and related assets, included in the Supply segment. | ||||||||||
Following are the components of Discontinued Operations in the Statements of Income for the years ended December 31. | ||||||||||
2014 | 2013 | 2012 | ||||||||
PPL | ||||||||||
Operating revenues | $ | 117 | $ | 139 | $ | 154 | ||||
Gain on the sale (pre-tax) | 237 | |||||||||
Interest expense (a) | 9 | 12 | 10 | |||||||
Income (loss) before income taxes | 263 | 49 | 73 | |||||||
Income (Loss) from Discontinued Operations | 154 | 32 | 46 | |||||||
PPL Energy Supply | ||||||||||
Operating revenues | $ | 117 | $ | 139 | $ | 154 | ||||
Gain on the sale (pre-tax) | 306 | |||||||||
Interest expense (a) | 9 | 12 | 10 | |||||||
Income (loss) before income taxes | 332 | 49 | 73 | |||||||
Income (Loss) from Discontinued Operations | 223 | 32 | 46 | |||||||
(a) Represents allocated interest expense based upon the discontinued operations share of the net assets of PPL Energy Supply. | ||||||||||
Upon completion of the sale, assets primarily consisting of $544 million of PP&E, net, and $82 million of Goodwill for PPL ($14 million for PPL Energy Supply) were removed from the Balance Sheet. | ||||||||||
Other (PPL and PPL Energy Supply) | ||||||||||
To facilitate the sale of the Montana hydroelectric generating facilities discussed above, PPL Montana terminated, in December 2013, its operating lease arrangement related to partial interests in Units 1, 2 and 3 of the Colstrip coal-fired electric generating facility and acquired those interests, collectively, for $271 million. At lease termination, the existing lease-related assets on the balance sheet consisting primarily of prepaid rent and leasehold improvements were written off and the acquired Colstrip assets were recorded at fair value as of the acquisition date. PPL and PPL Energy Supply recorded a charge of $697 million ($413 million after-tax) for the termination of the lease included in "Loss on lease termination" on the 2013 Statements of Income. The $271 million payment is reflected in "Cash Flows from Operating Activities" on the 2013 Statements of Cash Flow. | ||||||||||
Development | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
Hydroelectric Expansion Projects | ||||||||||
In 2009, in light of the availability of tax incentives and potential federal loan guarantees for renewable projects contained in the American Recovery and Reinvestment Act of 2009, PPL Energy Supply received FERC approval to expand capacity at its Holtwood and Rainbow hydroelectric facilities. In 2013, the Rainbow hydroelectric redevelopment project in Great Falls, Montana, which increased total capacity to 63 MW, was placed in service. Also in 2013, the 125 MW Holtwood project was placed in service. | ||||||||||
In 2014, the U.S. Department of Treasury awarded $56 million for the Rainbow hydroelectric redevelopment project and $108 million for the Holtwood hydroelectric project for Specified Energy Property in Lieu of Tax Credits. As a result of the receipt of the grants, PPL Energy Supply was required to recapture investment tax credits previously recorded of $60 million related to the Rainbow project and $117 million related to the Holtwood project. The impact on the financial statements for the receipt of the grants and recapture of investment tax credits was not significant for 2014, and will not be significant in future periods. | ||||||||||
Bell Bend COLA | ||||||||||
In 2008, a PPL Energy Supply subsidiary, PPL Bell Bend, LLC (PPL Bell Bend) submitted a COLA to the NRC for the proposed Bell Bend nuclear generating unit (Bell Bend) to be built adjacent to the Susquehanna plant. | ||||||||||
Also in 2008, PPL Bell Bend submitted Parts I and II of an application for a federal loan guarantee for Bell Bend to the DOE. In February 2014, the DOE announced the first loan guarantee for a nuclear project in Georgia. Although eight of the ten applicants that submitted Part II applications remain active in the DOE program, the DOE has stated that the $18.5 billion currently appropriated to support new nuclear projects would not likely be enough for more than three projects. PPL Bell Bend submits quarterly application updates for Bell Bend to the DOE to remain active in the loan guarantee application process. | ||||||||||
The NRC continues to review the COLA. PPL Bell Bend does not expect to complete the COLA review process with the NRC prior to 2018. PPL Bell Bend has made no decision to proceed with construction and expects that such decision will not be made for several years given the anticipated lengthy NRC license approval process. Additionally, PPL Bell Bend does not expect to proceed with construction absent favorable economics, a joint arrangement with other interested parties and a federal loan guarantee or other acceptable financing. PPL Bell Bend is currently authorized by PPL’s Board of Directors to spend up to $224 million on the COLA and other permitting costs necessary for construction. At December 31, 2014 and 2013, $188 million and $173 million of costs, which includes capitalized interest, associated with the licensing application were capitalized and are included on the Balance Sheets in noncurrent "Other intangibles." PPL Energy Supply continues to support the Bell Bend licensing project with a near term focus on obtaining the final environmental impact statement. PPL Energy Supply placed the NRC safety review (which supports issuance of their final safety evaluation report, the other key element of the COLA) on hold in 2014, due to a lack of progress by the reactor vendor with respect to its NRC design certification process, which is a prerequisite to the COLA. PPL Bell Bend believes that the estimated fair value of the COLA currently exceeds the costs expected to be capitalized associated with the licensing application. | ||||||||||
Regional Transmission Line Expansion Plan (PPL and PPL Electric) | ||||||||||
Susquehanna-Roseland | ||||||||||
In 2007, PJM directed the construction of a new 150-mile, 500-kV transmission line between the Susquehanna substation in Pennsylvania and the Roseland substation in New Jersey that it identified as essential to long-term reliability of the Mid-Atlantic electricity grid. PJM determined that the line was needed to prevent potential overloads that could occur on several existing transmission lines in the interconnected PJM system. PJM directed PPL Electric to construct the Pennsylvania portion of the Susquehanna-Roseland line and Public Service Electric & Gas Company to construct the New Jersey portion of the line. | ||||||||||
Construction activities have been underway on the 101-mile route in Pennsylvania since 2012. The line is expected to be completed before the peak summer demand period of 2015. At December 31, 2014, PPL Electric's estimated share of the project cost was $630 million. At December 31, 2014 and 2013, $597 million and $377 million of costs were capitalized and are included on the Balance Sheet primarily in "Construction work in progress." | ||||||||||
Northeast/Pocono | ||||||||||
In October 2012, the FERC issued an order in response to PPL Electric's December 2011 request for ratemaking incentives for the Northeast/Pocono Reliability project (a new 58-mile 230 kV transmission line that includes three new substations and upgrades to adjacent facilities). The FERC granted the incentive for inclusion in rate base of all prudently incurred construction work in progress (CWIP) costs but denied the requested incentive for a 100 basis point adder to the return on equity. | ||||||||||
In December 2012, PPL Electric submitted an application to the PUC requesting permission to site and construct the project. In January 2014, the PUC issued a Final Order approving the application. PPL Electric expects the project to be completed in 2016. At December 31, 2014, PPL Electric's estimated cost of the project was $335 million, most of which qualifies for the CWIP incentive treatment. | ||||||||||
Future Capacity Needs (PPL, LKE, LG&E and KU) | ||||||||||
To meet new, more stringent EPA regulations, LG&E and KU anticipate retiring five older coal-fired electric generating units at the Cane Run plant in 2015 and the Green River plant in 2016, which have a combined summer capacity rating of 724 MW. In addition, KU retired the remaining 71 MW coal-fired unit at the Tyrone plant in February 2013 and retired a 12 MW gas-fired unit at the Haefling plant in December 2013. There were no significant gains or losses related to the 2013 retirements. | ||||||||||
Construction activity continues on the previously announced NGCC unit, Cane Run Unit 7, scheduled to be operational in May 2015. In October 2013, LG&E and KU announced plans for a 10 MW solar generation facility to be operational in 2016 at a cost of approximately $36 million. In December 2014, a final order was issued by the KPSC approving the request to construct the solar generating facility at E.W. Brown. |
Leases
Leases | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Leases | 9. Leases | |||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||
PPL and its subsidiaries have entered into various agreements for the lease of office space, vehicles, land, gas storage and other equipment. | ||||||||||||||||
Rent - Operating Leases | ||||||||||||||||
Rent expense for the years ended December 31 for operating leases was as follows: | ||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Total future minimum rental payments for all operating leases are estimated to be: | ||||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Leases | 9. Leases | |||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||
PPL and its subsidiaries have entered into various agreements for the lease of office space, vehicles, land, gas storage and other equipment. | ||||||||||||||||
Rent - Operating Leases | ||||||||||||||||
Rent expense for the years ended December 31 for operating leases was as follows: | ||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Total future minimum rental payments for all operating leases are estimated to be: | ||||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Leases | 9. Leases | |||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||
PPL and its subsidiaries have entered into various agreements for the lease of office space, vehicles, land, gas storage and other equipment. | ||||||||||||||||
Rent - Operating Leases | ||||||||||||||||
Rent expense for the years ended December 31 for operating leases was as follows: | ||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Total future minimum rental payments for all operating leases are estimated to be: | ||||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Leases | 9. Leases | |||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||
PPL and its subsidiaries have entered into various agreements for the lease of office space, vehicles, land, gas storage and other equipment. | ||||||||||||||||
Rent - Operating Leases | ||||||||||||||||
Rent expense for the years ended December 31 for operating leases was as follows: | ||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Total future minimum rental payments for all operating leases are estimated to be: | ||||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
Kentucky Utilities Co [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Leases | 9. Leases | |||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||
PPL and its subsidiaries have entered into various agreements for the lease of office space, vehicles, land, gas storage and other equipment. | ||||||||||||||||
Rent - Operating Leases | ||||||||||||||||
Rent expense for the years ended December 31 for operating leases was as follows: | ||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Total future minimum rental payments for all operating leases are estimated to be: | ||||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Stock-Based Compensation [Line Items] | ||||||||||||||
Stock-Based Compensation | 10. Stock-Based Compensation | |||||||||||||
(All Registrants except LG&E and KU) | ||||||||||||||
In 2012, shareowners approved the PPL SIP. This new equity plan replaces the PPL ICP and incorporates the following changes: | ||||||||||||||
Eliminates the potential to pay dividend equivalents on stock options. | ||||||||||||||
Eliminates the automatic lapse of restrictions on all equity awards in the event of a "potential" change in control and requires that a termination of employment occur in the event of a change in control before restrictions lapse. | ||||||||||||||
Changes the treatment of outstanding stock options upon retirement to limit the exercise period to the earlier of the end of the term (ten years from grant) or five years after retirement. | ||||||||||||||
To further align the executives’ interests with those of PPL shareowners, this plan provides that each restricted stock unit entitles the executive to accrue additional restricted stock units equal to the amount of quarterly dividends paid on PPL stock. These additional restricted stock units would be deferred and payable in shares of PPL common stock at the end of the restriction period. Dividend equivalents on restricted stock unit awards granted under the ICP and ICPKE are currently paid in cash when dividends are declared by PPL. | ||||||||||||||
Under the ICP, SIP and the ICPKE (together, the Plans), restricted shares of PPL common stock, restricted stock units, performance units and stock options may be granted to officers and other key employees of PPL, PPL Energy Supply, PPL Electric, LKE and other affiliated companies. Awards under the Plans are made by the Compensation, Governance and Nominating Committee (CGNC) of the PPL Board of Directors, in the case of the ICP and SIP, and by the PPL Corporate Leadership Council (CLC), in the case of the ICPKE. | ||||||||||||||
The following table details the award limits under each of the plans. | ||||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Any portion of these awards that has not been granted may be carried over and used in any subsequent year. If any award lapses, is forfeited or the rights of the participant terminate, the shares of PPL common stock underlying such an award are again available for grant. Shares delivered under the Plans may be in the form of authorized and unissued PPL common stock, common stock held in treasury by PPL or PPL common stock purchased on the open market (including private purchases) in accordance with applicable securities laws. | ||||||||||||||
Restricted Stock and Restricted Stock Units | ||||||||||||||
Restricted shares of PPL common stock are outstanding shares with full voting and dividend rights. Restricted stock awards are granted as a retention award for select key executives and vest when the recipient reaches a certain age or meets service or other criteria set forth in the executive's restricted stock award agreement. The shares are subject to forfeiture or accelerated payout under plan provisions for termination, retirement, disability and death of employees. Restricted shares vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The Plans allow for the grant of restricted stock units. Restricted stock units are awards based on the fair value of PPL common stock on the date of grant. Actual PPL common shares will be issued upon completion of a vesting period, generally three years. | ||||||||||||||
The fair value of restricted stock and restricted stock units granted is recognized on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of restricted stock and restricted stock units granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. Recipients of restricted stock units may also be granted the right to receive dividend equivalents through the end of the restriction period or until the award is forfeited. Restricted stock and restricted stock units are subject to forfeiture or accelerated payout under the plan provisions for termination, retirement, disability and death of employees. Restricted stock and restricted stock units vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted stock and restricted stock unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Substantially all restricted stock and restricted stock unit awards are expected to vest. | ||||||||||||||
The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units | ||||||||||||||
Performance units are intended to encourage and reward future corporate performance. Performance units represent a target number of shares (Target Award) of PPL's common stock that the recipient would receive upon PPL's attainment of the applicable performance goal. Performance is determined based on total shareowner return during a three-year performance period. At the end of the period, payout is determined by comparing PPL's performance to the total shareowner return of the companies included in the Philadelphia Stock Exchange Utility Index. Awards are payable on a graduated basis based on thresholds that measure PPL's performance relative to peers that comprise the applicable index on which each years' awards are measured. Awards can be paid up to 200% of the Target Award or forfeited with no payout if performance is below a minimum established performance threshold. Dividends payable during the performance cycle accumulate and are converted into additional performance units and are payable in shares of PPL common stock upon completion of the performance period based on the determination of the CGNC of whether the performance goals have been achieved. Under the plan provisions, performance units are subject to forfeiture upon termination of employment except for retirement, disability or death of an employee, in which case the total performance units remain outstanding and are eligible for vesting through the conclusion of the performance period. | ||||||||||||||
Beginning in 2014, the fair value of performance units granted to retirement-eligible employees is recognized as compensation expense on a straight-line basis over a one-year period, the minimum vesting period required for an employee to be entitled to payout of the awards. For employees who are not retirement-eligible, compensation expense is recognized over the shorter of the three-year performance period or the period until the employee is retirement-eligible, with a minimum vesting and recognition period of one-year. The fair value of performance units granted in 2013 and 2012 is recognized as compensation expense on a straight-line basis over the three-year performance period. Performance units vest on a pro rata basis, in certain situations, as defined by each of the Plans. | ||||||||||||||
The fair value of each performance unit granted was estimated using a Monte Carlo pricing model that considers stock beta, a risk-free interest rate, expected stock volatility and expected life. The stock beta was calculated comparing the risk of the individual securities to the average risk of the companies in the index group. The risk-free interest rate reflects the yield on a U.S. Treasury bond commensurate with the expected life of the performance unit. Volatility over the expected term of the performance unit is calculated using daily stock price observations for PPL and all companies in the index group and is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL and the companies in the index group. PPL uses a mix of historic and implied volatility to value awards. | ||||||||||||||
The weighted-average assumptions used in the model were: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
The weighted-average grant date fair value of performance units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
The total fair value of performance units vesting for the year ended December 31, 2014 was $5 million for PPL and insignificant for PPL Energy Supply, PPL Electric and LKE. | ||||||||||||||
Stock Options | ||||||||||||||
PPL’s CGNC eliminated the use of stock options and changed its long-term incentive mix to 60% performance units and 40% performance-contingent restricted stock units, resulting in 100% performance-based long-term incentive mix for equity awards granted beginning in January 2014. | ||||||||||||||
Under the Plans, stock options had been granted with an option exercise price per share not less than the fair value of PPL's common stock on the date of grant. Options outstanding at December 31, 2014, become exercisable in equal installments over a three-year service period beginning one year after the date of grant, assuming the individual is still employed by PPL or a subsidiary. The CGNC and CLC have discretion to accelerate the exercisability of the options, except that the exercisability of an option issued under the ICP may not be accelerated unless the individual remains employed by PPL or a subsidiary for one year from the date of grant. All options expire no later than ten years from the grant date. The options become exercisable immediately in certain situations, as defined by each of the Plans. The fair value of options granted is recognized as compensation expense on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of options granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. | ||||||||||||||
The fair value of each option granted is estimated using a Black-Scholes option-pricing model. PPL uses a risk-free interest rate, expected option life, expected volatility and dividend yield to value its stock options. The risk-free interest rate reflects the yield for a U.S. Treasury Strip available on the date of grant with constant rate maturity approximating the option's expected life. Expected life is calculated based on historical exercise behavior. Volatility over the expected term of the options is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL's volatility in those prior periods. Management's expectations for future volatility, considering potential changes to PPL's business model and other economic conditions, are also reviewed in addition to the historical data to determine the final volatility assumption. PPL uses a mix of historic and implied volatility to value awards. The dividend yield is based on several factors, including PPL's most recent dividend payment, as of the grant date and the forecasted stock price. The assumptions used in the model were: | ||||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
The weighted-average grant date fair value of options granted was: | ||||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock option activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Substantially all stock option awards are expected to vest. | ||||||||||||||
PPL received $67 million in cash from stock options exercised in 2014. The related income tax benefits realized were not significant. | ||||||||||||||
The total intrinsic value of stock options exercised for 2014 was $13 million, 2013 was $6 million and was not significant for 2012. | ||||||||||||||
Compensation Expense | ||||||||||||||
Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
The income tax benefit PPL realized from stock-based awards vested or exercised for 2014 was $4 million and was not significant for 2013 and 2012. | ||||||||||||||
At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | ||||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years | ||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||
Stock-Based Compensation [Line Items] | ||||||||||||||
Stock-Based Compensation | 10. Stock-Based Compensation | |||||||||||||
(All Registrants except LG&E and KU) | ||||||||||||||
In 2012, shareowners approved the PPL SIP. This new equity plan replaces the PPL ICP and incorporates the following changes: | ||||||||||||||
Eliminates the potential to pay dividend equivalents on stock options. | ||||||||||||||
Eliminates the automatic lapse of restrictions on all equity awards in the event of a "potential" change in control and requires that a termination of employment occur in the event of a change in control before restrictions lapse. | ||||||||||||||
Changes the treatment of outstanding stock options upon retirement to limit the exercise period to the earlier of the end of the term (ten years from grant) or five years after retirement. | ||||||||||||||
To further align the executives’ interests with those of PPL shareowners, this plan provides that each restricted stock unit entitles the executive to accrue additional restricted stock units equal to the amount of quarterly dividends paid on PPL stock. These additional restricted stock units would be deferred and payable in shares of PPL common stock at the end of the restriction period. Dividend equivalents on restricted stock unit awards granted under the ICP and ICPKE are currently paid in cash when dividends are declared by PPL. | ||||||||||||||
Under the ICP, SIP and the ICPKE (together, the Plans), restricted shares of PPL common stock, restricted stock units, performance units and stock options may be granted to officers and other key employees of PPL, PPL Energy Supply, PPL Electric, LKE and other affiliated companies. Awards under the Plans are made by the Compensation, Governance and Nominating Committee (CGNC) of the PPL Board of Directors, in the case of the ICP and SIP, and by the PPL Corporate Leadership Council (CLC), in the case of the ICPKE. | ||||||||||||||
The following table details the award limits under each of the plans. | ||||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Any portion of these awards that has not been granted may be carried over and used in any subsequent year. If any award lapses, is forfeited or the rights of the participant terminate, the shares of PPL common stock underlying such an award are again available for grant. Shares delivered under the Plans may be in the form of authorized and unissued PPL common stock, common stock held in treasury by PPL or PPL common stock purchased on the open market (including private purchases) in accordance with applicable securities laws. | ||||||||||||||
Restricted Stock and Restricted Stock Units | ||||||||||||||
Restricted shares of PPL common stock are outstanding shares with full voting and dividend rights. Restricted stock awards are granted as a retention award for select key executives and vest when the recipient reaches a certain age or meets service or other criteria set forth in the executive's restricted stock award agreement. The shares are subject to forfeiture or accelerated payout under plan provisions for termination, retirement, disability and death of employees. Restricted shares vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The Plans allow for the grant of restricted stock units. Restricted stock units are awards based on the fair value of PPL common stock on the date of grant. Actual PPL common shares will be issued upon completion of a vesting period, generally three years. | ||||||||||||||
The fair value of restricted stock and restricted stock units granted is recognized on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of restricted stock and restricted stock units granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. Recipients of restricted stock units may also be granted the right to receive dividend equivalents through the end of the restriction period or until the award is forfeited. Restricted stock and restricted stock units are subject to forfeiture or accelerated payout under the plan provisions for termination, retirement, disability and death of employees. Restricted stock and restricted stock units vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted stock and restricted stock unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Substantially all restricted stock and restricted stock unit awards are expected to vest. | ||||||||||||||
The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units | ||||||||||||||
Performance units are intended to encourage and reward future corporate performance. Performance units represent a target number of shares (Target Award) of PPL's common stock that the recipient would receive upon PPL's attainment of the applicable performance goal. Performance is determined based on total shareowner return during a three-year performance period. At the end of the period, payout is determined by comparing PPL's performance to the total shareowner return of the companies included in the Philadelphia Stock Exchange Utility Index. Awards are payable on a graduated basis based on thresholds that measure PPL's performance relative to peers that comprise the applicable index on which each years' awards are measured. Awards can be paid up to 200% of the Target Award or forfeited with no payout if performance is below a minimum established performance threshold. Dividends payable during the performance cycle accumulate and are converted into additional performance units and are payable in shares of PPL common stock upon completion of the performance period based on the determination of the CGNC of whether the performance goals have been achieved. Under the plan provisions, performance units are subject to forfeiture upon termination of employment except for retirement, disability or death of an employee, in which case the total performance units remain outstanding and are eligible for vesting through the conclusion of the performance period. | ||||||||||||||
Beginning in 2014, the fair value of performance units granted to retirement-eligible employees is recognized as compensation expense on a straight-line basis over a one-year period, the minimum vesting period required for an employee to be entitled to payout of the awards. For employees who are not retirement-eligible, compensation expense is recognized over the shorter of the three-year performance period or the period until the employee is retirement-eligible, with a minimum vesting and recognition period of one-year. The fair value of performance units granted in 2013 and 2012 is recognized as compensation expense on a straight-line basis over the three-year performance period. Performance units vest on a pro rata basis, in certain situations, as defined by each of the Plans. | ||||||||||||||
The fair value of each performance unit granted was estimated using a Monte Carlo pricing model that considers stock beta, a risk-free interest rate, expected stock volatility and expected life. The stock beta was calculated comparing the risk of the individual securities to the average risk of the companies in the index group. The risk-free interest rate reflects the yield on a U.S. Treasury bond commensurate with the expected life of the performance unit. Volatility over the expected term of the performance unit is calculated using daily stock price observations for PPL and all companies in the index group and is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL and the companies in the index group. PPL uses a mix of historic and implied volatility to value awards. | ||||||||||||||
The weighted-average assumptions used in the model were: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
The weighted-average grant date fair value of performance units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
The total fair value of performance units vesting for the year ended December 31, 2014 was $5 million for PPL and insignificant for PPL Energy Supply, PPL Electric and LKE. | ||||||||||||||
Stock Options | ||||||||||||||
PPL’s CGNC eliminated the use of stock options and changed its long-term incentive mix to 60% performance units and 40% performance-contingent restricted stock units, resulting in 100% performance-based long-term incentive mix for equity awards granted beginning in January 2014. | ||||||||||||||
Under the Plans, stock options had been granted with an option exercise price per share not less than the fair value of PPL's common stock on the date of grant. Options outstanding at December 31, 2014, become exercisable in equal installments over a three-year service period beginning one year after the date of grant, assuming the individual is still employed by PPL or a subsidiary. The CGNC and CLC have discretion to accelerate the exercisability of the options, except that the exercisability of an option issued under the ICP may not be accelerated unless the individual remains employed by PPL or a subsidiary for one year from the date of grant. All options expire no later than ten years from the grant date. The options become exercisable immediately in certain situations, as defined by each of the Plans. The fair value of options granted is recognized as compensation expense on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of options granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. | ||||||||||||||
The fair value of each option granted is estimated using a Black-Scholes option-pricing model. PPL uses a risk-free interest rate, expected option life, expected volatility and dividend yield to value its stock options. The risk-free interest rate reflects the yield for a U.S. Treasury Strip available on the date of grant with constant rate maturity approximating the option's expected life. Expected life is calculated based on historical exercise behavior. Volatility over the expected term of the options is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL's volatility in those prior periods. Management's expectations for future volatility, considering potential changes to PPL's business model and other economic conditions, are also reviewed in addition to the historical data to determine the final volatility assumption. PPL uses a mix of historic and implied volatility to value awards. The dividend yield is based on several factors, including PPL's most recent dividend payment, as of the grant date and the forecasted stock price. The assumptions used in the model were: | ||||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
The weighted-average grant date fair value of options granted was: | ||||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock option activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Substantially all stock option awards are expected to vest. | ||||||||||||||
PPL received $67 million in cash from stock options exercised in 2014. The related income tax benefits realized were not significant. | ||||||||||||||
The total intrinsic value of stock options exercised for 2014 was $13 million, 2013 was $6 million and was not significant for 2012. | ||||||||||||||
Compensation Expense | ||||||||||||||
Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
The income tax benefit PPL realized from stock-based awards vested or exercised for 2014 was $4 million and was not significant for 2013 and 2012. | ||||||||||||||
At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | ||||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years | ||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||
Stock-Based Compensation [Line Items] | ||||||||||||||
Stock-Based Compensation | 10. Stock-Based Compensation | |||||||||||||
(All Registrants except LG&E and KU) | ||||||||||||||
In 2012, shareowners approved the PPL SIP. This new equity plan replaces the PPL ICP and incorporates the following changes: | ||||||||||||||
Eliminates the potential to pay dividend equivalents on stock options. | ||||||||||||||
Eliminates the automatic lapse of restrictions on all equity awards in the event of a "potential" change in control and requires that a termination of employment occur in the event of a change in control before restrictions lapse. | ||||||||||||||
Changes the treatment of outstanding stock options upon retirement to limit the exercise period to the earlier of the end of the term (ten years from grant) or five years after retirement. | ||||||||||||||
To further align the executives’ interests with those of PPL shareowners, this plan provides that each restricted stock unit entitles the executive to accrue additional restricted stock units equal to the amount of quarterly dividends paid on PPL stock. These additional restricted stock units would be deferred and payable in shares of PPL common stock at the end of the restriction period. Dividend equivalents on restricted stock unit awards granted under the ICP and ICPKE are currently paid in cash when dividends are declared by PPL. | ||||||||||||||
Under the ICP, SIP and the ICPKE (together, the Plans), restricted shares of PPL common stock, restricted stock units, performance units and stock options may be granted to officers and other key employees of PPL, PPL Energy Supply, PPL Electric, LKE and other affiliated companies. Awards under the Plans are made by the Compensation, Governance and Nominating Committee (CGNC) of the PPL Board of Directors, in the case of the ICP and SIP, and by the PPL Corporate Leadership Council (CLC), in the case of the ICPKE. | ||||||||||||||
The following table details the award limits under each of the plans. | ||||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Any portion of these awards that has not been granted may be carried over and used in any subsequent year. If any award lapses, is forfeited or the rights of the participant terminate, the shares of PPL common stock underlying such an award are again available for grant. Shares delivered under the Plans may be in the form of authorized and unissued PPL common stock, common stock held in treasury by PPL or PPL common stock purchased on the open market (including private purchases) in accordance with applicable securities laws. | ||||||||||||||
Restricted Stock and Restricted Stock Units | ||||||||||||||
Restricted shares of PPL common stock are outstanding shares with full voting and dividend rights. Restricted stock awards are granted as a retention award for select key executives and vest when the recipient reaches a certain age or meets service or other criteria set forth in the executive's restricted stock award agreement. The shares are subject to forfeiture or accelerated payout under plan provisions for termination, retirement, disability and death of employees. Restricted shares vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The Plans allow for the grant of restricted stock units. Restricted stock units are awards based on the fair value of PPL common stock on the date of grant. Actual PPL common shares will be issued upon completion of a vesting period, generally three years. | ||||||||||||||
The fair value of restricted stock and restricted stock units granted is recognized on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of restricted stock and restricted stock units granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. Recipients of restricted stock units may also be granted the right to receive dividend equivalents through the end of the restriction period or until the award is forfeited. Restricted stock and restricted stock units are subject to forfeiture or accelerated payout under the plan provisions for termination, retirement, disability and death of employees. Restricted stock and restricted stock units vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted stock and restricted stock unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Substantially all restricted stock and restricted stock unit awards are expected to vest. | ||||||||||||||
The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units | ||||||||||||||
Performance units are intended to encourage and reward future corporate performance. Performance units represent a target number of shares (Target Award) of PPL's common stock that the recipient would receive upon PPL's attainment of the applicable performance goal. Performance is determined based on total shareowner return during a three-year performance period. At the end of the period, payout is determined by comparing PPL's performance to the total shareowner return of the companies included in the Philadelphia Stock Exchange Utility Index. Awards are payable on a graduated basis based on thresholds that measure PPL's performance relative to peers that comprise the applicable index on which each years' awards are measured. Awards can be paid up to 200% of the Target Award or forfeited with no payout if performance is below a minimum established performance threshold. Dividends payable during the performance cycle accumulate and are converted into additional performance units and are payable in shares of PPL common stock upon completion of the performance period based on the determination of the CGNC of whether the performance goals have been achieved. Under the plan provisions, performance units are subject to forfeiture upon termination of employment except for retirement, disability or death of an employee, in which case the total performance units remain outstanding and are eligible for vesting through the conclusion of the performance period. | ||||||||||||||
Beginning in 2014, the fair value of performance units granted to retirement-eligible employees is recognized as compensation expense on a straight-line basis over a one-year period, the minimum vesting period required for an employee to be entitled to payout of the awards. For employees who are not retirement-eligible, compensation expense is recognized over the shorter of the three-year performance period or the period until the employee is retirement-eligible, with a minimum vesting and recognition period of one-year. The fair value of performance units granted in 2013 and 2012 is recognized as compensation expense on a straight-line basis over the three-year performance period. Performance units vest on a pro rata basis, in certain situations, as defined by each of the Plans. | ||||||||||||||
The fair value of each performance unit granted was estimated using a Monte Carlo pricing model that considers stock beta, a risk-free interest rate, expected stock volatility and expected life. The stock beta was calculated comparing the risk of the individual securities to the average risk of the companies in the index group. The risk-free interest rate reflects the yield on a U.S. Treasury bond commensurate with the expected life of the performance unit. Volatility over the expected term of the performance unit is calculated using daily stock price observations for PPL and all companies in the index group and is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL and the companies in the index group. PPL uses a mix of historic and implied volatility to value awards. | ||||||||||||||
The weighted-average assumptions used in the model were: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
The weighted-average grant date fair value of performance units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
The total fair value of performance units vesting for the year ended December 31, 2014 was $5 million for PPL and insignificant for PPL Energy Supply, PPL Electric and LKE. | ||||||||||||||
Stock Options | ||||||||||||||
PPL’s CGNC eliminated the use of stock options and changed its long-term incentive mix to 60% performance units and 40% performance-contingent restricted stock units, resulting in 100% performance-based long-term incentive mix for equity awards granted beginning in January 2014. | ||||||||||||||
Under the Plans, stock options had been granted with an option exercise price per share not less than the fair value of PPL's common stock on the date of grant. Options outstanding at December 31, 2014, become exercisable in equal installments over a three-year service period beginning one year after the date of grant, assuming the individual is still employed by PPL or a subsidiary. The CGNC and CLC have discretion to accelerate the exercisability of the options, except that the exercisability of an option issued under the ICP may not be accelerated unless the individual remains employed by PPL or a subsidiary for one year from the date of grant. All options expire no later than ten years from the grant date. The options become exercisable immediately in certain situations, as defined by each of the Plans. The fair value of options granted is recognized as compensation expense on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of options granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. | ||||||||||||||
The fair value of each option granted is estimated using a Black-Scholes option-pricing model. PPL uses a risk-free interest rate, expected option life, expected volatility and dividend yield to value its stock options. The risk-free interest rate reflects the yield for a U.S. Treasury Strip available on the date of grant with constant rate maturity approximating the option's expected life. Expected life is calculated based on historical exercise behavior. Volatility over the expected term of the options is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL's volatility in those prior periods. Management's expectations for future volatility, considering potential changes to PPL's business model and other economic conditions, are also reviewed in addition to the historical data to determine the final volatility assumption. PPL uses a mix of historic and implied volatility to value awards. The dividend yield is based on several factors, including PPL's most recent dividend payment, as of the grant date and the forecasted stock price. The assumptions used in the model were: | ||||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
The weighted-average grant date fair value of options granted was: | ||||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock option activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Substantially all stock option awards are expected to vest. | ||||||||||||||
PPL received $67 million in cash from stock options exercised in 2014. The related income tax benefits realized were not significant. | ||||||||||||||
The total intrinsic value of stock options exercised for 2014 was $13 million, 2013 was $6 million and was not significant for 2012. | ||||||||||||||
Compensation Expense | ||||||||||||||
Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
The income tax benefit PPL realized from stock-based awards vested or exercised for 2014 was $4 million and was not significant for 2013 and 2012. | ||||||||||||||
At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | ||||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years | ||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||
Stock-Based Compensation [Line Items] | ||||||||||||||
Stock-Based Compensation | 10. Stock-Based Compensation | |||||||||||||
(All Registrants except LG&E and KU) | ||||||||||||||
In 2012, shareowners approved the PPL SIP. This new equity plan replaces the PPL ICP and incorporates the following changes: | ||||||||||||||
Eliminates the potential to pay dividend equivalents on stock options. | ||||||||||||||
Eliminates the automatic lapse of restrictions on all equity awards in the event of a "potential" change in control and requires that a termination of employment occur in the event of a change in control before restrictions lapse. | ||||||||||||||
Changes the treatment of outstanding stock options upon retirement to limit the exercise period to the earlier of the end of the term (ten years from grant) or five years after retirement. | ||||||||||||||
To further align the executives’ interests with those of PPL shareowners, this plan provides that each restricted stock unit entitles the executive to accrue additional restricted stock units equal to the amount of quarterly dividends paid on PPL stock. These additional restricted stock units would be deferred and payable in shares of PPL common stock at the end of the restriction period. Dividend equivalents on restricted stock unit awards granted under the ICP and ICPKE are currently paid in cash when dividends are declared by PPL. | ||||||||||||||
Under the ICP, SIP and the ICPKE (together, the Plans), restricted shares of PPL common stock, restricted stock units, performance units and stock options may be granted to officers and other key employees of PPL, PPL Energy Supply, PPL Electric, LKE and other affiliated companies. Awards under the Plans are made by the Compensation, Governance and Nominating Committee (CGNC) of the PPL Board of Directors, in the case of the ICP and SIP, and by the PPL Corporate Leadership Council (CLC), in the case of the ICPKE. | ||||||||||||||
The following table details the award limits under each of the plans. | ||||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Any portion of these awards that has not been granted may be carried over and used in any subsequent year. If any award lapses, is forfeited or the rights of the participant terminate, the shares of PPL common stock underlying such an award are again available for grant. Shares delivered under the Plans may be in the form of authorized and unissued PPL common stock, common stock held in treasury by PPL or PPL common stock purchased on the open market (including private purchases) in accordance with applicable securities laws. | ||||||||||||||
Restricted Stock and Restricted Stock Units | ||||||||||||||
Restricted shares of PPL common stock are outstanding shares with full voting and dividend rights. Restricted stock awards are granted as a retention award for select key executives and vest when the recipient reaches a certain age or meets service or other criteria set forth in the executive's restricted stock award agreement. The shares are subject to forfeiture or accelerated payout under plan provisions for termination, retirement, disability and death of employees. Restricted shares vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The Plans allow for the grant of restricted stock units. Restricted stock units are awards based on the fair value of PPL common stock on the date of grant. Actual PPL common shares will be issued upon completion of a vesting period, generally three years. | ||||||||||||||
The fair value of restricted stock and restricted stock units granted is recognized on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of restricted stock and restricted stock units granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. Recipients of restricted stock units may also be granted the right to receive dividend equivalents through the end of the restriction period or until the award is forfeited. Restricted stock and restricted stock units are subject to forfeiture or accelerated payout under the plan provisions for termination, retirement, disability and death of employees. Restricted stock and restricted stock units vest fully, in certain situations, as defined by each of the Plans. | ||||||||||||||
The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted stock and restricted stock unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Substantially all restricted stock and restricted stock unit awards are expected to vest. | ||||||||||||||
The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units | ||||||||||||||
Performance units are intended to encourage and reward future corporate performance. Performance units represent a target number of shares (Target Award) of PPL's common stock that the recipient would receive upon PPL's attainment of the applicable performance goal. Performance is determined based on total shareowner return during a three-year performance period. At the end of the period, payout is determined by comparing PPL's performance to the total shareowner return of the companies included in the Philadelphia Stock Exchange Utility Index. Awards are payable on a graduated basis based on thresholds that measure PPL's performance relative to peers that comprise the applicable index on which each years' awards are measured. Awards can be paid up to 200% of the Target Award or forfeited with no payout if performance is below a minimum established performance threshold. Dividends payable during the performance cycle accumulate and are converted into additional performance units and are payable in shares of PPL common stock upon completion of the performance period based on the determination of the CGNC of whether the performance goals have been achieved. Under the plan provisions, performance units are subject to forfeiture upon termination of employment except for retirement, disability or death of an employee, in which case the total performance units remain outstanding and are eligible for vesting through the conclusion of the performance period. | ||||||||||||||
Beginning in 2014, the fair value of performance units granted to retirement-eligible employees is recognized as compensation expense on a straight-line basis over a one-year period, the minimum vesting period required for an employee to be entitled to payout of the awards. For employees who are not retirement-eligible, compensation expense is recognized over the shorter of the three-year performance period or the period until the employee is retirement-eligible, with a minimum vesting and recognition period of one-year. The fair value of performance units granted in 2013 and 2012 is recognized as compensation expense on a straight-line basis over the three-year performance period. Performance units vest on a pro rata basis, in certain situations, as defined by each of the Plans. | ||||||||||||||
The fair value of each performance unit granted was estimated using a Monte Carlo pricing model that considers stock beta, a risk-free interest rate, expected stock volatility and expected life. The stock beta was calculated comparing the risk of the individual securities to the average risk of the companies in the index group. The risk-free interest rate reflects the yield on a U.S. Treasury bond commensurate with the expected life of the performance unit. Volatility over the expected term of the performance unit is calculated using daily stock price observations for PPL and all companies in the index group and is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL and the companies in the index group. PPL uses a mix of historic and implied volatility to value awards. | ||||||||||||||
The weighted-average assumptions used in the model were: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
The weighted-average grant date fair value of performance units granted was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance unit activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
The total fair value of performance units vesting for the year ended December 31, 2014 was $5 million for PPL and insignificant for PPL Energy Supply, PPL Electric and LKE. | ||||||||||||||
Stock Options | ||||||||||||||
PPL’s CGNC eliminated the use of stock options and changed its long-term incentive mix to 60% performance units and 40% performance-contingent restricted stock units, resulting in 100% performance-based long-term incentive mix for equity awards granted beginning in January 2014. | ||||||||||||||
Under the Plans, stock options had been granted with an option exercise price per share not less than the fair value of PPL's common stock on the date of grant. Options outstanding at December 31, 2014, become exercisable in equal installments over a three-year service period beginning one year after the date of grant, assuming the individual is still employed by PPL or a subsidiary. The CGNC and CLC have discretion to accelerate the exercisability of the options, except that the exercisability of an option issued under the ICP may not be accelerated unless the individual remains employed by PPL or a subsidiary for one year from the date of grant. All options expire no later than ten years from the grant date. The options become exercisable immediately in certain situations, as defined by each of the Plans. The fair value of options granted is recognized as compensation expense on a straight-line basis over the service period or through the date at which the employee reaches retirement eligibility. The fair value of options granted to retirement-eligible employees is recognized as compensation expense immediately upon the date of grant. | ||||||||||||||
The fair value of each option granted is estimated using a Black-Scholes option-pricing model. PPL uses a risk-free interest rate, expected option life, expected volatility and dividend yield to value its stock options. The risk-free interest rate reflects the yield for a U.S. Treasury Strip available on the date of grant with constant rate maturity approximating the option's expected life. Expected life is calculated based on historical exercise behavior. Volatility over the expected term of the options is evaluated with consideration given to prior periods that may need to be excluded based on events not likely to recur that had impacted PPL's volatility in those prior periods. Management's expectations for future volatility, considering potential changes to PPL's business model and other economic conditions, are also reviewed in addition to the historical data to determine the final volatility assumption. PPL uses a mix of historic and implied volatility to value awards. The dividend yield is based on several factors, including PPL's most recent dividend payment, as of the grant date and the forecasted stock price. The assumptions used in the model were: | ||||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
The weighted-average grant date fair value of options granted was: | ||||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock option activity for 2014 was: | ||||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Substantially all stock option awards are expected to vest. | ||||||||||||||
PPL received $67 million in cash from stock options exercised in 2014. The related income tax benefits realized were not significant. | ||||||||||||||
The total intrinsic value of stock options exercised for 2014 was $13 million, 2013 was $6 million and was not significant for 2012. | ||||||||||||||
Compensation Expense | ||||||||||||||
Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
The income tax benefit PPL realized from stock-based awards vested or exercised for 2014 was $4 million and was not significant for 2013 and 2012. | ||||||||||||||
At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | ||||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years |
Retirement_and_Postemployment_
Retirement and Postemployment Benefits | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Retirement and Postemployment Benefits [Abstract] | ||||||||||||||||||||||||||||||
Retirement and Postemployment Benefits | 11. Retirement and Postemployment Benefits | |||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||
Defined Benefits | ||||||||||||||||||||||||||||||
The majority of PPL's subsidiaries domestic employees are eligible for pension benefits under non-contributory defined benefit pension plans with benefits based on length of service and final average pay, as defined by the plans. Effective January 1, 2012, PPL's primary defined benefit pension plan was closed to all newly hired salaried employees. Effective July 1, 2014, PPL's primary defined benefit pension plan was closed to all newly hired bargaining unit employees. Newly hired employees are eligible to participate in the PPL Retirement Savings Plan, a 401(k) savings plan with enhanced employer contributions. | ||||||||||||||||||||||||||||||
The majority of PPL Montana employees are eligible for pension benefits under a cash balance pension plan. Effective January 1, 2012, that plan was closed to all newly hired salaried employees. Effective September 1, 2014, that plan was closed to all newly hired bargaining unit employees. Newly hired employees are eligible to participate in the PPL Retirement Savings Plan. | ||||||||||||||||||||||||||||||
The defined benefit pension plans of LKE and its subsidiaries were closed to new salaried and bargaining unit employees hired after December 31, 2005. Employees hired after December 31, 2005 receive additional company contributions above the standard matching contributions to their savings plans. | ||||||||||||||||||||||||||||||
Employees of certain of PPL Energy Supply's mechanical contracting companies are eligible for benefits under multiemployer plans sponsored by various unions. | ||||||||||||||||||||||||||||||
Effective April 1, 2010, the principal defined benefit pension plan applicable to WPD (South West) and WPD (South Wales) was closed to most new employees, except for those meeting specific grandfathered participation rights. WPD Midlands' defined benefit plan had been closed to new members, except for those meeting specific grandfathered participation rights, prior to acquisition. New employees not eligible to participate in the plans are offered benefits under a defined contribution plan. | ||||||||||||||||||||||||||||||
PPL and certain of its subsidiaries also provide supplemental retirement benefits to executives and other key management employees through unfunded nonqualified retirement plans. | ||||||||||||||||||||||||||||||
The majority of employees of PPL's domestic subsidiaries are eligible for certain health care and life insurance benefits upon retirement through contributory plans. Effective January 1, 2014, the PPL Postretirement Medical Plan was closed to all newly hired salaried employees. Effective July 1, 2014, the PPL Postretirement Medical Plan was closed to all newly hired bargaining unit employees. Postretirement health benefits may be paid from 401(h) accounts established as part of the PPL Retirement Plan and the LG&E and KU Retirement Plan within the PPL Services Corporation Master Trust, funded VEBA trusts and company funds. Postretirement benefits under the PPL Montana Retiree Health Plan are paid from company assets. WPD does not sponsor any postretirement benefit plans other than pensions. | ||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||
The following table provides the components of net periodic defined benefit costs for PPL's domestic (U.S.) and WPD’s (U.K.) pension and other postretirement benefit plans for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 102 | $ | 126 | $ | 103 | $ | 71 | $ | 69 | $ | 54 | $ | 12 | $ | 14 | $ | 12 | ||||||||||||
Interest cost | 233 | 213 | 220 | 354 | 320 | 340 | 32 | 29 | 31 | |||||||||||||||||||||
Expected return on plan assets | -298 | -293 | -259 | -521 | -465 | -458 | -26 | -25 | -23 | |||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition (asset) obligation | 2 | |||||||||||||||||||||||||||||
Prior service cost (credit) | 20 | 22 | 24 | 1 | 4 | 1 | ||||||||||||||||||||||||
Actuarial (gain) loss | 30 | 80 | 42 | 132 | 150 | 79 | 1 | 6 | 4 | |||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits) prior to settlement charges, | ||||||||||||||||||||||||||||||
curtailment charges (credits) | ||||||||||||||||||||||||||||||
and termination benefits | 87 | 148 | 130 | 36 | 75 | 19 | 19 | 24 | 27 | |||||||||||||||||||||
Settlement charges | 11 | |||||||||||||||||||||||||||||
Curtailment charges (credits) | -1 | |||||||||||||||||||||||||||||
Termination benefits (a) | 13 | 3 | 2 | |||||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits) | $ | 100 | $ | 148 | $ | 141 | $ | 36 | $ | 78 | $ | 21 | $ | 18 | $ | 24 | $ | 27 | ||||||||||||
Other Changes in Plan Assets | ||||||||||||||||||||||||||||||
and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in OCI and | ||||||||||||||||||||||||||||||
Regulatory Assets/Liabilities - | ||||||||||||||||||||||||||||||
Gross: | ||||||||||||||||||||||||||||||
Curtailments | $ | 1 | ||||||||||||||||||||||||||||
Settlements | $ | -11 | ||||||||||||||||||||||||||||
Net (gain) loss | $ | 600 | $ | -319 | 372 | $ | 354 | $ | 76 | $ | 1,073 | 21 | $ | -68 | $ | 13 | ||||||||||||||
Prior service cost | ||||||||||||||||||||||||||||||
(credit) | -8 | 7 | -3 | -1 | ||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition asset (obligation) | -2 | |||||||||||||||||||||||||||||
Prior service (cost) credit | -20 | -22 | -24 | -1 | -4 | -1 | ||||||||||||||||||||||||
Actuarial gain (loss) | -30 | -80 | -42 | -132 | -150 | -79 | -1 | -6 | -4 | |||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (b) | 542 | -421 | 295 | 222 | -75 | 990 | 28 | -77 | 5 | |||||||||||||||||||||
Total recognized in net periodic | ||||||||||||||||||||||||||||||
defined benefit costs, OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (b) | $ | 642 | $ | -273 | $ | 436 | $ | 258 | $ | 3 | $ | 1,011 | $ | 46 | $ | -53 | $ | 32 | ||||||||||||
(a) See Note 13 for details of a one-time voluntary retirement window offered to certain bargaining unit employees in 2014. 2013 and 2012 amounts are related to the WPD Midlands separations in the U.K. | ||||||||||||||||||||||||||||||
(b) WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP. As a result, WPD does not record regulatory assets/liabilities. | ||||||||||||||||||||||||||||||
For PPL's U.S. pension benefits and for other postretirement benefits, the amounts recognized in OCI and regulatory assets/liabilities for the years ended December 31 were as follows: | ||||||||||||||||||||||||||||||
U.S. Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
OCI | $ | 343 | $ | -228 | $ | 181 | $ | 7 | $ | -41 | $ | 12 | ||||||||||||||||||
Regulatory assets/liabilities | 199 | -193 | 114 | 21 | -36 | -7 | ||||||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | $ | 542 | $ | -421 | $ | 295 | $ | 28 | $ | -77 | $ | 5 | ||||||||||||||||||
The estimated amounts to be amortized from AOCI and regulatory assets/liabilities into net periodic defined benefit costs in 2015 are as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | |||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 7 | ||||||||||||||||||||||||||||
Actuarial (gain) loss | 100 | $ | 162 | |||||||||||||||||||||||||||
Total | $ | 107 | $ | 162 | ||||||||||||||||||||||||||
Amortization from Balance Sheet: | ||||||||||||||||||||||||||||||
AOCI | $ | 49 | $ | 162 | ||||||||||||||||||||||||||
Regulatory assets/liabilities | 58 | |||||||||||||||||||||||||||||
Total | $ | 107 | $ | 162 | ||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||
The following table provides the components of net periodic defined benefit costs for PPL Energy Supply's pension and other postretirement benefit plans for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 5 | $ | 7 | $ | 6 | $ | 1 | $ | 1 | ||||||||||||||||||||
Interest cost | 9 | 8 | 7 | $ | 1 | 1 | ||||||||||||||||||||||||
Expected return on plan assets | -11 | -10 | -9 | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Actuarial (gain) loss | 2 | 3 | 2 | |||||||||||||||||||||||||||
Curtailment charges (credits) | -1 | |||||||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits) | $ | 5 | $ | 8 | $ | 6 | $ | $ | 1 | $ | 2 | |||||||||||||||||||
Other Changes in Plan Assets | ||||||||||||||||||||||||||||||
and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in OCI: | ||||||||||||||||||||||||||||||
Curtailments | $ | 1 | ||||||||||||||||||||||||||||
Net (gain) loss | $ | 26 | $ | -15 | $ | 16 | -1 | $ | -1 | |||||||||||||||||||||
Prior service cost (credit) | -3 | $ | -1 | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Actuarial gain (loss) | -2 | -3 | -2 | |||||||||||||||||||||||||||
Total recognized in OCI | 24 | -18 | 14 | -4 | -1 | |||||||||||||||||||||||||
Total recognized in net periodic | ||||||||||||||||||||||||||||||
defined benefit costs and OCI | $ | 29 | $ | -10 | $ | 20 | $ | $ | -3 | $ | 1 | |||||||||||||||||||
Actuarial loss of $4 million related to PPL Energy Supply's pension plan is expected to be amortized from AOCI into net periodic defined benefit costs in 2015. | ||||||||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||||
The following table provides the components of net periodic defined benefit costs for LKE’s pension and other postretirement benefit plans for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 21 | $ | 26 | $ | 22 | $ | 4 | $ | 5 | $ | 4 | ||||||||||||||||||
Interest cost | 66 | 62 | 64 | 9 | 8 | 9 | ||||||||||||||||||||||||
Expected return on plan assets | -82 | -82 | -70 | -4 | -5 | -4 | ||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition (asset) obligation | 2 | |||||||||||||||||||||||||||||
Prior service cost (credit) | 5 | 5 | 5 | 2 | 3 | 3 | ||||||||||||||||||||||||
Actuarial (gain) loss | 12 | 33 | 22 | -1 | -1 | |||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credit) | $ | 22 | $ | 44 | $ | 43 | $ | 10 | $ | 11 | $ | 13 | ||||||||||||||||||
Other Changes in Plan Assets | ||||||||||||||||||||||||||||||
and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in OCI and | ||||||||||||||||||||||||||||||
Regulatory Assets/Liabilities - | ||||||||||||||||||||||||||||||
Gross: | ||||||||||||||||||||||||||||||
Net (gain) loss | $ | 162 | $ | -116 | $ | 96 | $ | 26 | $ | -14 | $ | -11 | ||||||||||||||||||
Prior service cost (credit) | 23 | 6 | ||||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition asset (obligation) | -2 | |||||||||||||||||||||||||||||
Prior service (cost) credit | -5 | -5 | -5 | -2 | -3 | -3 | ||||||||||||||||||||||||
Actuarial gain (loss) | -12 | -33 | -22 | 1 | 1 | |||||||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | 168 | -154 | 69 | 31 | -17 | -15 | ||||||||||||||||||||||||
Total recognized in net periodic | ||||||||||||||||||||||||||||||
defined benefit costs, OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | $ | 190 | $ | -110 | $ | 112 | $ | 41 | $ | -6 | $ | -2 | ||||||||||||||||||
For LKE's pension and other postretirement benefits, the amounts recognized in OCI and regulatory assets/liabilities for the years ended December 31 were as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
OCI | $ | 84 | $ | -46 | $ | 34 | $ | 9 | $ | -1 | $ | -1 | ||||||||||||||||||
Regulatory assets/liabilities | 84 | -108 | 35 | 22 | -16 | -14 | ||||||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | $ | 168 | $ | -154 | $ | 69 | $ | 31 | $ | -17 | $ | -15 | ||||||||||||||||||
The estimated amounts to be amortized from AOCI and regulatory assets/liabilities into net periodic defined benefit costs for LKE in 2015 are as follows. | ||||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||||
Pension | Postretirement | |||||||||||||||||||||||||||||
Benefits | Benefits | |||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 7 | $ | 3 | ||||||||||||||||||||||||||
Actuarial (gain) loss | 34 | |||||||||||||||||||||||||||||
Total | $ | 41 | $ | 3 | ||||||||||||||||||||||||||
Amortization from Balance Sheet: | ||||||||||||||||||||||||||||||
AOCI | $ | 3 | $ | 1 | ||||||||||||||||||||||||||
Regulatory assets/liabilities | 38 | 2 | ||||||||||||||||||||||||||||
Total | $ | 41 | $ | 3 | ||||||||||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||||
The following table provides the components of net periodic defined benefit costs for LG&E’s pension benefit plan for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Net periodic defined benefit costs (credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 2 | $ | 2 | ||||||||||||||||||||||||
Interest cost | 15 | 14 | 14 | |||||||||||||||||||||||||||
Expected return on plan assets | -19 | -20 | -19 | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | 2 | 2 | 3 | |||||||||||||||||||||||||||
Actuarial (gain) loss | 6 | 14 | 11 | |||||||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 5 | $ | 12 | $ | 11 | ||||||||||||||||||||||||
Other Changes in Plan Assets and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in Regulatory Assets - Gross: | ||||||||||||||||||||||||||||||
Net (gain) loss | $ | 14 | $ | -20 | $ | 18 | ||||||||||||||||||||||||
Prior service cost (credit) | 9 | |||||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Prior service (cost) credit | -2 | -2 | -2 | |||||||||||||||||||||||||||
Actuarial gain (loss) | -6 | -14 | -11 | |||||||||||||||||||||||||||
Total recognized in regulatory assets/liabilities | 15 | -36 | 5 | |||||||||||||||||||||||||||
Total recognized in net periodic defined benefit costs and regulatory assets | $ | 20 | $ | -24 | $ | 16 | ||||||||||||||||||||||||
The estimated amounts to be amortized from regulatory assets into net periodic defined benefit costs for LG&E in 2015 are as follows. | ||||||||||||||||||||||||||||||
Pension | ||||||||||||||||||||||||||||||
Benefits | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 3 | ||||||||||||||||||||||||||||
Actuarial (gain) loss | 11 | |||||||||||||||||||||||||||||
Total | $ | 14 | ||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||
The following net periodic defined benefit costs (credits) were charged to operating expense, excluding amounts charged to construction and other non-expense accounts. The U.K. pension benefits apply to PPL only. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | $ | 84 | $ | 117 | $ | 119 | $ | -9 | $ | 33 | $ | 25 | $ | 13 | $ | 19 | $ | 22 | ||||||||||||
PPL Energy Supply | 39 | 45 | 37 | 3 | 6 | 6 | ||||||||||||||||||||||||
PPL Electric (a) | 12 | 18 | 19 | 2 | 3 | 3 | ||||||||||||||||||||||||
LKE | 17 | 32 | 31 | 7 | 8 | 9 | ||||||||||||||||||||||||
LG&E | 5 | 14 | 13 | 4 | 4 | 5 | ||||||||||||||||||||||||
KU (a) | 3 | 9 | 8 | 2 | 2 | 3 | ||||||||||||||||||||||||
(a) PPL Electric and KU do not directly sponsor any defined benefit plans. PPL Electric and KU were allocated these costs of defined benefit plans sponsored by PPL Services (for PPL Electric) and by LKE (for KU), based on their participation in those plans, which management believes are reasonable. | ||||||||||||||||||||||||||||||
In the table above, for PPL Energy Supply and LG&E, amounts include costs for the specific plans each sponsors and the following allocated costs of defined benefit plans sponsored by PPL Services (for PPL Energy Supply) and by LKE (for LG&E), based on their participation in those plans, which management believes are reasonable: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
PPL Energy Supply | $ | 34 | $ | 38 | $ | 31 | $ | 3 | $ | 5 | $ | 5 | ||||||||||||||||||
LG&E | 2 | 5 | 5 | 4 | 4 | 5 | ||||||||||||||||||||||||
(All Registrants except PPL Electric and KU) | ||||||||||||||||||||||||||||||
PPL, PPL Energy Supply, LKE and LG&E adopted the new mortality tables issued by the Society of Actuaries in October 2014 (RP-2014 base tables) for all U.S. defined benefit pension and other postretirement benefit plans at December 31, 2014. In addition, PPL, PPL Energy Supply, LKE and LG&E updated the basis for estimating projected mortality improvements and selected the IRS BB-2D two-dimensional improvement scale on a generational basis for all U.S. defined benefit pension and other postretirement benefit plans. These new mortality assumptions reflect the recognition of both improved life expectancies and the expectation of continuing improvements in life expectancies. The use of the new base tables and improvement scale resulted in an increase to U.S. defined benefit pension and other postretirement benefit obligations, an increase to future expense and a decrease in funded status. | ||||||||||||||||||||||||||||||
The following weighted-average assumptions were used in the valuation of the benefit obligations at December 31. The U.K. pension benefits apply to PPL only. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.12% | 3.85% | 4.41% | 4.08% | 4.91% | ||||||||||||||||||||||||
Rate of compensation increase | 3.92% | 3.97% | 4.00% | 4.00% | 3.86% | 3.96% | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 4.28% | 5.18% | 3.81% | 4.51% | ||||||||||||||||||||||||||
Rate of compensation increase | 4.03% | 3.94% | 4.03% | 3.94% | ||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.18% | 4.06% | 4.91% | ||||||||||||||||||||||||||
Rate of compensation increase | 3.50% | 4.00% | 3.50% | 4.00% | ||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 4.20% | 5.13% | ||||||||||||||||||||||||||||
The following weighted-average assumptions were used to determine the net periodic defined benefit costs for the years ended December 31. The U.K. pension benefits apply to PPL only. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 5.12% | 4.22% | 5.06% | 4.41% | 4.27% | 5.24% | 4.91% | 4.00% | 4.80% | |||||||||||||||||||||
Rate of compensation increase | 3.97% | 3.98% | 4.02% | 4.00% | 4.00% | 4.00% | 3.96% | 3.97% | 4.00% | |||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.03% | 7.07% | 7.19% | 7.16% | 7.17% | 5.96% | 5.94% | 5.99% | |||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.25% | 5.12% | 4.51% | 3.77% | 4.60% | ||||||||||||||||||||||||
Rate of compensation increase | 3.94% | 3.95% | 4.00% | 3.94% | 3.95% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.00% | 7.00% | N/A | N/A | N/A | ||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.24% | 5.09% | 4.91% | 3.99% | 4.78% | ||||||||||||||||||||||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | 6.75% | 6.76% | 7.02% | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 5.13% | 4.20% | 5.00% | |||||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | |||||||||||||||||||||||||||
(a) The expected long-term rates of return for pension and other postretirement benefits are based on management's projections using a best-estimate of expected returns, volatilities and correlations for each asset class. Each plan's specific current and expected asset allocations are also considered in developing a reasonable return assumption. | ||||||||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | ||||||||||||||||||||||||||||||
The following table provides the assumed health care cost trend rates for the years ended December 31: | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL, PPL Energy Supply and LKE | ||||||||||||||||||||||||||||||
Health care cost trend rate assumed for next year | ||||||||||||||||||||||||||||||
- obligations | 7.20% | 7.60% | 8.00% | |||||||||||||||||||||||||||
- cost | 7.60% | 8.00% | 8.50% | |||||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | ||||||||||||||||||||||||||||||
- obligations | 5.00% | 5.00% | 5.50% | |||||||||||||||||||||||||||
- cost | 5.00% | 5.50% | 5.50% | |||||||||||||||||||||||||||
Year that the rate reaches the ultimate trend rate | ||||||||||||||||||||||||||||||
- obligations | 2020 | 2020 | 2019 | |||||||||||||||||||||||||||
- cost | 2020 | 2019 | 2019 | |||||||||||||||||||||||||||
A one percentage point change in the assumed health care costs trend rate assumption would have had the following effects on the other postretirement benefit plans in 2014: | ||||||||||||||||||||||||||||||
One Percentage Point | ||||||||||||||||||||||||||||||
Increase | Decrease | |||||||||||||||||||||||||||||
Effect on accumulated postretirement benefit obligation | ||||||||||||||||||||||||||||||
PPL | $ | 5 | $ | -5 | ||||||||||||||||||||||||||
LKE | 4 | -4 | ||||||||||||||||||||||||||||
The effects on PPL Energy Supply's other postretirement benefit plan would not have been significant. | ||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||
The funded status of PPL's plans at December 31 was as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 4,591 | $ | 5,046 | $ | 8,143 | $ | 7,888 | $ | 662 | $ | 722 | ||||||||||||||||||
Service cost | 102 | 126 | 71 | 69 | 12 | 14 | ||||||||||||||||||||||||
Interest cost | 233 | 213 | 354 | 320 | 32 | 29 | ||||||||||||||||||||||||
Participant contributions | 16 | 15 | 12 | 12 | ||||||||||||||||||||||||||
Plan amendments | -7 | 6 | -4 | |||||||||||||||||||||||||||
Actuarial (gain) loss | 925 | -540 | 747 | 46 | 58 | -54 | ||||||||||||||||||||||||
Curtailments | -1 | |||||||||||||||||||||||||||||
Termination benefits | 13 | 3 | ||||||||||||||||||||||||||||
Gross benefits paid (a) | -248 | -254 | -411 | -375 | -56 | -57 | ||||||||||||||||||||||||
Federal subsidy | 1 | |||||||||||||||||||||||||||||
Currency conversion | -397 | 177 | ||||||||||||||||||||||||||||
Benefit Obligation, end of period | 5,609 | 4,591 | 8,523 | 8,143 | 726 | 662 | ||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of period | 4,156 | 3,939 | 7,284 | 6,911 | 446 | 421 | ||||||||||||||||||||||||
Actual return on plan assets | 622 | 72 | 895 | 438 | 62 | 37 | ||||||||||||||||||||||||
Employer contributions | 102 | 399 | 311 | 134 | 16 | 30 | ||||||||||||||||||||||||
Participant contributions | 16 | 15 | 12 | 12 | ||||||||||||||||||||||||||
Gross benefits paid (a) | -248 | -254 | -411 | -375 | -52 | -54 | ||||||||||||||||||||||||
Currency conversion | -361 | 161 | ||||||||||||||||||||||||||||
Plan assets at fair value, end of period | 4,632 | 4,156 | 7,734 | 7,284 | 484 | 446 | ||||||||||||||||||||||||
Funded Status, end of period | $ | -977 | $ | -435 | $ | -789 | $ | -859 | $ | -242 | $ | -216 | ||||||||||||||||||
Amounts recognized in the Balance | ||||||||||||||||||||||||||||||
Sheets consist of: | ||||||||||||||||||||||||||||||
Noncurrent asset | $ | 1 | ||||||||||||||||||||||||||||
Current liability | $ | -10 | $ | -8 | $ | -1 | -4 | $ | -1 | |||||||||||||||||||||
Noncurrent liability | -967 | -427 | -788 | $ | -859 | -239 | -215 | |||||||||||||||||||||||
Net amount recognized, end of period | $ | -977 | $ | -435 | $ | -789 | $ | -859 | $ | -242 | $ | -216 | ||||||||||||||||||
Amounts recognized in AOCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (pre-tax) | ||||||||||||||||||||||||||||||
consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 41 | $ | 69 | $ | -4 | $ | -11 | ||||||||||||||||||||||
Net actuarial (gain) loss | 1,412 | 842 | $ | 2,334 | $ | 2,112 | 54 | 33 | ||||||||||||||||||||||
Total (b) | $ | 1,453 | $ | 911 | $ | 2,334 | $ | 2,112 | $ | 50 | $ | 22 | ||||||||||||||||||
Total accumulated benefit obligation | ||||||||||||||||||||||||||||||
for defined benefit pension plans | $ | 5,156 | $ | 4,191 | $ | 7,867 | $ | 7,542 | ||||||||||||||||||||||
(a) Certain U.S. pension plans offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump sum payment. Gross benefits paid includes $33 million and $64 million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | ||||||||||||||||||||||||||||||
(b) WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP. As a result, WPD does not record regulatory assets/liabilities. | ||||||||||||||||||||||||||||||
For PPL's U.S. pension and other postretirement benefit plans, the amounts recognized in AOCI and regulatory assets/liabilities at December 31 were as follows: | ||||||||||||||||||||||||||||||
U.S. Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
AOCI | $ | 773 | $ | 430 | $ | 26 | $ | 19 | ||||||||||||||||||||||
Regulatory assets/liabilities | 680 | 481 | 24 | 3 | ||||||||||||||||||||||||||
Total | $ | 1,453 | $ | 911 | $ | 50 | $ | 22 | ||||||||||||||||||||||
The following tables provide information on pension plans where the projected benefit obligation (PBO) or accumulated benefit obligation (ABO) exceed the fair value of plan assets: | ||||||||||||||||||||||||||||||
U.S. | U.K. | |||||||||||||||||||||||||||||
PBO in excess of plan assets | PBO in excess of plan assets | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Projected benefit obligation | $ | 5,609 | $ | 4,591 | $ | 8,523 | $ | 8,143 | ||||||||||||||||||||||
Fair value of plan assets | 4,632 | 4,156 | 7,734 | 7,284 | ||||||||||||||||||||||||||
U.S. | U.K. | |||||||||||||||||||||||||||||
ABO in excess of plan assets | ABO in excess of plan assets | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Accumulated benefit obligation | $ | 5,156 | $ | 572 | $ | 3,592 | $ | 3,441 | ||||||||||||||||||||||
Fair value of plan assets | 4,632 | 431 | 3,321 | 3,131 | ||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||
The funded status of PPL Energy Supply's plans at December 31 was as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 163 | $ | 176 | $ | 12 | $ | 17 | ||||||||||||||||||||||
Service cost | 5 | 7 | 1 | |||||||||||||||||||||||||||
Interest cost | 9 | 8 | 1 | |||||||||||||||||||||||||||
Plan amendments | -4 | |||||||||||||||||||||||||||||
Actuarial (gain) loss | 38 | -23 | -1 | -1 | ||||||||||||||||||||||||||
Curtailments | -1 | |||||||||||||||||||||||||||||
Gross benefits paid | -5 | -5 | -1 | -1 | ||||||||||||||||||||||||||
Benefit Obligation, end of period | 210 | 163 | 10 | 12 | ||||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of | ||||||||||||||||||||||||||||||
period | 147 | 149 | ||||||||||||||||||||||||||||
Actual return on plan assets | 22 | 3 | ||||||||||||||||||||||||||||
Employer contributions | 6 | 1 | 1 | |||||||||||||||||||||||||||
Gross benefits paid | -5 | -5 | -1 | -1 | ||||||||||||||||||||||||||
Plan assets at fair value, end of period | 170 | 147 | ||||||||||||||||||||||||||||
Funded Status, end of period | $ | -40 | $ | -16 | $ | -10 | $ | -12 | ||||||||||||||||||||||
Amounts recognized in the Balance | ||||||||||||||||||||||||||||||
Sheets consist of: | ||||||||||||||||||||||||||||||
Current liability | $ | -1 | $ | -1 | ||||||||||||||||||||||||||
Noncurrent liability | $ | -40 | $ | -16 | -9 | -11 | ||||||||||||||||||||||||
Net amount recognized, end of period | $ | -40 | $ | -16 | $ | -10 | $ | -12 | ||||||||||||||||||||||
Amounts recognized in AOCI | ||||||||||||||||||||||||||||||
(pre-tax) consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | -4 | $ | -5 | ||||||||||||||||||||||||||
Net actuarial (gain) loss | $ | 59 | $ | 34 | 1 | |||||||||||||||||||||||||
Total | $ | 59 | $ | 34 | $ | -4 | $ | -4 | ||||||||||||||||||||||
Total accumulated benefit obligation | ||||||||||||||||||||||||||||||
for defined benefit pension plans | $ | 210 | $ | 163 | ||||||||||||||||||||||||||
PPL Energy Supply's pension plan had projected and accumulated benefit obligations in excess of the fair value of plan assets at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
In addition to the plans it sponsors, PPL Energy Supply and its subsidiaries are allocated a portion of the funded status and costs of the defined benefit plans sponsored by PPL Services based on their participation in those plans, which management believes are reasonable. The actuarially determined obligations of current active employees are used as a basis to allocate total plan activity, including active and retiree costs and obligations. Allocations to PPL Energy Supply resulted in liabilities at December 31 as follows: | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 259 | $ | 96 | ||||||||||||||||||||||||||
Other postretirement benefits | 34 | 35 | ||||||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||||
The funded status of LKE's plans at December 31 was as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 1,328 | $ | 1,487 | $ | 193 | $ | 209 | ||||||||||||||||||||||
Service cost | 21 | 26 | 4 | 5 | ||||||||||||||||||||||||||
Interest cost | 66 | 62 | 9 | 8 | ||||||||||||||||||||||||||
Participant contributions | 7 | 7 | ||||||||||||||||||||||||||||
Plan amendments (a) | 23 | 6 | ||||||||||||||||||||||||||||
Actuarial (gain) loss | 253 | -177 | 32 | -18 | ||||||||||||||||||||||||||
Gross benefits paid (b) | -83 | -70 | -17 | -18 | ||||||||||||||||||||||||||
Benefit Obligation, end of period | 1,608 | 1,328 | 234 | 193 | ||||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of period | 1,173 | 1,070 | 74 | 68 | ||||||||||||||||||||||||||
Actual return on plan assets | 173 | 21 | 10 | 1 | ||||||||||||||||||||||||||
Employer contributions | 38 | 152 | 8 | 16 | ||||||||||||||||||||||||||
Participant contributions | 7 | 7 | ||||||||||||||||||||||||||||
Gross benefits paid (b) | -83 | -70 | -17 | -18 | ||||||||||||||||||||||||||
Plan assets at fair value, end of period | 1,301 | 1,173 | 82 | 74 | ||||||||||||||||||||||||||
Funded Status, end of period | $ | -307 | $ | -155 | $ | -152 | $ | -119 | ||||||||||||||||||||||
Amounts recognized in the Balance | ||||||||||||||||||||||||||||||
Sheets consist of: | ||||||||||||||||||||||||||||||
Noncurrent asset | $ | 2 | ||||||||||||||||||||||||||||
Current liability | $ | -3 | $ | -3 | -3 | |||||||||||||||||||||||||
Noncurrent liability | -304 | -152 | -151 | $ | -119 | |||||||||||||||||||||||||
Net amount recognized, end of period | $ | -307 | $ | -155 | $ | -152 | $ | -119 | ||||||||||||||||||||||
Amounts recognized in AOCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (pre-tax) | ||||||||||||||||||||||||||||||
consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 43 | $ | 24 | $ | 12 | $ | 8 | ||||||||||||||||||||||
Net actuarial (gain) loss | 354 | 205 | -4 | -30 | ||||||||||||||||||||||||||
Total | $ | 397 | $ | 229 | $ | 8 | $ | -22 | ||||||||||||||||||||||
Total accumulated benefit obligation | ||||||||||||||||||||||||||||||
for defined benefit pension plans | $ | 1,461 | $ | 1,176 | ||||||||||||||||||||||||||
(a) The plans were amended in December 2014 to enhance the early retirement factors for all plan participants retiring on or after January 1, 2015. These modifications resulted in an increase of $23 million in the plans’ projected benefit obligations as of December 31, 2014. | ||||||||||||||||||||||||||||||
(b) Certain LKE pension plans offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump-sum payment. The gross benefits paid includes $33 million and $21 million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | ||||||||||||||||||||||||||||||
The amounts recognized in AOCI and regulatory assets/liabilities at December 31 were as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
AOCI | $ | 65 | $ | -19 | $ | 8 | ||||||||||||||||||||||||
Regulatory assets/liabilities | 332 | 248 | $ | -22 | ||||||||||||||||||||||||||
Total | $ | 397 | $ | 229 | $ | 8 | $ | -22 | ||||||||||||||||||||||
The following tables provide information on pension plans where the projected benefit obligation (PBO) or accumulated benefit obligations (ABO) exceed the fair value of plan assets: | ||||||||||||||||||||||||||||||
PBO in excess of plan assets | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Projected benefit obligation | $ | 1,608 | $ | 1,328 | ||||||||||||||||||||||||||
Fair value of plan assets | 1,301 | 1,173 | ||||||||||||||||||||||||||||
ABO in excess of plan assets | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Accumulated benefit obligation | $ | 1,461 | $ | 350 | ||||||||||||||||||||||||||
Fair value of plan assets | 1,301 | 284 | ||||||||||||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||||
The funded status of LG&E's plan at December 31, was as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 291 | $ | 331 | ||||||||||||||||||||||||||
Service cost | 1 | 2 | ||||||||||||||||||||||||||||
Interest cost | 15 | 14 | ||||||||||||||||||||||||||||
Plan amendments (a) | 9 | |||||||||||||||||||||||||||||
Actuarial (gain) loss | 36 | -35 | ||||||||||||||||||||||||||||
Gross benefits paid (b) | -21 | -21 | ||||||||||||||||||||||||||||
Benefit Obligation, end of period | 331 | 291 | ||||||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of period | 281 | 287 | ||||||||||||||||||||||||||||
Actual return on plan assets | 41 | 4 | ||||||||||||||||||||||||||||
Employer contributions | 11 | |||||||||||||||||||||||||||||
Gross benefits paid (b) | -21 | -21 | ||||||||||||||||||||||||||||
Plan assets at fair value, end of period | 301 | 281 | ||||||||||||||||||||||||||||
Funded Status, end of period | $ | -30 | $ | -10 | ||||||||||||||||||||||||||
Amounts recognized in the Balance Sheets consist of: | ||||||||||||||||||||||||||||||
Noncurrent liability | $ | -30 | $ | -10 | ||||||||||||||||||||||||||
Net amount recognized, end of period | $ | -30 | $ | -10 | ||||||||||||||||||||||||||
Amounts recognized in regulatory assets (pre-tax) | ||||||||||||||||||||||||||||||
consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 22 | $ | 15 | ||||||||||||||||||||||||||
Net actuarial (gain) loss | 98 | 90 | ||||||||||||||||||||||||||||
Total | $ | 120 | $ | 105 | ||||||||||||||||||||||||||
Total accumulated benefit obligation for defined benefit pension plan | $ | 330 | $ | 288 | ||||||||||||||||||||||||||
(a) The plan was amended in December 2014 to enhance the early retirement factors for all plan participants retiring on or after January 1, 2015. This modification resulted in an increase of $9 million in the plan’s projected benefit obligation as of December 31, 2014. | ||||||||||||||||||||||||||||||
(b) LG&E's pension plan offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump-sum payment. The gross benefits paid includes $8 million and $7 million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | ||||||||||||||||||||||||||||||
LG&E's pension plan had projected and accumulated benefit obligations in excess of plan assets at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
In addition to the plan it sponsors, LG&E is allocated a portion of the funded status and costs of certain defined benefit plans sponsored by LKE based on its participation in those plans, which management believes are reasonable. The actuarially determined obligations of current active employees and retired employees are used as a basis to allocate total plan activity, including active and retiree costs and obligations. Allocations to LG&E resulted in liabilities at December 31 as follows: | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 27 | $ | 9 | ||||||||||||||||||||||||||
Other postretirement benefits | 85 | 73 | ||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||
PPL Energy Supply's mechanical contracting subsidiaries make contributions to over 70 multiemployer pension plans, based on the bargaining units from which labor is procured. The risks of participating in these multiemployer plans are different from single-employer plans in the following aspects: | ||||||||||||||||||||||||||||||
Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers. | ||||||||||||||||||||||||||||||
If a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers. | ||||||||||||||||||||||||||||||
If PPL Energy Supply's mechanical contracting subsidiaries choose to stop participating in some of their multiemployer plans, they may be required to pay those plans an amount based on the unfunded status of the plan, referred to as a withdrawal liability. | ||||||||||||||||||||||||||||||
PPL Energy Supply identified the Steamfitters Local Union No. 420 Pension Plan, EIN/Plan Number 23-2004424/001 as the only significant plan to which contributions are made. Contributions to this plan by PPL Energy Supply's mechanical contracting companies were $5 million for 2014, 2013 and 2012. At the date the financial statements were issued, the Form 5500 was not available for the plan year ending in 2014. Therefore, the following disclosures specific to this plan are being made based on the Form 5500s filed for the plan years ended December 31, 2013 and 2012. PPL Energy Supply's mechanical contracting subsidiaries were not identified individually as greater than 5% contributors on the Form 5500s. However, the combined contributions of the four subsidiaries contributing to the plan had exceeded 5%. The plan had a Pension Protection Act zone status of red, without utilizing an extended amortization period, as of December 31, 2013 and 2012. In addition, the plan is subject to a rehabilitation plan and surcharges have been applied to participating employer contributions. The expiration date of the collective-bargaining agreement related to those employees participating in this plan is September 18, 2016. There were no other plans deemed individually significant based on a multifaceted assessment of each plan. This assessment included review of the funded/zone status of each plan and PPL Energy Supply's potential obligations under the plan and the number of participating employers contributing to the plan. | ||||||||||||||||||||||||||||||
PPL Energy Supply's mechanical contracting subsidiaries also participate in multiemployer other postretirement plans that provide for retiree life insurance and health benefits. | ||||||||||||||||||||||||||||||
The table below details total contributions to all multiemployer pension and other postretirement plans, including the plan identified as significant above. The contribution amounts fluctuate each year based on the volume of work and type of projects undertaken from year to year. | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Pension Plans | $ | 40 | $ | 36 | $ | 31 | ||||||||||||||||||||||||
Other Postretirement Benefit Plans | 33 | 32 | 28 | |||||||||||||||||||||||||||
Total Contributions | $ | 73 | $ | 68 | $ | 59 | ||||||||||||||||||||||||
(PPL Electric) | ||||||||||||||||||||||||||||||
Although PPL Electric does not directly sponsor any defined benefit plans, it is allocated a portion of the funded status and costs of plans sponsored by PPL Services based on its participation in those plans, which management believes are reasonable. The actuarially determined obligations of current active employees are used as a basis to allocate total plan activity, including active and retiree costs and obligations. Allocations to PPL Electric resulted in liabilities at December 31 as follows. | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 212 | $ | 96 | ||||||||||||||||||||||||||
Other postretirement benefits | 40 | 41 | ||||||||||||||||||||||||||||
(KU) | ||||||||||||||||||||||||||||||
Although KU does not directly sponsor any defined benefit plans, it is allocated a portion of the funded status and costs of plans sponsored by LKE based on its participation in those plans, which management believes are reasonable. The actuarially determined obligations of current active employees and retired employees of KU are used as a basis to allocate total plan activity, including active and retiree costs and obligations. Allocations to KU resulted in liabilities at December 31 as follows. | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 59 | $ | 11 | ||||||||||||||||||||||||||
Other postretirement benefits | 52 | 42 | ||||||||||||||||||||||||||||
Plan Assets - U.S. Pension Plans | ||||||||||||||||||||||||||||||
(All Registrants except PPL Electric and KU) | ||||||||||||||||||||||||||||||
PPL's primary legacy pension plan, the pension plans sponsored by LKE and the pension plan in which employees of PPL Montana participate are invested in the PPL Services Corporation Master Trust (the Master Trust) that also includes 401(h) accounts that are restricted for certain other postretirement benefit obligations of PPL and LKE. The investment strategy for the Master Trust is to achieve a risk-adjusted return on a mix of assets that, in combination with PPL's funding policy, will ensure that sufficient assets are available to provide long-term growth and liquidity for benefit payments, while also managing the duration of the assets to complement the duration of the liabilities. The Master Trust benefits from a wide diversification of asset types, investment fund strategies and external investment fund managers, and therefore has no significant concentration of risk. | ||||||||||||||||||||||||||||||
The investment policy of the Master Trust outlines investment objectives and defines the responsibilities of the EBPB, external investment managers, investment advisor and trustee and custodian. The investment policy is reviewed annually by PPL's Board of Directors. | ||||||||||||||||||||||||||||||
The EBPB created a risk management framework around the trust assets and pension liabilities. This framework considers the trust assets as being composed of three sub-portfolios: growth, immunizing and liquidity portfolios. The growth portfolio is comprised of investments that generate a return at a reasonable risk, including equity securities, certain debt securities and alternative investments. The immunizing portfolio consists of debt securities, generally with long durations, and derivative positions. The immunizing portfolio is designed to offset a portion of the change in the pension liabilities due to changes in interest rates. The liquidity portfolio consists primarily of cash and cash equivalents. | ||||||||||||||||||||||||||||||
Target allocation ranges have been developed for each portfolio on a plan basis based on input from external consultants with a goal of limiting funded status volatility. The EBPB monitors the investments in each portfolio on a plan basis, and seeks to obtain a target portfolio that emphasizes reduction of risk of loss from market volatility. In pursuing that goal, the EBPB establishes revised guidelines from time to time. EBPB investment guidelines on a plan basis, as well as the weighted average of such guidelines, as of the end of 2014 are presented below. | ||||||||||||||||||||||||||||||
The asset allocation for the trust and the target allocation by portfolio at December 31 are as follows: | ||||||||||||||||||||||||||||||
2014 Target Asset Allocation (a) | ||||||||||||||||||||||||||||||
Percentage of trust assets | Weighted | |||||||||||||||||||||||||||||
2014 (a) | 2013 | Average | PPL Plans | LKE Plans | ||||||||||||||||||||||||||
Growth Portfolio | 51% | 59% | 52% | 52% | 52% | |||||||||||||||||||||||||
Equity securities | 26% | 30% | ||||||||||||||||||||||||||||
Debt securities (b) | 13% | 17% | ||||||||||||||||||||||||||||
Alternative investments | 12% | 12% | ||||||||||||||||||||||||||||
Immunizing Portfolio | 47% | 39% | 46% | 46% | 46% | |||||||||||||||||||||||||
Debt securities (b) | 44% | 40% | ||||||||||||||||||||||||||||
Derivatives | 3% | -1% | ||||||||||||||||||||||||||||
Liquidity Portfolio | 2% | 2% | 2% | 2% | 2% | |||||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | 100% | |||||||||||||||||||||||||
(a) Allocations exclude consideration of cash for the WKE Bargaining Employees' Retirement Plan and a group annuity contract held by the LG&E and KU Retirement Plan. | ||||||||||||||||||||||||||||||
(b) Includes commingled debt funds, which PPL treats as debt securities for asset allocation purposes. | ||||||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||
PPL Montana, a subsidiary of PPL Energy Supply, has a pension plan whose assets are invested solely in the Master Trust, which is fully disclosed below. The fair value of this plan's assets of $170 million and $147 million at December 31, 2014 and 2013 represents an interest of approximately 4% and 3% in the Master Trust. | ||||||||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||||
LKE has pension plans, including LG&E's plan, whose assets are invested solely in the Master Trust, which is fully disclosed below. The fair value of these plans' assets of $1.3 billion and $1.2 billion at December 31, 2014 and 2013 represents an interest of approximately 28% and 29% in the Master Trust. | ||||||||||||||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||||
LG&E has a pension plan whose assets are invested solely in the Master Trust, which is fully disclosed below. The fair value of this plan's assets of $301 million and $281 million at December 31, 2014 and 2013 represents an interest of approximately 6% and 7% in the Master Trust. | ||||||||||||||||||||||||||||||
(All Registrants except PPL Electric and KU) | ||||||||||||||||||||||||||||||
The fair value of net assets in the Master Trust by asset class and level within the fair value hierarchy was: | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 246 | $ | 246 | $ | 120 | $ | 120 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S.: | ||||||||||||||||||||||||||||||
Large-cap | 432 | 114 | $ | 318 | 480 | 134 | $ | 346 | ||||||||||||||||||||||
Small-cap | 145 | 145 | 137 | 137 | ||||||||||||||||||||||||||
International | 615 | 615 | 630 | 163 | 467 | |||||||||||||||||||||||||
Commingled debt | 818 | 818 | 749 | 13 | 736 | |||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 723 | 706 | 17 | 617 | 563 | 54 | ||||||||||||||||||||||||
Residential/commercial backed securities | 2 | 2 | 12 | 11 | $ | 1 | ||||||||||||||||||||||||
Corporate | 1,109 | 1,088 | $ | 21 | 963 | 940 | 23 | |||||||||||||||||||||||
International government | 8 | 8 | 7 | 7 | ||||||||||||||||||||||||||
Other | 9 | 9 | 24 | 24 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Commodities | 90 | 90 | 108 | 108 | ||||||||||||||||||||||||||
Real estate | 148 | 148 | 134 | 134 | ||||||||||||||||||||||||||
Private equity | 104 | 104 | 80 | 80 | ||||||||||||||||||||||||||
Hedge funds | 223 | 223 | 210 | 210 | ||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||
Interest rate swaps and swaptions | 92 | 92 | -49 | -49 | ||||||||||||||||||||||||||
Other | 12 | 12 | 12 | 12 | ||||||||||||||||||||||||||
Insurance contracts | 33 | 33 | 37 | 37 | ||||||||||||||||||||||||||
PPL Services Corporation Master Trust assets, at | ||||||||||||||||||||||||||||||
fair value | 4,809 | $ | 1,211 | $ | 3,440 | $ | 158 | 4,271 | $ | 1,130 | $ | 3,000 | $ | 141 | ||||||||||||||||
Receivables and payables, net (a) | -41 | |||||||||||||||||||||||||||||
401(h) accounts restricted for other | ||||||||||||||||||||||||||||||
postretirement benefit obligations | -136 | -115 | ||||||||||||||||||||||||||||
Total PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
pension assets | $ | 4,632 | $ | 4,156 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2014 is as follows: | ||||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | |||||||||||||||||||||||||||
securities | debt | equity | contracts | Total | ||||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | 141 | ||||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | -1 | -1 | 19 | 1 | 18 | |||||||||||||||||||||||||
Relating to assets sold during the period | -1 | -1 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | 5 | -5 | ||||||||||||||||||||||||||||
Balance at end of period | $ | $ | 21 | $ | 104 | $ | 33 | $ | 158 | |||||||||||||||||||||
A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2013 is as follows: | ||||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | Other | ||||||||||||||||||||||||||
securities | debt | equity | contracts | debt | Total | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 27 | $ | 75 | $ | 42 | $ | 1 | $ | 146 | ||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | 3 | 2 | 5 | |||||||||||||||||||||||||||
Relating to assets sold during the period | 5 | 5 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | -9 | 2 | -7 | -14 | ||||||||||||||||||||||||||
Transfers from level 3 to level 2 | -1 | -1 | ||||||||||||||||||||||||||||
Balance at end of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | $ | 141 | |||||||||||||||||||
The fair value measurements of cash and cash equivalents are based on the amounts on deposit. | ||||||||||||||||||||||||||||||
The market approach is used to measure fair value of equity securities. The fair value measurements of equity securities (excluding commingled funds), which are generally classified as Level 1, are based on quoted prices in active markets. These securities represent actively and passively managed investments that are managed against various equity indices. | ||||||||||||||||||||||||||||||
Investments in commingled equity and debt funds are categorized as equity securities. These investments are classified as Level 2, except for exchange-traded funds, which are classified as Level 1 based on quoted prices in active markets. The fair value measurements for Level 2 investments are based on firm quotes of net asset values per share, which are not considered obtained from a quoted price in an active market. Investments in commingled equity funds include funds that invest in U.S. and international equity securities. Investments in commingled debt funds include funds that invest in a diversified portfolio of emerging market debt obligations, as well as funds that invest in investment grade long-duration fixed-income securities. | ||||||||||||||||||||||||||||||
The fair value measurements of debt securities are generally based on evaluations that reflect observable market information, such as actual trade information for identical securities or for similar securities, adjusted for observable differences. The fair value of debt securities is generally measured using a market approach, including the use of pricing models which incorporate observable inputs. Common inputs include benchmark yields, relevant trade data, broker/dealer bid/ask prices, benchmark securities and credit valuation adjustments. When necessary, the fair value of debt securities is measured using the income approach, which incorporates similar observable inputs as well as payment data, future predicted cash flows, collateral performance and new issue data. For the Master Trust, these securities represent investments in securities issued by U.S. Treasury and U.S. government sponsored agencies; investments securitized by residential mortgages, auto loans, credit cards and other pooled loans; investments in investment grade and non-investment grade bonds issued by U.S. companies across several industries; investments in debt securities issued by foreign governments and corporations and exchange traded funds. | ||||||||||||||||||||||||||||||
Investments in commodities represent ownership of units of a commingled fund that is invested as a long-only, unleveraged portfolio of exchange-traded futures and forward contracts in tangible commodities to obtain broad exposure to all principal groups in the global commodity markets, including energies, agriculture and metals (both precious and industrial) using proprietary commodity trading strategies. The fund has daily liquidity with a specified notification period. The fund's fair value is based upon a unit value as calculated by the fund's trustee. | ||||||||||||||||||||||||||||||
Investments in real estate represent an investment in a partnership whose purpose is to manage investments in core U.S. real estate properties diversified geographically and across major property types (e.g., office, industrial, retail, etc.). The manager is focused on properties with high occupancy rates with quality tenants. This results in a focus on high income and stable cash flows with appreciation being a secondary factor. Core real estate generally has a lower degree of leverage when compared with more speculative real estate investing strategies. The partnership has limitations on the amounts that may be redeemed based on available cash to fund redemptions. Additionally, the general partner may decline to accept redemptions when necessary to avoid adverse consequences for the partnership, including legal and tax implications, among others. The fair value of the investment is based upon a partnership unit value. | ||||||||||||||||||||||||||||||
Investments in private equity represent interests in partnerships in multiple early-stage venture capital funds and private equity fund of funds that use a number of diverse investment strategies. Four of the partnerships have limited lives of ten years, while the fifth has a life of 15 years, after which liquidating distributions will be received. Prior to the end of each partnership's life, the investment cannot be redeemed with the partnership; however, the interest may be sold to other parties, subject to the general partner's approval. The Master Trust has unfunded commitments of $55 million that may be required during the lives of the partnerships. Fair value is based on an ownership interest in partners' capital to which a proportionate share of net assets is attributed. | ||||||||||||||||||||||||||||||
Investments in hedge funds represent investments in three hedge fund of funds. Hedge funds seek a return utilizing a number of diverse investment strategies. The strategies, when combined aim to reduce volatility and risk while attempting to deliver positive returns under most market conditions. Major investment strategies for the hedge fund of funds include long/short equity, market neutral, distressed debt, and relative value. Generally, shares may be redeemed within 65 to 95 days with prior written notice. The funds are subject to short term lockups and have limitations on the amount that may be withdrawn based on a percentage of the total net asset value of the fund, among other restrictions. All withdrawals are subject to the general partner's approval. The fair value for two of the funds has been estimated using the net asset value per share and the third fund's fair value is based on an ownership interest in partners' capital to which a proportionate share of net assets is attributed. | ||||||||||||||||||||||||||||||
The fair value measurements of derivative instruments utilize various inputs that include quoted prices for similar contracts or market-corroborated inputs. In certain instances, these instruments may be valued using models, including standard option valuation models and standard industry models. These securities primarily represent investments in interest rate swaps and swaptions (the option to enter into an interest rate swap) which are valued based on the swap details, such as swap curves, notional amount, index and term of index, reset frequency, volatility and payer/receiver credit ratings. | ||||||||||||||||||||||||||||||
Insurance contracts, classified as Level 3, represent an investment in an immediate participation guaranteed group annuity contract. The fair value is based on contract value, which represents cost plus interest income less distributions for benefit payments and administrative expenses. | ||||||||||||||||||||||||||||||
Plan Assets - U.S. Other Postretirement Benefit Plans | ||||||||||||||||||||||||||||||
The investment strategy with respect to other postretirement benefit obligations is to fund VEBA trusts and/or 401(h) accounts with voluntary contributions and to invest in a tax efficient manner. Excluding the 401(h) accounts included in the Master Trust, other postretirement benefit plans are invested in a mix of assets for long-term growth with an objective of earning returns that provide liquidity as required for benefit payments. These plans benefit from diversification of asset types, investment fund strategies and investment fund managers, and therefore, have no significant concentration of risk. Equity securities include investments in domestic large-cap commingled funds. Ownership interests in commingled funds that invest entirely in debt securities are classified as equity securities, but treated as debt securities for asset allocation and target allocation purposes. Ownership interests in money market funds are treated as cash and cash equivalents for asset allocation and target allocation purposes. The asset allocation for the PPL VEBA trusts, excluding LKE, and the target allocation, by asset class, at December 31 are detailed below. | ||||||||||||||||||||||||||||||
Target Asset | ||||||||||||||||||||||||||||||
Percentage of plan assets | Allocation | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | ||||||||||||||||||||||||||||
Asset Class | ||||||||||||||||||||||||||||||
U.S. Equity securities | 49% | 55% | 45% | |||||||||||||||||||||||||||
Debt securities (a) | 49% | 41% | 50% | |||||||||||||||||||||||||||
Cash and cash equivalents (b) | 2% | 4% | 5% | |||||||||||||||||||||||||||
Total | 100% | 100% | 100% | |||||||||||||||||||||||||||
(a) Includes commingled debt funds and debt securities. | ||||||||||||||||||||||||||||||
(b) Includes money market funds. | ||||||||||||||||||||||||||||||
LKE’s other postretirement benefit plan is invested primarily in a 401(h) account, as disclosed in the PPL Services Corporation Master Trust, with insignificant amounts invested in money market funds within VEBA trusts for liquidity. | ||||||||||||||||||||||||||||||
The fair value of assets in the U.S. other postretirement benefit plans by asset class and level within the fair value hierarchy was: | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurement Using | Fair Value Measurement Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
Money market funds | $ | 9 | $ | 9 | $ | 12 | $ | 12 | ||||||||||||||||||||||
U.S. Equity securities: | ||||||||||||||||||||||||||||||
Large-cap | 169 | $ | 169 | 182 | $ | 182 | ||||||||||||||||||||||||
Commingled debt | 136 | 136 | 100 | 100 | ||||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
Municipalities | 33 | 33 | 36 | 36 | ||||||||||||||||||||||||||
Total VEBA trust assets, at fair value | 347 | $ | 9 | $ | 338 | 330 | $ | 12 | $ | 318 | ||||||||||||||||||||
Receivables and payables, net (a) | 1 | 1 | ||||||||||||||||||||||||||||
401(h) account assets | 136 | 115 | ||||||||||||||||||||||||||||
Total other postretirement benefit plan | ||||||||||||||||||||||||||||||
assets | $ | 484 | $ | 446 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Investments in money market funds represent investments in funds that invest primarily in a diversified portfolio of investment grade money market instruments, including, but not limited to, commercial paper, notes, repurchase agreements and other evidences of indebtedness with a maturity not exceeding 13 months from the date of purchase. The primary objective of the fund is a high level of current income consistent with stability of principal and liquidity. Redemptions can be made daily on this fund. | ||||||||||||||||||||||||||||||
Investments in large-cap equity securities represent investments in a passively managed equity index fund that invests in securities and a combination of other collective funds. Fair value measurements are not obtained from a quoted price in an active market but are based on firm quotes of net asset values per share as provided by the trustee of the fund. Redemptions can be made daily on this fund. | ||||||||||||||||||||||||||||||
Investments in commingled debt securities represent investments in a fund that invests in a diversified portfolio of investment grade long-duration fixed income securities. Redemptions can be made weekly on these funds. | ||||||||||||||||||||||||||||||
Investments in municipalities represent investments in a diverse mix of tax-exempt municipal securities. The fair value measurements for these securities are based on recently executed transactions for identical securities or for similar securities. | ||||||||||||||||||||||||||||||
Plan Assets - U.K. Pension Plans (PPL) | ||||||||||||||||||||||||||||||
The overall investment strategy of WPD's pension plans is developed by each plan's independent trustees in its Statement of Investment Principles in compliance with the U.K. Pensions Act of 1995 and other U.K. legislation. The trustees' primary focus is to ensure that assets are sufficient to meet members' benefits as they fall due with a longer term objective to reduce investment risk. The investment strategy is intended to maximize investment returns while not incurring excessive volatility in the funding position. WPD's plans are invested in a wide diversification of asset types, fund strategies and fund managers; and therefore, have no significant concentration of risk. Commingled funds that consist entirely of debt securities are traded as equity units, but treated by WPD as debt securities for asset allocation and target allocation purposes. These include investments in U.K. corporate bonds and U.K. gilts. | ||||||||||||||||||||||||||||||
The asset allocation and target allocation at December 31 of WPD's pension plans are detailed below. | ||||||||||||||||||||||||||||||
Target Asset | ||||||||||||||||||||||||||||||
Percentage of plan assets | Allocation | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | ||||||||||||||||||||||||||||
Asset Class | ||||||||||||||||||||||||||||||
Cash and cash equivalents | 1% | |||||||||||||||||||||||||||||
Equity securities | ||||||||||||||||||||||||||||||
U.K. | 3% | 7% | 3% | |||||||||||||||||||||||||||
European (excluding the U.K.) | 3% | 5% | 3% | |||||||||||||||||||||||||||
Asian-Pacific | 2% | 3% | 2% | |||||||||||||||||||||||||||
North American | 3% | 5% | 3% | |||||||||||||||||||||||||||
Emerging markets | 9% | 8% | 9% | |||||||||||||||||||||||||||
Currency | 2% | 7% | 3% | |||||||||||||||||||||||||||
Global Tactical Asset Allocation | 29% | 19% | 30% | |||||||||||||||||||||||||||
Debt securities (a) | 42% | 40% | 41% | |||||||||||||||||||||||||||
Alternative investments | 6% | 6% | 6% | |||||||||||||||||||||||||||
Total | 100% | 100% | 100% | |||||||||||||||||||||||||||
(a) Includes commingled debt funds. | ||||||||||||||||||||||||||||||
The fair value of assets in the U.K. pension plans by asset class and level within the fair value hierarchy was: | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurement Using | Fair Value Measurement Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
Cash and cash equivalents | $ | 57 | $ | 57 | $ | 10 | $ | 10 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.K. companies | 239 | $ | 239 | 523 | 267 | $ | 256 | |||||||||||||||||||||||
European companies (excluding the U.K.) | 198 | 198 | 355 | 275 | 80 | |||||||||||||||||||||||||
Asian-Pacific companies | 142 | 142 | 226 | 180 | 46 | |||||||||||||||||||||||||
North American companies | 227 | 227 | 352 | 254 | 98 | |||||||||||||||||||||||||
Emerging markets companies | 309 | 309 | 411 | 126 | 285 | |||||||||||||||||||||||||
Global Equities | 397 | 397 | 161 | 161 | ||||||||||||||||||||||||||
Currency | 190 | 190 | 485 | 485 | ||||||||||||||||||||||||||
Global Tactical Asset Allocation | 2,263 | 2,263 | 1,384 | 1,384 | ||||||||||||||||||||||||||
Commingled debt: | ||||||||||||||||||||||||||||||
U.K. corporate bonds | 436 | 436 | 504 | 504 | ||||||||||||||||||||||||||
U.K. gilts | 2,840 | 2,840 | 2,426 | 2,426 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Real estate | 436 | 436 | 447 | 447 | ||||||||||||||||||||||||||
Fair value - U.K. pension plans | $ | 7,734 | $ | 57 | $ | 7,677 | $ | 7,284 | $ | 1,112 | $ | 6,172 | ||||||||||||||||||
Except for investments in real estate, the fair value measurements of WPD's pension plan assets are based on the same inputs and measurement techniques used to measure the U.S. pension plan assets described above. | ||||||||||||||||||||||||||||||
Investments in equity securities represent actively and passively managed funds that are measured against various equity indices. The Global Tactical Asset Allocation strategy attempts to benefit from short-term market inefficiencies by taking positions in worldwide markets with the objective to profit from relative movements across those markets. | ||||||||||||||||||||||||||||||
U.K. corporate bonds include investment grade corporate bonds of companies from diversified U.K. industries. | ||||||||||||||||||||||||||||||
U.K. gilts include gilts, index-linked gilts and swaps intended to track a portion of the plans' liabilities. | ||||||||||||||||||||||||||||||
Investments in real estate represent holdings in a U.K. unitized fund that owns and manages U.K. industrial and commercial real estate with a strategy of earning current rental income and achieving capital growth. The fair value measurement of the fund is based upon a net asset value per share, which is based on the value of underlying properties that are independently appraised in accordance with Royal Institution of Chartered Surveyors valuation standards at least annually with quarterly valuation updates based on recent sales of similar properties, leasing levels, property operations and/or market conditions. The fund may be subject to redemption restrictions in the unlikely event of a large forced sale in order to ensure other unit holders are not disadvantaged. | ||||||||||||||||||||||||||||||
Expected Cash Flows - U.S. Defined Benefit Plans (PPL) | ||||||||||||||||||||||||||||||
PPL's U.S. defined benefit pension plans have the option to utilize available prior year credit balances to meet current and future contribution requirements. However, PPL contributed $175 million to its U.S. pension plans in January 2015. | ||||||||||||||||||||||||||||||
PPL sponsors various non-qualified supplemental pension plans for which no assets are segregated from corporate assets. PPL expects to make approximately $10 million of benefit payments under these plans in 2015. | ||||||||||||||||||||||||||||||
PPL is not required to make contributions to its other postretirement benefit plans but has historically funded these plans in amounts equal to the postretirement benefit costs recognized. Continuation of this past practice would cause PPL to contribute $17 million to its other postretirement benefit plans in 2015. | ||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans and the following federal subsidy payments are expected to be received by PPL. | ||||||||||||||||||||||||||||||
Other Postretirement | ||||||||||||||||||||||||||||||
Expected | ||||||||||||||||||||||||||||||
Benefit | Federal | |||||||||||||||||||||||||||||
Pension | Payment | Subsidy | ||||||||||||||||||||||||||||
2015 | $ | 268 | $ | 54 | $ | 1 | ||||||||||||||||||||||||
2016 | 279 | 56 | 1 | |||||||||||||||||||||||||||
2017 | 294 | 58 | 1 | |||||||||||||||||||||||||||
2018 | 308 | 60 | 1 | |||||||||||||||||||||||||||
2019 | 323 | 62 | 1 | |||||||||||||||||||||||||||
2020-2024 | 1,749 | 326 | 3 | |||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||
The PPL Montana pension plan has the option to utilize available prior year credit balances to meet current and future contribution requirements. However, PPL Montana contributed $32 million to its pension plan in January 2015. | ||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans. | ||||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||||
Pension | Postretirement | |||||||||||||||||||||||||||||
2015 | $ | 5 | $ | 1 | ||||||||||||||||||||||||||
2016 | 7 | 1 | ||||||||||||||||||||||||||||
2017 | 7 | 1 | ||||||||||||||||||||||||||||
2018 | 8 | 2 | ||||||||||||||||||||||||||||
2019 | 9 | 2 | ||||||||||||||||||||||||||||
2020-2024 | 58 | 9 | ||||||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||||
LKE's defined benefit pension plans have the option to utilize available prior year credit balances to meet current and future contribution requirements. However, LKE contributed $49 million to its pension plans in January 2015. | ||||||||||||||||||||||||||||||
LKE sponsors various non-qualified supplemental pension plans for which no assets are segregated from corporate assets. LKE expects to make $3 million of benefit payments under these plans in 2015. | ||||||||||||||||||||||||||||||
LKE is not required to make contributions to its other postretirement benefit plan but has historically funded this plan in amounts equal to the postretirement benefit costs recognized. Continuation of this past practice would cause LKE to contribute $13 million to its other postretirement benefit plan in 2015. | ||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans and the following federal subsidy payments are expected to be received by LKE. | ||||||||||||||||||||||||||||||
Other Postretirement | ||||||||||||||||||||||||||||||
Expected | ||||||||||||||||||||||||||||||
Benefit | Federal | |||||||||||||||||||||||||||||
Pension | Payment | Subsidy | ||||||||||||||||||||||||||||
2015 | $ | 60 | $ | 14 | ||||||||||||||||||||||||||
2016 | 62 | 14 | ||||||||||||||||||||||||||||
2017 | 67 | 15 | $ | 1 | ||||||||||||||||||||||||||
2018 | 72 | 16 | ||||||||||||||||||||||||||||
2019 | 77 | 17 | ||||||||||||||||||||||||||||
2020-2024 | 456 | 88 | 2 | |||||||||||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||||
LG&E's defined benefit pension plan has the option to utilize available prior year credit balances to meet current and future contribution requirements. However, LG&E contributed $13 million to its pension plan in January 2015. | ||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plan. | ||||||||||||||||||||||||||||||
Pension | ||||||||||||||||||||||||||||||
2015 | $ | 15 | ||||||||||||||||||||||||||||
2016 | 16 | |||||||||||||||||||||||||||||
2017 | 17 | |||||||||||||||||||||||||||||
2018 | 18 | |||||||||||||||||||||||||||||
2019 | 19 | |||||||||||||||||||||||||||||
2020-2024 | 105 | |||||||||||||||||||||||||||||
Expected Cash Flows - U.K. Pension Plans (PPL) | ||||||||||||||||||||||||||||||
The pension plans of WPD are subject to formal actuarial valuations every three years, which are used to determine funding requirements. Contribution requirements for periods after April 1, 2014 were evaluated in accordance with the valuations performed as of March 31, 2013. WPD expects to make contributions of approximately $377 million in 2015. WPD is currently permitted to recover in rates approximately 64% of their pension funding requirements for their primary pension plans, increasing to approximately 80% in 2019. | ||||||||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans. | ||||||||||||||||||||||||||||||
Pension | ||||||||||||||||||||||||||||||
2015 | $ | 386 | ||||||||||||||||||||||||||||
2016 | 391 | |||||||||||||||||||||||||||||
2017 | 395 | |||||||||||||||||||||||||||||
2018 | 403 | |||||||||||||||||||||||||||||
2019 | 409 | |||||||||||||||||||||||||||||
2020-2024 | 2,118 | |||||||||||||||||||||||||||||
Savings Plans (All Registrants) | ||||||||||||||||||||||||||||||
Substantially all employees of PPL's domestic subsidiaries are eligible to participate in deferred savings plans (401(k)s). Employer contributions to the plans were: | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL | $ | 47 | $ | 41 | $ | 36 | ||||||||||||||||||||||||
PPL Energy Supply | 14 | 12 | 12 | |||||||||||||||||||||||||||
PPL Electric | 6 | 6 | 5 | |||||||||||||||||||||||||||
LKE | 15 | 13 | 12 | |||||||||||||||||||||||||||
LG&E | 5 | 7 | 6 | |||||||||||||||||||||||||||
KU | 4 | 6 | 6 | |||||||||||||||||||||||||||
(PPL, PPL Energy Supply and PPL Electric) | ||||||||||||||||||||||||||||||
Employee Stock Ownership Plan | ||||||||||||||||||||||||||||||
PPL sponsors a non-leveraged ESOP in which domestic employees, excluding those of PPL Montana, LKE and the mechanical contractors, are enrolled on the first day of the month following eligible employee status. Dividends paid on ESOP shares are treated as ordinary dividends by PPL. Under existing income tax laws, PPL is permitted to deduct the amount of those dividends for income tax purposes and to contribute the resulting tax savings (dividend-based contribution) to the ESOP. | ||||||||||||||||||||||||||||||
The dividend-based contribution, which is discretionary, is used to buy shares of PPL's common stock and is expressly conditioned upon the deductibility of the contribution for federal income tax purposes. Contributions to the ESOP are allocated to eligible participants' accounts as of the end of each year, based 75% on shares held in existing participants' accounts and 25% on the eligible participants' compensation. | ||||||||||||||||||||||||||||||
For 2014 and 2013, PPL did not record compensation expense related to the ESOP as no contribution was made. Compensation expense for ESOP contributions was $8 million in 2012. This amount was offset by the dividend-based contribution tax savings and had no impact on PPL's earnings. | ||||||||||||||||||||||||||||||
PPL shares within the ESOP at December 31, 2014 were 7,053,754, or 1% of total common shares outstanding, and are included in all EPS calculations. | ||||||||||||||||||||||||||||||
Separation Benefits | ||||||||||||||||||||||||||||||
Certain PPL subsidiaries provide separation benefits to eligible employees. These benefits may be provided in the case of separations due to performance issues, loss of job related qualifications or organizational changes. Until December 1, 2012, certain employees separated were eligible for cash severance payments, outplacement services, accelerated stock award vesting, continuation of group health and welfare coverage, and enhanced pension and postretirement medical benefits. As of December 1, 2012, separation benefits for certain employees were changed to eliminate accelerated stock award vesting and enhanced pension and postretirement medical benefits. Also, the continuation of group health and welfare coverage was replaced with a single sum payment approximating the dollar amount of premium payments that would be incurred for continuation of group health and welfare coverage. Separation benefits are recorded when such amounts are probable and estimable. | ||||||||||||||||||||||||||||||
See Note 8 for a discussion of separation benefits related to the anticipated spinoff of PPL Energy Supply and Note 13 for a discussion of separation benefits related to the one-time voluntary retirement window offered to certain bargaining unit employees as part of the new three-year labor agreement with IBEW local 1600. Separation benefits were not significant in 2013 and 2012. |
Jointly_Owned_Facilities
Jointly Owned Facilities | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Facilities | 12. Jointly Owned Facilities | |||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | ||||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Each subsidiary owning these interests provides its own funding for its share of the facility. Each receives a portion of the total output of the generating plants equal to its percentage ownership. The share of fuel and other operating costs associated with the plants is included in the corresponding operating expenses on the Statements of Income. | ||||||||||||||||||
In addition to the interests mentioned above, at December 31, 2014 and 2013, PPL Montana had a 50% ownership interest in Colstrip Units 1 and 2 and a 30% ownership interest in Colstrip Unit 3. The book value of these assets was not significant. At December 31, 2014 and 2013, NorthWestern owned a 30% interest in Colstrip Unit 4. PPL Montana and NorthWestern have a sharing agreement that governs each party's responsibilities and rights relating to the operation of Colstrip Units 3 and 4. Under the terms of that agreement, each party is responsible for 15% of the total non-coal operating and construction costs of Colstrip Units 3 and 4, regardless of whether a particular cost is specific to Colstrip Unit 3 or 4, and is entitled to take up to the same percentage of the available generation from Units 3 and 4. | ||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Facilities | 12. Jointly Owned Facilities | |||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | ||||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Each subsidiary owning these interests provides its own funding for its share of the facility. Each receives a portion of the total output of the generating plants equal to its percentage ownership. The share of fuel and other operating costs associated with the plants is included in the corresponding operating expenses on the Statements of Income. | ||||||||||||||||||
In addition to the interests mentioned above, at December 31, 2014 and 2013, PPL Montana had a 50% ownership interest in Colstrip Units 1 and 2 and a 30% ownership interest in Colstrip Unit 3. The book value of these assets was not significant. At December 31, 2014 and 2013, NorthWestern owned a 30% interest in Colstrip Unit 4. PPL Montana and NorthWestern have a sharing agreement that governs each party's responsibilities and rights relating to the operation of Colstrip Units 3 and 4. Under the terms of that agreement, each party is responsible for 15% of the total non-coal operating and construction costs of Colstrip Units 3 and 4, regardless of whether a particular cost is specific to Colstrip Unit 3 or 4, and is entitled to take up to the same percentage of the available generation from Units 3 and 4. | ||||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Facilities | 12. Jointly Owned Facilities | |||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | ||||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Each subsidiary owning these interests provides its own funding for its share of the facility. Each receives a portion of the total output of the generating plants equal to its percentage ownership. The share of fuel and other operating costs associated with the plants is included in the corresponding operating expenses on the Statements of Income. | ||||||||||||||||||
In addition to the interests mentioned above, at December 31, 2014 and 2013, PPL Montana had a 50% ownership interest in Colstrip Units 1 and 2 and a 30% ownership interest in Colstrip Unit 3. The book value of these assets was not significant. At December 31, 2014 and 2013, NorthWestern owned a 30% interest in Colstrip Unit 4. PPL Montana and NorthWestern have a sharing agreement that governs each party's responsibilities and rights relating to the operation of Colstrip Units 3 and 4. Under the terms of that agreement, each party is responsible for 15% of the total non-coal operating and construction costs of Colstrip Units 3 and 4, regardless of whether a particular cost is specific to Colstrip Unit 3 or 4, and is entitled to take up to the same percentage of the available generation from Units 3 and 4. | ||||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Facilities | 12. Jointly Owned Facilities | |||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | ||||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Each subsidiary owning these interests provides its own funding for its share of the facility. Each receives a portion of the total output of the generating plants equal to its percentage ownership. The share of fuel and other operating costs associated with the plants is included in the corresponding operating expenses on the Statements of Income. | ||||||||||||||||||
In addition to the interests mentioned above, at December 31, 2014 and 2013, PPL Montana had a 50% ownership interest in Colstrip Units 1 and 2 and a 30% ownership interest in Colstrip Unit 3. The book value of these assets was not significant. At December 31, 2014 and 2013, NorthWestern owned a 30% interest in Colstrip Unit 4. PPL Montana and NorthWestern have a sharing agreement that governs each party's responsibilities and rights relating to the operation of Colstrip Units 3 and 4. Under the terms of that agreement, each party is responsible for 15% of the total non-coal operating and construction costs of Colstrip Units 3 and 4, regardless of whether a particular cost is specific to Colstrip Unit 3 or 4, and is entitled to take up to the same percentage of the available generation from Units 3 and 4. | ||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Facilities | 12. Jointly Owned Facilities | |||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | ||||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Each subsidiary owning these interests provides its own funding for its share of the facility. Each receives a portion of the total output of the generating plants equal to its percentage ownership. The share of fuel and other operating costs associated with the plants is included in the corresponding operating expenses on the Statements of Income. | ||||||||||||||||||
In addition to the interests mentioned above, at December 31, 2014 and 2013, PPL Montana had a 50% ownership interest in Colstrip Units 1 and 2 and a 30% ownership interest in Colstrip Unit 3. The book value of these assets was not significant. At December 31, 2014 and 2013, NorthWestern owned a 30% interest in Colstrip Unit 4. PPL Montana and NorthWestern have a sharing agreement that governs each party's responsibilities and rights relating to the operation of Colstrip Units 3 and 4. Under the terms of that agreement, each party is responsible for 15% of the total non-coal operating and construction costs of Colstrip Units 3 and 4, regardless of whether a particular cost is specific to Colstrip Unit 3 or 4, and is entitled to take up to the same percentage of the available generation from Units 3 and 4. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Commitments and Contingencies [Abstract] | ||||||||||
Commitments and Contingencies | 13. Commitments and Contingencies | |||||||||
Energy Purchases, Energy Sales and Other Commitments | ||||||||||
Energy Purchase Commitments | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
PPL Energy Supply enters into long-term energy and energy related contracts which include commitments to purchase: | ||||||||||
Maximum | ||||||||||
Maturity | ||||||||||
Contract Type | Date | |||||||||
Fuels (a) | 2023 | |||||||||
Limestone | 2030 | |||||||||
Natural Gas Storage | 2026 | |||||||||
Natural Gas Transportation | 2032 | |||||||||
Power, excluding wind | 2021 | |||||||||
RECs | 2021 | |||||||||
Wind Power | 2027 | |||||||||
(a) PPL Energy Supply incurred pre-tax charges of $29 million during 2012 to reduce its 2012 and 2013 contracted coal deliveries. These charges were recorded to "Fuel" on the Statement of Income. | ||||||||||
(PPL, LKE, LG&E and KU) | ||||||||||
LG&E and KU enter into purchase contracts to supply the coal and natural gas requirements for generation facilities and LG&E’s gas supply operations. These contracts include the following commitments: | ||||||||||
Maximum | ||||||||||
Maturity | ||||||||||
Contract Type | Date | |||||||||
Coal | 2019 | |||||||||
Coal Transportation and Fleeting Services | 2024 | |||||||||
Natural Gas Storage | 2024 | |||||||||
Natural Gas Transportation | 2024 | |||||||||
LG&E and KU have a power purchase agreement with OVEC expiring in June 2040. See footnote (h) to the table in "Guarantees and Other Assurances" below for information on the OVEC power purchase contract. Future obligations for power purchases from OVEC are unconditional demand payments, comprised of annual minimum debt service payments, as well as contractually required reimbursement of plant operating, maintenance and other expenses as follows: | ||||||||||
LG&E | KU | Total | ||||||||
2015 | $ | 18 | $ | 8 | $ | 26 | ||||
2016 | 18 | 8 | 26 | |||||||
2017 | 19 | 8 | 27 | |||||||
2018 | 20 | 9 | 29 | |||||||
2019 | 22 | 10 | 32 | |||||||
Thereafter | 510 | 226 | 736 | |||||||
$ | 607 | $ | 269 | $ | 876 | |||||
In addition, LG&E and KU had total energy purchases under the OVEC power purchase agreement for the years ended December 31 as follows: | ||||||||||
2014 | 2013 | 2012 | ||||||||
LG&E | $ | 17 | $ | 18 | $ | 20 | ||||
KU | 8 | 8 | 9 | |||||||
Total | $ | 25 | $ | 26 | $ | 29 | ||||
(PPL and PPL Electric) | ||||||||||
In January 2013, the PUC approved PPL Electric’s procurement plan for the period June 2013 through May 2015. To date, PPL Electric has conducted all of its planned competitive solicitations. The solicitations include layered short-term full requirement products ranging from three months to 12 months for residential and small commercial and industrial PLR customers as well as a recurring 12 month spot market product for large commercial and industrial PLR customers. In April 2014, PPL Electric filed a new DSP with the PUC for the period June 1, 2015 through May 2017. The PUC subsequently approved the plan on January 15, 2015. The approved plan proposes that PPL Electric procure this energy through competitive solicitations conducted twice each plan year beginning in March 2015. | ||||||||||
(PPL Electric) | ||||||||||
See Note 14 for information on the power supply agreements between PPL EnergyPlus and PPL Electric. | ||||||||||
Energy Sales Commitments | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
In connection with its marketing activities or hedging strategy for its power plants, PPL Energy Supply has entered into long-term power sales contracts that extend into 2020, excluding long-term renewable energy agreements that extend into 2038. | ||||||||||
(PPL Energy Supply) | ||||||||||
See Note 14 for information on the power supply agreements between PPL EnergyPlus and PPL Electric. | ||||||||||
Legal Matters | ||||||||||
(All Registrants) | ||||||||||
PPL and its subsidiaries are involved in legal proceedings, claims and litigation in the ordinary course of business. PPL and its subsidiaries cannot predict the outcome of such matters, or whether such matters may result in material liabilities, unless otherwise noted. | ||||||||||
WKE Indemnification (PPL and LKE) | ||||||||||
See footnote (g) to the table in "Guarantees and Other Assurances" below for information on an LKE indemnity relating to its former WKE lease, including related legal proceedings. | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
Sierra Club Litigation | ||||||||||
In July 2012, PPL Montana received a Notice of Intent to Sue (Notice) for violations of the Clean Air Act at Colstrip Steam Electric Station (Colstrip) from counsel on behalf of the Sierra Club and the Montana Environmental Information Center (MEIC). An Amended Notice was received on September 4, 2012, and a Second Amended Notice was received in October 2012. A Supplemental Notice was received in December 2012. The Notice, Amended Notice, Second Amended Notice and Supplemental Notice (the Notices) were all addressed to the Owner or Managing Agent of Colstrip, and to the other Colstrip co-owners: Avista Corporation, Puget Sound Energy, Portland General Electric Company, Northwestern Energy and PacificCorp. The Notices allege certain violations of the Clean Air Act, including New Source Review, Title V and opacity requirements. | ||||||||||
On March 6, 2013, the Sierra Club and MEIC filed a complaint against PPL Montana and the other Colstrip co-owners in the U.S. District Court, District of Montana, Billings Division. PPL Montana operates Colstrip on behalf of the co-owners. The complaint is generally consistent with the prior Notices and lists 39 separate claims for relief. All but three of the claims allege Prevention of Significant Deterioration (PSD)-related violations under the federal Clean Air Act for various plant maintenance projects completed since 1992. For each such project or set of projects, there are separate claims for failure to obtain a PSD permit, for failure to obtain a Montana Air Quality Permit to operate after the project(s) were completed and for operating after completion of such project(s) without "Best Available Control Technology". The remaining three claims relate to the alleged failure to update the Title V operating permit for Colstrip to reflect the alleged major modifications described in the other claims, allege that the previous Title V compliance certifications were incomplete because they did not address the major plant modifications, and that numerous opacity violations have occurred at the plant since 2007. The complaint requests injunctive relief and civil penalties on average of $36,000 per day per violation, including a request that the owners remediate environmental damage and that $100,000 of the civil penalties be used for beneficial mitigation projects. | ||||||||||
In July 2013, the Sierra Club and MEIC filed an additional Notice, identifying additional plant projects that are alleged not to be in compliance with the Clean Air Act and, in September 2013, filed an amended complaint. The amended complaint dropped all claims regarding pre-2001 plant projects, as well as the plaintiffs' Title V and opacity claims. It did, however, add claims with respect to a number of post-2000 plant projects, which effectively increased the number of projects subject to the litigation by about 40. PPL Montana and the other Colstrip owners filed a motion to dismiss the amended complaint in October 2013. In May 2014, the court dismissed the plaintiffs' independent Best Available Control Technology claims and their Prevention of Significant Deterioration (PSD) claims for three projects, but denied the owners' motion to dismiss the plaintiffs' other PSD claims on statute of limitation grounds. On August 27, 2014, the Sierra Club and MEIC filed a second amended complaint. This complaint includes the same causes of action articulated in the first amended complaint, but alleges those claims in regard to only eight projects at the plant between 2001 and 2013. On September 26, 2014, the Colstrip owners filed an answer to the second amended complaint. Discovery is ongoing. In January 2015, trial as to liability in this matter was rescheduled to November 16, 2015. A trial date with respect to remedies, if there is a finding of liability, has not been scheduled. PPL Montana believes it and the other co-owners have numerous defenses to the allegations set forth in this complaint and will vigorously assert the same. PPL Montana cannot predict the ultimate outcome of this matter at this time. | ||||||||||
Notice of Intent to File Suit | ||||||||||
On October 20, 2014, PPL Energy Supply received a notice letter from the Chesapeake Bay Foundation (CBF) alleging violations of the Clean Water Act and Pennsylvania Clean Streams Law at the Brunner Island generation plant. The letter was sent to PPL Brunner Island and the PADEP and is intended to provide notice of the alleged violations and CBF's intent to file suit in Federal court after expiration of the 60 day statutory notice period. Among other things, the letter alleges that PPL Brunner Island failed to comply with the terms of its National Pollutant Discharge Elimination System permit and associated regulations related to the application of nutrient credits to the facility's discharges of nitrogen into the Susquehanna River. The letter also alleges that PADEP has failed to ensure that credits generated from nonpoint source pollution reduction activities that PPL Brunner Island applies to its discharges meet the eligibility and certification requirements under PADEP's nutrient trading program regulations. If a court-approved settlement cannot be reached, CBF plans to seek injunctive relief, monetary penalties, fees and costs of litigation. PPL and PPL Energy Supply cannot predict the outcome of this matter. | ||||||||||
Proposed Legislation - Pacific Northwest | ||||||||||
In the first quarter of 2015, legislation was proposed in the State of Oregon to eliminate, over time, the sale of electricity in Oregon from coal-fired generating facilities, and in the State of Washington to provide a means of cost recovery to utility owners of coal-fired generating facilities who commit to retire such facilities. Both proposals are in their earliest stages of consideration and PPL and PPL Energy Supply cannot predict whether any legislation seeking to achieve the objectives of the Oregon or Washington legislation will be enacted. Were such legislation to be enacted as proposed, such laws, either individually or collectively, would not be expected to have a material adverse effect on PPL’s or PPL Energy Supply’s financial condition or results of operation. | ||||||||||
(PPL, LKE and LG&E) | ||||||||||
Cane Run Environmental Claims | ||||||||||
On December 16, 2013, six residents, on behalf of themselves and others similarly situated, filed a class action complaint against LG&E and PPL in the U.S. District Court for the Western District of Kentucky alleging violations of the Clean Air Act and RCRA. In addition, these plaintiffs assert common law claims of nuisance, trespass and negligence. These plaintiffs seek injunctive relief and civil penalties, plus costs and attorney fees, for the alleged statutory violations. Under the common law claims, these plaintiffs seek monetary compensation and punitive damages for property damage and diminished property values for a class consisting of residents within four miles of the plant. In their individual capacities, these plaintiffs seek compensation for alleged adverse health effects. In response to a motion to dismiss filed by PPL and LG&E, on July 17, 2014 the court dismissed the plaintiffs' RCRA claims and all but one of its Clean Air Act claims, but declined to dismiss their common law tort claims. Upon motion of LG&E and PPL, the district court certified for appellate review the issue of whether the state common law claims are preempted by federal statute. In December 2014, the U.S. Court of Appeals for the Sixth Circuit issued an order granting appellate review regarding issues to be presented by both parties. PPL, LKE and LG&E cannot predict the outcome of this matter or the potential impact on operations of the Cane Run plant. LG&E has previously announced that it anticipates retiring the coal-fired units at Cane Run before the end of 2015. | ||||||||||
Mill Creek Environmental Claims | ||||||||||
In May 2014, the Sierra Club filed a citizen suit against LG&E in the U.S. District Court for the Western District of Kentucky for alleged violations of the Clean Water Act. The Sierra Club alleges that various discharges at the Mill Creek plant constitute violations of the plant's water discharge permit. The Sierra Club seeks civil penalties, injunctive relief, plus costs and attorney's fees. PPL, LKE and LG&E cannot predict the outcome of this matter or the potential impact on the operations of the Mill Creek plant but believe the plant is operating in compliance with the permits. | ||||||||||
Regulatory Issues | ||||||||||
(All Registrants except PPL Energy Supply) | ||||||||||
See Note 6 for information on regulatory matters related to utility rate regulation. | ||||||||||
Potential Impact of Financial Reform Legislation (All Registrants) | ||||||||||
The Dodd-Frank Act amended the Commodity Exchange Act (CEA) to include provisions that impose regulatory reporting requirements for most over-the-counter derivative transactions, and in the future will require many such transactions to be executed through an exchange and to be centrally-cleared. The Dodd-Frank Act amendments to the CEA also provide that the U.S. Commodity Futures Trading Commission (CFTC) may impose collateral (margin) requirements for over-the-counter derivative transactions that are not cleared, as well as establish speculative position limits for nonfinancial commodity derivatives and regulatory capital requirements for certain types of entities that enter into non-cleared swaps. The CFTC and the banking regulators continue to finalize rules implementing the major provisions in the Dodd-Frank Act. | ||||||||||
The Registrants are not required to register as either "swap dealers" or "major swap participants" under the new regulatory regime. Consequently, the Registrants are not subject to the extensive regulatory requirements applicable to such registered entities, including Business Conduct Standards and other complex requirements under CFTC regulations. Nonetheless, the Dodd-Frank Act and implementing regulations have imposed on the Registrants additional and costly compliance, recordkeeping, reporting and documentation requirements. | ||||||||||
In the future, the Registrants may be required to post additional collateral (margin) for over-the-counter derivatives transactions that are not cleared. In addition, the Registrants could face significantly higher operating costs if they or their counterparties are subject to certain regulations implementing the Dodd-Frank Act which are expected to be finalized during 2015. On January 12, 2015, President Obama signed into law a broad legislative exemption from the margin requirements for non-cleared swaps to which a commercial end-user is a counterparty. While the specifics of this new legislative exemption must be reconciled with proposed but not yet finalized margin regulations, the Registrants do not anticipate being subject to direct regulatory margin requirements associated with their non-cleared swap transactions. Instead, the Registrants' swap counterparties likely will continue to require posting of collateral and other forms of credit support (subject to unsecured thresholds and industry-standard documentation) for certain of the Registrants' non-cleared swap activities. | ||||||||||
Additionally, the regulatory burdens and costs that the Dodd-Frank Act regulations impose on market participants could limit the Registrants' non-cleared swap transactions, or could cause decreased liquidity in the over-the-counter swap markets, as the CFTC's speculative position limits rules for nonfinancial commodity derivatives are finalized and implemented, and as financial institutions and other market participants discontinue proprietary trading operations or dealing activity in certain swaps markets. Such increased costs and decreased liquidity could make it more difficult for the Registrants to successfully and cost-efficiently meet commercial risk hedging targets. The Registrants will continue to evaluate the Dodd-Frank Act provisions of the CEA, and implementing regulations, but could incur significant costs related to ongoing compliance with the law and regulations. | ||||||||||
(PPL, PPL Energy Supply and PPL Electric) | ||||||||||
New Jersey Capacity Legislation | ||||||||||
In January 2011, New Jersey enacted a law that intervenes in the wholesale capacity market exclusively regulated by the FERC (the Act). To create incentives for the development of new, in-state electricity generation facilities, the Act implemented a long-term capacity agreement pilot program (LCAPP). The Act requires New Jersey utilities to pay a guaranteed fixed price for wholesale capacity, imposed by the New Jersey Board of Public Utilities (BPU), to certain new generators participating in PJM, with the ultimate costs of that guarantee to be borne by New Jersey ratepayers. PPL believes the intent and effect of the LCAPP is to encourage the construction of new generation in New Jersey even when, under the FERC-approved PJM economic model, such new generation would not be economic. The Act could depress capacity prices in PJM in the short term, impacting PPL Energy Supply's revenues, and harm the long-term ability of the PJM capacity market to encourage necessary generation investment throughout PJM. In February 2011, the PJM Power Providers Group (P3), an organization in which PPL is a member, filed a complaint before the FERC seeking changes in PJM's capacity market rules designed to ensure that subsidized generation, such as the generation that may result from the implementation of the LCAPP, will not be able to set capacity prices artificially low as a result of their exercise of buyer market power. In April 2011, the FERC issued an order granting in part and denying in part P3's complaint and ordering changes in PJM's capacity rules consistent with a significant portion of P3's requested changes. Several parties filed appeals of the FERC's order. In February 2014, the U.S. Court of Appeals for the Third Circuit upheld FERC's order, and the decision has become final. | ||||||||||
In February 2011, PPL and several other generating companies and utilities filed a complaint in U.S. District Court in New Jersey challenging the Act on the grounds that it violates well-established principles under the Supremacy and Commerce clauses of the U.S. Constitution and requesting declaratory and injunctive relief barring implementation of the Act by the BPU Commissioners. In October 2013, the U.S. District Court in New Jersey issued a decision finding the Act unconstitutional under the Supremacy Clause on the grounds that it infringes upon the FERC's exclusive authority to regulate the wholesale sale of electricity in interstate commerce. The decision was appealed to the U.S. Court of Appeals for the Third Circuit (Third Circuit) by CPV Power Development, Inc., Hess Newark, LLC and the State of New Jersey (the Appellants). In September 2014, the Third Circuit affirmed the District Court's decision. In December 2014, the Appellants filed a petition for certiorari before the U.S. Supreme Court. | ||||||||||
Maryland Capacity Order | ||||||||||
In April 2012, the Maryland Public Service Commission (MD PSC) ordered three electric utilities in Maryland to enter into long-term contracts to support the construction of new electricity generating facilities in Maryland, specifically a 661 MW natural gas-fired combined-cycle generating facility to be owned by CPV Maryland, LLC. PPL believes the intent and effect of the action by the MD PSC is to encourage the construction of new generation in Maryland even when, under the FERC-approved PJM economic model, such new generation would not be economic. The MD PSC action could depress capacity prices in PJM in the short term, impacting PPL Energy Supply's revenues, and harm the long-term ability of the PJM capacity market to encourage necessary generation investment throughout PJM. | ||||||||||
In April 2012, PPL and several other generating companies filed a complaint in U.S. District Court (District Court) in Maryland challenging the MD PSC order on the grounds that it violates well-established principles under the Supremacy and Commerce clauses of the U.S. Constitution and requested declaratory and injunctive relief barring implementation of the order by the MD PSC Commissioners. In September 2013, the District Court issued a decision finding the MD PSC order unconstitutional under the Supremacy Clause on the grounds that it infringes upon the FERC's exclusive authority to regulate the wholesale sale of electricity in interstate commerce. The decision was appealed to the U.S. Court of Appeals for the Fourth Circuit (Fourth Circuit) by CPV Power Development, Inc. and the State of Maryland (the Appellants). In June 2014, the Fourth Circuit affirmed the District Court's opinion and subsequently denied the Appellants' motion for rehearing. In December 2014, the Appellants filed a petition for certiorari before the U.S. Supreme Court. | ||||||||||
Pacific Northwest Markets (PPL and PPL Energy Supply) | ||||||||||
Through its subsidiaries, PPL Energy Supply made spot market bilateral sales of power in the Pacific Northwest during the period from December 2000 through June 2001. Several parties subsequently claimed refunds at FERC as a result of these sales. In June 2003, the FERC terminated proceedings to consider whether to order refunds for spot market bilateral sales made in the Pacific Northwest, including sales made by PPL Montana, during the period December 2000 through June 2001. In August 2007, the U.S. Court of Appeals for the Ninth Circuit reversed the FERC's decision and ordered the FERC to consider additional evidence. In October 2011, FERC initiated proceedings to consider additional evidence. In July 2012, PPL Montana and the City of Tacoma, one of the two parties claiming refunds at FERC, reached a settlement whereby PPL Montana paid $75 thousand to resolve the City of Tacoma's $23 million claim. The settlement does not resolve the remaining claim outstanding at December 31, 2014 by the City of Seattle for approximately $50 million. Hearings before a FERC Administrative Law Judge (ALJ) regarding the City of Seattle's refund claims were completed in October 2013 and briefing was completed in January 2014. In March 2014, the ALJ issued an initial decision denying the City of Seattle's complaint against PPL Montana. The initial decision is pending review by the FERC. | ||||||||||
Although PPL and its subsidiaries believe they have not engaged in any improper trading or marketing practices affecting the Pacific Northwest markets, PPL and PPL Energy Supply cannot predict the outcome of the above-described proceedings or whether any subsidiaries will be the subject of any additional governmental investigations or named in other lawsuits or refund proceedings. Consequently, PPL and PPL Energy Supply cannot estimate a range of reasonably possible losses, if any, related to this matter. | ||||||||||
(All Registrants) | ||||||||||
FERC Market-Based Rate Authority | ||||||||||
In 1998, the FERC authorized LG&E, KU and PPL EnergyPlus to make wholesale sales of electricity and related products at market-based rates. In those orders, the FERC directed LG&E, KU and PPL EnergyPlus, respectively, to file an updated market analysis within three years after the order, and every three years thereafter. Since then, periodic market-based rate filings with the FERC have been made by LG&E, KU, PPL EnergyPlus, PPL Electric, PPL Montana and most of PPL Generation's subsidiaries. In December 2013, PPL and these subsidiaries filed market-based rate updates for the Eastern and Western regions. In June 2014, the FERC accepted PPL's and its subsidiaries' updated market power analysis finding that they qualify for continued market-based rate authority in the Western region. In November 2014, the FERC accepted PPL's and its subsidiaries' updated market power analysis finding that they qualify for continued market-based rate authority in the Eastern region. | ||||||||||
Electricity - Reliability Standards | ||||||||||
The NERC is responsible for establishing and enforcing mandatory reliability standards (Reliability Standards) regarding the bulk power system. The FERC oversees this process and independently enforces the Reliability Standards. | ||||||||||
The Reliability Standards have the force and effect of law and apply to certain users of the bulk power electricity system, including electric utility companies, generators and marketers. Under the Federal Power Act, the FERC may assess civil penalties of up to $1 million per day, per violation, for certain violations. | ||||||||||
LG&E, KU, PPL Electric and certain subsidiaries of PPL Energy Supply monitor their compliance with the Reliability Standards and continue to self-report potential violations of certain applicable reliability requirements and submit accompanying mitigation plans, as required. The resolution of a number of potential violations is pending. Any Regional Reliability Entity (including RFC or SERC) determination concerning the resolution of violations of the Reliability Standards remains subject to the approval of the NERC and the FERC. | ||||||||||
In the course of implementing their programs to ensure compliance with the Reliability Standards by those PPL affiliates subject to the standards, certain other instances of potential non-compliance may be identified from time to time. The Registrants cannot predict the outcome of these matters, and cannot estimate a range of reasonably possible losses, if any. | ||||||||||
In October 2012, the FERC initiated its consideration of proposed changes to Reliability Standards to address the impacts of geomagnetic disturbances on the reliable operation of the bulk-power system, which might, among other things, lead to a requirement to install equipment that blocks geomagnetically induced currents on implicated transformers. On May 16, 2013, FERC issued Order No. 779, requiring NERC to submit two types of Reliability Standards for FERC's approval. The first type would require certain owners and operators of the nation's electricity infrastructure, such as the Registrants, to develop and implement operational procedures to mitigate the effects of geomagnetic disturbances on the bulk-power system. This NERC proposed standard was filed by NERC with FERC for approval in January 2014, and was approved on June 19, 2014. The second type is to require owners and operators of the bulk-power system to assess certain geomagnetic disturbance events and develop and implement plans to protect the bulk-power system from those events. This proposal was filed by NERC with FERC for approval by January 22, 2015 and is pending consideration by FERC. The Registrants may be required to make significant expenditures in new equipment or modifications to their facilities to comply with the new requirements. The Registrants are unable to predict the amount of any expenditures that may be required as a result of the adoption of any Reliability Standards for geomagnetic disturbances. | ||||||||||
Environmental Matters - Domestic | ||||||||||
(All Registrants) | ||||||||||
Due to the environmental issues discussed below or other environmental matters, it may be necessary for the Registrants to modify, curtail, replace or cease operation of certain facilities or performance of certain operations to comply with statutes, regulations and other requirements of regulatory bodies or courts. In addition, legal challenges to new environmental permits or rules add to the uncertainty of estimating the future cost of these permits and rules. | ||||||||||
LG&E and KU are entitled to recover, through the ECR mechanism, certain costs of complying with the Clean Air Act, as amended, and those federal, state or local environmental requirements applicable to coal combustion wastes and by-products from facilities that generate electricity from coal in accordance with approved compliance plans. Costs not covered by the ECR mechanism for LG&E and KU and all such costs for PPL Electric are subject to rate recovery before the companies' respective state regulatory authorities, or the FERC, if applicable. Because PPL Electric does not own any generating plants, its exposure to related environmental compliance costs is reduced. As PPL Energy Supply is not a rate-regulated entity, it cannot seek to recover environmental compliance costs through the mechanism of rate recovery. PPL, PPL Electric, LKE, LG&E and KU can provide no assurances as to the ultimate outcome of future environmental or rate proceedings before regulatory authorities. | ||||||||||
(All Registrants except PPL Electric) | ||||||||||
Air | ||||||||||
CSAPR | ||||||||||
The EPA's CSAPR addresses the interstate transport of fine particulates and ozone. In accordance with an October 2014 U.S. Court of Appeals decision, CSAPR establishes interstate allowance trading programs for sulfur dioxide and nitrogen oxide emissions from fossil-fueled plants in two phases: Phase 1 commenced in January 2015 and Phase 2 commences in 2017. Sulfur dioxide emissions are subject to an annual trading program and nitrogen oxide emissions are subject to annual and ozone season programs. Oral arguments pertaining to outstanding challenges to the EPA's CSAPR will be heard before the D.C. Circuit Court on February 25, 2015. | ||||||||||
Although PPL, PPL Energy Supply, LKE, LG&E and KU do not anticipate significant costs to comply with these programs, changes in market or operating conditions could result in impacts that are higher than anticipated. | ||||||||||
National Ambient Air Quality Standards | ||||||||||
In 2008, the EPA revised the National Ambient Air Quality Standard for ozone. As a result, states in the ozone transport region (OTR), including Pennsylvania, are required by the Clean Air Act to impose additional reductions in nitrogen oxide emissions based upon reasonably available control technologies. The PADEP is expected to finalize a rule in early 2015 requiring nitrogen oxide reductions for fossil-fueled plants. The EPA proposed to further strengthen the ozone standard in November 2014, which could lead to further nitrogen oxide reductions, particularly for PPL, PPL Energy Supply, LKE, LG&E, and KU fossil-fueled plants within the OTR. The EPA is under court order to finalize the standard by October 1, 2015. States are also obligated to address interstate transport issues associated with new ozone standards through the establishment of "good neighbor" state implementation plans for those states that are found to contribute significantly to another states' non-attainment. The EPA recently sent a policy memo to state agencies to facilitate the development of these plans, including modeling data showing which states are contributing. The implementation of such plans could have an impact on the structure and stringency of CSAPR Phase 2 reductions (discussed above). | ||||||||||
In 2010, the EPA finalized a new National Ambient Air Quality Standard for sulfur dioxide and required states to identify areas that meet those standards and areas that are in "non-attainment". In July 2013, the EPA finalized non-attainment designations for parts of the country, including part of Yellowstone County in Montana (Billings area) and part of Jefferson County in Kentucky. Attainment must be achieved by 2018. States are working to finalize designations for other areas and in April 2014, the EPA proposed timeframes for completing these designations. PPL, PPL Energy Supply, LKE, LG&E and KU anticipate that some of the measures required for compliance with the CSAPR (as discussed above), or the MATS, or the Regional Haze Rules (as discussed below), such as upgraded or new sulfur dioxide scrubbers at certain plants and, in the case of LG&E and KU, the previously announced retirement of coal-fired generating units at the Cane Run, Green River and Tyrone plants, will help to achieve compliance with the new sulfur dioxide standard. If additional reductions were to be required, the financial impact could be significant. The short-term impact on the Corette plant from the EPA's final designation of part of Yellowstone County in Montana as non-attainment (as noted above) is not expected to be significant, as the plant's operations will be suspended by April 2015 and the plant is expected to be retired in August 2015. In addition, MDEQ recently submitted a request to the EPA for a determination that this area is in attainment. If the EPA agrees with this request, then the deadlines associated with non-attainment would be suspended. | ||||||||||
In December 2012, the EPA issued final rules that tighten the annual National Ambient Air Quality Standard for fine particulates. The rules were challenged by industry groups, and in May 2014 the D.C. Circuit Court upheld them. On January 15, 2015, the EPA published a final rule establishing area designations under the standard. Non-attainment areas in Pennsylvania and Kentucky were identified. PPL Energy Supply plants in Pennsylvania are not expected to be required to make further reductions towards achieving attainment. In Kentucky, mitigation in Jefferson County is expected to be supported by projects already underway at Cane Run and Mill Creek and in Northern Kentucky by projects at Ghent and Trimble County. States have until 2021 to achieve attainment in non-attainment areas. | ||||||||||
Until final rules are promulgated, non-attainment designations are finalized and state compliance plans are developed, PPL, PPL Energy Supply, LKE, LG&E and KU cannot predict the ultimate outcome of the new National Ambient Air Quality standards for ozone, sulfur dioxide and particulate matter. | ||||||||||
MATS | ||||||||||
In February 2012, the EPA finalized the MATS rule requiring reductions of mercury and other hazardous air pollutants from fossil-fuel fired power plants, known as the MATS, with an effective date of April 16, 2012. The rule was challenged by industry groups and states and was upheld by the D.C. Circuit Court, in April 2014. On November 25, 2014, the U.S. Supreme Court granted a petition for review of the rule. The rule provides for a three-year compliance deadline with the potential for a one-year extension as provided under the statute. LG&E, KU and PPL Energy Supply have received compliance extensions for certain plants. | ||||||||||
At the time the MATS rule was proposed, LG&E and KU filed requests with the KPSC for environmental cost recovery based on their expected need to install environmental controls including chemical additive and fabric-filter baghouses to remove air pollutants. Recovery of the cost of certain controls was granted by the KPSC in December 2011. LG&E's and KU's anticipated retirement of certain coal-fired electricity generating units located at Cane Run and Green River is in response to MATS and other environmental regulations. The retirement of these units is not expected to have a material impact on the financial condition or results of operations of PPL, LKE, LG&E or KU. | ||||||||||
With respect to PPL Energy Supply's Pennsylvania plants, PPL Energy Supply believes that installation of chemical additive systems and other controls may be necessary at certain coal-fired plants, the capital cost of which is not expected to be significant. PPL Energy Supply continues to analyze the potential impact of MATS on operating costs. With respect to PPL Energy Supply's Montana plants, modifications to the air pollution controls installed at Colstrip are required, the cost of which is not expected to be significant. Operations will be suspended at the Corette plant by April 2015 and the plant is expected to be retired in August 2015 due to expected market conditions and the costs to comply with the MATS requirements. The Corette plant asset group was determined to be impaired in December 2013. See Note 16 for additional information. | ||||||||||
PPL Energy Supply, LG&E and KU are conducting in-depth reviews of the EPA's recent amendments to the final rule and certain proposed corrections, none of which are currently expected to be significant. | ||||||||||
Regional Haze and Visibility | ||||||||||
The EPA's regional haze programs were developed under the Clean Air Act to eliminate man-made visibility degradation by 2064. Under the programs, states are required to make reasonable progress every decade through the application, among other things, of Best Available Retrofit Technology (BART) on power plants commissioned between 1962 and 1977. | ||||||||||
The primary power plant emissions affecting visibility are sulfur dioxide, nitrogen oxides and particulates. To date, the focus of regional haze regulation has been the western U.S. As for the eastern U.S., the EPA had determined that region-wide reductions under the CSAPR trading program could, in most instances, be utilized under state programs to satisfy BART requirements for sulfur dioxide and nitrogen oxides. However, the EPA's determination is being challenged by environmental groups and others. | ||||||||||
LG&E's Mill Creek Units 3 and 4 are required to reduce sulfuric acid mist emissions because they were determined to have a significant regional haze impact. These reductions are required in the regional haze state implementation plan that the Kentucky Division for Air Quality submitted to the EPA. LG&E is currently installing sorbent injection technology to comply with these reductions, the costs of which are not expected to be significant. | ||||||||||
In Montana, the EPA Region 8 developed the regional haze plan as the MDEQ declined to do so. The EPA finalized the Federal Implementation Plan (FIP) for Montana in September 2012. The final FIP assumed no additional controls for Corette or Colstrip Units 3 and 4, but proposed stricter limits for Corette and Colstrip Units 1 and 2. PPL Energy Supply is meeting these stricter permit limits at Corette without any significant changes to operations, although other requirements have led to the planned suspension of operations at Corette by April 2015 (see "MATS" discussion above). Under the final FIP, Colstrip Units 1 and 2 may require additional controls, including the possible installation of an SNCR and other technology, to meet more stringent nitrogen oxides and sulfur dioxide limits. The cost of these potential additional controls, if required, could be significant. Both PPL and environmental groups have appealed the final FIP to the U.S. Court of Appeals for the Ninth Circuit, oral argument was heard in May 2014, and the parties are awaiting a decision. | ||||||||||
New Source Review (NSR) | ||||||||||
The EPA has continued its NSR enforcement efforts targeting coal-fired generating plants. The EPA has asserted that modification of these plants has increased their emissions and, consequently, that they are subject to stringent NSR requirements under the Clean Air Act. In April 2009, PPL received EPA information requests for its Montour and Brunner Island plants, but has received no further communications from the EPA since providing its responses. In January 2009, PPL, PPL Energy Supply and other companies that own or operate the Keystone plant in Pennsylvania received a notice of violation from the EPA alleging that certain projects were undertaken without proper NSR compliance. The companies responded to the EPA and the matter remains open. In May and November 2012, PPL Montana received information requests from the EPA regarding projects undertaken during a Spring 2012 maintenance outage at Colstrip Unit 1. The EPA requests remain an open matter. In September 2012, PPL Montana received an information request from the MDEQ regarding Colstrip Unit 1 and other projects. MDEQ formally suspended this request on June 6, 2014 in consideration of pending litigation (see "Legal Matters - Sierra Club Litigation" above). PPL and PPL Energy Supply cannot predict the outcome of these matters, and cannot estimate a range of reasonably possible losses, if any. | ||||||||||
States and environmental groups also have commenced litigation alleging violations of the NSR regulations by coal-fired generating plants across the nation. See "Legal Matters" above for information on a lawsuit filed by environmental groups in March 2013 against PPL Montana and other owners of Colstrip. | ||||||||||
If PPL subsidiaries are found to have violated NSR regulations by significantly increasing pollutants through a major plant modification, PPL, PPL Energy Supply, LKE, LG&E and KU would, among other things, be required to meet stringent permit limits reflecting Best Available Control Technology (BACT) for pollutants meeting the National Ambient Air Quality Standards (NAAQS) in the area and reflecting Lowest Achievable Emission Rates for pollutants not meeting the NAAQS in the area. The costs to meet such limits, including installation of technology at certain units, could be material. | ||||||||||
TC2 Air Permit (PPL, LKE, LG&E and KU) | ||||||||||
The Sierra Club and other environmental groups petitioned the Kentucky Environmental and Public Protection Cabinet to overturn the air permit issued for the TC2 baseload coal-fired generating unit, but the agency upheld the permit in an order issued in September 2007. In response to subsequent petitions by environmental groups, the EPA ordered certain non-material changes to the permit which, in January 2010, were incorporated into a final revised permit issued by the Kentucky Division for Air Quality. In March 2010, the environmental groups petitioned the EPA to object to the revised state permit. Until the EPA issues a final ruling on the pending petition and all available appeals are exhausted, PPL, LKE, LG&E and KU cannot predict the outcome of this matter or the potential impact on plant operations, including increased capital costs, if any. | ||||||||||
Climate Change | ||||||||||
(All Registrants) | ||||||||||
As a result of the April 2007 U.S. Supreme Court decision that the EPA has authority under the Clean Air Act to regulate carbon dioxide emissions from new motor vehicles, in April 2010 the EPA and the U.S. Department of Transportation issued new light-duty vehicle emissions standards that applied beginning with 2012 model year vehicles. The EPA also clarified that this standard, beginning in 2011, authorized regulation of carbon dioxide emissions from stationary sources under the NSR and Title V operating permit provisions of the Clean Air Act. The EPA's rules were challenged in court and on June 23, 2014 the U.S. Supreme Court ruled that the EPA has the authority to regulate carbon dioxide emissions under these provisions of the Clean Air Act but only for stationary sources that would otherwise have been subject to these provisions due to significant increases in emissions of other pollutants. As a result, any new sources or major modifications to an existing GHG source causing a net significant increase in carbon dioxide emissions must comply with BACT permit limits for carbon dioxide if it would otherwise be subject to BACT or lowest achievable emissions rate limits due to significant increases in other pollutants. | ||||||||||
In June 2013, President Obama released his Climate Action Plan that reiterates the goal of reducing GHG emissions in the U.S. "in the range of" 17% below 2005 levels by 2020 through such actions as regulating power plant emissions, promoting increased use of renewables and clean energy technology, and establishing more restrictive energy efficiency standards. Additionally, the Climate Action Plan calls for the U.S. to prepare for the impacts of climate change. Requirements related to this could affect the Registrants and others in the industry as modifications may be needed to electricity delivery systems to improve the ability to withstand major storms in order to meet those requirements. As further described above, the EPA has proposed rules pursuant to this directive, which it expects to finalize in the second or third quarter of 2015. The EPA has also announced that it will be developing a federal implementation plan which would apply to any states that fail to submit an acceptable state implementation plan. The Administration's increase in its estimate of the "social cost of carbon" (which is used to calculate benefits associated with proposed regulations) from $23.8 to $38 per metric ton for 2015 may also lead to more costly regulatory requirements. | ||||||||||
In January 2014, the EPA issued a revised proposal to regulate carbon dioxide emissions from new power plants. The revised proposal calls for separate emission standards for coal and gas units based on the application of different technologies. The coal standard is based on the application of partial carbon capture and sequestration technology, but because this technology is not presently commercially available, the revised proposal effectively precludes the construction of new coal-fired plants. The standard for NGCC power plants is the same as the EPA proposed in 2012 and is not continuously achievable. The preclusion of new coal-fired plants and the compliance difficulties posed for new gas-fired plants could have a significant industry-wide impact. | ||||||||||
The EPA has also issued proposed regulations addressing carbon dioxide emissions from existing power plants. The existing plant proposal contains state-specific rate-based reduction goals and guidelines for the development, submission and implementation of state plans to achieve the state goals. State-specific goals were calculated from 2012 data by applying EPA's broad interpretation and definition of the Best System of Emission Reduction resulting in stringent targets to be met in two phases (2020-2029 and 2030 and beyond). The regulation of carbon dioxide emissions from existing power plants could have a significant industry-wide impact depending on the structure and stringency of the final rule and state implementation plans. | ||||||||||
In June 2014, the EPA also proposed a regulation addressing carbon dioxide emissions from existing power plants that are modified or reconstructed. The Registrants, however, do not expect a significant impact from this rulemaking as there are no plans to modify or reconstruct their existing plants in a manner that would trigger the proposed requirements. | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
Based on the stringent GHG reduction requirements in the EPA's proposed rule for existing plants, and based on information gained from public input, the PADEP is no longer expecting to achieve all required GHG reductions by solely increasing efficiency at existing fossil-fuel plants and/or reducing their generation as set forth in the PADEP's April 10, 2014 white paper. On October 23, 2014, the Governor of Pennsylvania signed into law Act 175 of 2014, requiring the PADEP to obtain General Assembly approval of any state plan addressing GHG emissions under the EPA's GHG rules for existing plants. The law includes provisions to minimize the exposure to a federal implementation plan due to legislative delay. | ||||||||||
The MDEQ, at the request of the Governor of Montana, has issued a white paper outlining possible regulatory scenarios to implement the EPA's proposed GHG rule for existing plants, including a combination of increasing energy efficiency at coal-fired plants, adding more low- and zero-carbon generation, and carbon sequestration at Colstrip. The white paper was made public in September 2014 and the MDEQ has held public meetings to present the white paper and gather comments. Legislation is also being drafted which would require legislative approval of any related plan formulated by MDEQ. PPL and PPL Energy Supply cannot predict the outcome of this legislation. | ||||||||||
(PPL, LKE, LG&E and KU) | ||||||||||
In April 2014, the Kentucky General Assembly passed legislation which limits the measures that the Kentucky Energy and Environment Cabinet may consider in setting performance standards to comply with the EPA's regulations governing GHG emissions from existing sources. The legislation provides that such state GHG performance standards shall be based on emission reductions, efficiency measures, and other improvements available at each power plant, rather than renewable energy, end-use energy efficiency, fuel switching and re-dispatch. These statutory restrictions may make it more difficult for Kentucky to achieve the GHG reduction levels which the EPA has proposed for Kentucky. | ||||||||||
(All Registrants except PPL Electric) | ||||||||||
A number of lawsuits have been filed asserting common law claims including nuisance, trespass and negligence against various companies with GHG emitting plants and, although the decided cases to date have not sustained claims brought on the basis of these theories of liability, the law remains unsettled on these claims. In September 2009, the U.S. Court of Appeals for the Second Circuit in the case of AEP v. Connecticut reversed a federal district court's decision and ruled that several states and public interest groups, as well as the City of New York, could sue five electric utility companies under federal common law for allegedly causing a public nuisance as a result of their emissions of GHGs. In June 2011, the U.S. Supreme Court overturned the Second Circuit and held that such federal common law claims were displaced by the Clean Air Act and regulatory actions of the EPA. In addition, in Comer v. Murphy Oil (Comer case), the U.S. Court of Appeals for the Fifth Circuit (Fifth Circuit) declined to overturn a district court ruling that plaintiffs did not have standing to pursue state common law claims against companies that emit GHGs. The complaint in the Comer case named the previous indirect parent of LKE as a defendant based upon emissions from the Kentucky plants. In January 2011, the U.S. Supreme Court denied a petition to reverse the Fifth Circuit's ruling. In May 2011, the plaintiffs in the Comer case filed a substantially similar complaint in federal district court in Mississippi against 87 companies, including KU and three other indirect subsidiaries of LKE, under a Mississippi statute that allows the re-filing of an action in certain circumstances. In March 2012, the Mississippi federal district court granted defendants' motions to dismiss the state common law claims. Plaintiffs appealed to the U.S. Court of Appeals for the Fifth Circuit, and in May 2013, the Fifth Circuit affirmed the district court's dismissal of the case. Additional litigation in federal and state courts over such issues is continuing. The Registrants cannot predict the outcome of these lawsuits or estimate a range of reasonably possible losses, if any. | ||||||||||
In 2014 and 2013, PPL's power plants emitted approximately 62 million tons of carbon dioxide. The 2014 totals reflect 26 million tons from PPL Energy Supply's plants, and 18 million tons each from LG&E's and KU's generating fleets. All tons are U.S. short tons (2,000 pounds/ton). | ||||||||||
Renewable Energy Legislation | ||||||||||
(PPL, PPL Energy Supply and PPL Electric) | ||||||||||
In Pennsylvania, a co-sponsorship memo is being circulated with the stated intent of introducing legislation increasing AEPS solar and Tier 1 targets. PPL, PPL Energy Supply and PPL Electric cannot predict the outcome of this legislative effort. | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
In New Jersey, a bill (S-1475) has been introduced to increase the current Renewable Portfolio Standard (RPS) to 30% from Class I sources by 2020. The chairman of the Senate Environmental Committee convened a workgroup to look at further changes to New Jersey's RPS law to enable New Jersey to meet emissions goals established in the state's Global Warming Response Act. A bill (S-2444) was subsequently introduced to mandate that 80% of New Jersey's electricity be generated from renewable resources by 2050. PPL and PPL Energy Supply cannot predict the outcome of this legislation. | ||||||||||
(All Registrants) | ||||||||||
The Registrants believe there are financial, regulatory and operational uncertainties related to the implementation of renewable energy mandates that will need to be resolved before the impact of such requirements on them can be estimated. Such uncertainties, among others, include the need to provide back-up supply to augment intermittent renewable generation, potential generation over-supply and downward pressure on energy prices that could result from such renewable generation and back-up, impacts to PJM's capacity market and the need for substantial changes to transmission and distribution systems to accommodate renewable energy sources. These uncertainties are not directly addressed by proposed legislation. PPL and PPL Energy Supply cannot predict the effect on their competitive plants' future competitive position, results of operation, cash flows and financial position of renewable energy mandates that may be adopted, although the costs to implement and comply with any such requirements could be significant. | ||||||||||
Water/Waste | ||||||||||
Coal Combustion Residuals (CCRs) (All Registrants except PPL Electric) | ||||||||||
In June 2010, the EPA proposed two approaches to regulating the disposal and management of CCRs (as either hazardous or non-hazardous) under the RCRA. CCRs include fly ash, bottom ash and sulfur dioxide scrubber wastes. On December 19, 2014, the EPA issued its pre-publication version of the rule regulating coal combustion residuals (CCRs), imposing extensive new requirements, including location restrictions, design and operating standards, groundwater monitoring and corrective action requirements and closure and post-closure care requirements on CCR impoundments and landfills that are located on active power plants and are not closed. Under the rule the EPA will regulate CCRs as non-hazardous under Subtitle D of RCRA and allow beneficial use of CCRs, with some restrictions. The CCR Rule will become effective six months after publication in the Federal Register with publication expected in early 2015. This self-implementing rule requires posting of compliance documentation on a publically accessible website and is enforced through citizen suits. This new separate federal rule is expected to create conflicts with the existing state rules, permits, and compliance orders from the individual states. PPL expects that its plants using surface impoundments for management and disposal of CCRs or the past management of CCRs and continued use to manage waste waters will be most impacted by this rule. The rule's specific closure requirements for CCR impoundments and landfills may require increases to AROs for these facilities at the Registrants' coal-fired plants. | ||||||||||
PPL, PPL Energy Supply, LKE, LG&E and KU cannot predict how this rule will impact their facilities, but the financial and operational impact could be significant. | ||||||||||
Trimble County Landfill (PPL, LKE, LG&E and KU) | ||||||||||
In May 2011, LG&E submitted an application for a special waste landfill permit to handle CCRs generated at the Trimble County plant. After extensive review of the permit application in May 2013, the Kentucky Division of Waste Management denied the permit application on the grounds that the proposed facility would violate the Kentucky Cave Protection Act because it would eliminate an on-site karst feature considered to be a cave. After assessing additional options for managing coal combustion residuals, in January 2014, LG&E submitted to the Kentucky Division of Waste Management a landfill permit application for an alternate site adjacent to the plant. LG&E has also applied for other necessary regulatory approvals including a dredge and fill permit from the U.S. Army Corps of Engineers, in which proceeding the EPA has submitted certain comments or data requests to which LG&E and KU are responding. PPL, LKE, LG&E and KU are unable to determine the potential impact of this matter until all permits are issued and any resulting legal challenges are concluded. | ||||||||||
Seepages and Groundwater Infiltration - Pennsylvania, Montana and Kentucky | ||||||||||
(All Registrants except PPL Electric) | ||||||||||
Seepages or groundwater infiltration have been detected at active and retired wastewater basins and landfills at various PPL, PPL Energy Supply, LKE, LG&E and KU plants. PPL, PPL Energy Supply, LKE, LG&E and KU have completed or are completing assessments of seepages or groundwater infiltration at various facilities and have completed or are working with agencies to respond to notices of violations and implement assessment or abatement measures, where required or applicable. A range of reasonably possible losses cannot currently be estimated. | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
In August 2012, PPL Montana entered into an Administrative Order on Consent (AOC) with the MDEQ which establishes a comprehensive process to investigate and remediate groundwater seepage impacts related to the wastewater facilities at the Colstrip power plant. The AOC requires that within five years, PPL Montana provide financial assurance to the MDEQ for the costs associated with closure and future monitoring of the waste-water treatment facilities. PPL Montana cannot predict at this time if the actions required under the AOC will create the need to adjust the existing ARO related to these facilities. | ||||||||||
In September 2012, Earthjustice filed an affidavit pursuant to Montana's Major Facility Siting Act (MFSA) that sought review of the AOC by Montana's Board of Environmental Review (BER) on behalf of the Sierra Club, the MEIC and the National Wildlife Federation. In September 2012, PPL Montana filed an election with the BER to have this proceeding conducted in Montana state district court as contemplated by the MFSA. In October 2012, Earthjustice filed a petition for review of the AOC in the Montana state district court in Rosebud County. This matter was stayed in December 2012. In April 2014, Earthjustice filed a motion for leave to amend the petition for review and to lift the stay which was granted by the court in May 2014. PPL Montana and the MDEQ responded to the amended petition and filed partial motions to dismiss in July 2014, which were both denied in October 2014. Discovery is ongoing, and a bench trial is set for April 2016. | ||||||||||
(All Registrants except PPL Electric) | ||||||||||
Clean Water Act 316(b) | ||||||||||
The EPA's final 316(b) rule for existing facilities became effective on October 14, 2014, and regulates cooling water intake structures and their impact on aquatic organisms. States are allowed considerable authority to make site-specific determinations under the rule. The rule requires existing facilities to choose between several options to reduce the impact to aquatic organisms that become trapped against water intake screens (impingement) and to determine the intake structure's impact on aquatic organisms pulled through a plant's cooling water system (entrainment). Plants already equipped with closed-cycle cooling, an acceptable option, would likely not incur substantial costs. Once-through systems would likely require additional technology to comply with the rule. Mill Creek Unit 1 and Brunner Island (all units) are the only units expected to be impacted. PPL, PPL Energy Supply, LKE, LG&E and KU are evaluating compliance strategies but do not presently expect the compliance costs to be material. | ||||||||||
Effluent Limitations Guidelines (ELGs) and Standards | ||||||||||
In June 2013, the EPA published proposed regulations to revise discharge limitations for steam electric generation wastewater permits. The proposed limitations are based on the EPA review of available treatment technologies and their capacity for reducing pollutants and include new requirements for fly ash and bottom ash transport water and metal cleaning waste waters, as well as new limits for scrubber wastewater and landfill leachate. The EPA's proposed ELG regulations contain requirements that would affect the inspection and operation of CCR facilities if finalized as proposed. The EPA has indicated that it will coordinate these regulations with the regulation of CCRs discussed above. The proposal contains alternative approaches, some of which could significantly impact PPL's coal-fired plants. The final regulation is expected to be issued by the third or fourth quarter of 2015. At the present time, PPL, PPL Energy Supply, LKE, LG&E and KU are unable to predict the outcome of this matter or estimate a range of reasonably possible costs, but the costs could be significant. Pending finalization of the ELGs, certain states (including Pennsylvania and Kentucky) and environmental groups are proposing more stringent technology-based limits in permit renewals. Depending on the final limits imposed, the costs of compliance could be significant and costs could be imposed ahead of federal timelines. | ||||||||||
(All Registrants) | ||||||||||
Waters of the United States (WOTUS) | ||||||||||
On April 21, 2014, the EPA and the U.S. Army Corps of Engineers (Army Corps) published a proposed rule defining WOTUS that could greatly expand the federal government's interpretation of what constitutes WOTUS subject to regulation under the Clean Water Act. If the definition is expanded as proposed by the EPA and the Army Corps, permits and other regulatory requirements may be imposed for many matters presently not covered (including vegetation management for transmission lines and activities affecting storm water conveyances and wetlands), the implications of which could be significant. The EPA plans to make certain changes to the proposed regulation based on comments received. The U.S. House and Senate are considering legislation to block this regulation. Until a final rule is issued, the Registrants cannot predict the outcome of the pending rulemaking. | ||||||||||
Other Issues | ||||||||||
The EPA is reassessing its polychlorinated biphenyls (PCB) regulations under the Toxic Substance Control Act, which currently allow certain PCB articles to remain in use. In April 2010, the EPA issued an Advanced Notice of Proposed Rulemaking for changes to these regulations. This rulemaking could lead to a phase-out of all or some PCB-containing equipment. The EPA is planning to propose the revised regulations in 2015. PCBs are found, in varying degrees, in all of the Registrants' operations. The Registrants cannot predict at this time the outcome of these proposed EPA regulations and what impact, if any, they would have on their facilities, but the costs could be significant. | ||||||||||
(PPL and PPL Energy Supply) | ||||||||||
A subsidiary of PPL Energy Supply has investigated alternatives to exclude fish from the discharge channel at its Brunner Island plant. In June 2012, a Consent Order and Agreement (COA) with the PADEP was signed, allowing the subsidiary to study a change in a cooling tower operational method that may keep fish from entering the channel. The COA required a retrofit of impingement control technology at the intakes to the cooling towers, at a cost that would have been significant. Based on the results of the first year of study, the PADEP has suggested closing the COA and writing a new COA to resolve the issue. PPL is in negotiations with the agency at this time. PPL and PPL Energy Supply cannot predict at this time the outcome of the proposed new COA and what impact, if any, it would have on their facilities, but the costs could be significant. | ||||||||||
(PPL, LKE, LG&E and KU) | ||||||||||
In May 2010, the Kentucky Waterways Alliance and other environmental groups filed a petition with the Kentucky Energy and Environment Cabinet challenging the Kentucky Pollutant Discharge Elimination System permit issued in April 2010, which covers water discharges from the Trimble County plant. In November 2010, the Cabinet issued a final order upholding the permit. In December 2010, the environmental groups appealed the order to the Trimble Circuit Court, but the case was subsequently transferred to the Franklin Circuit Court. In September 2013, the court reversed the Cabinet order upholding the permit and remanded the permit to the agency for further proceedings. In October 2013, LG&E filed a notice of appeal with the Kentucky Court of Appeals. PPL, LKE, LG&E and KU are unable to predict the outcome of this matter or estimate a range of reasonably possible losses, if any. | ||||||||||
Superfund and Other Remediation (All Registrants) | ||||||||||
PPL Electric is potentially responsible for costs at several sites listed by the EPA under the federal Superfund program, including the Columbia Gas Plant site, the Metal Bank site and the Ward Transformer site. Clean-up actions have been or are being undertaken at all of these sites, the costs of which have not been significant to PPL Electric. However, should the EPA require different or additional measures in the future, or should PPL Electric's share of costs at multi-party sites increase substantially more than currently expected, the costs could be significant. | ||||||||||
PPL Electric, LG&E and KU are remediating or have completed the remediation of several sites that were not addressed under a regulatory program such as Superfund, but for which PPL Electric, LG&E and KU may be liable for remediation. These include a number of former coal gas manufacturing plants in Pennsylvania and Kentucky previously owned or operated or currently owned by predecessors or affiliates of PPL Electric, LG&E and KU. There are additional sites, formerly owned or operated by PPL Electric, LG&E and KU predecessors or affiliates, for which PPL Electric, LG&E and KU lack information on current site conditions and are therefore unable to predict what, if any, potential liability they may have. | ||||||||||
Depending on the outcome of investigations at sites where investigations have not begun or been completed or developments at sites for which PPL Electric, LG&E and KU currently lack information, the costs of remediation and other liabilities could be material. PPL, PPL Electric, LKE, LG&E and KU cannot estimate a range of reasonably possible losses, if any, related to these matters. | ||||||||||
The EPA is evaluating the risks associated with polycyclic aromatic hydrocarbons and naphthalene, chemical by-products of coal gas manufacturing. As a result of the EPA's evaluation, individual states may establish stricter standards for water quality and soil cleanup. This could require several PPL subsidiaries to take more extensive assessment and remedial actions at former coal gas manufacturing plants. PPL, PPL Electric, LKE, LG&E and KU cannot estimate a range of reasonably possible losses, if any, related to these matters. | ||||||||||
Under the Pennsylvania Clean Streams Law, subsidiaries of PPL Generation are obligated to remediate acid mine drainage at former mine sites and may be required to take additional steps to prevent potential acid mine drainage at previously capped refuse piles. One PPL Generation subsidiary was pumping mine water at two former mine sites and treating water at one of these sites. Another PPL Generation subsidiary has installed a passive wetlands treatment system at a third site. In December 2013, PPL Generation subsidiaries reached an agreement of sale for one of the two pumping mine sites and the passive wetlands treatment system at the third site. These sales were finalized in the fourth quarter of 2014 and responsibilities were transferred to the new owner. PPL Generation subsidiaries will no longer be responsible for operating and maintaining these two sites. At December 31, 2014, PPL Energy Supply had accrued a discounted liability of $19 million to cover the costs of pumping and treating groundwater at the remaining mine site for 50 years. PPL Energy Supply discounted this liability based on a risk-free rate of 8.41% at the time of the mine closure. Expected undiscounted payments are estimated to be insignificant for each of the years 2015 through 2019 and $93 million for work after 2019. | ||||||||||
From time to time, PPL Energy Supply, PPL Electric, LG&E and KU undertake remedial action in response to notices of violations, spills or other releases at various on-site and off-site locations, negotiate with the EPA and state and local agencies regarding actions necessary for compliance with applicable requirements, negotiate with property owners and other third parties alleging impacts from PPL's operations and undertake similar actions necessary to resolve environmental matters that arise in the course of normal operations. Based on analyses to date, resolution of these environmental matters is not expected to have a significant adverse impact on these Registrants' operations. | ||||||||||
Future cleanup or remediation work at sites currently under review, or at sites not currently identified, may result in significant additional costs for the Registrants. | ||||||||||
Environmental Matters - WPD (PPL) | ||||||||||
WPD's distribution businesses are subject to environmental regulatory and statutory requirements. PPL believes that WPD has taken and continues to take measures to comply with the applicable laws and governmental regulations for the protection of the environment. | ||||||||||
Other | ||||||||||
Nuclear Insurance (PPL and PPL Energy Supply) | ||||||||||
The Price-Anderson Act is a United States Federal law governing liability-related issues and ensures the availability of funds for public liability claims arising from an incident at any U.S.-licensed nuclear facility. It also seeks to limit the liability of nuclear reactor owners for such claims from any single incident. At December 31, 2014, the liability limit per incident is $13.6 billion for such claims which is funded by insurance coverage from American Nuclear Insurers and an industry assessment program. | ||||||||||
Under the industry assessment program, in the event of a nuclear incident at any of the reactors covered by The Price-Anderson Act, as amended, PPL Susquehanna could be assessed up to $255 million per incident, payable at $38 million per year. | ||||||||||
Additionally, PPL Susquehanna purchases property insurance programs from NEIL, an industry mutual insurance company of which PPL Susquehanna is a member. At December 31, 2014, facilities at the Susquehanna plant are insured against property damage losses up to $2.0 billion. PPL Susquehanna also purchases an insurance program that provides coverage for the cost of replacement power during prolonged outages of nuclear units caused by certain specified conditions. | ||||||||||
Under the NEIL property and replacement power insurance programs, PPL Susquehanna could be assessed retrospective premiums in the event of the insurers’ adverse loss experience. This maximum assessment is $46 million. | ||||||||||
Labor Union Agreements | ||||||||||
(PPL, PPL Energy Supply and PPL Electric) | ||||||||||
In May 2014, PPL's, PPL Energy Supply's and PPL Electric's bargaining agreement with its largest IBEW local expired. PPL, PPL Energy Supply and PPL Electric finalized a new three-year labor agreement with IBEW local 1600 in May 2014 and the agreement was ratified in early June 2014. | ||||||||||
As part of efforts to reduce operations and maintenance expenses, the new agreement offered a one-time voluntary retirement window to certain bargaining unit employees. The benefits offered under this provision are consistent with the standard separation program benefits for bargaining unit employees. At December 31, 2014, the following total separation benefits were recorded. | ||||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Pension Benefits | $ | 13 | $ | 11 | $ | 2 | ||||
Severance Compensation | 7 | 6 | 1 | |||||||
Total Separation Benefits | $ | 20 | $ | 17 | $ | 3 | ||||
Number of Employees | 123 | 105 | 17 | |||||||
The separation benefits are included in "Other operation and maintenance" on the Statement of Income. The liability for pension benefits is included in "Accrued pension obligations" on the Balance Sheet at December 31, 2014. All of the severance compensation was paid in 2014. The remaining terms of the new labor agreement are not expected to have a significant impact on the financial results of PPL, PPL Energy Supply or PPL Electric. | ||||||||||
Guarantees and Other Assurances | ||||||||||
(All Registrants) | ||||||||||
In the normal course of business, the Registrants enter into agreements that provide financial performance assurance to third parties on behalf of certain subsidiaries. Such agreements include, for example, guarantees, stand-by letters of credit issued by financial institutions and surety bonds issued by insurance companies. These agreements are entered into primarily to support or enhance the creditworthiness attributed to a subsidiary on a stand-alone basis or to facilitate the commercial activities in which these subsidiaries engage. | ||||||||||
(PPL) | ||||||||||
PPL fully and unconditionally guarantees all of the debt securities of PPL Capital Funding, a wholly owned finance subsidiary of PPL. | ||||||||||
(All Registrants) | ||||||||||
The table below details guarantees provided as of December 31, 2014. "Exposure" represents the estimated maximum potential amount of future payments that could be required to be made under the guarantee. The probability of expected payment/performance under each of these guarantees is remote except for "WPD guarantee of pension and other obligations of unconsolidated entities", "Indemnifications for sales of assets" and "Indemnification of lease termination and other divestitures." The total recorded liability at December 31, 2014 was $38 million for PPL, $13 million for PPL Energy Supply and $19 million for LKE. The total recorded liability at December 31, 2013 was $26 million for PPL and $19 million for LKE. For reporting purposes, on a consolidated basis, all guarantees of PPL Energy Supply (other than the letters of credit), PPL Electric, LKE, LG&E and KU also apply to PPL, and all guarantees of LG&E and KU also apply to LKE. | ||||||||||
Exposure at | Expiration | |||||||||
December 31, 2014 | Date | |||||||||
PPL | ||||||||||
Indemnifications related to the WPD Midlands acquisition | (a) | |||||||||
WPD indemnifications for entities in liquidation and sales of assets | $ | 12 | (b) | 2018 | ||||||
WPD guarantee of pension and other obligations of unconsolidated entities | 119 | (c) | ||||||||
PPL Energy Supply | ||||||||||
Letters of credit issued on behalf of affiliates | 25 | (d) | 2015 - 2016 | |||||||
Indemnifications for sales of assets | 1,150 | (e) | 2016 - 2025 | |||||||
PPL Electric | ||||||||||
Guarantee of inventory value | 34 | (f) | 2017 | |||||||
LKE | ||||||||||
Indemnification of lease termination and other divestitures | 301 | (g) | 2021 - 2023 | |||||||
LG&E and KU | ||||||||||
LG&E and KU guarantee of shortfall related to OVEC | (h) | |||||||||
(a) Indemnifications related to certain liabilities, including a specific unresolved tax issue and those relating to properties and assets owned by the seller that were transferred to WPD Midlands in connection with the acquisition. A cross indemnity has been received from the seller on the tax issue. The maximum exposure and expiration of these indemnifications cannot be estimated because the maximum potential liability is not capped and the expiration date is not specified in the transaction documents. | ||||||||||
(b) Indemnification to the liquidators and certain others for existing liabilities or expenses or liabilities arising during the liquidation process. The indemnifications are limited to distributions made from the subsidiary to its parent either prior or subsequent to liquidation or are not explicitly stated in the agreements. The indemnifications generally expire two to seven years subsequent to the date of dissolution of the entities. The exposure noted only includes those cases where the agreements provide for specific limits. | ||||||||||
In connection with their sales of various businesses, WPD and its affiliates have provided the purchasers with indemnifications that are standard for such transactions, including indemnifications for certain pre-existing liabilities and environmental and tax matters or have agreed to continue their obligations under existing third-party guarantees, either for a set period of time following the transactions or upon the condition that the purchasers make reasonable efforts to terminate the guarantees. Finally, WPD and its affiliates remain secondarily responsible for lease payments under certain leases that they have assigned to third parties. | ||||||||||
(c) Relates to certain obligations of discontinued or modified electric associations that were guaranteed at the time of privatization by the participating members. Costs are allocated to the members and can be reallocated if an existing member becomes insolvent. At December 31, 2014, WPD has recorded an estimated discounted liability for which the expected payment/performance is probable. Neither the expiration date nor the maximum amount of potential payments for certain obligations is explicitly stated in the related agreements, and as a result, the exposure has been estimated. | ||||||||||
(d) Standby letter of credit arrangements under PPL Energy Supply's credit facilities for the purposes of protecting various third parties against nonperformance by PPL. This is not a guarantee by PPL on a consolidated basis. | ||||||||||
(e) Indemnifications are governed by the specific sales agreement and include breach of the representations, warranties and covenants, and liabilities for certain other matters. PPL Energy Supply's maximum exposure with respect to certain indemnifications and the expiration of the indemnifications cannot be estimated because the maximum potential liability is not capped by the transaction documents and the expiration date is based on the applicable statute of limitations. The exposure and expiration date noted is based on those cases in which the agreements provide for specific limits. The exposure at December 31, 2014 includes amounts related to the sale of the Montana Hydroelectric facilities. See Note 8 for additional information related to the sale. | ||||||||||
(f) A third party logistics firm provides inventory procurement and fulfillment services. The logistics firm has title to the inventory, however, upon termination of the contracts, PPL Electric has guaranteed to purchase any remaining inventory that has not been used or sold. | ||||||||||
(g) LKE provides certain indemnifications, the most significant of which relate to the termination of the WKE lease in July 2009. These guarantees cover the due and punctual payment, performance and discharge by each party of its respective present and future obligations. The most comprehensive of these WKE-related guarantees is the LKE guarantee covering operational, regulatory and environmental commitments and indemnifications made by WKE under the WKE Transaction Termination Agreement. This guarantee has a term of 12 years ending July 2021, and a cumulative maximum exposure of $200 million. Certain items such as government fines and penalties fall outside the cumulative cap. Another WKE-related LKE guarantee covers other indemnifications, has a term expiring in 2023 and a maximum exposure of $100 million. In May 2012, LKE's indemnitee received an unfavorable arbitration panel's decision interpreting this matter, which granted LKE’s indemnitee certain rights of first refusal to purchase excess power at a market-based price rather than at an absolute fixed price. In January 2013, LKE's indemnitee commenced a proceeding in the Kentucky Court of Appeals appealing a December 2012 order of the Henderson Circuit Court, confirming the arbitration award. In May 2014, the Court of Appeals issued an opinion affirming the lower court decision. LKE's indemnitee filed a Motion for Discretionary Review with the Kentucky Supreme Court on October 2, 2014. LKE believes its indemnification obligations in this matter remain subject to various uncertainties, including potential for additional legal challenges regarding the arbitration decision as well as future prices, availability and demand for the subject excess power. LKE continues to evaluate various legal and commercial options with respect to this indemnification matter. The ultimate outcomes of the WKE termination-related indemnifications cannot be predicted at this time. In the second quarter of 2012, LKE adjusted its estimated liability for the WKE-related indemnifications by $9 million ($5 million after-tax), which is reflected in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The adjustment was recorded in the Kentucky Regulated segment for PPL. Additionally, LKE has indemnified various third parties related to historical obligations for other divested subsidiaries and affiliates. The indemnifications vary by entity and the maximum exposures range from being capped at the sale price to no specified maximum; LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. However, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE cannot predict the ultimate outcomes of indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | ||||||||||
(h) Pursuant to the OVEC power purchase contract, LG&E and KU are obligated to pay for their share of OVEC's excess debt service, post-retirement and decommissioning costs, as well as any shortfall from amounts currently included within a demand charge designed and currently expected to cover these costs over the term of the contract. LKE's proportionate share of OVEC's outstanding debt was $125 million at December 31, 2014, consisting of LG&E's share of $87 million and KU's share of $38 million. The maximum exposure and the expiration date of these potential obligations are not presently determinable. See "Energy Purchase Commitments" above for additional information on the OVEC power purchase contract. | ||||||||||
The Registrants provide other miscellaneous guarantees through contracts entered into in the normal course of business. These guarantees are primarily in the form of indemnification or warranties related to services or equipment and vary in duration. The amounts of these guarantees often are not explicitly stated, and the overall maximum amount of the obligation under such guarantees cannot be reasonably estimated. Historically, no significant payments have been made with respect to these types of guarantees and the probability of payment/performance under these guarantees is remote. | ||||||||||
PPL, on behalf of itself and certain of its subsidiaries, maintains insurance that covers liability assumed under contract for bodily injury and property damage. The coverage provides maximum aggregate coverage of $225 million. This insurance may be applicable to obligations under certain of these contractual arrangements. |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Related Party Transactions | 14. Related Party Transactions | |||||||||||
PLR Contracts/Purchase of Accounts Receivable (PPL Energy Supply and PPL Electric) | ||||||||||||
PPL Electric holds competitive solicitations for PLR generation supply. PPL EnergyPlus has been awarded a portion of the PLR generation supply through these competitive solicitations. The sales and purchases between PPL EnergyPlus and PPL Electric are included in the Statements of Income as "Unregulated wholesale energy to affiliate" by PPL Energy Supply and as "Energy purchases from affiliate" by PPL Electric. | ||||||||||||
Under the standard Default Service Supply Master Agreement for the solicitation process, PPL Electric requires all suppliers to post collateral once credit exposures exceed defined credit limits. PPL EnergyPlus is required to post collateral with PPL Electric when: (a) the market price of electricity to be delivered by PPL EnergyPlus exceeds the contract price for the forecasted quantity of electricity to be delivered and (b) this market price exposure exceeds a contractual credit limit. During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. As a result of the downgrade of PPL Energy Supply, as guarantor, PPL EnergyPlus no longer has an established credit limit. At December 31, 2014, PPL EnergyPlus was not required to post collateral. In no instance is PPL Electric required to post collateral to suppliers under these supply contracts. | ||||||||||||
PPL Electric's customers may choose an alternative supplier for their generation supply. See Note 1 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | ||||||||||||
At December 31, 2014, PPL Energy Supply had a net credit exposure of $25 million from PPL Electric from its commitment as a PLR supplier and from the sale of its accounts receivable to PPL Electric. | ||||||||||||
Wholesale Sales and Purchases (LG&E and KU) | ||||||||||||
LG&E and KU jointly dispatch their generation units with the lowest cost generation used to serve their retail customers. When LG&E has excess generation capacity after serving its own retail customers and its generation cost is lower than that of KU, KU purchases electricity from LG&E. When KU has excess generation capacity after serving its own retail customers and its generation cost is lower than that of LG&E, LG&E purchases electricity from KU. These transactions are reflected in the Statements of Income as "Electric revenue from affiliate" and "Energy purchases from affiliate" and are recorded at a price equal to the seller's fuel cost. Savings realized from such intercompany transactions are shared equally between both companies. The volume of energy each company has to sell to the other is dependent on its retail customers' needs and its available generation. | ||||||||||||
Support Costs (All Registrants except PPL) | ||||||||||||
Both PPL Services and LKS provide the respective PPL and LKE subsidiaries with administrative, management and support services. Where applicable, the costs of these services are charged to the respective subsidiaries as direct support costs. General costs that cannot be directly attributed to a specific subsidiary are allocated and charged to the respective subsidiaries as indirect support costs. PPL Services uses a three-factor methodology that includes the subsidiaries' invested capital, operation and maintenance expenses and number of employees to allocate indirect costs. LKS bases its indirect allocations on the subsidiaries' number of employees, total assets, revenues, number of customers and/or other statistical information. | ||||||||||||
PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
LG&E and KU also provide services to each other and to LKS. Billings between LG&E and KU relate to labor and overheads associated with union and hourly employees performing work for the other company, charges related to jointly-owned generating units and other miscellaneous charges. Tax settlements between LKE and LG&E and KU are reimbursed through LKS. | ||||||||||||
As a result of the anticipated spinoff of PPL Energy Supply, a centralized services company has been formed, PPL EU Services. Beginning in 2015, it will provide the majority of corporate functions such as financial, supply chain, human resources and information technology services to PPL Electric. Most of PPL EU Services' costs will be charged directly to PPL Electric, with limited amounts charged back to PPL Services and its affiliates. PPL Services will continue to provide certain limited corporate functions. | ||||||||||||
Intercompany Borrowings | ||||||||||||
(PPL Electric) | ||||||||||||
A PPL Electric subsidiary periodically holds revolving demand notes from certain affiliates. No balance was outstanding at December 31, 2014. At December 31, 2013, $150 million was outstanding and was reflected in “Notes receivable from affiliate” on the Balance Sheet. The interest rates on borrowings are equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013, was 1.92%. Interest earned on these revolving facilities was not significant for 2014, 2013 and 2012. | ||||||||||||
(LKE) | ||||||||||||
LKE maintains a revolving line of credit with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. In October 2013, the revolving line of credit was reduced by $75 million and the limit as of December 31, 2013 was $225 million. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At December 31, 2014, $41 million was outstanding and was reflected in "Notes payable with affiliates" on the Balance Sheet. No balance was outstanding at December 31, 2013. The interest rate on the outstanding borrowing at December 31, 2014 was 1.65%. Interest on the revolving line of credit was not significant for 2014, 2013 or 2012. | ||||||||||||
LKE maintains an agreement with a PPL affiliate that has a $300 million borrowing limit whereby LKE can loan funds on a short-term basis at market-based rates. No balance was outstanding at December 31, 2014. At December 31, 2013, $70 million was outstanding and was reflected in "Notes receivable from affiliates" on the Balance Sheet. The interest rate on the loan based on the PPL affiliate's credit rating is currently equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013 was 2.17%. Interest income on this note was not significant for 2014, 2013 or 2012. | ||||||||||||
Intercompany Derivatives (LKE, LG&E and KU) | ||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL. These hedging instruments have terms identical to forward-starting swaps entered into by PPL with third parties. See Note 17 for additional information on intercompany derivatives. | ||||||||||||
Other (All Registrants except PPL) | ||||||||||||
See Note 1 for discussions regarding the intercompany tax sharing agreement (for PPL Energy Supply, PPL Electric, LKE, LG&E and KU) and intercompany allocations of stock-based compensation expense (for PPL Energy Supply, PPL Electric and LKE). For PPL Energy Supply, PPL Electric, LG&E and KU, see Note 11 for discussions regarding intercompany allocations associated with defined benefits. | ||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Related Party Transactions | 14. Related Party Transactions | |||||||||||
PLR Contracts/Purchase of Accounts Receivable (PPL Energy Supply and PPL Electric) | ||||||||||||
PPL Electric holds competitive solicitations for PLR generation supply. PPL EnergyPlus has been awarded a portion of the PLR generation supply through these competitive solicitations. The sales and purchases between PPL EnergyPlus and PPL Electric are included in the Statements of Income as "Unregulated wholesale energy to affiliate" by PPL Energy Supply and as "Energy purchases from affiliate" by PPL Electric. | ||||||||||||
Under the standard Default Service Supply Master Agreement for the solicitation process, PPL Electric requires all suppliers to post collateral once credit exposures exceed defined credit limits. PPL EnergyPlus is required to post collateral with PPL Electric when: (a) the market price of electricity to be delivered by PPL EnergyPlus exceeds the contract price for the forecasted quantity of electricity to be delivered and (b) this market price exposure exceeds a contractual credit limit. During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. As a result of the downgrade of PPL Energy Supply, as guarantor, PPL EnergyPlus no longer has an established credit limit. At December 31, 2014, PPL EnergyPlus was not required to post collateral. In no instance is PPL Electric required to post collateral to suppliers under these supply contracts. | ||||||||||||
PPL Electric's customers may choose an alternative supplier for their generation supply. See Note 1 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | ||||||||||||
At December 31, 2014, PPL Energy Supply had a net credit exposure of $25 million from PPL Electric from its commitment as a PLR supplier and from the sale of its accounts receivable to PPL Electric. | ||||||||||||
Wholesale Sales and Purchases (LG&E and KU) | ||||||||||||
LG&E and KU jointly dispatch their generation units with the lowest cost generation used to serve their retail customers. When LG&E has excess generation capacity after serving its own retail customers and its generation cost is lower than that of KU, KU purchases electricity from LG&E. When KU has excess generation capacity after serving its own retail customers and its generation cost is lower than that of LG&E, LG&E purchases electricity from KU. These transactions are reflected in the Statements of Income as "Electric revenue from affiliate" and "Energy purchases from affiliate" and are recorded at a price equal to the seller's fuel cost. Savings realized from such intercompany transactions are shared equally between both companies. The volume of energy each company has to sell to the other is dependent on its retail customers' needs and its available generation. | ||||||||||||
Support Costs (All Registrants except PPL) | ||||||||||||
Both PPL Services and LKS provide the respective PPL and LKE subsidiaries with administrative, management and support services. Where applicable, the costs of these services are charged to the respective subsidiaries as direct support costs. General costs that cannot be directly attributed to a specific subsidiary are allocated and charged to the respective subsidiaries as indirect support costs. PPL Services uses a three-factor methodology that includes the subsidiaries' invested capital, operation and maintenance expenses and number of employees to allocate indirect costs. LKS bases its indirect allocations on the subsidiaries' number of employees, total assets, revenues, number of customers and/or other statistical information. | ||||||||||||
PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
LG&E and KU also provide services to each other and to LKS. Billings between LG&E and KU relate to labor and overheads associated with union and hourly employees performing work for the other company, charges related to jointly-owned generating units and other miscellaneous charges. Tax settlements between LKE and LG&E and KU are reimbursed through LKS. | ||||||||||||
As a result of the anticipated spinoff of PPL Energy Supply, a centralized services company has been formed, PPL EU Services. Beginning in 2015, it will provide the majority of corporate functions such as financial, supply chain, human resources and information technology services to PPL Electric. Most of PPL EU Services' costs will be charged directly to PPL Electric, with limited amounts charged back to PPL Services and its affiliates. PPL Services will continue to provide certain limited corporate functions. | ||||||||||||
Intercompany Borrowings | ||||||||||||
(PPL Electric) | ||||||||||||
A PPL Electric subsidiary periodically holds revolving demand notes from certain affiliates. No balance was outstanding at December 31, 2014. At December 31, 2013, $150 million was outstanding and was reflected in “Notes receivable from affiliate” on the Balance Sheet. The interest rates on borrowings are equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013, was 1.92%. Interest earned on these revolving facilities was not significant for 2014, 2013 and 2012. | ||||||||||||
(LKE) | ||||||||||||
LKE maintains a revolving line of credit with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. In October 2013, the revolving line of credit was reduced by $75 million and the limit as of December 31, 2013 was $225 million. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At December 31, 2014, $41 million was outstanding and was reflected in "Notes payable with affiliates" on the Balance Sheet. No balance was outstanding at December 31, 2013. The interest rate on the outstanding borrowing at December 31, 2014 was 1.65%. Interest on the revolving line of credit was not significant for 2014, 2013 or 2012. | ||||||||||||
LKE maintains an agreement with a PPL affiliate that has a $300 million borrowing limit whereby LKE can loan funds on a short-term basis at market-based rates. No balance was outstanding at December 31, 2014. At December 31, 2013, $70 million was outstanding and was reflected in "Notes receivable from affiliates" on the Balance Sheet. The interest rate on the loan based on the PPL affiliate's credit rating is currently equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013 was 2.17%. Interest income on this note was not significant for 2014, 2013 or 2012. | ||||||||||||
Intercompany Derivatives (LKE, LG&E and KU) | ||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL. These hedging instruments have terms identical to forward-starting swaps entered into by PPL with third parties. See Note 17 for additional information on intercompany derivatives. | ||||||||||||
Other (All Registrants except PPL) | ||||||||||||
See Note 1 for discussions regarding the intercompany tax sharing agreement (for PPL Energy Supply, PPL Electric, LKE, LG&E and KU) and intercompany allocations of stock-based compensation expense (for PPL Energy Supply, PPL Electric and LKE). For PPL Energy Supply, PPL Electric, LG&E and KU, see Note 11 for discussions regarding intercompany allocations associated with defined benefits. | ||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Related Party Transactions | 14. Related Party Transactions | |||||||||||
PLR Contracts/Purchase of Accounts Receivable (PPL Energy Supply and PPL Electric) | ||||||||||||
PPL Electric holds competitive solicitations for PLR generation supply. PPL EnergyPlus has been awarded a portion of the PLR generation supply through these competitive solicitations. The sales and purchases between PPL EnergyPlus and PPL Electric are included in the Statements of Income as "Unregulated wholesale energy to affiliate" by PPL Energy Supply and as "Energy purchases from affiliate" by PPL Electric. | ||||||||||||
Under the standard Default Service Supply Master Agreement for the solicitation process, PPL Electric requires all suppliers to post collateral once credit exposures exceed defined credit limits. PPL EnergyPlus is required to post collateral with PPL Electric when: (a) the market price of electricity to be delivered by PPL EnergyPlus exceeds the contract price for the forecasted quantity of electricity to be delivered and (b) this market price exposure exceeds a contractual credit limit. During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. As a result of the downgrade of PPL Energy Supply, as guarantor, PPL EnergyPlus no longer has an established credit limit. At December 31, 2014, PPL EnergyPlus was not required to post collateral. In no instance is PPL Electric required to post collateral to suppliers under these supply contracts. | ||||||||||||
PPL Electric's customers may choose an alternative supplier for their generation supply. See Note 1 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | ||||||||||||
At December 31, 2014, PPL Energy Supply had a net credit exposure of $25 million from PPL Electric from its commitment as a PLR supplier and from the sale of its accounts receivable to PPL Electric. | ||||||||||||
Wholesale Sales and Purchases (LG&E and KU) | ||||||||||||
LG&E and KU jointly dispatch their generation units with the lowest cost generation used to serve their retail customers. When LG&E has excess generation capacity after serving its own retail customers and its generation cost is lower than that of KU, KU purchases electricity from LG&E. When KU has excess generation capacity after serving its own retail customers and its generation cost is lower than that of LG&E, LG&E purchases electricity from KU. These transactions are reflected in the Statements of Income as "Electric revenue from affiliate" and "Energy purchases from affiliate" and are recorded at a price equal to the seller's fuel cost. Savings realized from such intercompany transactions are shared equally between both companies. The volume of energy each company has to sell to the other is dependent on its retail customers' needs and its available generation. | ||||||||||||
Support Costs (All Registrants except PPL) | ||||||||||||
Both PPL Services and LKS provide the respective PPL and LKE subsidiaries with administrative, management and support services. Where applicable, the costs of these services are charged to the respective subsidiaries as direct support costs. General costs that cannot be directly attributed to a specific subsidiary are allocated and charged to the respective subsidiaries as indirect support costs. PPL Services uses a three-factor methodology that includes the subsidiaries' invested capital, operation and maintenance expenses and number of employees to allocate indirect costs. LKS bases its indirect allocations on the subsidiaries' number of employees, total assets, revenues, number of customers and/or other statistical information. | ||||||||||||
PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
LG&E and KU also provide services to each other and to LKS. Billings between LG&E and KU relate to labor and overheads associated with union and hourly employees performing work for the other company, charges related to jointly-owned generating units and other miscellaneous charges. Tax settlements between LKE and LG&E and KU are reimbursed through LKS. | ||||||||||||
As a result of the anticipated spinoff of PPL Energy Supply, a centralized services company has been formed, PPL EU Services. Beginning in 2015, it will provide the majority of corporate functions such as financial, supply chain, human resources and information technology services to PPL Electric. Most of PPL EU Services' costs will be charged directly to PPL Electric, with limited amounts charged back to PPL Services and its affiliates. PPL Services will continue to provide certain limited corporate functions. | ||||||||||||
Intercompany Borrowings | ||||||||||||
(PPL Electric) | ||||||||||||
A PPL Electric subsidiary periodically holds revolving demand notes from certain affiliates. No balance was outstanding at December 31, 2014. At December 31, 2013, $150 million was outstanding and was reflected in “Notes receivable from affiliate” on the Balance Sheet. The interest rates on borrowings are equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013, was 1.92%. Interest earned on these revolving facilities was not significant for 2014, 2013 and 2012. | ||||||||||||
(LKE) | ||||||||||||
LKE maintains a revolving line of credit with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. In October 2013, the revolving line of credit was reduced by $75 million and the limit as of December 31, 2013 was $225 million. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At December 31, 2014, $41 million was outstanding and was reflected in "Notes payable with affiliates" on the Balance Sheet. No balance was outstanding at December 31, 2013. The interest rate on the outstanding borrowing at December 31, 2014 was 1.65%. Interest on the revolving line of credit was not significant for 2014, 2013 or 2012. | ||||||||||||
LKE maintains an agreement with a PPL affiliate that has a $300 million borrowing limit whereby LKE can loan funds on a short-term basis at market-based rates. No balance was outstanding at December 31, 2014. At December 31, 2013, $70 million was outstanding and was reflected in "Notes receivable from affiliates" on the Balance Sheet. The interest rate on the loan based on the PPL affiliate's credit rating is currently equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013 was 2.17%. Interest income on this note was not significant for 2014, 2013 or 2012. | ||||||||||||
Intercompany Derivatives (LKE, LG&E and KU) | ||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL. These hedging instruments have terms identical to forward-starting swaps entered into by PPL with third parties. See Note 17 for additional information on intercompany derivatives. | ||||||||||||
Other (All Registrants except PPL) | ||||||||||||
See Note 1 for discussions regarding the intercompany tax sharing agreement (for PPL Energy Supply, PPL Electric, LKE, LG&E and KU) and intercompany allocations of stock-based compensation expense (for PPL Energy Supply, PPL Electric and LKE). For PPL Energy Supply, PPL Electric, LG&E and KU, see Note 11 for discussions regarding intercompany allocations associated with defined benefits. | ||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Related Party Transactions | 14. Related Party Transactions | |||||||||||
PLR Contracts/Purchase of Accounts Receivable (PPL Energy Supply and PPL Electric) | ||||||||||||
PPL Electric holds competitive solicitations for PLR generation supply. PPL EnergyPlus has been awarded a portion of the PLR generation supply through these competitive solicitations. The sales and purchases between PPL EnergyPlus and PPL Electric are included in the Statements of Income as "Unregulated wholesale energy to affiliate" by PPL Energy Supply and as "Energy purchases from affiliate" by PPL Electric. | ||||||||||||
Under the standard Default Service Supply Master Agreement for the solicitation process, PPL Electric requires all suppliers to post collateral once credit exposures exceed defined credit limits. PPL EnergyPlus is required to post collateral with PPL Electric when: (a) the market price of electricity to be delivered by PPL EnergyPlus exceeds the contract price for the forecasted quantity of electricity to be delivered and (b) this market price exposure exceeds a contractual credit limit. During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. As a result of the downgrade of PPL Energy Supply, as guarantor, PPL EnergyPlus no longer has an established credit limit. At December 31, 2014, PPL EnergyPlus was not required to post collateral. In no instance is PPL Electric required to post collateral to suppliers under these supply contracts. | ||||||||||||
PPL Electric's customers may choose an alternative supplier for their generation supply. See Note 1 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | ||||||||||||
At December 31, 2014, PPL Energy Supply had a net credit exposure of $25 million from PPL Electric from its commitment as a PLR supplier and from the sale of its accounts receivable to PPL Electric. | ||||||||||||
Wholesale Sales and Purchases (LG&E and KU) | ||||||||||||
LG&E and KU jointly dispatch their generation units with the lowest cost generation used to serve their retail customers. When LG&E has excess generation capacity after serving its own retail customers and its generation cost is lower than that of KU, KU purchases electricity from LG&E. When KU has excess generation capacity after serving its own retail customers and its generation cost is lower than that of LG&E, LG&E purchases electricity from KU. These transactions are reflected in the Statements of Income as "Electric revenue from affiliate" and "Energy purchases from affiliate" and are recorded at a price equal to the seller's fuel cost. Savings realized from such intercompany transactions are shared equally between both companies. The volume of energy each company has to sell to the other is dependent on its retail customers' needs and its available generation. | ||||||||||||
Support Costs (All Registrants except PPL) | ||||||||||||
Both PPL Services and LKS provide the respective PPL and LKE subsidiaries with administrative, management and support services. Where applicable, the costs of these services are charged to the respective subsidiaries as direct support costs. General costs that cannot be directly attributed to a specific subsidiary are allocated and charged to the respective subsidiaries as indirect support costs. PPL Services uses a three-factor methodology that includes the subsidiaries' invested capital, operation and maintenance expenses and number of employees to allocate indirect costs. LKS bases its indirect allocations on the subsidiaries' number of employees, total assets, revenues, number of customers and/or other statistical information. | ||||||||||||
PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
LG&E and KU also provide services to each other and to LKS. Billings between LG&E and KU relate to labor and overheads associated with union and hourly employees performing work for the other company, charges related to jointly-owned generating units and other miscellaneous charges. Tax settlements between LKE and LG&E and KU are reimbursed through LKS. | ||||||||||||
As a result of the anticipated spinoff of PPL Energy Supply, a centralized services company has been formed, PPL EU Services. Beginning in 2015, it will provide the majority of corporate functions such as financial, supply chain, human resources and information technology services to PPL Electric. Most of PPL EU Services' costs will be charged directly to PPL Electric, with limited amounts charged back to PPL Services and its affiliates. PPL Services will continue to provide certain limited corporate functions. | ||||||||||||
Intercompany Borrowings | ||||||||||||
(PPL Electric) | ||||||||||||
A PPL Electric subsidiary periodically holds revolving demand notes from certain affiliates. No balance was outstanding at December 31, 2014. At December 31, 2013, $150 million was outstanding and was reflected in “Notes receivable from affiliate” on the Balance Sheet. The interest rates on borrowings are equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013, was 1.92%. Interest earned on these revolving facilities was not significant for 2014, 2013 and 2012. | ||||||||||||
(LKE) | ||||||||||||
LKE maintains a revolving line of credit with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. In October 2013, the revolving line of credit was reduced by $75 million and the limit as of December 31, 2013 was $225 million. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At December 31, 2014, $41 million was outstanding and was reflected in "Notes payable with affiliates" on the Balance Sheet. No balance was outstanding at December 31, 2013. The interest rate on the outstanding borrowing at December 31, 2014 was 1.65%. Interest on the revolving line of credit was not significant for 2014, 2013 or 2012. | ||||||||||||
LKE maintains an agreement with a PPL affiliate that has a $300 million borrowing limit whereby LKE can loan funds on a short-term basis at market-based rates. No balance was outstanding at December 31, 2014. At December 31, 2013, $70 million was outstanding and was reflected in "Notes receivable from affiliates" on the Balance Sheet. The interest rate on the loan based on the PPL affiliate's credit rating is currently equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013 was 2.17%. Interest income on this note was not significant for 2014, 2013 or 2012. | ||||||||||||
Intercompany Derivatives (LKE, LG&E and KU) | ||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL. These hedging instruments have terms identical to forward-starting swaps entered into by PPL with third parties. See Note 17 for additional information on intercompany derivatives. | ||||||||||||
Other (All Registrants except PPL) | ||||||||||||
See Note 1 for discussions regarding the intercompany tax sharing agreement (for PPL Energy Supply, PPL Electric, LKE, LG&E and KU) and intercompany allocations of stock-based compensation expense (for PPL Energy Supply, PPL Electric and LKE). For PPL Energy Supply, PPL Electric, LG&E and KU, see Note 11 for discussions regarding intercompany allocations associated with defined benefits. | ||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Related Party Transactions | 14. Related Party Transactions | |||||||||||
PLR Contracts/Purchase of Accounts Receivable (PPL Energy Supply and PPL Electric) | ||||||||||||
PPL Electric holds competitive solicitations for PLR generation supply. PPL EnergyPlus has been awarded a portion of the PLR generation supply through these competitive solicitations. The sales and purchases between PPL EnergyPlus and PPL Electric are included in the Statements of Income as "Unregulated wholesale energy to affiliate" by PPL Energy Supply and as "Energy purchases from affiliate" by PPL Electric. | ||||||||||||
Under the standard Default Service Supply Master Agreement for the solicitation process, PPL Electric requires all suppliers to post collateral once credit exposures exceed defined credit limits. PPL EnergyPlus is required to post collateral with PPL Electric when: (a) the market price of electricity to be delivered by PPL EnergyPlus exceeds the contract price for the forecasted quantity of electricity to be delivered and (b) this market price exposure exceeds a contractual credit limit. During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. As a result of the downgrade of PPL Energy Supply, as guarantor, PPL EnergyPlus no longer has an established credit limit. At December 31, 2014, PPL EnergyPlus was not required to post collateral. In no instance is PPL Electric required to post collateral to suppliers under these supply contracts. | ||||||||||||
PPL Electric's customers may choose an alternative supplier for their generation supply. See Note 1 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | ||||||||||||
At December 31, 2014, PPL Energy Supply had a net credit exposure of $25 million from PPL Electric from its commitment as a PLR supplier and from the sale of its accounts receivable to PPL Electric. | ||||||||||||
Wholesale Sales and Purchases (LG&E and KU) | ||||||||||||
LG&E and KU jointly dispatch their generation units with the lowest cost generation used to serve their retail customers. When LG&E has excess generation capacity after serving its own retail customers and its generation cost is lower than that of KU, KU purchases electricity from LG&E. When KU has excess generation capacity after serving its own retail customers and its generation cost is lower than that of LG&E, LG&E purchases electricity from KU. These transactions are reflected in the Statements of Income as "Electric revenue from affiliate" and "Energy purchases from affiliate" and are recorded at a price equal to the seller's fuel cost. Savings realized from such intercompany transactions are shared equally between both companies. The volume of energy each company has to sell to the other is dependent on its retail customers' needs and its available generation. | ||||||||||||
Support Costs (All Registrants except PPL) | ||||||||||||
Both PPL Services and LKS provide the respective PPL and LKE subsidiaries with administrative, management and support services. Where applicable, the costs of these services are charged to the respective subsidiaries as direct support costs. General costs that cannot be directly attributed to a specific subsidiary are allocated and charged to the respective subsidiaries as indirect support costs. PPL Services uses a three-factor methodology that includes the subsidiaries' invested capital, operation and maintenance expenses and number of employees to allocate indirect costs. LKS bases its indirect allocations on the subsidiaries' number of employees, total assets, revenues, number of customers and/or other statistical information. | ||||||||||||
PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
LG&E and KU also provide services to each other and to LKS. Billings between LG&E and KU relate to labor and overheads associated with union and hourly employees performing work for the other company, charges related to jointly-owned generating units and other miscellaneous charges. Tax settlements between LKE and LG&E and KU are reimbursed through LKS. | ||||||||||||
As a result of the anticipated spinoff of PPL Energy Supply, a centralized services company has been formed, PPL EU Services. Beginning in 2015, it will provide the majority of corporate functions such as financial, supply chain, human resources and information technology services to PPL Electric. Most of PPL EU Services' costs will be charged directly to PPL Electric, with limited amounts charged back to PPL Services and its affiliates. PPL Services will continue to provide certain limited corporate functions. | ||||||||||||
Intercompany Borrowings | ||||||||||||
(PPL Electric) | ||||||||||||
A PPL Electric subsidiary periodically holds revolving demand notes from certain affiliates. No balance was outstanding at December 31, 2014. At December 31, 2013, $150 million was outstanding and was reflected in “Notes receivable from affiliate” on the Balance Sheet. The interest rates on borrowings are equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013, was 1.92%. Interest earned on these revolving facilities was not significant for 2014, 2013 and 2012. | ||||||||||||
(LKE) | ||||||||||||
LKE maintains a revolving line of credit with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. In October 2013, the revolving line of credit was reduced by $75 million and the limit as of December 31, 2013 was $225 million. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At December 31, 2014, $41 million was outstanding and was reflected in "Notes payable with affiliates" on the Balance Sheet. No balance was outstanding at December 31, 2013. The interest rate on the outstanding borrowing at December 31, 2014 was 1.65%. Interest on the revolving line of credit was not significant for 2014, 2013 or 2012. | ||||||||||||
LKE maintains an agreement with a PPL affiliate that has a $300 million borrowing limit whereby LKE can loan funds on a short-term basis at market-based rates. No balance was outstanding at December 31, 2014. At December 31, 2013, $70 million was outstanding and was reflected in "Notes receivable from affiliates" on the Balance Sheet. The interest rate on the loan based on the PPL affiliate's credit rating is currently equal to one-month LIBOR plus a spread. The interest rate on the outstanding borrowing at December 31, 2013 was 2.17%. Interest income on this note was not significant for 2014, 2013 or 2012. | ||||||||||||
Intercompany Derivatives (LKE, LG&E and KU) | ||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL. These hedging instruments have terms identical to forward-starting swaps entered into by PPL with third parties. See Note 17 for additional information on intercompany derivatives. | ||||||||||||
Other (All Registrants except PPL) | ||||||||||||
See Note 1 for discussions regarding the intercompany tax sharing agreement (for PPL Energy Supply, PPL Electric, LKE, LG&E and KU) and intercompany allocations of stock-based compensation expense (for PPL Energy Supply, PPL Electric and LKE). For PPL Energy Supply, PPL Electric, LG&E and KU, see Note 11 for discussions regarding intercompany allocations associated with defined benefits. |
Other_Income_Expense_net
Other Income (Expense) - net | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Other Income (Expense) - net [Abstract] | ||||||||||||
Other Income (Expense) - net | 15. Other Income (Expense) - net | |||||||||||
(PPL) | ||||||||||||
The breakdown of "Other Income (Expense) - net" for the years ended December 31 was: | ||||||||||||
PPL | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Other Income | ||||||||||||
Earnings on securities in NDT funds | $ | 28 | $ | 23 | $ | 22 | ||||||
Interest income | 5 | 3 | 5 | |||||||||
AFUDC - equity component | 11 | 10 | 10 | |||||||||
Miscellaneous | 12 | 18 | 5 | |||||||||
Total Other Income | 56 | 54 | 42 | |||||||||
Other Expense | ||||||||||||
Economic foreign currency exchange contracts (Note 17) | -121 | 38 | 52 | |||||||||
Charitable contributions | 30 | 25 | 10 | |||||||||
Transaction costs related to spinoff of PPL Energy Supply (Note 8) | 19 | |||||||||||
Miscellaneous | 10 | 14 | 19 | |||||||||
Total Other Expense | -62 | 77 | 81 | |||||||||
Other Income (Expense) - net | $ | 118 | $ | -23 | $ | -39 | ||||||
(PPL Energy Supply) | ||||||||||||
“Other Income (Expense) - net” for 2014, 2013 and 2012 for PPL Energy Supply was primarily earnings on securities in NDT funds. | ||||||||||||
(PPL Electric) | ||||||||||||
“Other Income (Expense) - net” for 2014, 2013 and 2012 for PPL Electric was primarily the equity component of AFUDC. | ||||||||||||
(LKE, LG&E and KU) | ||||||||||||
“Other Income (Expense) - net” for 2014 and 2013 for LKE, LG&E and KU was not significant. “Other Income (Expense) - net” for 2012 for LKE and KU was primarily losses from an equity method investment and for LG&E was not significant. |
Fair_Value_Measurements_and_Cr
Fair Value Measurements and Credit Concentration | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Fair Value Measurements and Credit Concentration [Abstract] | |||||||||||||||||||||||||||||
Fair Value Measurements and Credit Concentration | 16. Fair Value Measurements and Credit Concentration | ||||||||||||||||||||||||||||
(All Registrants) | |||||||||||||||||||||||||||||
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). A market approach (generally, data from market transactions), an income approach (generally, present value techniques and option-pricing models), and/or a cost approach (generally, replacement cost) are used to measure the fair value of an asset or liability, as appropriate. These valuation approaches incorporate inputs such as observable, independent market data and/or unobservable data that management believes are predicated on the assumptions market participants would use to price an asset or liability. These inputs may incorporate, as applicable, certain risks such as nonperformance risk, which includes credit risk. The fair value of a group of financial assets and liabilities is measured on a net basis. Transfers between levels are recognized at end-of-reporting-period values. During 2014 and 2013, there were no transfers between Level 1 and Level 2. See Note 1 for information on the levels in the fair value hierarchy. | |||||||||||||||||||||||||||||
Recurring Fair Value Measurements | |||||||||||||||||||||||||||||
The assets and liabilities measured at fair value were: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 1,751 | $ | 1,751 | $ | 1,102 | $ | 1,102 | |||||||||||||||||||||
Short-term investments | 120 | 120 | |||||||||||||||||||||||||||
Restricted cash and cash equivalents (a) | 224 | 224 | 134 | 134 | |||||||||||||||||||||||||
Price risk management assets: | |||||||||||||||||||||||||||||
Energy commodities | 1,318 | 6 | $ | 1,171 | $ | 141 | 1,188 | 3 | $ | 1,123 | $ | 62 | |||||||||||||||||
Interest rate swaps | 91 | 91 | |||||||||||||||||||||||||||
Foreign currency contracts | 130 | 130 | |||||||||||||||||||||||||||
Cross-currency swaps | 29 | 28 | 1 | ||||||||||||||||||||||||||
Total price risk management assets | 1,477 | 6 | 1,329 | 142 | 1,279 | 3 | 1,214 | 62 | |||||||||||||||||||||
NDT funds: | |||||||||||||||||||||||||||||
Cash and cash equivalents | 19 | 19 | 14 | 14 | |||||||||||||||||||||||||
Equity securities | |||||||||||||||||||||||||||||
U.S. large-cap | 611 | 454 | 157 | 547 | 409 | 138 | |||||||||||||||||||||||
U.S. mid/small-cap | 89 | 37 | 52 | 81 | 33 | 48 | |||||||||||||||||||||||
Debt securities | |||||||||||||||||||||||||||||
U.S. Treasury | 99 | 99 | 95 | 95 | |||||||||||||||||||||||||
U.S. government sponsored agency | 9 | 9 | 6 | 6 | |||||||||||||||||||||||||
Municipality | 76 | 76 | 77 | 77 | |||||||||||||||||||||||||
Investment-grade corporate | 42 | 42 | 38 | 38 | |||||||||||||||||||||||||
Other | 3 | 3 | 5 | 5 | |||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | 1 | -1 | 2 | ||||||||||||||||||||||||
Total NDT funds | 950 | 609 | 341 | 864 | 550 | 314 | |||||||||||||||||||||||
Auction rate securities (b) | 10 | 10 | 19 | 19 | |||||||||||||||||||||||||
Total assets | $ | 4,532 | $ | 2,710 | $ | 1,670 | $ | 152 | $ | 3,398 | $ | 1,789 | $ | 1,528 | $ | 81 | |||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Energy commodities | $ | 1,217 | $ | 5 | $ | 1,182 | $ | 30 | $ | 1,070 | $ | 4 | $ | 1,028 | $ | 38 | |||||||||||||
Interest rate swaps | 156 | 156 | 36 | 36 | |||||||||||||||||||||||||
Foreign currency contracts | 2 | 2 | 106 | 106 | |||||||||||||||||||||||||
Cross-currency swaps | 3 | 3 | 32 | 32 | |||||||||||||||||||||||||
Total price risk management liabilities | $ | 1,378 | $ | 5 | $ | 1,343 | $ | 30 | $ | 1,244 | $ | 4 | $ | 1,202 | $ | 38 | |||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 352 | $ | 352 | $ | 239 | $ | 239 | |||||||||||||||||||||
Restricted cash and cash equivalents (a) | 193 | 193 | 85 | 85 | |||||||||||||||||||||||||
Price risk management assets: | |||||||||||||||||||||||||||||
Energy commodities | 1,318 | 6 | $ | 1,171 | $ | 141 | 1,188 | 3 | $ | 1,123 | $ | 62 | |||||||||||||||||
Total price risk management assets | 1,318 | 6 | 1,171 | 141 | 1,188 | 3 | 1,123 | 62 | |||||||||||||||||||||
NDT funds: | |||||||||||||||||||||||||||||
Cash and cash equivalents | 19 | 19 | 14 | 14 | |||||||||||||||||||||||||
Equity securities | |||||||||||||||||||||||||||||
U.S. large-cap | 611 | 454 | 157 | 547 | 409 | 138 | |||||||||||||||||||||||
U.S. mid/small-cap | 89 | 37 | 52 | 81 | 33 | 48 | |||||||||||||||||||||||
Debt securities | |||||||||||||||||||||||||||||
U.S. Treasury | 99 | 99 | 95 | 95 | |||||||||||||||||||||||||
U.S. government sponsored agency | 9 | 9 | 6 | 6 | |||||||||||||||||||||||||
Municipality | 76 | 76 | 77 | 77 | |||||||||||||||||||||||||
Investment-grade corporate | 42 | 42 | 38 | 38 | |||||||||||||||||||||||||
Other | 3 | 3 | 5 | 5 | |||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | 1 | -1 | 2 | ||||||||||||||||||||||||
Total NDT funds | 950 | 609 | 341 | 864 | 550 | 314 | |||||||||||||||||||||||
Auction rate securities (b) | 8 | 8 | 16 | 16 | |||||||||||||||||||||||||
Total assets | $ | 2,821 | $ | 1,160 | $ | 1,512 | $ | 149 | $ | 2,392 | $ | 877 | $ | 1,437 | $ | 78 | |||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Energy commodities | $ | 1,217 | $ | 5 | $ | 1,182 | $ | 30 | $ | 1,070 | $ | 4 | $ | 1,028 | $ | 38 | |||||||||||||
Total price risk management liabilities | $ | 1,217 | $ | 5 | $ | 1,182 | $ | 30 | $ | 1,070 | $ | 4 | $ | 1,028 | $ | 38 | |||||||||||||
PPL Electric | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 214 | $ | 214 | $ | 25 | $ | 25 | |||||||||||||||||||||
Restricted cash and cash equivalents (c) | 3 | 3 | 12 | 12 | |||||||||||||||||||||||||
Total assets | $ | 217 | $ | 217 | $ | 37 | $ | 37 | |||||||||||||||||||||
LKE | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 21 | $ | 21 | $ | 35 | $ | 35 | |||||||||||||||||||||
Cash collateral posted to counterparties (d) | 21 | 21 | 22 | 22 | |||||||||||||||||||||||||
Total assets | $ | 42 | $ | 42 | $ | 57 | $ | 57 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Interest rate swaps | $ | 114 | $ | 114 | $ | 36 | $ | 36 | |||||||||||||||||||||
Total price risk management liabilities | $ | 114 | $ | 114 | $ | 36 | $ | 36 | |||||||||||||||||||||
LG&E | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 10 | $ | 10 | $ | 8 | $ | 8 | |||||||||||||||||||||
Cash collateral posted to counterparties (d) | 21 | 21 | 22 | 22 | |||||||||||||||||||||||||
Total assets | $ | 31 | $ | 31 | $ | 30 | $ | 30 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Interest rate swaps | $ | 81 | $ | 81 | $ | 36 | $ | 36 | |||||||||||||||||||||
Total price risk management liabilities | $ | 81 | $ | 81 | $ | 36 | $ | 36 | |||||||||||||||||||||
KU | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 11 | $ | 11 | $ | 21 | $ | 21 | |||||||||||||||||||||
Total assets | $ | 11 | $ | 11 | $ | 21 | $ | 21 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Interest rate swaps | $ | 33 | $ | 33 | |||||||||||||||||||||||||
Total price risk management liabilities | $ | 33 | $ | 33 | |||||||||||||||||||||||||
(a) Current portion is included in "Restricted cash and cash equivalents" and long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||||||||||||||||||||||||||||
(b) Included in "Other investments" on the Balance Sheets. | |||||||||||||||||||||||||||||
(c) Current portion is included in "Other current assets" and long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||||||||||||||||||||||||||||
(d) Included in "Other noncurrent assets" on the Balance Sheets. Represents cash collateral posted to offset the exposure with counterparties related to certain interest rate swaps under master netting arrangements that are not offset. | |||||||||||||||||||||||||||||
A reconciliation of net assets and liabilities classified as Level 3 for the years ended December 31 is as follows: | |||||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||
Energy | Auction | Cross- | |||||||||||||||||||||||||||
Commodities, | Rate | Currency | |||||||||||||||||||||||||||
net | Securities | Swaps | Total | ||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 24 | $ | 19 | $ | 43 | |||||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -32 | -32 | |||||||||||||||||||||||||||
Included in OCI (a) | $ | -2 | -2 | ||||||||||||||||||||||||||
Purchases | -6 | -6 | |||||||||||||||||||||||||||
Sales | 67 | -9 | 58 | ||||||||||||||||||||||||||
Settlements | 50 | 50 | |||||||||||||||||||||||||||
Transfers into Level 3 | 7 | 1 | 8 | ||||||||||||||||||||||||||
Transfers out of Level 3 | 1 | 2 | 3 | ||||||||||||||||||||||||||
Balance at end of period | $ | 111 | $ | 10 | $ | 1 | $ | 122 | |||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 22 | $ | 16 | $ | 1 | $ | 39 | |||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -5 | -5 | |||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | |||||||||||||||||||||||||||
Sales | -2 | -2 | |||||||||||||||||||||||||||
Settlements | -3 | -3 | |||||||||||||||||||||||||||
Transfers into Level 3 | 10 | 3 | 3 | 16 | |||||||||||||||||||||||||
Transfers out of Level 3 | 2 | -5 | -3 | ||||||||||||||||||||||||||
Balance at end of period | $ | 24 | $ | 19 | $ | $ | 43 | ||||||||||||||||||||||
(a) "Energy Commodities, net" and "Cross-Currency Swaps" are included in "Qualifying derivatives" and "Auction Rate Securities" are included in "Available-for-sale securities" on the Statements of Comprehensive Income. | |||||||||||||||||||||||||||||
A reconciliation of net assets and liabilities classified as Level 3 for the years ended December 31 is as follows: | |||||||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||
Energy | Auction | ||||||||||||||||||||||||||||
Commodities, | Rate | ||||||||||||||||||||||||||||
net | Securities | Total | |||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 24 | $ | 16 | $ | 40 | |||||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -32 | -32 | |||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | |||||||||||||||||||||||||||
Purchases | -6 | -6 | |||||||||||||||||||||||||||
Sales | 67 | -9 | 58 | ||||||||||||||||||||||||||
Settlements | 50 | 50 | |||||||||||||||||||||||||||
Transfers into Level 3 | 7 | 7 | |||||||||||||||||||||||||||
Transfers out of Level 3 | 1 | 1 | |||||||||||||||||||||||||||
Balance at end of period | $ | 111 | $ | 8 | $ | 119 | |||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 22 | $ | 13 | $ | 35 | |||||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -5 | -5 | |||||||||||||||||||||||||||
Sales | -2 | -2 | |||||||||||||||||||||||||||
Settlements | -3 | -3 | |||||||||||||||||||||||||||
Transfers into Level 3 | 10 | 3 | 13 | ||||||||||||||||||||||||||
Transfers out of Level 3 | 2 | 2 | |||||||||||||||||||||||||||
Balance at end of period | $ | 24 | $ | 16 | $ | 40 | |||||||||||||||||||||||
(a) "Energy Commodities, net" are included in "Qualifying derivatives" and "Auction Rate Securities" are included in "Available-for-sale securities" on the Statements of Comprehensive Income. | |||||||||||||||||||||||||||||
The significant unobservable inputs used in and quantitative information about the fair value measurement of assets and liabilities classified as Level 3 are as follows: | |||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 59 | Discounted cash flow | Proprietary model used to calculate forward prices | 11% - 100% (52%) | ||||||||||||||||||||||||
Power sales contracts (c) | -1 | Discounted cash flow | Proprietary model used to calculate forward prices | 9% - 100% (59%) | |||||||||||||||||||||||||
FTR purchase contracts (d) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | |||||||||||||||||||||||||
Heat Rate Options (e) | 50 | Discounted cash flow | Proprietary model used to calculate forward prices | 23% - 51% (45%) | |||||||||||||||||||||||||
Auction rate securities (f) | 10 | Discounted cash flow | Modeled from SIFMA Index | 44% - 69% (63%) | |||||||||||||||||||||||||
Cross-currency swaps (g) | 1 | Discounted cash flow | Credit valuation adjustment | 15% (15%) | |||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 59 | Discounted cash flow | Proprietary model used to calculate forward prices | 11% - 100% (52%) | ||||||||||||||||||||||||
Power sales contracts (c) | -1 | Discounted cash flow | Proprietary model used to calculate forward prices | 9% - 100% (59%) | |||||||||||||||||||||||||
FTR purchase contracts (d) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | |||||||||||||||||||||||||
Heat Rate Options (e) | 50 | Discounted cash flow | Proprietary model used to calculate forward prices | 23% - 51% (45%) | |||||||||||||||||||||||||
Auction rate securities (f) | 8 | Discounted cash flow | Modeled from SIFMA Index | 51% - 69% (63%) | |||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 36 | Discounted cash flow | Proprietary model used to calculate forward prices | 10% - 100% (86%) | ||||||||||||||||||||||||
Power sales contracts (c) | -12 | Discounted cash flow | Proprietary model used to calculate forward prices | 100% (100%) | |||||||||||||||||||||||||
Auction rate securities (f) | 19 | Discounted cash flow | Modeled from SIFMA Index | 10% - 80% (63%) | |||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 36 | Discounted cash flow | Proprietary model used to calculate forward prices | 10% - 100% (86%) | ||||||||||||||||||||||||
Power sales contracts (c) | -12 | Discounted cash flow | Proprietary model used to calculate forward prices | 100% (100%) | |||||||||||||||||||||||||
Auction rate securities (f) | 16 | Discounted cash flow | Modeled from SIFMA Index | 10% - 80% (63%) | |||||||||||||||||||||||||
(a) For energy commodities and auction rate securities, the range and weighted average represent the percentage of fair value derived from the unobservable inputs. For cross-currency swaps, the range and weighted average represent the percentage change in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | |||||||||||||||||||||||||||||
(b) As the forward price of natural gas increases/(decreases), the fair value of purchase contracts increases/(decreases). As the forward price of natural gas increases/(decreases), the fair value of sales contracts (decreases)/increases. | |||||||||||||||||||||||||||||
(c) As forward market prices increase/(decrease), the fair value of contracts (decreases)/increases. As volumetric assumptions for contracts in a gain position increase/(decrease), the fair value of contracts increases/(decreases). As volumetric assumptions for contracts in a loss position increase/(decrease), the fair value of the contracts (decreases)/increases. | |||||||||||||||||||||||||||||
(d) As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | |||||||||||||||||||||||||||||
(e) The proprietary model used to calculate fair value incorporates market heat rates, correlations and volatilities. As the market implied heat rate increases/(decreases), the fair value of the contracts increases/(decreases). | |||||||||||||||||||||||||||||
(f) The model used to calculate fair value incorporates an assumption that the auctions will continue to fail. As the modeled forward rates of the SIFMA Index increase/(decrease), the fair value of the securities increases/(decreases). | |||||||||||||||||||||||||||||
(g) The credit valuation adjustment incorporates projected probabilities of default and estimated recovery rates. As the credit valuation adjustment increases/(decreases), the fair value of the swaps (decreases)/increases. | |||||||||||||||||||||||||||||
Net gains and losses on assets and liabilities classified as Level 3 and included in earnings for the years ended December 31 were reported in the Statements of Income as follows: | |||||||||||||||||||||||||||||
Energy Commodities, net | |||||||||||||||||||||||||||||
Unregulated | Unregulated Retail | Energy | |||||||||||||||||||||||||||
Wholesale Energy | Energy | Fuel | Purchases | ||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Total gains (losses) included in earnings | $ | -77 | $ | -36 | $ | 23 | $ | 25 | $ | 3 | $ | 22 | $ | 3 | |||||||||||||||
Change in unrealized gains (losses) relating to | |||||||||||||||||||||||||||||
positions still held at the reporting date | 50 | -23 | 37 | 24 | -4 | 1 | |||||||||||||||||||||||
Price Risk Management Assets/Liabilities - Energy Commodities (PPL and PPL Energy Supply) | |||||||||||||||||||||||||||||
Energy commodity contracts are generally valued using the income approach, except for exchange-traded derivative contracts, which are valued using the market approach and are classified as Level 1. Level 2 contracts are valued using inputs which may include quotes obtained from an exchange (where there is insufficient market liquidity to warrant inclusion in Level 1), binding and non-binding broker quotes, prices posted by ISOs or published tariff rates. Furthermore, independent quotes are obtained from the market to validate the forward price curves. Energy commodity contracts include forwards, futures, swaps, options and structured transactions and may be offset with similar positions in exchange-traded markets. To the extent possible, fair value measurements utilize various inputs that include quoted prices for similar contracts or market-corroborated inputs. In certain instances, these contracts may be valued using models, including standard option valuation models and other standard industry models. When the lowest level inputs that are significant to the fair value measurement of a contract are observable, the contract is classified as Level 2. | |||||||||||||||||||||||||||||
When unobservable inputs are significant to the fair value measurement, a contract is classified as Level 3. Level 3 contracts are valued using PPL proprietary models which may include significant unobservable inputs such as delivery at a location where pricing is unobservable, delivery dates that are beyond the dates for which independent quotes are available, volumetric assumptions, implied volatilities, implied correlations, and market implied heat rates. Forward transactions, including forward transactions classified as Level 3, are analyzed by PPL's Risk Management department, which reports to the Chief Financial Officer (CFO). Accounting personnel, who also report to the CFO, interpret the analysis quarterly to appropriately classify the forward transactions in the fair value hierarchy. Valuation techniques are evaluated periodically. Additionally, Level 2 and Level 3 fair value measurements include adjustments for credit risk based on PPL's own creditworthiness (for net liabilities) and its counterparties' creditworthiness (for net assets). PPL's credit department assesses all reasonably available market information which is used by accounting personnel to calculate the credit valuation adjustment. | |||||||||||||||||||||||||||||
In certain instances, energy commodity contracts are transferred between Level 2 and Level 3. The primary reasons for the transfers during 2014 and 2013 were changes in the availability of market information and changes in the significance of the unobservable inputs utilized in the valuation of the contract. As the delivery period of a contract becomes closer, market information may become available. When this occurs, the model's unobservable inputs are replaced with observable market information. | |||||||||||||||||||||||||||||
Price Risk Management Assets/Liabilities - Interest Rate Swaps/Foreign Currency Contracts/Cross-Currency Swaps (PPL, LKE, LG&E and KU) | |||||||||||||||||||||||||||||
To manage interest rate risk, PPL, LKE, LG&E and KU use interest rate contracts such as forward-starting swaps, floating-to-fixed swaps and fixed-to-floating swaps. To manage foreign currency exchange risk, PPL uses foreign currency contracts such as forwards, options, and cross-currency swaps that contain characteristics of both interest rate and foreign currency contracts. An income approach is used to measure the fair value of these contracts, utilizing readily observable inputs, such as forward interest rates (e.g., LIBOR and government security rates) and forward foreign currency exchange rates (e.g., GBP), as well as inputs that may not be observable, such as credit valuation adjustments. In certain cases, market information cannot practicably be obtained to value credit risk and therefore internal models are relied upon. These models use projected probabilities of default and estimated recovery rates based on historical observances. When the credit valuation adjustment is significant to the overall valuation, the contracts are classified as Level 3. For PPL, the primary reason for the transfers between Level 2 and Level 3 during 2014 and 2013 was the change in the significance of the credit valuation adjustment. Cross-currency swaps are valued by PPL's Treasury department, which reports to the CFO. Accounting personnel, who also report to the CFO, interpret analysis quarterly to classify the contracts in the fair value hierarchy. Valuation techniques are evaluated periodically. | |||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||||
NDT Funds | |||||||||||||||||||||||||||||
The market approach is used to measure the fair value of equity securities held in the NDT funds. | |||||||||||||||||||||||||||||
The fair value measurements of equity securities classified as Level 1 are based on quoted prices in active markets. | |||||||||||||||||||||||||||||
The fair value measurements of investments in commingled equity funds are classified as Level 2. These fair value measurements are based on firm quotes of net asset values per share, which are not obtained from a quoted price in an active market. | |||||||||||||||||||||||||||||
The fair value of debt securities is generally measured using a market approach, including the use of pricing models, which incorporate observable inputs. Common inputs include benchmark yields, relevant trade data, broker/dealer bid/ask prices, benchmark securities and credit valuation adjustments. When necessary, the fair value of debt securities is measured using the income approach, which incorporates similar observable inputs as well as payment data, future predicted cash flows, collateral performance and new issue data. | |||||||||||||||||||||||||||||
Auction Rate Securities | |||||||||||||||||||||||||||||
Auction rate securities include Federal Family Education Loan Program guaranteed student loan revenue bonds, as well as various municipal bond issues. The probability of realizing losses on these securities is not significant. | |||||||||||||||||||||||||||||
The fair value of auction rate securities is estimated using an income approach that includes readily observable inputs, such as principal payments and discount curves for bonds with credit ratings and maturities similar to the securities, and unobservable inputs, such as future interest rates that are estimated based on the SIFMA Index, creditworthiness, and liquidity assumptions driven by the impact of auction failures. When the present value of future interest payments is significant to the overall valuation, the auction rate securities are classified as Level 3. The primary reason for the transfers during 2013 was the change in discount rates and SIFMA Index. | |||||||||||||||||||||||||||||
Auction rate securities are valued by PPL’s Treasury department, which reports to the CFO. Accounting personnel, who also report to the CFO, interpret the analysis quarterly to classify the contracts in the fair value hierarchy. Valuation techniques are evaluated periodically. | |||||||||||||||||||||||||||||
Nonrecurring Fair Value Measurements (All Registrants except PPL Electric and LG&E) | |||||||||||||||||||||||||||||
The following nonrecurring fair value measurements occurred during the reporting periods, resulting in asset impairments. | |||||||||||||||||||||||||||||
Carrying | Level 3 | ||||||||||||||||||||||||||||
Amount (a) | Fair Value | Loss (b) | |||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project (c): | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 47 | $ | 29 | $ | 18 | |||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | 65 | 65 | |||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | 25 | 25 | |||||||||||||||||||||||||||
(a) Represents carrying value before fair value measurement. | |||||||||||||||||||||||||||||
(b) The loss on the Kerr Dam Project was recorded in the Supply segment and included in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The loss on the Corette plant and emission allowances was recorded in the Supply segment and included in "Other operation and maintenance" on the Statement of Income. The loss on the EEI investment was recorded in the Kentucky Regulated segment and included in "Other-Than-Temporary Impairments" on the Statement of Income. | |||||||||||||||||||||||||||||
(c) The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. | |||||||||||||||||||||||||||||
The significant unobservable inputs used in and the quantitative information about the nonrecurring fair value measurement of assets and liabilities classified as Level 3 are as follows: | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project: | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 29 | Discounted cash flow | Proprietary model used to calculate plant value | 38% (38%) | ||||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
(a) The range and weighted average represent the percentage of fair value derived from the unobservable inputs. | |||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||||
Kerr Dam Project | |||||||||||||||||||||||||||||
PPL Montana previously held a joint operating license issued for the Kerr Dam Project. The license extends until 2035 and, between 2015 and 2025, the Confederated Salish and Kootenai Tribes of the Flathead Nation (the Tribes) have the option to purchase, hold and operate the Kerr Dam Project. The parties submitted the issue of the appropriate amount of the conveyance price to arbitration in February 2013. In March 2014, the arbitration panel issued its final decision holding that the conveyance price payable by the Tribes for the Kerr Dam Project is $18 million. As a result of the decision, PPL Energy Supply performed a recoverability test on the Kerr Dam Project and recorded an impairment charge. PPL Energy Supply performed an internal analysis using an income approach based on discounted cash flows (a PPL proprietary model) to assess the fair value of the Kerr Dam Project. Assumptions used in the PPL proprietary model were the conveyance price, forward energy price curves, forecasted generation, and forecasted operation and maintenance expenditures that were consistent with assumptions used in the business planning process and a market participant discount rate. Through this analysis, PPL Energy Supply determined the fair value of the Kerr Dam Project to be $29 million at March 31, 2014. The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. | |||||||||||||||||||||||||||||
The assets were valued by the PPL Energy Supply Financial Department, which reports to the President of PPL Energy Supply. Accounting personnel, who report to the CFO, interpreted the analysis to appropriately classify the assets in the fair value hierarchy. | |||||||||||||||||||||||||||||
Corette Plant and Emission Allowances | |||||||||||||||||||||||||||||
During the fourth quarter 2013, PPL Montana recorded an impairment loss on the Corette plant and related emission allowances. In connection with the completion of its 2013 annual business planning process that included revised long-term power and gas price assumptions and other factors, PPL Energy Supply altered its expectations regarding the probability that the Corette plant would operate subsequent to initially placing it in long-term reserve status and determined the carrying amount for Corette was no longer recoverable. As a result, PPL Energy Supply performed an internal analysis using an income approach based on discounted cash flows to assess the fair value of the Corette asset group. Assumptions used in the fair value assessment were forward energy prices, expectations for demand for energy in Corette's market and expected operation and maintenance and capital expenditures that were consistent with assumptions used in the business planning process and a market participant discount rate. Through this analysis, PPL Energy Supply determined the fair value of the asset group to be negligible. PPL Energy Supply now expects to retire the Corette plant in August 2015. | |||||||||||||||||||||||||||||
The assets were valued by the PPL Energy Supply Financial Department, which reports to the President of PPL Energy Supply. Accounting personnel, who report to the CFO, interpreted the analysis to appropriately classify the assets in the fair value hierarchy. | |||||||||||||||||||||||||||||
Equity Investment in EEI (PPL, LKE and KU) | |||||||||||||||||||||||||||||
During the fourth quarter 2012, KU recorded an other-than-temporary decline in the value of its equity investment in EEI. KU performed an internal analysis using an income approach based on discounted cash flows to assess the current fair value of its investment based on several factors. KU considered the following factors: long-dated forward power and fuel price curves, the cost of compliance with environmental standards, and the majority owner and operator’s announcement in the fourth quarter 2012 to exit from the merchant generation business. Assumptions used in the fair value assessment were forward energy price curves, expectations for capacity (demand) for energy in EEI's market, and expected capital expenditures used in the calculation that were comparable to assumptions used by KU for internal budgeting and forecasting purposes. Through this analysis, KU determined the fair value to be zero. | |||||||||||||||||||||||||||||
Financial Instruments Not Recorded at Fair Value (All Registrants) | |||||||||||||||||||||||||||||
The carrying amounts of long-term debt on the Balance Sheets and their estimated fair values are set forth below. The fair values of these instruments were estimated using an income approach by discounting future cash flows at estimated current cost of funding rates, which incorporate the credit risk of the Registrants. These instruments are classified as Level 2. The effect of third-party credit enhancements is not included in the fair value measurement. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||
Carrying | Carrying | ||||||||||||||||||||||||||||
Amount | Fair Value | Amount | Fair Value | ||||||||||||||||||||||||||
PPL | $ | 20,391 | $ | 22,670 | $ | 20,907 | $ | 22,177 | |||||||||||||||||||||
PPL Energy Supply | 2,218 | 2,204 | 2,525 | 2,658 | |||||||||||||||||||||||||
PPL Electric | 2,602 | 2,990 | 2,315 | 2,483 | |||||||||||||||||||||||||
LKE | 4,567 | 4,946 | 4,565 | 4,672 | |||||||||||||||||||||||||
LG&E | 1,353 | 1,455 | 1,353 | 1,372 | |||||||||||||||||||||||||
KU | 2,091 | 2,313 | 2,091 | 2,155 | |||||||||||||||||||||||||
The carrying value of short-term debt (including notes between affiliates), when outstanding, approximates fair value due to the variable interest rates associated with the short-term debt and is classified as Level 2. | |||||||||||||||||||||||||||||
Credit Concentration Associated with Financial Instruments | |||||||||||||||||||||||||||||
(All Registrants) | |||||||||||||||||||||||||||||
Contracts are entered into with many entities for the purchase and sale of energy. When NPNS is elected, the fair value of these contracts is not reflected in the financial statements. However, the fair value of these contracts is considered when committing to new business from a credit perspective. See Note 17 for information on credit policies used to manage credit risk, including master netting arrangements and collateral requirements. | |||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||||
At December 31, 2014, PPL and PPL Energy Supply had credit exposure of $708 million from energy trading partners, excluding exposure from related parties (PPL Energy Supply only) and the effects of netting arrangements, reserves and collateral. As a result of netting arrangements, reserves and collateral, PPL and PPL Energy Supply’s credit exposure was reduced to $374 million. The top ten counterparties including their affiliates accounted for $164 million, or 44%, of these exposures. Nine of these counterparties had an investment grade credit rating from S&P or Moody's and accounted for 95% of the top ten exposures. The remaining counterparty is rated below investment grade, but is current on its obligation. See Note 14 for information regarding PPL Energy Supply’s related party credit exposure. | |||||||||||||||||||||||||||||
(PPL Electric) | |||||||||||||||||||||||||||||
PPL Electric is exposed to credit risk under energy supply contracts (including its supply contracts with PPL EnergyPlus); however, its PUC-approved recovery mechanism is anticipated to substantially mitigate this exposure. | |||||||||||||||||||||||||||||
(LKE, LG&E and KU) | |||||||||||||||||||||||||||||
At December 31, 2014, LKE's, LG&E's and KU’s credit exposure was not significant. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities [Abstract] | ||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | 17. Derivative Instruments and Hedging Activities | |||||||||||||||||||||||||||||
Risk Management Objectives | ||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||
PPL has a risk management policy approved by the Board of Directors to manage market risk associated with commodities, interest rates on debt issuances and foreign exchange (including price, liquidity and volumetric risk) and credit risk (including non-performance risk and payment default risk). The RMC, comprised of senior management and chaired by the Chief Risk Officer, oversees the risk management function. Key risk control activities designed to ensure compliance with the risk policy and detailed programs include, but are not limited to, credit review and approval, validation of transactions and market prices, verification of risk and transaction limits, VaR analyses, portfolio stress tests, gross margin at risk analyses, sensitivity analyses and daily portfolio reporting, including open positions, determinations of fair value and other risk management metrics. | ||||||||||||||||||||||||||||||
Market Risk | ||||||||||||||||||||||||||||||
Market risk includes the potential loss that may be incurred as a result of price changes associated with a particular financial or commodity instrument as well as market liquidity and volumetric risks. Forward contracts, futures contracts, options, swaps and structured transactions are utilized as part of risk management strategies to minimize unanticipated fluctuations in earnings caused by changes in commodity prices, volumes of full-requirement sales contracts, basis exposure, interest rates and foreign currency exchange rates. Many of the contracts meet the definition of a derivative. All derivatives are recognized on the Balance Sheets at their fair value, unless NPNS is elected. | ||||||||||||||||||||||||||||||
The table below summarizes the market risks that affect PPL and its Subsidiary Registrants. | ||||||||||||||||||||||||||||||
PPL | PPL | |||||||||||||||||||||||||||||
PPL | Energy Supply | Electric | LKE | LG&E | KU | |||||||||||||||||||||||||
Commodity price risk (including basis and | ||||||||||||||||||||||||||||||
volumetric risk) | X | X | M | M | M | M | ||||||||||||||||||||||||
Interest rate risk: | ||||||||||||||||||||||||||||||
Debt issuances | X | X | M | M | M | M | ||||||||||||||||||||||||
Defined benefit plans | X | X | M | M | M | M | ||||||||||||||||||||||||
NDT securities | X | X | ||||||||||||||||||||||||||||
Equity securities price risk: | ||||||||||||||||||||||||||||||
Defined benefit plans | X | X | M | M | M | M | ||||||||||||||||||||||||
NDT securities | X | X | ||||||||||||||||||||||||||||
Future stock transactions | X | |||||||||||||||||||||||||||||
Foreign currency risk - WPD investment and | ||||||||||||||||||||||||||||||
earnings | X | |||||||||||||||||||||||||||||
X =PL and PPL Energy Supply actively mitigate market risks through their risk management programs described above. | ||||||||||||||||||||||||||||||
M =he regulatory environments for PPL's regulated entities, by definition, significantly mitigate market risk. | ||||||||||||||||||||||||||||||
Commodity price risk | ||||||||||||||||||||||||||||||
PPL is exposed to commodity price risk through its domestic subsidiaries as described below. WPD is exposed to volumetric risk which is significantly mitigated as a result of the method of regulation in the U.K. | ||||||||||||||||||||||||||||||
PPL Energy Supply is exposed to commodity price risk for energy and energy-related products associated with the sale of electricity from its generating assets and other electricity and gas marketing activities and the purchase of fuel and fuel-related commodities for generating assets, as well as for proprietary trading activities. | ||||||||||||||||||||||||||||||
PPL Electric is exposed to commodity price risk from its obligation as PLR; however, its PUC-approved cost recovery mechanism substantially eliminates its exposure to this risk. PPL Electric also mitigates its exposure to volumetric risk by entering into full-requirement supply agreements to serve its PLR customers. These supply agreements transfer the volumetric risk associated with the PLR obligation to the energy suppliers. | ||||||||||||||||||||||||||||||
LG&E's and KU’s rates include certain mechanisms for fuel and environmental expenses. In addition, LG&E’s rates include certain mechanisms for gas supply. These mechanisms generally provide for timely recovery of market price and volumetric fluctuations associated with these expenses. | ||||||||||||||||||||||||||||||
Interest rate risk | ||||||||||||||||||||||||||||||
PPL and its subsidiaries are exposed to interest rate risk associated with forecasted fixed-rate and existing floating-rate debt issuances. WPD holds over-the-counter cross currency swaps to limit exposure to market fluctuations on interest and principal payments from changes in foreign currency exchange rates and interest rates. LG&E utilizes over-the-counter interest rate swaps to limit exposure to market fluctuations on floating-rate debt, and LG&E and KU utilize forward starting interest rate swaps to hedge changes in benchmark interest rates, when appropriate, in connection with future debt issuances. | ||||||||||||||||||||||||||||||
PPL and its subsidiaries are exposed to interest rate risk associated with debt securities held by defined benefit plans. This risk is significantly mitigated to the extent that the plans are sponsored at, or sponsored on behalf of, the regulated domestic utilities and for certain plans at WPD due to the recovery mechanisms in place. Additionally, PPL Energy Supply is exposed to interest rate risk associated with debt securities held by the NDT. | ||||||||||||||||||||||||||||||
Equity securities price risk | ||||||||||||||||||||||||||||||
PPL and its subsidiaries are exposed to equity securities price risk associated with defined benefit plans. This risk is significantly mitigated at the regulated domestic utilities and for certain plans at WPD due to the recovery mechanisms in place. Additionally, PPL and PPL Energy Supply are exposed to equity securities price risk in the NDT funds. | ||||||||||||||||||||||||||||||
PPL is exposed to equity securities price risk from future stock sales and/or purchases. | ||||||||||||||||||||||||||||||
Foreign currency risk | ||||||||||||||||||||||||||||||
PPL is exposed to foreign currency exchange risk primarily associated with its investments in and earnings of U.K. affiliates. | ||||||||||||||||||||||||||||||
Credit Risk | ||||||||||||||||||||||||||||||
Credit risk is the potential loss that may be incurred due to a counterparty's non-performance. | ||||||||||||||||||||||||||||||
PPL is exposed to credit risk from "in-the-money" interest rate and foreign currency derivatives with financial institutions, as well as additional credit risk through certain of its subsidiaries, as discussed below. | ||||||||||||||||||||||||||||||
PPL Energy Supply is exposed to credit risk from "in-the-money" commodity derivatives with its energy trading partners, which include other energy companies, fuel suppliers, financial institutions, other wholesale customers and retail customers. | ||||||||||||||||||||||||||||||
The majority of PPL and PPL Energy Supply's credit risk stems from commodity derivatives for multi-year contracts for energy sales and purchases. If PPL Energy Supply's counterparties fail to perform their obligations under such contracts and PPL Energy Supply could not replace the sales or purchases at the same or better prices as those under the defaulted contracts, PPL Energy Supply would incur financial losses. Those losses would be recognized immediately or through lower revenues or higher costs in future years, depending on the accounting treatment for the defaulted contracts. In the event a supplier of LKE (through its subsidiaries LG&E and KU) or PPL Electric defaults on its obligation, those entities would be required to seek replacement power or replacement fuel in the market. In general, subject to regulatory review or other processes, appropriate incremental costs incurred by these entities would be recoverable from customers through applicable rate mechanisms, thus mitigating the financial risk for these entities. | ||||||||||||||||||||||||||||||
PPL and its subsidiaries have credit policies in place to manage credit risk, including the use of an established credit approval process, daily monitoring of counterparty positions and the use of master netting agreements or provisions. These agreements generally include credit mitigation provisions, such as margin, prepayment or collateral requirements. PPL and its subsidiaries may request additional credit assurance, in certain circumstances, in the event that the counterparties' credit ratings fall below investment grade, their tangible net worth falls below specified percentages or their exposures exceed an established credit limit. See Note 16 for credit concentration associated with energy trading partners. | ||||||||||||||||||||||||||||||
Master Netting Arrangements | ||||||||||||||||||||||||||||||
Net derivative positions on the balance sheets are not offset against the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) under master netting arrangements. | ||||||||||||||||||||||||||||||
PPL's and PPL Energy Supply's obligation to return counterparty cash collateral under master netting arrangements was $11 million and $9 million at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
PPL Electric, LKE and LG&E had no obligation to return cash collateral under master netting arrangements at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
PPL, LKE and LG&E had posted cash collateral under master netting arrangements of $21 million and $22 million at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
PPL Energy Supply, PPL Electric and KU did not post any cash collateral under master netting arrangements at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
See "Offsetting Derivative Investments" below for a summary of derivative positions presented in the balance sheets where a right of setoff exists under these arrangements. | ||||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||
Commodity Price Risk (Non-trading) | ||||||||||||||||||||||||||||||
Commodity price risk, including basis and volumetric risk, is among PPL's and PPL Energy Supply's most significant risks due to the level of investment that PPL and PPL Energy Supply maintain in their competitive generation assets, as well as the extent of their marketing activities. Several factors influence price levels and volatilities. These factors include, but are not limited to, seasonal changes in demand, weather conditions, available generating assets within regions, transportation/transmission availability and reliability within and between regions, market liquidity, and the nature and extent of current and potential federal and state regulations. | ||||||||||||||||||||||||||||||
PPL Energy Supply maximizes the value of its unregulated wholesale and unregulated retail energy portfolios through the use of non-trading strategies that include sales of competitive baseload generation, optimization of competitive intermediate and peaking generation and marketing activities. | ||||||||||||||||||||||||||||||
PPL Energy Supply has a formal hedging program to economically hedge the forecasted purchase and sale of electricity and related fuels for its competitive baseload generation fleet, which includes 6,644 MW (summer rating) of nuclear, coal and hydroelectric generating capacity. PPL Energy Supply attempts to optimize the overall value of its competitive intermediate and peaking fleet, which includes 3,252 MW (summer rating) of natural gas and oil-fired generation. PPL Energy Supply's marketing portfolio is comprised of full-requirement sales contracts and related supply contracts, retail natural gas and electricity sales contracts and other marketing activities. The strategies that PPL Energy Supply uses to hedge its full-requirement sales contracts include purchasing energy (at a liquid trading hub or directly at the load delivery zone), capacity and RECs in the market and/or supplying the energy, capacity and RECs from its generation assets. | ||||||||||||||||||||||||||||||
PPL and PPL Energy Supply enter into financial and physical derivative contracts, including forwards, futures, swaps and options, to hedge the price risk associated with electricity, natural gas, oil and other commodities. Certain contracts are non-derivatives or NPNS is elected and therefore they are not reflected in the financial statements until delivery. PPL and PPL Energy Supply segregate their non-trading activities into two categories: cash flow hedges and economic activity as discussed below. | ||||||||||||||||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||||||||||||
Certain derivative contracts have qualified for hedge accounting so that the effective portion of a derivative's gain or loss is deferred in AOCI and reclassified into earnings when the forecasted transaction occurs. Certain cash flow hedge positions were dedesignated during 2013 and the unamortized portion remained in AOCI because the original forecasted transaction is still expected to occur. There were no active cash flow hedges at December 31, 2014 and 2013. At December 31, 2014, the accumulated net unrecognized after-tax gains (losses) that are expected to be reclassified into earnings during the next 12 months were $19 million for PPL and PPL Energy Supply. Cash flow hedges are discontinued if it is no longer probable that the original forecasted transaction will occur by the end of the originally specified time periods and any amounts previously recorded in AOCI are reclassified into earnings once it is determined that the hedge transaction is probable of not occurring. For 2014 and 2013, there were no reclassifications, while in 2012, such reclassifications were insignificant. | ||||||||||||||||||||||||||||||
For 2014, 2013 and 2012, hedge ineffectiveness associated with energy derivatives was insignificant. | ||||||||||||||||||||||||||||||
Economic Activity | ||||||||||||||||||||||||||||||
Many derivative contracts economically hedge the commodity price risk associated with electricity, natural gas, oil and other commodities but do not receive hedge accounting treatment because they were not eligible for hedge accounting or because hedge accounting was not elected. These derivatives hedge a portion of the economic value of PPL Energy Supply's competitive generation assets and unregulated full-requirement and retail contracts, which are subject to changes in fair value due to market price volatility and volume expectations. Additionally, economic activity also includes the ineffective portion of qualifying cash flow hedges (see "Cash Flow Hedges" above). The derivative contracts in this category that existed at December 31, 2014 range in maturity through 2019. | ||||||||||||||||||||||||||||||
Examples of economic activity may include hedges on sales of baseload generation, certain purchase contracts used to supply full-requirement sales contracts, FTRs or basis swaps used to hedge basis risk associated with the sale of competitive generation or supplying full-requirement sales contracts, Spark Spread hedging contracts, retail electric and natural gas activities, and fuel oil swaps used to hedge price escalation clauses in coal transportation and other fuel-related contracts. PPL Energy Supply also uses options, which include the sale of call options and the purchase of put options tied to a particular generating unit. Since the physical generating capacity is owned, price exposure is generally capped at the price at which the generating unit would be dispatched and therefore does not expose PPL Energy Supply to uncovered market price risk. | ||||||||||||||||||||||||||||||
The unrealized gains (losses) for economic activity for the years ended December 31 were as follows. | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Operating Revenues | ||||||||||||||||||||||||||||||
Unregulated wholesale energy | $ | 325 | $ | -721 | $ | -311 | ||||||||||||||||||||||||
Unregulated retail energy | 29 | 12 | -17 | |||||||||||||||||||||||||||
Operating Expenses | ||||||||||||||||||||||||||||||
Fuel | -27 | -4 | -14 | |||||||||||||||||||||||||||
Energy purchases | -327 | 586 | 442 | |||||||||||||||||||||||||||
Commodity Price Risk (Trading) | ||||||||||||||||||||||||||||||
PPL Energy Supply has a proprietary trading strategy which is utilized to take advantage of market opportunities primarily in its geographic footprint. As a result, PPL Energy Supply may at times create a net open position in its portfolio that could result in losses if prices do not move in the manner or direction anticipated. Net energy trading margins, which are included in "Unregulated wholesale energy" on the Statements of Income, were $75 million for 2014 and insignificant for 2013 and 2012. | ||||||||||||||||||||||||||||||
Commodity Volumes | ||||||||||||||||||||||||||||||
At December 31, 2014, the net volumes of derivative (sales)/purchase contracts used in support of the various strategies discussed above were as follows. | ||||||||||||||||||||||||||||||
Volumes (a) | ||||||||||||||||||||||||||||||
Commodity | Unit of Measure | 2015 | 2016 | 2017 | Thereafter | |||||||||||||||||||||||||
Power | MWh | -39,946,543 | -4,999,532 | 741,005 | 3,426,579 | |||||||||||||||||||||||||
Capacity | MW-Month | -6,604 | -249 | 6 | 3 | |||||||||||||||||||||||||
Gas | MMBtu | 136,349,655 | 42,144,483 | 5,804,511 | 8,969,760 | |||||||||||||||||||||||||
FTRs | MW-Month | 2,803 | ||||||||||||||||||||||||||||
Oil | Barrels | 421,019 | 374,334 | 251,670 | 60,000 | |||||||||||||||||||||||||
(a) Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option. | ||||||||||||||||||||||||||||||
Interest Rate Risk | ||||||||||||||||||||||||||||||
(PPL, LKE, LG&E and KU) | ||||||||||||||||||||||||||||||
PPL and its subsidiaries issue debt to finance their operations, which exposes them to interest rate risk. Various financial derivative instruments are utilized to adjust the mix of fixed and floating interest rates in their debt portfolio, adjust the duration of the debt portfolio and lock in benchmark interest rates in anticipation of future financing, when appropriate. Risk limits under PPL's risk management program are designed to balance risk exposure to volatility in interest expense and changes in the fair value of the debt portfolio due to changes in benchmark interest rates. | ||||||||||||||||||||||||||||||
Cash Flow Hedges | ||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||
Interest rate risks include exposure to adverse interest rate movements for outstanding variable rate debt and for future anticipated financings. Financial interest rate swap contracts that qualify as cash flow hedges may be entered into to hedge floating interest rate risk associated with both existing and anticipated debt issuances. At December 31, 2014, PPL held an aggregate notional value in interest rate swap contracts of $1.6 billion that range in maturity through 2045. The amount outstanding includes swaps entered into by PPL on behalf of LG&E and KU. Realized gains and losses on the LG&E and KU swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in "Interest Expense" on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. | ||||||||||||||||||||||||||||||
At December 31, 2014, PPL held an aggregate notional value in cross-currency interest rate swap contracts of $1.3 billion that range in maturity through 2028 to hedge the interest payments and principal of WPD's U.S. dollar-denominated senior notes. | ||||||||||||||||||||||||||||||
For 2014, 2013 and 2012, hedge ineffectiveness associated with interest rate derivatives was insignificant. | ||||||||||||||||||||||||||||||
Cash flow hedges are discontinued if it is no longer probable that the original forecasted transaction will occur by the end of the originally specified time period and any amounts previously recorded in AOCI are reclassified into earnings once it is determined that the hedged transaction is probable of not occurring. PPL had an insignificant amount for 2014 and no such reclassifications in 2013 and 2012. | ||||||||||||||||||||||||||||||
At December 31, 2014, the accumulated net unrecognized after-tax gains (losses) on qualifying derivatives that are expected to be reclassified into earnings during the next 12 months were $(10) million. Amounts are reclassified as the hedged interest expense is recorded. | ||||||||||||||||||||||||||||||
(LKE, LG&E and KU) | ||||||||||||||||||||||||||||||
Periodically, LG&E and KU enter into forward-starting interest rate swaps with PPL that have terms identical to forward-starting swaps entered into by PPL with third parties. Realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, any gains and losses on these derivatives are included in regulatory assets or liabilities and will be recognized in “Interest Expense” on the Statements of Income over the life of the underlying debt at the time the underlying hedged interest expense is recorded. At December 31, 2014, the total notional amount of forward starting interest rate swaps outstanding was $1 billion (LG&E and KU each held contracts of $500 million). The swaps range in maturity through 2045. There were no forward starting interest rate swaps outstanding at December 31, 2013. Net cash settlements of $86 million were received on swaps that were terminated in 2013 (LG&E and KU each received $43 million). The settlements are included in “Regulatory liabilities” (noncurrent) on the Balance Sheets and "Cash Flows from Operating Activities" on the Statement of Cash Flows. | ||||||||||||||||||||||||||||||
Economic Activity (PPL, LKE and LG&E) | ||||||||||||||||||||||||||||||
LG&E enters into interest rate swap contracts that economically hedge interest payments on variable rate debt. Because realized gains and losses from the swaps, including a terminated swap contract, are recoverable through regulated rates, any subsequent changes in fair value of these derivatives are included in regulatory assets or liabilities until they are realized as interest expense. Realized gains and losses are recognized in "Interest Expense" on the Statements of Income at the time the underlying hedged interest expense is recorded. At December 31, 2014, LG&E held contracts with a notional amount of $179 million that range in maturity through 2033. | ||||||||||||||||||||||||||||||
Foreign Currency Risk | ||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||
PPL is exposed to foreign currency risk, primarily through investments in and earnings of U.K. affiliates. PPL has adopted a foreign currency risk management program designed to hedge certain foreign currency exposures, including firm commitments, recognized assets or liabilities, anticipated transactions and net investments. In addition, PPL enters into financial instruments to protect against foreign currency translation risk of expected earnings. | ||||||||||||||||||||||||||||||
Net Investment Hedges | ||||||||||||||||||||||||||||||
PPL enters into foreign currency contracts on behalf of a subsidiary to protect the value of a portion of its net investment in WPD. The contracts outstanding at December 31, 2014 had a notional amount of £217 million (approximately $355 million based on contracted rates). The settlement dates of these contracts range from May 2015 through June 2016. | ||||||||||||||||||||||||||||||
Additionally, a PPL Global subsidiary that has a U.S. dollar functional currency entered into GBP intercompany loans payable with WPD subsidiaries that have GBP functional currency. The loans qualify as a net investment hedge for the PPL Global subsidiary. As such, the foreign currency gains and losses on the intercompany loans for the PPL Global subsidiary are recorded to the foreign currency translation adjustment component of OCI. For 2014 and 2013, PPL recognized insignificant amounts of net investment hedge gains (losses) on the intercompany loans in the foreign currency translation adjustment component of OCI. At December 31, 2014, there were no outstanding loan balances. | ||||||||||||||||||||||||||||||
At December 31, 2014 and 2013, PPL had $14 million and an insignificant amount of accumulated net investment hedge after tax gains (losses) that were included in the foreign currency translation adjustment component of AOCI. | ||||||||||||||||||||||||||||||
Economic Activity | ||||||||||||||||||||||||||||||
PPL enters into foreign currency contracts on behalf of a subsidiary to economically hedge GBP-denominated anticipated earnings. At December 31, 2014, the total exposure hedged by PPL was approximately £1.4 billion (approximately $2.2 billion based on contracted rates). These contracts had termination dates ranging from January 2015 through December 2016. | ||||||||||||||||||||||||||||||
Accounting and Reporting | ||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||
All derivative instruments are recorded at fair value on the Balance Sheet as an asset or liability unless NPNS is elected. NPNS contracts for PPL and PPL Energy Supply include certain full-requirement sales contracts, other physical purchase and sales contracts and certain retail energy and physical capacity contracts, and for PPL Electric include certain full-requirement purchase contracts and other physical purchase contracts. Changes in the fair value of derivatives not designated as NPNS are recognized currently in earnings unless specific hedge accounting criteria are met and designated as such, except for the changes in fair values of LG&E's and KU's interest rate swaps that are recognized as regulatory assets or regulatory liabilities. See Note 6 for amounts recorded in regulatory assets and regulatory liabilities at December 31, 2014 and 2013. PPL and PPL Energy Supply have many physical and financial commodity purchases and sales contracts that economically hedge commodity price risk but do not receive hedge accounting treatment. As such, realized and unrealized gains (losses) on these contracts are recorded currently in earnings. Generally each contract is considered a unit of account and PPL and PPL Energy Supply present gains (losses) on physical and financial commodity sales contracts in "Unregulated wholesale energy" or "Unregulated retail energy" and (gains) losses on physical and financial commodity purchase contracts in "Fuel" or "Energy purchases" on the Statements of Income. Certain of the economic hedging strategies employed by PPL Energy Supply utilize a combination of financial purchases and sales contracts which are similarly reported gross as an expense and revenue, respectively, on the Statements of Income. PPL Energy Supply records realized hourly net sales or purchases of physical power with PJM in its Statements of Income as "Unregulated wholesale energy" if in a net sales position and "Energy purchases" if in a net purchase position. | ||||||||||||||||||||||||||||||
See Note 1 for additional information on accounting policies related to derivative instruments. | ||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||
The following table presents the fair value and location of derivative instruments recorded on the Balance Sheets. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
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: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps (b) | $ | 94 | $ | 5 | $ | 82 | $ | 4 | ||||||||||||||||||||||
Cross-currency swaps (b) | 3 | $ | 4 | |||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | $ | 12 | $ | 67 | 16 | 55 | ||||||||||||||||||||||||
Commodity contracts | 1,079 | 1,024 | $ | 860 | 750 | |||||||||||||||||||||||||
Total current | 12 | 97 | 1,146 | 1,029 | 82 | 20 | 860 | 809 | ||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps (b) | 14 | 43 | 9 | 32 | ||||||||||||||||||||||||||
Cross-currency swaps (b) | 29 | 28 | ||||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | 5 | 46 | 2 | 4 | 31 | |||||||||||||||||||||||||
Commodity contracts | 239 | 193 | 328 | 320 | ||||||||||||||||||||||||||
Total noncurrent | 34 | 14 | 285 | 238 | 9 | 32 | 328 | 383 | ||||||||||||||||||||||
Total derivatives | $ | 46 | $ | 111 | $ | 1,431 | $ | 1,267 | $ | 91 | $ | 52 | $ | 1,188 | $ | 1,192 | ||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
(b) Excludes accrued interest, if applicable. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income, OCI or regulatory assets and regulatory liabilities. | ||||||||||||||||||||||||||||||
Derivatives in | Hedged Items in | Location of Gain | ||||||||||||||||||||||||||||
Fair Value Hedging | Fair Value Hedging | (Loss) Recognized | Gain (Loss) Recognized | Gain (Loss) Recognized | ||||||||||||||||||||||||||
Relationships | Relationships | in Income | in Income on Derivative | in Income on Related Item | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||
Interest rate swaps | Fixed rate debt | Interest Expense | $ | 3 | ||||||||||||||||||||||||||
Gain (Loss) Recognized | ||||||||||||||||||||||||||||||
in Income on Derivative | ||||||||||||||||||||||||||||||
Derivative Gain | Location of Gain (Loss) | Gain (Loss) Reclassified | (Ineffective Portion and | |||||||||||||||||||||||||||
Derivative | (Loss) Recognized in | Recognized in Income | from AOCI into Income | Amount Excluded from | ||||||||||||||||||||||||||
Relationships | OCI (Effective Portion) | on Derivative | (Effective Portion) | Effectiveness Testing) | ||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | -91 | Interest Expense | $ | -18 | $ | 2 | |||||||||||||||||||||||
Cross-currency swaps | 58 | Other Income (Expense) - net | 57 | |||||||||||||||||||||||||||
Interest Expense | 4 | |||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | 1 | ||||||||||||||||||||||||||||
Energy purchases | 31 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 8 | |||||||||||||||||||||||||||||
Total | $ | -33 | $ | 85 | $ | 2 | ||||||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | 23 | ||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 127 | Interest Expense | $ | -20 | |||||||||||||||||||||||||
Cross-currency swaps | -41 | Other Income (Expense) - net | -28 | |||||||||||||||||||||||||||
Interest Expense | 1 | |||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | 240 | $ | 1 | ||||||||||||||||||||||||||
Energy purchases | -58 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Other | 3 | |||||||||||||||||||||||||||||
Discontinued operations | 23 | |||||||||||||||||||||||||||||
Total | $ | 86 | $ | 163 | $ | 1 | ||||||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -14 | ||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | -28 | Interest Expense | $ | -18 | |||||||||||||||||||||||||
Other Income (Expense) - net | 1 | |||||||||||||||||||||||||||||
Cross-currency swaps | -15 | Other Income (Expense) - net | -23 | |||||||||||||||||||||||||||
Interest Expense | -2 | |||||||||||||||||||||||||||||
Commodity contracts | 114 | Unregulated wholesale energy | 838 | $ | -1 | |||||||||||||||||||||||||
Energy purchases | -136 | -2 | ||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 50 | |||||||||||||||||||||||||||||
Total | $ | 71 | $ | 712 | $ | -3 | ||||||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -7 | ||||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Foreign currency contracts | Other Income (Expense) - net | $ | 121 | $ | -38 | $ | -52 | |||||||||||||||||||||||
Interest rate swaps | Interest Expense | -8 | -8 | -8 | ||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | -1,353 | -99 | 1,182 | ||||||||||||||||||||||||||
Unregulated retail energy | 30 | 25 | 30 | |||||||||||||||||||||||||||
Fuel | -30 | 2 | ||||||||||||||||||||||||||||
Energy purchases | 1,013 | 130 | -965 | |||||||||||||||||||||||||||
Discontinued operations | 6 | 14 | 17 | |||||||||||||||||||||||||||
Total | $ | -221 | $ | 26 | $ | 204 | ||||||||||||||||||||||||
Derivatives Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Cash Flow Hedges | Regulatory Liabilities/Assets | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -66 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 72 | $ | 14 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -12 | $ | 22 | $ | 1 | |||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||
The following tables present the fair value and location of derivative instruments recorded on the Balance Sheets. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Derivatives not designated | Derivatives not designated | |||||||||||||||||||||||||||||
as hedging instruments | as hedging instruments | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 1,079 | $ | 1,024 | $ | 860 | $ | 750 | ||||||||||||||||||||||
Total current | 1,079 | 1,024 | 860 | 750 | ||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Commodity contracts | 239 | 193 | 328 | 320 | ||||||||||||||||||||||||||
Total noncurrent | 239 | 193 | 328 | 320 | ||||||||||||||||||||||||||
Total derivatives | $ | 1,318 | $ | 1,217 | $ | 1,188 | $ | 1,070 | ||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income or OCI. | ||||||||||||||||||||||||||||||
Gain (Loss) Recognized | ||||||||||||||||||||||||||||||
in Income on Derivative | ||||||||||||||||||||||||||||||
Derivative Gain | Location of Gain (Loss) | Gain (Loss) Reclassified | (Ineffective Portion and | |||||||||||||||||||||||||||
Derivative | (Loss) Recognized in | Recognized in Income | from AOCI into Income | Amount Excluded from | ||||||||||||||||||||||||||
Relationships | OCI (Effective Portion) | on Derivative | (Effective Portion) | Effectiveness Testing) | ||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | $ | 1 | |||||||||||||||||||||||||||
Energy purchases | 31 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 8 | |||||||||||||||||||||||||||||
Total | $ | 42 | ||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | $ | 240 | $ | 1 | |||||||||||||||||||||||||
Energy purchases | -58 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 23 | |||||||||||||||||||||||||||||
Total | $ | 207 | $ | 1 | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 114 | Unregulated wholesale energy | $ | 838 | $ | -1 | |||||||||||||||||||||||
Energy purchases | -136 | -2 | ||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 50 | |||||||||||||||||||||||||||||
Total | $ | 114 | $ | 754 | $ | -3 | ||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | $ | -1,353 | $ | -99 | $ | 1,182 | |||||||||||||||||||||||
Unregulated retail energy | 30 | 25 | 30 | |||||||||||||||||||||||||||
Fuel | -30 | 2 | ||||||||||||||||||||||||||||
Energy purchases | 1,013 | 130 | -965 | |||||||||||||||||||||||||||
Discontinued operations | 6 | 14 | 17 | |||||||||||||||||||||||||||
Total | $ | -334 | $ | 72 | $ | 264 | ||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 66 | ||||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheet. | ||||||||||||||||||||||||||||||
The following table presents the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory assets and liabilities. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -66 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 72 | $ | 14 | ||||||||||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 33 | ||||||||||||||||||||||||||||
(a) Represents the location on the balance sheet. | ||||||||||||||||||||||||||||||
The following table presents the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory assets and liabilities. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory asset - noncurrent | $ | -33 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 36 | $ | 7 | ||||||||||||||||||||||||||
(KU) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 33 | ||||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following table presents the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory assets and liabilities. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -33 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 36 | $ | 7 | ||||||||||||||||||||||||||
(LKE and LG&E) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivatives not designated as hedging instruments. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 5 | $ | 4 | ||||||||||||||||||||||||||
Total current | 5 | 4 | ||||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | 43 | 32 | ||||||||||||||||||||||||||||
Total noncurrent | 43 | 32 | ||||||||||||||||||||||||||||
Total derivatives | $ | 48 | $ | 36 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as cash flow hedges that are recognized in income or regulatory assets. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Interest Expense | $ | -8 | $ | -8 | $ | -8 | |||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -12 | $ | 22 | $ | 1 | |||||||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||||||||||||||
Offsetting Derivative Instruments | ||||||||||||||||||||||||||||||
PPL, PPL Energy Supply, LKE, LG&E and KU or certain of their subsidiaries have master netting arrangements or similar agreements in place including derivative clearing agreements with futures commission merchants (FCMs) to permit the trading of cleared derivative products on one or more futures exchanges. The clearing arrangements permit an FCM to use and apply any property in its possession as a set off to pay amounts or discharge obligations owed by a customer upon default of the customer and typically do not place any restrictions on the FCM's use of collateral posted by the customer. PPL, PPL Energy Supply, LKE, LG&E and KU and their subsidiaries also enter into agreements pursuant to which they trade certain energy and other products. Under the agreements, upon termination of the agreement as a result of a default or other termination event, the non-defaulting party typically would have a right to setoff amounts owed under the agreement against any other obligations arising between the two parties (whether under the agreement or not), whether matured or contingent and irrespective of the currency, place of payment or place of booking of the obligation. | ||||||||||||||||||||||||||||||
PPL, PPL Energy Supply, LKE, LG&E and KU have elected not to offset derivative assets and liabilities and not to offset net derivative positions against the right to reclaim cash collateral pledged (an asset) or the obligation to return cash collateral received (a liability) under derivatives agreements. The table below summarizes the derivative positions presented in the balance sheets where a right of setoff exists under these arrangements and related cash collateral received or pledged. | ||||||||||||||||||||||||||||||
Assets | Liabilities | |||||||||||||||||||||||||||||
Eligible for Offset | Eligible for Offset | |||||||||||||||||||||||||||||
Cash | Cash | |||||||||||||||||||||||||||||
Derivative | Collateral | Derivative | Collateral | |||||||||||||||||||||||||||
Gross | Instruments | Received | Net | Gross | Instruments | Pledged | Net | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
Treasury Derivatives | 159 | 65 | 94 | 161 | 65 | 21 | 75 | |||||||||||||||||||||||
Total | $ | 1,477 | $ | 1,125 | $ | 10 | $ | 342 | $ | 1,378 | $ | 1,125 | $ | 79 | $ | 174 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 114 | $ | 20 | $ | 94 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 81 | $ | 20 | $ | 61 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 33 | $ | 33 | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
Treasury Derivatives | 91 | 61 | 30 | 174 | 61 | 23 | 90 | |||||||||||||||||||||||
Total | $ | 1,279 | $ | 973 | $ | 7 | $ | 299 | $ | 1,244 | $ | 973 | $ | 24 | $ | 247 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
Credit Risk-Related Contingent Features | ||||||||||||||||||||||||||||||
Certain derivative contracts contain credit risk-related contingent features which, when in a net liability position, would permit the counterparties to require the transfer of additional collateral upon a decrease in the credit ratings of PPL, PPL Energy Supply, LKE, LG&E and KU or certain of their subsidiaries. Most of these features would require the transfer of additional collateral or permit the counterparty to terminate the contract if the applicable credit rating were to fall below investment grade. Some of these features also would allow the counterparty to require additional collateral upon each downgrade in the credit rating at levels that remain above investment grade. In either case, if the applicable credit rating were to fall below investment grade, and assuming no assignment to an investment grade affiliate were allowed, most of these credit contingent features require either immediate payment of the net liability as a termination payment or immediate and ongoing full collateralization on derivative instruments in net liability positions. | ||||||||||||||||||||||||||||||
Additionally, certain derivative contracts contain credit risk-related contingent features that require adequate assurance of performance be provided if the other party has reasonable concerns regarding the performance of PPL's obligation under the contract. A counterparty demanding adequate assurance could require a transfer of additional collateral or other security, including letters of credit, cash and guarantees from a creditworthy entity. This would typically involve negotiations among the parties. However, amounts disclosed below represent assumed immediate payment or immediate and ongoing full collateralization for derivative instruments in net liability positions with "adequate assurance" features. | ||||||||||||||||||||||||||||||
(All Registrants except PPL Electric and KU) | ||||||||||||||||||||||||||||||
At December 31, 2014, derivative contracts in a net liability position that contain credit risk-related contingent features, collateral posted on those positions and the related effect of a decrease in credit ratings below investment grade are summarized as follows: | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 162 | $ | 98 | $ | 30 | $ | 30 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 127 | 106 | 21 | 21 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 71 | (b) | 26 | (b) | 10 | 10 | ||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
(b) During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. Amounts related to PPL Energy Supply represent net liability positions subject to further adequate assurance features. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets | 18. Goodwill and Other Intangible Assets | |||||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||
The changes in the carrying amount of goodwill by segment were: | ||||||||||||||||||||||||||||
U.K. Regulated | Kentucky Regulated | Supply | Total | |||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Balance at beginning of period (a) | $ | 3,143 | $ | 3,076 | $ | 662 | $ | 662 | $ | 420 | $ | 420 | $ | 4,225 | $ | 4,158 | ||||||||||||
Allocation to discontinued operations (b) | -82 | -82 | ||||||||||||||||||||||||||
Effect of foreign currency exchange rates | -138 | 67 | -138 | 67 | ||||||||||||||||||||||||
Balance at end of period (a) | $ | 3,005 | $ | 3,143 | $ | 662 | $ | 662 | $ | 338 | $ | 420 | $ | 4,005 | $ | 4,225 | ||||||||||||
(a) There were no accumulated impairment losses related to goodwill. | ||||||||||||||||||||||||||||
(b) Represents goodwill allocated to the Montana hydroelectric generating facilities that were sold in November 2014. See Note 8 for additional information. | ||||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||
For PPL Energy Supply, the change in carrying amount of goodwill for the year ended December 31, 2014 was due to goodwill allocated to the Montana hydroelectric generating facilities which were sold in November 2014. See Note 8 for additional information. | ||||||||||||||||||||||||||||
Other Intangible Assets | ||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Contracts (a) | $ | 408 | $ | 250 | $ | 408 | $ | 202 | ||||||||||||||||||||
Land and transmission rights | 359 | 121 | 331 | 117 | ||||||||||||||||||||||||
Emission allowances/RECs (b) | 15 | 16 | ||||||||||||||||||||||||||
Licenses and other (c) | 280 | 25 | 305 | 45 | ||||||||||||||||||||||||
Total subject to amortization | 1,062 | 396 | 1,060 | 364 | ||||||||||||||||||||||||
Not subject to amortization due to indefinite life: | ||||||||||||||||||||||||||||
Land and transmission rights | 16 | 16 | ||||||||||||||||||||||||||
Easements | 250 | 239 | ||||||||||||||||||||||||||
Total not subject to amortization due to indefinite life | 266 | 255 | ||||||||||||||||||||||||||
Total | $ | 1,328 | $ | 396 | $ | 1,315 | $ | 364 | ||||||||||||||||||||
(a) Gross carrying amount includes the fair value at the acquisition date of the OVEC power purchase contract and coal contracts with terms favorable to market recognized as a result of the 2010 acquisition of LKE by PPL. Offsetting regulatory liabilities were recorded related to these contracts, which are being amortized over the same period as the intangible assets, eliminating any income statement impact. This is referred to as "regulatory offset" in the tables below. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) "Other" includes costs for the development of licenses, the most significant of which is the COLA. Amortization of these costs begins when the related asset is placed in service. See Note 8 for additional information on the COLA. | ||||||||||||||||||||||||||||
Current intangible assets are included in "Other current assets" and long-term intangible assets are included in "Other intangibles" on the Balance Sheets. | ||||||||||||||||||||||||||||
Amortization expense for the years ended December 31, excluding consumption of emission allowances/RECs of $24 million, $23 million and $12 million in 2014, 2013 and 2012, was as follows: | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 10 | $ | 10 | $ | 14 | ||||||||||||||||||||||
Intangible assets with regulatory offset | 47 | 51 | 47 | |||||||||||||||||||||||||
Total | $ | 57 | $ | 61 | $ | 61 | ||||||||||||||||||||||
Amortization expense for each of the next five years, excluding insignificant amounts for consumption of emission allowances/RECs, is estimated to be: | ||||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 8 | $ | 8 | $ | 8 | $ | 8 | $ | 8 | ||||||||||||||||||
Intangible assets with regulatory offset | 50 | 26 | 9 | 9 | 9 | |||||||||||||||||||||||
Total | $ | 58 | $ | 34 | $ | 17 | $ | 17 | $ | 17 | ||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Land and transmission rights | $ | 17 | $ | 14 | $ | 17 | $ | 14 | ||||||||||||||||||||
Emission allowances/RECs (a) | 10 | 11 | ||||||||||||||||||||||||||
Licenses and other (b) | 270 | 19 | 295 | 39 | ||||||||||||||||||||||||
Total subject to amortization | $ | 297 | $ | 33 | $ | 323 | $ | 53 | ||||||||||||||||||||
(a) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(b) "Other" includes costs for the development of licenses, the most significant of which is the COLA. Amortization of these costs begins when the related asset is placed in service. See Note 8 for additional information on the COLA. | ||||||||||||||||||||||||||||
Current intangible assets are included in "Other current assets" and long-term intangible assets are presented as "Other intangibles" on the Balance Sheets. | ||||||||||||||||||||||||||||
Amortization expense for the years ended December 31, excluding consumption of emission allowances/RECs of $24 million, $23 million and $12 million in 2014, 2013, and 2012 was as follows: | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Amortization expense | $ | 4 | $ | 5 | $ | 9 | ||||||||||||||||||||||
Amortization expense and consumption of emission allowances/RECs is expected to be insignificant in future years. | ||||||||||||||||||||||||||||
(PPL Electric) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Land and transmission rights | $ | 321 | $ | 105 | $ | 293 | $ | 102 | ||||||||||||||||||||
Licenses and other | 4 | 1 | 5 | 1 | ||||||||||||||||||||||||
Total subject to amortization | 325 | 106 | 298 | 103 | ||||||||||||||||||||||||
Not subject to amortization due to indefinite life: | ||||||||||||||||||||||||||||
Land and transmission rights | 16 | 16 | ||||||||||||||||||||||||||
Total | $ | 341 | $ | 106 | $ | 314 | $ | 103 | ||||||||||||||||||||
Intangible assets are shown as "Intangibles" on the Balance Sheets. | ||||||||||||||||||||||||||||
Amortization expense was insignificant in 2014, 2013 and 2012 and is expected to be insignificant in future years. | ||||||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Coal contracts (a) | $ | 269 | $ | 210 | $ | 269 | $ | 171 | ||||||||||||||||||||
Land and transmission rights | 21 | 2 | 20 | 2 | ||||||||||||||||||||||||
Emission allowances (b) | 3 | 4 | ||||||||||||||||||||||||||
OVEC power purchase agreement (c) | 126 | 33 | 126 | 25 | ||||||||||||||||||||||||
Total subject to amortization | $ | 419 | $ | 245 | $ | 419 | $ | 198 | ||||||||||||||||||||
(a) Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
Current intangible assets are included in "Other current assets" on the Balance Sheets. Long-term intangible assets are presented as "Other intangibles" on the Balance Sheets. | ||||||||||||||||||||||||||||
Amortization expense was as follows: | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 1 | ||||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 47 | 51 | $ | 47 | |||||||||||||||||||||||
Total | $ | 47 | $ | 52 | $ | 47 | ||||||||||||||||||||||
Amortization expense for each of the next five years, excluding consumption of emission allowances, is estimated to be: | ||||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 50 | $ | 26 | $ | 9 | $ | 9 | $ | 9 | ||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Coal contracts (a) | $ | 124 | $ | 98 | $ | 124 | $ | 81 | ||||||||||||||||||||
Land and transmission rights | 7 | 1 | 7 | 1 | ||||||||||||||||||||||||
Emission allowances (b) | 1 | 1 | ||||||||||||||||||||||||||
OVEC power purchase agreement (c) | 87 | 23 | 87 | 17 | ||||||||||||||||||||||||
Total subject to amortization | $ | 219 | $ | 122 | $ | 219 | $ | 99 | ||||||||||||||||||||
(a) Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
Current intangible assets are included in "Other current assets" on the Balance Sheets. Long-term intangible assets are presented as "Other intangibles" on the Balance Sheets. | ||||||||||||||||||||||||||||
Amortization expense was as follows: | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 23 | $ | 23 | $ | 23 | ||||||||||||||||||||||
Amortization expense for each of the next five years, excluding consumption of emission allowances, is estimated to be: | ||||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 24 | $ | 13 | $ | 6 | $ | 6 | $ | 6 | ||||||||||||||||||
(KU) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Coal contracts (a) | $ | 145 | $ | 112 | $ | 145 | $ | 90 | ||||||||||||||||||||
Land and transmission rights | 14 | 1 | 13 | 1 | ||||||||||||||||||||||||
Emission allowances (b) | 2 | 3 | ||||||||||||||||||||||||||
OVEC power purchase agreement (c) | 39 | 10 | 39 | 8 | ||||||||||||||||||||||||
Total subject to amortization | $ | 200 | $ | 123 | $ | 200 | $ | 99 | ||||||||||||||||||||
(a) Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
Current intangible assets are included in "Other current assets" on the Balance Sheets. Long-term intangible assets are presented as "Other intangibles" on the Balance Sheets. | ||||||||||||||||||||||||||||
Amortization expense was as follows: | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 1 | ||||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 24 | 28 | $ | 24 | |||||||||||||||||||||||
Total | $ | 24 | $ | 29 | $ | 24 | ||||||||||||||||||||||
Amortization expense for each of the next five years, excluding consumption of emission allowances, is estimated to be: | ||||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 26 | $ | 13 | $ | 3 | $ | 3 | $ | 3 |
Asset_Retirement_Obligations
Asset Retirement Obligations | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Asset Retirement Obligations [Abstract] | |||||||||||||||||||||
Asset Retirement Obligations | 19. Asset Retirement Obligations | ||||||||||||||||||||
(PPL) | |||||||||||||||||||||
WPD has recorded conditional AROs required by U.K. law related to treated wood poles, gas-filled switchgear and fluid-filled cables. | |||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||
PPL Energy Supply has recorded AROs to reflect various legal obligations associated with the retirement of long-lived assets, the most significant of which relates to the decommissioning of the Susquehanna nuclear plant. Assets in the NDT funds are legally restricted for the purpose of settling this ARO. See Notes 16 and 20 for additional information on the nuclear decommissioning trust funds. Other AROs recorded relate to various environmental requirements for coal piles, ash basins and other waste basin retirements. | |||||||||||||||||||||
PPL Energy Supply has recorded several conditional AROs, the most significant of which is related to the removal and disposal of asbestos-containing material. In addition to the AROs that were recorded for asbestos-containing material, PPL Energy Supply identified other asbestos-related obligations, but was unable to reasonably estimate their fair values. PPL Energy Supply management was unable to reasonably estimate a settlement date or range of settlement dates for the remediation of all of the asbestos-containing material at certain of the generation plants. If economic events or other circumstances change that enable PPL Energy Supply to reasonably estimate the fair value of these retirement obligations, they will be recorded at that time. | |||||||||||||||||||||
PPL Energy Supply also identified legal retirement obligations associated with the retirement of a reservoir that could not be reasonably estimated due to an indeterminable settlement date. | |||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||
PPL Electric has identified legal retirement obligations for the retirement of certain transmission assets that could not be reasonably estimated due to indeterminable settlement dates. These assets are located on rights-of-way that allow the grantor to require PPL Electric to relocate or remove the assets. Since this option is at the discretion of the grantor of the right-of-way, PPL Electric is unable to determine when these events may occur. | |||||||||||||||||||||
(PPL, LKE, LG&E and KU) | |||||||||||||||||||||
LG&E's and KU's AROs are primarily related to the final retirement of assets associated with generating units. LG&E also has AROs related to natural gas mains and wells. LG&E's and KU's transmission and distribution lines largely operate under perpetual property easement agreements which do not generally require restoration upon removal of the property. Therefore, no material AROs are recorded for transmission and distribution assets. As described in Notes 1 and 6, LG&E's and KU's accretion and depreciation expense are recorded as a regulatory asset, such that there is no earnings impact. In 2014, AROs were revalued primarily due to updates in the estimated cash flows for ash ponds based on updated cost estimates. In 2013, AROs were revalued primarily due to updates in the estimated cash flows for ash ponds and CCR surface impoundments based on updated cost estimates. | |||||||||||||||||||||
(All Registrants except PPL Electric) | |||||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | |||||||||||||||||||||
PPL | PPL Energy Supply | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
ARO at beginning of period | $ | 705 | $ | 552 | $ | 404 | $ | 375 | |||||||||||||
Accretion | 48 | 38 | 32 | 29 | |||||||||||||||||
Obligations incurred | 14 | 6 | 13 | 6 | |||||||||||||||||
Changes in estimated cash flow or settlement date | 9 | 123 | -16 | 1 | |||||||||||||||||
Effect of foreign currency exchange rates | -2 | 1 | |||||||||||||||||||
Obligations settled | -13 | -15 | -8 | -7 | |||||||||||||||||
ARO at end of period | $ | 761 | $ | 705 | $ | 425 | $ | 404 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
ARO at beginning of period | $ | 252 | $ | 131 | $ | 74 | $ | 62 | $ | 178 | $ | 69 | |||||||||
Accretion | 14 | 7 | 4 | 3 | 10 | 4 | |||||||||||||||
Obligations incurred | 1 | 1 | |||||||||||||||||||
Changes in estimated cash flow | |||||||||||||||||||||
or settlement date | 23 | 122 | 1 | 17 | 22 | 105 | |||||||||||||||
Obligations settled | -5 | -8 | -5 | -8 | |||||||||||||||||
ARO at end of period | $ | 285 | $ | 252 | $ | 74 | $ | 74 | $ | 211 | $ | 178 | |||||||||
Substantially all of the ARO balances are classified as noncurrent at December 31, 2014 and 2013. | |||||||||||||||||||||
See Note 13 for information on CCRs regulation that could require the recording of additional AROs in 2015. |
AvailableforSale_Securities
Available-for-Sale Securities | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Investments In Debt And Marketable Equity Securities And Certain Trading Assets [Line Items] | ||||||||||||||||||||||||||||||
Available-for-Sale Securities | 20. Available-for-Sale Securities | |||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||
Securities held by the NDT funds and auction rate securities are classified as available-for-sale. | ||||||||||||||||||||||||||||||
The following table shows the amortized cost, the gross unrealized gains and losses recorded in AOCI and the fair value of available-for-sale securities. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 19 | $ | 19 | $ | 14 | $ | 14 | ||||||||||||||||||||||
Equity securities | 283 | $ | 417 | 700 | 265 | $ | 363 | 628 | ||||||||||||||||||||||
Debt securities | 218 | 11 | 229 | 217 | 7 | $ | 3 | 221 | ||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | 1 | 1 | ||||||||||||||||||||||||||
Total NDT funds | $ | 522 | $ | 428 | $ | 950 | $ | 497 | $ | 370 | $ | 3 | $ | 864 | ||||||||||||||||
Auction rate securities: | ||||||||||||||||||||||||||||||
PPL | $ | 11 | $ | 1 | $ | 10 | $ | 20 | $ | 1 | $ | 19 | ||||||||||||||||||
PPL Energy Supply | 8 | 8 | 17 | 1 | 16 | |||||||||||||||||||||||||
See Note 16 for details on the securities held by the NDT funds. | ||||||||||||||||||||||||||||||
There were no securities with credit losses at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
The following table shows the scheduled maturity dates of debt securities held at December 31, 2014. | ||||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 68 | $ | 229 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 73 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 65 | $ | 226 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 71 | 237 | |||||||||||||||||||||||||
The following table shows proceeds from and realized gains and losses on sales of available-for-sale securities. | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 5 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 3 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
(a) These proceeds are used to pay income taxes and fees related to managing the trust. Remaining proceeds are reinvested in the trust. | ||||||||||||||||||||||||||||||
(b) Excludes the impact of other-than-temporary impairment charges recognized on the Statements of Income. | ||||||||||||||||||||||||||||||
NDT Funds | ||||||||||||||||||||||||||||||
Amounts previously collected from PPL Electric's customers for decommissioning the Susquehanna nuclear plant, less applicable taxes, were deposited in external trust funds for investment and can only be used for future decommissioning costs. To the extent that the actual costs for decommissioning exceed the amounts in the nuclear decommissioning trust funds, PPL Susquehanna would be obligated to fund 90% of the shortfall. | ||||||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||||||||||
Investments In Debt And Marketable Equity Securities And Certain Trading Assets [Line Items] | ||||||||||||||||||||||||||||||
Available-for-Sale Securities | 20. Available-for-Sale Securities | |||||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||
Securities held by the NDT funds and auction rate securities are classified as available-for-sale. | ||||||||||||||||||||||||||||||
The following table shows the amortized cost, the gross unrealized gains and losses recorded in AOCI and the fair value of available-for-sale securities. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 19 | $ | 19 | $ | 14 | $ | 14 | ||||||||||||||||||||||
Equity securities | 283 | $ | 417 | 700 | 265 | $ | 363 | 628 | ||||||||||||||||||||||
Debt securities | 218 | 11 | 229 | 217 | 7 | $ | 3 | 221 | ||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | 1 | 1 | ||||||||||||||||||||||||||
Total NDT funds | $ | 522 | $ | 428 | $ | 950 | $ | 497 | $ | 370 | $ | 3 | $ | 864 | ||||||||||||||||
Auction rate securities: | ||||||||||||||||||||||||||||||
PPL | $ | 11 | $ | 1 | $ | 10 | $ | 20 | $ | 1 | $ | 19 | ||||||||||||||||||
PPL Energy Supply | 8 | 8 | 17 | 1 | 16 | |||||||||||||||||||||||||
See Note 16 for details on the securities held by the NDT funds. | ||||||||||||||||||||||||||||||
There were no securities with credit losses at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
The following table shows the scheduled maturity dates of debt securities held at December 31, 2014. | ||||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 68 | $ | 229 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 73 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 65 | $ | 226 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 71 | 237 | |||||||||||||||||||||||||
The following table shows proceeds from and realized gains and losses on sales of available-for-sale securities. | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 5 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 3 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
(a) These proceeds are used to pay income taxes and fees related to managing the trust. Remaining proceeds are reinvested in the trust. | ||||||||||||||||||||||||||||||
(b) Excludes the impact of other-than-temporary impairment charges recognized on the Statements of Income. | ||||||||||||||||||||||||||||||
NDT Funds | ||||||||||||||||||||||||||||||
Amounts previously collected from PPL Electric's customers for decommissioning the Susquehanna nuclear plant, less applicable taxes, were deposited in external trust funds for investment and can only be used for future decommissioning costs. To the extent that the actual costs for decommissioning exceed the amounts in the nuclear decommissioning trust funds, PPL Susquehanna would be obligated to fund 90% of the shortfall. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | 21. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | |||||||||||||||||||||||||
The after-tax changes in AOCI by component for the years ended December 31 were as follows. | |||||||||||||||||||||||||
Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
Foreign | |||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | ||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | |||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | ||||||||||||||||||
PPL | |||||||||||||||||||||||||
December 31, 2011 | $ | -243 | $ | 90 | $ | 527 | $ | -1 | $ | -25 | $ | -1,137 | $ | 1 | $ | -788 | |||||||||
OCI | 94 | 22 | -395 | 2 | 11 | -886 | -1,152 | ||||||||||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | |||||||||
Amounts arising during the year | 138 | 67 | 45 | 2 | 71 | 323 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -83 | 6 | 135 | 52 | ||||||||||||||||||||
Net OCI during the year | 138 | 61 | -38 | 8 | 206 | 375 | |||||||||||||||||||
December 31, 2013 | $ | -11 | $ | 173 | $ | 94 | $ | 1 | $ | -6 | $ | -1,817 | $ | 1 | $ | -1,565 | |||||||||
Amounts arising during the year | -275 | 35 | -10 | 5 | -509 | -754 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -64 | 4 | 111 | 45 | ||||||||||||||||||||
Net OCI during the year | -275 | 29 | -74 | 9 | -398 | -709 | |||||||||||||||||||
December 31, 2014 | $ | -286 | $ | 202 | $ | 20 | $ | 1 | $ | 3 | $ | -2,215 | $ | 1 | $ | -2,274 | |||||||||
PPL Energy Supply | |||||||||||||||||||||||||
December 31, 2011 | $ | 90 | $ | 606 | $ | -16 | $ | -193 | $ | 487 | |||||||||||||||
OCI | 22 | -395 | 6 | -72 | -439 | ||||||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | |||||||||||||||
Amounts arising during the year | 67 | 2 | 71 | 140 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -123 | 4 | 14 | -111 | ||||||||||||||||||||
Net OCI during the year | 61 | -123 | 6 | 85 | 29 | ||||||||||||||||||||
December 31, 2013 | $ | 173 | $ | 88 | $ | -4 | $ | -180 | $ | 77 | |||||||||||||||
Amounts arising during the year | 35 | 8 | -120 | -77 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -25 | 3 | 5 | -23 | ||||||||||||||||||||
Net OCI during the year | 29 | -25 | 11 | -115 | -100 | ||||||||||||||||||||
December 31, 2014 | $ | 202 | $ | 63 | $ | 7 | $ | -295 | $ | -23 | |||||||||||||||
LKE | |||||||||||||||||||||||||
December 31, 2011 | $ | -2 | $ | 6 | $ | 4 | |||||||||||||||||||
OCI | $ | 1 | -20 | -19 | |||||||||||||||||||||
December 31, 2012 | $ | 1 | $ | -2 | $ | -14 | $ | -15 | |||||||||||||||||
Amounts arising during the year | 28 | 28 | |||||||||||||||||||||||
Net OCI during the year | 28 | 28 | |||||||||||||||||||||||
December 31, 2013 | $ | 1 | $ | -2 | $ | 14 | $ | 13 | |||||||||||||||||
Amounts arising during the year | -7 | -50 | -57 | ||||||||||||||||||||||
Reclassifications from AOCI | -1 | 1 | -1 | -1 | |||||||||||||||||||||
Net OCI during the year | -1 | -6 | -51 | -58 | |||||||||||||||||||||
December 31, 2014 | $ | $ | -8 | $ | -37 | $ | -45 | ||||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the years ended December 31, 2014 and 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 11 for additional information. | |||||||||||||||||||||||||
PPL | PPL Energy Supply | Affected Line Item on the | |||||||||||||||||||||||
Details about AOCI | 2014 | 2013 | 2014 | 2013 | Statements of Income | ||||||||||||||||||||
Available-for-sale securities | $ | 13 | $ | 10 | $ | 13 | $ | 10 | Other Income (Expense) - net | ||||||||||||||||
Total Pre-tax | 13 | 10 | 13 | 10 | |||||||||||||||||||||
Income Taxes | -7 | -4 | -7 | -4 | |||||||||||||||||||||
Total After-tax | 6 | 6 | 6 | 6 | |||||||||||||||||||||
Qualifying derivatives | |||||||||||||||||||||||||
Interest rate swaps | -16 | -20 | Interest Expense | ||||||||||||||||||||||
Cross-currency swaps | 57 | -28 | Other Income (Expense) - net | ||||||||||||||||||||||
4 | 1 | Interest Expense | |||||||||||||||||||||||
Energy commodities | 1 | 240 | 1 | 240 | Unregulated wholesale energy | ||||||||||||||||||||
31 | -58 | 31 | -58 | Energy purchases | |||||||||||||||||||||
8 | 23 | 8 | 23 | Discontinued operations | |||||||||||||||||||||
2 | 5 | 2 | 2 | Other | |||||||||||||||||||||
Total Pre-tax | 87 | 163 | 42 | 207 | |||||||||||||||||||||
Income Taxes | -23 | -80 | -17 | -84 | |||||||||||||||||||||
Total After-tax | 64 | 83 | 25 | 123 | |||||||||||||||||||||
Defined benefit plans | |||||||||||||||||||||||||
Prior service costs | -7 | -10 | -4 | -7 | |||||||||||||||||||||
Net actuarial loss | -145 | -184 | -9 | -24 | |||||||||||||||||||||
Total Pre-tax | -152 | -194 | -13 | -31 | |||||||||||||||||||||
Income Taxes | 37 | 53 | 5 | 13 | |||||||||||||||||||||
Total After-tax | -115 | -141 | -8 | -18 | |||||||||||||||||||||
Total reclassifications during the year | $ | -45 | $ | -52 | $ | 23 | $ | 111 | |||||||||||||||||
PPL Energy Supply LLC [Member] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | 21. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | |||||||||||||||||||||||||
The after-tax changes in AOCI by component for the years ended December 31 were as follows. | |||||||||||||||||||||||||
Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
Foreign | |||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | ||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | |||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | ||||||||||||||||||
PPL | |||||||||||||||||||||||||
December 31, 2011 | $ | -243 | $ | 90 | $ | 527 | $ | -1 | $ | -25 | $ | -1,137 | $ | 1 | $ | -788 | |||||||||
OCI | 94 | 22 | -395 | 2 | 11 | -886 | -1,152 | ||||||||||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | |||||||||
Amounts arising during the year | 138 | 67 | 45 | 2 | 71 | 323 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -83 | 6 | 135 | 52 | ||||||||||||||||||||
Net OCI during the year | 138 | 61 | -38 | 8 | 206 | 375 | |||||||||||||||||||
December 31, 2013 | $ | -11 | $ | 173 | $ | 94 | $ | 1 | $ | -6 | $ | -1,817 | $ | 1 | $ | -1,565 | |||||||||
Amounts arising during the year | -275 | 35 | -10 | 5 | -509 | -754 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -64 | 4 | 111 | 45 | ||||||||||||||||||||
Net OCI during the year | -275 | 29 | -74 | 9 | -398 | -709 | |||||||||||||||||||
December 31, 2014 | $ | -286 | $ | 202 | $ | 20 | $ | 1 | $ | 3 | $ | -2,215 | $ | 1 | $ | -2,274 | |||||||||
PPL Energy Supply | |||||||||||||||||||||||||
December 31, 2011 | $ | 90 | $ | 606 | $ | -16 | $ | -193 | $ | 487 | |||||||||||||||
OCI | 22 | -395 | 6 | -72 | -439 | ||||||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | |||||||||||||||
Amounts arising during the year | 67 | 2 | 71 | 140 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -123 | 4 | 14 | -111 | ||||||||||||||||||||
Net OCI during the year | 61 | -123 | 6 | 85 | 29 | ||||||||||||||||||||
December 31, 2013 | $ | 173 | $ | 88 | $ | -4 | $ | -180 | $ | 77 | |||||||||||||||
Amounts arising during the year | 35 | 8 | -120 | -77 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -25 | 3 | 5 | -23 | ||||||||||||||||||||
Net OCI during the year | 29 | -25 | 11 | -115 | -100 | ||||||||||||||||||||
December 31, 2014 | $ | 202 | $ | 63 | $ | 7 | $ | -295 | $ | -23 | |||||||||||||||
LKE | |||||||||||||||||||||||||
December 31, 2011 | $ | -2 | $ | 6 | $ | 4 | |||||||||||||||||||
OCI | $ | 1 | -20 | -19 | |||||||||||||||||||||
December 31, 2012 | $ | 1 | $ | -2 | $ | -14 | $ | -15 | |||||||||||||||||
Amounts arising during the year | 28 | 28 | |||||||||||||||||||||||
Net OCI during the year | 28 | 28 | |||||||||||||||||||||||
December 31, 2013 | $ | 1 | $ | -2 | $ | 14 | $ | 13 | |||||||||||||||||
Amounts arising during the year | -7 | -50 | -57 | ||||||||||||||||||||||
Reclassifications from AOCI | -1 | 1 | -1 | -1 | |||||||||||||||||||||
Net OCI during the year | -1 | -6 | -51 | -58 | |||||||||||||||||||||
December 31, 2014 | $ | $ | -8 | $ | -37 | $ | -45 | ||||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the years ended December 31, 2014 and 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 11 for additional information. | |||||||||||||||||||||||||
PPL | PPL Energy Supply | Affected Line Item on the | |||||||||||||||||||||||
Details about AOCI | 2014 | 2013 | 2014 | 2013 | Statements of Income | ||||||||||||||||||||
Available-for-sale securities | $ | 13 | $ | 10 | $ | 13 | $ | 10 | Other Income (Expense) - net | ||||||||||||||||
Total Pre-tax | 13 | 10 | 13 | 10 | |||||||||||||||||||||
Income Taxes | -7 | -4 | -7 | -4 | |||||||||||||||||||||
Total After-tax | 6 | 6 | 6 | 6 | |||||||||||||||||||||
Qualifying derivatives | |||||||||||||||||||||||||
Interest rate swaps | -16 | -20 | Interest Expense | ||||||||||||||||||||||
Cross-currency swaps | 57 | -28 | Other Income (Expense) - net | ||||||||||||||||||||||
4 | 1 | Interest Expense | |||||||||||||||||||||||
Energy commodities | 1 | 240 | 1 | 240 | Unregulated wholesale energy | ||||||||||||||||||||
31 | -58 | 31 | -58 | Energy purchases | |||||||||||||||||||||
8 | 23 | 8 | 23 | Discontinued operations | |||||||||||||||||||||
2 | 5 | 2 | 2 | Other | |||||||||||||||||||||
Total Pre-tax | 87 | 163 | 42 | 207 | |||||||||||||||||||||
Income Taxes | -23 | -80 | -17 | -84 | |||||||||||||||||||||
Total After-tax | 64 | 83 | 25 | 123 | |||||||||||||||||||||
Defined benefit plans | |||||||||||||||||||||||||
Prior service costs | -7 | -10 | -4 | -7 | |||||||||||||||||||||
Net actuarial loss | -145 | -184 | -9 | -24 | |||||||||||||||||||||
Total Pre-tax | -152 | -194 | -13 | -31 | |||||||||||||||||||||
Income Taxes | 37 | 53 | 5 | 13 | |||||||||||||||||||||
Total After-tax | -115 | -141 | -8 | -18 | |||||||||||||||||||||
Total reclassifications during the year | $ | -45 | $ | -52 | $ | 23 | $ | 111 | |||||||||||||||||
LG And E And KU Energy LLC [Member] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | 21. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | |||||||||||||||||||||||||
The after-tax changes in AOCI by component for the years ended December 31 were as follows. | |||||||||||||||||||||||||
Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
Foreign | |||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | ||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | |||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | ||||||||||||||||||
PPL | |||||||||||||||||||||||||
December 31, 2011 | $ | -243 | $ | 90 | $ | 527 | $ | -1 | $ | -25 | $ | -1,137 | $ | 1 | $ | -788 | |||||||||
OCI | 94 | 22 | -395 | 2 | 11 | -886 | -1,152 | ||||||||||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | |||||||||
Amounts arising during the year | 138 | 67 | 45 | 2 | 71 | 323 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -83 | 6 | 135 | 52 | ||||||||||||||||||||
Net OCI during the year | 138 | 61 | -38 | 8 | 206 | 375 | |||||||||||||||||||
December 31, 2013 | $ | -11 | $ | 173 | $ | 94 | $ | 1 | $ | -6 | $ | -1,817 | $ | 1 | $ | -1,565 | |||||||||
Amounts arising during the year | -275 | 35 | -10 | 5 | -509 | -754 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -64 | 4 | 111 | 45 | ||||||||||||||||||||
Net OCI during the year | -275 | 29 | -74 | 9 | -398 | -709 | |||||||||||||||||||
December 31, 2014 | $ | -286 | $ | 202 | $ | 20 | $ | 1 | $ | 3 | $ | -2,215 | $ | 1 | $ | -2,274 | |||||||||
PPL Energy Supply | |||||||||||||||||||||||||
December 31, 2011 | $ | 90 | $ | 606 | $ | -16 | $ | -193 | $ | 487 | |||||||||||||||
OCI | 22 | -395 | 6 | -72 | -439 | ||||||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | |||||||||||||||
Amounts arising during the year | 67 | 2 | 71 | 140 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -123 | 4 | 14 | -111 | ||||||||||||||||||||
Net OCI during the year | 61 | -123 | 6 | 85 | 29 | ||||||||||||||||||||
December 31, 2013 | $ | 173 | $ | 88 | $ | -4 | $ | -180 | $ | 77 | |||||||||||||||
Amounts arising during the year | 35 | 8 | -120 | -77 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -25 | 3 | 5 | -23 | ||||||||||||||||||||
Net OCI during the year | 29 | -25 | 11 | -115 | -100 | ||||||||||||||||||||
December 31, 2014 | $ | 202 | $ | 63 | $ | 7 | $ | -295 | $ | -23 | |||||||||||||||
LKE | |||||||||||||||||||||||||
December 31, 2011 | $ | -2 | $ | 6 | $ | 4 | |||||||||||||||||||
OCI | $ | 1 | -20 | -19 | |||||||||||||||||||||
December 31, 2012 | $ | 1 | $ | -2 | $ | -14 | $ | -15 | |||||||||||||||||
Amounts arising during the year | 28 | 28 | |||||||||||||||||||||||
Net OCI during the year | 28 | 28 | |||||||||||||||||||||||
December 31, 2013 | $ | 1 | $ | -2 | $ | 14 | $ | 13 | |||||||||||||||||
Amounts arising during the year | -7 | -50 | -57 | ||||||||||||||||||||||
Reclassifications from AOCI | -1 | 1 | -1 | -1 | |||||||||||||||||||||
Net OCI during the year | -1 | -6 | -51 | -58 | |||||||||||||||||||||
December 31, 2014 | $ | $ | -8 | $ | -37 | $ | -45 | ||||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the years ended December 31, 2014 and 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 11 for additional information. | |||||||||||||||||||||||||
PPL | PPL Energy Supply | Affected Line Item on the | |||||||||||||||||||||||
Details about AOCI | 2014 | 2013 | 2014 | 2013 | Statements of Income | ||||||||||||||||||||
Available-for-sale securities | $ | 13 | $ | 10 | $ | 13 | $ | 10 | Other Income (Expense) - net | ||||||||||||||||
Total Pre-tax | 13 | 10 | 13 | 10 | |||||||||||||||||||||
Income Taxes | -7 | -4 | -7 | -4 | |||||||||||||||||||||
Total After-tax | 6 | 6 | 6 | 6 | |||||||||||||||||||||
Qualifying derivatives | |||||||||||||||||||||||||
Interest rate swaps | -16 | -20 | Interest Expense | ||||||||||||||||||||||
Cross-currency swaps | 57 | -28 | Other Income (Expense) - net | ||||||||||||||||||||||
4 | 1 | Interest Expense | |||||||||||||||||||||||
Energy commodities | 1 | 240 | 1 | 240 | Unregulated wholesale energy | ||||||||||||||||||||
31 | -58 | 31 | -58 | Energy purchases | |||||||||||||||||||||
8 | 23 | 8 | 23 | Discontinued operations | |||||||||||||||||||||
2 | 5 | 2 | 2 | Other | |||||||||||||||||||||
Total Pre-tax | 87 | 163 | 42 | 207 | |||||||||||||||||||||
Income Taxes | -23 | -80 | -17 | -84 | |||||||||||||||||||||
Total After-tax | 64 | 83 | 25 | 123 | |||||||||||||||||||||
Defined benefit plans | |||||||||||||||||||||||||
Prior service costs | -7 | -10 | -4 | -7 | |||||||||||||||||||||
Net actuarial loss | -145 | -184 | -9 | -24 | |||||||||||||||||||||
Total Pre-tax | -152 | -194 | -13 | -31 | |||||||||||||||||||||
Income Taxes | 37 | 53 | 5 | 13 | |||||||||||||||||||||
Total After-tax | -115 | -141 | -8 | -18 | |||||||||||||||||||||
Total reclassifications during the year | $ | -45 | $ | -52 | $ | 23 | $ | 111 |
New_Accounting_Guidance_Pendin
New Accounting Guidance Pending Adoption | 12 Months Ended |
Dec. 31, 2014 | |
New Accounting Guidance Pending Adoption [Abstract] | |
New Accounting Guidance Pending Adoption | 22. New Accounting Guidance Pending Adoption |
(All Registrants) | |
Reporting of Discontinued Operations | |
In April 2014, the Financial Accounting Standards Board (FASB) issued accounting guidance that changes the criteria for determining what should be classified as a discontinued operation and also changes the related presentation and disclosure requirements. A discontinued operation may include a component of an entity or a group of components of an entity, or a business activity. | |
A disposal of a component of an entity or a group of components of an entity is required to be reported in discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on the entity's operations and financial results when any of the following occurs: (1) The components of an entity or group of components of an entity meets the criteria to be classified as held for sale, (2) The component of an entity or group of components of an entity is disposed of by sale, or (3) The component of an entity or group of components of an entity is disposed of other than by sale (for example, by abandonment or in a distribution to owners in a spinoff). | |
For public business entities, this guidance should be applied prospectively to all disposals (or classifications as held for sale) of components of an entity that occur within the annual periods beginning on or after December 15, 2014, and interim periods within those years. Early adoption is permitted. | |
The Registrants adopted this guidance effective January 1, 2015. The new guidance will impact the amounts presented as discontinued operations on the Statements of Income and will enhance the related disclosure requirements. | |
Accounting for Revenue from Contracts with Customers | |
In May 2014, the FASB issued accounting guidance that establishes a comprehensive new model for the recognition of revenue from contracts with customers. This model is based on the core principle that revenue should be recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. | |
For public business entities, this guidance can be applied using either a full retrospective or modified retrospective transition method, beginning in annual reporting periods beginning after December 15, 2016 and interim periods within those years. Early adoption is not permitted. The Registrants will adopt this guidance effective January 1, 2017. | |
The Registrants are currently assessing the impact of adopting this guidance, as well as the transition method they will use. | |
Reporting Uncertainties about an Entity’s Ability to Continue as a Going Concern | |
In August 2014, the FASB issued accounting guidance which will require management to assess, for each interim and annual period, whether there are conditions or events that raise substantial doubt about an entity’s ability to continue as a going concern. Substantial doubt about an entity’s ability to continue as a going concern exists when relevant conditions and events, considered in the aggregate, indicate that it is probable that the entity will be unable to meet its obligations as they become due within one year after the date the financial statements are issued. | |
When management identifies conditions or events that raise substantial doubt about an entity’s ability to continue as a going concern, management is required to disclose information that enables users of the financial statements to understand the principal conditions or events that raised substantial doubt about the entity’s ability to continue as a going concern and management’s evaluation of the significance of those conditions or events. If substantial doubt about the entity’s ability to continue as a going concern has been alleviated as a result of management’s plan, the entity should disclose information that allows the users of the financial statements to understand those plans. If the substantial doubt about the entity’s ability to continue as a going concern is not alleviated by management’s plans, management’s plans to mitigate the conditions or events that gave rise to the substantial doubt about the entity’s ability to continue as a going concern should be disclosed, as well as a statement that there is substantial doubt the entity’s ability to continue as a going concern within one year after the date the financial statements are issued. | |
For all entities, this guidance should be applied prospectively within the annual periods ending after December 15, 2016, and for annual periods and interim periods thereafter. Early adoption is permitted. | |
The Registrants will adopt this guidance for the annual period ending December 31, 2016. The adoption of this guidance is not expected to have a significant impact on the Registrants. | |
Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity | |
In November 2014, the FASB issued guidance that clarifies how current accounting guidance should be interpreted when evaluating the economic characteristics and risks of a host contract of a hybrid financial instrument issued in the form of a share. This guidance does not change the current criteria for determining whether separation of an embedded derivative feature from a hybrid financial instrument is required. Entities are still required to evaluate whether the economic risks of the embedded derivative feature are clearly and closely related to those of the host contract, among other relevant criteria. | |
An entity should consider the substantive terms and features of the entire hybrid financial instrument, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract to determine whether the host contract is more akin to a debt instrument or more akin to an equity instrument. An entity should assess the relative strength of the debt-like and equity-like terms and features when determining how to weight those terms and features. | |
For public business entities, this guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015 and should be applied using a modified retrospective method for existing hybrid financial instruments issued in the form of a share as of the beginning of the fiscal year the guidance is adopted. Early adoption is permitted. Retrospective application is permitted but not required. | |
The Registrants will adopt this guidance on January 1, 2016. The Registrants are currently assessing this guidance, which is not expected to have a significant impact on the Registrants. | |
Income Statement Presentation of Extraordinary and Unusual Items | |
In January 2015, the FASB issued accounting guidance that eliminates the concept of extraordinary items, which requires an entity to separately classify, present in the income statement and disclose material events and transactions that are both unusual and occur infrequently. The requirement to report material events or transactions that are unusual or infrequent as a separate component of income from continuing operations has been retained, as has the requirement to separately present the nature and financial effects of each event or transaction in the income statement as a separate component of continuing operations or disclose them within the notes to the financial statements. The scope of these requirements has been expanded to include items that are both unusual and occur infrequently. | |
For all entities, this guidance is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted provided that an entity applies the guidance from the beginning of the fiscal year of adoption. The guidance may be applied either retrospectively or prospectively. | |
The Registrants will adopt this guidance on January 1, 2016. The adoption of this guidance is not expected to have a significant impact on the Registrants. |
SCHEDULE_I_CONDENSED_UNCONSOLI
SCHEDULE I - CONDENSED UNCONSOLICATED FINANCIAL STATEMENTS AND NOTES TO CONDENSED UNCONSOLIDATED FINANCIAL STATEMENTS | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
PPL Corp [Member] | |||||||||||||
Condensed Unconsolidated Financial Information [Line Items] | |||||||||||||
Schedule I - Condensed Unconsolidated Financial Information | SCHEDULE I - PPL CORPORATION | ||||||||||||
CONDENSED UNCONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | |||||||||||||
FOR THE YEARS ENDED DECEMBER 31, | |||||||||||||
(Millions of Dollars, except share data) | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Operating Revenues | |||||||||||||
Operating Expenses | |||||||||||||
Other operation and maintenance | $ | 16 | $ | 1 | $ | 11 | |||||||
Total Operating Expenses | 16 | 1 | 11 | ||||||||||
Operating Loss | -16 | -1 | -11 | ||||||||||
Other Income (Expense) - net | |||||||||||||
Equity in earnings of subsidiaries | 1,776 | 1,171 | 1,580 | ||||||||||
Other income (expense) | -18 | -13 | 1 | ||||||||||
Total | 1,758 | 1,158 | 1,581 | ||||||||||
Interest Expense | 15 | 21 | 22 | ||||||||||
Interest Expense with Affiliates | 10 | 29 | 43 | ||||||||||
Income Before Income Taxes | 1,717 | 1,107 | 1,505 | ||||||||||
Income Taxes | -20 | -23 | -21 | ||||||||||
Net Income Attributable to PPL Shareowners | $ | 1,737 | $ | 1,130 | $ | 1,526 | |||||||
Comprehensive Income (Loss) Attributable to PPL Shareowners | $ | 1,028 | $ | 1,505 | $ | 374 | |||||||
Earnings Per Share of Common Stock: | |||||||||||||
Net Income Available to PPL Common Shareowners: | |||||||||||||
Basic | $ | 2.64 | $ | 1.85 | $ | 2.61 | |||||||
Diluted | $ | 2.61 | $ | 1.76 | $ | 2.6 | |||||||
Weighted-Average Shares of Common Stock Outstanding (in thousands) | |||||||||||||
Basic | 653,504 | 608,983 | 580,276 | ||||||||||
Diluted | 665,973 | 663,073 | 581,626 | ||||||||||
The accompanying Notes to Condensed Unconsolidated Financial Statements are an integral part of the financial statements. | |||||||||||||
SCHEDULE I - PPL CORPORATION | |||||||||||||
CONDENSED UNCONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||||
FOR THE YEARS ENDED DECEMBER 31, | |||||||||||||
(Millions of Dollars) | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Cash Flows from Operating Activities | |||||||||||||
Net cash provided by (used in) operating activities | $ | 1,633 | $ | 968 | $ | 937 | |||||||
Cash Flows from Investing Activities | |||||||||||||
Capital contributions to affiliated subsidiaries | -1,045 | -496 | -221 | ||||||||||
Return of capital from affiliated subsidiaries | 247 | 213 | |||||||||||
Net cash provided by (used in) investing activities | -798 | -283 | -221 | ||||||||||
Cash Flows from Financing Activities | |||||||||||||
Issuance of equity, net of issuance costs | 1,074 | 1,411 | 72 | ||||||||||
Net increase (decrease) in short-term debt with affiliates | -913 | -1,057 | 149 | ||||||||||
Payment of common stock dividends | -967 | -878 | -833 | ||||||||||
Contract adjustment payments on Equity Units | -22 | -82 | -94 | ||||||||||
Repurchase of common stock | -74 | ||||||||||||
Other | -7 | -5 | -10 | ||||||||||
Net cash provided by (used in) financing activities | -835 | -685 | -716 | ||||||||||
Net Increase (Decrease) in Cash and Cash Equivalents | |||||||||||||
Cash and Cash Equivalents at Beginning of Period | |||||||||||||
Cash and Cash Equivalents at End of Period | $ | $ | $ | ||||||||||
Supplemental Disclosures of Cash Flow Information: | |||||||||||||
Cash Dividends Received from Affiliated Subsidiaries | $ | 1,388 | $ | 960 | $ | 720 | |||||||
The accompanying Notes to Condensed Unconsolidated Financial Statements are an integral part of the financial statements. | |||||||||||||
SCHEDULE I - PPL CORPORATION | |||||||||||||
CONDENSED UNCONSOLIDATED BALANCE SHEETS AT DECEMBER 31, | |||||||||||||
(Millions of Dollars, shares in thousands) | |||||||||||||
2014 | 2013 | ||||||||||||
Assets | |||||||||||||
Current Assets | |||||||||||||
Accounts Receivable | |||||||||||||
Other | $ | 53 | $ | 28 | |||||||||
Affiliates | 149 | 24 | |||||||||||
Prepayments | 2 | ||||||||||||
Deferred income taxes | 34 | ||||||||||||
Price risk management assets | 148 | 190 | |||||||||||
Total Current Assets | 384 | 244 | |||||||||||
Investments | |||||||||||||
Affiliated companies at equity | 15,426 | 14,892 | |||||||||||
Other Noncurrent Assets | 88 | 73 | |||||||||||
Total Assets | $ | 15,898 | $ | 15,209 | |||||||||
Liabilities and Equity | |||||||||||||
Current Liabilities | |||||||||||||
Short-term debt with affiliates | $ | 170 | $ | 1,083 | |||||||||
Accounts payable with affiliates | 1,513 | 1,251 | |||||||||||
Dividends | 249 | 233 | |||||||||||
Price risk management liabilities | 227 | 75 | |||||||||||
Other current liabilities | 70 | 46 | |||||||||||
Total Current Liabilities | 2,229 | 2,688 | |||||||||||
Deferred Credits and Other Noncurrent Liabilities | 41 | 55 | |||||||||||
Equity | |||||||||||||
Common stock - $0.01 par value (a) | 7 | 6 | |||||||||||
Additional paid-in capital | 9,433 | 8,316 | |||||||||||
Earnings reinvested | 6,462 | 5,709 | |||||||||||
Accumulated other comprehensive loss | -2,274 | -1,565 | |||||||||||
Total Equity | 13,628 | 12,466 | |||||||||||
Total Liabilities and Equity | $ | 15,898 | $ | 15,209 | |||||||||
(a) 780,000 shares authorized; 665,849 and 630,321 shares issued and outstanding at December 31, 2014 and 2013. | |||||||||||||
The accompanying Notes to Condensed Unconsolidated Financial Statements are an integral part of the financial statements. | |||||||||||||
SCHEDULE I - PPL CORPORATION | |||||||||||||
NOTES TO CONDENSED UNCONSOLIDATED FINANCIAL STATEMENTS | |||||||||||||
1. Basis of Presentation | |||||||||||||
PPL Corporation is a holding company and conducts substantially all of its business operations through its subsidiaries. Substantially all of its consolidated assets are held by such subsidiaries. Accordingly, its cash flow and its ability to meet its obligations are largely dependent upon the earnings of these subsidiaries and the distribution or other payment of such earnings to it in the form of dividends, loans or advances or repayment of loans and advances from it. These condensed financial statements and related footnotes have been prepared in accordance with Reg. §210.12-04 of Regulation S-X. These statements should be read in conjunction with the consolidated financial statements and notes thereto of PPL Corporation. | |||||||||||||
PPL Corporation indirectly or directly owns all of the ownership interests of its significant subsidiaries. PPL Corporation relies on dividends or loans from its subsidiaries to fund PPL Corporation's dividends to its common shareholders and to meet its other cash requirements. See Note 7 to PPL Corporation’s consolidated financial statements for discussions related to restricted net assets of its subsidiaries for the purposes of transferring funds to PPL in the form of distributions, loans or advances. | |||||||||||||
2. Commitments and Contingencies | |||||||||||||
See Note 13 to PPL Corporation’s consolidated financial statements for commitments and contingencies of its subsidiaries. | |||||||||||||
Guarantees and Other Assurances | |||||||||||||
PPL Corporation's subsidiaries are separate and distinct legal entities and have no obligation to pay any amounts that may become due under PPL Corporation's guarantees or other assurances or to make any funds available for such payment. | |||||||||||||
PPL Corporation fully and unconditionally guarantees the payment of principal, premium and interest on all of the debt securities of PPL Capital Funding. The estimated maximum potential amount of future payments that could be required under the guarantees at December 31, 2014 was $8.1 billion. These guarantees will expire in 2073. The probability of expected payment under these guarantees is remote. | |||||||||||||
L G And E And K U Energy L L C Unconsolidated [Member] | |||||||||||||
Condensed Unconsolidated Financial Information [Line Items] | |||||||||||||
Schedule I - Condensed Unconsolidated Financial Information | SCHEDULE I - LG&E and KU Energy LLC | ||||||||||||
CONDENSED UNCONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | |||||||||||||
FOR THE YEARS ENDED DECEMBER 31, | |||||||||||||
(Millions of Dollars) | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Operating Expenses | |||||||||||||
Other operation and maintenance | $ | 3 | |||||||||||
Total Operating Expenses | 3 | ||||||||||||
Operating Income (Loss) | -3 | ||||||||||||
Equity in Earnings of Subsidiaries | $ | 368 | $ | 376 | 234 | ||||||||
Interest Income with Affiliate | 5 | 5 | 10 | ||||||||||
Interest Expense | 41 | 39 | 39 | ||||||||||
Interest Expense with Affiliate | 3 | 3 | 2 | ||||||||||
Income (Loss) Before Income Taxes | 329 | 339 | 200 | ||||||||||
Income Tax Expense (Benefit) | -15 | -8 | -19 | ||||||||||
Net Income (Loss) Attributable to Member | $ | 344 | $ | 347 | $ | 219 | |||||||
Comprehensive Income (Loss) Attributable to Member | $ | 286 | $ | 375 | $ | 200 | |||||||
The accompanying Notes to Condensed Unconsolidated Financial Statements are an integral part of the financial statements. | |||||||||||||
SCHEDULE I - LG&E and KU Energy LLC | |||||||||||||
CONDENSED UNCONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||||
FOR THE YEARS ENDED DECEMBER 31, | |||||||||||||
(Millions of Dollars) | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Cash Flows from Operating Activities | |||||||||||||
Net cash provided by (used in) operating activities | $ | -183 | $ | 136 | $ | 364 | |||||||
Cash Flows from Investing Activities | |||||||||||||
Capital contributions to affiliated subsidiaries | -248 | -243 | |||||||||||
Net decrease (increase) in notes receivable from affiliates | 555 | -122 | -15 | ||||||||||
Net cash provided by (used in) investing activities | 307 | -365 | -15 | ||||||||||
Cash Flows from Financing Activities | |||||||||||||
Net increase (decrease) in notes payable with affiliates | 58 | 171 | -196 | ||||||||||
Net increase (decrease) in short-term debt | 75 | ||||||||||||
Contribution from member | 248 | 243 | |||||||||||
Distribution to member | -436 | -254 | -155 | ||||||||||
Net cash provided by (used in) financing activities | -130 | 235 | -351 | ||||||||||
Net Increase (Decrease) in Cash and Cash Equivalents | -6 | 6 | -2 | ||||||||||
Cash and Cash Equivalents at Beginning of Period | 6 | 2 | |||||||||||
Cash and Cash Equivalents at End of Period | $ | $ | 6 | $ | |||||||||
Supplemental disclosures of cash flow information: | |||||||||||||
Cash Dividends Received from Affiliated Subsidiaries | $ | 260 | $ | 223 | $ | 175 | |||||||
The accompanying Notes to Condensed Unconsolidated Financial Statements are an integral part of the financial statements. | |||||||||||||
SCHEDULE I - LG&E and KU Energy LLC | |||||||||||||
CONDENSED UNCONSOLIDATED BALANCE SHEETS AT DECEMBER 31, | |||||||||||||
(Millions of Dollars) | |||||||||||||
2014 | 2013 | ||||||||||||
Assets | |||||||||||||
Current Assets | |||||||||||||
Cash and cash equivalents | $ | 6 | |||||||||||
Accounts receivable | $ | 8 | 2 | ||||||||||
Accounts receivable from affiliates | 11 | ||||||||||||
Notes receivable from affiliates | 1,127 | 1,682 | |||||||||||
Deferred income taxes | 2 | 10 | |||||||||||
Total Current Assets | 1,137 | 1,711 | |||||||||||
Investments | |||||||||||||
Affiliated companies at equity | 4,818 | 4,519 | |||||||||||
Other Noncurrent Assets | |||||||||||||
Deferred income taxes | 203 | 170 | |||||||||||
Other noncurrent assets | 5 | 6 | |||||||||||
Total Other Noncurrent Assets | 208 | 176 | |||||||||||
Total Assets | $ | 6,163 | $ | 6,406 | |||||||||
Liabilities and Equity | |||||||||||||
Current Liabilities | |||||||||||||
Short-term debt | $ | 75 | $ | 75 | |||||||||
Notes payable to affiliates | 58 | ||||||||||||
Long-term debt due within one year | 400 | ||||||||||||
Accounts payable to affiliates | 451 | 843 | |||||||||||
Taxes | 2 | 12 | |||||||||||
Other current liabilities | 8 | 6 | |||||||||||
Total Current Liabilities | 994 | 936 | |||||||||||
Long-term Debt | |||||||||||||
Long-term debt | 722 | 1,121 | |||||||||||
Notes payable to affiliates | 196 | 196 | |||||||||||
Total Long-term Debt | 918 | 1,317 | |||||||||||
Deferred Credits and Other Noncurrent Liabilities | 3 | 3 | |||||||||||
Equity | 4,248 | 4,150 | |||||||||||
Total Liabilities and Equity | $ | 6,163 | $ | 6,406 | |||||||||
The accompanying Notes to Condensed Unconsolidated Financial Statements are an integral part of the financial statements. | |||||||||||||
Schedule I – LG&E and KU Energy LLC | |||||||||||||
Notes to Condensed Unconsolidated Financial Statements | |||||||||||||
1. Basis of Presentation | |||||||||||||
LG&E and KU Energy LLC (LKE) is a holding company and conducts substantially all of its business operations through its subsidiaries. Substantially all of its consolidated assets are held by such subsidiaries. Accordingly, its cash flow and its ability to meet its obligations are largely dependent upon the earnings of these subsidiaries and the distribution or other payment of such earnings to it in the form of dividends or repayment of loans and advances from the subsidiaries. These condensed financial statements and related footnotes have been prepared in accordance with Reg. §210.12-04 of Regulation S-X. These statements should be read in conjunction with the consolidated financial statements and notes thereto of LKE. | |||||||||||||
LKE indirectly or directly owns all of the ownership interests of its significant subsidiaries. LKE relies primarily on dividends from its subsidiaries to fund LKE's dividends to its member and to meet its other cash requirements. See Note 7 to LKE’s consolidated financial statements for discussions related to restricted net assets of its subsidiaries for the purposes of transferring funds to LKE in the form of distributions, loans or advances. | |||||||||||||
2. Commitments and Contingencies | |||||||||||||
See Note 13 to LKE’s consolidated financial statements for commitments and contingencies of its subsidiaries. | |||||||||||||
Guarantees | |||||||||||||
LKE provides certain indemnifications, the most significant of which relate to the termination of the WKE lease in July 2009. These guarantees cover the due and punctual payment, performance and discharge by each party of its respective present and future obligations. The most comprehensive of these WKE-related guarantees is the LKE guarantee covering operational, regulatory and environmental commitments and indemnifications made by WKE under the WKE Transaction Termination Agreement. This guarantee has a term of 12 years ending July 2021, and a cumulative maximum exposure of $200 million. Certain items such as government fines and penalties fall outside the cumulative cap. Another WKE-related LKE guarantee covers other indemnifications, has a term expiring in 2023 and a maximum exposure of $100 million. In May 2012, LKE's indemnitee received an unfavorable arbitration panel's decision interpreting this matter, which granted LKE’s indemnitee certain rights of first refusal to purchase excess power at a market-based price rather than at an absolute fixed price. In January 2013, LKE's indemnitee commenced a proceeding in the Kentucky Court of Appeals appealing a December 2012 order of the Henderson Circuit Court, confirming the arbitration award. In May 2014, the Court of Appeals issued an opinion affirming the lower court decision. LKE's indemnitee filed a Motion for Discretionary Review with the Kentucky Supreme Court on October 2, 2014. LKE believes its indemnification obligations in this matter remain subject to various uncertainties, including potential for additional legal challenges regarding the arbitration decision as well as future prices, availability and demand for the subject excess power. LKE continues to evaluate various legal and commercial options with respect to this indemnification matter. The ultimate outcomes of the WKE termination-related indemnifications cannot be predicted at this time. In the second quarter of 2012, LKE adjusted its estimated liability for the WKE-related indemnifications by $9 million ($5 million after-tax), which is reflected in "Equity in Earnings of Subsidiaries" on the Statement of Income. Additionally, LKE has indemnified various third parties related to historical obligations for other divested subsidiaries and affiliates. The indemnifications vary by entity and the maximum exposures range from being capped at the sale price to no specified maximum; LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. However, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE cannot predict the ultimate outcomes of indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | |||||||||||||
3. Long-Term Debt | |||||||||||||
See Note 7 to LKE’s consolidated financial statements for the terms of LKE’s outstanding senior unsecured notes outstanding. Of the total outstanding, $400 million matures in 2015 and $722 million matures after 2019. These maturities are based on stated maturities. |
Quarterly_Financial_Data_Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||
Dec. 31, 2014 | |||||||||||||||
Quarterly Financial Information Unaudited [Line Items] | |||||||||||||||
Quarterly Financial Information (Unaudited) | QUARTERLY FINANCIAL, COMMON STOCK PRICE AND DIVIDEND DATA (Unaudited) | ||||||||||||||
PPL Corporation and Subsidiaries | |||||||||||||||
(Millions of Dollars, except per share data) | |||||||||||||||
For the Quarters Ended (a) | |||||||||||||||
31-Mar | 30-Jun | Sept. 30 | Dec. 31 | ||||||||||||
2014 | |||||||||||||||
Operating revenues as previously reported | $ | 1,223 | $ | 2,874 | |||||||||||
Reclassification of discontinued operations (f) | -29 | -41 | |||||||||||||
Operating revenues | 1,194 | 2,833 | $ | 3,449 | $ | 4,023 | |||||||||
Operating income as previously reported | 715 | 718 | |||||||||||||
Reclassification of discontinued operations (f) | 8 | -21 | |||||||||||||
Operating income | 723 | 697 | 869 | 983 | |||||||||||
Income from continuing operations after income taxes | |||||||||||||||
as previously reported | 316 | 229 | |||||||||||||
Reclassification of discontinued operations (f) | 8 | -11 | |||||||||||||
Income from continuing operations after income taxes | 324 | 218 | 490 | 551 | |||||||||||
Income from discontinued operations as previously reported | |||||||||||||||
Reclassification of discontinued operations (f) | -8 | 11 | |||||||||||||
Income (loss) from discontinued operations (g) | -8 | 11 | 7 | 144 | |||||||||||
Net income (g) | 316 | 229 | 497 | 695 | |||||||||||
Net income attributable to PPL | 316 | 229 | 497 | 695 | |||||||||||
Income from continuing operations after income taxes available to | |||||||||||||||
PPL common shareowners: (b) | |||||||||||||||
Basic EPS | 0.51 | 0.33 | 0.73 | 0.82 | |||||||||||
Diluted EPS | 0.5 | 0.32 | 0.73 | 0.82 | |||||||||||
Net income available to PPL common shareowners: (b) | |||||||||||||||
Basic EPS | 0.5 | 0.35 | 0.74 | 1.04 | |||||||||||
Diluted EPS | 0.49 | 0.34 | 0.74 | 1.04 | |||||||||||
Dividends declared per share of common stock (c) | 0.3725 | 0.3725 | 0.3725 | 0.3725 | |||||||||||
Price per common share: | |||||||||||||||
High | $ | 33.24 | $ | 35.56 | $ | 35.52 | $ | 38.14 | |||||||
Low | 29.4 | 32.32 | 31.79 | 32.09 | |||||||||||
2013 | |||||||||||||||
Operating revenues as previously reported | $ | 2,457 | $ | 3,450 | $ | 3,105 | $ | 2,848 | |||||||
Reclassification of discontinued operations (f) | -32 | -47 | -31 | -29 | |||||||||||
Operating revenues | 2,425 | 3,403 | 3,074 | 2,819 | |||||||||||
Operating income as previously reported | 693 | 758 | 857 | 31 | |||||||||||
Reclassification of discontinued operations (f) | -14 | -26 | -11 | -10 | |||||||||||
Operating income (e) | 679 | 732 | 846 | 21 | |||||||||||
Income (loss) from continuing operations after income taxes | |||||||||||||||
as previously reported | 413 | 404 | 410 | -98 | |||||||||||
Reclassification of discontinued operations (f) | -8 | -14 | -6 | -4 | |||||||||||
Income (loss) from continuing operations after income taxes (e) | 405 | 390 | 404 | -102 | |||||||||||
Income from discontinued operations as previously reported | 1 | 1 | |||||||||||||
Reclassification of discontinued operations (f) | 8 | 14 | 6 | 4 | |||||||||||
Income (loss) from discontinued operations | 8 | 15 | 7 | 4 | |||||||||||
Net income (loss) (e) | 413 | 405 | 411 | -98 | |||||||||||
Net income (loss) attributable to PPL (e) | 413 | 405 | 410 | -98 | |||||||||||
Income (loss) from continuing operations after income taxes available to | |||||||||||||||
PPL common shareowners: (b) (e) | |||||||||||||||
Basic EPS | 0.69 | 0.66 | 0.64 | -0.16 | |||||||||||
Diluted EPS (d) | 0.64 | 0.61 | 0.61 | -0.16 | |||||||||||
Net income (loss) available to PPL common shareowners: (b) (e) | |||||||||||||||
Basic EPS | 0.7 | 0.68 | 0.65 | -0.16 | |||||||||||
Diluted EPS (d) | 0.65 | 0.63 | 0.62 | -0.16 | |||||||||||
Dividends declared per share of common stock (c) | 0.3675 | 0.3675 | 0.3675 | 0.3675 | |||||||||||
Price per common share: | |||||||||||||||
High | $ | 31.35 | $ | 33.55 | $ | 32.09 | $ | 31.79 | |||||||
Low | 28.64 | 28.44 | 29.03 | 28.95 | |||||||||||
(a) Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||
(b) The sum of the quarterly amounts may not equal annual earnings per share due to changes in the number of common shares outstanding during the year or rounding. | |||||||||||||||
(c) PPL has paid quarterly cash dividends on its common stock in every year since 1946. Future dividends, declared at the discretion of the Board of Directors, will be dependent upon future earnings, cash flows, financial requirements and other factors. | |||||||||||||||
(d) As a result of a reported loss, diluted earnings per share for the three months ended December 31, 2013 exclude incremental shares as they were anti-dilutive. | |||||||||||||||
(e) Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||
(f) In the third quarter of 2014, the hydroelectric generation facilities of PPL Montana met the criteria as held for sale. Accordingly, the previously reported operating results for these facilities have been reclassified as discontinued operations. See Note 8 to the Financial Statements for additional information. | |||||||||||||||
(g) Fourth quarter of 2014 includes a gain of $137 million (after tax) from the sale of hydroelectric generating facilities of PPL Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||
PPL Electric Utilities Corp [Member] | |||||||||||||||
Quarterly Financial Information Unaudited [Line Items] | |||||||||||||||
Quarterly Financial Information (Unaudited) | QUARTERLY FINANCIAL DATA (Unaudited) | ||||||||||||||
PPL Electric Utilities Corporation and Subsidiaries | |||||||||||||||
(Millions of Dollars) | |||||||||||||||
For the Quarters Ended (a) | |||||||||||||||
31-Mar | 30-Jun | Sept. 30 | Dec. 31 | ||||||||||||
2014 | |||||||||||||||
Operating revenues | $ | 592 | $ | 449 | $ | 477 | $ | 526 | |||||||
Operating income | 165 | 111 | 124 | 138 | |||||||||||
Net income | 85 | 52 | 57 | 69 | |||||||||||
Net income available to PPL | 85 | 52 | 57 | 69 | |||||||||||
2013 | |||||||||||||||
Operating revenues | $ | 513 | $ | 414 | $ | 464 | $ | 479 | |||||||
Operating income | 121 | 92 | 105 | 101 | |||||||||||
Net income | 64 | 45 | 51 | 49 | |||||||||||
Net income available to PPL | 64 | 45 | 51 | 49 | |||||||||||
(a) PPL Electric's business is seasonal in nature, with peak sales periods generally occurring in the winter and summer months. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Summary Of Significant Accounting Policies [Line Items] | |
Business and Consolidation | Business and Consolidation |
(PPL) | |
PPL is an energy and utility holding company that, through its subsidiaries, is primarily engaged in: 1) the regulated distribution of electricity in the U.K.; 2) the regulated generation, transmission, distribution and sale of electricity and the regulated distribution and sale of natural gas, primarily in Kentucky; 3) the regulated transmission, distribution and sale of electricity in Pennsylvania; and 4) the competitive generation and marketing of electricity in portions of the northeastern and northwestern U.S. Headquartered in Allentown, PA, PPL's principal subsidiaries are PPL Global, LKE (including its principal subsidiaries, LG&E and KU), PPL Electric and PPL Energy Supply (including its principal subsidiaries, PPL EnergyPlus and PPL Generation). PPL's corporate level financing subsidiary is PPL Capital Funding. | |
WPD, a subsidiary of PPL Global, through indirect wholly owned subsidiaries operates regulated distribution networks providing electricity service in the U.K. WPD serves end-users in Wales and southwest and central England. Its principal subsidiaries are WPD (South Wales), WPD (South West), WPD (East Midlands) and WPD (West Midlands). | |
PPL consolidates WPD on a one-month lag. Material intervening events, such as debt issuances that occur in the lag period, are recognized in the current period financial statements. Events that are significant but not material are disclosed. | |
(PPL and PPL Energy Supply) | |
PPL Energy Supply is an energy company conducting business primarily through its principal subsidiaries PPL Generation and PPL EnergyPlus. PPL Generation owns and operates a portfolio of competitive domestic power generating assets. These power plants are located in Pennsylvania and Montana and use well-diversified fuel sources including coal, uranium, natural gas, oil and water. PPL EnergyPlus sells electricity produced by PPL Generation subsidiaries, participates in wholesale market load-following auctions, and markets various energy products and commodities such as: capacity, transmission, FTRs, coal, natural gas, oil, uranium, emission allowances, RECs and other commodities in competitive wholesale and competitive retail markets, primarily in the northeastern and northwestern U.S. | |
In June 2014, PPL and PPL Energy Supply executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. See Note 8 for additional information. | |
In November 2014, PPL Montana completed the sale of its hydroelectric generating facilities. See Note 8 for additional information. | |
(PPL and PPL Electric) | |
PPL Electric is a cost-based rate-regulated utility subsidiary of PPL. PPL Electric's principal business is the regulated transmission and distribution of electricity to serve retail customers in its franchised territory in eastern and central Pennsylvania and the regulated supply of electricity to retail customers in that territory as a PLR. | |
(PPL, LKE, LG&E and KU) | |
LKE is a utility holding company with cost-based rate-regulated utility operations through its subsidiaries, LG&E and KU. LG&E and KU are engaged in the regulated generation, transmission, distribution and sale of electricity. LG&E also engages in the regulated distribution and sale of natural gas. LG&E and KU maintain their separate identities and serve customers in Kentucky under their respective names. KU also serves customers in Virginia (under the Old Dominion Power name) and in Tennessee under the KU name. | |
(PPL and PPL Energy Supply) | |
"Income (Loss) from Discontinued Operations (net of income taxes)" on the Statements of Income includes the activities of PPL Montana's hydroelectric generating facilities and the gain on the sale of these facilities to NorthWestern in November 2014. The related assets and liabilities have not been reclassified to assets/liabilities of discontinued operations on the balance sheet at December 31, 2013. The Statements of Cash Flows do not separately report the cash flows of the Discontinued Operations. See Note 8 for additional information. | |
(All Registrants) | |
The financial statements of the Registrants include each company's own accounts as well as the accounts of all entities in which the company has a controlling financial interest. Entities for which a controlling financial interest is not demonstrated through voting interests are evaluated based on accounting guidance for VIEs. The Registrants consolidate a VIE when they are determined to have a controlling interest in the VIE, and thus are the primary beneficiary of the entity. The Registrants are not the primary beneficiary in any material VIEs. Investments in entities in which a company has the ability to exercise significant influence but does not have a controlling financial interest are accounted for under the equity method. All other investments are carried at cost or fair value. All significant intercompany transactions have been eliminated. Any noncontrolling interests are reflected in the financial statements. | |
The financial statements of PPL, PPL Energy Supply, LKE, LG&E and KU include their share of any undivided interests in jointly owned facilities, as well as their share of the related operating costs of those facilities. See Note 12 for additional information. | |
Regulation | Regulation |
(PPL) | |
WPD operates in an incentive-based regulatory structure under distribution licenses granted by Ofgem. Electricity distribution revenues are set by Ofgem for a given time period through price control reviews that are not directly based on cost recovery. The price control formula that governs WPD's allowed revenue is designed to provide economic incentives to minimize operating, capital and financing costs. As a result, WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. | |
(All Registrants except PPL Energy Supply) | |
PPL Electric, LG&E and KU are cost-based rate-regulated utilities for which rates are set by regulators to enable PPL Electric, LG&E and KU to recover the costs of providing electric or gas service, as applicable, and to provide a reasonable return to shareholders. Rates are generally established based on a historical or future test period. As a result, the financial statements are subject to the accounting for certain types of regulation as prescribed by GAAP and reflect the effects of regulatory actions. Regulatory assets are recognized for the effect of transactions or events where future recovery of underlying costs is probable in regulated customer rates. The effect of such accounting is to defer certain or qualifying costs that would otherwise currently be charged to expense. Regulatory liabilities are recognized for amounts expected to be returned through future regulated customer rates. In certain cases, regulatory liabilities are recorded based on an understanding or agreement with the regulator that rates have been set to recover costs that are expected to be incurred in the future, and the regulated entity is accountable for any amounts charged pursuant to such rates and not yet expended for the intended purpose. The accounting for regulatory assets and regulatory liabilities is based on specific ratemaking decisions or precedent for each transaction or event as prescribed by the FERC or the applicable state regulatory commissions. See Note 6 for additional details regarding regulatory matters. | |
Accounting Records | Accounting Records (All Registrants except PPL Energy Supply) |
The system of accounts for domestic regulated entities is maintained in accordance with the Uniform System of Accounts prescribed by the FERC and adopted by the applicable state regulatory commissions. | |
Use of Estimates | Use of Estimates |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Loss Accruals | Loss Accruals |
Potential losses are accrued when (1) information is available that indicates it is "probable" that a loss has been incurred, given the likelihood of the uncertain future events and (2) the amount of the loss can be reasonably estimated. Accounting guidance defines "probable" as cases in which "the future event or events are likely to occur." The Registrants continuously assess potential loss contingencies for environmental remediation, litigation claims, regulatory penalties and other events. Loss accruals for environmental remediation are discounted when appropriate. | |
The accrual of contingencies that might result in gains is not recorded, unless realization is assured. | |
Changes in Classification | Changes in Classification |
The classification of certain amounts in the 2013 and 2012 financial statements have been changed to conform to the current presentation. The changes in classification did not affect the Registrants' net income or equity. | |
Earnings Per Share | Earnings Per Share (PPL) |
EPS is computed using the two-class method, which is an earnings allocation method for computing EPS that treats a participating security as having rights to earnings that would otherwise have been available to common shareowners. Share-based payment awards that provide recipients a non-forfeitable right to dividends or dividend equivalents are considered participating securities. | |
Price Risk Management | Price Risk Management |
(All Registrants) | |
Energy and energy-related contracts are used to hedge the variability of expected cash flows associated with the generating units and marketing activities, as well as for trading purposes at PPL Energy Supply. Interest rate contracts are used to hedge exposures to changes in the fair value of debt instruments and to hedge exposures to variability in expected cash flows associated with existing floating-rate debt instruments or forecasted fixed-rate issuances of debt. Foreign currency exchange contracts are used to hedge foreign currency exposures, primarily associated with PPL's investments in U.K. subsidiaries. Similar derivatives may receive different accounting treatment, depending on management’s intended use and documentation. | |
Certain energy and energy-related contracts meet the definition of a derivative, while others do not meet the definition of a derivative because they lack a notional amount or a net settlement provision. In cases where there is no net settlement provision, markets are periodically assessed to determine whether market mechanisms have evolved that would facilitate net settlement. Certain derivative energy contracts have been excluded from the requirements of derivative accounting treatment because NPNS has been elected. These contracts are accounted for using accrual accounting. All other contracts that have been classified as derivative contracts are reflected on the balance sheets at fair value. These contracts are recorded as "Price risk management assets" and "Price risk management liabilities" on the Balance Sheets. The portion of derivative positions that deliver within a year are included in "Current Assets" and "Current Liabilities," while the portion of derivative positions that deliver beyond a year are recorded in "Other Noncurrent Assets" and "Deferred Credits and Other Noncurrent Liabilities." PPL considers intra-month transactions to be spot activity, which is not accounted for as a derivative. | |
Energy and energy-related contracts are assigned a strategy and accounting classification. Processes exist that allow for subsequent review and validation of the contract information. See Note 17 for more information. The accounting department provides the traders and the risk management department with guidelines on appropriate accounting classifications for various contract types and strategies. Some examples of these guidelines include, but are not limited to: | |
Physical coal, limestone, lime, uranium, electric transmission, gas transportation, gas storage and renewable energy credit contracts not traded on an exchange are not derivatives due to the lack of net settlement provisions. | |
Only contracts where physical delivery is deemed probable throughout the entire term of the contract can qualify for NPNS. | |
Physical transactions that permit cash settlement and financial transactions do not qualify for NPNS because physical delivery cannot be asserted; however, these transactions can receive cash flow hedge treatment if they effectively hedge the volatility in the future cash flows for energy-related commodities. | |
Certain purchased option contracts or net purchased option collars may receive cash flow hedge treatment. | |
Derivative transactions that do not qualify for NPNS or cash flow hedge treatment, or for which NPNS or cash flow hedge treatment is not elected, are recorded at fair value through earnings. | |
A similar process is also followed by the treasury department as it relates to interest rate and foreign currency derivatives. Examples of accounting guidelines provided to the treasury department staff include, but are not limited to: | |
Transactions to lock in an interest rate prior to a debt issuance can be designated as cash flow hedges, to the extent the forecasted debt issuances remain probable of occurring. | |
Cross-currency transactions to hedge interest and principal repayments can be designated as cash flow hedges. | |
Transactions entered into to hedge fluctuations in the fair value of existing debt can be designated as fair value hedges. | |
Transactions entered into to hedge the value of a net investment of foreign operations can be designated as net investment hedges. | |
Derivative transactions that do not qualify for cash flow or net investment hedge treatment are marked to fair value through earnings. These transactions generally include foreign currency swaps and options to hedge GBP earnings translation risk associated with PPL's U.K. subsidiaries that report their financial statements in GBP. As such, these transactions reduce earnings volatility due solely to changes in foreign currency exchange rates. | |
Derivative transactions may be marked to fair value through regulatory assets/liabilities at PPL Electric, LG&E and KU if approved by the appropriate regulatory body. These transactions generally include the effect of interest rate swaps that are included in customer rates. | |
Cash inflows and outflows related to derivative instruments are included as a component of operating, investing or financing activities on the Statements of Cash Flows, depending on the classification of the hedged items. | |
PPL and its subsidiaries have elected not to offset net derivative positions against the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) under master netting arrangements. | |
PPL Energy Supply reflects its net realized and unrealized gains and losses associated with all derivatives that are held for trading purposes in "Unregulated wholesale energy" on the Statements of Income. | |
See Notes 16 and 17 for additional information on derivatives. | |
(PPL and PPL Electric) | |
To meet its obligation as a PLR to its customers, PPL Electric has entered into certain contracts that meet the definition of a derivative. However, NPNS has been elected for these contracts. See Notes 16 and 17 for additional information. | |
Revenue Recognition | Revenue Recognition |
(All Registrants) | |
Operating revenues, except for certain energy and energy-related contracts that meet the definition of derivative instruments and "Energy-related businesses," are recorded based on energy deliveries through the end of the calendar month. Unbilled retail revenues result because customers' meters are read and bills are rendered throughout the month, rather than all being read at the end of the month. Unbilled revenues for a month are calculated by multiplying an estimate of unbilled kWh by the estimated average cents per kWh. Unbilled wholesale energy revenues are recorded at month-end to reflect estimated amounts until actual dollars and MWhs are confirmed and invoiced. Any difference between estimated and actual revenues is adjusted the following month. | |
Certain PPL subsidiaries participate primarily in the PJM RTO, as well as in other RTOs and ISOs. In PJM, PPL EnergyPlus is a marketer, a load-serving entity and a seller for PPL Energy Supply’s generation subsidiaries. A function of interchange accounting is to match participants' MWh entitlements (generation plus scheduled bilateral purchases) against their MWh obligations (load plus scheduled bilateral sales) during every hour of every day. If the net result during any given hour is an entitlement, the participant is credited with a spot-market sale to the RTO at the respective market price for that hour; if the net result is an obligation, the participant is charged with a spot-market purchase at the respective market price for that hour. PPL Energy Supply records the hourly net sales in its Statements of Income as "Unregulated wholesale energy" if in a net sales position and "Energy purchases" if in a net purchase position. | |
(PPL) | |
WPD’s revenue is primarily from charges to suppliers to use its distribution system to deliver electricity to the end-user. During the price control period, WPD’s revenue is decoupled from volume. However, in any fiscal period, WPD’s revenue could be negatively affected if its tariffs and the volume delivered do not fully recover the allowed revenue for a particular period. Conversely, WPD could also over-recover revenue. Over and under-recoveries are added or subtracted to the base demand revenue in future years. Under applicable GAAP, WPD does not record a receivable for under-recoveries, but does record a liability for over-recoveries. WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP and does not record regulatory assets and liabilities. | |
(PPL and PPL Energy Supply) | |
PPL Energy Supply records non-derivative energy marketing activity in the period when the energy is delivered. Generally, sales contracts held for non-trading purposes are reported gross on the Statements of Income within "Unregulated wholesale energy" and "Unregulated retail energy." However, non-trading physical sales and purchases of electricity at major market delivery points (which is any delivery point with liquid pricing available, such as the pricing hub for PJM West), are netted and reported in the Statements of Income within "Unregulated wholesale energy" or "Energy purchases," depending on the net hourly position. Certain energy and energy-related contracts that meet the definition of derivative instruments are recorded at fair value with subsequent changes in fair value recognized as revenue or expense (see Note 17), unless hedge accounting is applied or NPNS is elected. If derivatives meet cash flow hedging criteria, changes in fair value are recorded in AOCI. The unrealized and realized results of derivative and non-derivative contracts that are designated as proprietary trading activities are reported net on the Statements of Income within "Unregulated wholesale energy." | |
"Energy-related businesses" revenue primarily includes revenue from PPL Energy Supply's mechanical contracting and engineering subsidiaries. These subsidiaries record revenue from construction contracts on the percentage-of-completion method of accounting, measured by the actual cost incurred to date as a percentage of the estimated total cost for each contract. Accordingly, costs and estimated earnings in excess of billings on uncompleted contracts are recorded within "Unbilled revenues" on the Balance Sheets, and billings in excess of costs and estimated earnings on uncompleted contracts are recorded within "Other current liabilities" on the Balance Sheets. The amount of costs and estimated earnings in excess of billings was $20 million and $14 million at December 31, 2014 and 2013, and the amount of billings in excess of costs and estimated earnings was $41 million and $75 million at December 31, 2014 and 2013. | |
During 2014, PPL and PPL Energy Supply recorded a $17 million increase to "Energy-related businesses" revenues and “Income from Continuing Operations before Income Taxes” on the 2014 Statement of Income related to prior periods and the timing of revenue recognition for a mechanical contracting and engineering subsidiary. The $10 million after-tax impact of correcting this error increased “Income from Continuing Operations after Income Taxes” and “Net Income” on the 2014 Statement of Income. The impact of the error is not material to the previously-issued financial statements or to the full year results for 2014. | |
Accounts Receivable | Accounts Receivable |
(All Registrants) | |
Accounts receivable are reported on the Balance Sheets at the gross outstanding amount adjusted for an allowance for doubtful accounts. Accounts receivable that are acquired are initially recorded at fair value on the date of acquisition. | |
(PPL, PPL Energy Supply and PPL Electric) | |
In accordance with a PUC-approved purchase of accounts receivable program, PPL Electric purchases certain accounts receivable from alternative electricity suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative electricity suppliers have no continuing involvement or interest in the purchased accounts receivable. The purchased accounts receivable are initially recorded at fair value using a market approach based on the purchase price paid and are classified as Level 2 in the fair value hierarchy. During 2014, 2013 and 2012, PPL Electric purchased $1.1 billion, $985 million and $848 million of accounts receivable from unaffiliated third parties. During 2014, 2013 and 2012, PPL Electric purchased $336 million, $294 million and $313 million of accounts receivable from PPL EnergyPlus. | |
Allowance for Doubtful Accounts (All Registrants) | |
Accounts receivable collectability is evaluated using a combination of factors, including past due status based on contractual terms, trends in write-offs, the age of the receivable, counterparty creditworthiness and economic conditions. Specific events, such as bankruptcies, are also considered. Adjustments to the allowance for doubtful accounts are made when necessary based on the results of analysis, the aging of receivables and historical and industry trends. | |
Accounts receivable are written off in the period in which the receivable is deemed uncollectible. Recoveries of accounts receivable previously written off are recorded when it is known they will be received. | |
Cash | Cash |
Cash Equivalents (All Registrants) | |
All highly liquid investments with original maturities of three months or less are considered to be cash equivalents. | |
Restricted Cash and Cash Equivalents (PPL, PPL Energy Supply and PPL Electric) | |
Bank deposits and other cash equivalents that are restricted by agreement or that have been clearly designated for a specific purpose are classified as restricted cash and cash equivalents. The change in restricted cash and cash equivalents is reported as an investing activity on the Statements of Cash Flows. On the Balance Sheets, the current portion of restricted cash and cash equivalents is shown as "Restricted cash and cash equivalents" for PPL and PPL Energy Supply and included in "Other current assets" for PPL Electric, while the noncurrent portion is included in "Other noncurrent assets" for all three Registrants. | |
Fair Value Measurements | Fair Value Measurements (All Registrants) |
The Registrants value certain financial and nonfinancial assets and liabilities at fair value. Generally, the most significant fair value measurements relate to price risk management assets and liabilities, investments in securities including investments in the NDT funds and defined benefit plans, and cash and cash equivalents. PPL and its subsidiaries use, as appropriate, a market approach (generally, data from market transactions), an income approach (generally, present value techniques and option-pricing models) and/or a cost approach (generally, replacement cost) to measure the fair value of an asset or liability. These valuation approaches incorporate inputs such as observable, independent market data and/or unobservable data that management believes are predicated on the assumptions market participants would use to price an asset or liability. These inputs may incorporate, as applicable, certain risks such as nonperformance risk, which includes credit risk. | |
The Registrants classify fair value measurements within one of three levels in the fair value hierarchy. The level assigned to a fair value measurement is based on the lowest level input that is significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are as follows: | |
Level 1 - quoted prices (unadjusted) in active markets for identical assets or liabilities that are accessible at the measurement date. Active markets are those in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. | |
Level 2 - inputs other than quoted prices included within Level 1 that are either directly or indirectly observable for substantially the full term of the asset or liability. | |
Level 3 - unobservable inputs that management believes are predicated on the assumptions market participants would use to measure the asset or liability at fair value. | |
Assessing the significance of a particular input requires judgment that considers factors specific to the asset or liability. As such, the Registrants' assessment of the significance of a particular input may affect how the assets and liabilities are classified within the fair value hierarchy. | |
Investments | Investments |
(All Registrants) | |
Generally, the original maturity date of an investment and management's intent and ability to sell an investment prior to its original maturity determine the classification of investments as either short-term or long-term. Investments that would otherwise be classified as short-term, but are restricted as to withdrawal or use for other than current operations or are clearly designated for expenditure in the acquisition or construction of noncurrent assets or for the liquidation of long-term debts, are classified as long-term. | |
Short-term Investments | |
Short-term investments generally include certain deposits as well as securities that are considered highly liquid or provide for periodic reset of interest rates. Investments with original maturities greater than three months and less than a year, as well as investments with original maturities of greater than a year that management has the ability and intent to sell within a year, are included in “Short-term investments” (“Other current assets” if not material) on the Balance Sheets. | |
Investments in Debt and Equity Securities | |
Investments in debt securities are classified as held-to-maturity and measured at amortized cost when there is an intent and ability to hold the securities to maturity. Debt and equity securities held principally to capitalize on fluctuations in their value with the intention of selling them in the near-term are classified as trading. All other investments in debt and equity securities are classified as available-for-sale. Both trading and available-for-sale securities are carried at fair value. The specific identification method is used to calculate realized gains and losses on debt and equity securities. Any unrealized gains and losses on trading securities are included in earnings. | |
The criteria for determining whether a decline in fair value of a debt security is other than temporary and whether the other-than-temporary impairment is recognized in earnings or reported in OCI require that when a debt security is in an unrealized loss position and: | |
there is an intent or a requirement to sell the security before recovery, the other-than-temporary impairment is recognized currently in earnings; or | |
there is no intent or requirement to sell the security before recovery, the portion of the other-than-temporary impairment that is considered a credit loss, if any, is recognized currently in earnings and the remainder of the other-than-temporary impairment is reported in OCI, net of tax. | |
Unrealized gains and losses on available-for-sale equity securities are reported, net of tax, in OCI. When an equity security's decline in fair value below cost is determined to be an other-than-temporary impairment, the unrealized loss is recognized currently in earnings. See Notes 16 and 20 for additional information on investments in debt and equity securities. | |
Equity Method Investment (PPL, LKE and KU) | |
Investments in entities over which PPL, LKE and KU have the ability to exercise significant influence, but not control, are accounted for using the equity method of accounting and are reported in “Other Investments” on PPL’s Balance Sheet and in “Other noncurrent assets” on LKE’s and KU's Balance Sheets. In accordance with the accounting guidance for equity method investments, the recoverability of the investment is periodically assessed. If an identified event or change in circumstances requires an impairment evaluation, the fair value of the investment is assessed. The difference between the carrying amount of the investment and its estimated fair value is recognized as an impairment loss when the loss in value is deemed other-than-temporary and such loss is included in “Other-Than-Temporary Impairments” on the Statements of Income. | |
KU owns 20% of the common stock of EEI, which is accounted for as an equity method investment. During 2012, KU recorded losses of $8 million from its share of EEI's operating results. In December 2012, KU concluded that an other-than-temporary decline in the value of its investment in EEI had occurred. KU recorded an impairment charge of $25 million ($15 million, after-tax) which reduced the investment balance to zero, the estimated fair value at December 31, 2014, 2013 and 2012. See Note 16 for additional information. | |
Cost Method Investment (LKE, LG&E and KU) | |
LG&E and KU each have an investment in OVEC, which is accounted for using the cost method. The investment is recorded in "Other noncurrent assets" on the LKE, LG&E and KU Balance Sheets and in “Other investments” on the PPL Balance Sheets. LG&E and KU and ten other electric utilities are equity owners of OVEC. OVEC's power is currently supplied to LG&E and KU and 11 other companies affiliated with the various owners. LG&E and KU own 5.63% and 2.5% of OVEC's common stock. Pursuant to a power purchase agreement, LG&E and KU are contractually entitled to their ownership percentage of OVEC's output, which is approximately 120 MW for LG&E and approximately 53 MW for KU. | |
LG&E’s and KU's combined investment in OVEC is not significant. The direct exposure to loss as a result of LG&E's and KU's involvement with OVEC is generally limited to the value of their investments; however, LG&E and KU are conditionally responsible for a pro-rata share of certain OVEC obligations. As part of PPL's acquisition of LKE, the value of the power purchase contract was recorded as an intangible asset with an offsetting regulatory liability, both of which are being amortized using the units-of-production method until March 2026, the expiration date of the agreement. See Notes 13 and 18 for additional discussion on the power purchase agreement. | |
Property, Plant and Equipment | Property, Plant and Equipment |
(All Registrants) | |
PP&E is recorded at original cost, unless impaired. PP&E acquired in business combinations is recorded at fair value at the time of acquisition, which establishes its original cost. If impaired, the asset is written down to fair value at that time, which becomes the new cost basis of the asset. Original cost for constructed assets includes material, labor, contractor costs, certain overheads and financing costs, where applicable. The cost of repairs and minor replacements are charged to expense as incurred. The Registrants record costs associated with planned major maintenance projects in the period in which the costs are incurred. No costs associated with planned major maintenance projects are accrued in advance of the period in which the work is performed. LG&E and KU accrue costs of removal net of estimated salvage value through depreciation, which is included in the calculation of customer rates over the assets' depreciable lives in accordance with regulatory practices. Cost of removal amounts accrued through depreciation rates are accumulated as a regulatory liability until the removal costs are incurred. See "Asset Retirement Obligations" below and Note 6 for additional information. PPL Electric records net cost of removal when incurred as a regulatory asset. The regulatory asset is subsequently amortized through depreciation over a five-year period, which is recoverable in customer rates in accordance with regulatory practices. | |
(All Registrants except PPL Energy Supply) | |
AFUDC is capitalized at PPL Electric as part of the construction costs for cost-based rate-regulated projects for which a return on such costs is recovered after the project is placed in service. The debt component of AFUDC is credited to "Interest Expense" and the equity component is credited to "Other Income (Expense) - net" on the Statements of Income. LG&E and KU generally do not record AFUDC, except for certain instances in KU’s FERC approved rates charged to its municipal customers, as a return is provided on construction work in progress. | |
(PPL and PPL Energy Supply) | |
Nuclear fuel-related costs, including fuel, conversion, enrichment, fabrication and assemblies, are capitalized as PP&E. Such costs are amortized as the fuel is spent using the units-of-production method and included in "Fuel" on the Statements of Income. | |
PPL and PPL Energy Supply capitalize interest costs as part of construction costs. | |
Depreciation | |
(All Registrants) | |
Depreciation is recorded over the estimated useful lives of property using various methods including the straight-line, composite and group methods. When a component of PP&E that was depreciated under the composite or group method is retired, the original cost is charged to accumulated depreciation. When all or a significant portion of an operating unit that was depreciated under the composite or group method is retired or sold, the property and the related accumulated depreciation account is reduced and any gain or loss is included in income, unless otherwise required by regulators. | |
Goodwill and Other Intangible Assets | (All Registrants) |
Goodwill and Other Intangible Assets | |
Goodwill represents the excess of the purchase price paid over the fair value of the identifiable net assets acquired in a business combination. | |
Other acquired intangible assets are initially measured based on their fair value. Intangibles that have finite useful lives are amortized over their useful lives based upon the pattern in which the economic benefits of the intangible assets are consumed or otherwise used. Costs incurred to obtain an initial license and renew or extend terms of licenses are capitalized as intangible assets. | |
When determining the useful life of an intangible asset, including intangible assets that are renewed or extended, PPL and its subsidiaries consider the expected use of the asset; the expected useful life of other assets to which the useful life of the intangible asset may relate; legal, regulatory, or contractual provisions that may limit the useful life; the company's historical experience as evidence of its ability to support renewal or extension; the effects of obsolescence, demand, competition, and other economic factors; and the level of maintenance expenditures required to obtain the expected future cash flows from the asset. | |
PPL and PPL Energy Supply account for RECs as intangible assets. PPL and PPL Energy Supply buy and/or sell RECs and also create RECs through owned renewable energy generation facilities. In any period, PPL and PPL Energy Supply can be a net purchaser or seller of RECs depending on their contractual obligations to purchase or deliver RECs and the production of RECs from their renewable energy generation facilities. The carrying value of RECs created from their renewable energy generation facilities is initially recorded at zero value and purchased RECs are initially recorded based on their purchase price. When RECs are consumed to satisfy an obligation to deliver RECs to meet a state's Renewable Portfolio Standard Obligation or when RECs are sold to third parties, they are removed from the Balance Sheet at their weighted-average carrying value. Since the economic benefits of RECs are not diminished until they are consumed, RECs are not amortized; rather, they are expensed when consumed or a gain or loss is recognized when sold. Such expense is included in "Energy purchases" on the Statements of Income. Gains and losses on the sale of RECs are included in "Other operation and maintenance" on the Statements of Income. | |
PPL, PPL Energy Supply, LKE, LG&E and KU account for emission allowances as intangible assets. PPL, PPL Energy Supply, LKE, LG&E and KU are allocated emission allowances by states based on their generation facilities' historical emissions experience, and have purchased emission allowances generally when it is expected that additional allowances will be needed. The carrying value of allocated emission allowances is initially recorded at zero value and purchased allowances are initially recorded based on their purchase price. When consumed or sold, emission allowances are removed from the Balance Sheet at their weighted-average carrying value. Since the economic benefits of emission allowances are not diminished until they are consumed, emission allowances are not amortized; rather, they are expensed when consumed or a gain or loss is recognized when sold. Such expense is included in "Fuel" on the Statements of Income. Gains and losses on the sale of emission allowances are included in "Other operation and maintenance" on the Statements of Income. | |
Asset Retirement Obligations | Asset Retirement Obligations |
PPL and its subsidiaries record liabilities to reflect various legal obligations associated with the retirement of long-lived assets. Initially, this obligation is measured at fair value and offset with an increase in the value of the capitalized asset, which is depreciated over the asset's useful life. Until the obligation is settled, the liability is increased through the recognition of accretion expense classified within "Other operation and maintenance" on the Statements of Income to reflect changes in the obligation due to the passage of time. The accretion and depreciation expenses recorded by LG&E and KU are recorded as a regulatory asset, such that there is no earnings impact. | |
Estimated ARO costs and settlement dates, which affect the carrying value of the ARO and the related capitalized asset, are reviewed periodically to ensure that any material changes are incorporated into the latest estimate of the ARO. Any change to the capitalized asset, positive or negative, is generally amortized over the remaining life of the associated long-lived asset. See Note 19 for additional information on AROs. | |
Compensation and Benefits | Compensation and Benefits |
Defined Benefits (All Registrants) | |
Certain PPL subsidiaries sponsor various defined benefit pension and other postretirement plans. An asset or liability is recorded to recognize the funded status of all defined benefit plans with an offsetting entry to AOCI or, for LG&E, KU and PPL Electric, to regulatory assets or liabilities. Consequently, the funded status of all defined benefit plans is fully recognized on the Balance Sheets. | |
The expected return on plan assets is determined based on a market-related value of plan assets, which is calculated by rolling forward the prior year market-related value with contributions, disbursements and long-term expected return on investments. One-fifth of the difference between the actual value and the expected value is added (or subtracted if negative) to the expected value to determine the new market-related value. | |
PPL uses an accelerated amortization method for the recognition of gains and losses for its defined benefit pension plans. Under the accelerated method, actuarial gains and losses in excess of 30% of the plan's projected benefit obligation are amortized on a straight-line basis over one-half of the expected average remaining service of active plan participants. Actuarial gains and losses in excess of 10% of the greater of the plan's projected benefit obligation or the market-related value of plan assets and less than 30% of the plan's projected benefit obligation are amortized on a straight-line basis over the expected average remaining service period of active plan participants. | |
See Note 11 for a discussion of defined benefits. | |
Stock-Based Compensation | |
(All Registrants except LG&E and KU) | |
PPL has several stock-based compensation plans for purposes of granting stock options, restricted stock, restricted stock units and performance units to certain employees as well as stock units and restricted stock units to directors. PPL grants most stock-based awards in the first quarter of each year. PPL and its subsidiaries recognize compensation expense for stock-based awards based on the fair value method. Stock options that vest in installments are valued as a single award. PPL grants stock options with an exercise price that is not less than the fair value of PPL's common stock on the date of grant. See Note 10 for a discussion of stock-based compensation. All awards are recorded as equity or a liability on the Balance Sheets. Stock-based compensation is primarily included in "Other operation and maintenance" on the Statements of Income. Stock-based compensation expense for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense. | |
Income Taxes | Taxes |
Income Taxes | |
(All Registrants) | |
PPL and its domestic subsidiaries file a consolidated U.S. federal income tax return. | |
Significant management judgment is required in developing the Registrants' provision for income taxes, primarily due to the uncertainty related to tax positions taken or expected to be taken in tax returns, valuation allowances on deferred tax assets and whether the undistributed earnings of WPD are considered indefinitely reinvested. | |
Significant management judgment is also required to determine the amount of benefit to be recognized in relation to an uncertain tax position. The Registrants use a two-step process to evaluate tax positions. The first step requires an entity to determine whether, based on the technical merits supporting a particular tax position, it is more likely than not (greater than a 50% chance) that the tax position will be sustained. This determination assumes that the relevant taxing authority will examine the tax position and is aware of all the relevant facts surrounding the tax position. The second step requires an entity to recognize in the financial statements the benefit of a tax position that meets the more-likely-than-not recognition criterion. The benefit recognized is measured at the largest amount of benefit that has a likelihood of realization, upon settlement, that exceeds 50%. The amounts ultimately paid upon resolution of issues raised by taxing authorities may differ materially from the amounts accrued and may materially impact the financial statements of the Registrants in future periods. | |
Deferred income taxes reflect the net future tax effects of temporary differences between the carrying amounts of assets and liabilities for accounting purposes and their basis for income tax purposes, as well as the tax effects of net operating losses and tax credit carryforwards. | |
The Registrants record valuation allowances to reduce deferred tax assets to the amounts that are more likely than not to be realized. The Registrants consider the reversal of temporary differences, future taxable income and ongoing prudent and feasible tax planning strategies in initially recording and subsequently reevaluating the need for valuation allowances. If the Registrants determine that they are able to realize deferred tax assets in the future in excess of recorded net deferred tax assets, adjustments to the valuation allowances increase income by reducing tax expense in the period that such determination is made. Likewise, if the Registrants determine that they are not able to realize all or part of net deferred tax assets in the future, adjustments to the valuation allowances would decrease income by increasing tax expense in the period that such determination is made. | |
The Registrants defer investment tax credits when the credits are utilized and amortize the deferred amounts over the average lives of the related assets. | |
The Registrants recognize interest and penalties in "Income Taxes" on their Statements of Income. | |
The Registrants record the receipt of grants related to assets as a reduction to the book basis of the property and the related deferred income taxes as an immediate reduction to income tax expense. | |
See Note 5 for additional discussion regarding income taxes including management’s conclusion that the undistributed earnings of WPD are considered indefinitely reinvested. Based on this conclusion, PPL Global does not record U.S. taxes on WPD’s undistributed earnings. | |
(All Registrants except PPL Energy Supply) | |
The provision for PPL, PPL Electric, LKE, LG&E and KU's deferred income taxes for regulated assets is based upon the ratemaking principles reflected in rates established by the regulators. The difference in the provision for deferred income taxes for regulated assets and the amount that otherwise would be recorded under GAAP is deferred and included on the Balance Sheet in noncurrent "Regulatory assets" or "Regulatory liabilities." | |
Taxes, Other Than Income | Taxes, Other Than Income (All Registrants) |
The Registrants present sales taxes in "Other current liabilities" and PPL presents value-added taxes in "Taxes" on the Balance Sheets. These taxes are not reflected on the Statements of Income. See Note 5 for details on taxes included in "Taxes, other than income" on the Statements of Income. | |
Leases | Leases |
(All Registrants) | |
The Registrants evaluate whether arrangements entered into contain leases for accounting purposes. See Note 9 for a discussion of arrangements under which PPL Energy Supply, LG&E and KU are lessees for accounting purposes. | |
Fuel, Materials and Supplies | Fuel, Materials and Supplies |
(All Registrants) | |
Fuel, natural gas stored underground and materials and supplies are valued at the lower of cost or market using the average cost method. Fuel costs for electric generation are charged to expense as used. For LG&E, natural gas supply costs are charged to expense as delivered to the distribution system. See Note 6 for further discussion of the fuel adjustment clause and gas supply clause. | |
Guarantees | Guarantees (All Registrants) |
Generally, the initial measurement of a guarantee liability is the fair value of the guarantee at its inception. However, there are certain guarantees excluded from the scope of accounting guidance and other guarantees that are not subject to the initial recognition and measurement provisions of accounting guidance that only require disclosure. See Note 13 for further discussion of recorded and unrecorded guarantees. | |
Treasury Stock | Treasury Stock (PPL and PPL Electric) |
PPL and PPL Electric restore all shares of common stock acquired to authorized but unissued shares of common stock upon acquisition. | |
Asset Impairment (Excluding Investments) | Asset Impairment (Excluding Investments) |
The Registrants review long-lived assets that are subject to depreciation or amortization, including finite-lived intangibles, for impairment when events or circumstances indicate carrying amounts may not be recoverable. | |
A long-lived asset classified as held and used is impaired when the carrying amount of the asset exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. If impaired, the asset's carrying value is written down to its fair value. See Note 16 for a discussion of asset impairments, including the Corette coal-fired plant and the Kerr Dam Project, both in Montana. | |
A long-lived asset classified as held for sale is impaired when the carrying amount of the asset (disposal group) exceeds its fair value less cost to sell. If impaired, the asset's (disposal group's) carrying value is written down to its fair value less cost to sell. | |
The depressed level of energy and capacity prices in PJM, as well as management's forward view of these prices using its fundamental pricing models, has put pressure on the recoverability assessment of PPL Energy Supply's investment in its Pennsylvania coal-fired generation assets. In the fourth quarter of 2013, after updating its fundamental pricing models in conjunction with the annual business planning process, management tested the Brunner Island and Montour plants for impairment and concluded neither plant was impaired as of December 31, 2013. The recoverability assessment is very sensitive to forward energy and capacity price assumptions as well as forecasted operation and maintenance and capital spending. Therefore, a further decline in forecasted long-term energy or capacity prices or changes in environmental laws requiring additional capital or operations and maintenance expenditures, could negatively impact PPL Energy Supply's operations of these facilities and potentially result in future impairment charges for some or all of the carrying value of these plants. There were no events or changes in circumstances that indicated a recoverability assessment was required to be performed in 2014. The carrying value of these assets was $2.6 billion as of December 31, 2014 ($1.4 billion for Brunner Island and $1.2 billion for Montour). | |
PPL, PPL Energy Supply, LKE, LG&E and KU review goodwill for impairment at the reporting unit level annually or more frequently when events or circumstances indicate that the carrying amount of a reporting unit may be greater than the unit's fair value. Additionally, goodwill must be tested for impairment in circumstances when a portion of goodwill has been allocated to a business to be disposed. PPL's, PPL Energy Supply's, LKE's, LG&E's and KU's reporting units are at the operating segment level. | |
PPL, PPL Energy Supply, LKE, LG&E and KU may elect either to initially make a qualitative evaluation about the likelihood of an impairment of goodwill or to bypass the qualitative evaluation and test goodwill for impairment using a two-step quantitative test. If the qualitative evaluation (referred to as "step zero") is elected and the assessment results in a determination that it is not more likely than not that the fair value of a reporting unit is less than the carrying amount, the two-step quantitative impairment test is not necessary. However, the quantitative impairment test is required if management concludes it is more likely than not that the fair value of a reporting unit is less than the carrying amount based on the step zero assessment. | |
If the carrying amount of the reporting unit, including goodwill, exceeds its fair value, the implied fair value of goodwill must be calculated in the same manner as goodwill in a business combination. The fair value of a reporting unit is allocated to all assets and liabilities of that unit as if the reporting unit had been acquired in a business combination. The excess of the fair value of the reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. If the implied fair value of goodwill is less than the carrying amount, goodwill is written down to its implied fair value. | |
PPL (for its U.K. Regulated and Kentucky Regulated segments), and individually, LKE, LG&E and KU elected to perform the qualitative step zero evaluation of goodwill in the fourth quarter of 2014 and determined that it was not more likely than not that the fair values of their reporting units were less than their carrying values. | |
PPL, for its Supply segment, and PPL Energy Supply elected to bypass step zero and quantitatively tested the goodwill of these reporting units for impairment in the fourth quarter of 2014 and no impairment was recognized. | |
Foreign Currency Translation and Transactions | Foreign Currency Translation and Transactions (PPL) |
WPD's functional currency is the GBP, which is the local currency in the U.K. As such, assets and liabilities are translated to U.S. dollars at the exchange rates on the date of consolidation and related revenues and expenses are translated at average exchange rates prevailing during the period included in PPL's results of operations. Adjustments resulting from foreign currency translation are recorded in AOCI. | |
Gains or losses relating to foreign currency transactions are recognized in "Other Income (Expense) - net" on the Statements of Income. See Note 15 for additional information. | |
New Accounting Guidance Adopted | New Accounting Guidance Adopted (All Registrants) |
Accounting for Obligations Resulting from Joint and Several Liability Arrangements | |
Effective January 1, 2014, the Registrants retrospectively adopted accounting guidance for the recognition, measurement and disclosure of certain obligations resulting from joint and several liability arrangements when the amount of the obligation is fixed at the reporting date. If the obligation is determined to be in the scope of this guidance, it will be measured as the sum of the amount the reporting entity agreed to pay on the basis of its arrangements among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. This guidance also requires additional disclosures for these obligations. | |
The adoption of this guidance did not have a significant impact on the Registrants. | |
Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity | |
Effective January 1, 2014, PPL prospectively adopted accounting guidance that requires a cumulative translation adjustment to be released into earnings when an entity ceases to have a controlling financial interest in a subsidiary or group of assets within a consolidated foreign entity and the sale or transfer results in the complete or substantially complete liquidation of the foreign entity. For the step acquisition of previously held equity method investments that are foreign entities, this guidance clarifies that the amount of accumulated other comprehensive income that is reclassified and included in the calculation of a gain or loss shall include any foreign currency translation adjustment related to that previously held investment. | |
The initial adoption of this guidance did not have a significant impact on PPL; however, the impact in future periods could be material. | |
Presentation of Unrecognized Tax Benefits When Net Operating Loss Carryforwards, Similar Tax Losses, or Tax Credit Carryforwards Exist | |
Effective January 1, 2014, the Registrants prospectively adopted accounting guidance that requires an unrecognized tax benefit, or a portion of an unrecognized tax benefit, to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. | |
The adoption of this guidance did not have a significant impact on the Registrants. | |
PPL Electric Utilities Corp [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Business and Consolidation | PPL Electric is a cost-based rate-regulated utility subsidiary of PPL. PPL Electric's principal business is the regulated transmission and distribution of electricity to serve retail customers in its franchised territory in eastern and central Pennsylvania and the regulated supply of electricity to retail customers in that territory as a PLR. |
Regulation | PPL Electric, LG&E and KU are cost-based rate-regulated utilities for which rates are set by regulators to enable PPL Electric, LG&E and KU to recover the costs of providing electric or gas service, as applicable, and to provide a reasonable return to shareholders. Rates are generally established based on a historical or future test period. As a result, the financial statements are subject to the accounting for certain types of regulation as prescribed by GAAP and reflect the effects of regulatory actions. Regulatory assets are recognized for the effect of transactions or events where future recovery of underlying costs is probable in regulated customer rates. The effect of such accounting is to defer certain or qualifying costs that would otherwise currently be charged to expense. Regulatory liabilities are recognized for amounts expected to be returned through future regulated customer rates. In certain cases, regulatory liabilities are recorded based on an understanding or agreement with the regulator that rates have been set to recover costs that are expected to be incurred in the future, and the regulated entity is accountable for any amounts charged pursuant to such rates and not yet expended for the intended purpose. The accounting for regulatory assets and regulatory liabilities is based on specific ratemaking decisions or precedent for each transaction or event as prescribed by the FERC or the applicable state regulatory commissions. See Note 6 for additional details regarding regulatory matters. |
Accounting Records | Accounting Records (All Registrants except PPL Energy Supply) |
The system of accounts for domestic regulated entities is maintained in accordance with the Uniform System of Accounts prescribed by the FERC and adopted by the applicable state regulatory commissions. | |
Price Risk Management | To meet its obligation as a PLR to its customers, PPL Electric has entered into certain contracts that meet the definition of a derivative. However, NPNS has been elected for these contracts. See Notes 16 and 17 for additional information. |
Accounts Receivable | In accordance with a PUC-approved purchase of accounts receivable program, PPL Electric purchases certain accounts receivable from alternative electricity suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative electricity suppliers have no continuing involvement or interest in the purchased accounts receivable. The purchased accounts receivable are initially recorded at fair value using a market approach based on the purchase price paid and are classified as Level 2 in the fair value hierarchy. During 2014, 2013 and 2012, PPL Electric purchased $1.1 billion, $985 million and $848 million of accounts receivable from unaffiliated third parties. During 2014, 2013 and 2012, PPL Electric purchased $336 million, $294 million and $313 million of accounts receivable from PPL EnergyPlus. |
Cash | Restricted Cash and Cash Equivalents (PPL, PPL Energy Supply and PPL Electric) |
Bank deposits and other cash equivalents that are restricted by agreement or that have been clearly designated for a specific purpose are classified as restricted cash and cash equivalents. The change in restricted cash and cash equivalents is reported as an investing activity on the Statements of Cash Flows. On the Balance Sheets, the current portion of restricted cash and cash equivalents is shown as "Restricted cash and cash equivalents" for PPL and PPL Energy Supply and included in "Other current assets" for PPL Electric, while the noncurrent portion is included in "Other noncurrent assets" for all three Registrants. | |
Property, Plant and Equipment | AFUDC is capitalized at PPL Electric as part of the construction costs for cost-based rate-regulated projects for which a return on such costs is recovered after the project is placed in service. The debt component of AFUDC is credited to "Interest Expense" and the equity component is credited to "Other Income (Expense) - net" on the Statements of Income. LG&E and KU generally do not record AFUDC, except for certain instances in KU’s FERC approved rates charged to its municipal customers, as a return is provided on construction work in progress. |
Compensation and Benefits | Stock-Based Compensation |
(All Registrants except LG&E and KU) | |
PPL has several stock-based compensation plans for purposes of granting stock options, restricted stock, restricted stock units and performance units to certain employees as well as stock units and restricted stock units to directors. PPL grants most stock-based awards in the first quarter of each year. PPL and its subsidiaries recognize compensation expense for stock-based awards based on the fair value method. Stock options that vest in installments are valued as a single award. PPL grants stock options with an exercise price that is not less than the fair value of PPL's common stock on the date of grant. See Note 10 for a discussion of stock-based compensation. All awards are recorded as equity or a liability on the Balance Sheets. Stock-based compensation is primarily included in "Other operation and maintenance" on the Statements of Income. Stock-based compensation expense for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense. | |
Income Taxes | The provision for PPL, PPL Electric, LKE, LG&E and KU's deferred income taxes for regulated assets is based upon the ratemaking principles reflected in rates established by the regulators. The difference in the provision for deferred income taxes for regulated assets and the amount that otherwise would be recorded under GAAP is deferred and included on the Balance Sheet in noncurrent "Regulatory assets" or "Regulatory liabilities." |
(All Registrants except PPL) | |
The income tax provision for PPL Energy Supply, PPL Electric, LKE, LG&E and KU is calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if PPL Energy Supply, PPL Electric, LKE, LG&E, KU and any domestic subsidiaries each filed a separate return. Tax benefits are not shared between companies. The entity that generates a tax benefit is the entity that is entitled to the tax benefit. The effect of PPL filing a consolidated tax return is taken into account in the settlement of current taxes and the recognition of deferred taxes. At December 31, the following intercompany tax receivables (payables) were recorded. | |
Treasury Stock | Treasury Stock (PPL and PPL Electric) |
PPL and PPL Electric restore all shares of common stock acquired to authorized but unissued shares of common stock upon acquisition. | |
PPL Energy Supply LLC [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Business and Consolidation | PPL Energy Supply is an energy company conducting business primarily through its principal subsidiaries PPL Generation and PPL EnergyPlus. PPL Generation owns and operates a portfolio of competitive domestic power generating assets. These power plants are located in Pennsylvania and Montana and use well-diversified fuel sources including coal, uranium, natural gas, oil and water. PPL EnergyPlus sells electricity produced by PPL Generation subsidiaries, participates in wholesale market load-following auctions, and markets various energy products and commodities such as: capacity, transmission, FTRs, coal, natural gas, oil, uranium, emission allowances, RECs and other commodities in competitive wholesale and competitive retail markets, primarily in the northeastern and northwestern U.S. |
In June 2014, PPL and PPL Energy Supply executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. See Note 8 for additional information. | |
In November 2014, PPL Montana completed the sale of its hydroelectric generating facilities. See Note 8 for additional information. | |
"Income (Loss) from Discontinued Operations (net of income taxes)" on the Statements of Income includes the activities of PPL Montana's hydroelectric generating facilities and the gain on the sale of these facilities to NorthWestern in November 2014. The related assets and liabilities have not been reclassified to assets/liabilities of discontinued operations on the balance sheet at December 31, 2013. The Statements of Cash Flows do not separately report the cash flows of the Discontinued Operations. See Note 8 for additional information. | |
Revenue Recognition | PPL Energy Supply records non-derivative energy marketing activity in the period when the energy is delivered. Generally, sales contracts held for non-trading purposes are reported gross on the Statements of Income within "Unregulated wholesale energy" and "Unregulated retail energy." However, non-trading physical sales and purchases of electricity at major market delivery points (which is any delivery point with liquid pricing available, such as the pricing hub for PJM West), are netted and reported in the Statements of Income within "Unregulated wholesale energy" or "Energy purchases," depending on the net hourly position. Certain energy and energy-related contracts that meet the definition of derivative instruments are recorded at fair value with subsequent changes in fair value recognized as revenue or expense (see Note 17), unless hedge accounting is applied or NPNS is elected. If derivatives meet cash flow hedging criteria, changes in fair value are recorded in AOCI. The unrealized and realized results of derivative and non-derivative contracts that are designated as proprietary trading activities are reported net on the Statements of Income within "Unregulated wholesale energy." |
"Energy-related businesses" revenue primarily includes revenue from PPL Energy Supply's mechanical contracting and engineering subsidiaries. These subsidiaries record revenue from construction contracts on the percentage-of-completion method of accounting, measured by the actual cost incurred to date as a percentage of the estimated total cost for each contract. Accordingly, costs and estimated earnings in excess of billings on uncompleted contracts are recorded within "Unbilled revenues" on the Balance Sheets, and billings in excess of costs and estimated earnings on uncompleted contracts are recorded within "Other current liabilities" on the Balance Sheets. The amount of costs and estimated earnings in excess of billings was $20 million and $14 million at December 31, 2014 and 2013, and the amount of billings in excess of costs and estimated earnings was $41 million and $75 million at December 31, 2014 and 2013. | |
During 2014, PPL and PPL Energy Supply recorded a $17 million increase to "Energy-related businesses" revenues and “Income from Continuing Operations before Income Taxes” on the 2014 Statement of Income related to prior periods and the timing of revenue recognition for a mechanical contracting and engineering subsidiary. The $10 million after-tax impact of correcting this error increased “Income from Continuing Operations after Income Taxes” and “Net Income” on the 2014 Statement of Income. The impact of the error is not material to the previously-issued financial statements or to the full year results for 2014. | |
Accounts Receivable | In accordance with a PUC-approved purchase of accounts receivable program, PPL Electric purchases certain accounts receivable from alternative electricity suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative electricity suppliers have no continuing involvement or interest in the purchased accounts receivable. The purchased accounts receivable are initially recorded at fair value using a market approach based on the purchase price paid and are classified as Level 2 in the fair value hierarchy. During 2014, 2013 and 2012, PPL Electric purchased $1.1 billion, $985 million and $848 million of accounts receivable from unaffiliated third parties. During 2014, 2013 and 2012, PPL Electric purchased $336 million, $294 million and $313 million of accounts receivable from PPL EnergyPlus. |
Cash | Restricted Cash and Cash Equivalents (PPL, PPL Energy Supply and PPL Electric) |
Bank deposits and other cash equivalents that are restricted by agreement or that have been clearly designated for a specific purpose are classified as restricted cash and cash equivalents. The change in restricted cash and cash equivalents is reported as an investing activity on the Statements of Cash Flows. On the Balance Sheets, the current portion of restricted cash and cash equivalents is shown as "Restricted cash and cash equivalents" for PPL and PPL Energy Supply and included in "Other current assets" for PPL Electric, while the noncurrent portion is included in "Other noncurrent assets" for all three Registrants. | |
Property, Plant and Equipment | Nuclear fuel-related costs, including fuel, conversion, enrichment, fabrication and assemblies, are capitalized as PP&E. Such costs are amortized as the fuel is spent using the units-of-production method and included in "Fuel" on the Statements of Income. |
PPL and PPL Energy Supply capitalize interest costs as part of construction costs. | |
Compensation and Benefits | Stock-Based Compensation |
(All Registrants except LG&E and KU) | |
PPL has several stock-based compensation plans for purposes of granting stock options, restricted stock, restricted stock units and performance units to certain employees as well as stock units and restricted stock units to directors. PPL grants most stock-based awards in the first quarter of each year. PPL and its subsidiaries recognize compensation expense for stock-based awards based on the fair value method. Stock options that vest in installments are valued as a single award. PPL grants stock options with an exercise price that is not less than the fair value of PPL's common stock on the date of grant. See Note 10 for a discussion of stock-based compensation. All awards are recorded as equity or a liability on the Balance Sheets. Stock-based compensation is primarily included in "Other operation and maintenance" on the Statements of Income. Stock-based compensation expense for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense. | |
Income Taxes | The income tax provision for PPL Energy Supply, PPL Electric, LKE, LG&E and KU is calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if PPL Energy Supply, PPL Electric, LKE, LG&E, KU and any domestic subsidiaries each filed a separate return. Tax benefits are not shared between companies. The entity that generates a tax benefit is the entity that is entitled to the tax benefit. The effect of PPL filing a consolidated tax return is taken into account in the settlement of current taxes and the recognition of deferred taxes. At December 31, the following intercompany tax receivables (payables) were recorded. |
LG And E And KU Energy LLC [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Business and Consolidation | LKE is a utility holding company with cost-based rate-regulated utility operations through its subsidiaries, LG&E and KU. LG&E and KU are engaged in the regulated generation, transmission, distribution and sale of electricity. LG&E also engages in the regulated distribution and sale of natural gas. LG&E and KU maintain their separate identities and serve customers in Kentucky under their respective names. KU also serves customers in Virginia (under the Old Dominion Power name) and in Tennessee under the KU name. |
Regulation | PPL Electric, LG&E and KU are cost-based rate-regulated utilities for which rates are set by regulators to enable PPL Electric, LG&E and KU to recover the costs of providing electric or gas service, as applicable, and to provide a reasonable return to shareholders. Rates are generally established based on a historical or future test period. As a result, the financial statements are subject to the accounting for certain types of regulation as prescribed by GAAP and reflect the effects of regulatory actions. Regulatory assets are recognized for the effect of transactions or events where future recovery of underlying costs is probable in regulated customer rates. The effect of such accounting is to defer certain or qualifying costs that would otherwise currently be charged to expense. Regulatory liabilities are recognized for amounts expected to be returned through future regulated customer rates. In certain cases, regulatory liabilities are recorded based on an understanding or agreement with the regulator that rates have been set to recover costs that are expected to be incurred in the future, and the regulated entity is accountable for any amounts charged pursuant to such rates and not yet expended for the intended purpose. The accounting for regulatory assets and regulatory liabilities is based on specific ratemaking decisions or precedent for each transaction or event as prescribed by the FERC or the applicable state regulatory commissions. See Note 6 for additional details regarding regulatory matters. |
Accounting Records | Accounting Records (All Registrants except PPL Energy Supply) |
The system of accounts for domestic regulated entities is maintained in accordance with the Uniform System of Accounts prescribed by the FERC and adopted by the applicable state regulatory commissions. | |
Investments | Equity Method Investment (PPL, LKE and KU) |
Investments in entities over which PPL, LKE and KU have the ability to exercise significant influence, but not control, are accounted for using the equity method of accounting and are reported in “Other Investments” on PPL’s Balance Sheet and in “Other noncurrent assets” on LKE’s and KU's Balance Sheets. In accordance with the accounting guidance for equity method investments, the recoverability of the investment is periodically assessed. If an identified event or change in circumstances requires an impairment evaluation, the fair value of the investment is assessed. The difference between the carrying amount of the investment and its estimated fair value is recognized as an impairment loss when the loss in value is deemed other-than-temporary and such loss is included in “Other-Than-Temporary Impairments” on the Statements of Income. | |
KU owns 20% of the common stock of EEI, which is accounted for as an equity method investment. During 2012, KU recorded losses of $8 million from its share of EEI's operating results. In December 2012, KU concluded that an other-than-temporary decline in the value of its investment in EEI had occurred. KU recorded an impairment charge of $25 million ($15 million, after-tax) which reduced the investment balance to zero, the estimated fair value at December 31, 2014, 2013 and 2012. See Note 16 for additional information. | |
Cost Method Investment (LKE, LG&E and KU) | |
LG&E and KU each have an investment in OVEC, which is accounted for using the cost method. The investment is recorded in "Other noncurrent assets" on the LKE, LG&E and KU Balance Sheets and in “Other investments” on the PPL Balance Sheets. LG&E and KU and ten other electric utilities are equity owners of OVEC. OVEC's power is currently supplied to LG&E and KU and 11 other companies affiliated with the various owners. LG&E and KU own 5.63% and 2.5% of OVEC's common stock. Pursuant to a power purchase agreement, LG&E and KU are contractually entitled to their ownership percentage of OVEC's output, which is approximately 120 MW for LG&E and approximately 53 MW for KU. | |
LG&E’s and KU's combined investment in OVEC is not significant. The direct exposure to loss as a result of LG&E's and KU's involvement with OVEC is generally limited to the value of their investments; however, LG&E and KU are conditionally responsible for a pro-rata share of certain OVEC obligations. As part of PPL's acquisition of LKE, the value of the power purchase contract was recorded as an intangible asset with an offsetting regulatory liability, both of which are being amortized using the units-of-production method until March 2026, the expiration date of the agreement. See Notes 13 and 18 for additional discussion on the power purchase agreement. | |
Property, Plant and Equipment | AFUDC is capitalized at PPL Electric as part of the construction costs for cost-based rate-regulated projects for which a return on such costs is recovered after the project is placed in service. The debt component of AFUDC is credited to "Interest Expense" and the equity component is credited to "Other Income (Expense) - net" on the Statements of Income. LG&E and KU generally do not record AFUDC, except for certain instances in KU’s FERC approved rates charged to its municipal customers, as a return is provided on construction work in progress. |
Compensation and Benefits | Stock-Based Compensation |
(All Registrants except LG&E and KU) | |
PPL has several stock-based compensation plans for purposes of granting stock options, restricted stock, restricted stock units and performance units to certain employees as well as stock units and restricted stock units to directors. PPL grants most stock-based awards in the first quarter of each year. PPL and its subsidiaries recognize compensation expense for stock-based awards based on the fair value method. Stock options that vest in installments are valued as a single award. PPL grants stock options with an exercise price that is not less than the fair value of PPL's common stock on the date of grant. See Note 10 for a discussion of stock-based compensation. All awards are recorded as equity or a liability on the Balance Sheets. Stock-based compensation is primarily included in "Other operation and maintenance" on the Statements of Income. Stock-based compensation expense for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense. | |
Income Taxes | The provision for PPL, PPL Electric, LKE, LG&E and KU's deferred income taxes for regulated assets is based upon the ratemaking principles reflected in rates established by the regulators. The difference in the provision for deferred income taxes for regulated assets and the amount that otherwise would be recorded under GAAP is deferred and included on the Balance Sheet in noncurrent "Regulatory assets" or "Regulatory liabilities." |
(All Registrants except PPL) | |
The income tax provision for PPL Energy Supply, PPL Electric, LKE, LG&E and KU is calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if PPL Energy Supply, PPL Electric, LKE, LG&E, KU and any domestic subsidiaries each filed a separate return. Tax benefits are not shared between companies. The entity that generates a tax benefit is the entity that is entitled to the tax benefit. The effect of PPL filing a consolidated tax return is taken into account in the settlement of current taxes and the recognition of deferred taxes. At December 31, the following intercompany tax receivables (payables) were recorded. | |
Louisville Gas And Electric Co [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Business and Consolidation | LKE is a utility holding company with cost-based rate-regulated utility operations through its subsidiaries, LG&E and KU. LG&E and KU are engaged in the regulated generation, transmission, distribution and sale of electricity. LG&E also engages in the regulated distribution and sale of natural gas. LG&E and KU maintain their separate identities and serve customers in Kentucky under their respective names. KU also serves customers in Virginia (under the Old Dominion Power name) and in Tennessee under the KU name. |
Regulation | PPL Electric, LG&E and KU are cost-based rate-regulated utilities for which rates are set by regulators to enable PPL Electric, LG&E and KU to recover the costs of providing electric or gas service, as applicable, and to provide a reasonable return to shareholders. Rates are generally established based on a historical or future test period. As a result, the financial statements are subject to the accounting for certain types of regulation as prescribed by GAAP and reflect the effects of regulatory actions. Regulatory assets are recognized for the effect of transactions or events where future recovery of underlying costs is probable in regulated customer rates. The effect of such accounting is to defer certain or qualifying costs that would otherwise currently be charged to expense. Regulatory liabilities are recognized for amounts expected to be returned through future regulated customer rates. In certain cases, regulatory liabilities are recorded based on an understanding or agreement with the regulator that rates have been set to recover costs that are expected to be incurred in the future, and the regulated entity is accountable for any amounts charged pursuant to such rates and not yet expended for the intended purpose. The accounting for regulatory assets and regulatory liabilities is based on specific ratemaking decisions or precedent for each transaction or event as prescribed by the FERC or the applicable state regulatory commissions. See Note 6 for additional details regarding regulatory matters. |
Accounting Records | Accounting Records (All Registrants except PPL Energy Supply) |
The system of accounts for domestic regulated entities is maintained in accordance with the Uniform System of Accounts prescribed by the FERC and adopted by the applicable state regulatory commissions. | |
Investments | Cost Method Investment (LKE, LG&E and KU) |
LG&E and KU each have an investment in OVEC, which is accounted for using the cost method. The investment is recorded in "Other noncurrent assets" on the LKE, LG&E and KU Balance Sheets and in “Other investments” on the PPL Balance Sheets. LG&E and KU and ten other electric utilities are equity owners of OVEC. OVEC's power is currently supplied to LG&E and KU and 11 other companies affiliated with the various owners. LG&E and KU own 5.63% and 2.5% of OVEC's common stock. Pursuant to a power purchase agreement, LG&E and KU are contractually entitled to their ownership percentage of OVEC's output, which is approximately 120 MW for LG&E and approximately 53 MW for KU. | |
LG&E’s and KU's combined investment in OVEC is not significant. The direct exposure to loss as a result of LG&E's and KU's involvement with OVEC is generally limited to the value of their investments; however, LG&E and KU are conditionally responsible for a pro-rata share of certain OVEC obligations. As part of PPL's acquisition of LKE, the value of the power purchase contract was recorded as an intangible asset with an offsetting regulatory liability, both of which are being amortized using the units-of-production method until March 2026, the expiration date of the agreement. See Notes 13 and 18 for additional discussion on the power purchase agreement. | |
Property, Plant and Equipment | AFUDC is capitalized at PPL Electric as part of the construction costs for cost-based rate-regulated projects for which a return on such costs is recovered after the project is placed in service. The debt component of AFUDC is credited to "Interest Expense" and the equity component is credited to "Other Income (Expense) - net" on the Statements of Income. LG&E and KU generally do not record AFUDC, except for certain instances in KU’s FERC approved rates charged to its municipal customers, as a return is provided on construction work in progress. |
Income Taxes | The provision for PPL, PPL Electric, LKE, LG&E and KU's deferred income taxes for regulated assets is based upon the ratemaking principles reflected in rates established by the regulators. The difference in the provision for deferred income taxes for regulated assets and the amount that otherwise would be recorded under GAAP is deferred and included on the Balance Sheet in noncurrent "Regulatory assets" or "Regulatory liabilities." |
(All Registrants except PPL) | |
The income tax provision for PPL Energy Supply, PPL Electric, LKE, LG&E and KU is calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if PPL Energy Supply, PPL Electric, LKE, LG&E, KU and any domestic subsidiaries each filed a separate return. Tax benefits are not shared between companies. The entity that generates a tax benefit is the entity that is entitled to the tax benefit. The effect of PPL filing a consolidated tax return is taken into account in the settlement of current taxes and the recognition of deferred taxes. At December 31, the following intercompany tax receivables (payables) were recorded. | |
Kentucky Utilities Co [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Business and Consolidation | LKE is a utility holding company with cost-based rate-regulated utility operations through its subsidiaries, LG&E and KU. LG&E and KU are engaged in the regulated generation, transmission, distribution and sale of electricity. LG&E also engages in the regulated distribution and sale of natural gas. LG&E and KU maintain their separate identities and serve customers in Kentucky under their respective names. KU also serves customers in Virginia (under the Old Dominion Power name) and in Tennessee under the KU name. |
Regulation | PPL Electric, LG&E and KU are cost-based rate-regulated utilities for which rates are set by regulators to enable PPL Electric, LG&E and KU to recover the costs of providing electric or gas service, as applicable, and to provide a reasonable return to shareholders. Rates are generally established based on a historical or future test period. As a result, the financial statements are subject to the accounting for certain types of regulation as prescribed by GAAP and reflect the effects of regulatory actions. Regulatory assets are recognized for the effect of transactions or events where future recovery of underlying costs is probable in regulated customer rates. The effect of such accounting is to defer certain or qualifying costs that would otherwise currently be charged to expense. Regulatory liabilities are recognized for amounts expected to be returned through future regulated customer rates. In certain cases, regulatory liabilities are recorded based on an understanding or agreement with the regulator that rates have been set to recover costs that are expected to be incurred in the future, and the regulated entity is accountable for any amounts charged pursuant to such rates and not yet expended for the intended purpose. The accounting for regulatory assets and regulatory liabilities is based on specific ratemaking decisions or precedent for each transaction or event as prescribed by the FERC or the applicable state regulatory commissions. See Note 6 for additional details regarding regulatory matters. |
Accounting Records | Accounting Records (All Registrants except PPL Energy Supply) |
The system of accounts for domestic regulated entities is maintained in accordance with the Uniform System of Accounts prescribed by the FERC and adopted by the applicable state regulatory commissions. | |
Investments | Equity Method Investment (PPL, LKE and KU) |
Investments in entities over which PPL, LKE and KU have the ability to exercise significant influence, but not control, are accounted for using the equity method of accounting and are reported in “Other Investments” on PPL’s Balance Sheet and in “Other noncurrent assets” on LKE’s and KU's Balance Sheets. In accordance with the accounting guidance for equity method investments, the recoverability of the investment is periodically assessed. If an identified event or change in circumstances requires an impairment evaluation, the fair value of the investment is assessed. The difference between the carrying amount of the investment and its estimated fair value is recognized as an impairment loss when the loss in value is deemed other-than-temporary and such loss is included in “Other-Than-Temporary Impairments” on the Statements of Income. | |
KU owns 20% of the common stock of EEI, which is accounted for as an equity method investment. During 2012, KU recorded losses of $8 million from its share of EEI's operating results. In December 2012, KU concluded that an other-than-temporary decline in the value of its investment in EEI had occurred. KU recorded an impairment charge of $25 million ($15 million, after-tax) which reduced the investment balance to zero, the estimated fair value at December 31, 2014, 2013 and 2012. See Note 16 for additional information. | |
Cost Method Investment (LKE, LG&E and KU) | |
LG&E and KU each have an investment in OVEC, which is accounted for using the cost method. The investment is recorded in "Other noncurrent assets" on the LKE, LG&E and KU Balance Sheets and in “Other investments” on the PPL Balance Sheets. LG&E and KU and ten other electric utilities are equity owners of OVEC. OVEC's power is currently supplied to LG&E and KU and 11 other companies affiliated with the various owners. LG&E and KU own 5.63% and 2.5% of OVEC's common stock. Pursuant to a power purchase agreement, LG&E and KU are contractually entitled to their ownership percentage of OVEC's output, which is approximately 120 MW for LG&E and approximately 53 MW for KU. | |
LG&E’s and KU's combined investment in OVEC is not significant. The direct exposure to loss as a result of LG&E's and KU's involvement with OVEC is generally limited to the value of their investments; however, LG&E and KU are conditionally responsible for a pro-rata share of certain OVEC obligations. As part of PPL's acquisition of LKE, the value of the power purchase contract was recorded as an intangible asset with an offsetting regulatory liability, both of which are being amortized using the units-of-production method until March 2026, the expiration date of the agreement. See Notes 13 and 18 for additional discussion on the power purchase agreement. | |
Property, Plant and Equipment | AFUDC is capitalized at PPL Electric as part of the construction costs for cost-based rate-regulated projects for which a return on such costs is recovered after the project is placed in service. The debt component of AFUDC is credited to "Interest Expense" and the equity component is credited to "Other Income (Expense) - net" on the Statements of Income. LG&E and KU generally do not record AFUDC, except for certain instances in KU’s FERC approved rates charged to its municipal customers, as a return is provided on construction work in progress. |
Income Taxes | The provision for PPL, PPL Electric, LKE, LG&E and KU's deferred income taxes for regulated assets is based upon the ratemaking principles reflected in rates established by the regulators. The difference in the provision for deferred income taxes for regulated assets and the amount that otherwise would be recorded under GAAP is deferred and included on the Balance Sheet in noncurrent "Regulatory assets" or "Regulatory liabilities." |
(All Registrants except PPL) | |
The income tax provision for PPL Energy Supply, PPL Electric, LKE, LG&E and KU is calculated in accordance with an intercompany tax sharing agreement which provides that taxable income be calculated as if PPL Energy Supply, PPL Electric, LKE, LG&E, KU and any domestic subsidiaries each filed a separate return. Tax benefits are not shared between companies. The entity that generates a tax benefit is the entity that is entitled to the tax benefit. The effect of PPL filing a consolidated tax return is taken into account in the settlement of current taxes and the recognition of deferred taxes. At December 31, the following intercompany tax receivables (payables) were recorded. |
Acquisitions_Development_and_D1
Acquisitions, Development and Divestures (Policies)Acquisitions, Development and Divestures (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Acquisitions, Development and Divestitures [Line Items] | |
Interest Expense Allocated to Discontinued Operations | Represents allocated interest expense based upon the discontinued operations share of the net assets of PPL Energy Supply. |
PPL Energy Supply LLC [Member] | |
Acquisitions, Development and Divestitures [Line Items] | |
Interest Expense Allocated to Discontinued Operations | Represents allocated interest expense based upon the discontinued operations share of the net assets of PPL Energy Supply. |
Fair_Value_Measurements_and_Cr1
Fair Value Measurements and Credit Concentration (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Fair Value Measurements and Credit Concentration [Abstract] | |
Fair Value Measurements | Transfers between levels are recognized at end-of-reporting-period values. |
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Derivative Instruments and Hedging Activities [Abstract] | |
Price Risk Management | Net derivative positions on the balance sheets are not offset against the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) under master netting arrangements. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||||||||||||||||||||||
Schedule of Utility Revenue | For the years ended December 31, the Statements of Income "Utility" line item contains rate-regulated revenue from the following: | |||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Domestic electric and gas revenue (a) | $ | 5,209 | $ | 4,842 | $ | 4,519 | ||||||||||||||||||||||||||||
U.K. electric revenue (b) | 2,573 | 2,359 | 2,289 | |||||||||||||||||||||||||||||||
Total | $ | 7,782 | $ | 7,201 | $ | 6,808 | ||||||||||||||||||||||||||||
(a) Represents revenue from cost-based rate-regulated generation, transmission and/or distribution in Pennsylvania, Kentucky, Virginia and Tennessee, including regulated wholesale revenue. | ||||||||||||||||||||||||||||||||||
(b) Represents regulated electricity distribution revenue from the operation of WPD's distribution networks. | ||||||||||||||||||||||||||||||||||
Schedule of Valuation and Qualifying Accounts Disclosure | The changes in the allowance for doubtful accounts were: | |||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||
Balance at | Charged to | Balance at | ||||||||||||||||||||||||||||||||
Beginning of Period | Charged to Income | Other Accounts | Deductions (a) | End of Period | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
2014 | $ | 64 | $ | 49 | $ | 67 | $ | 46 | ||||||||||||||||||||||||||
2013 | 64 | 39 | $ | 4 | (c) | 43 | 64 | |||||||||||||||||||||||||||
2012 | 54 | 55 | (b) | 45 | 64 | |||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||
2014 | $ | 21 | $ | 19 | (b) | $ | 2 | |||||||||||||||||||||||||||
2013 | 23 | $ | 1 | 3 | 21 | |||||||||||||||||||||||||||||
2012 | 15 | 12 | (b) | 4 | 23 | |||||||||||||||||||||||||||||
PPL Electric | ||||||||||||||||||||||||||||||||||
2014 | $ | 18 | $ | 34 | $ | 35 | $ | 17 | ||||||||||||||||||||||||||
2013 | 18 | 32 | 32 | 18 | ||||||||||||||||||||||||||||||
2012 | 17 | 32 | 31 | 18 | ||||||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||||||
2014 | $ | 22 | $ | 14 | $ | 11 | $ | 25 | ||||||||||||||||||||||||||
2013 | 19 | 4 | $ | 4 | (c) | 5 | 22 | |||||||||||||||||||||||||||
2012 | 17 | 9 | 7 | 19 | ||||||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||||||
2014 | $ | 2 | $ | 5 | $ | -1 | (c) | $ | 4 | $ | 2 | |||||||||||||||||||||||
2013 | 1 | 2 | 1 | (c) | 2 | 2 | ||||||||||||||||||||||||||||
2012 | 2 | 2 | 3 | 1 | ||||||||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||||||
2014 | $ | 4 | $ | 8 | $ | -3 | (c) | $ | 7 | $ | 2 | |||||||||||||||||||||||
2013 | 2 | 3 | 3 | (c) | 4 | 4 | ||||||||||||||||||||||||||||
2012 | 2 | 4 | 4 | 2 | ||||||||||||||||||||||||||||||
(a) Primarily related to uncollectible accounts written off. | ||||||||||||||||||||||||||||||||||
(b) In 2011, a wholesale customer, SMGT, filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy code. In 2012, PPL EnergyPlus recorded an additional allowance for unpaid amounts under the long-term power contract and the U.S. Bankruptcy Court for the District of Montana approved a request to terminate the contract. In 2014, PPL EnergyPlus received an insignificant amount of cash, settling the outstanding administrative claim and therefore, the related reserve balance was offset against the accounts receivable balance. | ||||||||||||||||||||||||||||||||||
(c) Primarily related to capital projects, thus the provision was recorded as an adjustment to construction work in progress. | ||||||||||||||||||||||||||||||||||
Schedule of Restricted Cash and Cash Equivalents | At December 31, the balances of restricted cash and cash equivalents included the following. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | PPL Electric | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Margin deposits posted to | ||||||||||||||||||||||||||||||||||
counterparties | $ | 175 | $ | 67 | $ | 175 | $ | 67 | ||||||||||||||||||||||||||
Low carbon network fund (a) | 19 | 27 | ||||||||||||||||||||||||||||||||
Funds deposited with a trustee | 12 | $ | 12 | |||||||||||||||||||||||||||||||
Ironwood debt service reserves | 17 | 17 | 17 | 17 | ||||||||||||||||||||||||||||||
Other | 13 | 11 | 1 | 1 | $ | 3 | ||||||||||||||||||||||||||||
$ | 224 | $ | 134 | $ | 193 | $ | 85 | $ | 3 | $ | 12 | |||||||||||||||||||||||
(a) Funds received by WPD, which are to be spent on approved initiatives to support a low carbon environment. | ||||||||||||||||||||||||||||||||||
Capitalized Interest Costs | Capitalized interest, excluding AFUDC for PPL, was as follows. | |||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
PPL | Energy Supply | |||||||||||||||||||||||||||||||||
2014 | $ | 34 | $ | 23 | ||||||||||||||||||||||||||||||
2013 | 46 | 37 | ||||||||||||||||||||||||||||||||
2012 | 53 | 47 | ||||||||||||||||||||||||||||||||
Weighted-average Rates of Depreciation | Following are the weighted-average rates of depreciation at December 31. | |||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
Energy | PPL | |||||||||||||||||||||||||||||||||
PPL | Supply | Electric | LKE | LG&E | KU | |||||||||||||||||||||||||||||
Regulated utility plant | 2.92 | 2.46 | 3.8 | 4.05 | 3.63 | |||||||||||||||||||||||||||||
Non-regulated PP&E - Generation | 3.28 | 3.28 | ||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
Energy | PPL | |||||||||||||||||||||||||||||||||
PPL | Supply | Electric | LKE | LG&E | KU | |||||||||||||||||||||||||||||
Regulated utility plant | 2.94 | 2.61 | 4.07 | 4.52 | 3.77 | |||||||||||||||||||||||||||||
Non-regulated PP&E - Generation | 3.1 | 3.1 | ||||||||||||||||||||||||||||||||
Schedule of Utility Inventory | "Fuel, materials and supplies" on the Balance Sheets consisted of the following at December 31. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | LKE | LG&E | KU | ||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Fuel | $ | 408 | $ | 305 | $ | 243 | $ | 163 | $ | 166 | $ | 141 | $ | 66 | $ | 64 | $ | 100 | $ | 77 | ||||||||||||||
Natural gas stored underground (a) | 62 | 49 | 7 | 2 | 54 | 48 | 54 | 48 | ||||||||||||||||||||||||||
Materials and supplies | 366 | 348 | 205 | 193 | 91 | 89 | 42 | 42 | 49 | 47 | ||||||||||||||||||||||||
Total | $ | 836 | $ | 702 | $ | 455 | $ | 358 | $ | 311 | $ | 278 | $ | 162 | $ | 154 | $ | 149 | $ | 124 | ||||||||||||||
(a) The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. | ||||||||||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||||||||||||||||||||||
Schedule of Restricted Cash and Cash Equivalents | At December 31, the balances of restricted cash and cash equivalents included the following. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | PPL Electric | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Margin deposits posted to | ||||||||||||||||||||||||||||||||||
counterparties | $ | 175 | $ | 67 | $ | 175 | $ | 67 | ||||||||||||||||||||||||||
Low carbon network fund (a) | 19 | 27 | ||||||||||||||||||||||||||||||||
Funds deposited with a trustee | 12 | $ | 12 | |||||||||||||||||||||||||||||||
Ironwood debt service reserves | 17 | 17 | 17 | 17 | ||||||||||||||||||||||||||||||
Other | 13 | 11 | 1 | 1 | $ | 3 | ||||||||||||||||||||||||||||
$ | 224 | $ | 134 | $ | 193 | $ | 85 | $ | 3 | $ | 12 | |||||||||||||||||||||||
(a) Funds received by WPD, which are to be spent on approved initiatives to support a low carbon environment. | ||||||||||||||||||||||||||||||||||
Capitalized Interest Costs | PPL and PPL Energy Supply capitalize interest costs as part of construction costs. Capitalized interest, excluding AFUDC for PPL, was as follows. | |||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||
PPL | Energy Supply | |||||||||||||||||||||||||||||||||
2014 | $ | 34 | $ | 23 | ||||||||||||||||||||||||||||||
2013 | 46 | 37 | ||||||||||||||||||||||||||||||||
2012 | 53 | 47 | ||||||||||||||||||||||||||||||||
Intercompany tax receivables (payables) | At December 31, the following intercompany tax receivables (payables) were recorded. | |||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||
PPL Energy Supply | $ | 105 | $ | 44 | ||||||||||||||||||||||||||||||
PPL Electric | -25 | -19 | ||||||||||||||||||||||||||||||||
LKE | 136 | -28 | ||||||||||||||||||||||||||||||||
LG&E | 74 | -8 | ||||||||||||||||||||||||||||||||
KU | 60 | -27 | ||||||||||||||||||||||||||||||||
Schedule of Utility Inventory | "Fuel, materials and supplies" on the Balance Sheets consisted of the following at December 31. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | LKE | LG&E | KU | ||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Fuel | $ | 408 | $ | 305 | $ | 243 | $ | 163 | $ | 166 | $ | 141 | $ | 66 | $ | 64 | $ | 100 | $ | 77 | ||||||||||||||
Natural gas stored underground (a) | 62 | 49 | 7 | 2 | 54 | 48 | 54 | 48 | ||||||||||||||||||||||||||
Materials and supplies | 366 | 348 | 205 | 193 | 91 | 89 | 42 | 42 | 49 | 47 | ||||||||||||||||||||||||
Total | $ | 836 | $ | 702 | $ | 455 | $ | 358 | $ | 311 | $ | 278 | $ | 162 | $ | 154 | $ | 149 | $ | 124 | ||||||||||||||
(a) The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. | ||||||||||||||||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||||||||||||||||||||||
Schedule of Restricted Cash and Cash Equivalents | At December 31, the balances of restricted cash and cash equivalents included the following. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | PPL Electric | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Margin deposits posted to | ||||||||||||||||||||||||||||||||||
counterparties | $ | 175 | $ | 67 | $ | 175 | $ | 67 | ||||||||||||||||||||||||||
Low carbon network fund (a) | 19 | 27 | ||||||||||||||||||||||||||||||||
Funds deposited with a trustee | 12 | $ | 12 | |||||||||||||||||||||||||||||||
Ironwood debt service reserves | 17 | 17 | 17 | 17 | ||||||||||||||||||||||||||||||
Other | 13 | 11 | 1 | 1 | $ | 3 | ||||||||||||||||||||||||||||
$ | 224 | $ | 134 | $ | 193 | $ | 85 | $ | 3 | $ | 12 | |||||||||||||||||||||||
(a) Funds received by WPD, which are to be spent on approved initiatives to support a low carbon environment. | ||||||||||||||||||||||||||||||||||
Intercompany tax receivables (payables) | At December 31, the following intercompany tax receivables (payables) were recorded. | |||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||
PPL Energy Supply | $ | 105 | $ | 44 | ||||||||||||||||||||||||||||||
PPL Electric | -25 | -19 | ||||||||||||||||||||||||||||||||
LKE | 136 | -28 | ||||||||||||||||||||||||||||||||
LG&E | 74 | -8 | ||||||||||||||||||||||||||||||||
KU | 60 | -27 | ||||||||||||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||||||||||||||||||||||
Intercompany tax receivables (payables) | At December 31, the following intercompany tax receivables (payables) were recorded. | |||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||
PPL Energy Supply | $ | 105 | $ | 44 | ||||||||||||||||||||||||||||||
PPL Electric | -25 | -19 | ||||||||||||||||||||||||||||||||
LKE | 136 | -28 | ||||||||||||||||||||||||||||||||
LG&E | 74 | -8 | ||||||||||||||||||||||||||||||||
KU | 60 | -27 | ||||||||||||||||||||||||||||||||
Schedule of Utility Inventory | "Fuel, materials and supplies" on the Balance Sheets consisted of the following at December 31. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | LKE | LG&E | KU | ||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Fuel | $ | 408 | $ | 305 | $ | 243 | $ | 163 | $ | 166 | $ | 141 | $ | 66 | $ | 64 | $ | 100 | $ | 77 | ||||||||||||||
Natural gas stored underground (a) | 62 | 49 | 7 | 2 | 54 | 48 | 54 | 48 | ||||||||||||||||||||||||||
Materials and supplies | 366 | 348 | 205 | 193 | 91 | 89 | 42 | 42 | 49 | 47 | ||||||||||||||||||||||||
Total | $ | 836 | $ | 702 | $ | 455 | $ | 358 | $ | 311 | $ | 278 | $ | 162 | $ | 154 | $ | 149 | $ | 124 | ||||||||||||||
(a) The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. | ||||||||||||||||||||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||||||||||||||||||||||
Intercompany tax receivables (payables) | At December 31, the following intercompany tax receivables (payables) were recorded. | |||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||
PPL Energy Supply | $ | 105 | $ | 44 | ||||||||||||||||||||||||||||||
PPL Electric | -25 | -19 | ||||||||||||||||||||||||||||||||
LKE | 136 | -28 | ||||||||||||||||||||||||||||||||
LG&E | 74 | -8 | ||||||||||||||||||||||||||||||||
KU | 60 | -27 | ||||||||||||||||||||||||||||||||
Schedule of Utility Inventory | "Fuel, materials and supplies" on the Balance Sheets consisted of the following at December 31. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | LKE | LG&E | KU | ||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Fuel | $ | 408 | $ | 305 | $ | 243 | $ | 163 | $ | 166 | $ | 141 | $ | 66 | $ | 64 | $ | 100 | $ | 77 | ||||||||||||||
Natural gas stored underground (a) | 62 | 49 | 7 | 2 | 54 | 48 | 54 | 48 | ||||||||||||||||||||||||||
Materials and supplies | 366 | 348 | 205 | 193 | 91 | 89 | 42 | 42 | 49 | 47 | ||||||||||||||||||||||||
Total | $ | 836 | $ | 702 | $ | 455 | $ | 358 | $ | 311 | $ | 278 | $ | 162 | $ | 154 | $ | 149 | $ | 124 | ||||||||||||||
(a) The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. | ||||||||||||||||||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||||||||||||||||||||||
Intercompany tax receivables (payables) | At December 31, the following intercompany tax receivables (payables) were recorded. | |||||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||||||
PPL Energy Supply | $ | 105 | $ | 44 | ||||||||||||||||||||||||||||||
PPL Electric | -25 | -19 | ||||||||||||||||||||||||||||||||
LKE | 136 | -28 | ||||||||||||||||||||||||||||||||
LG&E | 74 | -8 | ||||||||||||||||||||||||||||||||
KU | 60 | -27 | ||||||||||||||||||||||||||||||||
Schedule of Utility Inventory | "Fuel, materials and supplies" on the Balance Sheets consisted of the following at December 31. | |||||||||||||||||||||||||||||||||
PPL | PPL Energy Supply | LKE | LG&E | KU | ||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Fuel | $ | 408 | $ | 305 | $ | 243 | $ | 163 | $ | 166 | $ | 141 | $ | 66 | $ | 64 | $ | 100 | $ | 77 | ||||||||||||||
Natural gas stored underground (a) | 62 | 49 | 7 | 2 | 54 | 48 | 54 | 48 | ||||||||||||||||||||||||||
Materials and supplies | 366 | 348 | 205 | 193 | 91 | 89 | 42 | 42 | 49 | 47 | ||||||||||||||||||||||||
Total | $ | 836 | $ | 702 | $ | 455 | $ | 358 | $ | 311 | $ | 278 | $ | 162 | $ | 154 | $ | 149 | $ | 124 | ||||||||||||||
(a) The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. |
Segment_and_Related_Informatio1
Segment and Related Information (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Segment and Related Information [Abstract] | ||||||||||||||
Segment and Related Information | Financial data for the segments are: | |||||||||||||
Income Statement Data | 2014 | 2013 | 2012 | |||||||||||
Revenues from external customers by product | ||||||||||||||
U.K. Regulated | ||||||||||||||
Utility service (a) | $ | 2,573 | $ | 2,359 | $ | 2,289 | ||||||||
Energy-related businesses | 48 | 44 | 47 | |||||||||||
Total | 2,621 | 2,403 | 2,336 | |||||||||||
Kentucky Regulated | ||||||||||||||
Utility service (a) | 3,168 | 2,976 | 2,759 | |||||||||||
Pennsylvania Regulated | ||||||||||||||
Utility service (a) | 2,044 | 1,866 | 1,760 | |||||||||||
Supply | ||||||||||||||
Energy (b) | 3,051 | 3,936 | 4,816 | |||||||||||
Energy-related businesses | 601 | 527 | 461 | |||||||||||
Total | 3,652 | 4,463 | 5,277 | |||||||||||
Corporate and Other | 14 | 13 | ||||||||||||
Total | 11,499 | 11,721 | 12,132 | |||||||||||
Intersegment electric revenues | ||||||||||||||
Supply (c) | 84 | 51 | 79 | |||||||||||
Depreciation | ||||||||||||||
U.K. Regulated | 337 | 300 | 279 | |||||||||||
Kentucky Regulated | 354 | 334 | 346 | |||||||||||
Pennsylvania Regulated | 185 | 178 | 160 | |||||||||||
Supply | 297 | 299 | 276 | |||||||||||
Corporate and Other | 47 | 31 | 26 | |||||||||||
Total | 1,220 | 1,142 | 1,087 | |||||||||||
Amortization (d) | ||||||||||||||
U.K. Regulated | 17 | 19 | 15 | |||||||||||
Kentucky Regulated | 25 | 22 | 27 | |||||||||||
Pennsylvania Regulated | 19 | 19 | 18 | |||||||||||
Supply | 163 | 156 | 126 | |||||||||||
Corporate and Other | 4 | 6 | ||||||||||||
Total | 228 | 222 | 186 | |||||||||||
Unrealized (gains) losses on derivatives and other hedging activities (b) | ||||||||||||||
U.K. Regulated | -199 | 44 | 52 | |||||||||||
Kentucky Regulated | 12 | 12 | 11 | |||||||||||
Supply | 12 | 180 | -36 | |||||||||||
Total | -175 | 236 | 27 | |||||||||||
Interest Expense | ||||||||||||||
U.K. Regulated | 461 | 425 | 421 | |||||||||||
Kentucky Regulated | 219 | 212 | 219 | |||||||||||
Pennsylvania Regulated | 122 | 108 | 99 | |||||||||||
Supply | 181 | 216 | 212 | |||||||||||
Corporate and Other | 41 | 33 | ||||||||||||
Total | 1,024 | 994 | 951 | |||||||||||
Income from Continuing Operations Before Income Taxes | ||||||||||||||
U.K. Regulated | 1,311 | 993 | 953 | |||||||||||
Kentucky Regulated | 501 | 484 | 263 | |||||||||||
Pennsylvania Regulated | 423 | 317 | 204 | |||||||||||
Supply (b) (e) | 246 | -477 | 589 | |||||||||||
Corporate and Other (f) | -117 | -57 | ||||||||||||
Total | 2,364 | 1,260 | 2,009 | |||||||||||
Income Taxes (g) | ||||||||||||||
U.K. Regulated | 329 | 71 | 150 | |||||||||||
Kentucky Regulated | 189 | 179 | 80 | |||||||||||
Pennsylvania Regulated | 160 | 108 | 68 | |||||||||||
Supply | 93 | -174 | 220 | |||||||||||
Corporate and Other (f) | 10 | -21 | ||||||||||||
Total | 781 | 163 | 518 | |||||||||||
Deferred income taxes and investment tax credits (h) | ||||||||||||||
U.K. Regulated | 94 | -45 | 26 | |||||||||||
Kentucky Regulated | 449 | 254 | 136 | |||||||||||
Pennsylvania Regulated | 87 | 127 | 114 | |||||||||||
Supply | -110 | -291 | 141 | |||||||||||
Corporate and Other (f) | 36 | 32 | ||||||||||||
Total | 556 | 77 | 417 | |||||||||||
Net Income Attributable to PPL Shareowners | ||||||||||||||
U.K. Regulated | 982 | 922 | 803 | |||||||||||
Kentucky Regulated | 312 | 307 | 177 | |||||||||||
Pennsylvania Regulated | 263 | 209 | 132 | |||||||||||
Supply (b) (e) (i) | 307 | -272 | 414 | |||||||||||
Corporate and Other (f) | -127 | -36 | ||||||||||||
Total | $ | 1,737 | $ | 1,130 | $ | 1,526 | ||||||||
Cash Flow Data | 2014 | 2013 | 2012 | |||||||||||
Expenditures for long-lived assets | ||||||||||||||
U.K. Regulated | $ | 1,438 | $ | 1,280 | $ | 1,016 | ||||||||
Kentucky Regulated | 1,262 | 1,434 | 768 | |||||||||||
Pennsylvania Regulated | 957 | 942 | 633 | |||||||||||
Supply | 431 | 568 | 736 | |||||||||||
Corporate and Other | 66 | 59 | ||||||||||||
Total | $ | 4,154 | $ | 4,283 | $ | 3,153 | ||||||||
As of December 31, | ||||||||||||||
2014 | 2013 | |||||||||||||
Balance Sheet Data | ||||||||||||||
Total Assets | ||||||||||||||
U.K. Regulated | $ | 16,005 | $ | 15,895 | ||||||||||
Kentucky Regulated | 13,062 | 12,016 | ||||||||||||
Pennsylvania Regulated | 7,785 | 6,846 | ||||||||||||
Supply | 11,025 | 11,408 | ||||||||||||
Corporate and Other (j) | 987 | 94 | ||||||||||||
Total | $ | 48,864 | $ | 46,259 | ||||||||||
(a) See Note 1 for additional information on Utility Revenue. | ||||||||||||||
(b) Includes unrealized gains and losses from economic activity. See Note 17 for additional information. | ||||||||||||||
(c) See "PLR Contracts/Purchase of Accounts Receivable" in Note 14 for a discussion of the basis of accounting between reportable segments. | ||||||||||||||
(d) Represents non-cash expense items that include amortization of nuclear fuel, regulatory assets, debt discounts and premiums, debt issuance costs, emission allowances and RECs. | ||||||||||||||
(e) 2013 includes a charge of $697 million ($413 million after tax) for the termination of the lease of the Colstrip coal-fired electric generating facility. See Note 8 for additional information. | ||||||||||||||
(f) 2014 includes most of the costs related to the anticipated spinoff of PPL Energy Supply, including deferred income tax expense, transaction and transition costs and separation benefits for PPL Services employees. See Note 8 for additional information. | ||||||||||||||
(g) Represents both current and deferred income taxes, including investment tax credits. | ||||||||||||||
(h) Represents a non-cash expense item that is also included in "Income Taxes." | ||||||||||||||
(i) 2014 includes a gain of $237 million ($137 million after tax) on the sale of the Montana hydroelectric generating facilities. See Note 8 for additional information. | ||||||||||||||
(j) Primarily consists of unallocated items, including cash, PP&E and the elimination of inter-segment transactions. Increase in 2014 was primarily due to increased cash on hand. | ||||||||||||||
Geographic Data | Financial data for the segments are: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Geographic Data | ||||||||||||||
Revenues from external customers | ||||||||||||||
U.K. | $ | 2,621 | $ | 2,403 | $ | 2,336 | ||||||||
U.S. | 8,878 | 9,318 | 9,796 | |||||||||||
Total | $ | 11,499 | $ | 11,721 | $ | 12,132 | ||||||||
Long-lived Assets | Financial data for the segments are: | |||||||||||||
As of December 31, | ||||||||||||||
2014 | 2013 | |||||||||||||
Long-Lived Assets | ||||||||||||||
U.K. | $ | 11,942 | $ | 11,384 | ||||||||||
U.S. | 23,572 | 22,638 | ||||||||||||
Total | $ | 35,514 | $ | 34,022 |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Basic and Diluted EPS Computations | Reconciliations of the amounts of income and shares of PPL common stock (in thousands) for the periods ended December 31 used in the EPS calculation are: | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Income (Numerator) | |||||||||||||
Income from continuing operations after income taxes attributable to PPL shareowners | $ | 1,583 | $ | 1,096 | $ | 1,486 | |||||||
Less amounts allocated to participating securities | 8 | 6 | 8 | ||||||||||
Less issuance costs on subsidiary's preferred securities redeemed | 6 | ||||||||||||
Income from continuing operations after income taxes available to PPL common | |||||||||||||
shareowners - Basic | 1,575 | 1,090 | 1,472 | ||||||||||
Plus interest charges (net of tax) related to Equity Units (a) | 9 | 44 | |||||||||||
Income from continuing operations after income taxes available to PPL common | |||||||||||||
shareowners - Diluted | $ | 1,584 | $ | 1,134 | $ | 1,472 | |||||||
Income (loss) from discontinued operations (net of income taxes) available to PPL | |||||||||||||
common shareowners - Basic and Diluted | $ | 154 | $ | 34 | $ | 40 | |||||||
Net income attributable to PPL shareowners | $ | 1,737 | $ | 1,130 | $ | 1,526 | |||||||
Less amounts allocated to participating securities | 9 | 6 | 8 | ||||||||||
Less issuance costs on subsidiary's preferred securities redeemed | 6 | ||||||||||||
Net income available to PPL common shareowners - Basic | 1,728 | 1,124 | 1,512 | ||||||||||
Plus interest charges (net of tax) related to Equity Units | 9 | 44 | |||||||||||
Net income available to PPL common shareowners - Diluted | $ | 1,737 | $ | 1,168 | $ | 1,512 | |||||||
Shares of Common Stock (Denominator) | |||||||||||||
Weighted-average shares - Basic EPS | 653,504 | 608,983 | 580,276 | ||||||||||
Add incremental non-participating securities: | |||||||||||||
Share-based payment awards (b) | 1,910 | 1,062 | 563 | ||||||||||
Equity Units (a) | 10,559 | 52,568 | |||||||||||
Forward sale agreements and purchase contracts (b) | 460 | 787 | |||||||||||
Weighted-average shares - Diluted EPS | 665,973 | 663,073 | 581,626 | ||||||||||
Basic EPS | |||||||||||||
Available to PPL common shareowners: | |||||||||||||
Income from continuing operations after income taxes | $ | 2.41 | $ | 1.79 | $ | 2.55 | |||||||
Income (loss) from discontinued operations (net of income taxes) | 0.23 | 0.06 | 0.06 | ||||||||||
Net Income | $ | 2.64 | $ | 1.85 | $ | 2.61 | |||||||
Diluted EPS | |||||||||||||
Available to PPL common shareowners: | |||||||||||||
Income from continuing operations after income taxes | $ | 2.38 | $ | 1.71 | $ | 2.54 | |||||||
Income (loss) from discontinued operations (net of income taxes) | 0.23 | 0.05 | 0.06 | ||||||||||
Net Income | $ | 2.61 | $ | 1.76 | $ | 2.6 | |||||||
(a) In 2014 and 2013, the If-Converted Method was applied to the Equity Units prior to settlement. See Note 7 for additional information on the Equity Units, including the issuance of PPL common stock to settle the Purchase contracts. | |||||||||||||
(b) The Treasury Stock Method was applied to non-participating share-based payment awards, forward sale agreements and the 2010 Purchase Contracts for 2012. | |||||||||||||
Common Stock Issuances | For the year ended December 31, PPL issued common stock related to stock-based compensation plans and DRIP as follows (in thousands): | ||||||||||||
2014 | |||||||||||||
Stock-based compensation plans (a) | 2,985 | ||||||||||||
DRIP | 868 | ||||||||||||
(a) Includes stock options exercised, vesting of performance units, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors. | |||||||||||||
Antidilutive Securities Excluded From Diluted EPS | For the years ended December 31, the following shares (in thousands) were excluded from the computations of diluted EPS because the effect would have been antidilutive. | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Stock options | 1,816 | 4,446 | 5,293 | ||||||||||
Performance units | 5 | 55 | 58 | ||||||||||
Restricted stock units | 31 | 29 |
Income_and_Other_Taxes_Tables
Income and Other Taxes (Tables) | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Income Taxes [Line Items] | ||||||||||||||||||
Components of Income (Loss) From Continuing Operations Before Income Taxes | "Income from Continuing Operations Before Income Taxes" included the following. | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Domestic income | $ | 1,157 | $ | 201 | $ | 1,000 | ||||||||||||
Foreign income | 1,207 | 1,059 | 1,009 | |||||||||||||||
Total | $ | 2,364 | $ | 1,260 | $ | 2,009 | ||||||||||||
Components of Deferred Tax Assets and Liabilities | Significant components of PPL's deferred income tax assets and liabilities were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Deferred investment tax credits (a) | $ | 63 | $ | 137 | ||||||||||||||
Regulatory obligations | 131 | 144 | ||||||||||||||||
Accrued pension costs | 298 | 140 | ||||||||||||||||
Federal loss carryforwards | 151 | 331 | ||||||||||||||||
State loss carryforwards | 304 | 304 | ||||||||||||||||
Federal and state tax credit carryforwards (a) | 209 | 332 | ||||||||||||||||
Foreign capital loss carryforwards | 446 | 467 | ||||||||||||||||
Foreign loss carryforwards | 6 | 6 | ||||||||||||||||
Foreign - pensions | 182 | 202 | ||||||||||||||||
Foreign - regulatory obligations | 23 | 26 | ||||||||||||||||
Foreign - other | 11 | 12 | ||||||||||||||||
Contributions in aid of construction | 138 | 137 | ||||||||||||||||
Domestic - other | 273 | 211 | ||||||||||||||||
Unrealized losses on qualifying derivatives | 46 | |||||||||||||||||
Valuation allowances | -700 | -663 | ||||||||||||||||
Total deferred tax assets | 1,581 | 1,786 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Domestic plant - net (a) | 4,453 | 4,073 | ||||||||||||||||
Taxes recoverable through future rates | 156 | 151 | ||||||||||||||||
Unrealized gain on qualifying derivatives | 28 | 37 | ||||||||||||||||
Other regulatory assets | 322 | 244 | ||||||||||||||||
Reacquired debt costs | 31 | 34 | ||||||||||||||||
Foreign plant - net | 854 | 859 | ||||||||||||||||
Domestic - other | 58 | 78 | ||||||||||||||||
Total deferred tax liabilities | 5,902 | 5,476 | ||||||||||||||||
Net deferred tax liability | $ | 4,321 | $ | 3,690 | ||||||||||||||
(a) During 2014, PPL accepted U.S. government grants for hydroelectric plant expansions resulting in reductions of investment tax credits previously claimed and reductions in the carrying value of the related plants. See Note 8 for additional information. | ||||||||||||||||||
Summary of Operating Loss Carryforwards and Tax Credit Carryforwards | At December 31, PPL had the following loss and tax credit carryforwards. | |||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses (a) | $ | 432 | 2031-2032 | |||||||||||||||
State net operating losses (a) (b) | 5,059 | 2017-2034 | ||||||||||||||||
State contributions | 33 | 2015-2018 | ||||||||||||||||
Foreign net operating losses (c) | 29 | Indefinite | ||||||||||||||||
Foreign capital losses (d) | 2,231 | Indefinite | ||||||||||||||||
Credit carryforwards | ||||||||||||||||||
Federal investment tax credit | 125 | 2025-2028 | ||||||||||||||||
Federal alternative minimum tax credit | 44 | Indefinite | ||||||||||||||||
Federal - other | 34 | 2016-2034 | ||||||||||||||||
State - other | 8 | 2022 | ||||||||||||||||
State capital loss and foreign tax credit carryforwards were insignificant at December 31, 2014. | ||||||||||||||||||
(a) Includes an insignificant amount of federal and state net operating loss carryforwards from excess tax deductions related to stock compensation for which a tax benefit will be recorded in Equity when realized. | ||||||||||||||||||
(b) A valuation allowance of $238 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
(c) A valuation allowance of $6 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
(d) A valuation allowance of $446 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
Schedule of Valuation and Qualifying Accounts of Deferred Tax Assets | The changes in deferred tax valuation allowances were as follows: | |||||||||||||||||
Additions | ||||||||||||||||||
Balance at | Charged to | Balance | ||||||||||||||||
Beginning | Charged | Other | at End | |||||||||||||||
of Period | to Income | Accounts | Deductions | of Period | ||||||||||||||
2014 | $ | 663 | $ | 57 | $ | 6 | $ | 26 | $ | 700 | ||||||||
2013 | 706 | 29 | 72 | (a) | 663 | |||||||||||||
2012 | 724 | 18 | 10 | 46 | (a) | 706 | ||||||||||||
(a) The reductions of the U.K. statutory income tax rate in 2013 and 2012 resulted in $67 million and $46 million in reductions in deferred tax assets and the corresponding valuation allowances. See "Reconciliation of Income Tax Expense" below for more information on the impact of the U.K. Finance Acts 2013 and 2012. | ||||||||||||||||||
Components of Income Tax Expense (Benefit) From Continuing Operations | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | 43 | $ | -91 | $ | -15 | ||||||||||||
Current - State | 30 | -4 | -5 | |||||||||||||||
Current - Foreign | 152 | 181 | 121 | |||||||||||||||
Total Current Expense | 225 | 86 | 101 | |||||||||||||||
Deferred - Federal | 345 | 75 | 547 | |||||||||||||||
Deferred - State | 136 | 45 | 100 | |||||||||||||||
Deferred - Foreign | 96 | -53 | 35 | |||||||||||||||
Total Deferred Expense, excluding operating loss carryforwards | 577 | 67 | 682 | |||||||||||||||
Investment tax credit, net - Federal | -7 | -8 | -10 | |||||||||||||||
Tax expense (benefit) of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal (a) | 8 | 36 | -195 | |||||||||||||||
Deferred - State | -22 | -18 | -60 | |||||||||||||||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | -14 | 18 | -255 | |||||||||||||||
Total income taxes from continuing operations | $ | 781 | $ | 163 | $ | 518 | ||||||||||||
Total income tax expense - Federal | $ | 389 | $ | 12 | $ | 327 | ||||||||||||
Total income tax expense - State | 144 | 23 | 35 | |||||||||||||||
Total income tax expense - Foreign | 248 | 128 | 156 | |||||||||||||||
Total income taxes from continuing operations | $ | 781 | $ | 163 | $ | 518 | ||||||||||||
(a) A 2012 Federal income tax return adjustment was recorded in 2013 related to a reduction in the 2012 NOL recorded in the filed return. The reduction was primarily due to PPL's decision, at the time of filing, to utilize regular modified accelerated cost recovery system (MACRS) depreciation rates for certain non-regulated assets otherwise eligible for bonus tax depreciation. | ||||||||||||||||||
In the table above, the following income tax expense (benefits) are excluded from income taxes from continuing operations. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Discontinued operations | $ | 109 | $ | 18 | $ | 23 | ||||||||||||
Stock-based compensation recorded to Additional Paid-in Capital | -4 | -2 | -1 | |||||||||||||||
Valuation allowance on state deferred taxes related to issuance costs of Purchase Contracts | ||||||||||||||||||
recorded to Additional Paid-in Capital | -2 | |||||||||||||||||
Other comprehensive income | 190 | 159 | -526 | |||||||||||||||
Valuation allowance on state deferred taxes recorded to other comprehensive income | -7 | |||||||||||||||||
Total | $ | 295 | $ | 166 | $ | -504 | ||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Tax Expense | ||||||||||||||||||
Federal income tax on Income from Continuing Operations Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 827 | $ | 441 | $ | 703 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 41 | -9 | 25 | |||||||||||||||
State valuation allowance adjustments (a) | 55 | 24 | 13 | |||||||||||||||
Impact of lower U.K. income tax rates (b) | -167 | -129 | -110 | |||||||||||||||
U.S. income tax on foreign earnings - net of foreign tax credit (c) | 53 | 9 | 26 | |||||||||||||||
Federal and state tax reserves adjustments (d) | -1 | -43 | -1 | |||||||||||||||
Federal and state income tax return adjustments (e) | 2 | -5 | 16 | |||||||||||||||
Impact of the U.K. Finance Acts on deferred tax balances (b) | -1 | -97 | -75 | |||||||||||||||
Federal income tax credits (f) | -1 | -9 | -11 | |||||||||||||||
Depreciation not normalized | -7 | -8 | -11 | |||||||||||||||
State deferred tax rate change (g) | -1 | 15 | -19 | |||||||||||||||
Intercompany interest on U.K. financing entities | -8 | -10 | -9 | |||||||||||||||
Other | -11 | -16 | -29 | |||||||||||||||
Total increase (decrease) | -46 | -278 | -185 | |||||||||||||||
Total income taxes from continuing operations | $ | 781 | $ | 163 | $ | 518 | ||||||||||||
Effective income tax rate | 33.00% | 12.90% | 25.80% | |||||||||||||||
(a) As a result of the PPL Energy Supply spinoff announcement, PPL recorded $50 million deferred income tax expense during 2014 to adjust the valuation allowance on deferred tax assets primarily for state net operating loss carryforwards that were previously supported by the future earnings of PPL Energy Supply. See Note 8 for additional information on the anticipated spinoff. | ||||||||||||||||||
During 2013, PPL recorded $23 million of state deferred income tax expense related to a deferred tax valuation allowance primarily due to a decrease in projected future taxable income at PPL Energy Supply over the remaining carryforward period of Pennsylvania net operating losses. | ||||||||||||||||||
(b) The U.K. Finance Act 2013, enacted in July 2013, reduced the U.K. statutory income tax rate from 23% to 21% effective April 1, 2014 and from 21% to 20% effective April 1, 2015. As a result, PPL reduced its net deferred tax liabilities and recognized a deferred tax benefit during 2013 related to both rate decreases. | ||||||||||||||||||
The U.K. Finance Act 2012, enacted in July 2012, reduced the U.K. statutory income tax rate from 25% to 24% retroactive to April 1, 2012 and from 24% to 23% effective April 1, 2013. As a result, PPL reduced its net deferred tax liabilities and recognized a deferred tax benefit during 2012 related to both rate decreases. | ||||||||||||||||||
(c) During 2014, PPL recorded $47 million of income tax expense primarily attributable to taxable dividends. | ||||||||||||||||||
During 2013, PPL recorded $28 million of income tax expense resulting from increased taxable dividends offset by a $19 million income tax benefit associated with a ruling obtained from the IRS impacting the recalculation of 2010 U.K. earnings and profits that was reflected on an amended 2010 U.S. tax return. | ||||||||||||||||||
During 2012, PPL recorded a $23 million adjustment to federal income tax expense related to the recalculation of 2010 U.K. earnings and profits. | ||||||||||||||||||
(d) In 1997, the U.K. imposed a Windfall Profits Tax (WPT) on privatized utilities, including WPD. PPL filed its federal income tax returns for years subsequent to its 1997 and 1998 claims for refund on the basis that the U.K. WPT was creditable. In September 2010, the U.S. Tax Court (Tax Court) ruled in PPL’s favor in a dispute with the IRS, concluding that the U.K. WPT is a creditable tax for U.S. tax purposes. As a result, and with the finalization of other issues, PPL recorded a $42 million tax benefit in 2010. In January 2011, the IRS appealed the Tax Court’s decision to the U.S. Court of Appeals for the Third Circuit (Third Circuit). In December 2011, the Third Circuit issued its opinion reversing the Tax Court’s decision, holding that the U.K. WPT is not a creditable tax. As a result of the Third Circuit’s adverse determination, PPL recorded a $39 million expense in 2011. In June 2012, the U.S. Court of Appeals for the Fifth Circuit issued a contrary opinion in an identical case involving another company. In July 2012, PPL filed a petition for a writ of certiorari seeking U.S. Supreme Court review of the Third Circuit’s opinion. The Supreme Court granted PPL’s petition and oral argument was held in February 2013. On May 20, 2013, the Supreme Court reversed the Third Circuit’s opinion and ruled that the WPT is a creditable tax. As a result of the Supreme Court ruling, PPL recorded a tax benefit of $44 million during 2013, of which $19 million relates to interest. | ||||||||||||||||||
PPL recorded a tax benefit of $7 million during 2013 and $6 million during 2012 federal and state income tax reserves related to stranded cost securitization. The reserve balance at December 31, 2013 related to stranded costs securitization was zero. | ||||||||||||||||||
(e) During 2012, PPL recorded $16 million in federal and state income tax expense related to the filing of the 2011 federal and state income tax returns. Of this amount, $5 million relates to the reversal of prior years’ state income tax benefits related to regulated depreciation. PPL changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year. In August 2011, the IRS issued guidance regarding the use and evaluation of statistical samples and sampling estimates for network assets. The IRS guidance provided a safe harbor method of determining whether the repair expenditures for electric transmission and distribution property can be currently deducted for tax purposes. PPL adopted the safe harbor method with the filing of its 2011 federal income tax return. | ||||||||||||||||||
(f) During 2013 and 2012, PPL recorded deferred tax benefits related to investment tax credits on progress expenditures for the Holtwood hydroelectric plant expansion. See Note 8 for additional information. | ||||||||||||||||||
(g) During 2014, 2013 and 2012, PPL recorded adjustments related to its December 31 state deferred tax liabilities as a result of annual changes in state apportionment and the impact on the future estimated state income tax rate. | ||||||||||||||||||
Details of Taxes Other Than Income | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
State gross receipts | $ | 147 | $ | 135 | $ | 135 | ||||||||||||
Foreign property | 157 | 147 | 147 | |||||||||||||||
Domestic Other | 70 | 69 | 70 | |||||||||||||||
Total | $ | 374 | $ | 351 | $ | 352 | ||||||||||||
Unrecognized Tax Benefits | Changes to unrecognized tax benefits were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | ||||||||||||||||||
Beginning of period | $ | 22 | $ | 92 | ||||||||||||||
Additions based on tax positions of prior years | 1 | 3 | ||||||||||||||||
Reductions based on tax positions of prior years | -2 | -32 | ||||||||||||||||
Settlements | -1 | -30 | ||||||||||||||||
Lapse of applicable statute of limitation | -11 | |||||||||||||||||
End of period | $ | 20 | $ | 22 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
Beginning of period | $ | 15 | $ | 30 | ||||||||||||||
Reductions based on tax positions of prior years | -15 | |||||||||||||||||
End of period | $ | 15 | $ | 15 | ||||||||||||||
PPL Electric | ||||||||||||||||||
Beginning of period | $ | 26 | ||||||||||||||||
Reductions based on tax positions of prior years | -17 | |||||||||||||||||
Lapse of applicable statute of limitation | -9 | |||||||||||||||||
End of period | $ | |||||||||||||||||
At December 31, 2014, it was reasonably possible that during the next 12 months the total amount of unrecognized tax benefits could increase or decrease by the following amounts. | ||||||||||||||||||
Increase | Decrease | |||||||||||||||||
PPL | $ | $ | 20 | |||||||||||||||
PPL Energy Supply | 15 | |||||||||||||||||
At December 31, the total unrecognized tax benefits and related indirect effects that, if recognized, would decrease the effective tax rate were as follows. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | $ | 19 | $ | 21 | ||||||||||||||
PPL Energy Supply | 14 | 14 | ||||||||||||||||
At December 31, the following receivable (payable) balances were recorded for interest related to tax positions. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | $ | 14 | $ | 15 | ||||||||||||||
PPL Energy Supply | 16 | 15 | ||||||||||||||||
The following interest expense (benefit) was recognized in income taxes. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
PPL | $ | 1 | $ | -30 | $ | -4 | ||||||||||||
PPL Energy Supply | -1 | 5 | -4 | |||||||||||||||
PPL Electric | -7 | -4 | ||||||||||||||||
Summary of Income Tax Examinations | With few exceptions, at December 31, 2014, these jurisdictions, as well as the tax years that are no longer subject to examination, were as follows: | |||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||
U.S. (federal) | 1997 and prior | 1997 and prior | 1997 and prior | 10/31/2010 and prior | 10/31/2010 and prior | 10/31/2010 and prior | ||||||||||||
Pennsylvania (state) | 2010 and prior | 2010 and prior | 2008 and prior | |||||||||||||||
Kentucky (state) | 2009 and prior | 2010 and prior | 2010 and prior | 2010 and prior | ||||||||||||||
Montana (state) | 2010 and prior | 2010 and prior | ||||||||||||||||
U.K. (foreign) | 2011 and prior | |||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||
Income Taxes [Line Items] | ||||||||||||||||||
Components of Deferred Tax Assets and Liabilities | Significant components of PPL Energy Supply's deferred income tax assets and liabilities were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Deferred investment tax credits (a) | $ | 11 | $ | 84 | ||||||||||||||
Accrued pension costs | 98 | 39 | ||||||||||||||||
Federal loss carryforwards | 22 | 28 | ||||||||||||||||
Federal tax credit carryforwards (a) | 13 | 131 | ||||||||||||||||
State loss carryforwards | 79 | 80 | ||||||||||||||||
Other | 79 | 69 | ||||||||||||||||
Valuation allowances | -78 | -78 | ||||||||||||||||
Total deferred tax assets | 224 | 353 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net (a) | 1,374 | 1,392 | ||||||||||||||||
Unrealized gain on qualifying derivatives | 28 | 38 | ||||||||||||||||
Other | 42 | 46 | ||||||||||||||||
Total deferred tax liabilities | 1,444 | 1,476 | ||||||||||||||||
Net deferred tax liability | $ | 1,220 | $ | 1,123 | ||||||||||||||
(a) During 2014, PPL accepted U.S. government grants for hydroelectric plant expansions resulting in reductions of investment tax credits previously claimed and reductions in the carrying value of the related plants. See Note 8 for additional information | ||||||||||||||||||
Summary of Operating Loss Carryforwards and Tax Credit Carryforwards | At December 31, PPL Energy Supply had the following loss and tax credit carryforwards. | |||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses | $ | 63 | 2031-2032 | |||||||||||||||
State net operating losses (a) | 1,228 | 2018-2034 | ||||||||||||||||
Credit carryforwards | ||||||||||||||||||
Federal AMT credit | 6 | Indefinite | ||||||||||||||||
Federal - other | 7 | 2031-2034 | ||||||||||||||||
(a) A valuation allowance of $78 million has been recorded against the deferred tax assets for these losses. | ||||||||||||||||||
Schedule of Valuation and Qualifying Accounts of Deferred Tax Assets | The changes in deferred tax valuation allowances were: | |||||||||||||||||
Additions | ||||||||||||||||||
Balance at | Charged to | Balance | ||||||||||||||||
Beginning | Charged | Other | at End | |||||||||||||||
of Period | to Income | Accounts | Deductions | of Period | ||||||||||||||
2014 | $ | 78 | $ | 78 | ||||||||||||||
2013 | 74 | $ | 4 | 78 | ||||||||||||||
2012 | 72 | 2 | 74 | |||||||||||||||
Components of Income Tax Expense (Benefit) From Continuing Operations | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | 28 | $ | 118 | $ | 74 | ||||||||||||
Current - State | 13 | 16 | 19 | |||||||||||||||
Total Current Expense | 41 | 134 | 93 | |||||||||||||||
Deferred - Federal | 66 | -285 | 187 | |||||||||||||||
Deferred - State | 11 | -27 | 7 | |||||||||||||||
Total Deferred Expense (Benefit), excluding operating loss carryforwards | 77 | -312 | 194 | |||||||||||||||
Investment tax credit, net - federal | -2 | -3 | -2 | |||||||||||||||
Tax expense (benefit) of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal (a) | 22 | -48 | ||||||||||||||||
Deferred - State | -1 | |||||||||||||||||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 22 | -49 | ||||||||||||||||
Total income taxes (benefits) from continuing operations (b) | $ | 116 | $ | -159 | $ | 236 | ||||||||||||
Total income tax expense (benefit) - Federal | $ | 92 | $ | -148 | $ | 211 | ||||||||||||
Total income tax expense (benefit) - State | 24 | -11 | 25 | |||||||||||||||
Total income taxes (benefits) from continuing operations (b) | $ | 116 | $ | -159 | $ | 236 | ||||||||||||
(a) A 2012 federal income tax return adjustment was recorded in 2013 related to a reduction in the 2012 NOL recorded in the filed return. The reduction was primarily due to PPL's decision, at the time of filing, to utilize regular MACRS depreciation rates for certain non-regulated assets otherwise eligible for bonus tax depreciation. | ||||||||||||||||||
(b) Excludes current and deferred federal and state tax expense recorded to Discontinued Operations of $109 million, $17 million and $27 million in 2014, 2013 and 2012. Also excludes federal and state tax expense (benefit) recorded to OCI of $(56) million, $47 million and $(267) million in 2014, 2013 and 2012. | ||||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Tax Expense | ||||||||||||||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 106 | $ | -147 | $ | 233 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 17 | -24 | 30 | |||||||||||||||
State deferred tax rate change (a) | -1 | 15 | -19 | |||||||||||||||
Federal income tax credits (b) | -8 | -11 | ||||||||||||||||
Other | -6 | 5 | 3 | |||||||||||||||
Total increase (decrease) | 10 | -12 | 3 | |||||||||||||||
Total income taxes from continuing operations | $ | 116 | $ | -159 | $ | 236 | ||||||||||||
Effective income tax rate | 38.30% | 37.90% | 35.50% | |||||||||||||||
(a) During 2014, 2013 and 2012, PPL Energy Supply recorded adjustments related to its December 31 state deferred tax liabilities as a result of annual changes in state apportionment and the impact on the future estimated state income tax rate. | ||||||||||||||||||
(b) During 2013 and 2012, PPL Energy Supply recorded deferred tax benefits related to investment tax credits on progress expenditures for the Holtwood hydroelectric plant expansion. See Note 8 for additional information. | ||||||||||||||||||
Details of Taxes Other Than Income | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
State gross receipts | $ | 45 | $ | 37 | $ | 35 | ||||||||||||
State capital stock | 1 | 1 | 5 | |||||||||||||||
Property and other | 11 | 15 | 15 | |||||||||||||||
Total | $ | 57 | $ | 53 | $ | 55 | ||||||||||||
Unrecognized Tax Benefits | Changes to unrecognized tax benefits were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | ||||||||||||||||||
Beginning of period | $ | 22 | $ | 92 | ||||||||||||||
Additions based on tax positions of prior years | 1 | 3 | ||||||||||||||||
Reductions based on tax positions of prior years | -2 | -32 | ||||||||||||||||
Settlements | -1 | -30 | ||||||||||||||||
Lapse of applicable statute of limitation | -11 | |||||||||||||||||
End of period | $ | 20 | $ | 22 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
Beginning of period | $ | 15 | $ | 30 | ||||||||||||||
Reductions based on tax positions of prior years | -15 | |||||||||||||||||
End of period | $ | 15 | $ | 15 | ||||||||||||||
PPL Electric | ||||||||||||||||||
Beginning of period | $ | 26 | ||||||||||||||||
Reductions based on tax positions of prior years | -17 | |||||||||||||||||
Lapse of applicable statute of limitation | -9 | |||||||||||||||||
End of period | $ | |||||||||||||||||
At December 31, 2014, it was reasonably possible that during the next 12 months the total amount of unrecognized tax benefits could increase or decrease by the following amounts. | ||||||||||||||||||
Increase | Decrease | |||||||||||||||||
PPL | $ | $ | 20 | |||||||||||||||
PPL Energy Supply | 15 | |||||||||||||||||
At December 31, the total unrecognized tax benefits and related indirect effects that, if recognized, would decrease the effective tax rate were as follows. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | $ | 19 | $ | 21 | ||||||||||||||
PPL Energy Supply | 14 | 14 | ||||||||||||||||
At December 31, the following receivable (payable) balances were recorded for interest related to tax positions. | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | $ | 14 | $ | 15 | ||||||||||||||
PPL Energy Supply | 16 | 15 | ||||||||||||||||
The following interest expense (benefit) was recognized in income taxes. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
PPL | $ | 1 | $ | -30 | $ | -4 | ||||||||||||
PPL Energy Supply | -1 | 5 | -4 | |||||||||||||||
PPL Electric | -7 | -4 | ||||||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||||||
Income Taxes [Line Items] | ||||||||||||||||||
Components of Deferred Tax Assets and Liabilities | Significant components of PPL Electric's deferred income tax assets and liabilities were as follows. | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Accrued pension costs | $ | 85 | $ | 42 | ||||||||||||||
Contributions in aid of construction | 110 | 109 | ||||||||||||||||
Regulatory obligations | 39 | 38 | ||||||||||||||||
State loss carryforwards | 30 | 35 | ||||||||||||||||
Federal loss carryforwards | 51 | 72 | ||||||||||||||||
Other | 54 | 45 | ||||||||||||||||
Total deferred tax assets | 369 | 341 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Electric utility plant - net | 1,453 | 1,366 | ||||||||||||||||
Taxes recoverable through future rates | 132 | 129 | ||||||||||||||||
Reacquired debt costs | 20 | 23 | ||||||||||||||||
Other regulatory assets | 173 | 129 | ||||||||||||||||
Other | 16 | 8 | ||||||||||||||||
Total deferred tax liabilities | 1,794 | 1,655 | ||||||||||||||||
Net deferred tax liability | $ | 1,425 | $ | 1,314 | ||||||||||||||
Summary of Operating Loss Carryforwards and Tax Credit Carryforwards | At December 31, PPL Electric had the following loss carryforwards. | |||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses | $ | 146 | 2031-2032 | |||||||||||||||
State net operating losses | 467 | 2030-2032 | ||||||||||||||||
Components of Income Tax Expense (Benefit) From Continuing Operations | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | 60 | $ | -15 | $ | -28 | ||||||||||||
Current - State | 15 | -4 | -18 | |||||||||||||||
Total Current Expense (Benefit) | 75 | -19 | -46 | |||||||||||||||
Deferred - Federal | 70 | 109 | 162 | |||||||||||||||
Deferred - State | 16 | 16 | 42 | |||||||||||||||
Total Deferred Expense, excluding operating loss carryforwards | 86 | 125 | 204 | |||||||||||||||
Investment tax credit, net - Federal | -1 | -1 | -1 | |||||||||||||||
Tax expense (benefit) of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | 4 | -72 | ||||||||||||||||
Deferred - State | -1 | -17 | ||||||||||||||||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 3 | -89 | ||||||||||||||||
Total income tax expense | $ | 160 | $ | 108 | $ | 68 | ||||||||||||
Total income tax expense - Federal | $ | 129 | $ | 97 | $ | 61 | ||||||||||||
Total income tax expense - State | 31 | 11 | 7 | |||||||||||||||
Total income tax expense | $ | 160 | $ | 108 | $ | 68 | ||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at statutory tax rate - 35% | $ | 148 | $ | 111 | $ | 71 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 22 | 16 | 9 | |||||||||||||||
Federal and state tax reserves adjustments (a) | -1 | -9 | -8 | |||||||||||||||
Federal and state income tax return adjustments (b) | 1 | -1 | 7 | |||||||||||||||
Depreciation not normalized | -6 | -6 | -8 | |||||||||||||||
Other | -4 | -3 | -3 | |||||||||||||||
Total increase (decrease) | 12 | -3 | -3 | |||||||||||||||
Total income tax expense | $ | 160 | $ | 108 | $ | 68 | ||||||||||||
Effective income tax rate | 37.80% | 34.10% | 33.30% | |||||||||||||||
(a) PPL Electric recorded a tax benefit of $7 million during 2013 and $6 million during 2012 to federal and state income tax reserves related to stranded cost securitization. The reserve balance at December 31, 2013 related to stranded costs securitization was zero. | ||||||||||||||||||
(b) PPL Electric changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year. In August 2011, the IRS issued guidance regarding the use and evaluation of statistical samples and sampling estimates for network assets. The IRS guidance provided a safe harbor method of determining whether the repair expenditures for electric transmission and distribution property can be currently deducted for tax purposes. PPL Electric adopted the safe harbor method with the filing of its 2011 federal income tax return and recorded a $5 million adjustment to federal and state income tax expense in 2012 resulting from the reversal of prior years’ state income tax benefits related to regulated depreciation. | ||||||||||||||||||
Details of Taxes Other Than Income | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were as follows: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
State gross receipts | $ | 102 | $ | 98 | $ | 101 | ||||||||||||
Other | 5 | 5 | 4 | |||||||||||||||
Total | $ | 107 | $ | 103 | $ | 105 | ||||||||||||
Unrecognized Tax Benefits | Changes to unrecognized tax benefits were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
PPL | ||||||||||||||||||
Beginning of period | $ | 22 | $ | 92 | ||||||||||||||
Additions based on tax positions of prior years | 1 | 3 | ||||||||||||||||
Reductions based on tax positions of prior years | -2 | -32 | ||||||||||||||||
Settlements | -1 | -30 | ||||||||||||||||
Lapse of applicable statute of limitation | -11 | |||||||||||||||||
End of period | $ | 20 | $ | 22 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
Beginning of period | $ | 15 | $ | 30 | ||||||||||||||
Reductions based on tax positions of prior years | -15 | |||||||||||||||||
End of period | $ | 15 | $ | 15 | ||||||||||||||
PPL Electric | ||||||||||||||||||
Beginning of period | $ | 26 | ||||||||||||||||
Reductions based on tax positions of prior years | -17 | |||||||||||||||||
Lapse of applicable statute of limitation | -9 | |||||||||||||||||
End of period | $ | |||||||||||||||||
The following interest expense (benefit) was recognized in income taxes. | ||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
PPL | $ | 1 | $ | -30 | $ | -4 | ||||||||||||
PPL Energy Supply | -1 | 5 | -4 | |||||||||||||||
PPL Electric | -7 | -4 | ||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||
Income Taxes [Line Items] | ||||||||||||||||||
Components of Deferred Tax Assets and Liabilities | Significant components of LKE's deferred income tax assets and liabilities were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Net operating loss carryforward | $ | 82 | $ | 222 | ||||||||||||||
Tax credit carryforwards | 182 | 179 | ||||||||||||||||
Regulatory liabilities | 92 | 107 | ||||||||||||||||
Accrued pension costs | 53 | 26 | ||||||||||||||||
Capital loss carryforward | 4 | |||||||||||||||||
Income taxes due to customers | 20 | 23 | ||||||||||||||||
Deferred investment tax credits | 51 | 52 | ||||||||||||||||
Derivative liability | 45 | 14 | ||||||||||||||||
Other | 44 | 43 | ||||||||||||||||
Valuation allowances | -4 | |||||||||||||||||
Total deferred tax assets | 569 | 666 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net | 1,639 | 1,327 | ||||||||||||||||
Regulatory assets | 143 | 133 | ||||||||||||||||
Other | 12 | 12 | ||||||||||||||||
Total deferred tax liabilities | 1,794 | 1,472 | ||||||||||||||||
Net deferred tax liability | $ | 1,225 | $ | 806 | ||||||||||||||
Summary of Operating Loss Carryforwards and Tax Credit Carryforwards | At December 31, LKE had the following loss and tax credit carryforwards. | |||||||||||||||||
2014 | Expiration | |||||||||||||||||
Loss carryforwards | ||||||||||||||||||
Federal net operating losses | $ | 132 | 2031-2032 | |||||||||||||||
State net operating losses | 927 | 2028-2032 | ||||||||||||||||
State capital losses | 1 | 2016 | ||||||||||||||||
Credit carryforwards | ||||||||||||||||||
Federal investment tax credit | 125 | 2025-2028 | ||||||||||||||||
Federal alternative minimum tax credit | 30 | Indefinite | ||||||||||||||||
Federal - other | 27 | 2016-2034 | ||||||||||||||||
State - other | 8 | 2022 | ||||||||||||||||
Schedule of Valuation and Qualifying Accounts of Deferred Tax Assets | Changes in deferred tax valuation allowances were: | |||||||||||||||||
Balance at | Balance | |||||||||||||||||
Beginning | at End | |||||||||||||||||
of Period | Additions | Deductions | of Period | |||||||||||||||
2014 | $ | 4 | $ | 4 | (a) | |||||||||||||
2013 | 5 | 1 | (a) | $ | 4 | |||||||||||||
2012 | 5 | 5 | ||||||||||||||||
(a) Primarily related to the expiration of state capital loss carryforwards. | ||||||||||||||||||
Components of Income Tax Expense (Benefit) From Continuing Operations | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | -247 | $ | -59 | $ | -32 | ||||||||||||
Current - State | 8 | 10 | 2 | |||||||||||||||
Total Current Expense (Benefit) | -239 | -49 | -30 | |||||||||||||||
Deferred - Federal | 437 | 244 | 185 | |||||||||||||||
Deferred - State | 23 | 20 | 15 | |||||||||||||||
Total Deferred Expense, excluding benefits of operating loss carryforwards | 460 | 264 | 200 | |||||||||||||||
Investment tax credit, net - Federal | -4 | -4 | -6 | |||||||||||||||
Tax benefit of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | -8 | -4 | -46 | |||||||||||||||
Deferred - State | -1 | -12 | ||||||||||||||||
Total Tax Benefit of Operating Loss Carryforwards | -8 | -5 | -58 | |||||||||||||||
Total income tax expense from continuing operations (a) | $ | 209 | $ | 206 | $ | 106 | ||||||||||||
Total income tax expense - Federal | $ | 178 | $ | 177 | $ | 101 | ||||||||||||
Total income tax expense - State | 31 | 29 | 5 | |||||||||||||||
Total income tax expense from continuing operations (a) | $ | 209 | $ | 206 | $ | 106 | ||||||||||||
(a) Excludes current and deferred federal and state tax expense (benefit) recorded to Discontinued Operations of less than $1 million in 2014, $1 million in 2013, and $(4) million in 2012. Also, excludes deferred federal and state tax expense (benefit) recorded to OCI of $(36) million in 2014, $18 million in 2013 and $(12) million in 2012. | ||||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 194 | $ | 193 | $ | 116 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 20 | 20 | 6 | |||||||||||||||
Amortization of investment tax credit | -4 | -4 | -6 | |||||||||||||||
Net operating loss carryforward (a) | -9 | |||||||||||||||||
Other | -1 | -3 | -1 | |||||||||||||||
Total increase (decrease) | 15 | 13 | -10 | |||||||||||||||
Total income tax expense from continuing operations | $ | 209 | $ | 206 | $ | 106 | ||||||||||||
Effective income tax rate | 37.80% | 37.40% | 32.00% | |||||||||||||||
(a) During 2012, LKE recorded adjustments to deferred taxes related to net operating loss carryforwards based on income tax return adjustments. | ||||||||||||||||||
Details of Taxes Other Than Income | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income (Loss) from Continuing Operations Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
Property and other | $ | 52 | $ | 48 | $ | 46 | ||||||||||||
Total | $ | 52 | $ | 48 | $ | 46 | ||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||
Income Taxes [Line Items] | ||||||||||||||||||
Components of Deferred Tax Assets and Liabilities | Significant components of LG&E's deferred income tax assets and liabilities were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Regulatory liabilities | $ | 51 | $ | 59 | ||||||||||||||
Deferred investment tax credits | 14 | 15 | ||||||||||||||||
Income taxes due to customers | 18 | 19 | ||||||||||||||||
Derivative liability | 32 | 14 | ||||||||||||||||
Other | 9 | 14 | ||||||||||||||||
Total deferred tax assets | 124 | 121 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net | 698 | 585 | ||||||||||||||||
Regulatory assets | 90 | 83 | ||||||||||||||||
Accrued pension costs | 28 | 24 | ||||||||||||||||
Other | 8 | 8 | ||||||||||||||||
Total deferred tax liabilities | 824 | 700 | ||||||||||||||||
Net deferred tax liability | $ | 700 | $ | 579 | ||||||||||||||
Components of Income Tax Expense (Benefit) From Continuing Operations | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | -25 | $ | 52 | $ | -2 | ||||||||||||
Current - State | 10 | 16 | 3 | |||||||||||||||
Total Current Expense (Benefit) | -15 | 68 | 1 | |||||||||||||||
Deferred - Federal | 114 | 33 | 65 | |||||||||||||||
Deferred - State | 6 | -2 | 6 | |||||||||||||||
Total Deferred Expense, excluding benefits of operating loss carryforwards | 120 | 31 | 71 | |||||||||||||||
Investment tax credit, net - Federal | -2 | -2 | -3 | |||||||||||||||
Tax benefit of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | -3 | |||||||||||||||||
Total Tax Benefit of Operating Loss Carryforwards | -3 | |||||||||||||||||
Total income tax expense | $ | 103 | $ | 94 | $ | 69 | ||||||||||||
Total income tax expense - Federal | $ | 87 | $ | 80 | $ | 60 | ||||||||||||
Total income tax expense - State | 16 | 14 | 9 | |||||||||||||||
Total income tax expense | $ | 103 | $ | 94 | $ | 69 | ||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 95 | $ | 90 | $ | 67 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 10 | 10 | 5 | |||||||||||||||
Amortization of investment tax credit | -2 | -2 | -3 | |||||||||||||||
Other | -4 | |||||||||||||||||
Total increase (decrease) | 8 | 4 | 2 | |||||||||||||||
Total income tax expense | $ | 103 | $ | 94 | $ | 69 | ||||||||||||
Effective income tax rate | 37.90% | 36.60% | 35.90% | |||||||||||||||
Details of Taxes Other Than Income | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
Property and other | $ | 25 | $ | 24 | $ | 23 | ||||||||||||
Total | $ | 25 | $ | 24 | $ | 23 | ||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||
Income Taxes [Line Items] | ||||||||||||||||||
Components of Deferred Tax Assets and Liabilities | Significant components of KU's deferred income tax assets and liabilities were as follows: | |||||||||||||||||
2014 | 2013 | |||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||
Regulatory liabilities | $ | 41 | $ | 47 | ||||||||||||||
Deferred investment tax credits | 37 | 38 | ||||||||||||||||
Net operating loss carryforward | 23 | |||||||||||||||||
Income taxes due to customers | 2 | 4 | ||||||||||||||||
Derivative liability | 13 | |||||||||||||||||
Other | 7 | 8 | ||||||||||||||||
Total deferred tax assets | 100 | 120 | ||||||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||
Plant - net | 922 | 721 | ||||||||||||||||
Regulatory assets | 53 | 50 | ||||||||||||||||
Other | 7 | 4 | ||||||||||||||||
Total deferred tax liabilities | 982 | 775 | ||||||||||||||||
Net deferred tax liability | $ | 882 | $ | 655 | ||||||||||||||
Components of Income Tax Expense (Benefit) From Continuing Operations | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Income Tax Expense (Benefit) | ||||||||||||||||||
Current - Federal | $ | -95 | $ | 51 | $ | -20 | ||||||||||||
Current - State | 6 | 12 | -1 | |||||||||||||||
Total Current Expense (Benefit) | -89 | 63 | -21 | |||||||||||||||
Deferred - Federal | 212 | 66 | 111 | |||||||||||||||
Deferred - State | 14 | 8 | 11 | |||||||||||||||
Total Deferred Expense, excluding benefits of operating loss carryforwards | 226 | 74 | 122 | |||||||||||||||
Investment tax credit, net - Federal | -2 | -2 | -3 | |||||||||||||||
Tax benefit of operating loss carryforwards | ||||||||||||||||||
Deferred - Federal | -3 | -20 | ||||||||||||||||
Total Tax Benefit of Operating Loss Carryforwards | -3 | -20 | ||||||||||||||||
Total income tax expense (a) | $ | 135 | $ | 132 | $ | 78 | ||||||||||||
Total income tax expense - Federal | $ | 115 | $ | 112 | $ | 68 | ||||||||||||
Total income tax expense - State | 20 | 20 | 10 | |||||||||||||||
Total income tax expense (a) | $ | 135 | $ | 132 | $ | 78 | ||||||||||||
(a) Excludes deferred federal and state tax expense (benefit) recorded to OCI of less than $(1) million in both 2014 and in 2013 and $1 million in 2012. | ||||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Reconciliation of Income Taxes | ||||||||||||||||||
Federal income tax on Income Before Income Taxes at | ||||||||||||||||||
statutory tax rate - 35% | $ | 124 | $ | 126 | $ | 75 | ||||||||||||
Increase (decrease) due to: | ||||||||||||||||||
State income taxes, net of federal income tax benefit | 13 | 14 | 6 | |||||||||||||||
Amortization of investment tax credit | -2 | -2 | -3 | |||||||||||||||
Other | -6 | |||||||||||||||||
Total increase (decrease) | 11 | 6 | 3 | |||||||||||||||
Total income tax expense | $ | 135 | $ | 132 | $ | 78 | ||||||||||||
Effective income tax rate | 38.00% | 36.70% | 36.30% | |||||||||||||||
Details of Taxes Other Than Income | Details of the components of income tax expense, a reconciliation of federal income taxes derived from statutory tax rates applied to "Income Before Income Taxes" to income taxes for reporting purposes, and details of "Taxes, other than income" were: | |||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||
Taxes, other than income | ||||||||||||||||||
Property and other | $ | 27 | $ | 24 | $ | 23 | ||||||||||||
Total | $ | 27 | $ | 24 | $ | 23 |
Utility_Rate_Regulation_Tables
Utility Rate Regulation (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Regulated Operations [Line Items] | |||||||||||||||||||||
Regulatory Assets and Liabilities | The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | ||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
PPL Electric Utilities Corp [Member] | |||||||||||||||||||||
Regulated Operations [Line Items] | |||||||||||||||||||||
Regulatory Assets and Liabilities | The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | ||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | |||||||||||||||||||||
Regulated Operations [Line Items] | |||||||||||||||||||||
Regulatory Assets and Liabilities | The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | ||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Louisville Gas And Electric Co [Member] | |||||||||||||||||||||
Regulated Operations [Line Items] | |||||||||||||||||||||
Regulatory Assets and Liabilities | The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | ||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Kentucky Utilities Co [Member] | |||||||||||||||||||||
Regulated Operations [Line Items] | |||||||||||||||||||||
Regulatory Assets and Liabilities | The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations at December 31. | ||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | |||||||||||||||||
Gas supply clause | 15 | 10 | |||||||||||||||||||
Fuel adjustment clause | 4 | 2 | |||||||||||||||||||
Demand side management | 8 | ||||||||||||||||||||
Transmission service charge | 6 | $ | 6 | ||||||||||||||||||
Other | 7 | 6 | 6 | $ | 6 | ||||||||||||||||
Total current regulatory assets | $ | 37 | $ | 33 | $ | 12 | $ | 6 | |||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 720 | $ | 509 | $ | 372 | $ | 257 | |||||||||||||
Taxes recoverable through future rates | 316 | 306 | 316 | 306 | |||||||||||||||||
Storm costs | 124 | 147 | 46 | 53 | |||||||||||||||||
Unamortized loss on debt | 77 | 85 | 49 | 57 | |||||||||||||||||
Interest rate swaps | 122 | 44 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 114 | 98 | 114 | 98 | |||||||||||||||||
AROs | 79 | 44 | |||||||||||||||||||
Other | 10 | 13 | 1 | ||||||||||||||||||
Total noncurrent regulatory assets | $ | 1,562 | $ | 1,246 | $ | 897 | $ | 772 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 28 | $ | 23 | $ | 28 | $ | 23 | |||||||||||||
Gas supply clause | 6 | 3 | |||||||||||||||||||
Transmission service charge | 8 | 8 | |||||||||||||||||||
Transmission formula rate | 42 | 20 | 42 | 20 | |||||||||||||||||
Fuel adjustment clause | 4 | ||||||||||||||||||||
Universal service rider | 10 | 10 | |||||||||||||||||||
Storm damage expense | 3 | 14 | 3 | 14 | |||||||||||||||||
Gas line tracker | 3 | 6 | |||||||||||||||||||
Other | 9 | 2 | 3 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 91 | $ | 90 | $ | 76 | $ | 76 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 693 | $ | 688 | |||||||||||||||||
Coal contracts (a) | 59 | 98 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | |||||||||||||||||||
Net deferred tax assets | 26 | 30 | |||||||||||||||||||
Act 129 compliance rider | 18 | 15 | $ | 18 | $ | 15 | |||||||||||||||
Defined benefit plans | 16 | 26 | |||||||||||||||||||
Interest rate swaps | 84 | 86 | |||||||||||||||||||
Other | 4 | 5 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 992 | $ | 1,048 | $ | 18 | $ | 15 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
Environmental cost recovery | $ | 5 | $ | 7 | $ | 4 | $ | 2 | $ | 1 | $ | 5 | |||||||||
Gas supply clause | 15 | 10 | 15 | 10 | |||||||||||||||||
Fuel adjustment clause | 4 | 2 | 2 | 2 | 2 | ||||||||||||||||
Demand side management | 8 | 3 | 5 | ||||||||||||||||||
Other | 1 | 1 | |||||||||||||||||||
Total current regulatory assets | $ | 25 | $ | 27 | $ | 21 | $ | 17 | $ | 4 | $ | 10 | |||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 348 | $ | 252 | $ | 215 | $ | 164 | $ | 133 | $ | 88 | |||||||||
Storm costs | 78 | 94 | 43 | 51 | 35 | 43 | |||||||||||||||
Unamortized loss on debt | 28 | 28 | 18 | 18 | 10 | 10 | |||||||||||||||
Interest rate swaps | 122 | 44 | 89 | 44 | 33 | ||||||||||||||||
AROs | 79 | 44 | 28 | 21 | 51 | 23 | |||||||||||||||
Other | 10 | 12 | 4 | 5 | 6 | 7 | |||||||||||||||
Total noncurrent regulatory assets | $ | 665 | $ | 474 | $ | 397 | $ | 303 | $ | 268 | $ | 171 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Demand side management | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Gas supply clause | 6 | $ | 3 | 6 | $ | 3 | |||||||||||||||
Fuel adjustment clause | 4 | $ | 4 | ||||||||||||||||||
Gas line tracker | 3 | 6 | 3 | 6 | |||||||||||||||||
Other | 4 | 1 | 4 | 1 | |||||||||||||||||
Total current regulatory liabilities | $ | 15 | $ | 14 | $ | 10 | $ | 9 | $ | 5 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 693 | $ | 688 | $ | 302 | $ | 299 | $ | 391 | $ | 389 | |||||||||
Coal contracts (a) | 59 | 98 | 25 | 43 | 34 | 55 | |||||||||||||||
Power purchase agreement - OVEC (a) | 92 | 100 | 63 | 69 | 29 | 31 | |||||||||||||||
Net deferred tax assets | 26 | 30 | 24 | 26 | 2 | 4 | |||||||||||||||
Defined benefit plans | 16 | 26 | 16 | 26 | |||||||||||||||||
Interest rate swaps | 84 | 86 | 42 | 43 | 42 | 43 | |||||||||||||||
Other | 4 | 5 | 2 | 2 | 2 | 3 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 974 | $ | 1,033 | $ | 458 | $ | 482 | $ | 516 | $ | 551 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. |
Financing_Activities_Tables
Financing Activities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||
Debt Disclosure [Line Items] | |||||||||||||||||||||||||||
Credit Facilities in Place at Period End | The following credit facilities were in place at: | ||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||
Letters of | Letters of | ||||||||||||||||||||||||||
Credit | Credit | ||||||||||||||||||||||||||
and | and | ||||||||||||||||||||||||||
Commercial | Commercial | ||||||||||||||||||||||||||
Expiration | Paper | Unused | Paper | ||||||||||||||||||||||||
Date | Capacity | Borrowed | Issued | Capacity | Borrowed | Issued | |||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
U.K. | |||||||||||||||||||||||||||
WPD Ltd. | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Dec. 2016 | £ | 210 | £ | 103 | £ | 107 | £ | 103 | ||||||||||||||||||
WPD (South West) | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Jul-19 | 245 | 245 | ||||||||||||||||||||||||
WPD (East Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Jul-19 | 300 | 64 | 236 | |||||||||||||||||||||||
WPD (West Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (a) (c) | Jul-19 | 300 | 300 | ||||||||||||||||||||||||
Uncommitted Credit Facilities | 105 | £ | 5 | 100 | £ | 5 | |||||||||||||||||||||
Total U.K. Credit Facilities (b) | £ | 1,160 | £ | 167 | £ | 5 | £ | 988 | £ | 103 | £ | 5 | |||||||||||||||
U.S. | |||||||||||||||||||||||||||
PPL Capital Funding | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) (f) | Nov. 2018 | $ | 300 | $ | 300 | $ | 270 | ||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | 300 | 300 | ||||||||||||||||||||||||
Bilateral Credit Facility (c) (d) | Mar. 2015 | 150 | $ | 21 | 129 | ||||||||||||||||||||||
Uncommitted Credit Facility | 65 | 1 | 64 | ||||||||||||||||||||||||
Total PPL Capital Funding Credit Facilities | $ | 815 | $ | 22 | $ | 793 | $ | 270 | |||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) (f) | Nov. 2017 | $ | 3,000 | $ | 630 | $ | 121 | $ | 2,249 | $ | 29 | ||||||||||||||||
Letter of Credit Facility (d) | Mar. 2015 | 150 | 138 | 12 | 138 | ||||||||||||||||||||||
Uncommitted Credit Facilities (d) | 100 | 22 | 78 | 77 | |||||||||||||||||||||||
Total PPL Energy Supply Credit Facilities | $ | 3,250 | $ | 630 | $ | 281 | $ | 2,339 | $ | 244 | |||||||||||||||||
PPL Electric | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | $ | 300 | $ | 1 | $ | 299 | $ | 21 | ||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) (f) | Oct. 2018 | $ | 75 | $ | 75 | $ | 75 | ||||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | $ | 500 | $ | 264 | $ | 236 | $ | 20 | ||||||||||||||||||
KU | |||||||||||||||||||||||||||
Syndicated Credit Facility (c) (d) | Jul-19 | $ | 400 | $ | 236 | $ | 164 | $ | 150 | ||||||||||||||||||
Letter of Credit Facility (c) (d) (e) | Oct. 2017 | 198 | 198 | 198 | |||||||||||||||||||||||
Total KU Credit Facilities | $ | 598 | $ | 434 | $ | 164 | $ | 348 | |||||||||||||||||||
(a) The facilities contain financial covenants to maintain an interest coverage ratio of not less than 3.0 times consolidated earnings before income taxes, depreciation and amortization and total net debt not in excess of 85% of its RAV, calculated in accordance with the credit facility. | |||||||||||||||||||||||||||
(b) WPD Ltd.'s amounts borrowed at December 31, 2014 and 2013 were USD-denominated borrowings of $161 million and $166 million, which bore interest at 1.86% and 1.87%. WPD (East Midlands) amount borrowed at December 31, 2014 was a GBP-denominated borrowing which equated to $100 million and bore interest at 1.00%. At December 31, 2014, the unused capacity under the U.K. credit facilities was approximately $1.5 billion. | |||||||||||||||||||||||||||
(c) Each company pays customary fees under its respective facility and borrowings generally bear interest at LIBOR-based rates plus an applicable margin. | |||||||||||||||||||||||||||
(d) The facilities contain a financial covenant requiring debt to total capitalization not to exceed 65% for PPL Energy Supply and 70% for PPL Capital Funding, PPL Electric, LKE, LG&E and KU, as calculated in accordance with the facilities and other customary covenants. Additionally, as it relates to the syndicated and bilateral credit facilities and subject to certain conditions, PPL Capital Funding may request that the capacity of its facility expiring in July 2019 be increased by up to $100 million and the facilities expiring in November 2018 and March 2015 may be increased by up to $30 million, PPL Energy Supply may request that its facility's capacity be increased by up to $500 million, PPL Electric and KU each may request up to a $100 million increase in its facility's capacity and LKE may request up to a $25 million increase in its facility's capacity. | |||||||||||||||||||||||||||
(e) KU's letter of credit facility agreement allows for certain payments under the letter of credit facility to be converted to loans rather than requiring immediate payment. | |||||||||||||||||||||||||||
(f) At December 31, 2014, PPL Energy Supply’s and LKE's interest rates on outstanding borrowings were 2.05% and 1.67%, respectively. At December 31, 2013, PPL Capital Funding's and LKE’s interest rates on outstanding borrowings were 1.79% and 1.67%, respectively. | |||||||||||||||||||||||||||
Long-term Debt | Long-term Debt (All Registrants) | ||||||||||||||||||||||||||
Weighted-Average | December 31, | ||||||||||||||||||||||||||
Rate | Maturities | 2014 | 2013 | ||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
U.S. | |||||||||||||||||||||||||||
Senior Unsecured Notes (a) | 4.28% | 2015 - 2044 | $ | 6,018 | $ | 5,568 | |||||||||||||||||||||
Senior Secured Notes/First Mortgage Bonds (b) (c) (d) | 3.83% | 2015 - 2044 | 6,119 | 5,823 | |||||||||||||||||||||||
Junior Subordinated Notes | 6.31% | 2067 - 2073 | 930 | 1,908 | |||||||||||||||||||||||
Other | 15 | ||||||||||||||||||||||||||
Total U.S. Long-term Debt | 13,067 | 13,314 | |||||||||||||||||||||||||
U.K. | |||||||||||||||||||||||||||
Senior Unsecured Notes (e) | 5.53% | 2016 - 2040 | 6,627 | 6,872 | |||||||||||||||||||||||
Index-linked Senior Unsecured Notes (f) | 1.83% | 2043 - 2056 | 732 | 749 | |||||||||||||||||||||||
Total U.K. Long-term Debt (g) | 7,359 | 7,621 | |||||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 20,426 | 20,935 | |||||||||||||||||||||||||
Fair market value adjustments | 18 | 23 | |||||||||||||||||||||||||
Unamortized premium and (discount), net | -53 | -51 | |||||||||||||||||||||||||
Total Long-term Debt | 20,391 | 20,907 | |||||||||||||||||||||||||
Less current portion of Long-term Debt (a) | 1,535 | 315 | |||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 18,856 | $ | 20,592 | |||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Senior Unsecured Notes (a) | 5.31% | 2015 - 2036 | $ | 2,193 | $ | 2,493 | |||||||||||||||||||||
Senior Secured Notes | 8.86% | 2025 | 45 | 49 | |||||||||||||||||||||||
Other | 5 | ||||||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 2,238 | 2,547 | |||||||||||||||||||||||||
Fair market value adjustments | -19 | -22 | |||||||||||||||||||||||||
Unamortized premium and (discount), net | -1 | ||||||||||||||||||||||||||
Total Long-term Debt | 2,218 | 2,525 | |||||||||||||||||||||||||
Less current portion of Long-term Debt (a) | 535 | 304 | |||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 1,683 | $ | 2,221 | |||||||||||||||||||||||
PPL Electric | |||||||||||||||||||||||||||
Senior Secured Notes/First Mortgage Bonds (b) (c) | 4.57% | 2015 - 2044 | $ | 2,614 | $ | 2,314 | |||||||||||||||||||||
Other | 10 | ||||||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 2,614 | 2,324 | |||||||||||||||||||||||||
Unamortized discount | -12 | -9 | |||||||||||||||||||||||||
Total Long-term Debt | 2,602 | 2,315 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 100 | 10 | |||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 2,502 | $ | 2,305 | |||||||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Senior Unsecured Notes | 3.31% | 2015 - 2021 | $ | 1,125 | $ | 1,125 | |||||||||||||||||||||
First Mortgage Bonds (b) (d) | 3.21% | 2015 - 2043 | 3,460 | 3,460 | |||||||||||||||||||||||
Total Long-term Debt Before Adjustments | 4,585 | 4,585 | |||||||||||||||||||||||||
Fair market value adjustments | -1 | -1 | |||||||||||||||||||||||||
Unamortized discount | -17 | -19 | |||||||||||||||||||||||||
Total Long-term Debt | 4,567 | 4,565 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 900 | ||||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 3,667 | $ | 4,565 | |||||||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
First Mortgage Bonds (b) (d) | 2.85% | 2015 - 2043 | $ | 1,359 | $ | 1,359 | |||||||||||||||||||||
Total Long-term Debt Before Adjustments | 1,359 | 1,359 | |||||||||||||||||||||||||
Fair market value adjustments | -1 | -1 | |||||||||||||||||||||||||
Unamortized discount | -5 | -5 | |||||||||||||||||||||||||
Total Long-term Debt | 1,353 | 1,353 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 250 | ||||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 1,103 | $ | 1,353 | |||||||||||||||||||||||
KU | |||||||||||||||||||||||||||
First Mortgage Bonds (b) (d) | 3.44% | 2015 - 2043 | $ | 2,101 | $ | 2,101 | |||||||||||||||||||||
Total Long-term Debt Before Adjustments | 2,101 | 2,101 | |||||||||||||||||||||||||
Fair market value adjustments | 1 | ||||||||||||||||||||||||||
Unamortized discount | -10 | -11 | |||||||||||||||||||||||||
Total Long-term Debt | 2,091 | 2,091 | |||||||||||||||||||||||||
Less current portion of Long-term Debt | 250 | ||||||||||||||||||||||||||
Total Long-term Debt, noncurrent | $ | 1,841 | $ | 2,091 | |||||||||||||||||||||||
(a) Includes $300 million of 5.70% REset Put Securities due 2035 (REPS). The REPS bear interest at a rate of 5.70% per annum to, but excluding, October 15, 2015 (Remarketing Date). The REPS are required to be put by existing holders on the Remarketing Date either for (a) purchase and remarketing by a designated remarketing dealer or (b) repurchase by PPL Energy Supply. If the remarketing dealer elects to purchase the REPS for remarketing, it will purchase the REPS at 100% of the principal amount, and the REPS will bear interest on and after the Remarketing Date at a new fixed rate per annum determined in the remarketing. PPL Energy Supply has the right to terminate the remarketing process. If the remarketing is terminated at the option of PPL Energy Supply or under certain other circumstances, including the occurrence of an event of default by PPL Energy Supply under the related indenture or a failed remarketing for certain specified reasons, PPL Energy Supply will be required to pay the remarketing dealer a settlement amount as calculated in accordance with the related remarketing agreement. | |||||||||||||||||||||||||||
(b) Includes PPL Electric's senior secured and first mortgage bonds that are secured by the lien of PPL Electric's 2001 Mortgage Indenture, which covers substantially all electric distribution plant and certain transmission plant owned by PPL Electric. The carrying value of PPL Electric's property, plant and equipment was approximately $5.8 billion and $5.1 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
Includes LG&E's first mortgage bonds that are secured by the lien of the LG&E 2010 Mortgage Indenture which creates a lien, subject to certain exceptions and exclusions, on substantially all of LG&E's real and tangible personal property located in Kentucky and used or to be used in connection with the generation, transmission and distribution of electricity and the storage and distribution of natural gas. The aggregate carrying value of the property subject to the lien was $3.7 billion and $3.2 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
Includes KU's first mortgage bonds that are secured by the lien of the KU 2010 Mortgage Indenture which creates a lien, subject to certain exceptions and exclusions, on substantially all of KU's real and tangible personal property located in Kentucky and used or to be used in connection with the generation, transmission and distribution of electricity. The aggregate carrying value of the property subject to the lien was $5.5 billion and $5.1 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
(c) Includes PPL Electric's series of senior secured bonds that secure its obligations to make payments with respect to each series of Pollution Control Bonds that were issued by the LCIDA and the PEDFA on behalf of PPL Electric. These senior secured bonds were issued in the same principal amount, contain payment and redemption provisions that correspond to and bear the same interest rate as such Pollution Control Bonds. These senior secured bonds were issued under PPL Electric's 2001 Mortgage Indenture and are secured as noted in (b) above. This amount includes $224 million that may be redeemed at par beginning in 2015 and $90 million that may be redeemed, in whole or in part, at par beginning in October 2020 and are subject to mandatory redemption upon determination that the interest rate on the bonds would be included in the holders' gross income for federal tax purposes. | |||||||||||||||||||||||||||
(d) Includes LG&E's and KU's series of first mortgage bonds that were issued to the respective trustees of tax-exempt revenue bonds to secure its respective obligations to make payments with respect to each series of bonds. The first mortgage bonds were issued in the same principal amounts, contain payment and redemption provisions that correspond to and bear the same interest rate as such tax-exempt revenue bonds. These first mortgage bonds were issued under the LG&E 2010 Mortgage Indenture and the KU 2010 Mortgage Indenture and are secured as noted in (b) above. The related tax-exempt revenue bonds were issued by various governmental entities, principally counties in Kentucky, on behalf of LG&E and KU. The related revenue bond documents allow LG&E and KU to convert the interest rate mode on the bonds from time to time to a commercial paper rate, daily rate, weekly rate, term rate of at least one year or, in some cases, an auction rate or a LIBOR index rate. | |||||||||||||||||||||||||||
At December 31, 2014, the aggregate tax-exempt revenue bonds issued on behalf of LG&E and KU that were in a term rate mode totaled $418 million for LKE, comprised of $391 million and $27 million for LG&E and KU, respectively. At December 31, 2014, the aggregate tax-exempt revenue bonds issued on behalf of LG&E and KU that were in a variable rate mode totaled $507 million for LKE, comprised of $183 million and $324 million for LG&E and KU, respectively. | |||||||||||||||||||||||||||
Several series of the tax-exempt revenue bonds are insured by monoline bond insurers whose ratings were reduced due to exposures relating to insurance of sub-prime mortgages. Of the bonds outstanding, $231 million are in the form of insured auction rate securities ($135 million for LG&E and $96 million for KU), wherein interest rates are reset either weekly or every 35 days via an auction process. Beginning in late 2007, the interest rates on these insured bonds began to increase due to investor concerns about the creditworthiness of the bond insurers. During 2008, interest rates increased, and LG&E and KU experienced failed auctions when there were insufficient bids for the bonds. When a failed auction occurs, the interest rate is set pursuant to a formula stipulated in the indenture. As noted above, the instruments governing these auction rate bonds permit LG&E and KU to convert the bonds to other interest rate modes. | |||||||||||||||||||||||||||
Certain variable rate tax-exempt revenue bonds totaling $251 million at December 31, 2014 ($23 million for LG&E and $228 million for KU), are subject to tender for purchase by LG&E and KU at the option of the holder and to mandatory tender for purchase by LG&E and KU upon the occurrence of certain events. | |||||||||||||||||||||||||||
(e) Includes £225 million ($352 million at December 31, 2014) of notes that may be redeemed, in total but not in part, on December 21, 2026, at the greater of the principal value or a value determined by reference to the gross redemption yield on a nominated U.K. Government bond. | |||||||||||||||||||||||||||
(f) The principal amount of the notes issued by WPD (South West) and WPD (East Midlands) is adjusted based on changes in a specified index, as detailed in the terms of the related indentures. The adjustment to the principal amounts from 2013 to 2014 was an increase of approximately £10 million ($16 million) resulting from inflation. In addition, this amount includes £225 million ($352 million at December 31, 2014) of notes issued by WPD (South West) that may be redeemed, in total by series, on December 1, 2026, at the greater of the adjusted principal value and a make-whole value determined by reference to the gross real yield on a nominated U.K. government bond. | |||||||||||||||||||||||||||
(g) Includes £3.8 billion ($5.9 billion at December 31, 2014) of notes that may be put by the holders to the issuer for redemption if the long-term credit ratings assigned to the notes are withdrawn by any of the rating agencies (Moody's, S&P or Fitch) or reduced to a non-investment grade rating of Ba1 or BB+ in connection with a restructuring event which includes the loss of, or a material adverse change to, the distribution licenses under which the issuer operates. | |||||||||||||||||||||||||||
Long-term Debt Maturities | The aggregate maturities of long-term debt, based on stated maturities or earlier put dates, for the periods 2015 through 2019 and thereafter are as follows: | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Energy | PPL | ||||||||||||||||||||||||||
PPL | Supply | Electric | LKE | LG&E | KU | ||||||||||||||||||||||
2015 | $ | 1,535 | $ | 535 | $ | 100 | $ | 900 | $ | 250 | $ | 250 | |||||||||||||||
2016 | 839 | 354 | 25 | 25 | |||||||||||||||||||||||
2017 | 298 | 4 | 194 | 194 | |||||||||||||||||||||||
2018 | 750 | 403 | 98 | 98 | |||||||||||||||||||||||
2019 | 44 | 4 | 40 | 40 | |||||||||||||||||||||||
Thereafter | 16,960 | 938 | 2,514 | 3,328 | 752 | 1,851 | |||||||||||||||||||||
Total | $ | 20,426 | $ | 2,238 | $ | 2,614 | $ | 4,585 | $ | 1,359 | $ | 2,101 | |||||||||||||||
PPL Electric Utilities Corp [Member] | |||||||||||||||||||||||||||
Debt Disclosure [Line Items] | |||||||||||||||||||||||||||
Commercial paper | The following commercial paper programs were in place at: | ||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Electric | $ | 300 | $ | 300 | 0.23% | $ | 20 | ||||||||||||||||||||
LG&E | 0.42% | 350 | $ | 264 | 86 | 0.29% | 20 | ||||||||||||||||||||
KU | 0.49% | 350 | 236 | 114 | 0.32% | 150 | |||||||||||||||||||||
Total | $ | 1,000 | $ | 500 | $ | 500 | $ | 190 | |||||||||||||||||||
Louisville Gas And Electric Co [Member] | |||||||||||||||||||||||||||
Debt Disclosure [Line Items] | |||||||||||||||||||||||||||
Commercial paper | The following commercial paper programs were in place at: | ||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Electric | $ | 300 | $ | 300 | 0.23% | $ | 20 | ||||||||||||||||||||
LG&E | 0.42% | 350 | $ | 264 | 86 | 0.29% | 20 | ||||||||||||||||||||
KU | 0.49% | 350 | 236 | 114 | 0.32% | 150 | |||||||||||||||||||||
Total | $ | 1,000 | $ | 500 | $ | 500 | $ | 190 | |||||||||||||||||||
Kentucky Utilities Co [Member] | |||||||||||||||||||||||||||
Debt Disclosure [Line Items] | |||||||||||||||||||||||||||
Commercial paper | The following commercial paper programs were in place at: | ||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Electric | $ | 300 | $ | 300 | 0.23% | $ | 20 | ||||||||||||||||||||
LG&E | 0.42% | 350 | $ | 264 | 86 | 0.29% | 20 | ||||||||||||||||||||
KU | 0.49% | 350 | 236 | 114 | 0.32% | 150 | |||||||||||||||||||||
Total | $ | 1,000 | $ | 500 | $ | 500 | $ | 190 |
Acquisitions_Development_and_D2
Acquisitions, Development and Divestures (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Acquisitions, Development and Divestitures [Line Items] | ||||||||||
Components of Discontinued Operations | Following are the components of Discontinued Operations in the Statements of Income for the years ended December 31. | |||||||||
2014 | 2013 | 2012 | ||||||||
PPL | ||||||||||
Operating revenues | $ | 117 | $ | 139 | $ | 154 | ||||
Gain on the sale (pre-tax) | 237 | |||||||||
Interest expense (a) | 9 | 12 | 10 | |||||||
Income (loss) before income taxes | 263 | 49 | 73 | |||||||
Income (Loss) from Discontinued Operations | 154 | 32 | 46 | |||||||
PPL Energy Supply | ||||||||||
Operating revenues | $ | 117 | $ | 139 | $ | 154 | ||||
Gain on the sale (pre-tax) | 306 | |||||||||
Interest expense (a) | 9 | 12 | 10 | |||||||
Income (loss) before income taxes | 332 | 49 | 73 | |||||||
Income (Loss) from Discontinued Operations | 223 | 32 | 46 | |||||||
(a) Represents allocated interest expense based upon the discontinued operations share of the net assets of PPL Energy Supply. | ||||||||||
Separation Benefits | As a result, during 2014, charges for employee separation benefits were recorded in “Other operation and maintenance” on the Statement of Income and in "Other current liabilities" on the Balance Sheet as follows. | |||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Separation benefits | $ | 36 | $ | 16 | $ | 1 | ||||
Number of positions | 306 | 112 | 14 | |||||||
PPL Energy Supply LLC [Member] | ||||||||||
Acquisitions, Development and Divestitures [Line Items] | ||||||||||
Components of Discontinued Operations | Following are the components of Discontinued Operations in the Statements of Income for the years ended December 31. | |||||||||
2014 | 2013 | 2012 | ||||||||
PPL | ||||||||||
Operating revenues | $ | 117 | $ | 139 | $ | 154 | ||||
Gain on the sale (pre-tax) | 237 | |||||||||
Interest expense (a) | 9 | 12 | 10 | |||||||
Income (loss) before income taxes | 263 | 49 | 73 | |||||||
Income (Loss) from Discontinued Operations | 154 | 32 | 46 | |||||||
PPL Energy Supply | ||||||||||
Operating revenues | $ | 117 | $ | 139 | $ | 154 | ||||
Gain on the sale (pre-tax) | 306 | |||||||||
Interest expense (a) | 9 | 12 | 10 | |||||||
Income (loss) before income taxes | 332 | 49 | 73 | |||||||
Income (Loss) from Discontinued Operations | 223 | 32 | 46 | |||||||
(a) Represents allocated interest expense based upon the discontinued operations share of the net assets of PPL Energy Supply. | ||||||||||
Separation Benefits | As a result, during 2014, charges for employee separation benefits were recorded in “Other operation and maintenance” on the Statement of Income and in "Other current liabilities" on the Balance Sheet as follows. | |||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Separation benefits | $ | 36 | $ | 16 | $ | 1 | ||||
Number of positions | 306 | 112 | 14 | |||||||
PPL Electric Utilities Corp [Member] | ||||||||||
Acquisitions, Development and Divestitures [Line Items] | ||||||||||
Separation Benefits | As a result, during 2014, charges for employee separation benefits were recorded in “Other operation and maintenance” on the Statement of Income and in "Other current liabilities" on the Balance Sheet as follows. | |||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Separation benefits | $ | 36 | $ | 16 | $ | 1 | ||||
Number of positions | 306 | 112 | 14 |
Leases_Tables
Leases (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Rent Expense for Operating Leases | Rent expense for the years ended December 31 for operating leases was as follows: | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Future Minimum Rental Payments for All Operating Leases | Total future minimum rental payments for all operating leases are estimated to be: | |||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Rent Expense for Operating Leases | Rent expense for the years ended December 31 for operating leases was as follows: | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Future Minimum Rental Payments for All Operating Leases | Total future minimum rental payments for all operating leases are estimated to be: | |||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Rent Expense for Operating Leases | Rent expense for the years ended December 31 for operating leases was as follows: | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Future Minimum Rental Payments for All Operating Leases | Total future minimum rental payments for all operating leases are estimated to be: | |||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Rent Expense for Operating Leases | Rent expense for the years ended December 31 for operating leases was as follows: | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Future Minimum Rental Payments for All Operating Leases | Total future minimum rental payments for all operating leases are estimated to be: | |||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 | ||||||
Kentucky Utilities Co [Member] | ||||||||||||||||
Leases [Line Items] | ||||||||||||||||
Rent Expense for Operating Leases | Rent expense for the years ended December 31 for operating leases was as follows: | |||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||
PPL | $ | 80 | $ | 111 | $ | 116 | ||||||||||
PPL Energy Supply | 29 | 55 | 62 | |||||||||||||
LKE | 18 | 18 | 18 | |||||||||||||
LG&E | 7 | 7 | 7 | |||||||||||||
KU | 10 | 10 | 10 | |||||||||||||
Future Minimum Rental Payments for All Operating Leases | Total future minimum rental payments for all operating leases are estimated to be: | |||||||||||||||
PPL | ||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||
2015 | $ | 36 | $ | 11 | $ | 16 | $ | 6 | $ | 9 | ||||||
2016 | 25 | 11 | 11 | 4 | 7 | |||||||||||
2017 | 20 | 10 | 8 | 3 | 5 | |||||||||||
2018 | 12 | 4 | 7 | 2 | 4 | |||||||||||
2019 | 8 | 1 | 5 | 2 | 3 | |||||||||||
Thereafter | 34 | 2 | 26 | 11 | 13 | |||||||||||
Total | $ | 135 | $ | 39 | $ | 73 | $ | 28 | $ | 41 |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Line Items] | ||||||||||||||
Stock-Based Compensation, Plan Award Limits | The following table details the award limits under each of the plans. | |||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Restricted Stock and Restricted Stock Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted Stock and Restricted Stock Units, Activity Rollforward | Restricted stock and restricted stock unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Restricted Stock and Restricted Stock Units, Total Fair Value Vested at Year End | The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units, Valuation Assumptions | The weighted-average assumptions used in the model were: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
Performance Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of performance units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance Units, Activity Rollforward | Performance unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
Stock Options, Valuation Assumptions | The assumptions used in the model were: | |||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
Stock Options, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of options granted was: | |||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock Options, Activity Rollforward | Stock option activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Compensation Costs for Restricted Stock, Restricted Stock Units, Performance Units and Stock Options | Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
Unrecognized Compensation Cost, Nonvested Restricted Stock, Restricted Stock Units, Performance Units and Stock Option Awards | At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | |||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years | ||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Line Items] | ||||||||||||||
Stock-Based Compensation, Plan Award Limits | The following table details the award limits under each of the plans. | |||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Restricted Stock and Restricted Stock Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted Stock and Restricted Stock Units, Activity Rollforward | Restricted stock and restricted stock unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Restricted Stock and Restricted Stock Units, Total Fair Value Vested at Year End | The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units, Valuation Assumptions | The weighted-average assumptions used in the model were: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
Performance Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of performance units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance Units, Activity Rollforward | Performance unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
Stock Options, Valuation Assumptions | The assumptions used in the model were: | |||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
Stock Options, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of options granted was: | |||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock Options, Activity Rollforward | Stock option activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Compensation Costs for Restricted Stock, Restricted Stock Units, Performance Units and Stock Options | Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
Unrecognized Compensation Cost, Nonvested Restricted Stock, Restricted Stock Units, Performance Units and Stock Option Awards | At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | |||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years | ||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Line Items] | ||||||||||||||
Stock-Based Compensation, Plan Award Limits | The following table details the award limits under each of the plans. | |||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Restricted Stock and Restricted Stock Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted Stock and Restricted Stock Units, Activity Rollforward | Restricted stock and restricted stock unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Restricted Stock and Restricted Stock Units, Total Fair Value Vested at Year End | The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units, Valuation Assumptions | The weighted-average assumptions used in the model were: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
Performance Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of performance units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance Units, Activity Rollforward | Performance unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
Stock Options, Valuation Assumptions | The assumptions used in the model were: | |||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
Stock Options, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of options granted was: | |||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock Options, Activity Rollforward | Stock option activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Compensation Costs for Restricted Stock, Restricted Stock Units, Performance Units and Stock Options | Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
Unrecognized Compensation Cost, Nonvested Restricted Stock, Restricted Stock Units, Performance Units and Stock Option Awards | At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | |||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years | ||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Line Items] | ||||||||||||||
Stock-Based Compensation, Plan Award Limits | The following table details the award limits under each of the plans. | |||||||||||||
Annual Grant Limit | Annual Grant Limit | |||||||||||||
Total As % of | For Individual Participants - | |||||||||||||
Total Plan | Outstanding | Annual Grant | Performance Based Awards | |||||||||||
Award | PPL Common Stock | Limit | For awards | For awards | ||||||||||
Limit | On First Day of | Options | denominated in | denominated in | ||||||||||
Plan | (Shares) | Each Calendar Year | (Shares) | shares (Shares) | cash (in dollars) | |||||||||
ICP (a) | 15,769,431 | 2% | 3,000,000 | |||||||||||
SIP | 10,000,000 | 2,000,000 | 750,000 | $ | 15,000,000 | |||||||||
ICPKE | 14,199,796 | 2% | 3,000,000 | |||||||||||
(a) Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. | ||||||||||||||
Restricted Stock and Restricted Stock Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of restricted stock and restricted stock units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 31.5 | $ | 30.3 | $ | 28.35 | ||||||||
PPL Energy Supply | 31.7 | 30.42 | 28.29 | |||||||||||
PPL Electric | 31.81 | 30.55 | 28.51 | |||||||||||
LKE | 30.98 | 30 | 28.34 | |||||||||||
Restricted Stock and Restricted Stock Units, Activity Rollforward | Restricted stock and restricted stock unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average | ||||||||||||||
Restricted | Grant Date Fair | |||||||||||||
Shares/Units | Value Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 3,140,600 | $ | 28.5 | |||||||||||
Granted | 1,197,947 | 31.5 | ||||||||||||
Vested | -804,582 | 26.01 | ||||||||||||
Forfeited | -48,445 | 30.48 | ||||||||||||
Nonvested, end of period | 3,485,520 | 30.07 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 1,343,404 | $ | 28.71 | |||||||||||
Transferred | 70,298 | 27.43 | ||||||||||||
Granted | 465,238 | 31.7 | ||||||||||||
Vested | -395,740 | 26.19 | ||||||||||||
Forfeited | -25,300 | 30.54 | ||||||||||||
Nonvested, end of period | 1,457,900 | 30.13 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 265,550 | $ | 28.22 | |||||||||||
Transferred | 2,270 | 29.03 | ||||||||||||
Granted | 103,511 | 31.81 | ||||||||||||
Vested | -78,370 | 26.04 | ||||||||||||
Forfeited | -6,150 | 30.65 | ||||||||||||
Nonvested, end of period | 286,811 | 30.04 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 231,553 | $ | 29.17 | |||||||||||
Granted | 112,625 | 30.98 | ||||||||||||
Vested | -2,710 | 29.97 | ||||||||||||
Nonvested, end of period | 341,468 | 29.76 | ||||||||||||
Restricted Stock and Restricted Stock Units, Total Fair Value Vested at Year End | The total fair value of restricted stock and restricted stock units vesting for the years ended December 31 was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 21 | $ | 19 | $ | 27 | ||||||||
PPL Energy Supply | 10 | 7 | 6 | |||||||||||
PPL Electric | 2 | 3 | 2 | |||||||||||
LKE | 1 | 4 | ||||||||||||
Performance Units, Valuation Assumptions | The weighted-average assumptions used in the model were: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |||||||||||
Expected stock volatility | 15.80% | 15.50% | 19.30% | |||||||||||
Expected life | 3 years | 3 years | 3 years | |||||||||||
Performance Units, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of performance units granted was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 34.55 | $ | 34.15 | $ | 31.41 | ||||||||
PPL Energy Supply | 34.35 | 34.29 | 31.4 | |||||||||||
PPL Electric | 34.43 | 33.97 | 31.37 | |||||||||||
LKE | 34.12 | 33.84 | 31.3 | |||||||||||
Performance Units, Activity Rollforward | Performance unit activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Average Grant | ||||||||||||||
Performance | Date Fair Value | |||||||||||||
Units | Per Share | |||||||||||||
PPL | ||||||||||||||
Nonvested, beginning of period | 793,199 | $ | 32.19 | |||||||||||
Granted | 555,553 | 34.55 | ||||||||||||
Vested | -177,036 | 29.11 | ||||||||||||
Nonvested, end of period | 1,171,716 | 33.77 | ||||||||||||
PPL Energy Supply | ||||||||||||||
Nonvested, beginning of period | 170,609 | $ | 32.22 | |||||||||||
Transferred | 27,656 | 32.12 | ||||||||||||
Granted | 138,601 | 34.35 | ||||||||||||
Vested | -45,374 | 29.11 | ||||||||||||
Nonvested, end of period | 291,492 | 33.71 | ||||||||||||
PPL Electric | ||||||||||||||
Nonvested, beginning of period | 38,210 | $ | 32.22 | |||||||||||
Granted | 29,701 | 34.43 | ||||||||||||
Vested | -8,296 | 28.99 | ||||||||||||
Nonvested, end of period | 59,615 | 33.77 | ||||||||||||
LKE | ||||||||||||||
Nonvested, beginning of period | 129,630 | $ | 31.88 | |||||||||||
Granted | 75,174 | 34.12 | ||||||||||||
Vested | -30,858 | 29.2 | ||||||||||||
Nonvested, end of period | 173,946 | 33.32 | ||||||||||||
Stock Options, Valuation Assumptions | The assumptions used in the model were: | |||||||||||||
2013 | 2012 | |||||||||||||
Risk-free interest rate | 1.15% | 1.13% | ||||||||||||
Expected option life | 6.48 years | 6.17 years | ||||||||||||
Expected stock volatility | 18.50% | 20.60% | ||||||||||||
Dividend yield | 5.00% | 5.00% | ||||||||||||
Stock Options, Weighted Average Grant Date Fair Value | The weighted-average grant date fair value of options granted was: | |||||||||||||
2013 | 2012 | |||||||||||||
PPL | $ | 2.18 | $ | 2.48 | ||||||||||
PPL Energy Supply | 2.19 | 2.51 | ||||||||||||
PPL Electric | 2.19 | 2.5 | ||||||||||||
LKE | 2.18 | 2.51 | ||||||||||||
Stock Options, Activity Rollforward | Stock option activity for 2014 was: | |||||||||||||
Weighted- | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | Aggregate | ||||||||||||
Number | Exercise | Contractual | Total Intrinsic | |||||||||||
of Options | Price Per Share | Term (years) | Value | |||||||||||
PPL | ||||||||||||||
Outstanding at beginning of period | 11,381,482 | $ | 30.45 | |||||||||||
Exercised | -2,338,520 | 28.58 | ||||||||||||
Outstanding at end of period | 9,042,962 | 30.93 | 5.9 | $ | 56 | |||||||||
Options exercisable at end of period | 6,432,806 | 31.6 | 5.2 | 38 | ||||||||||
PPL Energy Supply | ||||||||||||||
Outstanding at beginning of period | 2,845,336 | $ | 30.47 | |||||||||||
Transferred | 458,800 | 30.47 | ||||||||||||
Exercised | -559,120 | 28.79 | ||||||||||||
Outstanding at end of period | 2,745,016 | 30.84 | 5.6 | $ | 17 | |||||||||
Options exercisable at end of period | 2,166,150 | 31.24 | 5 | 13 | ||||||||||
PPL Electric | ||||||||||||||
Outstanding at beginning of period | 532,200 | $ | 30.04 | |||||||||||
Exercised | -24,280 | 30.12 | ||||||||||||
Outstanding at end of period | 507,920 | 30.04 | 6.3 | $ | 3 | |||||||||
Options exercisable at end of period | 386,413 | 30.27 | 5.8 | 3 | ||||||||||
LKE | ||||||||||||||
Outstanding at beginning of period | 997,156 | $ | 28.35 | |||||||||||
Exercised | -373,839 | 27.87 | ||||||||||||
Outstanding at end of period | 623,317 | 28.64 | 7.5 | $ | 5 | |||||||||
Options exercisable at end of period | 215,106 | 27.58 | 6.9 | 2 | ||||||||||
Compensation Costs for Restricted Stock, Restricted Stock Units, Performance Units and Stock Options | Compensation expense for restricted stock, restricted stock units, performance units and stock options accounted for as equity awards, which for PPL Energy Supply, PPL Electric and LKE includes an allocation of PPL Services' expense, was: | |||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 63 | $ | 52 | $ | 49 | ||||||||
PPL Energy Supply | 33 | 27 | 23 | |||||||||||
PPL Electric | 12 | 10 | 11 | |||||||||||
LKE | 8 | 8 | 8 | |||||||||||
The income tax benefit related to above compensation expense was as follows: | ||||||||||||||
2014 | 2013 | 2012 | ||||||||||||
PPL | $ | 26 | $ | 22 | $ | 20 | ||||||||
PPL Energy Supply | 14 | 11 | 10 | |||||||||||
PPL Electric | 5 | 4 | 4 | |||||||||||
LKE | 3 | 3 | 4 | |||||||||||
Unrecognized Compensation Cost, Nonvested Restricted Stock, Restricted Stock Units, Performance Units and Stock Option Awards | At December 31, 2014, unrecognized compensation expense related to nonvested restricted stock, restricted stock units, performance units and stock option awards was: | |||||||||||||
Weighted- | ||||||||||||||
Unrecognized | Average | |||||||||||||
Compensation | Period for | |||||||||||||
Expense | Recognition | |||||||||||||
PPL | $ | 27 | 1.7 years | |||||||||||
PPL Energy Supply | 13 | 1.8 years | ||||||||||||
PPL Electric | 3 | 1.8 years | ||||||||||||
LKE | 2 | 1.3 years |
Retirement_and_Postemployment_1
Retirement and Postemployment Benefits (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | The following table provides the components of net periodic defined benefit costs for PPL's domestic (U.S.) and WPD’s (U.K.) pension and other postretirement benefit plans for the years ended December 31. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 102 | $ | 126 | $ | 103 | $ | 71 | $ | 69 | $ | 54 | $ | 12 | $ | 14 | $ | 12 | ||||||||||||
Interest cost | 233 | 213 | 220 | 354 | 320 | 340 | 32 | 29 | 31 | |||||||||||||||||||||
Expected return on plan assets | -298 | -293 | -259 | -521 | -465 | -458 | -26 | -25 | -23 | |||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition (asset) obligation | 2 | |||||||||||||||||||||||||||||
Prior service cost (credit) | 20 | 22 | 24 | 1 | 4 | 1 | ||||||||||||||||||||||||
Actuarial (gain) loss | 30 | 80 | 42 | 132 | 150 | 79 | 1 | 6 | 4 | |||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits) prior to settlement charges, | ||||||||||||||||||||||||||||||
curtailment charges (credits) | ||||||||||||||||||||||||||||||
and termination benefits | 87 | 148 | 130 | 36 | 75 | 19 | 19 | 24 | 27 | |||||||||||||||||||||
Settlement charges | 11 | |||||||||||||||||||||||||||||
Curtailment charges (credits) | -1 | |||||||||||||||||||||||||||||
Termination benefits (a) | 13 | 3 | 2 | |||||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits) | $ | 100 | $ | 148 | $ | 141 | $ | 36 | $ | 78 | $ | 21 | $ | 18 | $ | 24 | $ | 27 | ||||||||||||
Other Changes in Plan Assets | ||||||||||||||||||||||||||||||
and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in OCI and | ||||||||||||||||||||||||||||||
Regulatory Assets/Liabilities - | ||||||||||||||||||||||||||||||
Gross: | ||||||||||||||||||||||||||||||
Curtailments | $ | 1 | ||||||||||||||||||||||||||||
Settlements | $ | -11 | ||||||||||||||||||||||||||||
Net (gain) loss | $ | 600 | $ | -319 | 372 | $ | 354 | $ | 76 | $ | 1,073 | 21 | $ | -68 | $ | 13 | ||||||||||||||
Prior service cost | ||||||||||||||||||||||||||||||
(credit) | -8 | 7 | -3 | -1 | ||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition asset (obligation) | -2 | |||||||||||||||||||||||||||||
Prior service (cost) credit | -20 | -22 | -24 | -1 | -4 | -1 | ||||||||||||||||||||||||
Actuarial gain (loss) | -30 | -80 | -42 | -132 | -150 | -79 | -1 | -6 | -4 | |||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (b) | 542 | -421 | 295 | 222 | -75 | 990 | 28 | -77 | 5 | |||||||||||||||||||||
Total recognized in net periodic | ||||||||||||||||||||||||||||||
defined benefit costs, OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (b) | $ | 642 | $ | -273 | $ | 436 | $ | 258 | $ | 3 | $ | 1,011 | $ | 46 | $ | -53 | $ | 32 | ||||||||||||
(a) See Note 13 for details of a one-time voluntary retirement window offered to certain bargaining unit employees in 2014. 2013 and 2012 amounts are related to the WPD Midlands separations in the U.K. | ||||||||||||||||||||||||||||||
(b) WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP. As a result, WPD does not record regulatory assets/liabilities. | ||||||||||||||||||||||||||||||
Schedule of Amounts Recognized in Other Comprehensive Income and Regulatory Assets and Liabilities | For PPL's U.S. pension benefits and for other postretirement benefits, the amounts recognized in OCI and regulatory assets/liabilities for the years ended December 31 were as follows: | |||||||||||||||||||||||||||||
U.S. Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
OCI | $ | 343 | $ | -228 | $ | 181 | $ | 7 | $ | -41 | $ | 12 | ||||||||||||||||||
Regulatory assets/liabilities | 199 | -193 | 114 | 21 | -36 | -7 | ||||||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | $ | 542 | $ | -421 | $ | 295 | $ | 28 | $ | -77 | $ | 5 | ||||||||||||||||||
Schedule of Amounts to be Amortized from AOCI and Regulatory Assets/Liabilities in Next Fiscal Year | The estimated amounts to be amortized from AOCI and regulatory assets/liabilities into net periodic defined benefit costs in 2015 are as follows: | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | |||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 7 | ||||||||||||||||||||||||||||
Actuarial (gain) loss | 100 | $ | 162 | |||||||||||||||||||||||||||
Total | $ | 107 | $ | 162 | ||||||||||||||||||||||||||
Amortization from Balance Sheet: | ||||||||||||||||||||||||||||||
AOCI | $ | 49 | $ | 162 | ||||||||||||||||||||||||||
Regulatory assets/liabilities | 58 | |||||||||||||||||||||||||||||
Total | $ | 107 | $ | 162 | ||||||||||||||||||||||||||
Schedule of Net Periodic Defined Benefit Costs Included in Income Statement | The following net periodic defined benefit costs (credits) were charged to operating expense, excluding amounts charged to construction and other non-expense accounts. The U.K. pension benefits apply to PPL only. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | $ | 84 | $ | 117 | $ | 119 | $ | -9 | $ | 33 | $ | 25 | $ | 13 | $ | 19 | $ | 22 | ||||||||||||
PPL Energy Supply | 39 | 45 | 37 | 3 | 6 | 6 | ||||||||||||||||||||||||
PPL Electric (a) | 12 | 18 | 19 | 2 | 3 | 3 | ||||||||||||||||||||||||
LKE | 17 | 32 | 31 | 7 | 8 | 9 | ||||||||||||||||||||||||
LG&E | 5 | 14 | 13 | 4 | 4 | 5 | ||||||||||||||||||||||||
KU (a) | 3 | 9 | 8 | 2 | 2 | 3 | ||||||||||||||||||||||||
(a) PPL Electric and KU do not directly sponsor any defined benefit plans. PPL Electric and KU were allocated these costs of defined benefit plans sponsored by PPL Services (for PPL Electric) and by LKE (for KU), based on their participation in those plans, which management believes are reasonable. | ||||||||||||||||||||||||||||||
Defined Benefit Plan Assumptions and Impact of One Point Change on Postretirement Plans | The following weighted-average assumptions were used in the valuation of the benefit obligations at December 31. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.12% | 3.85% | 4.41% | 4.08% | 4.91% | ||||||||||||||||||||||||
Rate of compensation increase | 3.92% | 3.97% | 4.00% | 4.00% | 3.86% | 3.96% | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 4.28% | 5.18% | 3.81% | 4.51% | ||||||||||||||||||||||||||
Rate of compensation increase | 4.03% | 3.94% | 4.03% | 3.94% | ||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.18% | 4.06% | 4.91% | ||||||||||||||||||||||||||
Rate of compensation increase | 3.50% | 4.00% | 3.50% | 4.00% | ||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 4.20% | 5.13% | ||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 5.12% | 4.22% | 5.06% | 4.41% | 4.27% | 5.24% | 4.91% | 4.00% | 4.80% | |||||||||||||||||||||
Rate of compensation increase | 3.97% | 3.98% | 4.02% | 4.00% | 4.00% | 4.00% | 3.96% | 3.97% | 4.00% | |||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.03% | 7.07% | 7.19% | 7.16% | 7.17% | 5.96% | 5.94% | 5.99% | |||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.25% | 5.12% | 4.51% | 3.77% | 4.60% | ||||||||||||||||||||||||
Rate of compensation increase | 3.94% | 3.95% | 4.00% | 3.94% | 3.95% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.00% | 7.00% | N/A | N/A | N/A | ||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.24% | 5.09% | 4.91% | 3.99% | 4.78% | ||||||||||||||||||||||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | 6.75% | 6.76% | 7.02% | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 5.13% | 4.20% | 5.00% | |||||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | |||||||||||||||||||||||||||
(a) The expected long-term rates of return for pension and other postretirement benefits are based on management's projections using a best-estimate of expected returns, volatilities and correlations for each asset class. Each plan's specific current and expected asset allocations are also considered in developing a reasonable return assumption. | ||||||||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | ||||||||||||||||||||||||||||||
The following table provides the assumed health care cost trend rates for the years ended December 31: | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL, PPL Energy Supply and LKE | ||||||||||||||||||||||||||||||
Health care cost trend rate assumed for next year | ||||||||||||||||||||||||||||||
- obligations | 7.20% | 7.60% | 8.00% | |||||||||||||||||||||||||||
- cost | 7.60% | 8.00% | 8.50% | |||||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | ||||||||||||||||||||||||||||||
- obligations | 5.00% | 5.00% | 5.50% | |||||||||||||||||||||||||||
- cost | 5.00% | 5.50% | 5.50% | |||||||||||||||||||||||||||
Year that the rate reaches the ultimate trend rate | ||||||||||||||||||||||||||||||
- obligations | 2020 | 2020 | 2019 | |||||||||||||||||||||||||||
- cost | 2020 | 2019 | 2019 | |||||||||||||||||||||||||||
A one percentage point change in the assumed health care costs trend rate assumption would have had the following effects on the other postretirement benefit plans in 2014: | ||||||||||||||||||||||||||||||
One Percentage Point | ||||||||||||||||||||||||||||||
Increase | Decrease | |||||||||||||||||||||||||||||
Effect on accumulated postretirement benefit obligation | ||||||||||||||||||||||||||||||
PPL | $ | 5 | $ | -5 | ||||||||||||||||||||||||||
LKE | 4 | -4 | ||||||||||||||||||||||||||||
Schedule of Funded Status of Defined Benefit Plans | The funded status of PPL's plans at December 31 was as follows: | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 4,591 | $ | 5,046 | $ | 8,143 | $ | 7,888 | $ | 662 | $ | 722 | ||||||||||||||||||
Service cost | 102 | 126 | 71 | 69 | 12 | 14 | ||||||||||||||||||||||||
Interest cost | 233 | 213 | 354 | 320 | 32 | 29 | ||||||||||||||||||||||||
Participant contributions | 16 | 15 | 12 | 12 | ||||||||||||||||||||||||||
Plan amendments | -7 | 6 | -4 | |||||||||||||||||||||||||||
Actuarial (gain) loss | 925 | -540 | 747 | 46 | 58 | -54 | ||||||||||||||||||||||||
Curtailments | -1 | |||||||||||||||||||||||||||||
Termination benefits | 13 | 3 | ||||||||||||||||||||||||||||
Gross benefits paid (a) | -248 | -254 | -411 | -375 | -56 | -57 | ||||||||||||||||||||||||
Federal subsidy | 1 | |||||||||||||||||||||||||||||
Currency conversion | -397 | 177 | ||||||||||||||||||||||||||||
Benefit Obligation, end of period | 5,609 | 4,591 | 8,523 | 8,143 | 726 | 662 | ||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of period | 4,156 | 3,939 | 7,284 | 6,911 | 446 | 421 | ||||||||||||||||||||||||
Actual return on plan assets | 622 | 72 | 895 | 438 | 62 | 37 | ||||||||||||||||||||||||
Employer contributions | 102 | 399 | 311 | 134 | 16 | 30 | ||||||||||||||||||||||||
Participant contributions | 16 | 15 | 12 | 12 | ||||||||||||||||||||||||||
Gross benefits paid (a) | -248 | -254 | -411 | -375 | -52 | -54 | ||||||||||||||||||||||||
Currency conversion | -361 | 161 | ||||||||||||||||||||||||||||
Plan assets at fair value, end of period | 4,632 | 4,156 | 7,734 | 7,284 | 484 | 446 | ||||||||||||||||||||||||
Funded Status, end of period | $ | -977 | $ | -435 | $ | -789 | $ | -859 | $ | -242 | $ | -216 | ||||||||||||||||||
Amounts recognized in the Balance | ||||||||||||||||||||||||||||||
Sheets consist of: | ||||||||||||||||||||||||||||||
Noncurrent asset | $ | 1 | ||||||||||||||||||||||||||||
Current liability | $ | -10 | $ | -8 | $ | -1 | -4 | $ | -1 | |||||||||||||||||||||
Noncurrent liability | -967 | -427 | -788 | $ | -859 | -239 | -215 | |||||||||||||||||||||||
Net amount recognized, end of period | $ | -977 | $ | -435 | $ | -789 | $ | -859 | $ | -242 | $ | -216 | ||||||||||||||||||
Amounts recognized in AOCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (pre-tax) | ||||||||||||||||||||||||||||||
consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 41 | $ | 69 | $ | -4 | $ | -11 | ||||||||||||||||||||||
Net actuarial (gain) loss | 1,412 | 842 | $ | 2,334 | $ | 2,112 | 54 | 33 | ||||||||||||||||||||||
Total (b) | $ | 1,453 | $ | 911 | $ | 2,334 | $ | 2,112 | $ | 50 | $ | 22 | ||||||||||||||||||
Total accumulated benefit obligation | ||||||||||||||||||||||||||||||
for defined benefit pension plans | $ | 5,156 | $ | 4,191 | $ | 7,867 | $ | 7,542 | ||||||||||||||||||||||
(a) Certain U.S. pension plans offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump sum payment. Gross benefits paid includes $33 million and $64 million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | ||||||||||||||||||||||||||||||
(b) WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP. As a result, WPD does not record regulatory assets/liabilities. | ||||||||||||||||||||||||||||||
For PPL's U.S. pension and other postretirement benefit plans, the amounts recognized in AOCI and regulatory assets/liabilities at December 31 were as follows: | ||||||||||||||||||||||||||||||
U.S. Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
AOCI | $ | 773 | $ | 430 | $ | 26 | $ | 19 | ||||||||||||||||||||||
Regulatory assets/liabilities | 680 | 481 | 24 | 3 | ||||||||||||||||||||||||||
Total | $ | 1,453 | $ | 911 | $ | 50 | $ | 22 | ||||||||||||||||||||||
Schedule of Projected or Accumulated Benefit Obligations In Excess of Plan Assets | The following tables provide information on pension plans where the projected benefit obligation (PBO) or accumulated benefit obligation (ABO) exceed the fair value of plan assets: | |||||||||||||||||||||||||||||
U.S. | U.K. | |||||||||||||||||||||||||||||
PBO in excess of plan assets | PBO in excess of plan assets | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Projected benefit obligation | $ | 5,609 | $ | 4,591 | $ | 8,523 | $ | 8,143 | ||||||||||||||||||||||
Fair value of plan assets | 4,632 | 4,156 | 7,734 | 7,284 | ||||||||||||||||||||||||||
U.S. | U.K. | |||||||||||||||||||||||||||||
ABO in excess of plan assets | ABO in excess of plan assets | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Accumulated benefit obligation | $ | 5,156 | $ | 572 | $ | 3,592 | $ | 3,441 | ||||||||||||||||||||||
Fair value of plan assets | 4,632 | 431 | 3,321 | 3,131 | ||||||||||||||||||||||||||
Contributions Made to Multiemployer Plans | The table below details total contributions to all multiemployer pension and other postretirement plans, including the plan identified as significant above. | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Pension Plans | $ | 40 | $ | 36 | $ | 31 | ||||||||||||||||||||||||
Other Postretirement Benefit Plans | 33 | 32 | 28 | |||||||||||||||||||||||||||
Total Contributions | $ | 73 | $ | 68 | $ | 59 | ||||||||||||||||||||||||
Schedules of Asset Allocation of U.S. Pension Trusts Assets | The asset allocation for the trust and the target allocation by portfolio at December 31 are as follows: | |||||||||||||||||||||||||||||
2014 Target Asset Allocation (a) | ||||||||||||||||||||||||||||||
Percentage of trust assets | Weighted | |||||||||||||||||||||||||||||
2014 (a) | 2013 | Average | PPL Plans | LKE Plans | ||||||||||||||||||||||||||
Growth Portfolio | 51% | 59% | 52% | 52% | 52% | |||||||||||||||||||||||||
Equity securities | 26% | 30% | ||||||||||||||||||||||||||||
Debt securities (b) | 13% | 17% | ||||||||||||||||||||||||||||
Alternative investments | 12% | 12% | ||||||||||||||||||||||||||||
Immunizing Portfolio | 47% | 39% | 46% | 46% | 46% | |||||||||||||||||||||||||
Debt securities (b) | 44% | 40% | ||||||||||||||||||||||||||||
Derivatives | 3% | -1% | ||||||||||||||||||||||||||||
Liquidity Portfolio | 2% | 2% | 2% | 2% | 2% | |||||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | 100% | |||||||||||||||||||||||||
(a) Allocations exclude consideration of cash for the WKE Bargaining Employees' Retirement Plan and a group annuity contract held by the LG&E and KU Retirement Plan. | ||||||||||||||||||||||||||||||
(b) Includes commingled debt funds, which PPL treats as debt securities for asset allocation purposes. | ||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.S. Pension Plan Assets | The fair value of net assets in the Master Trust by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 246 | $ | 246 | $ | 120 | $ | 120 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S.: | ||||||||||||||||||||||||||||||
Large-cap | 432 | 114 | $ | 318 | 480 | 134 | $ | 346 | ||||||||||||||||||||||
Small-cap | 145 | 145 | 137 | 137 | ||||||||||||||||||||||||||
International | 615 | 615 | 630 | 163 | 467 | |||||||||||||||||||||||||
Commingled debt | 818 | 818 | 749 | 13 | 736 | |||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 723 | 706 | 17 | 617 | 563 | 54 | ||||||||||||||||||||||||
Residential/commercial backed securities | 2 | 2 | 12 | 11 | $ | 1 | ||||||||||||||||||||||||
Corporate | 1,109 | 1,088 | $ | 21 | 963 | 940 | 23 | |||||||||||||||||||||||
International government | 8 | 8 | 7 | 7 | ||||||||||||||||||||||||||
Other | 9 | 9 | 24 | 24 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Commodities | 90 | 90 | 108 | 108 | ||||||||||||||||||||||||||
Real estate | 148 | 148 | 134 | 134 | ||||||||||||||||||||||||||
Private equity | 104 | 104 | 80 | 80 | ||||||||||||||||||||||||||
Hedge funds | 223 | 223 | 210 | 210 | ||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||
Interest rate swaps and swaptions | 92 | 92 | -49 | -49 | ||||||||||||||||||||||||||
Other | 12 | 12 | 12 | 12 | ||||||||||||||||||||||||||
Insurance contracts | 33 | 33 | 37 | 37 | ||||||||||||||||||||||||||
PPL Services Corporation Master Trust assets, at | ||||||||||||||||||||||||||||||
fair value | 4,809 | $ | 1,211 | $ | 3,440 | $ | 158 | 4,271 | $ | 1,130 | $ | 3,000 | $ | 141 | ||||||||||||||||
Receivables and payables, net (a) | -41 | |||||||||||||||||||||||||||||
401(h) accounts restricted for other | ||||||||||||||||||||||||||||||
postretirement benefit obligations | -136 | -115 | ||||||||||||||||||||||||||||
Total PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
pension assets | $ | 4,632 | $ | 4,156 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Reconciliation of U.S. Pension Trust Assets Classified as Level 3 Included in Earnings | A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2014 is as follows: | |||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | |||||||||||||||||||||||||||
securities | debt | equity | contracts | Total | ||||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | 141 | ||||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | -1 | -1 | 19 | 1 | 18 | |||||||||||||||||||||||||
Relating to assets sold during the period | -1 | -1 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | 5 | -5 | ||||||||||||||||||||||||||||
Balance at end of period | $ | $ | 21 | $ | 104 | $ | 33 | $ | 158 | |||||||||||||||||||||
A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2013 is as follows: | ||||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | Other | ||||||||||||||||||||||||||
securities | debt | equity | contracts | debt | Total | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 27 | $ | 75 | $ | 42 | $ | 1 | $ | 146 | ||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | 3 | 2 | 5 | |||||||||||||||||||||||||||
Relating to assets sold during the period | 5 | 5 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | -9 | 2 | -7 | -14 | ||||||||||||||||||||||||||
Transfers from level 3 to level 2 | -1 | -1 | ||||||||||||||||||||||||||||
Balance at end of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | $ | 141 | |||||||||||||||||||
Schedules of Target Allocation of U.S. Other Postretirement Benefit Plans VEBA Trust | The asset allocation for the PPL VEBA trusts, excluding LKE, and the target allocation, by asset class, at December 31 are detailed below. | |||||||||||||||||||||||||||||
Target Asset | ||||||||||||||||||||||||||||||
Percentage of plan assets | Allocation | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | ||||||||||||||||||||||||||||
Asset Class | ||||||||||||||||||||||||||||||
U.S. Equity securities | 49% | 55% | 45% | |||||||||||||||||||||||||||
Debt securities (a) | 49% | 41% | 50% | |||||||||||||||||||||||||||
Cash and cash equivalents (b) | 2% | 4% | 5% | |||||||||||||||||||||||||||
Total | 100% | 100% | 100% | |||||||||||||||||||||||||||
(a) Includes commingled debt funds and debt securities. | ||||||||||||||||||||||||||||||
(b) Includes money market funds. | ||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.S. Postretirement Benefits | The fair value of assets in the U.S. other postretirement benefit plans by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurement Using | Fair Value Measurement Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
Money market funds | $ | 9 | $ | 9 | $ | 12 | $ | 12 | ||||||||||||||||||||||
U.S. Equity securities: | ||||||||||||||||||||||||||||||
Large-cap | 169 | $ | 169 | 182 | $ | 182 | ||||||||||||||||||||||||
Commingled debt | 136 | 136 | 100 | 100 | ||||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
Municipalities | 33 | 33 | 36 | 36 | ||||||||||||||||||||||||||
Total VEBA trust assets, at fair value | 347 | $ | 9 | $ | 338 | 330 | $ | 12 | $ | 318 | ||||||||||||||||||||
Receivables and payables, net (a) | 1 | 1 | ||||||||||||||||||||||||||||
401(h) account assets | 136 | 115 | ||||||||||||||||||||||||||||
Total other postretirement benefit plan | ||||||||||||||||||||||||||||||
assets | $ | 484 | $ | 446 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Schedules of Asset Allocation of U.K. Pension Plan Assets | The asset allocation and target allocation at December 31 of WPD's pension plans are detailed below. | |||||||||||||||||||||||||||||
Target Asset | ||||||||||||||||||||||||||||||
Percentage of plan assets | Allocation | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | ||||||||||||||||||||||||||||
Asset Class | ||||||||||||||||||||||||||||||
Cash and cash equivalents | 1% | |||||||||||||||||||||||||||||
Equity securities | ||||||||||||||||||||||||||||||
U.K. | 3% | 7% | 3% | |||||||||||||||||||||||||||
European (excluding the U.K.) | 3% | 5% | 3% | |||||||||||||||||||||||||||
Asian-Pacific | 2% | 3% | 2% | |||||||||||||||||||||||||||
North American | 3% | 5% | 3% | |||||||||||||||||||||||||||
Emerging markets | 9% | 8% | 9% | |||||||||||||||||||||||||||
Currency | 2% | 7% | 3% | |||||||||||||||||||||||||||
Global Tactical Asset Allocation | 29% | 19% | 30% | |||||||||||||||||||||||||||
Debt securities (a) | 42% | 40% | 41% | |||||||||||||||||||||||||||
Alternative investments | 6% | 6% | 6% | |||||||||||||||||||||||||||
Total | 100% | 100% | 100% | |||||||||||||||||||||||||||
(a) Includes commingled debt funds. | ||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.K. Pension Plan Assets | The fair value of assets in the U.K. pension plans by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurement Using | Fair Value Measurement Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
Cash and cash equivalents | $ | 57 | $ | 57 | $ | 10 | $ | 10 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.K. companies | 239 | $ | 239 | 523 | 267 | $ | 256 | |||||||||||||||||||||||
European companies (excluding the U.K.) | 198 | 198 | 355 | 275 | 80 | |||||||||||||||||||||||||
Asian-Pacific companies | 142 | 142 | 226 | 180 | 46 | |||||||||||||||||||||||||
North American companies | 227 | 227 | 352 | 254 | 98 | |||||||||||||||||||||||||
Emerging markets companies | 309 | 309 | 411 | 126 | 285 | |||||||||||||||||||||||||
Global Equities | 397 | 397 | 161 | 161 | ||||||||||||||||||||||||||
Currency | 190 | 190 | 485 | 485 | ||||||||||||||||||||||||||
Global Tactical Asset Allocation | 2,263 | 2,263 | 1,384 | 1,384 | ||||||||||||||||||||||||||
Commingled debt: | ||||||||||||||||||||||||||||||
U.K. corporate bonds | 436 | 436 | 504 | 504 | ||||||||||||||||||||||||||
U.K. gilts | 2,840 | 2,840 | 2,426 | 2,426 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Real estate | 436 | 436 | 447 | 447 | ||||||||||||||||||||||||||
Fair value - U.K. pension plans | $ | 7,734 | $ | 57 | $ | 7,677 | $ | 7,284 | $ | 1,112 | $ | 6,172 | ||||||||||||||||||
Schedule of Expected Cash Flows - U.S. Defined Benefit Plans - Expected Payments and Related Federal Subsidy | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans and the following federal subsidy payments are expected to be received by PPL. | |||||||||||||||||||||||||||||
Other Postretirement | ||||||||||||||||||||||||||||||
Expected | ||||||||||||||||||||||||||||||
Benefit | Federal | |||||||||||||||||||||||||||||
Pension | Payment | Subsidy | ||||||||||||||||||||||||||||
2015 | $ | 268 | $ | 54 | $ | 1 | ||||||||||||||||||||||||
2016 | 279 | 56 | 1 | |||||||||||||||||||||||||||
2017 | 294 | 58 | 1 | |||||||||||||||||||||||||||
2018 | 308 | 60 | 1 | |||||||||||||||||||||||||||
2019 | 323 | 62 | 1 | |||||||||||||||||||||||||||
2020-2024 | 1,749 | 326 | 3 | |||||||||||||||||||||||||||
Schedule of Expected Cash Flows - U.K. Pension Plans - Expected Payments | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans. | |||||||||||||||||||||||||||||
Pension | ||||||||||||||||||||||||||||||
2015 | $ | 386 | ||||||||||||||||||||||||||||
2016 | 391 | |||||||||||||||||||||||||||||
2017 | 395 | |||||||||||||||||||||||||||||
2018 | 403 | |||||||||||||||||||||||||||||
2019 | 409 | |||||||||||||||||||||||||||||
2020-2024 | 2,118 | |||||||||||||||||||||||||||||
Expected Employer Contributions to U.S. Savings Plans | Substantially all employees of PPL's domestic subsidiaries are eligible to participate in deferred savings plans (401(k)s). Employer contributions to the plans were: | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL | $ | 47 | $ | 41 | $ | 36 | ||||||||||||||||||||||||
PPL Energy Supply | 14 | 12 | 12 | |||||||||||||||||||||||||||
PPL Electric | 6 | 6 | 5 | |||||||||||||||||||||||||||
LKE | 15 | 13 | 12 | |||||||||||||||||||||||||||
LG&E | 5 | 7 | 6 | |||||||||||||||||||||||||||
KU | 4 | 6 | 6 | |||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | The following table provides the components of net periodic defined benefit costs for PPL Energy Supply's pension and other postretirement benefit plans for the years ended December 31. | |||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 5 | $ | 7 | $ | 6 | $ | 1 | $ | 1 | ||||||||||||||||||||
Interest cost | 9 | 8 | 7 | $ | 1 | 1 | ||||||||||||||||||||||||
Expected return on plan assets | -11 | -10 | -9 | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Actuarial (gain) loss | 2 | 3 | 2 | |||||||||||||||||||||||||||
Curtailment charges (credits) | -1 | |||||||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits) | $ | 5 | $ | 8 | $ | 6 | $ | $ | 1 | $ | 2 | |||||||||||||||||||
Other Changes in Plan Assets | ||||||||||||||||||||||||||||||
and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in OCI: | ||||||||||||||||||||||||||||||
Curtailments | $ | 1 | ||||||||||||||||||||||||||||
Net (gain) loss | $ | 26 | $ | -15 | $ | 16 | -1 | $ | -1 | |||||||||||||||||||||
Prior service cost (credit) | -3 | $ | -1 | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Actuarial gain (loss) | -2 | -3 | -2 | |||||||||||||||||||||||||||
Total recognized in OCI | 24 | -18 | 14 | -4 | -1 | |||||||||||||||||||||||||
Total recognized in net periodic | ||||||||||||||||||||||||||||||
defined benefit costs and OCI | $ | 29 | $ | -10 | $ | 20 | $ | $ | -3 | $ | 1 | |||||||||||||||||||
Schedule of Net Periodic Defined Benefit Costs Included in Income Statement | In the table above, for PPL Energy Supply and LG&E, amounts include costs for the specific plans each sponsors and the following allocated costs of defined benefit plans sponsored by PPL Services (for PPL Energy Supply) and by LKE (for LG&E), based on their participation in those plans, which management believes are reasonable: | |||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
PPL Energy Supply | $ | 34 | $ | 38 | $ | 31 | $ | 3 | $ | 5 | $ | 5 | ||||||||||||||||||
LG&E | 2 | 5 | 5 | 4 | 4 | 5 | ||||||||||||||||||||||||
Defined Benefit Plan Assumptions and Impact of One Point Change on Postretirement Plans | The following weighted-average assumptions were used in the valuation of the benefit obligations at December 31. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.12% | 3.85% | 4.41% | 4.08% | 4.91% | ||||||||||||||||||||||||
Rate of compensation increase | 3.92% | 3.97% | 4.00% | 4.00% | 3.86% | 3.96% | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 4.28% | 5.18% | 3.81% | 4.51% | ||||||||||||||||||||||||||
Rate of compensation increase | 4.03% | 3.94% | 4.03% | 3.94% | ||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.18% | 4.06% | 4.91% | ||||||||||||||||||||||||||
Rate of compensation increase | 3.50% | 4.00% | 3.50% | 4.00% | ||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 4.20% | 5.13% | ||||||||||||||||||||||||||||
The following weighted-average assumptions were used to determine the net periodic defined benefit costs for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 5.12% | 4.22% | 5.06% | 4.41% | 4.27% | 5.24% | 4.91% | 4.00% | 4.80% | |||||||||||||||||||||
Rate of compensation increase | 3.97% | 3.98% | 4.02% | 4.00% | 4.00% | 4.00% | 3.96% | 3.97% | 4.00% | |||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.03% | 7.07% | 7.19% | 7.16% | 7.17% | 5.96% | 5.94% | 5.99% | |||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.25% | 5.12% | 4.51% | 3.77% | 4.60% | ||||||||||||||||||||||||
Rate of compensation increase | 3.94% | 3.95% | 4.00% | 3.94% | 3.95% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.00% | 7.00% | N/A | N/A | N/A | ||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.24% | 5.09% | 4.91% | 3.99% | 4.78% | ||||||||||||||||||||||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | 6.75% | 6.76% | 7.02% | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 5.13% | 4.20% | 5.00% | |||||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | |||||||||||||||||||||||||||
(a) The expected long-term rates of return for pension and other postretirement benefits are based on management's projections using a best-estimate of expected returns, volatilities and correlations for each asset class. Each plan's specific current and expected asset allocations are also considered in developing a reasonable return assumption. | ||||||||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | ||||||||||||||||||||||||||||||
The following table provides the assumed health care cost trend rates for the years ended December 31: | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL, PPL Energy Supply and LKE | ||||||||||||||||||||||||||||||
Health care cost trend rate assumed for next year | ||||||||||||||||||||||||||||||
- obligations | 7.20% | 7.60% | 8.00% | |||||||||||||||||||||||||||
- cost | 7.60% | 8.00% | 8.50% | |||||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | ||||||||||||||||||||||||||||||
- obligations | 5.00% | 5.00% | 5.50% | |||||||||||||||||||||||||||
- cost | 5.00% | 5.50% | 5.50% | |||||||||||||||||||||||||||
Year that the rate reaches the ultimate trend rate | ||||||||||||||||||||||||||||||
- obligations | 2020 | 2020 | 2019 | |||||||||||||||||||||||||||
- cost | 2020 | 2019 | 2019 | |||||||||||||||||||||||||||
Schedule of Funded Status of Defined Benefit Plans | (PPL Energy Supply) | |||||||||||||||||||||||||||||
The funded status of PPL Energy Supply's plans at December 31 was as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 163 | $ | 176 | $ | 12 | $ | 17 | ||||||||||||||||||||||
Service cost | 5 | 7 | 1 | |||||||||||||||||||||||||||
Interest cost | 9 | 8 | 1 | |||||||||||||||||||||||||||
Plan amendments | -4 | |||||||||||||||||||||||||||||
Actuarial (gain) loss | 38 | -23 | -1 | -1 | ||||||||||||||||||||||||||
Curtailments | -1 | |||||||||||||||||||||||||||||
Gross benefits paid | -5 | -5 | -1 | -1 | ||||||||||||||||||||||||||
Benefit Obligation, end of period | 210 | 163 | 10 | 12 | ||||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of | ||||||||||||||||||||||||||||||
period | 147 | 149 | ||||||||||||||||||||||||||||
Actual return on plan assets | 22 | 3 | ||||||||||||||||||||||||||||
Employer contributions | 6 | 1 | 1 | |||||||||||||||||||||||||||
Gross benefits paid | -5 | -5 | -1 | -1 | ||||||||||||||||||||||||||
Plan assets at fair value, end of period | 170 | 147 | ||||||||||||||||||||||||||||
Funded Status, end of period | $ | -40 | $ | -16 | $ | -10 | $ | -12 | ||||||||||||||||||||||
Amounts recognized in the Balance | ||||||||||||||||||||||||||||||
Sheets consist of: | ||||||||||||||||||||||||||||||
Current liability | $ | -1 | $ | -1 | ||||||||||||||||||||||||||
Noncurrent liability | $ | -40 | $ | -16 | -9 | -11 | ||||||||||||||||||||||||
Net amount recognized, end of period | $ | -40 | $ | -16 | $ | -10 | $ | -12 | ||||||||||||||||||||||
Amounts recognized in AOCI | ||||||||||||||||||||||||||||||
(pre-tax) consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | -4 | $ | -5 | ||||||||||||||||||||||||||
Net actuarial (gain) loss | $ | 59 | $ | 34 | 1 | |||||||||||||||||||||||||
Total | $ | 59 | $ | 34 | $ | -4 | $ | -4 | ||||||||||||||||||||||
Total accumulated benefit obligation | ||||||||||||||||||||||||||||||
for defined benefit pension plans | $ | 210 | $ | 163 | ||||||||||||||||||||||||||
Allocations to PPL Energy Supply resulted in liabilities at December 31 as follows: | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 259 | $ | 96 | ||||||||||||||||||||||||||
Other postretirement benefits | 34 | 35 | ||||||||||||||||||||||||||||
Contributions Made to Multiemployer Plans | The table below details total contributions to all multiemployer pension and other postretirement plans, including the plan identified as significant above. | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Pension Plans | $ | 40 | $ | 36 | $ | 31 | ||||||||||||||||||||||||
Other Postretirement Benefit Plans | 33 | 32 | 28 | |||||||||||||||||||||||||||
Total Contributions | $ | 73 | $ | 68 | $ | 59 | ||||||||||||||||||||||||
Schedules of Asset Allocation of U.S. Pension Trusts Assets | The asset allocation for the trust and the target allocation by portfolio at December 31 are as follows: | |||||||||||||||||||||||||||||
2014 Target Asset Allocation (a) | ||||||||||||||||||||||||||||||
Percentage of trust assets | Weighted | |||||||||||||||||||||||||||||
2014 (a) | 2013 | Average | PPL Plans | LKE Plans | ||||||||||||||||||||||||||
Growth Portfolio | 51% | 59% | 52% | 52% | 52% | |||||||||||||||||||||||||
Equity securities | 26% | 30% | ||||||||||||||||||||||||||||
Debt securities (b) | 13% | 17% | ||||||||||||||||||||||||||||
Alternative investments | 12% | 12% | ||||||||||||||||||||||||||||
Immunizing Portfolio | 47% | 39% | 46% | 46% | 46% | |||||||||||||||||||||||||
Debt securities (b) | 44% | 40% | ||||||||||||||||||||||||||||
Derivatives | 3% | -1% | ||||||||||||||||||||||||||||
Liquidity Portfolio | 2% | 2% | 2% | 2% | 2% | |||||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | 100% | |||||||||||||||||||||||||
(a) Allocations exclude consideration of cash for the WKE Bargaining Employees' Retirement Plan and a group annuity contract held by the LG&E and KU Retirement Plan. | ||||||||||||||||||||||||||||||
(b) Includes commingled debt funds, which PPL treats as debt securities for asset allocation purposes. | ||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.S. Pension Plan Assets | The fair value of net assets in the Master Trust by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 246 | $ | 246 | $ | 120 | $ | 120 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S.: | ||||||||||||||||||||||||||||||
Large-cap | 432 | 114 | $ | 318 | 480 | 134 | $ | 346 | ||||||||||||||||||||||
Small-cap | 145 | 145 | 137 | 137 | ||||||||||||||||||||||||||
International | 615 | 615 | 630 | 163 | 467 | |||||||||||||||||||||||||
Commingled debt | 818 | 818 | 749 | 13 | 736 | |||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 723 | 706 | 17 | 617 | 563 | 54 | ||||||||||||||||||||||||
Residential/commercial backed securities | 2 | 2 | 12 | 11 | $ | 1 | ||||||||||||||||||||||||
Corporate | 1,109 | 1,088 | $ | 21 | 963 | 940 | 23 | |||||||||||||||||||||||
International government | 8 | 8 | 7 | 7 | ||||||||||||||||||||||||||
Other | 9 | 9 | 24 | 24 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Commodities | 90 | 90 | 108 | 108 | ||||||||||||||||||||||||||
Real estate | 148 | 148 | 134 | 134 | ||||||||||||||||||||||||||
Private equity | 104 | 104 | 80 | 80 | ||||||||||||||||||||||||||
Hedge funds | 223 | 223 | 210 | 210 | ||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||
Interest rate swaps and swaptions | 92 | 92 | -49 | -49 | ||||||||||||||||||||||||||
Other | 12 | 12 | 12 | 12 | ||||||||||||||||||||||||||
Insurance contracts | 33 | 33 | 37 | 37 | ||||||||||||||||||||||||||
PPL Services Corporation Master Trust assets, at | ||||||||||||||||||||||||||||||
fair value | 4,809 | $ | 1,211 | $ | 3,440 | $ | 158 | 4,271 | $ | 1,130 | $ | 3,000 | $ | 141 | ||||||||||||||||
Receivables and payables, net (a) | -41 | |||||||||||||||||||||||||||||
401(h) accounts restricted for other | ||||||||||||||||||||||||||||||
postretirement benefit obligations | -136 | -115 | ||||||||||||||||||||||||||||
Total PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
pension assets | $ | 4,632 | $ | 4,156 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Reconciliation of U.S. Pension Trust Assets Classified as Level 3 Included in Earnings | A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2014 is as follows: | |||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | |||||||||||||||||||||||||||
securities | debt | equity | contracts | Total | ||||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | 141 | ||||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | -1 | -1 | 19 | 1 | 18 | |||||||||||||||||||||||||
Relating to assets sold during the period | -1 | -1 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | 5 | -5 | ||||||||||||||||||||||||||||
Balance at end of period | $ | $ | 21 | $ | 104 | $ | 33 | $ | 158 | |||||||||||||||||||||
A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2013 is as follows: | ||||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | Other | ||||||||||||||||||||||||||
securities | debt | equity | contracts | debt | Total | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 27 | $ | 75 | $ | 42 | $ | 1 | $ | 146 | ||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | 3 | 2 | 5 | |||||||||||||||||||||||||||
Relating to assets sold during the period | 5 | 5 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | -9 | 2 | -7 | -14 | ||||||||||||||||||||||||||
Transfers from level 3 to level 2 | -1 | -1 | ||||||||||||||||||||||||||||
Balance at end of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | $ | 141 | |||||||||||||||||||
Schedule of Expected Cash Flows - U.S. Defined Benefit Plans - Expected Payments and Related Federal Subsidy | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans. | |||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||||
Pension | Postretirement | |||||||||||||||||||||||||||||
2015 | $ | 5 | $ | 1 | ||||||||||||||||||||||||||
2016 | 7 | 1 | ||||||||||||||||||||||||||||
2017 | 7 | 1 | ||||||||||||||||||||||||||||
2018 | 8 | 2 | ||||||||||||||||||||||||||||
2019 | 9 | 2 | ||||||||||||||||||||||||||||
2020-2024 | 58 | 9 | ||||||||||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||||||||||||||||
Schedule of Funded Status of Defined Benefit Plans | Allocations to PPL Electric resulted in liabilities at December 31 as follows. | |||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 212 | $ | 96 | ||||||||||||||||||||||||||
Other postretirement benefits | 40 | 41 | ||||||||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | The following table provides the components of net periodic defined benefit costs for LKE’s pension and other postretirement benefit plans for the years ended December 31. | |||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 21 | $ | 26 | $ | 22 | $ | 4 | $ | 5 | $ | 4 | ||||||||||||||||||
Interest cost | 66 | 62 | 64 | 9 | 8 | 9 | ||||||||||||||||||||||||
Expected return on plan assets | -82 | -82 | -70 | -4 | -5 | -4 | ||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition (asset) obligation | 2 | |||||||||||||||||||||||||||||
Prior service cost (credit) | 5 | 5 | 5 | 2 | 3 | 3 | ||||||||||||||||||||||||
Actuarial (gain) loss | 12 | 33 | 22 | -1 | -1 | |||||||||||||||||||||||||
Net periodic defined benefit costs | ||||||||||||||||||||||||||||||
(credit) | $ | 22 | $ | 44 | $ | 43 | $ | 10 | $ | 11 | $ | 13 | ||||||||||||||||||
Other Changes in Plan Assets | ||||||||||||||||||||||||||||||
and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in OCI and | ||||||||||||||||||||||||||||||
Regulatory Assets/Liabilities - | ||||||||||||||||||||||||||||||
Gross: | ||||||||||||||||||||||||||||||
Net (gain) loss | $ | 162 | $ | -116 | $ | 96 | $ | 26 | $ | -14 | $ | -11 | ||||||||||||||||||
Prior service cost (credit) | 23 | 6 | ||||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Transition asset (obligation) | -2 | |||||||||||||||||||||||||||||
Prior service (cost) credit | -5 | -5 | -5 | -2 | -3 | -3 | ||||||||||||||||||||||||
Actuarial gain (loss) | -12 | -33 | -22 | 1 | 1 | |||||||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | 168 | -154 | 69 | 31 | -17 | -15 | ||||||||||||||||||||||||
Total recognized in net periodic | ||||||||||||||||||||||||||||||
defined benefit costs, OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | $ | 190 | $ | -110 | $ | 112 | $ | 41 | $ | -6 | $ | -2 | ||||||||||||||||||
Schedule of Amounts Recognized in Other Comprehensive Income and Regulatory Assets and Liabilities | For LKE's pension and other postretirement benefits, the amounts recognized in OCI and regulatory assets/liabilities for the years ended December 31 were as follows: | |||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
OCI | $ | 84 | $ | -46 | $ | 34 | $ | 9 | $ | -1 | $ | -1 | ||||||||||||||||||
Regulatory assets/liabilities | 84 | -108 | 35 | 22 | -16 | -14 | ||||||||||||||||||||||||
Total recognized in OCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities | $ | 168 | $ | -154 | $ | 69 | $ | 31 | $ | -17 | $ | -15 | ||||||||||||||||||
Schedule of Amounts to be Amortized from AOCI and Regulatory Assets/Liabilities in Next Fiscal Year | The estimated amounts to be amortized from AOCI and regulatory assets/liabilities into net periodic defined benefit costs for LKE in 2015 are as follows. | |||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||||
Pension | Postretirement | |||||||||||||||||||||||||||||
Benefits | Benefits | |||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 7 | $ | 3 | ||||||||||||||||||||||||||
Actuarial (gain) loss | 34 | |||||||||||||||||||||||||||||
Total | $ | 41 | $ | 3 | ||||||||||||||||||||||||||
Amortization from Balance Sheet: | ||||||||||||||||||||||||||||||
AOCI | $ | 3 | $ | 1 | ||||||||||||||||||||||||||
Regulatory assets/liabilities | 38 | 2 | ||||||||||||||||||||||||||||
Total | $ | 41 | $ | 3 | ||||||||||||||||||||||||||
Defined Benefit Plan Assumptions and Impact of One Point Change on Postretirement Plans | The following weighted-average assumptions were used in the valuation of the benefit obligations at December 31. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.12% | 3.85% | 4.41% | 4.08% | 4.91% | ||||||||||||||||||||||||
Rate of compensation increase | 3.92% | 3.97% | 4.00% | 4.00% | 3.86% | 3.96% | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 4.28% | 5.18% | 3.81% | 4.51% | ||||||||||||||||||||||||||
Rate of compensation increase | 4.03% | 3.94% | 4.03% | 3.94% | ||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.18% | 4.06% | 4.91% | ||||||||||||||||||||||||||
Rate of compensation increase | 3.50% | 4.00% | 3.50% | 4.00% | ||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 4.20% | 5.13% | ||||||||||||||||||||||||||||
The following weighted-average assumptions were used to determine the net periodic defined benefit costs for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 5.12% | 4.22% | 5.06% | 4.41% | 4.27% | 5.24% | 4.91% | 4.00% | 4.80% | |||||||||||||||||||||
Rate of compensation increase | 3.97% | 3.98% | 4.02% | 4.00% | 4.00% | 4.00% | 3.96% | 3.97% | 4.00% | |||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.03% | 7.07% | 7.19% | 7.16% | 7.17% | 5.96% | 5.94% | 5.99% | |||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.25% | 5.12% | 4.51% | 3.77% | 4.60% | ||||||||||||||||||||||||
Rate of compensation increase | 3.94% | 3.95% | 4.00% | 3.94% | 3.95% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.00% | 7.00% | N/A | N/A | N/A | ||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.24% | 5.09% | 4.91% | 3.99% | 4.78% | ||||||||||||||||||||||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | 6.75% | 6.76% | 7.02% | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 5.13% | 4.20% | 5.00% | |||||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | |||||||||||||||||||||||||||
(a) The expected long-term rates of return for pension and other postretirement benefits are based on management's projections using a best-estimate of expected returns, volatilities and correlations for each asset class. Each plan's specific current and expected asset allocations are also considered in developing a reasonable return assumption. | ||||||||||||||||||||||||||||||
(PPL, PPL Energy Supply and LKE) | ||||||||||||||||||||||||||||||
The following table provides the assumed health care cost trend rates for the years ended December 31: | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL, PPL Energy Supply and LKE | ||||||||||||||||||||||||||||||
Health care cost trend rate assumed for next year | ||||||||||||||||||||||||||||||
- obligations | 7.20% | 7.60% | 8.00% | |||||||||||||||||||||||||||
- cost | 7.60% | 8.00% | 8.50% | |||||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | ||||||||||||||||||||||||||||||
- obligations | 5.00% | 5.00% | 5.50% | |||||||||||||||||||||||||||
- cost | 5.00% | 5.50% | 5.50% | |||||||||||||||||||||||||||
Year that the rate reaches the ultimate trend rate | ||||||||||||||||||||||||||||||
- obligations | 2020 | 2020 | 2019 | |||||||||||||||||||||||||||
- cost | 2020 | 2019 | 2019 | |||||||||||||||||||||||||||
A one percentage point change in the assumed health care costs trend rate assumption would have had the following effects on the other postretirement benefit plans in 2014: | ||||||||||||||||||||||||||||||
One Percentage Point | ||||||||||||||||||||||||||||||
Increase | Decrease | |||||||||||||||||||||||||||||
Effect on accumulated postretirement benefit obligation | ||||||||||||||||||||||||||||||
PPL | $ | 5 | $ | -5 | ||||||||||||||||||||||||||
LKE | 4 | -4 | ||||||||||||||||||||||||||||
Schedule of Funded Status of Defined Benefit Plans | The funded status of LKE's plans at December 31 was as follows: | |||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 1,328 | $ | 1,487 | $ | 193 | $ | 209 | ||||||||||||||||||||||
Service cost | 21 | 26 | 4 | 5 | ||||||||||||||||||||||||||
Interest cost | 66 | 62 | 9 | 8 | ||||||||||||||||||||||||||
Participant contributions | 7 | 7 | ||||||||||||||||||||||||||||
Plan amendments (a) | 23 | 6 | ||||||||||||||||||||||||||||
Actuarial (gain) loss | 253 | -177 | 32 | -18 | ||||||||||||||||||||||||||
Gross benefits paid (b) | -83 | -70 | -17 | -18 | ||||||||||||||||||||||||||
Benefit Obligation, end of period | 1,608 | 1,328 | 234 | 193 | ||||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of period | 1,173 | 1,070 | 74 | 68 | ||||||||||||||||||||||||||
Actual return on plan assets | 173 | 21 | 10 | 1 | ||||||||||||||||||||||||||
Employer contributions | 38 | 152 | 8 | 16 | ||||||||||||||||||||||||||
Participant contributions | 7 | 7 | ||||||||||||||||||||||||||||
Gross benefits paid (b) | -83 | -70 | -17 | -18 | ||||||||||||||||||||||||||
Plan assets at fair value, end of period | 1,301 | 1,173 | 82 | 74 | ||||||||||||||||||||||||||
Funded Status, end of period | $ | -307 | $ | -155 | $ | -152 | $ | -119 | ||||||||||||||||||||||
Amounts recognized in the Balance | ||||||||||||||||||||||||||||||
Sheets consist of: | ||||||||||||||||||||||||||||||
Noncurrent asset | $ | 2 | ||||||||||||||||||||||||||||
Current liability | $ | -3 | $ | -3 | -3 | |||||||||||||||||||||||||
Noncurrent liability | -304 | -152 | -151 | $ | -119 | |||||||||||||||||||||||||
Net amount recognized, end of period | $ | -307 | $ | -155 | $ | -152 | $ | -119 | ||||||||||||||||||||||
Amounts recognized in AOCI and | ||||||||||||||||||||||||||||||
regulatory assets/liabilities (pre-tax) | ||||||||||||||||||||||||||||||
consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 43 | $ | 24 | $ | 12 | $ | 8 | ||||||||||||||||||||||
Net actuarial (gain) loss | 354 | 205 | -4 | -30 | ||||||||||||||||||||||||||
Total | $ | 397 | $ | 229 | $ | 8 | $ | -22 | ||||||||||||||||||||||
Total accumulated benefit obligation | ||||||||||||||||||||||||||||||
for defined benefit pension plans | $ | 1,461 | $ | 1,176 | ||||||||||||||||||||||||||
(a) The plans were amended in December 2014 to enhance the early retirement factors for all plan participants retiring on or after January 1, 2015. These modifications resulted in an increase of $23 million in the plans’ projected benefit obligations as of December 31, 2014. | ||||||||||||||||||||||||||||||
(b) Certain LKE pension plans offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump-sum payment. The gross benefits paid includes $33 million and $21 million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | ||||||||||||||||||||||||||||||
The amounts recognized in AOCI and regulatory assets/liabilities at December 31 were as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||
AOCI | $ | 65 | $ | -19 | $ | 8 | ||||||||||||||||||||||||
Regulatory assets/liabilities | 332 | 248 | $ | -22 | ||||||||||||||||||||||||||
Total | $ | 397 | $ | 229 | $ | 8 | $ | -22 | ||||||||||||||||||||||
Schedule of Projected or Accumulated Benefit Obligations In Excess of Plan Assets | The following tables provide information on pension plans where the projected benefit obligation (PBO) or accumulated benefit obligations (ABO) exceed the fair value of plan assets: | |||||||||||||||||||||||||||||
PBO in excess of plan assets | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Projected benefit obligation | $ | 1,608 | $ | 1,328 | ||||||||||||||||||||||||||
Fair value of plan assets | 1,301 | 1,173 | ||||||||||||||||||||||||||||
ABO in excess of plan assets | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Accumulated benefit obligation | $ | 1,461 | $ | 350 | ||||||||||||||||||||||||||
Fair value of plan assets | 1,301 | 284 | ||||||||||||||||||||||||||||
Schedules of Asset Allocation of U.S. Pension Trusts Assets | The asset allocation for the trust and the target allocation by portfolio at December 31 are as follows: | |||||||||||||||||||||||||||||
2014 Target Asset Allocation (a) | ||||||||||||||||||||||||||||||
Percentage of trust assets | Weighted | |||||||||||||||||||||||||||||
2014 (a) | 2013 | Average | PPL Plans | LKE Plans | ||||||||||||||||||||||||||
Growth Portfolio | 51% | 59% | 52% | 52% | 52% | |||||||||||||||||||||||||
Equity securities | 26% | 30% | ||||||||||||||||||||||||||||
Debt securities (b) | 13% | 17% | ||||||||||||||||||||||||||||
Alternative investments | 12% | 12% | ||||||||||||||||||||||||||||
Immunizing Portfolio | 47% | 39% | 46% | 46% | 46% | |||||||||||||||||||||||||
Debt securities (b) | 44% | 40% | ||||||||||||||||||||||||||||
Derivatives | 3% | -1% | ||||||||||||||||||||||||||||
Liquidity Portfolio | 2% | 2% | 2% | 2% | 2% | |||||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | 100% | |||||||||||||||||||||||||
(a) Allocations exclude consideration of cash for the WKE Bargaining Employees' Retirement Plan and a group annuity contract held by the LG&E and KU Retirement Plan. | ||||||||||||||||||||||||||||||
(b) Includes commingled debt funds, which PPL treats as debt securities for asset allocation purposes. | ||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.S. Pension Plan Assets | The fair value of net assets in the Master Trust by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 246 | $ | 246 | $ | 120 | $ | 120 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S.: | ||||||||||||||||||||||||||||||
Large-cap | 432 | 114 | $ | 318 | 480 | 134 | $ | 346 | ||||||||||||||||||||||
Small-cap | 145 | 145 | 137 | 137 | ||||||||||||||||||||||||||
International | 615 | 615 | 630 | 163 | 467 | |||||||||||||||||||||||||
Commingled debt | 818 | 818 | 749 | 13 | 736 | |||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 723 | 706 | 17 | 617 | 563 | 54 | ||||||||||||||||||||||||
Residential/commercial backed securities | 2 | 2 | 12 | 11 | $ | 1 | ||||||||||||||||||||||||
Corporate | 1,109 | 1,088 | $ | 21 | 963 | 940 | 23 | |||||||||||||||||||||||
International government | 8 | 8 | 7 | 7 | ||||||||||||||||||||||||||
Other | 9 | 9 | 24 | 24 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Commodities | 90 | 90 | 108 | 108 | ||||||||||||||||||||||||||
Real estate | 148 | 148 | 134 | 134 | ||||||||||||||||||||||||||
Private equity | 104 | 104 | 80 | 80 | ||||||||||||||||||||||||||
Hedge funds | 223 | 223 | 210 | 210 | ||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||
Interest rate swaps and swaptions | 92 | 92 | -49 | -49 | ||||||||||||||||||||||||||
Other | 12 | 12 | 12 | 12 | ||||||||||||||||||||||||||
Insurance contracts | 33 | 33 | 37 | 37 | ||||||||||||||||||||||||||
PPL Services Corporation Master Trust assets, at | ||||||||||||||||||||||||||||||
fair value | 4,809 | $ | 1,211 | $ | 3,440 | $ | 158 | 4,271 | $ | 1,130 | $ | 3,000 | $ | 141 | ||||||||||||||||
Receivables and payables, net (a) | -41 | |||||||||||||||||||||||||||||
401(h) accounts restricted for other | ||||||||||||||||||||||||||||||
postretirement benefit obligations | -136 | -115 | ||||||||||||||||||||||||||||
Total PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
pension assets | $ | 4,632 | $ | 4,156 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Reconciliation of U.S. Pension Trust Assets Classified as Level 3 Included in Earnings | A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2014 is as follows: | |||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | |||||||||||||||||||||||||||
securities | debt | equity | contracts | Total | ||||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | 141 | ||||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | -1 | -1 | 19 | 1 | 18 | |||||||||||||||||||||||||
Relating to assets sold during the period | -1 | -1 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | 5 | -5 | ||||||||||||||||||||||||||||
Balance at end of period | $ | $ | 21 | $ | 104 | $ | 33 | $ | 158 | |||||||||||||||||||||
A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2013 is as follows: | ||||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | Other | ||||||||||||||||||||||||||
securities | debt | equity | contracts | debt | Total | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 27 | $ | 75 | $ | 42 | $ | 1 | $ | 146 | ||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | 3 | 2 | 5 | |||||||||||||||||||||||||||
Relating to assets sold during the period | 5 | 5 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | -9 | 2 | -7 | -14 | ||||||||||||||||||||||||||
Transfers from level 3 to level 2 | -1 | -1 | ||||||||||||||||||||||||||||
Balance at end of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | $ | 141 | |||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.S. Postretirement Benefits | The fair value of assets in the U.S. other postretirement benefit plans by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurement Using | Fair Value Measurement Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
Money market funds | $ | 9 | $ | 9 | $ | 12 | $ | 12 | ||||||||||||||||||||||
U.S. Equity securities: | ||||||||||||||||||||||||||||||
Large-cap | 169 | $ | 169 | 182 | $ | 182 | ||||||||||||||||||||||||
Commingled debt | 136 | 136 | 100 | 100 | ||||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
Municipalities | 33 | 33 | 36 | 36 | ||||||||||||||||||||||||||
Total VEBA trust assets, at fair value | 347 | $ | 9 | $ | 338 | 330 | $ | 12 | $ | 318 | ||||||||||||||||||||
Receivables and payables, net (a) | 1 | 1 | ||||||||||||||||||||||||||||
401(h) account assets | 136 | 115 | ||||||||||||||||||||||||||||
Total other postretirement benefit plan | ||||||||||||||||||||||||||||||
assets | $ | 484 | $ | 446 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Schedule of Expected Cash Flows - U.S. Defined Benefit Plans - Expected Payments and Related Federal Subsidy | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plans and the following federal subsidy payments are expected to be received by LKE. | |||||||||||||||||||||||||||||
Other Postretirement | ||||||||||||||||||||||||||||||
Expected | ||||||||||||||||||||||||||||||
Benefit | Federal | |||||||||||||||||||||||||||||
Pension | Payment | Subsidy | ||||||||||||||||||||||||||||
2015 | $ | 60 | $ | 14 | ||||||||||||||||||||||||||
2016 | 62 | 14 | ||||||||||||||||||||||||||||
2017 | 67 | 15 | $ | 1 | ||||||||||||||||||||||||||
2018 | 72 | 16 | ||||||||||||||||||||||||||||
2019 | 77 | 17 | ||||||||||||||||||||||||||||
2020-2024 | 456 | 88 | 2 | |||||||||||||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | The following table provides the components of net periodic defined benefit costs for LG&E’s pension benefit plan for the years ended December 31. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Net periodic defined benefit costs (credits): | ||||||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 2 | $ | 2 | ||||||||||||||||||||||||
Interest cost | 15 | 14 | 14 | |||||||||||||||||||||||||||
Expected return on plan assets | -19 | -20 | -19 | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | 2 | 2 | 3 | |||||||||||||||||||||||||||
Actuarial (gain) loss | 6 | 14 | 11 | |||||||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 5 | $ | 12 | $ | 11 | ||||||||||||||||||||||||
Other Changes in Plan Assets and Benefit Obligations | ||||||||||||||||||||||||||||||
Recognized in Regulatory Assets - Gross: | ||||||||||||||||||||||||||||||
Net (gain) loss | $ | 14 | $ | -20 | $ | 18 | ||||||||||||||||||||||||
Prior service cost (credit) | 9 | |||||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||
Prior service (cost) credit | -2 | -2 | -2 | |||||||||||||||||||||||||||
Actuarial gain (loss) | -6 | -14 | -11 | |||||||||||||||||||||||||||
Total recognized in regulatory assets/liabilities | 15 | -36 | 5 | |||||||||||||||||||||||||||
Total recognized in net periodic defined benefit costs and regulatory assets | $ | 20 | $ | -24 | $ | 16 | ||||||||||||||||||||||||
Schedule of Amounts to be Amortized from AOCI and Regulatory Assets/Liabilities in Next Fiscal Year | The estimated amounts to be amortized from regulatory assets into net periodic defined benefit costs for LG&E in 2015 are as follows. | |||||||||||||||||||||||||||||
Pension | ||||||||||||||||||||||||||||||
Benefits | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 3 | ||||||||||||||||||||||||||||
Actuarial (gain) loss | 11 | |||||||||||||||||||||||||||||
Total | $ | 14 | ||||||||||||||||||||||||||||
Schedule of Net Periodic Defined Benefit Costs Included in Income Statement | In the table above, for PPL Energy Supply and LG&E, amounts include costs for the specific plans each sponsors and the following allocated costs of defined benefit plans sponsored by PPL Services (for PPL Energy Supply) and by LKE (for LG&E), based on their participation in those plans, which management believes are reasonable: | |||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
PPL Energy Supply | $ | 34 | $ | 38 | $ | 31 | $ | 3 | $ | 5 | $ | 5 | ||||||||||||||||||
LG&E | 2 | 5 | 5 | 4 | 4 | 5 | ||||||||||||||||||||||||
Defined Benefit Plan Assumptions and Impact of One Point Change on Postretirement Plans | The following weighted-average assumptions were used in the valuation of the benefit obligations at December 31. | |||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.12% | 3.85% | 4.41% | 4.08% | 4.91% | ||||||||||||||||||||||||
Rate of compensation increase | 3.92% | 3.97% | 4.00% | 4.00% | 3.86% | 3.96% | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 4.28% | 5.18% | 3.81% | 4.51% | ||||||||||||||||||||||||||
Rate of compensation increase | 4.03% | 3.94% | 4.03% | 3.94% | ||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 4.25% | 5.18% | 4.06% | 4.91% | ||||||||||||||||||||||||||
Rate of compensation increase | 3.50% | 4.00% | 3.50% | 4.00% | ||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 4.20% | 5.13% | ||||||||||||||||||||||||||||
The following weighted-average assumptions were used to determine the net periodic defined benefit costs for the years ended December 31. | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
U.S. | U.K. | Other Postretirement Benefits | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Discount rate | 5.12% | 4.22% | 5.06% | 4.41% | 4.27% | 5.24% | 4.91% | 4.00% | 4.80% | |||||||||||||||||||||
Rate of compensation increase | 3.97% | 3.98% | 4.02% | 4.00% | 4.00% | 4.00% | 3.96% | 3.97% | 4.00% | |||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.03% | 7.07% | 7.19% | 7.16% | 7.17% | 5.96% | 5.94% | 5.99% | |||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.25% | 5.12% | 4.51% | 3.77% | 4.60% | ||||||||||||||||||||||||
Rate of compensation increase | 3.94% | 3.95% | 4.00% | 3.94% | 3.95% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.00% | 7.00% | N/A | N/A | N/A | ||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Discount rate | 5.18% | 4.24% | 5.09% | 4.91% | 3.99% | 4.78% | ||||||||||||||||||||||||
Rate of compensation increase | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | ||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | 6.75% | 6.76% | 7.02% | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Discount rate | 5.13% | 4.20% | 5.00% | |||||||||||||||||||||||||||
Expected return on plan assets (a) | 7.00% | 7.10% | 7.25% | |||||||||||||||||||||||||||
(a) The expected long-term rates of return for pension and other postretirement benefits are based on management's projections using a best-estimate of expected returns, volatilities and correlations for each asset class. Each plan's specific current and expected asset allocations are also considered in developing a reasonable return assumption. | ||||||||||||||||||||||||||||||
Schedule of Funded Status of Defined Benefit Plans | (LG&E) | |||||||||||||||||||||||||||||
The funded status of LG&E's plan at December 31, was as follows: | ||||||||||||||||||||||||||||||
Pension Benefits | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Change in Benefit Obligation | ||||||||||||||||||||||||||||||
Benefit Obligation, beginning of period | $ | 291 | $ | 331 | ||||||||||||||||||||||||||
Service cost | 1 | 2 | ||||||||||||||||||||||||||||
Interest cost | 15 | 14 | ||||||||||||||||||||||||||||
Plan amendments (a) | 9 | |||||||||||||||||||||||||||||
Actuarial (gain) loss | 36 | -35 | ||||||||||||||||||||||||||||
Gross benefits paid (b) | -21 | -21 | ||||||||||||||||||||||||||||
Benefit Obligation, end of period | 331 | 291 | ||||||||||||||||||||||||||||
Change in Plan Assets | ||||||||||||||||||||||||||||||
Plan assets at fair value, beginning of period | 281 | 287 | ||||||||||||||||||||||||||||
Actual return on plan assets | 41 | 4 | ||||||||||||||||||||||||||||
Employer contributions | 11 | |||||||||||||||||||||||||||||
Gross benefits paid (b) | -21 | -21 | ||||||||||||||||||||||||||||
Plan assets at fair value, end of period | 301 | 281 | ||||||||||||||||||||||||||||
Funded Status, end of period | $ | -30 | $ | -10 | ||||||||||||||||||||||||||
Amounts recognized in the Balance Sheets consist of: | ||||||||||||||||||||||||||||||
Noncurrent liability | $ | -30 | $ | -10 | ||||||||||||||||||||||||||
Net amount recognized, end of period | $ | -30 | $ | -10 | ||||||||||||||||||||||||||
Amounts recognized in regulatory assets (pre-tax) | ||||||||||||||||||||||||||||||
consist of: | ||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 22 | $ | 15 | ||||||||||||||||||||||||||
Net actuarial (gain) loss | 98 | 90 | ||||||||||||||||||||||||||||
Total | $ | 120 | $ | 105 | ||||||||||||||||||||||||||
Total accumulated benefit obligation for defined benefit pension plan | $ | 330 | $ | 288 | ||||||||||||||||||||||||||
(a) The plan was amended in December 2014 to enhance the early retirement factors for all plan participants retiring on or after January 1, 2015. This modification resulted in an increase of $9 million in the plan’s projected benefit obligation as of December 31, 2014. | ||||||||||||||||||||||||||||||
(b) LG&E's pension plan offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump-sum payment. The gross benefits paid includes $8 million and $7 million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | ||||||||||||||||||||||||||||||
Allocations to LG&E resulted in liabilities at December 31 as follows: | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 27 | $ | 9 | ||||||||||||||||||||||||||
Other postretirement benefits | 85 | 73 | ||||||||||||||||||||||||||||
Schedules of Asset Allocation of U.S. Pension Trusts Assets | The asset allocation for the trust and the target allocation by portfolio at December 31 are as follows: | |||||||||||||||||||||||||||||
2014 Target Asset Allocation (a) | ||||||||||||||||||||||||||||||
Percentage of trust assets | Weighted | |||||||||||||||||||||||||||||
2014 (a) | 2013 | Average | PPL Plans | LKE Plans | ||||||||||||||||||||||||||
Growth Portfolio | 51% | 59% | 52% | 52% | 52% | |||||||||||||||||||||||||
Equity securities | 26% | 30% | ||||||||||||||||||||||||||||
Debt securities (b) | 13% | 17% | ||||||||||||||||||||||||||||
Alternative investments | 12% | 12% | ||||||||||||||||||||||||||||
Immunizing Portfolio | 47% | 39% | 46% | 46% | 46% | |||||||||||||||||||||||||
Debt securities (b) | 44% | 40% | ||||||||||||||||||||||||||||
Derivatives | 3% | -1% | ||||||||||||||||||||||||||||
Liquidity Portfolio | 2% | 2% | 2% | 2% | 2% | |||||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | 100% | |||||||||||||||||||||||||
(a) Allocations exclude consideration of cash for the WKE Bargaining Employees' Retirement Plan and a group annuity contract held by the LG&E and KU Retirement Plan. | ||||||||||||||||||||||||||||||
(b) Includes commingled debt funds, which PPL treats as debt securities for asset allocation purposes. | ||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Assets for U.S. Pension Plan Assets | The fair value of net assets in the Master Trust by asset class and level within the fair value hierarchy was: | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||
PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 246 | $ | 246 | $ | 120 | $ | 120 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S.: | ||||||||||||||||||||||||||||||
Large-cap | 432 | 114 | $ | 318 | 480 | 134 | $ | 346 | ||||||||||||||||||||||
Small-cap | 145 | 145 | 137 | 137 | ||||||||||||||||||||||||||
International | 615 | 615 | 630 | 163 | 467 | |||||||||||||||||||||||||
Commingled debt | 818 | 818 | 749 | 13 | 736 | |||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury and U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 723 | 706 | 17 | 617 | 563 | 54 | ||||||||||||||||||||||||
Residential/commercial backed securities | 2 | 2 | 12 | 11 | $ | 1 | ||||||||||||||||||||||||
Corporate | 1,109 | 1,088 | $ | 21 | 963 | 940 | 23 | |||||||||||||||||||||||
International government | 8 | 8 | 7 | 7 | ||||||||||||||||||||||||||
Other | 9 | 9 | 24 | 24 | ||||||||||||||||||||||||||
Alternative investments: | ||||||||||||||||||||||||||||||
Commodities | 90 | 90 | 108 | 108 | ||||||||||||||||||||||||||
Real estate | 148 | 148 | 134 | 134 | ||||||||||||||||||||||||||
Private equity | 104 | 104 | 80 | 80 | ||||||||||||||||||||||||||
Hedge funds | 223 | 223 | 210 | 210 | ||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||
Interest rate swaps and swaptions | 92 | 92 | -49 | -49 | ||||||||||||||||||||||||||
Other | 12 | 12 | 12 | 12 | ||||||||||||||||||||||||||
Insurance contracts | 33 | 33 | 37 | 37 | ||||||||||||||||||||||||||
PPL Services Corporation Master Trust assets, at | ||||||||||||||||||||||||||||||
fair value | 4,809 | $ | 1,211 | $ | 3,440 | $ | 158 | 4,271 | $ | 1,130 | $ | 3,000 | $ | 141 | ||||||||||||||||
Receivables and payables, net (a) | -41 | |||||||||||||||||||||||||||||
401(h) accounts restricted for other | ||||||||||||||||||||||||||||||
postretirement benefit obligations | -136 | -115 | ||||||||||||||||||||||||||||
Total PPL Services Corporation Master Trust | ||||||||||||||||||||||||||||||
pension assets | $ | 4,632 | $ | 4,156 | ||||||||||||||||||||||||||
(a) Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||||||||||||||||||||||||||||
Reconciliation of U.S. Pension Trust Assets Classified as Level 3 Included in Earnings | A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2014 is as follows: | |||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | |||||||||||||||||||||||||||
securities | debt | equity | contracts | Total | ||||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | 141 | ||||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | -1 | -1 | 19 | 1 | 18 | |||||||||||||||||||||||||
Relating to assets sold during the period | -1 | -1 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | 5 | -5 | ||||||||||||||||||||||||||||
Balance at end of period | $ | $ | 21 | $ | 104 | $ | 33 | $ | 158 | |||||||||||||||||||||
A reconciliation of the Master Trust assets classified as Level 3 at December 31, 2013 is as follows: | ||||||||||||||||||||||||||||||
Residential/ | ||||||||||||||||||||||||||||||
commercial | ||||||||||||||||||||||||||||||
backed | Corporate | Private | Insurance | Other | ||||||||||||||||||||||||||
securities | debt | equity | contracts | debt | Total | |||||||||||||||||||||||||
Balance at beginning of period | $ | 1 | $ | 27 | $ | 75 | $ | 42 | $ | 1 | $ | 146 | ||||||||||||||||||
Actual return on plan assets | ||||||||||||||||||||||||||||||
Relating to assets still held | ||||||||||||||||||||||||||||||
at the reporting date | 3 | 2 | 5 | |||||||||||||||||||||||||||
Relating to assets sold during the period | 5 | 5 | ||||||||||||||||||||||||||||
Purchases, sales and settlements | -9 | 2 | -7 | -14 | ||||||||||||||||||||||||||
Transfers from level 3 to level 2 | -1 | -1 | ||||||||||||||||||||||||||||
Balance at end of period | $ | 1 | $ | 23 | $ | 80 | $ | 37 | $ | $ | 141 | |||||||||||||||||||
Schedule of Expected Cash Flows - U.S. Defined Benefit Plans - Expected Payments and Related Federal Subsidy | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid by the plan. | |||||||||||||||||||||||||||||
Pension | ||||||||||||||||||||||||||||||
2015 | $ | 15 | ||||||||||||||||||||||||||||
2016 | 16 | |||||||||||||||||||||||||||||
2017 | 17 | |||||||||||||||||||||||||||||
2018 | 18 | |||||||||||||||||||||||||||||
2019 | 19 | |||||||||||||||||||||||||||||
2020-2024 | 105 | |||||||||||||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||||||||||||||||
Schedule of Funded Status of Defined Benefit Plans | Allocations to KU resulted in liabilities at December 31 as follows. | |||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Pension | $ | 59 | $ | 11 | ||||||||||||||||||||||||||
Other postretirement benefits | 52 | 42 |
Jointly_Owned_Utility_Faciliti
Jointly Owned Utility Facilities (Tables) | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Utility Facilities | At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | |||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Utility Facilities | At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | |||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Utility Facilities | At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | |||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Utility Facilities | At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | |||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 | ||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||
Jointly Owned Facilities [Line Items] | ||||||||||||||||||
Jointly Owned Utility Facilities | At December 31, 2014 and 2013, the Balance Sheets reflect the owned interests in the facilities listed below. | |||||||||||||||||
Construction | ||||||||||||||||||
Ownership | Other | Accumulated | Work | |||||||||||||||
Interest | Electric Plant | Property | Depreciation | in Progress | ||||||||||||||
PPL | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,311 | 173 | 91 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Trimble County Units 1 & 2 | 75.00% | 1,288 | 144 | 54 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,746 | $ | 3,591 | $ | 117 | |||||||||||
Conemaugh | 16.25% | 330 | 141 | 2 | ||||||||||||||
Keystone | 12.34% | 213 | 102 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 15 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Susquehanna | 90.00% | $ | 4,686 | $ | 3,545 | $ | 76 | |||||||||||
Conemaugh | 16.25% | 247 | 131 | 63 | ||||||||||||||
Keystone | 12.34% | 207 | 91 | 2 | ||||||||||||||
Merrill Creek Reservoir | 8.37% | $ | 22 | 16 | ||||||||||||||
LKE | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 309 | $ | 51 | $ | 59 | |||||||||||
Trimble County Unit 2 | 75.00% | 1,002 | 122 | 32 | ||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
Trimble County Unit 1 | 75.00% | $ | 308 | $ | 42 | $ | 18 | |||||||||||
Trimble County Unit 2 | 75.00% | 980 | 102 | 36 | ||||||||||||||
LG&E | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 10 | |||||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 47 | 7 | |||||||||||||||
Trimble County Unit 1 | 75.00% | 309 | 51 | $ | 59 | |||||||||||||
Trimble County Unit 2 | 14.25% | 205 | 23 | 15 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 5 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 70 | 11 | |||||||||||||||
Cane Run Unit 7 | 22.00% | 113 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 38.00% | $ | 40 | $ | 7 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 53.00% | 46 | 5 | 1 | ||||||||||||||
Trimble County Unit 1 | 75.00% | 308 | 42 | 18 | ||||||||||||||
Trimble County Unit 2 | 14.25% | 200 | 19 | 14 | ||||||||||||||
Trimble County Units 5-6 | 29.00% | 29 | 3 | |||||||||||||||
Trimble County Units 7-10 | 37.00% | 69 | 7 | 1 | ||||||||||||||
Cane Run Unit 7 | 22.00% | 91 | ||||||||||||||||
KU | ||||||||||||||||||
December 31, 2014 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 65 | $ | 15 | $ | 1 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 6 | |||||||||||||||
Trimble County Unit 2 | 60.75% | 797 | 98 | 17 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 11 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 120 | 18 | 1 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 403 | ||||||||||||||||
December 31, 2013 | ||||||||||||||||||
Generating Plants | ||||||||||||||||||
E.W. Brown Units 6-7 | 62.00% | $ | 64 | $ | 11 | $ | 2 | |||||||||||
Paddy's Run Unit 13 & E.W. Brown Unit 5 | 47.00% | 42 | 4 | 1 | ||||||||||||||
Trimble County Unit 2 | 60.75% | 780 | 83 | 22 | ||||||||||||||
Trimble County Units 5-6 | 71.00% | 70 | 8 | |||||||||||||||
Trimble County Units 7-10 | 63.00% | 118 | 12 | 2 | ||||||||||||||
Cane Run Unit 7 | 78.00% | 317 |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Labor Agreement Negotiations | At December 31, 2014, the following total separation benefits were recorded. | |||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Pension Benefits | $ | 13 | $ | 11 | $ | 2 | ||||
Severance Compensation | 7 | 6 | 1 | |||||||
Total Separation Benefits | $ | 20 | $ | 17 | $ | 3 | ||||
Number of Employees | 123 | 105 | 17 | |||||||
Guarantees | The table below details guarantees provided as of December 31, 2014. | |||||||||
Exposure at | Expiration | |||||||||
December 31, 2014 | Date | |||||||||
PPL | ||||||||||
Indemnifications related to the WPD Midlands acquisition | (a) | |||||||||
WPD indemnifications for entities in liquidation and sales of assets | $ | 12 | (b) | 2018 | ||||||
WPD guarantee of pension and other obligations of unconsolidated entities | 119 | (c) | ||||||||
PPL Energy Supply | ||||||||||
Letters of credit issued on behalf of affiliates | 25 | (d) | 2015 - 2016 | |||||||
Indemnifications for sales of assets | 1,150 | (e) | 2016 - 2025 | |||||||
PPL Electric | ||||||||||
Guarantee of inventory value | 34 | (f) | 2017 | |||||||
LKE | ||||||||||
Indemnification of lease termination and other divestitures | 301 | (g) | 2021 - 2023 | |||||||
LG&E and KU | ||||||||||
LG&E and KU guarantee of shortfall related to OVEC | (h) | |||||||||
(a) Indemnifications related to certain liabilities, including a specific unresolved tax issue and those relating to properties and assets owned by the seller that were transferred to WPD Midlands in connection with the acquisition. A cross indemnity has been received from the seller on the tax issue. The maximum exposure and expiration of these indemnifications cannot be estimated because the maximum potential liability is not capped and the expiration date is not specified in the transaction documents. | ||||||||||
(b) Indemnification to the liquidators and certain others for existing liabilities or expenses or liabilities arising during the liquidation process. The indemnifications are limited to distributions made from the subsidiary to its parent either prior or subsequent to liquidation or are not explicitly stated in the agreements. The indemnifications generally expire two to seven years subsequent to the date of dissolution of the entities. The exposure noted only includes those cases where the agreements provide for specific limits. | ||||||||||
In connection with their sales of various businesses, WPD and its affiliates have provided the purchasers with indemnifications that are standard for such transactions, including indemnifications for certain pre-existing liabilities and environmental and tax matters or have agreed to continue their obligations under existing third-party guarantees, either for a set period of time following the transactions or upon the condition that the purchasers make reasonable efforts to terminate the guarantees. Finally, WPD and its affiliates remain secondarily responsible for lease payments under certain leases that they have assigned to third parties. | ||||||||||
(c) Relates to certain obligations of discontinued or modified electric associations that were guaranteed at the time of privatization by the participating members. Costs are allocated to the members and can be reallocated if an existing member becomes insolvent. At December 31, 2014, WPD has recorded an estimated discounted liability for which the expected payment/performance is probable. Neither the expiration date nor the maximum amount of potential payments for certain obligations is explicitly stated in the related agreements, and as a result, the exposure has been estimated. | ||||||||||
(d) Standby letter of credit arrangements under PPL Energy Supply's credit facilities for the purposes of protecting various third parties against nonperformance by PPL. This is not a guarantee by PPL on a consolidated basis. | ||||||||||
(e) Indemnifications are governed by the specific sales agreement and include breach of the representations, warranties and covenants, and liabilities for certain other matters. PPL Energy Supply's maximum exposure with respect to certain indemnifications and the expiration of the indemnifications cannot be estimated because the maximum potential liability is not capped by the transaction documents and the expiration date is based on the applicable statute of limitations. The exposure and expiration date noted is based on those cases in which the agreements provide for specific limits. The exposure at December 31, 2014 includes amounts related to the sale of the Montana Hydroelectric facilities. See Note 8 for additional information related to the sale. | ||||||||||
(f) A third party logistics firm provides inventory procurement and fulfillment services. The logistics firm has title to the inventory, however, upon termination of the contracts, PPL Electric has guaranteed to purchase any remaining inventory that has not been used or sold. | ||||||||||
(g) LKE provides certain indemnifications, the most significant of which relate to the termination of the WKE lease in July 2009. These guarantees cover the due and punctual payment, performance and discharge by each party of its respective present and future obligations. The most comprehensive of these WKE-related guarantees is the LKE guarantee covering operational, regulatory and environmental commitments and indemnifications made by WKE under the WKE Transaction Termination Agreement. This guarantee has a term of 12 years ending July 2021, and a cumulative maximum exposure of $200 million. Certain items such as government fines and penalties fall outside the cumulative cap. Another WKE-related LKE guarantee covers other indemnifications, has a term expiring in 2023 and a maximum exposure of $100 million. In May 2012, LKE's indemnitee received an unfavorable arbitration panel's decision interpreting this matter, which granted LKE’s indemnitee certain rights of first refusal to purchase excess power at a market-based price rather than at an absolute fixed price. In January 2013, LKE's indemnitee commenced a proceeding in the Kentucky Court of Appeals appealing a December 2012 order of the Henderson Circuit Court, confirming the arbitration award. In May 2014, the Court of Appeals issued an opinion affirming the lower court decision. LKE's indemnitee filed a Motion for Discretionary Review with the Kentucky Supreme Court on October 2, 2014. LKE believes its indemnification obligations in this matter remain subject to various uncertainties, including potential for additional legal challenges regarding the arbitration decision as well as future prices, availability and demand for the subject excess power. LKE continues to evaluate various legal and commercial options with respect to this indemnification matter. The ultimate outcomes of the WKE termination-related indemnifications cannot be predicted at this time. In the second quarter of 2012, LKE adjusted its estimated liability for the WKE-related indemnifications by $9 million ($5 million after-tax), which is reflected in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The adjustment was recorded in the Kentucky Regulated segment for PPL. Additionally, LKE has indemnified various third parties related to historical obligations for other divested subsidiaries and affiliates. The indemnifications vary by entity and the maximum exposures range from being capped at the sale price to no specified maximum; LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. However, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE cannot predict the ultimate outcomes of indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | ||||||||||
(h) Pursuant to the OVEC power purchase contract, LG&E and KU are obligated to pay for their share of OVEC's excess debt service, post-retirement and decommissioning costs, as well as any shortfall from amounts currently included within a demand charge designed and currently expected to cover these costs over the term of the contract. LKE's proportionate share of OVEC's outstanding debt was $125 million at December 31, 2014, consisting of LG&E's share of $87 million and KU's share of $38 million. The maximum exposure and the expiration date of these potential obligations are not presently determinable. See "Energy Purchase Commitments" above for additional information on the OVEC power purchase contract. | ||||||||||
PPL Energy Supply LLC [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Labor Agreement Negotiations | At December 31, 2014, the following total separation benefits were recorded. | |||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Pension Benefits | $ | 13 | $ | 11 | $ | 2 | ||||
Severance Compensation | 7 | 6 | 1 | |||||||
Total Separation Benefits | $ | 20 | $ | 17 | $ | 3 | ||||
Number of Employees | 123 | 105 | 17 | |||||||
PPL Electric Utilities Corp [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Labor Agreement Negotiations | At December 31, 2014, the following total separation benefits were recorded. | |||||||||
PPL Energy | PPL | |||||||||
PPL | Supply | Electric | ||||||||
Pension Benefits | $ | 13 | $ | 11 | $ | 2 | ||||
Severance Compensation | 7 | 6 | 1 | |||||||
Total Separation Benefits | $ | 20 | $ | 17 | $ | 3 | ||||
Number of Employees | 123 | 105 | 17 | |||||||
Louisville Gas And Electric Co [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Unrecorded Unconditional Purchase Obligations | Future obligations for power purchases from OVEC are unconditional demand payments, comprised of annual minimum debt service payments, as well as contractually required reimbursement of plant operating, maintenance and other expenses as follows: | |||||||||
LG&E | KU | Total | ||||||||
2015 | $ | 18 | $ | 8 | $ | 26 | ||||
2016 | 18 | 8 | 26 | |||||||
2017 | 19 | 8 | 27 | |||||||
2018 | 20 | 9 | 29 | |||||||
2019 | 22 | 10 | 32 | |||||||
Thereafter | 510 | 226 | 736 | |||||||
$ | 607 | $ | 269 | $ | 876 | |||||
In addition, LG&E and KU had total energy purchases under the OVEC power purchase agreement for the years ended December 31 as follows: | ||||||||||
2014 | 2013 | 2012 | ||||||||
LG&E | $ | 17 | $ | 18 | $ | 20 | ||||
KU | 8 | 8 | 9 | |||||||
Total | $ | 25 | $ | 26 | $ | 29 | ||||
Kentucky Utilities Co [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Unrecorded Unconditional Purchase Obligations | Future obligations for power purchases from OVEC are unconditional demand payments, comprised of annual minimum debt service payments, as well as contractually required reimbursement of plant operating, maintenance and other expenses as follows: | |||||||||
LG&E | KU | Total | ||||||||
2015 | $ | 18 | $ | 8 | $ | 26 | ||||
2016 | 18 | 8 | 26 | |||||||
2017 | 19 | 8 | 27 | |||||||
2018 | 20 | 9 | 29 | |||||||
2019 | 22 | 10 | 32 | |||||||
Thereafter | 510 | 226 | 736 | |||||||
$ | 607 | $ | 269 | $ | 876 | |||||
In addition, LG&E and KU had total energy purchases under the OVEC power purchase agreement for the years ended December 31 as follows: | ||||||||||
2014 | 2013 | 2012 | ||||||||
LG&E | $ | 17 | $ | 18 | $ | 20 | ||||
KU | 8 | 8 | 9 | |||||||
Total | $ | 25 | $ | 26 | $ | 29 |
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Intercompany Support Cost Allocations | PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | |||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Intercompany Support Cost Allocations | PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | |||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Intercompany Support Cost Allocations | PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | |||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Intercompany Support Cost Allocations | PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | |||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 | |||||||||
Kentucky Utilities Co [Member] | ||||||||||||
Related Party Transactions [Line Items] | ||||||||||||
Intercompany Support Cost Allocations | PPL Services and LKS charged the following amounts for the years ended December 31, and believe these amounts are reasonable, including amounts applied to accounts that are further distributed between capital and expense. | |||||||||||
2014 | 2013 | 2012 | ||||||||||
PPL Energy Supply from PPL Services | $ | 218 | $ | 218 | $ | 212 | ||||||
PPL Electric from PPL Services | 151 | 146 | 157 | |||||||||
LKE from PPL Services | 15 | 15 | 15 | |||||||||
LG&E from LKS | 203 | 216 | 186 | |||||||||
KU from LKS | 225 | 207 | 161 |
Other_Income_Expense_net_Table
Other Income (Expense) - net (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Other Income (Expense) Net [Line Items] | ||||||||||||
Other Income (Expense) - net | 15. Other Income (Expense) - net | |||||||||||
(PPL) | ||||||||||||
The breakdown of "Other Income (Expense) - net" for the years ended December 31 was: | ||||||||||||
PPL | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Other Income | ||||||||||||
Earnings on securities in NDT funds | $ | 28 | $ | 23 | $ | 22 | ||||||
Interest income | 5 | 3 | 5 | |||||||||
AFUDC - equity component | 11 | 10 | 10 | |||||||||
Miscellaneous | 12 | 18 | 5 | |||||||||
Total Other Income | 56 | 54 | 42 | |||||||||
Other Expense | ||||||||||||
Economic foreign currency exchange contracts (Note 17) | -121 | 38 | 52 | |||||||||
Charitable contributions | 30 | 25 | 10 | |||||||||
Transaction costs related to spinoff of PPL Energy Supply (Note 8) | 19 | |||||||||||
Miscellaneous | 10 | 14 | 19 | |||||||||
Total Other Expense | -62 | 77 | 81 | |||||||||
Other Income (Expense) - net | $ | 118 | $ | -23 | $ | -39 |
Fair_Value_Measurements_and_Cr2
Fair Value Measurements and Credit Concentration (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Fair Value [Line Items] | |||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Recurring Basis | The assets and liabilities measured at fair value were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 1,751 | $ | 1,751 | $ | 1,102 | $ | 1,102 | |||||||||||||||||||||
Short-term investments | 120 | 120 | |||||||||||||||||||||||||||
Restricted cash and cash equivalents (a) | 224 | 224 | 134 | 134 | |||||||||||||||||||||||||
Price risk management assets: | |||||||||||||||||||||||||||||
Energy commodities | 1,318 | 6 | $ | 1,171 | $ | 141 | 1,188 | 3 | $ | 1,123 | $ | 62 | |||||||||||||||||
Interest rate swaps | 91 | 91 | |||||||||||||||||||||||||||
Foreign currency contracts | 130 | 130 | |||||||||||||||||||||||||||
Cross-currency swaps | 29 | 28 | 1 | ||||||||||||||||||||||||||
Total price risk management assets | 1,477 | 6 | 1,329 | 142 | 1,279 | 3 | 1,214 | 62 | |||||||||||||||||||||
NDT funds: | |||||||||||||||||||||||||||||
Cash and cash equivalents | 19 | 19 | 14 | 14 | |||||||||||||||||||||||||
Equity securities | |||||||||||||||||||||||||||||
U.S. large-cap | 611 | 454 | 157 | 547 | 409 | 138 | |||||||||||||||||||||||
U.S. mid/small-cap | 89 | 37 | 52 | 81 | 33 | 48 | |||||||||||||||||||||||
Debt securities | |||||||||||||||||||||||||||||
U.S. Treasury | 99 | 99 | 95 | 95 | |||||||||||||||||||||||||
U.S. government sponsored agency | 9 | 9 | 6 | 6 | |||||||||||||||||||||||||
Municipality | 76 | 76 | 77 | 77 | |||||||||||||||||||||||||
Investment-grade corporate | 42 | 42 | 38 | 38 | |||||||||||||||||||||||||
Other | 3 | 3 | 5 | 5 | |||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | 1 | -1 | 2 | ||||||||||||||||||||||||
Total NDT funds | 950 | 609 | 341 | 864 | 550 | 314 | |||||||||||||||||||||||
Auction rate securities (b) | 10 | 10 | 19 | 19 | |||||||||||||||||||||||||
Total assets | $ | 4,532 | $ | 2,710 | $ | 1,670 | $ | 152 | $ | 3,398 | $ | 1,789 | $ | 1,528 | $ | 81 | |||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Energy commodities | $ | 1,217 | $ | 5 | $ | 1,182 | $ | 30 | $ | 1,070 | $ | 4 | $ | 1,028 | $ | 38 | |||||||||||||
Interest rate swaps | 156 | 156 | 36 | 36 | |||||||||||||||||||||||||
Foreign currency contracts | 2 | 2 | 106 | 106 | |||||||||||||||||||||||||
Cross-currency swaps | 3 | 3 | 32 | 32 | |||||||||||||||||||||||||
Total price risk management liabilities | $ | 1,378 | $ | 5 | $ | 1,343 | $ | 30 | $ | 1,244 | $ | 4 | $ | 1,202 | $ | 38 | |||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 352 | $ | 352 | $ | 239 | $ | 239 | |||||||||||||||||||||
Restricted cash and cash equivalents (a) | 193 | 193 | 85 | 85 | |||||||||||||||||||||||||
Price risk management assets: | |||||||||||||||||||||||||||||
Energy commodities | 1,318 | 6 | $ | 1,171 | $ | 141 | 1,188 | 3 | $ | 1,123 | $ | 62 | |||||||||||||||||
Total price risk management assets | 1,318 | 6 | 1,171 | 141 | 1,188 | 3 | 1,123 | 62 | |||||||||||||||||||||
NDT funds: | |||||||||||||||||||||||||||||
Cash and cash equivalents | 19 | 19 | 14 | 14 | |||||||||||||||||||||||||
Equity securities | |||||||||||||||||||||||||||||
U.S. large-cap | 611 | 454 | 157 | 547 | 409 | 138 | |||||||||||||||||||||||
U.S. mid/small-cap | 89 | 37 | 52 | 81 | 33 | 48 | |||||||||||||||||||||||
Debt securities | |||||||||||||||||||||||||||||
U.S. Treasury | 99 | 99 | 95 | 95 | |||||||||||||||||||||||||
U.S. government sponsored agency | 9 | 9 | 6 | 6 | |||||||||||||||||||||||||
Municipality | 76 | 76 | 77 | 77 | |||||||||||||||||||||||||
Investment-grade corporate | 42 | 42 | 38 | 38 | |||||||||||||||||||||||||
Other | 3 | 3 | 5 | 5 | |||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | 1 | -1 | 2 | ||||||||||||||||||||||||
Total NDT funds | 950 | 609 | 341 | 864 | 550 | 314 | |||||||||||||||||||||||
Auction rate securities (b) | 8 | 8 | 16 | 16 | |||||||||||||||||||||||||
Total assets | $ | 2,821 | $ | 1,160 | $ | 1,512 | $ | 149 | $ | 2,392 | $ | 877 | $ | 1,437 | $ | 78 | |||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Energy commodities | $ | 1,217 | $ | 5 | $ | 1,182 | $ | 30 | $ | 1,070 | $ | 4 | $ | 1,028 | $ | 38 | |||||||||||||
Total price risk management liabilities | $ | 1,217 | $ | 5 | $ | 1,182 | $ | 30 | $ | 1,070 | $ | 4 | $ | 1,028 | $ | 38 | |||||||||||||
PPL Electric | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 214 | $ | 214 | $ | 25 | $ | 25 | |||||||||||||||||||||
Restricted cash and cash equivalents (c) | 3 | 3 | 12 | 12 | |||||||||||||||||||||||||
Total assets | $ | 217 | $ | 217 | $ | 37 | $ | 37 | |||||||||||||||||||||
LKE | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 21 | $ | 21 | $ | 35 | $ | 35 | |||||||||||||||||||||
Cash collateral posted to counterparties (d) | 21 | 21 | 22 | 22 | |||||||||||||||||||||||||
Total assets | $ | 42 | $ | 42 | $ | 57 | $ | 57 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Interest rate swaps | $ | 114 | $ | 114 | $ | 36 | $ | 36 | |||||||||||||||||||||
Total price risk management liabilities | $ | 114 | $ | 114 | $ | 36 | $ | 36 | |||||||||||||||||||||
LG&E | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 10 | $ | 10 | $ | 8 | $ | 8 | |||||||||||||||||||||
Cash collateral posted to counterparties (d) | 21 | 21 | 22 | 22 | |||||||||||||||||||||||||
Total assets | $ | 31 | $ | 31 | $ | 30 | $ | 30 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Interest rate swaps | $ | 81 | $ | 81 | $ | 36 | $ | 36 | |||||||||||||||||||||
Total price risk management liabilities | $ | 81 | $ | 81 | $ | 36 | $ | 36 | |||||||||||||||||||||
KU | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 11 | $ | 11 | $ | 21 | $ | 21 | |||||||||||||||||||||
Total assets | $ | 11 | $ | 11 | $ | 21 | $ | 21 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Price risk management liabilities: | |||||||||||||||||||||||||||||
Interest rate swaps | $ | 33 | $ | 33 | |||||||||||||||||||||||||
Total price risk management liabilities | $ | 33 | $ | 33 | |||||||||||||||||||||||||
(a) Current portion is included in "Restricted cash and cash equivalents" and long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||||||||||||||||||||||||||||
(b) Included in "Other investments" on the Balance Sheets. | |||||||||||||||||||||||||||||
(c) Current portion is included in "Other current assets" and long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||||||||||||||||||||||||||||
(d) Included in "Other noncurrent assets" on the Balance Sheets. Represents cash collateral posted to offset the exposure with counterparties related to certain interest rate swaps under master netting arrangements that are not offset. | |||||||||||||||||||||||||||||
Reconciliation of Net Assets and Liabilities Classified as Level 3 | A reconciliation of net assets and liabilities classified as Level 3 for the years ended December 31 is as follows: | ||||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||
Energy | Auction | Cross- | |||||||||||||||||||||||||||
Commodities, | Rate | Currency | |||||||||||||||||||||||||||
net | Securities | Swaps | Total | ||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 24 | $ | 19 | $ | 43 | |||||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -32 | -32 | |||||||||||||||||||||||||||
Included in OCI (a) | $ | -2 | -2 | ||||||||||||||||||||||||||
Purchases | -6 | -6 | |||||||||||||||||||||||||||
Sales | 67 | -9 | 58 | ||||||||||||||||||||||||||
Settlements | 50 | 50 | |||||||||||||||||||||||||||
Transfers into Level 3 | 7 | 1 | 8 | ||||||||||||||||||||||||||
Transfers out of Level 3 | 1 | 2 | 3 | ||||||||||||||||||||||||||
Balance at end of period | $ | 111 | $ | 10 | $ | 1 | $ | 122 | |||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 22 | $ | 16 | $ | 1 | $ | 39 | |||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -5 | -5 | |||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | |||||||||||||||||||||||||||
Sales | -2 | -2 | |||||||||||||||||||||||||||
Settlements | -3 | -3 | |||||||||||||||||||||||||||
Transfers into Level 3 | 10 | 3 | 3 | 16 | |||||||||||||||||||||||||
Transfers out of Level 3 | 2 | -5 | -3 | ||||||||||||||||||||||||||
Balance at end of period | $ | 24 | $ | 19 | $ | $ | 43 | ||||||||||||||||||||||
(a) "Energy Commodities, net" and "Cross-Currency Swaps" are included in "Qualifying derivatives" and "Auction Rate Securities" are included in "Available-for-sale securities" on the Statements of Comprehensive Income. | |||||||||||||||||||||||||||||
Significant Unobservable Inputs Used in Fair Value Measurement of Assets and Liabilities Classified as Level 3 | The significant unobservable inputs used in and quantitative information about the fair value measurement of assets and liabilities classified as Level 3 are as follows: | ||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 59 | Discounted cash flow | Proprietary model used to calculate forward prices | 11% - 100% (52%) | ||||||||||||||||||||||||
Power sales contracts (c) | -1 | Discounted cash flow | Proprietary model used to calculate forward prices | 9% - 100% (59%) | |||||||||||||||||||||||||
FTR purchase contracts (d) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | |||||||||||||||||||||||||
Heat Rate Options (e) | 50 | Discounted cash flow | Proprietary model used to calculate forward prices | 23% - 51% (45%) | |||||||||||||||||||||||||
Auction rate securities (f) | 10 | Discounted cash flow | Modeled from SIFMA Index | 44% - 69% (63%) | |||||||||||||||||||||||||
Cross-currency swaps (g) | 1 | Discounted cash flow | Credit valuation adjustment | 15% (15%) | |||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 59 | Discounted cash flow | Proprietary model used to calculate forward prices | 11% - 100% (52%) | ||||||||||||||||||||||||
Power sales contracts (c) | -1 | Discounted cash flow | Proprietary model used to calculate forward prices | 9% - 100% (59%) | |||||||||||||||||||||||||
FTR purchase contracts (d) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | |||||||||||||||||||||||||
Heat Rate Options (e) | 50 | Discounted cash flow | Proprietary model used to calculate forward prices | 23% - 51% (45%) | |||||||||||||||||||||||||
Auction rate securities (f) | 8 | Discounted cash flow | Modeled from SIFMA Index | 51% - 69% (63%) | |||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 36 | Discounted cash flow | Proprietary model used to calculate forward prices | 10% - 100% (86%) | ||||||||||||||||||||||||
Power sales contracts (c) | -12 | Discounted cash flow | Proprietary model used to calculate forward prices | 100% (100%) | |||||||||||||||||||||||||
Auction rate securities (f) | 19 | Discounted cash flow | Modeled from SIFMA Index | 10% - 80% (63%) | |||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 36 | Discounted cash flow | Proprietary model used to calculate forward prices | 10% - 100% (86%) | ||||||||||||||||||||||||
Power sales contracts (c) | -12 | Discounted cash flow | Proprietary model used to calculate forward prices | 100% (100%) | |||||||||||||||||||||||||
Auction rate securities (f) | 16 | Discounted cash flow | Modeled from SIFMA Index | 10% - 80% (63%) | |||||||||||||||||||||||||
(a) For energy commodities and auction rate securities, the range and weighted average represent the percentage of fair value derived from the unobservable inputs. For cross-currency swaps, the range and weighted average represent the percentage change in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | |||||||||||||||||||||||||||||
(b) As the forward price of natural gas increases/(decreases), the fair value of purchase contracts increases/(decreases). As the forward price of natural gas increases/(decreases), the fair value of sales contracts (decreases)/increases. | |||||||||||||||||||||||||||||
(c) As forward market prices increase/(decrease), the fair value of contracts (decreases)/increases. As volumetric assumptions for contracts in a gain position increase/(decrease), the fair value of contracts increases/(decreases). As volumetric assumptions for contracts in a loss position increase/(decrease), the fair value of the contracts (decreases)/increases. | |||||||||||||||||||||||||||||
(d) As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | |||||||||||||||||||||||||||||
(e) The proprietary model used to calculate fair value incorporates market heat rates, correlations and volatilities. As the market implied heat rate increases/(decreases), the fair value of the contracts increases/(decreases). | |||||||||||||||||||||||||||||
(f) The model used to calculate fair value incorporates an assumption that the auctions will continue to fail. As the modeled forward rates of the SIFMA Index increase/(decrease), the fair value of the securities increases/(decreases). | |||||||||||||||||||||||||||||
(g) The credit valuation adjustment incorporates projected probabilities of default and estimated recovery rates. As the credit valuation adjustment increases/(decreases), the fair value of the swaps (decreases)/increases. | |||||||||||||||||||||||||||||
The significant unobservable inputs used in and the quantitative information about the nonrecurring fair value measurement of assets and liabilities classified as Level 3 are as follows: | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project: | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 29 | Discounted cash flow | Proprietary model used to calculate plant value | 38% (38%) | ||||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
(a) The range and weighted average represent the percentage of fair value derived from the unobservable inputs. | |||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Classified as Level 3 Measured on Recurring Basis Included in Earnings | Net gains and losses on assets and liabilities classified as Level 3 and included in earnings for the years ended December 31 were reported in the Statements of Income as follows: | ||||||||||||||||||||||||||||
Energy Commodities, net | |||||||||||||||||||||||||||||
Unregulated | Unregulated Retail | Energy | |||||||||||||||||||||||||||
Wholesale Energy | Energy | Fuel | Purchases | ||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Total gains (losses) included in earnings | $ | -77 | $ | -36 | $ | 23 | $ | 25 | $ | 3 | $ | 22 | $ | 3 | |||||||||||||||
Change in unrealized gains (losses) relating to | |||||||||||||||||||||||||||||
positions still held at the reporting date | 50 | -23 | 37 | 24 | -4 | 1 | |||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Nonrecurring Basis | The following nonrecurring fair value measurements occurred during the reporting periods, resulting in asset impairments. | ||||||||||||||||||||||||||||
Carrying | Level 3 | ||||||||||||||||||||||||||||
Amount (a) | Fair Value | Loss (b) | |||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project (c): | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 47 | $ | 29 | $ | 18 | |||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | 65 | 65 | |||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | 25 | 25 | |||||||||||||||||||||||||||
(a) Represents carrying value before fair value measurement. | |||||||||||||||||||||||||||||
(b) The loss on the Kerr Dam Project was recorded in the Supply segment and included in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The loss on the Corette plant and emission allowances was recorded in the Supply segment and included in "Other operation and maintenance" on the Statement of Income. The loss on the EEI investment was recorded in the Kentucky Regulated segment and included in "Other-Than-Temporary Impairments" on the Statement of Income. | |||||||||||||||||||||||||||||
(c) The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. | |||||||||||||||||||||||||||||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | The carrying amounts of long-term debt on the Balance Sheets and their estimated fair values are set forth below. | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||
Carrying | Carrying | ||||||||||||||||||||||||||||
Amount | Fair Value | Amount | Fair Value | ||||||||||||||||||||||||||
PPL | $ | 20,391 | $ | 22,670 | $ | 20,907 | $ | 22,177 | |||||||||||||||||||||
PPL Energy Supply | 2,218 | 2,204 | 2,525 | 2,658 | |||||||||||||||||||||||||
PPL Electric | 2,602 | 2,990 | 2,315 | 2,483 | |||||||||||||||||||||||||
LKE | 4,567 | 4,946 | 4,565 | 4,672 | |||||||||||||||||||||||||
LG&E | 1,353 | 1,455 | 1,353 | 1,372 | |||||||||||||||||||||||||
KU | 2,091 | 2,313 | 2,091 | 2,155 | |||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | |||||||||||||||||||||||||||||
Fair Value [Line Items] | |||||||||||||||||||||||||||||
Reconciliation of Net Assets and Liabilities Classified as Level 3 | A reconciliation of net assets and liabilities classified as Level 3 for the years ended December 31 is as follows: | ||||||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||
Energy | Auction | ||||||||||||||||||||||||||||
Commodities, | Rate | ||||||||||||||||||||||||||||
net | Securities | Total | |||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 24 | $ | 16 | $ | 40 | |||||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -32 | -32 | |||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | |||||||||||||||||||||||||||
Purchases | -6 | -6 | |||||||||||||||||||||||||||
Sales | 67 | -9 | 58 | ||||||||||||||||||||||||||
Settlements | 50 | 50 | |||||||||||||||||||||||||||
Transfers into Level 3 | 7 | 7 | |||||||||||||||||||||||||||
Transfers out of Level 3 | 1 | 1 | |||||||||||||||||||||||||||
Balance at end of period | $ | 111 | $ | 8 | $ | 119 | |||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Balance at beginning of period | $ | 22 | $ | 13 | $ | 35 | |||||||||||||||||||||||
Total realized/unrealized gains (losses) | |||||||||||||||||||||||||||||
Included in earnings | -5 | -5 | |||||||||||||||||||||||||||
Sales | -2 | -2 | |||||||||||||||||||||||||||
Settlements | -3 | -3 | |||||||||||||||||||||||||||
Transfers into Level 3 | 10 | 3 | 13 | ||||||||||||||||||||||||||
Transfers out of Level 3 | 2 | 2 | |||||||||||||||||||||||||||
Balance at end of period | $ | 24 | $ | 16 | $ | 40 | |||||||||||||||||||||||
(a) "Energy Commodities, net" are included in "Qualifying derivatives" and "Auction Rate Securities" are included in "Available-for-sale securities" on the Statements of Comprehensive Income. | |||||||||||||||||||||||||||||
Significant Unobservable Inputs Used in Fair Value Measurement of Assets and Liabilities Classified as Level 3 | The significant unobservable inputs used in and quantitative information about the fair value measurement of assets and liabilities classified as Level 3 are as follows: | ||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 59 | Discounted cash flow | Proprietary model used to calculate forward prices | 11% - 100% (52%) | ||||||||||||||||||||||||
Power sales contracts (c) | -1 | Discounted cash flow | Proprietary model used to calculate forward prices | 9% - 100% (59%) | |||||||||||||||||||||||||
FTR purchase contracts (d) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | |||||||||||||||||||||||||
Heat Rate Options (e) | 50 | Discounted cash flow | Proprietary model used to calculate forward prices | 23% - 51% (45%) | |||||||||||||||||||||||||
Auction rate securities (f) | 10 | Discounted cash flow | Modeled from SIFMA Index | 44% - 69% (63%) | |||||||||||||||||||||||||
Cross-currency swaps (g) | 1 | Discounted cash flow | Credit valuation adjustment | 15% (15%) | |||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 59 | Discounted cash flow | Proprietary model used to calculate forward prices | 11% - 100% (52%) | ||||||||||||||||||||||||
Power sales contracts (c) | -1 | Discounted cash flow | Proprietary model used to calculate forward prices | 9% - 100% (59%) | |||||||||||||||||||||||||
FTR purchase contracts (d) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | |||||||||||||||||||||||||
Heat Rate Options (e) | 50 | Discounted cash flow | Proprietary model used to calculate forward prices | 23% - 51% (45%) | |||||||||||||||||||||||||
Auction rate securities (f) | 8 | Discounted cash flow | Modeled from SIFMA Index | 51% - 69% (63%) | |||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 36 | Discounted cash flow | Proprietary model used to calculate forward prices | 10% - 100% (86%) | ||||||||||||||||||||||||
Power sales contracts (c) | -12 | Discounted cash flow | Proprietary model used to calculate forward prices | 100% (100%) | |||||||||||||||||||||||||
Auction rate securities (f) | 19 | Discounted cash flow | Modeled from SIFMA Index | 10% - 80% (63%) | |||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||||
Energy commodities | |||||||||||||||||||||||||||||
Natural gas contracts (b) | $ | 36 | Discounted cash flow | Proprietary model used to calculate forward prices | 10% - 100% (86%) | ||||||||||||||||||||||||
Power sales contracts (c) | -12 | Discounted cash flow | Proprietary model used to calculate forward prices | 100% (100%) | |||||||||||||||||||||||||
Auction rate securities (f) | 16 | Discounted cash flow | Modeled from SIFMA Index | 10% - 80% (63%) | |||||||||||||||||||||||||
(a) For energy commodities and auction rate securities, the range and weighted average represent the percentage of fair value derived from the unobservable inputs. For cross-currency swaps, the range and weighted average represent the percentage change in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | |||||||||||||||||||||||||||||
(b) As the forward price of natural gas increases/(decreases), the fair value of purchase contracts increases/(decreases). As the forward price of natural gas increases/(decreases), the fair value of sales contracts (decreases)/increases. | |||||||||||||||||||||||||||||
(c) As forward market prices increase/(decrease), the fair value of contracts (decreases)/increases. As volumetric assumptions for contracts in a gain position increase/(decrease), the fair value of contracts increases/(decreases). As volumetric assumptions for contracts in a loss position increase/(decrease), the fair value of the contracts (decreases)/increases. | |||||||||||||||||||||||||||||
(d) As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | |||||||||||||||||||||||||||||
(e) The proprietary model used to calculate fair value incorporates market heat rates, correlations and volatilities. As the market implied heat rate increases/(decreases), the fair value of the contracts increases/(decreases). | |||||||||||||||||||||||||||||
(f) The model used to calculate fair value incorporates an assumption that the auctions will continue to fail. As the modeled forward rates of the SIFMA Index increase/(decrease), the fair value of the securities increases/(decreases). | |||||||||||||||||||||||||||||
(g) The credit valuation adjustment incorporates projected probabilities of default and estimated recovery rates. As the credit valuation adjustment increases/(decreases), the fair value of the swaps (decreases)/increases. | |||||||||||||||||||||||||||||
The significant unobservable inputs used in and the quantitative information about the nonrecurring fair value measurement of assets and liabilities classified as Level 3 are as follows: | |||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project: | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 29 | Discounted cash flow | Proprietary model used to calculate plant value | 38% (38%) | ||||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
(a) The range and weighted average represent the percentage of fair value derived from the unobservable inputs. | |||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Classified as Level 3 Measured on Recurring Basis Included in Earnings | Net gains and losses on assets and liabilities classified as Level 3 and included in earnings for the years ended December 31 were reported in the Statements of Income as follows: | ||||||||||||||||||||||||||||
Energy Commodities, net | |||||||||||||||||||||||||||||
Unregulated | Unregulated Retail | Energy | |||||||||||||||||||||||||||
Wholesale Energy | Energy | Fuel | Purchases | ||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Total gains (losses) included in earnings | $ | -77 | $ | -36 | $ | 23 | $ | 25 | $ | 3 | $ | 22 | $ | 3 | |||||||||||||||
Change in unrealized gains (losses) relating to | |||||||||||||||||||||||||||||
positions still held at the reporting date | 50 | -23 | 37 | 24 | -4 | 1 | |||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Nonrecurring Basis | The following nonrecurring fair value measurements occurred during the reporting periods, resulting in asset impairments. | ||||||||||||||||||||||||||||
Carrying | Level 3 | ||||||||||||||||||||||||||||
Amount (a) | Fair Value | Loss (b) | |||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project (c): | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 47 | $ | 29 | $ | 18 | |||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | 65 | 65 | |||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | 25 | 25 | |||||||||||||||||||||||||||
(a) Represents carrying value before fair value measurement. | |||||||||||||||||||||||||||||
(b) The loss on the Kerr Dam Project was recorded in the Supply segment and included in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The loss on the Corette plant and emission allowances was recorded in the Supply segment and included in "Other operation and maintenance" on the Statement of Income. The loss on the EEI investment was recorded in the Kentucky Regulated segment and included in "Other-Than-Temporary Impairments" on the Statement of Income. | |||||||||||||||||||||||||||||
(c) The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. | |||||||||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | |||||||||||||||||||||||||||||
Fair Value [Line Items] | |||||||||||||||||||||||||||||
Significant Unobservable Inputs Used in Fair Value Measurement of Assets and Liabilities Classified as Level 3 | The significant unobservable inputs used in and the quantitative information about the nonrecurring fair value measurement of assets and liabilities classified as Level 3 are as follows: | ||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project: | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 29 | Discounted cash flow | Proprietary model used to calculate plant value | 38% (38%) | ||||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
(a) The range and weighted average represent the percentage of fair value derived from the unobservable inputs. | |||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Nonrecurring Basis | The following nonrecurring fair value measurements occurred during the reporting periods, resulting in asset impairments. | ||||||||||||||||||||||||||||
Carrying | Level 3 | ||||||||||||||||||||||||||||
Amount (a) | Fair Value | Loss (b) | |||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project (c): | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 47 | $ | 29 | $ | 18 | |||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | 65 | 65 | |||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | 25 | 25 | |||||||||||||||||||||||||||
(a) Represents carrying value before fair value measurement. | |||||||||||||||||||||||||||||
(b) The loss on the Kerr Dam Project was recorded in the Supply segment and included in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The loss on the Corette plant and emission allowances was recorded in the Supply segment and included in "Other operation and maintenance" on the Statement of Income. The loss on the EEI investment was recorded in the Kentucky Regulated segment and included in "Other-Than-Temporary Impairments" on the Statement of Income. | |||||||||||||||||||||||||||||
(c) The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. | |||||||||||||||||||||||||||||
Kentucky Utilities Co [Member] | |||||||||||||||||||||||||||||
Fair Value [Line Items] | |||||||||||||||||||||||||||||
Significant Unobservable Inputs Used in Fair Value Measurement of Assets and Liabilities Classified as Level 3 | The significant unobservable inputs used in and the quantitative information about the nonrecurring fair value measurement of assets and liabilities classified as Level 3 are as follows: | ||||||||||||||||||||||||||||
Fair Value, net | Significant | Range | |||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | ||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | ||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project: | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 29 | Discounted cash flow | Proprietary model used to calculate plant value | 38% (38%) | ||||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | Discounted cash flow | Long-term forward price curves and capital expenditure projections | 100% (100%) | ||||||||||||||||||||||||||
(a) The range and weighted average represent the percentage of fair value derived from the unobservable inputs. | |||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Nonrecurring Basis | The following nonrecurring fair value measurements occurred during the reporting periods, resulting in asset impairments. | ||||||||||||||||||||||||||||
Carrying | Level 3 | ||||||||||||||||||||||||||||
Amount (a) | Fair Value | Loss (b) | |||||||||||||||||||||||||||
PPL and PPL Energy Supply | |||||||||||||||||||||||||||||
Kerr Dam Project (c): | |||||||||||||||||||||||||||||
31-Mar-14 | $ | 47 | $ | 29 | $ | 18 | |||||||||||||||||||||||
Corette plant and emission allowances: | |||||||||||||||||||||||||||||
31-Dec-13 | 65 | 65 | |||||||||||||||||||||||||||
PPL, LKE and KU | |||||||||||||||||||||||||||||
Equity investment in EEI: | |||||||||||||||||||||||||||||
31-Dec-12 | 25 | 25 | |||||||||||||||||||||||||||
(a) Represents carrying value before fair value measurement. | |||||||||||||||||||||||||||||
(b) The loss on the Kerr Dam Project was recorded in the Supply segment and included in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The loss on the Corette plant and emission allowances was recorded in the Supply segment and included in "Other operation and maintenance" on the Statement of Income. The loss on the EEI investment was recorded in the Kentucky Regulated segment and included in "Other-Than-Temporary Impairments" on the Statement of Income. | |||||||||||||||||||||||||||||
(c) The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
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 years ended December 31 were as follows. | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Operating Revenues | ||||||||||||||||||||||||||||||
Unregulated wholesale energy | $ | 325 | $ | -721 | $ | -311 | ||||||||||||||||||||||||
Unregulated retail energy | 29 | 12 | -17 | |||||||||||||||||||||||||||
Operating Expenses | ||||||||||||||||||||||||||||||
Fuel | -27 | -4 | -14 | |||||||||||||||||||||||||||
Energy purchases | -327 | 586 | 442 | |||||||||||||||||||||||||||
Commodity Volumes - Volumes of Derivative (Sales) Purchase Contracts | At December 31, 2014, the net volumes of derivative (sales)/purchase contracts used in support of the various strategies discussed above were as follows. | |||||||||||||||||||||||||||||
Volumes (a) | ||||||||||||||||||||||||||||||
Commodity | Unit of Measure | 2015 | 2016 | 2017 | Thereafter | |||||||||||||||||||||||||
Power | MWh | -39,946,543 | -4,999,532 | 741,005 | 3,426,579 | |||||||||||||||||||||||||
Capacity | MW-Month | -6,604 | -249 | 6 | 3 | |||||||||||||||||||||||||
Gas | MMBtu | 136,349,655 | 42,144,483 | 5,804,511 | 8,969,760 | |||||||||||||||||||||||||
FTRs | MW-Month | 2,803 | ||||||||||||||||||||||||||||
Oil | Barrels | 421,019 | 374,334 | 251,670 | 60,000 | |||||||||||||||||||||||||
(a) Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option. | ||||||||||||||||||||||||||||||
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. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
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: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps (b) | $ | 94 | $ | 5 | $ | 82 | $ | 4 | ||||||||||||||||||||||
Cross-currency swaps (b) | 3 | $ | 4 | |||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | $ | 12 | $ | 67 | 16 | 55 | ||||||||||||||||||||||||
Commodity contracts | 1,079 | 1,024 | $ | 860 | 750 | |||||||||||||||||||||||||
Total current | 12 | 97 | 1,146 | 1,029 | 82 | 20 | 860 | 809 | ||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps (b) | 14 | 43 | 9 | 32 | ||||||||||||||||||||||||||
Cross-currency swaps (b) | 29 | 28 | ||||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | 5 | 46 | 2 | 4 | 31 | |||||||||||||||||||||||||
Commodity contracts | 239 | 193 | 328 | 320 | ||||||||||||||||||||||||||
Total noncurrent | 34 | 14 | 285 | 238 | 9 | 32 | 328 | 383 | ||||||||||||||||||||||
Total derivatives | $ | 46 | $ | 111 | $ | 1,431 | $ | 1,267 | $ | 91 | $ | 52 | $ | 1,188 | $ | 1,192 | ||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
(b) Excludes accrued interest, if applicable. | ||||||||||||||||||||||||||||||
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or on the Balance Sheet | The following tables present the pre-tax effect of derivative instruments recognized in income, OCI or regulatory assets and regulatory liabilities. | |||||||||||||||||||||||||||||
Derivatives in | Hedged Items in | Location of Gain | ||||||||||||||||||||||||||||
Fair Value Hedging | Fair Value Hedging | (Loss) Recognized | Gain (Loss) Recognized | Gain (Loss) Recognized | ||||||||||||||||||||||||||
Relationships | Relationships | in Income | in Income on Derivative | in Income on Related Item | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||
Interest rate swaps | Fixed rate debt | Interest Expense | $ | 3 | ||||||||||||||||||||||||||
Gain (Loss) Recognized | ||||||||||||||||||||||||||||||
in Income on Derivative | ||||||||||||||||||||||||||||||
Derivative Gain | Location of Gain (Loss) | Gain (Loss) Reclassified | (Ineffective Portion and | |||||||||||||||||||||||||||
Derivative | (Loss) Recognized in | Recognized in Income | from AOCI into Income | Amount Excluded from | ||||||||||||||||||||||||||
Relationships | OCI (Effective Portion) | on Derivative | (Effective Portion) | Effectiveness Testing) | ||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | -91 | Interest Expense | $ | -18 | $ | 2 | |||||||||||||||||||||||
Cross-currency swaps | 58 | Other Income (Expense) - net | 57 | |||||||||||||||||||||||||||
Interest Expense | 4 | |||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | 1 | ||||||||||||||||||||||||||||
Energy purchases | 31 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 8 | |||||||||||||||||||||||||||||
Total | $ | -33 | $ | 85 | $ | 2 | ||||||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | 23 | ||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 127 | Interest Expense | $ | -20 | |||||||||||||||||||||||||
Cross-currency swaps | -41 | Other Income (Expense) - net | -28 | |||||||||||||||||||||||||||
Interest Expense | 1 | |||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | 240 | $ | 1 | ||||||||||||||||||||||||||
Energy purchases | -58 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Other | 3 | |||||||||||||||||||||||||||||
Discontinued operations | 23 | |||||||||||||||||||||||||||||
Total | $ | 86 | $ | 163 | $ | 1 | ||||||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -14 | ||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | -28 | Interest Expense | $ | -18 | |||||||||||||||||||||||||
Other Income (Expense) - net | 1 | |||||||||||||||||||||||||||||
Cross-currency swaps | -15 | Other Income (Expense) - net | -23 | |||||||||||||||||||||||||||
Interest Expense | -2 | |||||||||||||||||||||||||||||
Commodity contracts | 114 | Unregulated wholesale energy | 838 | $ | -1 | |||||||||||||||||||||||||
Energy purchases | -136 | -2 | ||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 50 | |||||||||||||||||||||||||||||
Total | $ | 71 | $ | 712 | $ | -3 | ||||||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -7 | ||||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Foreign currency contracts | Other Income (Expense) - net | $ | 121 | $ | -38 | $ | -52 | |||||||||||||||||||||||
Interest rate swaps | Interest Expense | -8 | -8 | -8 | ||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | -1,353 | -99 | 1,182 | ||||||||||||||||||||||||||
Unregulated retail energy | 30 | 25 | 30 | |||||||||||||||||||||||||||
Fuel | -30 | 2 | ||||||||||||||||||||||||||||
Energy purchases | 1,013 | 130 | -965 | |||||||||||||||||||||||||||
Discontinued operations | 6 | 14 | 17 | |||||||||||||||||||||||||||
Total | $ | -221 | $ | 26 | $ | 204 | ||||||||||||||||||||||||
Derivatives Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Cash Flow Hedges | Regulatory Liabilities/Assets | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -66 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 72 | $ | 14 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -12 | $ | 22 | $ | 1 | |||||||||||||||||||||||
Derivative Positions Eligible for Offset with Related Cash Collateral | The table below summarizes the derivative positions presented in the balance sheets where a right of setoff exists under these arrangements and related cash collateral received or pledged. | |||||||||||||||||||||||||||||
Assets | Liabilities | |||||||||||||||||||||||||||||
Eligible for Offset | Eligible for Offset | |||||||||||||||||||||||||||||
Cash | Cash | |||||||||||||||||||||||||||||
Derivative | Collateral | Derivative | Collateral | |||||||||||||||||||||||||||
Gross | Instruments | Received | Net | Gross | Instruments | Pledged | Net | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
Treasury Derivatives | 159 | 65 | 94 | 161 | 65 | 21 | 75 | |||||||||||||||||||||||
Total | $ | 1,477 | $ | 1,125 | $ | 10 | $ | 342 | $ | 1,378 | $ | 1,125 | $ | 79 | $ | 174 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 114 | $ | 20 | $ | 94 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 81 | $ | 20 | $ | 61 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 33 | $ | 33 | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
Treasury Derivatives | 91 | 61 | 30 | 174 | 61 | 23 | 90 | |||||||||||||||||||||||
Total | $ | 1,279 | $ | 973 | $ | 7 | $ | 299 | $ | 1,244 | $ | 973 | $ | 24 | $ | 247 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
Credit Risk-Related Contingent Features | At December 31, 2014, derivative contracts in a net liability position that contain credit risk-related contingent features, collateral posted on those positions and the related effect of a decrease in credit ratings below investment grade are summarized as follows: | |||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 162 | $ | 98 | $ | 30 | $ | 30 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 127 | 106 | 21 | 21 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 71 | (b) | 26 | (b) | 10 | 10 | ||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
(b) During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. Amounts related to PPL Energy Supply represent net liability positions subject to further adequate assurance features. | ||||||||||||||||||||||||||||||
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 years ended December 31 were as follows. | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
Operating Revenues | ||||||||||||||||||||||||||||||
Unregulated wholesale energy | $ | 325 | $ | -721 | $ | -311 | ||||||||||||||||||||||||
Unregulated retail energy | 29 | 12 | -17 | |||||||||||||||||||||||||||
Operating Expenses | ||||||||||||||||||||||||||||||
Fuel | -27 | -4 | -14 | |||||||||||||||||||||||||||
Energy purchases | -327 | 586 | 442 | |||||||||||||||||||||||||||
Commodity Volumes - Volumes of Derivative (Sales) Purchase Contracts | At December 31, 2014, the net volumes of derivative (sales)/purchase contracts used in support of the various strategies discussed above were as follows. | |||||||||||||||||||||||||||||
Volumes (a) | ||||||||||||||||||||||||||||||
Commodity | Unit of Measure | 2015 | 2016 | 2017 | Thereafter | |||||||||||||||||||||||||
Power | MWh | -39,946,543 | -4,999,532 | 741,005 | 3,426,579 | |||||||||||||||||||||||||
Capacity | MW-Month | -6,604 | -249 | 6 | 3 | |||||||||||||||||||||||||
Gas | MMBtu | 136,349,655 | 42,144,483 | 5,804,511 | 8,969,760 | |||||||||||||||||||||||||
FTRs | MW-Month | 2,803 | ||||||||||||||||||||||||||||
Oil | Barrels | 421,019 | 374,334 | 251,670 | 60,000 | |||||||||||||||||||||||||
(a) Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option. | ||||||||||||||||||||||||||||||
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. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Derivatives not designated | Derivatives not designated | |||||||||||||||||||||||||||||
as hedging instruments | as hedging instruments | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 1,079 | $ | 1,024 | $ | 860 | $ | 750 | ||||||||||||||||||||||
Total current | 1,079 | 1,024 | 860 | 750 | ||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Commodity contracts | 239 | 193 | 328 | 320 | ||||||||||||||||||||||||||
Total noncurrent | 239 | 193 | 328 | 320 | ||||||||||||||||||||||||||
Total derivatives | $ | 1,318 | $ | 1,217 | $ | 1,188 | $ | 1,070 | ||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or on the Balance Sheet | The following tables present the pre-tax effect of derivative instruments recognized in income or OCI. | |||||||||||||||||||||||||||||
Gain (Loss) Recognized | ||||||||||||||||||||||||||||||
in Income on Derivative | ||||||||||||||||||||||||||||||
Derivative Gain | Location of Gain (Loss) | Gain (Loss) Reclassified | (Ineffective Portion and | |||||||||||||||||||||||||||
Derivative | (Loss) Recognized in | Recognized in Income | from AOCI into Income | Amount Excluded from | ||||||||||||||||||||||||||
Relationships | OCI (Effective Portion) | on Derivative | (Effective Portion) | Effectiveness Testing) | ||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | $ | 1 | |||||||||||||||||||||||||||
Energy purchases | 31 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 8 | |||||||||||||||||||||||||||||
Total | $ | 42 | ||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | $ | 240 | $ | 1 | |||||||||||||||||||||||||
Energy purchases | -58 | |||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 23 | |||||||||||||||||||||||||||||
Total | $ | 207 | $ | 1 | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 114 | Unregulated wholesale energy | $ | 838 | $ | -1 | |||||||||||||||||||||||
Energy purchases | -136 | -2 | ||||||||||||||||||||||||||||
Depreciation | 2 | |||||||||||||||||||||||||||||
Discontinued operations | 50 | |||||||||||||||||||||||||||||
Total | $ | 114 | $ | 754 | $ | -3 | ||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Commodity contracts | Unregulated wholesale energy | $ | -1,353 | $ | -99 | $ | 1,182 | |||||||||||||||||||||||
Unregulated retail energy | 30 | 25 | 30 | |||||||||||||||||||||||||||
Fuel | -30 | 2 | ||||||||||||||||||||||||||||
Energy purchases | 1,013 | 130 | -965 | |||||||||||||||||||||||||||
Discontinued operations | 6 | 14 | 17 | |||||||||||||||||||||||||||
Total | $ | -334 | $ | 72 | $ | 264 | ||||||||||||||||||||||||
Derivative Positions Eligible for Offset with Related Cash Collateral | The table below summarizes the derivative positions presented in the balance sheets where a right of setoff exists under these arrangements and related cash collateral received or pledged. | |||||||||||||||||||||||||||||
Assets | Liabilities | |||||||||||||||||||||||||||||
Eligible for Offset | Eligible for Offset | |||||||||||||||||||||||||||||
Cash | Cash | |||||||||||||||||||||||||||||
Derivative | Collateral | Derivative | Collateral | |||||||||||||||||||||||||||
Gross | Instruments | Received | Net | Gross | Instruments | Pledged | Net | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
Treasury Derivatives | 159 | 65 | 94 | 161 | 65 | 21 | 75 | |||||||||||||||||||||||
Total | $ | 1,477 | $ | 1,125 | $ | 10 | $ | 342 | $ | 1,378 | $ | 1,125 | $ | 79 | $ | 174 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 114 | $ | 20 | $ | 94 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 81 | $ | 20 | $ | 61 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 33 | $ | 33 | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
Treasury Derivatives | 91 | 61 | 30 | 174 | 61 | 23 | 90 | |||||||||||||||||||||||
Total | $ | 1,279 | $ | 973 | $ | 7 | $ | 299 | $ | 1,244 | $ | 973 | $ | 24 | $ | 247 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
Credit Risk-Related Contingent Features | At December 31, 2014, derivative contracts in a net liability position that contain credit risk-related contingent features, collateral posted on those positions and the related effect of a decrease in credit ratings below investment grade are summarized as follows: | |||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 162 | $ | 98 | $ | 30 | $ | 30 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 127 | 106 | 21 | 21 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 71 | (b) | 26 | (b) | 10 | 10 | ||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
(b) During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. Amounts related to PPL Energy Supply represent net liability positions subject to further adequate assurance features. | ||||||||||||||||||||||||||||||
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 the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 66 | ||||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheet. | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivatives not designated as hedging instruments. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 5 | $ | 4 | ||||||||||||||||||||||||||
Total current | 5 | 4 | ||||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | 43 | 32 | ||||||||||||||||||||||||||||
Total noncurrent | 43 | 32 | ||||||||||||||||||||||||||||
Total derivatives | $ | 48 | $ | 36 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or on the Balance Sheet | The following table presents the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory assets and liabilities. | |||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -66 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 72 | $ | 14 | ||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as cash flow hedges that are recognized in income or regulatory assets. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Interest Expense | $ | -8 | $ | -8 | $ | -8 | |||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -12 | $ | 22 | $ | 1 | |||||||||||||||||||||||
Derivative Positions Eligible for Offset with Related Cash Collateral | The table below summarizes the derivative positions presented in the balance sheets where a right of setoff exists under these arrangements and related cash collateral received or pledged. | |||||||||||||||||||||||||||||
Assets | Liabilities | |||||||||||||||||||||||||||||
Eligible for Offset | Eligible for Offset | |||||||||||||||||||||||||||||
Cash | Cash | |||||||||||||||||||||||||||||
Derivative | Collateral | Derivative | Collateral | |||||||||||||||||||||||||||
Gross | Instruments | Received | Net | Gross | Instruments | Pledged | Net | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
Treasury Derivatives | 159 | 65 | 94 | 161 | 65 | 21 | 75 | |||||||||||||||||||||||
Total | $ | 1,477 | $ | 1,125 | $ | 10 | $ | 342 | $ | 1,378 | $ | 1,125 | $ | 79 | $ | 174 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 114 | $ | 20 | $ | 94 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 81 | $ | 20 | $ | 61 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 33 | $ | 33 | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
Treasury Derivatives | 91 | 61 | 30 | 174 | 61 | 23 | 90 | |||||||||||||||||||||||
Total | $ | 1,279 | $ | 973 | $ | 7 | $ | 299 | $ | 1,244 | $ | 973 | $ | 24 | $ | 247 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
Credit Risk-Related Contingent Features | At December 31, 2014, derivative contracts in a net liability position that contain credit risk-related contingent features, collateral posted on those positions and the related effect of a decrease in credit ratings below investment grade are summarized as follows: | |||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 162 | $ | 98 | $ | 30 | $ | 30 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 127 | 106 | 21 | 21 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 71 | (b) | 26 | (b) | 10 | 10 | ||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
(b) During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. Amounts related to PPL Energy Supply represent net liability positions subject to further adequate assurance features. | ||||||||||||||||||||||||||||||
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 the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 33 | ||||||||||||||||||||||||||||
(a) Represents the location on the balance sheet. | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivatives not designated as hedging instruments. | ||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 5 | $ | 4 | ||||||||||||||||||||||||||
Total current | 5 | 4 | ||||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | 43 | 32 | ||||||||||||||||||||||||||||
Total noncurrent | 43 | 32 | ||||||||||||||||||||||||||||
Total derivatives | $ | 48 | $ | 36 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or on the Balance Sheet | The following table presents the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory assets and liabilities. | |||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory asset - noncurrent | $ | -33 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 36 | $ | 7 | ||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as cash flow hedges that are recognized in income or regulatory assets. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Interest Expense | $ | -8 | $ | -8 | $ | -8 | |||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -12 | $ | 22 | $ | 1 | |||||||||||||||||||||||
Derivative Positions Eligible for Offset with Related Cash Collateral | The table below summarizes the derivative positions presented in the balance sheets where a right of setoff exists under these arrangements and related cash collateral received or pledged. | |||||||||||||||||||||||||||||
Assets | Liabilities | |||||||||||||||||||||||||||||
Eligible for Offset | Eligible for Offset | |||||||||||||||||||||||||||||
Cash | Cash | |||||||||||||||||||||||||||||
Derivative | Collateral | Derivative | Collateral | |||||||||||||||||||||||||||
Gross | Instruments | Received | Net | Gross | Instruments | Pledged | Net | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
Treasury Derivatives | 159 | 65 | 94 | 161 | 65 | 21 | 75 | |||||||||||||||||||||||
Total | $ | 1,477 | $ | 1,125 | $ | 10 | $ | 342 | $ | 1,378 | $ | 1,125 | $ | 79 | $ | 174 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 114 | $ | 20 | $ | 94 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 81 | $ | 20 | $ | 61 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 33 | $ | 33 | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
Treasury Derivatives | 91 | 61 | 30 | 174 | 61 | 23 | 90 | |||||||||||||||||||||||
Total | $ | 1,279 | $ | 973 | $ | 7 | $ | 299 | $ | 1,244 | $ | 973 | $ | 24 | $ | 247 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
Credit Risk-Related Contingent Features | At December 31, 2014, derivative contracts in a net liability position that contain credit risk-related contingent features, collateral posted on those positions and the related effect of a decrease in credit ratings below investment grade are summarized as follows: | |||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 162 | $ | 98 | $ | 30 | $ | 30 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 127 | 106 | 21 | 21 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 71 | (b) | 26 | (b) | 10 | 10 | ||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
(b) During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. Amounts related to PPL Energy Supply represent net liability positions subject to further adequate assurance features. | ||||||||||||||||||||||||||||||
Kentucky Utilities 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 the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 33 | ||||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets | ||||||||||||||||||||||||||||||
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or on the Balance Sheet | Derivative Instruments | Location of Gain (Loss) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | -33 | |||||||||||||||||||||||||||
Regulatory liabilities - noncurrent | $ | 36 | $ | 7 | ||||||||||||||||||||||||||
Derivative Positions Eligible for Offset with Related Cash Collateral | The table below summarizes the derivative positions presented in the balance sheets where a right of setoff exists under these arrangements and related cash collateral received or pledged. | |||||||||||||||||||||||||||||
Assets | Liabilities | |||||||||||||||||||||||||||||
Eligible for Offset | Eligible for Offset | |||||||||||||||||||||||||||||
Cash | Cash | |||||||||||||||||||||||||||||
Derivative | Collateral | Derivative | Collateral | |||||||||||||||||||||||||||
Gross | Instruments | Received | Net | Gross | Instruments | Pledged | Net | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
Treasury Derivatives | 159 | 65 | 94 | 161 | 65 | 21 | 75 | |||||||||||||||||||||||
Total | $ | 1,477 | $ | 1,125 | $ | 10 | $ | 342 | $ | 1,378 | $ | 1,125 | $ | 79 | $ | 174 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,318 | $ | 1,060 | $ | 10 | $ | 248 | $ | 1,217 | $ | 1,060 | $ | 58 | $ | 99 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 114 | $ | 20 | $ | 94 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 81 | $ | 20 | $ | 61 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 33 | $ | 33 | ||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
Treasury Derivatives | 91 | 61 | 30 | 174 | 61 | 23 | 90 | |||||||||||||||||||||||
Total | $ | 1,279 | $ | 973 | $ | 7 | $ | 299 | $ | 1,244 | $ | 973 | $ | 24 | $ | 247 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,188 | $ | 912 | $ | 7 | $ | 269 | $ | 1,070 | $ | 912 | $ | 1 | $ | 157 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 36 | $ | 20 | $ | 16 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||||||||||||||||||||||||
Goodwill Rollforward | 18. Goodwill and Other Intangible Assets | |||||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||
The changes in the carrying amount of goodwill by segment were: | ||||||||||||||||||||||||||||
U.K. Regulated | Kentucky Regulated | Supply | Total | |||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Balance at beginning of period (a) | $ | 3,143 | $ | 3,076 | $ | 662 | $ | 662 | $ | 420 | $ | 420 | $ | 4,225 | $ | 4,158 | ||||||||||||
Allocation to discontinued operations (b) | -82 | -82 | ||||||||||||||||||||||||||
Effect of foreign currency exchange rates | -138 | 67 | -138 | 67 | ||||||||||||||||||||||||
Balance at end of period (a) | $ | 3,005 | $ | 3,143 | $ | 662 | $ | 662 | $ | 338 | $ | 420 | $ | 4,005 | $ | 4,225 | ||||||||||||
(a) There were no accumulated impairment losses related to goodwill. | ||||||||||||||||||||||||||||
(b) Represents goodwill allocated to the Montana hydroelectric generating facilities that were sold in November 2014. See Note 8 for additional information. | ||||||||||||||||||||||||||||
Other Intangible Assets | Other Intangible Assets | |||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Contracts (a) | $ | 408 | $ | 250 | $ | 408 | $ | 202 | ||||||||||||||||||||
Land and transmission rights | 359 | 121 | 331 | 117 | ||||||||||||||||||||||||
Emission allowances/RECs (b) | 15 | 16 | ||||||||||||||||||||||||||
Licenses and other (c) | 280 | 25 | 305 | 45 | ||||||||||||||||||||||||
Total subject to amortization | 1,062 | 396 | 1,060 | 364 | ||||||||||||||||||||||||
Not subject to amortization due to indefinite life: | ||||||||||||||||||||||||||||
Land and transmission rights | 16 | 16 | ||||||||||||||||||||||||||
Easements | 250 | 239 | ||||||||||||||||||||||||||
Total not subject to amortization due to indefinite life | 266 | 255 | ||||||||||||||||||||||||||
Total | $ | 1,328 | $ | 396 | $ | 1,315 | $ | 364 | ||||||||||||||||||||
(a) Gross carrying amount includes the fair value at the acquisition date of the OVEC power purchase contract and coal contracts with terms favorable to market recognized as a result of the 2010 acquisition of LKE by PPL. Offsetting regulatory liabilities were recorded related to these contracts, which are being amortized over the same period as the intangible assets, eliminating any income statement impact. This is referred to as "regulatory offset" in the tables below. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) "Other" includes costs for the development of licenses, the most significant of which is the COLA. Amortization of these costs begins when the related asset is placed in service. See Note 8 for additional information on the COLA. | ||||||||||||||||||||||||||||
Amortization Expense, Excluding Consumption of Emission Allowances / Renewable Energy Credits | Amortization expense for the years ended December 31, excluding consumption of emission allowances/RECs of $24 million, $23 million and $12 million in 2014, 2013 and 2012, was as follows: | |||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 10 | $ | 10 | $ | 14 | ||||||||||||||||||||||
Intangible assets with regulatory offset | 47 | 51 | 47 | |||||||||||||||||||||||||
Total | $ | 57 | $ | 61 | $ | 61 | ||||||||||||||||||||||
Future Amortization Expense | Amortization expense for each of the next five years, excluding insignificant amounts for consumption of emission allowances/RECs, is estimated to be: | |||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 8 | $ | 8 | $ | 8 | $ | 8 | $ | 8 | ||||||||||||||||||
Intangible assets with regulatory offset | 50 | 26 | 9 | 9 | 9 | |||||||||||||||||||||||
Total | $ | 58 | $ | 34 | $ | 17 | $ | 17 | $ | 17 | ||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||||||||||||||||||||||||
Other Intangible Assets | (PPL Energy Supply) | |||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Land and transmission rights | $ | 17 | $ | 14 | $ | 17 | $ | 14 | ||||||||||||||||||||
Emission allowances/RECs (a) | 10 | 11 | ||||||||||||||||||||||||||
Licenses and other (b) | 270 | 19 | 295 | 39 | ||||||||||||||||||||||||
Total subject to amortization | $ | 297 | $ | 33 | $ | 323 | $ | 53 | ||||||||||||||||||||
(a) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(b) "Other" includes costs for the development of licenses, the most significant of which is the COLA. Amortization of these costs begins when the related asset is placed in service. See Note 8 for additional information on the COLA. | ||||||||||||||||||||||||||||
Amortization Expense, Excluding Consumption of Emission Allowances / Renewable Energy Credits | Amortization expense for the years ended December 31, excluding consumption of emission allowances/RECs of $24 million, $23 million and $12 million in 2014, 2013, and 2012 was as follows: | |||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Amortization expense | $ | 4 | $ | 5 | $ | 9 | ||||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||||||||||||||||||||||||
Other Intangible Assets | (PPL Electric) | |||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Land and transmission rights | $ | 321 | $ | 105 | $ | 293 | $ | 102 | ||||||||||||||||||||
Licenses and other | 4 | 1 | 5 | 1 | ||||||||||||||||||||||||
Total subject to amortization | 325 | 106 | 298 | 103 | ||||||||||||||||||||||||
Not subject to amortization due to indefinite life: | ||||||||||||||||||||||||||||
Land and transmission rights | 16 | 16 | ||||||||||||||||||||||||||
Total | $ | 341 | $ | 106 | $ | 314 | $ | 103 | ||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||||||||||||||||||||||||
Other Intangible Assets | (LKE) | |||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Coal contracts (a) | $ | 269 | $ | 210 | $ | 269 | $ | 171 | ||||||||||||||||||||
Land and transmission rights | 21 | 2 | 20 | 2 | ||||||||||||||||||||||||
Emission allowances (b) | 3 | 4 | ||||||||||||||||||||||||||
OVEC power purchase agreement (c) | 126 | 33 | 126 | 25 | ||||||||||||||||||||||||
Total subject to amortization | $ | 419 | $ | 245 | $ | 419 | $ | 198 | ||||||||||||||||||||
(a) Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
Amortization Expense, Excluding Consumption of Emission Allowances / Renewable Energy Credits | Amortization expense was as follows: | |||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 1 | ||||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 47 | 51 | $ | 47 | |||||||||||||||||||||||
Total | $ | 47 | $ | 52 | $ | 47 | ||||||||||||||||||||||
Future Amortization Expense | Amortization expense for each of the next five years, excluding consumption of emission allowances, is estimated to be: | |||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 50 | $ | 26 | $ | 9 | $ | 9 | $ | 9 | ||||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||||||||||||||||||||||||
Other Intangible Assets | (LG&E) | |||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Coal contracts (a) | $ | 124 | $ | 98 | $ | 124 | $ | 81 | ||||||||||||||||||||
Land and transmission rights | 7 | 1 | 7 | 1 | ||||||||||||||||||||||||
Emission allowances (b) | 1 | 1 | ||||||||||||||||||||||||||
OVEC power purchase agreement (c) | 87 | 23 | 87 | 17 | ||||||||||||||||||||||||
Total subject to amortization | $ | 219 | $ | 122 | $ | 219 | $ | 99 | ||||||||||||||||||||
(a) Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
Amortization Expense, Excluding Consumption of Emission Allowances / Renewable Energy Credits | Amortization expense was as follows: | |||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 23 | $ | 23 | $ | 23 | ||||||||||||||||||||||
Future Amortization Expense | Amortization expense for each of the next five years, excluding consumption of emission allowances, is estimated to be: | |||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 24 | $ | 13 | $ | 6 | $ | 6 | $ | 6 | ||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Line Items] | ||||||||||||||||||||||||||||
Other Intangible Assets | (KU) | |||||||||||||||||||||||||||
The gross carrying amount and the accumulated amortization of other intangible assets were: | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
Gross | Gross | |||||||||||||||||||||||||||
Carrying | Accumulated | Carrying | Accumulated | |||||||||||||||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||||||||||||||
Subject to amortization: | ||||||||||||||||||||||||||||
Coal contracts (a) | $ | 145 | $ | 112 | $ | 145 | $ | 90 | ||||||||||||||||||||
Land and transmission rights | 14 | 1 | 13 | 1 | ||||||||||||||||||||||||
Emission allowances (b) | 2 | 3 | ||||||||||||||||||||||||||
OVEC power purchase agreement (c) | 39 | 10 | 39 | 8 | ||||||||||||||||||||||||
Total subject to amortization | $ | 200 | $ | 123 | $ | 200 | $ | 99 | ||||||||||||||||||||
(a) Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
(b) Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||||||||||||||||||||||||||
(c) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 6 for additional information. | ||||||||||||||||||||||||||||
Amortization Expense, Excluding Consumption of Emission Allowances / Renewable Energy Credits | Amortization expense was as follows: | |||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
Intangible assets with no regulatory offset | $ | 1 | ||||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 24 | 28 | $ | 24 | |||||||||||||||||||||||
Total | $ | 24 | $ | 29 | $ | 24 | ||||||||||||||||||||||
Future Amortization Expense | Amortization expense for each of the next five years, excluding consumption of emission allowances, is estimated to be: | |||||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||||||||||||||
Intangible assets with regulatory offset | $ | 26 | $ | 13 | $ | 3 | $ | 3 | $ | 3 |
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Asset Retirement Obligation [Line Items] | |||||||||||||||||||||
Asset Retirement Obligation Roll Forward | The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||||
PPL | PPL Energy Supply | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
ARO at beginning of period | $ | 705 | $ | 552 | $ | 404 | $ | 375 | |||||||||||||
Accretion | 48 | 38 | 32 | 29 | |||||||||||||||||
Obligations incurred | 14 | 6 | 13 | 6 | |||||||||||||||||
Changes in estimated cash flow or settlement date | 9 | 123 | -16 | 1 | |||||||||||||||||
Effect of foreign currency exchange rates | -2 | 1 | |||||||||||||||||||
Obligations settled | -13 | -15 | -8 | -7 | |||||||||||||||||
ARO at end of period | $ | 761 | $ | 705 | $ | 425 | $ | 404 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
ARO at beginning of period | $ | 252 | $ | 131 | $ | 74 | $ | 62 | $ | 178 | $ | 69 | |||||||||
Accretion | 14 | 7 | 4 | 3 | 10 | 4 | |||||||||||||||
Obligations incurred | 1 | 1 | |||||||||||||||||||
Changes in estimated cash flow | |||||||||||||||||||||
or settlement date | 23 | 122 | 1 | 17 | 22 | 105 | |||||||||||||||
Obligations settled | -5 | -8 | -5 | -8 | |||||||||||||||||
ARO at end of period | $ | 285 | $ | 252 | $ | 74 | $ | 74 | $ | 211 | $ | 178 | |||||||||
PPL Energy Supply LLC [Member] | |||||||||||||||||||||
Asset Retirement Obligation [Line Items] | |||||||||||||||||||||
Asset Retirement Obligation Roll Forward | The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||||
PPL | PPL Energy Supply | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
ARO at beginning of period | $ | 705 | $ | 552 | $ | 404 | $ | 375 | |||||||||||||
Accretion | 48 | 38 | 32 | 29 | |||||||||||||||||
Obligations incurred | 14 | 6 | 13 | 6 | |||||||||||||||||
Changes in estimated cash flow or settlement date | 9 | 123 | -16 | 1 | |||||||||||||||||
Effect of foreign currency exchange rates | -2 | 1 | |||||||||||||||||||
Obligations settled | -13 | -15 | -8 | -7 | |||||||||||||||||
ARO at end of period | $ | 761 | $ | 705 | $ | 425 | $ | 404 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
ARO at beginning of period | $ | 252 | $ | 131 | $ | 74 | $ | 62 | $ | 178 | $ | 69 | |||||||||
Accretion | 14 | 7 | 4 | 3 | 10 | 4 | |||||||||||||||
Obligations incurred | 1 | 1 | |||||||||||||||||||
Changes in estimated cash flow | |||||||||||||||||||||
or settlement date | 23 | 122 | 1 | 17 | 22 | 105 | |||||||||||||||
Obligations settled | -5 | -8 | -5 | -8 | |||||||||||||||||
ARO at end of period | $ | 285 | $ | 252 | $ | 74 | $ | 74 | $ | 211 | $ | 178 | |||||||||
LG And E And KU Energy LLC [Member] | |||||||||||||||||||||
Asset Retirement Obligation [Line Items] | |||||||||||||||||||||
Asset Retirement Obligation Roll Forward | The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||||
PPL | PPL Energy Supply | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
ARO at beginning of period | $ | 705 | $ | 552 | $ | 404 | $ | 375 | |||||||||||||
Accretion | 48 | 38 | 32 | 29 | |||||||||||||||||
Obligations incurred | 14 | 6 | 13 | 6 | |||||||||||||||||
Changes in estimated cash flow or settlement date | 9 | 123 | -16 | 1 | |||||||||||||||||
Effect of foreign currency exchange rates | -2 | 1 | |||||||||||||||||||
Obligations settled | -13 | -15 | -8 | -7 | |||||||||||||||||
ARO at end of period | $ | 761 | $ | 705 | $ | 425 | $ | 404 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
ARO at beginning of period | $ | 252 | $ | 131 | $ | 74 | $ | 62 | $ | 178 | $ | 69 | |||||||||
Accretion | 14 | 7 | 4 | 3 | 10 | 4 | |||||||||||||||
Obligations incurred | 1 | 1 | |||||||||||||||||||
Changes in estimated cash flow | |||||||||||||||||||||
or settlement date | 23 | 122 | 1 | 17 | 22 | 105 | |||||||||||||||
Obligations settled | -5 | -8 | -5 | -8 | |||||||||||||||||
ARO at end of period | $ | 285 | $ | 252 | $ | 74 | $ | 74 | $ | 211 | $ | 178 | |||||||||
Louisville Gas And Electric Co [Member] | |||||||||||||||||||||
Asset Retirement Obligation [Line Items] | |||||||||||||||||||||
Asset Retirement Obligation Roll Forward | The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||||
PPL | PPL Energy Supply | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
ARO at beginning of period | $ | 705 | $ | 552 | $ | 404 | $ | 375 | |||||||||||||
Accretion | 48 | 38 | 32 | 29 | |||||||||||||||||
Obligations incurred | 14 | 6 | 13 | 6 | |||||||||||||||||
Changes in estimated cash flow or settlement date | 9 | 123 | -16 | 1 | |||||||||||||||||
Effect of foreign currency exchange rates | -2 | 1 | |||||||||||||||||||
Obligations settled | -13 | -15 | -8 | -7 | |||||||||||||||||
ARO at end of period | $ | 761 | $ | 705 | $ | 425 | $ | 404 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
ARO at beginning of period | $ | 252 | $ | 131 | $ | 74 | $ | 62 | $ | 178 | $ | 69 | |||||||||
Accretion | 14 | 7 | 4 | 3 | 10 | 4 | |||||||||||||||
Obligations incurred | 1 | 1 | |||||||||||||||||||
Changes in estimated cash flow | |||||||||||||||||||||
or settlement date | 23 | 122 | 1 | 17 | 22 | 105 | |||||||||||||||
Obligations settled | -5 | -8 | -5 | -8 | |||||||||||||||||
ARO at end of period | $ | 285 | $ | 252 | $ | 74 | $ | 74 | $ | 211 | $ | 178 | |||||||||
Kentucky Utilities Co [Member] | |||||||||||||||||||||
Asset Retirement Obligation [Line Items] | |||||||||||||||||||||
Asset Retirement Obligation Roll Forward | The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||||
PPL | PPL Energy Supply | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
ARO at beginning of period | $ | 705 | $ | 552 | $ | 404 | $ | 375 | |||||||||||||
Accretion | 48 | 38 | 32 | 29 | |||||||||||||||||
Obligations incurred | 14 | 6 | 13 | 6 | |||||||||||||||||
Changes in estimated cash flow or settlement date | 9 | 123 | -16 | 1 | |||||||||||||||||
Effect of foreign currency exchange rates | -2 | 1 | |||||||||||||||||||
Obligations settled | -13 | -15 | -8 | -7 | |||||||||||||||||
ARO at end of period | $ | 761 | $ | 705 | $ | 425 | $ | 404 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
ARO at beginning of period | $ | 252 | $ | 131 | $ | 74 | $ | 62 | $ | 178 | $ | 69 | |||||||||
Accretion | 14 | 7 | 4 | 3 | 10 | 4 | |||||||||||||||
Obligations incurred | 1 | 1 | |||||||||||||||||||
Changes in estimated cash flow | |||||||||||||||||||||
or settlement date | 23 | 122 | 1 | 17 | 22 | 105 | |||||||||||||||
Obligations settled | -5 | -8 | -5 | -8 | |||||||||||||||||
ARO at end of period | $ | 285 | $ | 252 | $ | 74 | $ | 74 | $ | 211 | $ | 178 |
AvailableforSale_Securities_Ta
Available-for-Sale Securities (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Available-for-Sale Securities [Line Items] | ||||||||||||||||||||||||||||||
Available-for-Sale Securities | The following table shows the amortized cost, the gross unrealized gains and losses recorded in AOCI and the fair value of available-for-sale securities. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 19 | $ | 19 | $ | 14 | $ | 14 | ||||||||||||||||||||||
Equity securities | 283 | $ | 417 | 700 | 265 | $ | 363 | 628 | ||||||||||||||||||||||
Debt securities | 218 | 11 | 229 | 217 | 7 | $ | 3 | 221 | ||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | 1 | 1 | ||||||||||||||||||||||||||
Total NDT funds | $ | 522 | $ | 428 | $ | 950 | $ | 497 | $ | 370 | $ | 3 | $ | 864 | ||||||||||||||||
Auction rate securities: | ||||||||||||||||||||||||||||||
PPL | $ | 11 | $ | 1 | $ | 10 | $ | 20 | $ | 1 | $ | 19 | ||||||||||||||||||
PPL Energy Supply | 8 | 8 | 17 | 1 | 16 | |||||||||||||||||||||||||
Scheduled Maturity Dates of Debt Securities | The following table shows the scheduled maturity dates of debt securities held at December 31, 2014. | |||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 68 | $ | 229 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 73 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 65 | $ | 226 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 71 | 237 | |||||||||||||||||||||||||
Proceeds From and Realized Gains and Losses on Sales of Available-for-sale Securities | The following table shows proceeds from and realized gains and losses on sales of available-for-sale securities. | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 5 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 3 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
(a) These proceeds are used to pay income taxes and fees related to managing the trust. Remaining proceeds are reinvested in the trust. | ||||||||||||||||||||||||||||||
(b) Excludes the impact of other-than-temporary impairment charges recognized on the Statements of Income. | ||||||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||||||||||
Available-for-Sale Securities [Line Items] | ||||||||||||||||||||||||||||||
Available-for-Sale Securities | The following table shows the amortized cost, the gross unrealized gains and losses recorded in AOCI and the fair value of available-for-sale securities. | |||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 19 | $ | 19 | $ | 14 | $ | 14 | ||||||||||||||||||||||
Equity securities | 283 | $ | 417 | 700 | 265 | $ | 363 | 628 | ||||||||||||||||||||||
Debt securities | 218 | 11 | 229 | 217 | 7 | $ | 3 | 221 | ||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | 1 | 1 | ||||||||||||||||||||||||||
Total NDT funds | $ | 522 | $ | 428 | $ | 950 | $ | 497 | $ | 370 | $ | 3 | $ | 864 | ||||||||||||||||
Auction rate securities: | ||||||||||||||||||||||||||||||
PPL | $ | 11 | $ | 1 | $ | 10 | $ | 20 | $ | 1 | $ | 19 | ||||||||||||||||||
PPL Energy Supply | 8 | 8 | 17 | 1 | 16 | |||||||||||||||||||||||||
Scheduled Maturity Dates of Debt Securities | The following table shows the scheduled maturity dates of debt securities held at December 31, 2014. | |||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 68 | $ | 229 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 73 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 10 | $ | 87 | $ | 64 | $ | 65 | $ | 226 | ||||||||||||||||||||
Fair value | 10 | 89 | 67 | 71 | 237 | |||||||||||||||||||||||||
Proceeds From and Realized Gains and Losses on Sales of Available-for-sale Securities | The following table shows proceeds from and realized gains and losses on sales of available-for-sale securities. | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 5 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 154 | $ | 144 | $ | 139 | ||||||||||||||||||||||||
Other proceeds from sales | 9 | 3 | ||||||||||||||||||||||||||||
Gross realized gains (b) | 23 | 17 | 29 | |||||||||||||||||||||||||||
Gross realized losses (b) | 10 | 7 | 21 | |||||||||||||||||||||||||||
(a) These proceeds are used to pay income taxes and fees related to managing the trust. Remaining proceeds are reinvested in the trust. | ||||||||||||||||||||||||||||||
(b) Excludes the impact of other-than-temporary impairment charges recognized on the Statements of Income. |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | The after-tax changes in AOCI by component for the years ended December 31 were as follows. | ||||||||||||||||||||||||
Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
Foreign | |||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | ||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | |||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | ||||||||||||||||||
PPL | |||||||||||||||||||||||||
December 31, 2011 | $ | -243 | $ | 90 | $ | 527 | $ | -1 | $ | -25 | $ | -1,137 | $ | 1 | $ | -788 | |||||||||
OCI | 94 | 22 | -395 | 2 | 11 | -886 | -1,152 | ||||||||||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | |||||||||
Amounts arising during the year | 138 | 67 | 45 | 2 | 71 | 323 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -83 | 6 | 135 | 52 | ||||||||||||||||||||
Net OCI during the year | 138 | 61 | -38 | 8 | 206 | 375 | |||||||||||||||||||
December 31, 2013 | $ | -11 | $ | 173 | $ | 94 | $ | 1 | $ | -6 | $ | -1,817 | $ | 1 | $ | -1,565 | |||||||||
Amounts arising during the year | -275 | 35 | -10 | 5 | -509 | -754 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -64 | 4 | 111 | 45 | ||||||||||||||||||||
Net OCI during the year | -275 | 29 | -74 | 9 | -398 | -709 | |||||||||||||||||||
December 31, 2014 | $ | -286 | $ | 202 | $ | 20 | $ | 1 | $ | 3 | $ | -2,215 | $ | 1 | $ | -2,274 | |||||||||
PPL Energy Supply | |||||||||||||||||||||||||
December 31, 2011 | $ | 90 | $ | 606 | $ | -16 | $ | -193 | $ | 487 | |||||||||||||||
OCI | 22 | -395 | 6 | -72 | -439 | ||||||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | |||||||||||||||
Amounts arising during the year | 67 | 2 | 71 | 140 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -123 | 4 | 14 | -111 | ||||||||||||||||||||
Net OCI during the year | 61 | -123 | 6 | 85 | 29 | ||||||||||||||||||||
December 31, 2013 | $ | 173 | $ | 88 | $ | -4 | $ | -180 | $ | 77 | |||||||||||||||
Amounts arising during the year | 35 | 8 | -120 | -77 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -25 | 3 | 5 | -23 | ||||||||||||||||||||
Net OCI during the year | 29 | -25 | 11 | -115 | -100 | ||||||||||||||||||||
December 31, 2014 | $ | 202 | $ | 63 | $ | 7 | $ | -295 | $ | -23 | |||||||||||||||
LKE | |||||||||||||||||||||||||
December 31, 2011 | $ | -2 | $ | 6 | $ | 4 | |||||||||||||||||||
OCI | $ | 1 | -20 | -19 | |||||||||||||||||||||
December 31, 2012 | $ | 1 | $ | -2 | $ | -14 | $ | -15 | |||||||||||||||||
Amounts arising during the year | 28 | 28 | |||||||||||||||||||||||
Net OCI during the year | 28 | 28 | |||||||||||||||||||||||
December 31, 2013 | $ | 1 | $ | -2 | $ | 14 | $ | 13 | |||||||||||||||||
Amounts arising during the year | -7 | -50 | -57 | ||||||||||||||||||||||
Reclassifications from AOCI | -1 | 1 | -1 | -1 | |||||||||||||||||||||
Net OCI during the year | -1 | -6 | -51 | -58 | |||||||||||||||||||||
December 31, 2014 | $ | $ | -8 | $ | -37 | $ | -45 | ||||||||||||||||||
Reclassification out of Other Comprehensive Income (Loss) | The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the years ended December 31, 2014 and 2013. | ||||||||||||||||||||||||
PPL | PPL Energy Supply | Affected Line Item on the | |||||||||||||||||||||||
Details about AOCI | 2014 | 2013 | 2014 | 2013 | Statements of Income | ||||||||||||||||||||
Available-for-sale securities | $ | 13 | $ | 10 | $ | 13 | $ | 10 | Other Income (Expense) - net | ||||||||||||||||
Total Pre-tax | 13 | 10 | 13 | 10 | |||||||||||||||||||||
Income Taxes | -7 | -4 | -7 | -4 | |||||||||||||||||||||
Total After-tax | 6 | 6 | 6 | 6 | |||||||||||||||||||||
Qualifying derivatives | |||||||||||||||||||||||||
Interest rate swaps | -16 | -20 | Interest Expense | ||||||||||||||||||||||
Cross-currency swaps | 57 | -28 | Other Income (Expense) - net | ||||||||||||||||||||||
4 | 1 | Interest Expense | |||||||||||||||||||||||
Energy commodities | 1 | 240 | 1 | 240 | Unregulated wholesale energy | ||||||||||||||||||||
31 | -58 | 31 | -58 | Energy purchases | |||||||||||||||||||||
8 | 23 | 8 | 23 | Discontinued operations | |||||||||||||||||||||
2 | 5 | 2 | 2 | Other | |||||||||||||||||||||
Total Pre-tax | 87 | 163 | 42 | 207 | |||||||||||||||||||||
Income Taxes | -23 | -80 | -17 | -84 | |||||||||||||||||||||
Total After-tax | 64 | 83 | 25 | 123 | |||||||||||||||||||||
Defined benefit plans | |||||||||||||||||||||||||
Prior service costs | -7 | -10 | -4 | -7 | |||||||||||||||||||||
Net actuarial loss | -145 | -184 | -9 | -24 | |||||||||||||||||||||
Total Pre-tax | -152 | -194 | -13 | -31 | |||||||||||||||||||||
Income Taxes | 37 | 53 | 5 | 13 | |||||||||||||||||||||
Total After-tax | -115 | -141 | -8 | -18 | |||||||||||||||||||||
Total reclassifications during the year | $ | -45 | $ | -52 | $ | 23 | $ | 111 | |||||||||||||||||
PPL Energy Supply LLC [Member] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | The after-tax changes in AOCI by component for the years ended December 31 were as follows. | ||||||||||||||||||||||||
Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
Foreign | |||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | ||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | |||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | ||||||||||||||||||
PPL | |||||||||||||||||||||||||
December 31, 2011 | $ | -243 | $ | 90 | $ | 527 | $ | -1 | $ | -25 | $ | -1,137 | $ | 1 | $ | -788 | |||||||||
OCI | 94 | 22 | -395 | 2 | 11 | -886 | -1,152 | ||||||||||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | |||||||||
Amounts arising during the year | 138 | 67 | 45 | 2 | 71 | 323 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -83 | 6 | 135 | 52 | ||||||||||||||||||||
Net OCI during the year | 138 | 61 | -38 | 8 | 206 | 375 | |||||||||||||||||||
December 31, 2013 | $ | -11 | $ | 173 | $ | 94 | $ | 1 | $ | -6 | $ | -1,817 | $ | 1 | $ | -1,565 | |||||||||
Amounts arising during the year | -275 | 35 | -10 | 5 | -509 | -754 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -64 | 4 | 111 | 45 | ||||||||||||||||||||
Net OCI during the year | -275 | 29 | -74 | 9 | -398 | -709 | |||||||||||||||||||
December 31, 2014 | $ | -286 | $ | 202 | $ | 20 | $ | 1 | $ | 3 | $ | -2,215 | $ | 1 | $ | -2,274 | |||||||||
PPL Energy Supply | |||||||||||||||||||||||||
December 31, 2011 | $ | 90 | $ | 606 | $ | -16 | $ | -193 | $ | 487 | |||||||||||||||
OCI | 22 | -395 | 6 | -72 | -439 | ||||||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | |||||||||||||||
Amounts arising during the year | 67 | 2 | 71 | 140 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -123 | 4 | 14 | -111 | ||||||||||||||||||||
Net OCI during the year | 61 | -123 | 6 | 85 | 29 | ||||||||||||||||||||
December 31, 2013 | $ | 173 | $ | 88 | $ | -4 | $ | -180 | $ | 77 | |||||||||||||||
Amounts arising during the year | 35 | 8 | -120 | -77 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -25 | 3 | 5 | -23 | ||||||||||||||||||||
Net OCI during the year | 29 | -25 | 11 | -115 | -100 | ||||||||||||||||||||
December 31, 2014 | $ | 202 | $ | 63 | $ | 7 | $ | -295 | $ | -23 | |||||||||||||||
LKE | |||||||||||||||||||||||||
December 31, 2011 | $ | -2 | $ | 6 | $ | 4 | |||||||||||||||||||
OCI | $ | 1 | -20 | -19 | |||||||||||||||||||||
December 31, 2012 | $ | 1 | $ | -2 | $ | -14 | $ | -15 | |||||||||||||||||
Amounts arising during the year | 28 | 28 | |||||||||||||||||||||||
Net OCI during the year | 28 | 28 | |||||||||||||||||||||||
December 31, 2013 | $ | 1 | $ | -2 | $ | 14 | $ | 13 | |||||||||||||||||
Amounts arising during the year | -7 | -50 | -57 | ||||||||||||||||||||||
Reclassifications from AOCI | -1 | 1 | -1 | -1 | |||||||||||||||||||||
Net OCI during the year | -1 | -6 | -51 | -58 | |||||||||||||||||||||
December 31, 2014 | $ | $ | -8 | $ | -37 | $ | -45 | ||||||||||||||||||
Reclassification out of Other Comprehensive Income (Loss) | The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the years ended December 31, 2014 and 2013. | ||||||||||||||||||||||||
PPL | PPL Energy Supply | Affected Line Item on the | |||||||||||||||||||||||
Details about AOCI | 2014 | 2013 | 2014 | 2013 | Statements of Income | ||||||||||||||||||||
Available-for-sale securities | $ | 13 | $ | 10 | $ | 13 | $ | 10 | Other Income (Expense) - net | ||||||||||||||||
Total Pre-tax | 13 | 10 | 13 | 10 | |||||||||||||||||||||
Income Taxes | -7 | -4 | -7 | -4 | |||||||||||||||||||||
Total After-tax | 6 | 6 | 6 | 6 | |||||||||||||||||||||
Qualifying derivatives | |||||||||||||||||||||||||
Interest rate swaps | -16 | -20 | Interest Expense | ||||||||||||||||||||||
Cross-currency swaps | 57 | -28 | Other Income (Expense) - net | ||||||||||||||||||||||
4 | 1 | Interest Expense | |||||||||||||||||||||||
Energy commodities | 1 | 240 | 1 | 240 | Unregulated wholesale energy | ||||||||||||||||||||
31 | -58 | 31 | -58 | Energy purchases | |||||||||||||||||||||
8 | 23 | 8 | 23 | Discontinued operations | |||||||||||||||||||||
2 | 5 | 2 | 2 | Other | |||||||||||||||||||||
Total Pre-tax | 87 | 163 | 42 | 207 | |||||||||||||||||||||
Income Taxes | -23 | -80 | -17 | -84 | |||||||||||||||||||||
Total After-tax | 64 | 83 | 25 | 123 | |||||||||||||||||||||
Defined benefit plans | |||||||||||||||||||||||||
Prior service costs | -7 | -10 | -4 | -7 | |||||||||||||||||||||
Net actuarial loss | -145 | -184 | -9 | -24 | |||||||||||||||||||||
Total Pre-tax | -152 | -194 | -13 | -31 | |||||||||||||||||||||
Income Taxes | 37 | 53 | 5 | 13 | |||||||||||||||||||||
Total After-tax | -115 | -141 | -8 | -18 | |||||||||||||||||||||
Total reclassifications during the year | $ | -45 | $ | -52 | $ | 23 | $ | 111 | |||||||||||||||||
LG And E And KU Energy LLC [Member] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | The after-tax changes in AOCI by component for the years ended December 31 were as follows. | ||||||||||||||||||||||||
Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
Foreign | |||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | ||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | |||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | ||||||||||||||||||
PPL | |||||||||||||||||||||||||
December 31, 2011 | $ | -243 | $ | 90 | $ | 527 | $ | -1 | $ | -25 | $ | -1,137 | $ | 1 | $ | -788 | |||||||||
OCI | 94 | 22 | -395 | 2 | 11 | -886 | -1,152 | ||||||||||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | |||||||||
Amounts arising during the year | 138 | 67 | 45 | 2 | 71 | 323 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -83 | 6 | 135 | 52 | ||||||||||||||||||||
Net OCI during the year | 138 | 61 | -38 | 8 | 206 | 375 | |||||||||||||||||||
December 31, 2013 | $ | -11 | $ | 173 | $ | 94 | $ | 1 | $ | -6 | $ | -1,817 | $ | 1 | $ | -1,565 | |||||||||
Amounts arising during the year | -275 | 35 | -10 | 5 | -509 | -754 | |||||||||||||||||||
Reclassifications from AOCI | -6 | -64 | 4 | 111 | 45 | ||||||||||||||||||||
Net OCI during the year | -275 | 29 | -74 | 9 | -398 | -709 | |||||||||||||||||||
December 31, 2014 | $ | -286 | $ | 202 | $ | 20 | $ | 1 | $ | 3 | $ | -2,215 | $ | 1 | $ | -2,274 | |||||||||
PPL Energy Supply | |||||||||||||||||||||||||
December 31, 2011 | $ | 90 | $ | 606 | $ | -16 | $ | -193 | $ | 487 | |||||||||||||||
OCI | 22 | -395 | 6 | -72 | -439 | ||||||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | |||||||||||||||
Amounts arising during the year | 67 | 2 | 71 | 140 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -123 | 4 | 14 | -111 | ||||||||||||||||||||
Net OCI during the year | 61 | -123 | 6 | 85 | 29 | ||||||||||||||||||||
December 31, 2013 | $ | 173 | $ | 88 | $ | -4 | $ | -180 | $ | 77 | |||||||||||||||
Amounts arising during the year | 35 | 8 | -120 | -77 | |||||||||||||||||||||
Reclassifications from AOCI | -6 | -25 | 3 | 5 | -23 | ||||||||||||||||||||
Net OCI during the year | 29 | -25 | 11 | -115 | -100 | ||||||||||||||||||||
December 31, 2014 | $ | 202 | $ | 63 | $ | 7 | $ | -295 | $ | -23 | |||||||||||||||
LKE | |||||||||||||||||||||||||
December 31, 2011 | $ | -2 | $ | 6 | $ | 4 | |||||||||||||||||||
OCI | $ | 1 | -20 | -19 | |||||||||||||||||||||
December 31, 2012 | $ | 1 | $ | -2 | $ | -14 | $ | -15 | |||||||||||||||||
Amounts arising during the year | 28 | 28 | |||||||||||||||||||||||
Net OCI during the year | 28 | 28 | |||||||||||||||||||||||
December 31, 2013 | $ | 1 | $ | -2 | $ | 14 | $ | 13 | |||||||||||||||||
Amounts arising during the year | -7 | -50 | -57 | ||||||||||||||||||||||
Reclassifications from AOCI | -1 | 1 | -1 | -1 | |||||||||||||||||||||
Net OCI during the year | -1 | -6 | -51 | -58 | |||||||||||||||||||||
December 31, 2014 | $ | $ | -8 | $ | -37 | $ | -45 |
Quarterly_Financial_Informatio
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||
Dec. 31, 2014 | |||||||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||
Quarterly Financial Information (Unaudited) | QUARTERLY FINANCIAL, COMMON STOCK PRICE AND DIVIDEND DATA (Unaudited) | ||||||||||||||
PPL Corporation and Subsidiaries | |||||||||||||||
(Millions of Dollars, except per share data) | |||||||||||||||
For the Quarters Ended (a) | |||||||||||||||
31-Mar | 30-Jun | Sept. 30 | Dec. 31 | ||||||||||||
2014 | |||||||||||||||
Operating revenues as previously reported | $ | 1,223 | $ | 2,874 | |||||||||||
Reclassification of discontinued operations (f) | -29 | -41 | |||||||||||||
Operating revenues | 1,194 | 2,833 | $ | 3,449 | $ | 4,023 | |||||||||
Operating income as previously reported | 715 | 718 | |||||||||||||
Reclassification of discontinued operations (f) | 8 | -21 | |||||||||||||
Operating income | 723 | 697 | 869 | 983 | |||||||||||
Income from continuing operations after income taxes | |||||||||||||||
as previously reported | 316 | 229 | |||||||||||||
Reclassification of discontinued operations (f) | 8 | -11 | |||||||||||||
Income from continuing operations after income taxes | 324 | 218 | 490 | 551 | |||||||||||
Income from discontinued operations as previously reported | |||||||||||||||
Reclassification of discontinued operations (f) | -8 | 11 | |||||||||||||
Income (loss) from discontinued operations (g) | -8 | 11 | 7 | 144 | |||||||||||
Net income (g) | 316 | 229 | 497 | 695 | |||||||||||
Net income attributable to PPL | 316 | 229 | 497 | 695 | |||||||||||
Income from continuing operations after income taxes available to | |||||||||||||||
PPL common shareowners: (b) | |||||||||||||||
Basic EPS | 0.51 | 0.33 | 0.73 | 0.82 | |||||||||||
Diluted EPS | 0.5 | 0.32 | 0.73 | 0.82 | |||||||||||
Net income available to PPL common shareowners: (b) | |||||||||||||||
Basic EPS | 0.5 | 0.35 | 0.74 | 1.04 | |||||||||||
Diluted EPS | 0.49 | 0.34 | 0.74 | 1.04 | |||||||||||
Dividends declared per share of common stock (c) | 0.3725 | 0.3725 | 0.3725 | 0.3725 | |||||||||||
Price per common share: | |||||||||||||||
High | $ | 33.24 | $ | 35.56 | $ | 35.52 | $ | 38.14 | |||||||
Low | 29.4 | 32.32 | 31.79 | 32.09 | |||||||||||
2013 | |||||||||||||||
Operating revenues as previously reported | $ | 2,457 | $ | 3,450 | $ | 3,105 | $ | 2,848 | |||||||
Reclassification of discontinued operations (f) | -32 | -47 | -31 | -29 | |||||||||||
Operating revenues | 2,425 | 3,403 | 3,074 | 2,819 | |||||||||||
Operating income as previously reported | 693 | 758 | 857 | 31 | |||||||||||
Reclassification of discontinued operations (f) | -14 | -26 | -11 | -10 | |||||||||||
Operating income (e) | 679 | 732 | 846 | 21 | |||||||||||
Income (loss) from continuing operations after income taxes | |||||||||||||||
as previously reported | 413 | 404 | 410 | -98 | |||||||||||
Reclassification of discontinued operations (f) | -8 | -14 | -6 | -4 | |||||||||||
Income (loss) from continuing operations after income taxes (e) | 405 | 390 | 404 | -102 | |||||||||||
Income from discontinued operations as previously reported | 1 | 1 | |||||||||||||
Reclassification of discontinued operations (f) | 8 | 14 | 6 | 4 | |||||||||||
Income (loss) from discontinued operations | 8 | 15 | 7 | 4 | |||||||||||
Net income (loss) (e) | 413 | 405 | 411 | -98 | |||||||||||
Net income (loss) attributable to PPL (e) | 413 | 405 | 410 | -98 | |||||||||||
Income (loss) from continuing operations after income taxes available to | |||||||||||||||
PPL common shareowners: (b) (e) | |||||||||||||||
Basic EPS | 0.69 | 0.66 | 0.64 | -0.16 | |||||||||||
Diluted EPS (d) | 0.64 | 0.61 | 0.61 | -0.16 | |||||||||||
Net income (loss) available to PPL common shareowners: (b) (e) | |||||||||||||||
Basic EPS | 0.7 | 0.68 | 0.65 | -0.16 | |||||||||||
Diluted EPS (d) | 0.65 | 0.63 | 0.62 | -0.16 | |||||||||||
Dividends declared per share of common stock (c) | 0.3675 | 0.3675 | 0.3675 | 0.3675 | |||||||||||
Price per common share: | |||||||||||||||
High | $ | 31.35 | $ | 33.55 | $ | 32.09 | $ | 31.79 | |||||||
Low | 28.64 | 28.44 | 29.03 | 28.95 | |||||||||||
(a) Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||
(b) The sum of the quarterly amounts may not equal annual earnings per share due to changes in the number of common shares outstanding during the year or rounding. | |||||||||||||||
(c) PPL has paid quarterly cash dividends on its common stock in every year since 1946. Future dividends, declared at the discretion of the Board of Directors, will be dependent upon future earnings, cash flows, financial requirements and other factors. | |||||||||||||||
(d) As a result of a reported loss, diluted earnings per share for the three months ended December 31, 2013 exclude incremental shares as they were anti-dilutive. | |||||||||||||||
(e) Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||
(f) In the third quarter of 2014, the hydroelectric generation facilities of PPL Montana met the criteria as held for sale. Accordingly, the previously reported operating results for these facilities have been reclassified as discontinued operations. See Note 8 to the Financial Statements for additional information. | |||||||||||||||
(g) Fourth quarter of 2014 includes a gain of $137 million (after tax) from the sale of hydroelectric generating facilities of PPL Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||
PPL Electric Utilities Corp [Member] | |||||||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||
Quarterly Financial Information (Unaudited) | QUARTERLY FINANCIAL DATA (Unaudited) | ||||||||||||||
PPL Electric Utilities Corporation and Subsidiaries | |||||||||||||||
(Millions of Dollars) | |||||||||||||||
For the Quarters Ended (a) | |||||||||||||||
31-Mar | 30-Jun | Sept. 30 | Dec. 31 | ||||||||||||
2014 | |||||||||||||||
Operating revenues | $ | 592 | $ | 449 | $ | 477 | $ | 526 | |||||||
Operating income | 165 | 111 | 124 | 138 | |||||||||||
Net income | 85 | 52 | 57 | 69 | |||||||||||
Net income available to PPL | 85 | 52 | 57 | 69 | |||||||||||
2013 | |||||||||||||||
Operating revenues | $ | 513 | $ | 414 | $ | 464 | $ | 479 | |||||||
Operating income | 121 | 92 | 105 | 101 | |||||||||||
Net income | 64 | 45 | 51 | 49 | |||||||||||
Net income available to PPL | 64 | 45 | 51 | 49 | |||||||||||
(a) PPL Electric's business is seasonal in nature, with peak sales periods generally occurring in the winter and summer months. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | ||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||
Integer | |||||||
Summary of Significant Accounting Policies [Line Items] | |||||||
Period of lag in reporting results for WPD (in months) | 1 | ||||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||||||
Total Accumulated Other Comprehensive Loss, Net of Tax | ($2,274,000,000) | ($1,565,000,000) | ($1,940,000,000) | ($788,000,000) | |||
Utility Revenue (Details) [Abstract] | |||||||
Domestic electric and gas revenue | 5,209,000,000 | [1] | 4,842,000,000 | [1] | 4,519,000,000 | [1] | |
U.K. electric revenue | 2,573,000,000 | [2] | 2,359,000,000 | [2] | 2,289,000,000 | [2] | |
Total | 7,782,000,000 | 7,201,000,000 | 6,808,000,000 | ||||
Revenue Recognition (Numeric) [Abstract] | |||||||
Costs in excess of billings on uncompleted contracts or programs | 20,000,000 | 14,000,000 | |||||
Billings in excess of cost | 41,000,000 | 75,000,000 | |||||
Cash (Numeric) [Abstract] | |||||||
Maximum maturity period for highly liquid debt instruments to be considered cash equivalents (in months) | 3 | ||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 224,000,000 | 134,000,000 | |||||
Property, Plant and Equipment (Numeric) [Abstract] | |||||||
Interest costs, capitalized during the period | 34,000,000 | 46,000,000 | 53,000,000 | ||||
Depreciation (Details) [Abstract] | |||||||
Reduction in depreciation expense in 2013 as a result of lower weighted-average rates | 22,000,000 | 22,000,000 | |||||
Defined Benefits [Abstract] | |||||||
Difference between the actual value of plan assets and the expected value | 20.00% | ||||||
The expected average remaining service of active plan participants | 50.00% | ||||||
Minimum percentage of gains and losses under the accelerated method that are amortized on a straight line basis | 10.00% | ||||||
Maximum percentage of gains and losses under the accelerated that are amortized on a straight line basis | 30.00% | ||||||
Percentage in excess of gains and losses equal to the plan's projected benefit obligation to use accelerated amortization | 30.00% | ||||||
Income Taxes [Abstract] | |||||||
Minimum percentage to be attained of likelihood of uncertain tax position being realized | 50.00% | ||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 836,000,000 | 702,000,000 | |||||
Fuel [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 408,000,000 | 305,000,000 | |||||
Natural Gas Stored Underground [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 62,000,000 | [3] | 49,000,000 | [3] | |||
Material And Supplies [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 366,000,000 | 348,000,000 | |||||
Regulated Utility Plant [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 2.92% | 2.94% | |||||
Nonregulated Property Plant And Equipment Generation [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 3.28% | 3.10% | |||||
Nonregulated Property Plant And Equipment Generation [Member] | Brunner Island And Montour Plants [Member] | |||||||
Asset Impairment (Excluding Investments) (Numeric) [Abstract] | |||||||
Carrying value of utility plants | 2,600,000,000 | ||||||
Nonregulated Property Plant And Equipment Generation [Member] | Brunner Island Plant [Member] | |||||||
Asset Impairment (Excluding Investments) (Numeric) [Abstract] | |||||||
Carrying value of utility plants | 1,400,000,000 | ||||||
Nonregulated Property Plant And Equipment Generation [Member] | Montour Plant [Member] | |||||||
Asset Impairment (Excluding Investments) (Numeric) [Abstract] | |||||||
Carrying value of utility plants | 1,200,000,000 | ||||||
Margin Deposits Posted To Counterparties [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 175,000,000 | 67,000,000 | |||||
Low Carbon Network Fund [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 19,000,000 | [4] | 27,000,000 | [4] | |||
Funds Deposited With Trustee [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 12,000,000 | ||||||
Ironwood Debt Service Reserves [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 17,000,000 | 17,000,000 | |||||
Other Restricted Cash [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 13,000,000 | 11,000,000 | |||||
Allowance For Doubtful Accounts [Member] | |||||||
Allowance for Doubtful Accounts (Details) [Roll Forward] | |||||||
Balance at beginning of period | 64,000,000 | 64,000,000 | 54,000,000 | ||||
Additions charged to income | 49,000,000 | 39,000,000 | 55,000,000 | [5] | |||
Additions charged to other accounts | 0 | 4,000,000 | [6] | 0 | |||
Deductions | 67,000,000 | [7] | 43,000,000 | [7] | 45,000,000 | [7] | |
Balance at end of period | 46,000,000 | 64,000,000 | 64,000,000 | ||||
Energy Related Businesses Adjustment 2014 [Member] | |||||||
Revenue Recognition (Numeric) [Abstract] | |||||||
Out of period adjustment amount, pre-tax | 17,000,000 | ||||||
Out of period adjustment amount, after-tax | 10,000,000 | ||||||
Unaffiliated Third Party Entity [Member] | |||||||
Accounts Receivable (Numeric) [Abstract] | |||||||
Purchases of accounts receivable | 1,100,000,000 | 985,000,000 | 848,000,000 | ||||
KU [Member] | Electric Energy Inc [Member] | |||||||
Equity Method Investment [Abstract] | |||||||
Ownership percentage | 20.00% | ||||||
Income (loss) from investment | 8,000,000 | ||||||
Impairment charge | 25,000,000 | ||||||
Impairment charge, after-tax | 15,000,000 | ||||||
PPL Energy Supply LLC [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||||||
Total Accumulated Other Comprehensive Loss, Net of Tax | -23,000,000 | 77,000,000 | 48,000,000 | 487,000,000 | |||
Revenue Recognition (Numeric) [Abstract] | |||||||
Costs in excess of billings on uncompleted contracts or programs | 20,000,000 | 14,000,000 | |||||
Billings in excess of cost | 41,000,000 | 75,000,000 | |||||
Cash (Numeric) [Abstract] | |||||||
Maximum maturity period for highly liquid debt instruments to be considered cash equivalents (in months) | 3 | ||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 193,000,000 | 85,000,000 | |||||
Property, Plant and Equipment (Numeric) [Abstract] | |||||||
Interest costs, capitalized during the period | 23,000,000 | 37,000,000 | 47,000,000 | ||||
Defined Benefits [Abstract] | |||||||
Difference between the actual value of plan assets and the expected value | 20.00% | ||||||
The expected average remaining service of active plan participants | 50.00% | ||||||
Minimum percentage of gains and losses under the accelerated method that are amortized on a straight line basis | 10.00% | ||||||
Maximum percentage of gains and losses under the accelerated that are amortized on a straight line basis | 30.00% | ||||||
Percentage in excess of gains and losses equal to the plan's projected benefit obligation to use accelerated amortization | 30.00% | ||||||
Income Taxes [Abstract] | |||||||
Minimum percentage to be attained of likelihood of uncertain tax position being realized | 50.00% | ||||||
Intercompany tax receivables (payables) | 105,000,000 | 44,000,000 | |||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 455,000,000 | 358,000,000 | |||||
PPL Energy Supply LLC [Member] | Fuel [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 243,000,000 | 163,000,000 | |||||
PPL Energy Supply LLC [Member] | Natural Gas Stored Underground [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 7,000,000 | [3] | 2,000,000 | [3] | |||
PPL Energy Supply LLC [Member] | Material And Supplies [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 205,000,000 | 193,000,000 | |||||
PPL Energy Supply LLC [Member] | Nonregulated Property Plant And Equipment Generation [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 3.28% | 3.10% | |||||
PPL Energy Supply LLC [Member] | Nonregulated Property Plant And Equipment Generation [Member] | Brunner Island And Montour Plants [Member] | |||||||
Asset Impairment (Excluding Investments) (Numeric) [Abstract] | |||||||
Carrying value of utility plants | 2,600,000,000 | ||||||
PPL Energy Supply LLC [Member] | Nonregulated Property Plant And Equipment Generation [Member] | Brunner Island Plant [Member] | |||||||
Asset Impairment (Excluding Investments) (Numeric) [Abstract] | |||||||
Carrying value of utility plants | 1,400,000,000 | ||||||
PPL Energy Supply LLC [Member] | Nonregulated Property Plant And Equipment Generation [Member] | Montour Plant [Member] | |||||||
Asset Impairment (Excluding Investments) (Numeric) [Abstract] | |||||||
Carrying value of utility plants | 1,200,000,000 | ||||||
PPL Energy Supply LLC [Member] | Margin Deposits Posted To Counterparties [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 175,000,000 | 67,000,000 | |||||
PPL Energy Supply LLC [Member] | Ironwood Debt Service Reserves [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 17,000,000 | 17,000,000 | |||||
PPL Energy Supply LLC [Member] | Other Restricted Cash [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 1,000,000 | 1,000,000 | |||||
PPL Energy Supply LLC [Member] | Allowance For Doubtful Accounts [Member] | |||||||
Allowance for Doubtful Accounts (Details) [Roll Forward] | |||||||
Balance at beginning of period | 21,000,000 | 23,000,000 | 15,000,000 | ||||
Additions charged to income | 0 | 1,000,000 | 12,000,000 | [5] | |||
Additions charged to other accounts | 0 | 0 | 0 | ||||
Deductions | 19,000,000 | [5],[7] | 3,000,000 | [7] | 4,000,000 | [7] | |
Balance at end of period | 2,000,000 | 21,000,000 | 23,000,000 | ||||
PPL Energy Supply LLC [Member] | Energy Related Businesses Adjustment 2014 [Member] | |||||||
Revenue Recognition (Numeric) [Abstract] | |||||||
Out of period adjustment amount, pre-tax | 17,000,000 | ||||||
Out of period adjustment amount, after-tax | 10,000,000 | ||||||
PPL Electric Utilities Corp [Member] | |||||||
Cash (Numeric) [Abstract] | |||||||
Maximum maturity period for highly liquid debt instruments to be considered cash equivalents (in months) | 3 | ||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 3,000,000 | 12,000,000 | |||||
Defined Benefits [Abstract] | |||||||
Difference between the actual value of plan assets and the expected value | 20.00% | ||||||
The expected average remaining service of active plan participants | 50.00% | ||||||
Minimum percentage of gains and losses under the accelerated method that are amortized on a straight line basis | 10.00% | ||||||
Maximum percentage of gains and losses under the accelerated that are amortized on a straight line basis | 30.00% | ||||||
Percentage in excess of gains and losses equal to the plan's projected benefit obligation to use accelerated amortization | 30.00% | ||||||
Income Taxes [Abstract] | |||||||
Minimum percentage to be attained of likelihood of uncertain tax position being realized | 50.00% | ||||||
Intercompany tax receivables (payables) | -25,000,000 | -19,000,000 | |||||
PPL Electric Utilities Corp [Member] | Regulated Utility Plant [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 2.46% | 2.61% | |||||
PPL Electric Utilities Corp [Member] | Funds Deposited With Trustee [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 12,000,000 | ||||||
PPL Electric Utilities Corp [Member] | Other Restricted Cash [Member] | |||||||
Restricted Cash and Cash Equivalents (Numeric) [Abstract] | |||||||
Restricted cash and cash equivalents | 3,000,000 | ||||||
PPL Electric Utilities Corp [Member] | Allowance For Doubtful Accounts [Member] | |||||||
Allowance for Doubtful Accounts (Details) [Roll Forward] | |||||||
Balance at beginning of period | 18,000,000 | 18,000,000 | 17,000,000 | ||||
Additions charged to income | 34,000,000 | 32,000,000 | 32,000,000 | ||||
Additions charged to other accounts | 0 | 0 | 0 | ||||
Deductions | 35,000,000 | [7] | 32,000,000 | [7] | 31,000,000 | [7] | |
Balance at end of period | 17,000,000 | 18,000,000 | 18,000,000 | ||||
PPL Electric Utilities Corp [Member] | Unaffiliated Third Party Entity [Member] | |||||||
Accounts Receivable (Numeric) [Abstract] | |||||||
Purchases of accounts receivable | 1,100,000,000 | 985,000,000 | 848,000,000 | ||||
LG And E And KU Energy LLC [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||||||
Total Accumulated Other Comprehensive Loss, Net of Tax | -45,000,000 | 13,000,000 | -15,000,000 | 4,000,000 | |||
Cash (Numeric) [Abstract] | |||||||
Maximum maturity period for highly liquid debt instruments to be considered cash equivalents (in months) | 3 | ||||||
Depreciation (Details) [Abstract] | |||||||
Reduction in depreciation expense in 2013 as a result of lower weighted-average rates | 22,000,000 | 22,000,000 | |||||
Defined Benefits [Abstract] | |||||||
Difference between the actual value of plan assets and the expected value | 20.00% | ||||||
The expected average remaining service of active plan participants | 50.00% | ||||||
Minimum percentage of gains and losses under the accelerated method that are amortized on a straight line basis | 10.00% | ||||||
Maximum percentage of gains and losses under the accelerated that are amortized on a straight line basis | 30.00% | ||||||
Percentage in excess of gains and losses equal to the plan's projected benefit obligation to use accelerated amortization | 30.00% | ||||||
Income Taxes [Abstract] | |||||||
Minimum percentage to be attained of likelihood of uncertain tax position being realized | 50.00% | ||||||
Intercompany tax receivables (payables) | 136,000,000 | -28,000,000 | |||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 311,000,000 | 278,000,000 | |||||
LG And E And KU Energy LLC [Member] | Ohio Valley Electric Corporation [Member] | |||||||
Cost Method Investments [Abstract] | |||||||
Number of electric utilities that are equity owners | 10 | ||||||
Number of companies power is supplied to | 11 | ||||||
LG And E And KU Energy LLC [Member] | Fuel [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 166,000,000 | 141,000,000 | |||||
LG And E And KU Energy LLC [Member] | Natural Gas Stored Underground [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 54,000,000 | [3] | 48,000,000 | [3] | |||
LG And E And KU Energy LLC [Member] | Material And Supplies [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 91,000,000 | 89,000,000 | |||||
LG And E And KU Energy LLC [Member] | Regulated Utility Plant [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 3.80% | 4.07% | |||||
LG And E And KU Energy LLC [Member] | Allowance For Doubtful Accounts [Member] | |||||||
Allowance for Doubtful Accounts (Details) [Roll Forward] | |||||||
Balance at beginning of period | 22,000,000 | 19,000,000 | 17,000,000 | ||||
Additions charged to income | 14,000,000 | 4,000,000 | 9,000,000 | ||||
Additions charged to other accounts | 0 | 4,000,000 | [6] | 0 | |||
Deductions | 11,000,000 | [7] | 5,000,000 | [7] | 7,000,000 | [7] | |
Balance at end of period | 25,000,000 | 22,000,000 | 19,000,000 | ||||
LG And E And KU Energy LLC [Member] | LGE [Member] | Ohio Valley Electric Corporation [Member] | |||||||
Cost Method Investments [Abstract] | |||||||
Ownership percentage | 5.63% | ||||||
Generation capacity in terms of ownership percentage (in MW) | 120 | ||||||
LG And E And KU Energy LLC [Member] | KU [Member] | Ohio Valley Electric Corporation [Member] | |||||||
Cost Method Investments [Abstract] | |||||||
Ownership percentage | 2.50% | ||||||
Generation capacity in terms of ownership percentage (in MW) | 53 | ||||||
LG And E And KU Energy LLC [Member] | KU [Member] | Electric Energy Inc [Member] | |||||||
Equity Method Investment [Abstract] | |||||||
Ownership percentage | 20.00% | ||||||
Income (loss) from investment | 8,000,000 | ||||||
Impairment charge | 25,000,000 | ||||||
Impairment charge, after-tax | 15,000,000 | ||||||
Louisville Gas And Electric Co [Member] | |||||||
Utility Revenue (Details) [Abstract] | |||||||
Total | 1,445,000,000 | 1,351,000,000 | 1,247,000,000 | ||||
Cash (Numeric) [Abstract] | |||||||
Maximum maturity period for highly liquid debt instruments to be considered cash equivalents (in months) | 3 | ||||||
Depreciation (Details) [Abstract] | |||||||
Reduction in depreciation expense in 2013 as a result of lower weighted-average rates | 8,000,000 | 8,000,000 | |||||
Defined Benefits [Abstract] | |||||||
Difference between the actual value of plan assets and the expected value | 20.00% | ||||||
The expected average remaining service of active plan participants | 50.00% | ||||||
Minimum percentage of gains and losses under the accelerated method that are amortized on a straight line basis | 10.00% | ||||||
Maximum percentage of gains and losses under the accelerated that are amortized on a straight line basis | 30.00% | ||||||
Percentage in excess of gains and losses equal to the plan's projected benefit obligation to use accelerated amortization | 30.00% | ||||||
Income Taxes [Abstract] | |||||||
Minimum percentage to be attained of likelihood of uncertain tax position being realized | 50.00% | ||||||
Intercompany tax receivables (payables) | 74,000,000 | -8,000,000 | |||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 162,000,000 | 154,000,000 | |||||
Louisville Gas And Electric Co [Member] | Ohio Valley Electric Corporation [Member] | |||||||
Cost Method Investments [Abstract] | |||||||
Number of electric utilities that are equity owners | 10 | ||||||
Number of companies power is supplied to | 11 | ||||||
Ownership percentage | 5.63% | ||||||
Generation capacity in terms of ownership percentage (in MW) | 120 | ||||||
Louisville Gas And Electric Co [Member] | Fuel [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 66,000,000 | 64,000,000 | |||||
Louisville Gas And Electric Co [Member] | Natural Gas Stored Underground [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 54,000,000 | [3] | 48,000,000 | [3] | |||
Louisville Gas And Electric Co [Member] | Material And Supplies [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 42,000,000 | 42,000,000 | |||||
Louisville Gas And Electric Co [Member] | Regulated Utility Plant [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 4.05% | 4.52% | |||||
Louisville Gas And Electric Co [Member] | Allowance For Doubtful Accounts [Member] | |||||||
Allowance for Doubtful Accounts (Details) [Roll Forward] | |||||||
Balance at beginning of period | 2,000,000 | 1,000,000 | 2,000,000 | ||||
Additions charged to income | 5,000,000 | 2,000,000 | 2,000,000 | ||||
Additions charged to other accounts | -1,000,000 | [6] | 1,000,000 | [6] | 0 | ||
Deductions | 4,000,000 | [7] | 2,000,000 | [7] | 3,000,000 | [7] | |
Balance at end of period | 2,000,000 | 2,000,000 | 1,000,000 | ||||
Kentucky Utilities Co [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||||||
Total Accumulated Other Comprehensive Loss, Net of Tax | 0 | 1,000,000 | |||||
Utility Revenue (Details) [Abstract] | |||||||
Total | 1,723,000,000 | 1,625,000,000 | 1,512,000,000 | ||||
Cash (Numeric) [Abstract] | |||||||
Maximum maturity period for highly liquid debt instruments to be considered cash equivalents (in months) | 3 | ||||||
Depreciation (Details) [Abstract] | |||||||
Reduction in depreciation expense in 2013 as a result of lower weighted-average rates | 14,000,000 | 14,000,000 | |||||
Defined Benefits [Abstract] | |||||||
Difference between the actual value of plan assets and the expected value | 20.00% | ||||||
The expected average remaining service of active plan participants | 50.00% | ||||||
Minimum percentage of gains and losses under the accelerated method that are amortized on a straight line basis | 10.00% | ||||||
Maximum percentage of gains and losses under the accelerated that are amortized on a straight line basis | 30.00% | ||||||
Percentage in excess of gains and losses equal to the plan's projected benefit obligation to use accelerated amortization | 30.00% | ||||||
Income Taxes [Abstract] | |||||||
Minimum percentage to be attained of likelihood of uncertain tax position being realized | 50.00% | ||||||
Intercompany tax receivables (payables) | 60,000,000 | -27,000,000 | |||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 149,000,000 | 124,000,000 | |||||
Kentucky Utilities Co [Member] | Ohio Valley Electric Corporation [Member] | |||||||
Cost Method Investments [Abstract] | |||||||
Number of electric utilities that are equity owners | 10 | ||||||
Number of companies power is supplied to | 11 | ||||||
Ownership percentage | 2.50% | ||||||
Generation capacity in terms of ownership percentage (in MW) | 53 | ||||||
Kentucky Utilities Co [Member] | Electric Energy Inc [Member] | |||||||
Equity Method Investment [Abstract] | |||||||
Ownership percentage | 20.00% | ||||||
Income (loss) from investment | 8,000,000 | ||||||
Impairment charge | 25,000,000 | ||||||
Impairment charge, after-tax | 15,000,000 | ||||||
Kentucky Utilities Co [Member] | Fuel [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 100,000,000 | 77,000,000 | |||||
Kentucky Utilities Co [Member] | Material And Supplies [Member] | |||||||
Fuel, Materials and Supplies (Details) [Abstract] | |||||||
Fuel, materials and supplies on the Balance Sheet | 49,000,000 | 47,000,000 | |||||
Kentucky Utilities Co [Member] | Regulated Utility Plant [Member] | |||||||
Depreciation (Details) [Abstract] | |||||||
Weighted-average rates | 3.63% | 3.77% | |||||
Kentucky Utilities Co [Member] | Allowance For Doubtful Accounts [Member] | |||||||
Allowance for Doubtful Accounts (Details) [Roll Forward] | |||||||
Balance at beginning of period | 4,000,000 | 2,000,000 | 2,000,000 | ||||
Additions charged to income | 8,000,000 | 3,000,000 | 4,000,000 | ||||
Additions charged to other accounts | -3,000,000 | [6] | 3,000,000 | [6] | 0 | ||
Deductions | 7,000,000 | [7] | 4,000,000 | [7] | 4,000,000 | [7] | |
Balance at end of period | $2,000,000 | $4,000,000 | $2,000,000 | ||||
[1] | Represents revenue from cost-based rate-regulated generation, transmission and/or distribution in Pennsylvania, Kentucky, Virginia and Tennessee, including regulated wholesale revenue. | ||||||
[2] | Represents regulated electricity distribution revenue from the operation of WPD's distribution networks. | ||||||
[3] | The majority of LKE's and LG&E's natural gas stored underground is held to serve retail customers. | ||||||
[4] | Funds received by WPD, which are to be spent on approved initiatives to support a low carbon environment. | ||||||
[5] | In 2011, a wholesale customer, SMGT, filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy code. In 2012, PPL EnergyPlus recorded an additional allowance for unpaid amounts under the long-term power contract and the U.S. Bankruptcy Court for the District of Montana approved a request to terminate the contract. In 2014, PPL EnergyPlus received an insignificant amount of cash, settling the outstanding administrative claim and therefore, the related reserve balance was offset against the accounts receivable balance. | ||||||
[6] | Primarily related to capital projects, thusthe provision was recorded as an adjustment to construction work in progress. | ||||||
[7] | Primarily related to uncollectible accounts written off. |
Segment_and_Related_Informatio2
Segment and Related Information (Income Statement and Balance Sheet Data) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||||||||||
Integer | ||||||||||||||||||||||
Segment Information (Numeric) [Abstract] | ||||||||||||||||||||||
Number of reportable segments | 4 | |||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | $11,499 | $11,721 | $12,132 | |||||||||||||||||||
Depreciation | 1,220 | 1,142 | 1,087 | |||||||||||||||||||
Amortization | 228 | 222 | 186 | |||||||||||||||||||
Unrealized (gains) losses on derivatives, and other hedging activities | -175 | 236 | 27 | |||||||||||||||||||
Interest Expenses | 1,024 | 994 | 951 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | 2,364 | 1,260 | 2,009 | |||||||||||||||||||
Income Taxes | 781 | 163 | 518 | |||||||||||||||||||
Deferred income taxes and investment tax credits | 556 | 77 | 417 | |||||||||||||||||||
Net Income Attributable to PPL Shareowners | 695 | [1] | 497 | [1] | 229 | [1] | 316 | [1] | -98 | [1],[2] | 410 | [1] | 405 | [1] | 413 | [1] | 1,737 | 1,130 | 1,526 | |||
Cash Flow [Abstract] | ||||||||||||||||||||||
Expenditures for long-lived assets | 4,154 | 4,283 | 3,153 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 48,864 | 46,259 | 48,864 | 46,259 | ||||||||||||||||||
Segment (Numeric) [Abstract] | ||||||||||||||||||||||
Loss on lease termination for Colstrip coal-fired electric generating facility, pre-tax | 0 | 697 | 0 | |||||||||||||||||||
Loss on lease termination for Colstrip coal-fired electric generating facility, after-tax | 413 | |||||||||||||||||||||
Montana Hydroelectric Generating Facilities [Member] | ||||||||||||||||||||||
Segment (Numeric) [Abstract] | ||||||||||||||||||||||
Gain on the sale of Montana hydroelectric generation business, pre-tax | 237 | |||||||||||||||||||||
Gain on the sale of Montana hydroelectric generation business, after-tax | 137 | |||||||||||||||||||||
Kentucky Regulated [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Depreciation | 354 | 334 | 346 | |||||||||||||||||||
Amortization | 25 | [3] | 22 | [3] | 27 | [3] | ||||||||||||||||
Unrealized (gains) losses on derivatives, and other hedging activities | 12 | [4] | 12 | [4] | 11 | [4] | ||||||||||||||||
Interest Expenses | 219 | 212 | 219 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | 501 | 484 | 263 | |||||||||||||||||||
Income Taxes | 189 | [5] | 179 | [5] | 80 | [5] | ||||||||||||||||
Deferred income taxes and investment tax credits | 449 | [6] | 254 | [6] | 136 | [6] | ||||||||||||||||
Net Income Attributable to PPL Shareowners | 312 | 307 | 177 | |||||||||||||||||||
Cash Flow [Abstract] | ||||||||||||||||||||||
Expenditures for long-lived assets | 1,262 | 1,434 | 768 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 13,062 | 12,016 | 13,062 | 12,016 | ||||||||||||||||||
Kentucky Regulated [Member] | Utility Service [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 3,168 | [7] | 2,976 | [7] | 2,759 | [7] | ||||||||||||||||
United Kingdom Regulated [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 2,621 | 2,403 | 2,336 | |||||||||||||||||||
Depreciation | 337 | 300 | 279 | |||||||||||||||||||
Amortization | 17 | [3] | 19 | [3] | 15 | [3] | ||||||||||||||||
Unrealized (gains) losses on derivatives, and other hedging activities | -199 | [4] | 44 | [4] | 52 | [4] | ||||||||||||||||
Interest Expenses | 461 | 425 | 421 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | 1,311 | 993 | 953 | |||||||||||||||||||
Income Taxes | 329 | [5] | 71 | [5] | 150 | [5] | ||||||||||||||||
Deferred income taxes and investment tax credits | 94 | [6] | -45 | [6] | 26 | [6] | ||||||||||||||||
Net Income Attributable to PPL Shareowners | 982 | 922 | 803 | |||||||||||||||||||
Cash Flow [Abstract] | ||||||||||||||||||||||
Expenditures for long-lived assets | 1,438 | 1,280 | 1,016 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 16,005 | 15,895 | 16,005 | 15,895 | ||||||||||||||||||
United Kingdom Regulated [Member] | Utility Service [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 2,573 | [7] | 2,359 | [7] | 2,289 | [7] | ||||||||||||||||
United Kingdom Regulated [Member] | Energy Related Businesses [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 48 | 44 | 47 | |||||||||||||||||||
Pennsylvania Regulated [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Depreciation | 185 | 178 | 160 | |||||||||||||||||||
Amortization | 19 | [3] | 19 | [3] | 18 | [3] | ||||||||||||||||
Interest Expenses | 122 | 108 | 99 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | 423 | 317 | 204 | |||||||||||||||||||
Income Taxes | 160 | [5] | 108 | [5] | 68 | [5] | ||||||||||||||||
Deferred income taxes and investment tax credits | 87 | [6] | 127 | [6] | 114 | [6] | ||||||||||||||||
Net Income Attributable to PPL Shareowners | 263 | 209 | 132 | |||||||||||||||||||
Cash Flow [Abstract] | ||||||||||||||||||||||
Expenditures for long-lived assets | 957 | 942 | 633 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 7,785 | 6,846 | 7,785 | 6,846 | ||||||||||||||||||
Pennsylvania Regulated [Member] | Utility Service [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 2,044 | [7] | 1,866 | [7] | 1,760 | [7] | ||||||||||||||||
Supply [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 3,652 | 4,463 | 5,277 | |||||||||||||||||||
Depreciation | 297 | 299 | 276 | |||||||||||||||||||
Amortization | 163 | [3] | 156 | [3] | 126 | [3] | ||||||||||||||||
Unrealized (gains) losses on derivatives, and other hedging activities | 12 | [4] | 180 | [4] | -36 | [4] | ||||||||||||||||
Interest Expenses | 181 | 216 | 212 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | 246 | [4] | -477 | [4],[8] | 589 | [4] | ||||||||||||||||
Income Taxes | 93 | [5] | -174 | [5] | 220 | [5] | ||||||||||||||||
Deferred income taxes and investment tax credits | -110 | [6] | -291 | [6] | 141 | [6] | ||||||||||||||||
Net Income Attributable to PPL Shareowners | 307 | [4],[9] | -272 | [4],[8] | 414 | [4] | ||||||||||||||||
Cash Flow [Abstract] | ||||||||||||||||||||||
Expenditures for long-lived assets | 431 | 568 | 736 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 11,025 | 11,408 | 11,025 | 11,408 | ||||||||||||||||||
Segment (Numeric) [Abstract] | ||||||||||||||||||||||
Gain on the sale of Montana hydroelectric generation business, after-tax | 137 | |||||||||||||||||||||
Supply [Member] | Energy [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 3,051 | [4] | 3,936 | [4] | 4,816 | [4] | ||||||||||||||||
Supply [Member] | Energy Related Businesses [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 601 | 527 | 461 | |||||||||||||||||||
Corporate And Other [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | 14 | 13 | 0 | |||||||||||||||||||
Depreciation | 47 | 31 | 26 | |||||||||||||||||||
Amortization | 4 | [3] | 6 | [3] | 0 | |||||||||||||||||
Interest Expenses | 41 | 33 | 0 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | -117 | [10] | -57 | 0 | ||||||||||||||||||
Income Taxes | 10 | [10],[5] | -21 | [5] | 0 | |||||||||||||||||
Deferred income taxes and investment tax credits | 36 | [10],[6] | 32 | [6] | 0 | |||||||||||||||||
Net Income Attributable to PPL Shareowners | -127 | [10] | -36 | 0 | ||||||||||||||||||
Cash Flow [Abstract] | ||||||||||||||||||||||
Expenditures for long-lived assets | 66 | 59 | 0 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 987 | [11] | 94 | [11] | 987 | [11] | 94 | [11] | ||||||||||||||
Intersegment Eliminations [Member] | Supply [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Revenues | -84 | [12] | -51 | [12] | -79 | [12] | ||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||
Income Statement Data | ||||||||||||||||||||||
Depreciation | 297 | 299 | 272 | |||||||||||||||||||
Amortization | 163 | 156 | 119 | |||||||||||||||||||
Unrealized (gains) losses on derivatives, and other hedging activities | 4 | 171 | -41 | |||||||||||||||||||
Interest Expenses | 124 | 159 | 158 | |||||||||||||||||||
Income from Continuing Operations Before Income Taxes | 303 | -420 | 665 | |||||||||||||||||||
Income Taxes | 116 | [13] | -159 | [13] | 236 | [13] | ||||||||||||||||
Net Income Attributable to PPL Shareowners | 410 | -230 | 474 | |||||||||||||||||||
Balance Sheet Data | ||||||||||||||||||||||
Assets | 10,760 | 11,074 | 10,760 | 11,074 | ||||||||||||||||||
Segment (Numeric) [Abstract] | ||||||||||||||||||||||
Loss on lease termination for Colstrip coal-fired electric generating facility, pre-tax | 0 | 697 | 0 | |||||||||||||||||||
Loss on lease termination for Colstrip coal-fired electric generating facility, after-tax | 413 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Montana Hydroelectric Generating Facilities [Member] | ||||||||||||||||||||||
Segment (Numeric) [Abstract] | ||||||||||||||||||||||
Gain on the sale of Montana hydroelectric generation business, pre-tax | 306 | |||||||||||||||||||||
Gain on the sale of Montana hydroelectric generation business, after-tax | $137 | |||||||||||||||||||||
[1] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||||
[2] | Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||||||||
[3] | Represents non-cash expense items that include amortization of nuclear fuel, regulatory assets, debt discounts and premiums, debt issuance costs, emission allowances and RECs. | |||||||||||||||||||||
[4] | Includes unrealized gains and losses from economic activity. See Note 17 for additional information. | |||||||||||||||||||||
[5] | Represents both current and deferred income taxes, including investment tax credits. | |||||||||||||||||||||
[6] | Represents a non-cash expense item that is also included in "Income Taxes." | |||||||||||||||||||||
[7] | See Note 1for additional information on Utility Revenue. | |||||||||||||||||||||
[8] | 2013 includes a charge of $697 million ($413 million after tax) for the termination of the lease of the Colstrip coal-fired electric generating facility. See Note 8 for additional information. | |||||||||||||||||||||
[9] | 2014 includes a gain of $237 million ($137 million after tax) on the sale of the Montana hydroelectric generating facilities. See Note 8 for additional information. | |||||||||||||||||||||
[10] | 2014 includes most of the costs related to the anticipated spinoff of PPL Energy Supply, including deferred income tax expense, transaction and transition costs and separation benefits for PPL Services employees. See Note 8 for additional information. | |||||||||||||||||||||
[11] | Primarily consists of unallocated items, including cash, PP&E and the elimination of inter-segment transactions. Increase in 2014 was primarily due to increased cash on hand. | |||||||||||||||||||||
[12] | See "PLR Contracts/Purchase of Accounts Receivable" in Note 14 for a discussion of the basis of accounting between reportable segments. | |||||||||||||||||||||
[13] | Excludes current and deferred federal and state tax expense recorded to Discontinued Operations of $109 million, $17 million and $27 million in 2014, 2013 and 2012. Also excludes federal and state tax expense (benefit) recorded to OCI of $(56) million, $47 million and $(267) million in 2014, 2013 and 2012. |
Segment_and_Related_Informatio3
Segment and Related Information (Geographic Data) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues from external customers | $11,499 | $11,721 | $12,132 |
Long-lived assets | 35,514 | 34,022 | |
US [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues from external customers | 8,878 | 9,318 | 9,796 |
Long-lived assets | 23,572 | 22,638 | |
UK [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues from external customers | 2,621 | 2,403 | 2,336 |
Long-lived assets | $11,942 | $11,384 |
Preferred_Securities_Details
Preferred Securities (Details) (USD $) | 12 Months Ended | 1 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Oct. 31, 2013 |
Preferred Securities [Line Items] | |||||
Value of stock redeemed including accumulated dividends | $0 | $0 | $250 | ||
Preferred Stock [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 10,000,000 | ||||
Preference Stock [Member] | |||||
Preferred Securities [Line Items] | |||||
Aggregate value of stock redeemed | 250 | ||||
PPL Electric Utilities Corp [Member] | |||||
Preferred Securities [Line Items] | |||||
Dividend requirements on noncontrolling interests | 4 | ||||
Value of stock redeemed including accumulated dividends | $0 | $0 | $250 | ||
PPL Electric Utilities Corp [Member] | Preferred Stock [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 20,629,936 | ||||
PPL Electric Utilities Corp [Member] | Preference Stock [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 10,000,000 | ||||
Percentage rate on stock | 6.25% | ||||
PPL Electric Utilities Corp [Member] | Series Preference Stock [Member] | |||||
Preferred Securities [Line Items] | |||||
Number of shares of stock redeemed | 2,500,000 | ||||
Par value of stock | $100 | ||||
Louisville Gas And Electric Co [Member] | Preferred Stock [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 1,720,000 | ||||
Par value of stock | $25 | ||||
Louisville Gas And Electric Co [Member] | Preferred Stock Without Par Value [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 6,750,000 | ||||
No par value of stock | |||||
Kentucky Utilities Co [Member] | Preferred Stock Without Par Value [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 5,300,000 | ||||
No par value of stock | |||||
Kentucky Utilities Co [Member] | Preference Stock Without Par Value [Member] | |||||
Preferred Securities [Line Items] | |||||
Shares authorized | 2,000,000 | ||||
No par value of stock |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, except Share data in Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||||||||||
Income (Numerator) | ||||||||||||||||||||||
Income from continuing operations after income taxes attributable to PPL shareowners | $1,583 | $1,096 | $1,486 | |||||||||||||||||||
Less amounts allocated to participating securities | 8 | 6 | 8 | |||||||||||||||||||
Less issuance costs on subsidiary's preferred securities redeemed | 0 | 0 | 6 | |||||||||||||||||||
Income from continuing operations after income taxes available to PPL common shareowners - Basic | 1,575 | 1,090 | 1,472 | |||||||||||||||||||
Plus interest charges (net of tax) related to Equity Units | 9 | [1] | 44 | [1] | 0 | |||||||||||||||||
Income from continuing operations after income taxes available to PPL common shareowners - Diluted | 1,584 | 1,134 | 1,472 | |||||||||||||||||||
Income (loss) from discontinued operations (net of income taxes) available to PPL common shareowners - Basic and Diluted | 144 | [2],[3] | 7 | [2] | 11 | [2] | -8 | [2] | 4 | [2] | 7 | [2] | 15 | [2] | 8 | [2] | 154 | 34 | 40 | |||
Net income attributable to PPL shareowners | 695 | [2] | 497 | [2] | 229 | [2] | 316 | [2] | -98 | [2],[4] | 410 | [2] | 405 | [2] | 413 | [2] | 1,737 | 1,130 | 1,526 | |||
Less amounts allocated to participating securities | 9 | 6 | 8 | |||||||||||||||||||
Less issuance costs on subsidiary's preferred securities redeemed | 0 | 0 | 6 | |||||||||||||||||||
Net income available to PPL common shareowners - Basic | 1,728 | 1,124 | 1,512 | |||||||||||||||||||
Plus interest charges (net of tax) related to Equity Units | 9 | 44 | 0 | |||||||||||||||||||
Net income available to PPL common shareowners - Diluted | $1,737 | $1,168 | $1,512 | |||||||||||||||||||
Shares of Common Stock (Denominator) | ||||||||||||||||||||||
Weighted-average shares - Basic EPS (in shares) | 653,504 | 608,983 | 580,276 | |||||||||||||||||||
Add incremental non-participating securities: | ||||||||||||||||||||||
Share-based payment awards (in shares) | 1,910 | 1,062 | 563 | [5] | ||||||||||||||||||
Equity Units (in shares) | 10,559 | [1] | 52,568 | [1] | 0 | |||||||||||||||||
Forward sale agreements and Purchase Contracts (in shares) | 0 | 460 | 787 | [5] | ||||||||||||||||||
Weighted-average shares - Diluted EPS (in shares) | 665,973 | 663,073 | 581,626 | |||||||||||||||||||
Basic EPS - Available to PPL common shareowners: | ||||||||||||||||||||||
Income from continuing operations after income taxes (in dollars per share) | $0.82 | [2],[6] | $0.73 | [2],[6] | $0.33 | [2],[6] | $0.51 | [2],[6] | ($0.16) | [2],[4],[6] | $0.64 | [2],[6] | $0.66 | [2],[6] | $0.69 | [2],[6] | $2.41 | $1.79 | $2.55 | |||
Income (loss) from discontinued operations (net of income taxes) (in dollars per share) | $0.23 | $0.06 | $0.06 | |||||||||||||||||||
Net Income (in dollars per share) | $1.04 | [2],[6] | $0.74 | [2],[6] | $0.35 | [2],[6] | $0.50 | [2],[6] | ($0.16) | [2],[4],[6] | $0.65 | [2],[6] | $0.68 | [2],[6] | $0.70 | [2],[6] | $2.64 | $1.85 | $2.61 | |||
Diluted EPS - Available to PPL common shareowners: | ||||||||||||||||||||||
Income from continuing operations after income taxes (in dollars per share) | $0.82 | [2],[6] | $0.73 | [2],[6] | $0.32 | [2],[6] | $0.50 | [2],[6] | ($0.16) | [2],[4],[6],[7] | $0.61 | [2],[6] | $0.61 | [2],[6] | $0.64 | [2],[6] | $2.38 | $1.71 | $2.54 | |||
Income (loss) from discontinued operations (net of income taxes) (in dollars per share) | $0.23 | $0.05 | $0.06 | |||||||||||||||||||
Net Income (in dollars per share) | $1.04 | [2],[6] | $0.74 | [2],[6] | $0.34 | [2],[6] | $0.49 | [2],[6] | ($0.16) | [2],[4],[6],[7] | $0.62 | [2],[6] | $0.63 | [2],[6] | $0.65 | [2],[6] | $2.61 | $1.76 | $2.60 | |||
Shares Issued (Numeric) [Abstract] | ||||||||||||||||||||||
Common stock issued under stock-based compensation plans (in shares) | 2,985 | [8] | ||||||||||||||||||||
Common stock issued under DRIP (in shares) | 868 | |||||||||||||||||||||
Stock Options [Member] | ||||||||||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||||||||||||||||||
Shares excluded from the computations of diluted EPS | 1,816 | 4,446 | 5,293 | |||||||||||||||||||
Performance Units [Member] | ||||||||||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||||||||||||||||||
Shares excluded from the computations of diluted EPS | 5 | 55 | 58 | |||||||||||||||||||
Restricted Stock Units [Member] | ||||||||||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||||||||||||||||||
Shares excluded from the computations of diluted EPS | 31 | 29 | 0 | |||||||||||||||||||
[1] | In 2014 and 2013, the If-Converted Method was applied to the Equity Units prior to settlement. See Note 7 for additional information on the Equity Units, including the issuance of PPL common stock to settle the Purchase contracts. | |||||||||||||||||||||
[2] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||||
[3] | Fourth quarter of 2014 includes a gain of $137 million (after tax) from the sale of hydroelectric generating facilities of PPL Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||||||||
[4] | Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||||||||
[5] | The Treasury Stock Method was applied to non-participating share-based payment awards, forward sale agreements and the 2010 Purchase Contracts | |||||||||||||||||||||
[6] | The sum of the quarterly amounts may not equal annual earnings per share due to changes in the number of common shares outstanding during the year or rounding. | |||||||||||||||||||||
[7] | As a result of a reported loss, diluted earnings per share for the three months ended December 31, 2013 exclude incremental shares as they were anti-dilutive. | |||||||||||||||||||||
[8] | Includes stock options exercised, vesting of performance units, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors. |
Income_and_Other_Taxes_Deferre
Income and Other Taxes (Deferred Tax Assets and Liabilities and Loss Carryforwards) (Details) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income (Loss) from Continuing Operations (Details) [Abstract] | ||||
Domestic income | $1,157 | $201 | $1,000 | |
Foreign income | 1,207 | 1,059 | 1,009 | |
Income (Loss) Before Income Taxes | 2,364 | 1,260 | 2,009 | |
Deferred Tax Assets | ||||
Deferred investment tax credits | 63 | [1] | 137 | |
Regulatory obligations | 131 | 144 | ||
Accrued pension costs | 298 | 140 | ||
Federal loss carryforwards | 151 | 331 | ||
State loss carryforwards | 304 | 304 | ||
Federal and state tax credit carryforwards | 209 | [1] | 332 | |
Foreign capital loss carryforwards | 446 | 467 | ||
Foreign loss carryforwards | 6 | 6 | ||
Foreign - pensions | 182 | 202 | ||
Foreign - regulatory obligations | 23 | 26 | ||
Foreign - other | 11 | 12 | ||
Contributions in aid of construction | 138 | 137 | ||
Domestic - other | 273 | 211 | ||
Unrealized losses on qualifying derivatives | 46 | 0 | ||
Valuation allowances | -700 | -663 | ||
Total deferred tax assets | 1,581 | 1,786 | ||
Deferred Tax Liabilities | ||||
Domestic plant - net | 4,453 | 4,073 | ||
Taxes recoverable through future rates | 156 | 151 | ||
Unrealized gain on qualifying derivatives | 28 | 37 | ||
Other regulatory assets | 322 | 244 | ||
Reacquired debt costs | 31 | 34 | ||
Foreign plant - net | 854 | 859 | ||
Domestic - other | 58 | 78 | ||
Total deferred tax liabilities | 5,902 | 5,476 | ||
Net deferred tax liability | 4,321 | 3,690 | ||
Federal [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 432 | [2] | ||
Federal [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-31 | |||
Federal [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-32 | |||
State [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 5,059 | [2],[3] | ||
Charitable contributions | 33 | |||
Loss carryfoward valuation allowance on net operating losses | 238 | |||
State [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-17 | |||
Expiration - capital losses | 31-Dec-15 | |||
State [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-34 | |||
Expiration - capital losses | 31-Dec-18 | |||
Foreign [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 29 | [4] | ||
Capital losses | 2,231 | [5] | ||
Loss carryfoward valuation allowance on net operating losses | 6 | |||
Loss carryfoward valuation allowance on capital losses | 446 | |||
PPL Energy Supply LLC [Member] | ||||
Income (Loss) from Continuing Operations (Details) [Abstract] | ||||
Income (Loss) Before Income Taxes | 303 | -420 | 665 | |
Deferred Tax Assets | ||||
Deferred investment tax credits | 11 | [1] | 84 | |
Accrued pension costs | 98 | 39 | ||
Federal loss carryforwards | 22 | 28 | ||
State loss carryforwards | 79 | 80 | ||
Federal and state tax credit carryforwards | 13 | [1] | 131 | |
Domestic - other | 79 | 69 | ||
Valuation allowances | -78 | -78 | ||
Total deferred tax assets | 224 | 353 | ||
Deferred Tax Liabilities | ||||
Domestic plant - net | 1,374 | 1,392 | ||
Unrealized gain on qualifying derivatives | 28 | 38 | ||
Domestic - other | 42 | 46 | ||
Total deferred tax liabilities | 1,444 | 1,476 | ||
Net deferred tax liability | 1,220 | 1,123 | ||
PPL Energy Supply LLC [Member] | Federal [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 63 | |||
PPL Energy Supply LLC [Member] | Federal [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-31 | |||
PPL Energy Supply LLC [Member] | Federal [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-32 | |||
PPL Energy Supply LLC [Member] | State [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 1,228 | [6] | ||
PPL Energy Supply LLC [Member] | State [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-18 | |||
PPL Energy Supply LLC [Member] | State [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-34 | |||
PPL Electric Utilities Corp [Member] | ||||
Income (Loss) from Continuing Operations (Details) [Abstract] | ||||
Income (Loss) Before Income Taxes | 423 | 317 | 204 | |
Deferred Tax Assets | ||||
Regulatory obligations | 39 | 38 | ||
Accrued pension costs | 85 | 42 | ||
Federal loss carryforwards | 51 | 72 | ||
State loss carryforwards | 30 | 35 | ||
Contributions in aid of construction | 110 | 109 | ||
Domestic - other | 54 | 45 | ||
Total deferred tax assets | 369 | 341 | ||
Deferred Tax Liabilities | ||||
Domestic plant - net | 1,453 | 1,366 | ||
Taxes recoverable through future rates | 132 | 129 | ||
Other regulatory assets | 173 | 129 | ||
Reacquired debt costs | 20 | 23 | ||
Domestic - other | 16 | 8 | ||
Total deferred tax liabilities | 1,794 | 1,655 | ||
Net deferred tax liability | 1,425 | 1,314 | ||
PPL Electric Utilities Corp [Member] | Federal [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 146 | |||
PPL Electric Utilities Corp [Member] | Federal [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-31 | |||
PPL Electric Utilities Corp [Member] | Federal [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-32 | |||
PPL Electric Utilities Corp [Member] | State [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 467 | |||
PPL Electric Utilities Corp [Member] | State [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-30 | |||
PPL Electric Utilities Corp [Member] | State [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-32 | |||
LG And E And KU Energy LLC [Member] | ||||
Income (Loss) from Continuing Operations (Details) [Abstract] | ||||
Income (Loss) Before Income Taxes | 553 | 551 | 331 | |
Deferred Tax Assets | ||||
Deferred investment tax credits | 51 | 52 | ||
Regulatory obligations | 92 | 107 | ||
Accrued pension costs | 53 | 26 | ||
Federal loss carryforwards | 82 | 222 | ||
State capital loss carryforward | 0 | 4 | ||
Income taxes due to customers | 20 | 23 | ||
Federal and state tax credit carryforwards | 182 | 179 | ||
Domestic - other | 44 | 43 | ||
Unrealized losses on qualifying derivatives | 45 | 14 | ||
Valuation allowances | 0 | -4 | ||
Total deferred tax assets | 569 | 666 | ||
Deferred Tax Liabilities | ||||
Domestic plant - net | 1,639 | 1,327 | ||
Other regulatory assets | 143 | 133 | ||
Domestic - other | 12 | 12 | ||
Total deferred tax liabilities | 1,794 | 1,472 | ||
Net deferred tax liability | 1,225 | 806 | ||
LG And E And KU Energy LLC [Member] | Federal [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 132 | |||
LG And E And KU Energy LLC [Member] | Federal [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-31 | |||
LG And E And KU Energy LLC [Member] | Federal [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-32 | |||
LG And E And KU Energy LLC [Member] | State [Member] | ||||
Loss carryforwards | ||||
Net operating losses | 927 | |||
Capital losses | 1 | |||
Expiration - capital losses | 31-Dec-16 | |||
LG And E And KU Energy LLC [Member] | State [Member] | Minimum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-28 | |||
LG And E And KU Energy LLC [Member] | State [Member] | Maximum [Member] | ||||
Loss carryforwards | ||||
Expiration - operating losses | 31-Dec-32 | |||
Louisville Gas And Electric Co [Member] | ||||
Income (Loss) from Continuing Operations (Details) [Abstract] | ||||
Income (Loss) Before Income Taxes | 272 | 257 | 192 | |
Deferred Tax Assets | ||||
Deferred investment tax credits | 14 | 15 | ||
Regulatory obligations | 51 | 59 | ||
Income taxes due to customers | 18 | 19 | ||
Domestic - other | 9 | 14 | ||
Unrealized losses on qualifying derivatives | 32 | 14 | ||
Total deferred tax assets | 124 | 121 | ||
Deferred Tax Liabilities | ||||
Domestic plant - net | 698 | 585 | ||
Other regulatory assets | 90 | 83 | ||
Accrued pension costs | 28 | 24 | ||
Domestic - other | 8 | 8 | ||
Total deferred tax liabilities | 824 | 700 | ||
Net deferred tax liability | 700 | 579 | ||
Kentucky Utilities Co [Member] | ||||
Income (Loss) from Continuing Operations (Details) [Abstract] | ||||
Income (Loss) Before Income Taxes | 355 | 360 | 215 | |
Deferred Tax Assets | ||||
Deferred investment tax credits | 37 | 38 | ||
Regulatory obligations | 41 | 47 | ||
Federal loss carryforwards | 0 | 23 | ||
Income taxes due to customers | 2 | 4 | ||
Domestic - other | 7 | 8 | ||
Unrealized losses on qualifying derivatives | 13 | 0 | ||
Total deferred tax assets | 100 | 120 | ||
Deferred Tax Liabilities | ||||
Domestic plant - net | 922 | 721 | ||
Other regulatory assets | 53 | 50 | ||
Domestic - other | 7 | 4 | ||
Total deferred tax liabilities | 982 | 775 | ||
Net deferred tax liability | $882 | $655 | ||
[1] | During 2014, PPL accepted U.S. government grants for hydroelectric plant expansions resulting in reductions of investment tax credits previously claimedand reductions in the carrying value of the related plants. See Note 8 for additional information. | |||
[2] | Includes an insignificant amount of federal and state net operating loss carryforwards from excess tax deductions related to stock compensation for which a tax benefit will be recorded in Equity when realized. | |||
[3] | A valuation allowance of $238 million has been recorded against the deferred tax assets for these losses | |||
[4] | A valuation allowance of $6 million has been recorded against the deferred tax assets for these losses. | |||
[5] | A valuation allowance of $446 million has been recorded against the deferred tax assets for these losses. | |||
[6] | A valuation allowance of $78 million has been recorded against the deferred tax assets for these losses. |
Income_and_Other_Taxes_Credit_
Income and Other Taxes (Credit Carryforwards and Valuation Allowances and Reserves) (Details) (USD $) | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||
Valuation Allowances and Reserves (Details) [Roll Forward] | ||||||
Reduction of the valuation allowance as a result of the reduction in the UK statutory income tax rate | $67,000,000 | $46,000,000 | ||||
Permanently reinvested cumulative undistributed foreign earnings | 3,700,000,000 | 2,900,000,000 | ||||
Valuation Allowance Of Deferred Tax Assets [Member] | ||||||
Valuation Allowances and Reserves (Details) [Roll Forward] | ||||||
Balance at beginning of period | 663,000,000 | 706,000,000 | 724,000,000 | |||
Additions charged to income | 57,000,000 | 29,000,000 | 18,000,000 | |||
Additions charged to other accounts | 6,000,000 | 0 | 10,000,000 | |||
Deductions | 26,000,000 | 72,000,000 | [1] | 46,000,000 | [1] | |
Balance at end of period | 700,000,000 | 663,000,000 | 706,000,000 | |||
Investment Tax Credit [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 125,000,000 | |||||
Investment Tax Credit [Member] | Federal [Member] | Minimum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/25 | |||||
Investment Tax Credit [Member] | Federal [Member] | Maximum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/28 | |||||
Alternative Minimum Tax Credit [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 44,000,000 | |||||
Other [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 34,000,000 | |||||
Other [Member] | Federal [Member] | Minimum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/16 | |||||
Other [Member] | Federal [Member] | Maximum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/34 | |||||
Other [Member] | State [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 8,000,000 | |||||
Expiration | 12/31/22 | |||||
PPL Energy Supply LLC [Member] | Valuation Allowance Of Deferred Tax Assets [Member] | ||||||
Valuation Allowances and Reserves (Details) [Roll Forward] | ||||||
Balance at beginning of period | 78,000,000 | 74,000,000 | 72,000,000 | |||
Additions charged to income | 0 | 4,000,000 | 2,000,000 | |||
Additions charged to other accounts | 0 | 0 | 0 | |||
Deductions | 0 | 0 | 0 | |||
Balance at end of period | 78,000,000 | 78,000,000 | 74,000,000 | |||
PPL Energy Supply LLC [Member] | Alternative Minimum Tax Credit [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 6,000,000 | |||||
PPL Energy Supply LLC [Member] | Other [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 7,000,000 | |||||
PPL Energy Supply LLC [Member] | Other [Member] | Federal [Member] | Minimum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/31 | |||||
PPL Energy Supply LLC [Member] | Other [Member] | Federal [Member] | Maximum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/34 | |||||
LG And E And KU Energy LLC [Member] | Valuation Allowance Of Deferred Tax Assets [Member] | ||||||
Valuation Allowances and Reserves (Details) [Roll Forward] | ||||||
Balance at beginning of period | 4,000,000 | 5,000,000 | 5,000,000 | |||
Additions charged to other accounts | 0 | 0 | 0 | |||
Deductions | 4,000,000 | [2] | 1,000,000 | [2] | 0 | |
Balance at end of period | 0 | 4,000,000 | 5,000,000 | |||
LG And E And KU Energy LLC [Member] | Investment Tax Credit [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 125,000,000 | |||||
LG And E And KU Energy LLC [Member] | Investment Tax Credit [Member] | Federal [Member] | Minimum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/25 | |||||
LG And E And KU Energy LLC [Member] | Investment Tax Credit [Member] | Federal [Member] | Maximum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/28 | |||||
LG And E And KU Energy LLC [Member] | Alternative Minimum Tax Credit [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 30,000,000 | |||||
LG And E And KU Energy LLC [Member] | Other [Member] | Federal [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 27,000,000 | |||||
LG And E And KU Energy LLC [Member] | Other [Member] | Federal [Member] | Minimum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/16 | |||||
LG And E And KU Energy LLC [Member] | Other [Member] | Federal [Member] | Maximum [Member] | ||||||
Credit carryforwards | ||||||
Expiration | 12/31/34 | |||||
LG And E And KU Energy LLC [Member] | Other [Member] | State [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 8,000,000 | |||||
Expiration | 12/31/22 | |||||
Louisville Gas And Electric Co [Member] | State [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | 4,000,000 | |||||
Expiration | 12/31/22 | |||||
Kentucky Utilities Co [Member] | State [Member] | ||||||
Credit carryforwards | ||||||
Credit carryforwards, amount | $4,000,000 | |||||
Expiration | 12/31/22 | |||||
[1] | The reductions of the U.K. statutory income tax rate in 2013 and 2012 resulted in $67 million and $46 million in reductions in deferred tax assets and the corresponding valuation allowances. See "Reconciliation of Income Tax Expense" below for more information on the impact of the U.K. Finance Acts 2013 and 2012. | |||||
[2] | Primarily related to the expiration of state capital loss carryforwards. |
Income_and_Other_Taxes_Income_
Income and Other Taxes (Income Tax Expense and Reconciliation of Income Tax Expense) (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Income Tax Expense (Benefit) | ||||||
Current - Federal | $43 | ($91) | ($15) | |||
Current - State | 30 | -4 | -5 | |||
Current - Foreign | 152 | 181 | 121 | |||
Total Current Expense (Benefit) | 225 | 86 | 101 | |||
Deferred - Federal | 345 | 75 | 547 | |||
Deferred - State | 136 | 45 | 100 | |||
Deferred - Foreign | 96 | -53 | 35 | |||
Total Deferred Expense (Benefit), excluding operating loss carry forwards | 577 | 67 | 682 | |||
Investment tax credit, net - Federal | -7 | -8 | -10 | |||
Tax expense (benefit) of operating loss carryforwards [Abstract] | ||||||
Deferred - Federal | 8 | 36 | [1] | -195 | [1] | |
Deferred - State | -22 | -18 | -60 | |||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | -14 | 18 | -255 | |||
Total income tax from continuing operations | 781 | 163 | 518 | |||
Income tax expense (benefit) from continuing operations [Abstract] | ||||||
Total income tax expense - Federal | 389 | 12 | 327 | |||
Total income tax expense (benefit) - State | 144 | 23 | 35 | |||
Total income tax expense - Foreign | 248 | 128 | 156 | |||
Total income tax from continuing operations | 781 | 163 | 518 | |||
Discontinued operations | 109 | 18 | 23 | |||
Stock-based compensation recorded to Additional Paid-in Capital | -4 | -2 | -1 | |||
Valuation allowance on state deferred taxes related to issuance costs of Purchase Contracts recorded to Additional Paid-in Capital | 0 | -2 | 0 | |||
Other comprehensive income | 190 | 159 | -526 | |||
Valuation allowance on state deferred taxes recorded to other comprehensive income | 0 | -7 | 0 | |||
Total income tax expense (benefits) excluded from incomes taxes from continuing operations | 295 | 166 | -504 | |||
Reconciliation of Income Tax Expense | ||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | 827 | 441 | 703 | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
Increase (decrease) due to: | ||||||
State income taxes, net of federal income tax benefit | 41 | -9 | 25 | |||
State valuation allowance adjustments | 55 | [2] | 24 | [2] | 13 | |
Impact of lower U.K. income tax rates | -167 | [3] | -129 | [3] | -110 | [3] |
U.S. income tax on foreign earnings - net of foreign tax credit | 53 | [4] | 9 | [4] | 26 | [4] |
Federal and state tax reserve adjustments | -1 | -43 | [5] | -1 | [5] | |
Federal and state income tax return adjustments | 2 | -5 | 16 | [6] | ||
Impact of the United Kingdom Finance Acts on deferred tax balances | -1 | [3] | -97 | [3] | -75 | [3] |
Federal income tax credits | -1 | -9 | [7] | -11 | [7] | |
Depreciation not normalized | -7 | -8 | -11 | |||
State deferred tax rate change | -1 | [8] | 15 | [8] | -19 | [8] |
Intercompany interest on United Kingdom financing entities | -8 | -10 | -9 | |||
Other | -11 | -16 | -29 | |||
Total increase (decrease) | -46 | -278 | -185 | |||
Total income tax from continuing operations | 781 | 163 | 518 | |||
Effective income tax rate | 33.00% | 12.90% | 25.80% | |||
Adjustment to valuation allowance on deferred tax assets due to spinoff anouncement | 50 | |||||
Expense related to a deferred tax valuation allowance due to a decrease in projected future taxable income | 23 | |||||
United Kingdom statutory income tax rate in effect during period prior to a change | 21.00% | 23.00% | 25.00% | |||
United Kingdom statutory income tax rate reduction | 24.00% | 24.00% | ||||
United Kingdom statutory income tax rate reduction in 2015 | 20.00% | |||||
Expense from increased taxable dividends | 47 | 25 | ||||
Expense (benefit) related to the recalculation of 2010 United Kingdom earnings and profits | -19 | 23 | ||||
Benefit from favorable United States Tax Court decision on deductibility of United Kingdom windfall profit tax | 42 | |||||
Expense from reversal by United States Court of Appeals for the Third Circuit on deductibility of United Kingdom windfall profit tax | 39 | |||||
Benefit from favorable United States Tax Court decision on deductibility of United Kingdom windfall profit tax | 44 | |||||
Interest portion of benefit from favorable United States Tax Court decision on deductibility of United Kingdom windfall profit tax | 19 | |||||
Benefit recorded related to stranded cost securitization included in change in federal and state income tax reserves | 7 | 6 | ||||
Reversal of prior years' state income tax benefit related to regulated depreciation | 5 | 16 | ||||
Benefit related to 2010 federal and state tax return adjustments related to domestic manufacturing deduction | 5 | |||||
Taxes, other than income | ||||||
State gross receipts | 147 | 135 | 135 | |||
Foreign property | 157 | 147 | 147 | |||
Domestic property and other | 70 | 69 | 70 | |||
Total | 374 | 351 | 352 | |||
PPL Energy Supply LLC [Member] | ||||||
Income Tax Expense (Benefit) | ||||||
Current - Federal | 28 | 118 | 74 | |||
Current - State | 13 | 16 | 19 | |||
Total Current Expense (Benefit) | 41 | 134 | 93 | |||
Deferred - Federal | 66 | -285 | 187 | |||
Deferred - State | 11 | -27 | 7 | |||
Total Deferred Expense (Benefit), excluding operating loss carry forwards | 77 | -312 | 194 | |||
Investment tax credit, net - Federal | -2 | -3 | -2 | |||
Tax expense (benefit) of operating loss carryforwards [Abstract] | ||||||
Deferred - Federal | 0 | 22 | [1] | -48 | [1] | |
Deferred - State | 0 | 0 | -1 | |||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 0 | 22 | -49 | |||
Total income tax from continuing operations | 116 | [9] | -159 | [9] | 236 | [9] |
Income tax expense (benefit) from continuing operations [Abstract] | ||||||
Total income tax expense - Federal | 92 | -148 | 211 | |||
Total income tax expense (benefit) - State | 24 | -11 | 25 | |||
Total income tax from continuing operations | 116 | [9] | -159 | [9] | 236 | [9] |
Discontinued operations | 109 | 17 | 27 | |||
Other comprehensive income | -56 | 47 | -267 | |||
Reconciliation of Income Tax Expense | ||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | 106 | -147 | 233 | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
Increase (decrease) due to: | ||||||
State income taxes, net of federal income tax benefit | 17 | -24 | 30 | |||
Federal income tax credits | 0 | -8 | [10] | -11 | [10] | |
State deferred tax rate change | -1 | [11] | 15 | [11] | -19 | [11] |
Other | -6 | 5 | 3 | |||
Total increase (decrease) | 10 | -12 | 3 | |||
Total income tax from continuing operations | 116 | [9] | -159 | [9] | 236 | [9] |
Effective income tax rate | 38.30% | 37.90% | 35.50% | |||
Taxes, other than income | ||||||
State gross receipts | 45 | 37 | 35 | |||
State capital stock | 1 | 1 | 5 | |||
Domestic property and other | 11 | 15 | 15 | |||
Total | 57 | 53 | 55 | |||
PPL Electric Utilities Corp [Member] | ||||||
Income Tax Expense (Benefit) | ||||||
Current - Federal | 60 | -15 | -28 | |||
Current - State | 15 | -4 | -18 | |||
Total Current Expense (Benefit) | 75 | -19 | -46 | |||
Deferred - Federal | 70 | 109 | 162 | |||
Deferred - State | 16 | 16 | 42 | |||
Total Deferred Expense (Benefit), excluding operating loss carry forwards | 86 | 125 | 204 | |||
Investment tax credit, net - Federal | -1 | -1 | -1 | |||
Tax expense (benefit) of operating loss carryforwards [Abstract] | ||||||
Deferred - Federal | 0 | 4 | -72 | |||
Deferred - State | 0 | -1 | -17 | |||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 0 | 3 | -89 | |||
Total income tax from continuing operations | 160 | 108 | 68 | |||
Income tax expense (benefit) from continuing operations [Abstract] | ||||||
Total income tax expense - Federal | 129 | 97 | 61 | |||
Total income tax expense (benefit) - State | 31 | 11 | 7 | |||
Total income tax from continuing operations | 160 | 108 | 68 | |||
Reconciliation of Income Tax Expense | ||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | 148 | 111 | 71 | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
Increase (decrease) due to: | ||||||
State income taxes, net of federal income tax benefit | 22 | 16 | 9 | |||
Federal and state tax reserve adjustments | -1 | -9 | [12] | -8 | [12] | |
Federal and state income tax return adjustments | 1 | [13] | -1 | [13] | 7 | [13] |
Depreciation not normalized | -6 | -6 | -8 | |||
Other | -4 | -3 | -3 | |||
Total increase (decrease) | 12 | -3 | -3 | |||
Total income tax from continuing operations | 160 | 108 | 68 | |||
Effective income tax rate | 37.80% | 34.10% | 33.30% | |||
Benefit recorded related to stranded cost securitization included in change in federal and state income tax reserves | 7 | 6 | ||||
Reversal of prior years' state income tax benefit related to regulated depreciation | -5 | 5 | ||||
Taxes, other than income | ||||||
State gross receipts | 102 | 98 | 101 | |||
Domestic property and other | 5 | 5 | 4 | |||
Total | 107 | 103 | 105 | |||
LG And E And KU Energy LLC [Member] | ||||||
Income Tax Expense (Benefit) | ||||||
Current - Federal | -247 | -59 | -32 | |||
Current - State | 8 | 10 | 2 | |||
Total Current Expense (Benefit) | -239 | -49 | -30 | |||
Deferred - Federal | 437 | 244 | 185 | |||
Deferred - State | 23 | 20 | 15 | |||
Total Deferred Expense (Benefit), excluding operating loss carry forwards | 460 | 264 | 200 | |||
Investment tax credit, net - Federal | -4 | -4 | -6 | |||
Tax expense (benefit) of operating loss carryforwards [Abstract] | ||||||
Deferred - Federal | -8 | -4 | -46 | |||
Deferred - State | 0 | -1 | -12 | |||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | -8 | -5 | -58 | |||
Total income tax from continuing operations | 209 | [14] | 206 | [14] | 106 | [14] |
Income tax expense (benefit) from continuing operations [Abstract] | ||||||
Total income tax expense - Federal | 178 | 177 | 101 | |||
Total income tax expense (benefit) - State | 31 | 29 | 5 | |||
Total income tax from continuing operations | 209 | [14] | 206 | [14] | 106 | [14] |
Discontinued operations | 1 | 1 | -4 | |||
Other comprehensive income | -36 | 18 | -12 | |||
Reconciliation of Income Tax Expense | ||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | 194 | 193 | 116 | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
Increase (decrease) due to: | ||||||
State income taxes, net of federal income tax benefit | 20 | 20 | 6 | |||
Amortization of investment tax credit | -4 | -4 | -6 | |||
Net operating loss carryforward adjustments | 0 | 0 | -9 | [15] | ||
Other | -1 | -3 | -1 | |||
Total increase (decrease) | 15 | 13 | -10 | |||
Total income tax from continuing operations | 209 | [14] | 206 | [14] | 106 | [14] |
Effective income tax rate | 37.80% | 37.40% | 32.00% | |||
Taxes, other than income | ||||||
Domestic property and other | 52 | 48 | 46 | |||
Total | 52 | 48 | 46 | |||
Louisville Gas And Electric Co [Member] | ||||||
Income Tax Expense (Benefit) | ||||||
Current - Federal | -25 | 52 | -2 | |||
Current - State | 10 | 16 | 3 | |||
Total Current Expense (Benefit) | -15 | 68 | 1 | |||
Deferred - Federal | 114 | 33 | 65 | |||
Deferred - State | 6 | -2 | 6 | |||
Total Deferred Expense (Benefit), excluding operating loss carry forwards | 120 | 31 | 71 | |||
Investment tax credit, net - Federal | -2 | -2 | -3 | |||
Tax expense (benefit) of operating loss carryforwards [Abstract] | ||||||
Deferred - Federal | 0 | -3 | 0 | |||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 0 | -3 | 0 | |||
Total income tax from continuing operations | 103 | 94 | 69 | |||
Income tax expense (benefit) from continuing operations [Abstract] | ||||||
Total income tax expense - Federal | 87 | 80 | 60 | |||
Total income tax expense (benefit) - State | 16 | 14 | 9 | |||
Total income tax from continuing operations | 103 | 94 | 69 | |||
Reconciliation of Income Tax Expense | ||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | 95 | 90 | 67 | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
Increase (decrease) due to: | ||||||
State income taxes, net of federal income tax benefit | 10 | 10 | 5 | |||
Amortization of investment tax credit | -2 | -2 | -3 | |||
Other | 0 | -4 | 0 | |||
Total increase (decrease) | 8 | 4 | 2 | |||
Total income tax from continuing operations | 103 | 94 | 69 | |||
Effective income tax rate | 37.90% | 36.60% | 35.90% | |||
Taxes, other than income | ||||||
Domestic property and other | 25 | 24 | 23 | |||
Total | 25 | 24 | 23 | |||
Kentucky Utilities Co [Member] | ||||||
Income Tax Expense (Benefit) | ||||||
Current - Federal | -95 | 51 | -20 | |||
Current - State | 6 | 12 | -1 | |||
Total Current Expense (Benefit) | -89 | 63 | -21 | |||
Deferred - Federal | 212 | 66 | 111 | |||
Deferred - State | 14 | 8 | 11 | |||
Total Deferred Expense (Benefit), excluding operating loss carry forwards | 226 | 74 | 122 | |||
Investment tax credit, net - Federal | -2 | -2 | -3 | |||
Tax expense (benefit) of operating loss carryforwards [Abstract] | ||||||
Deferred - Federal | 0 | -3 | -20 | |||
Total Tax Expense (Benefit) of Operating Loss Carryforwards | 0 | -3 | -20 | |||
Total income tax from continuing operations | 135 | [16] | 132 | [16] | 78 | [16] |
Income tax expense (benefit) from continuing operations [Abstract] | ||||||
Total income tax expense - Federal | 115 | 112 | 68 | |||
Total income tax expense (benefit) - State | 20 | 20 | 10 | |||
Total income tax from continuing operations | 135 | [16] | 132 | [16] | 78 | [16] |
Other comprehensive income | -1 | -1 | 1 | |||
Reconciliation of Income Tax Expense | ||||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | 124 | 126 | 75 | |||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
Increase (decrease) due to: | ||||||
State income taxes, net of federal income tax benefit | 13 | 14 | 6 | |||
Amortization of investment tax credit | -2 | -2 | -3 | |||
Other | 0 | -6 | 0 | |||
Total increase (decrease) | 11 | 6 | 3 | |||
Total income tax from continuing operations | 135 | [16] | 132 | [16] | 78 | [16] |
Effective income tax rate | 38.00% | 36.70% | 36.30% | |||
Taxes, other than income | ||||||
Domestic property and other | 27 | 24 | 23 | |||
Total | $27 | $24 | $23 | |||
[1] | A 2012Federal income tax return adjustment was recorded in 2013related to a reduction in the 2012 NOL recorded in the filed return. The reduction was primarily due to PPL's decision, at the time of filing, to utilize regular modified accelerated cost recovery system (MACRS) depreciation rates for certain non-regulated assets otherwise eligible for bonus tax depreciation. | |||||
[2] | As a result of the PPL Energy Supply spinoff announcement, PPL recorded $50 million deferred income tax expense during 2014 to adjust the valuation allowance on deferred tax assets primarily for state net operating loss carryforwards that were previously supported by the future earnings of PPL Energy Supply. See Note 8 for additional information on the anticipated spinoff. | |||||
During 2013, PPL recorded $23 million of state deferred income tax expense related to a deferred tax valuation allowance primarily due to a decrease in projected future taxable income at PPL Energy Supply over the remaining carryforward period of Pennsylvania net operating losses. | ||||||
[3] | The U.K. Finance Act 2013, enacted in July 2013, reduced the U.K. statutory income tax rate from 23% to 21% effective April 1, 2014 and from 21% to 20% effective April 1, 2015. As a result, PPL reduced its net deferred tax liabilities and recognized a deferred tax benefit during 2013 related to both rate decreases. | |||||
The U.K. Finance Act 2012, enacted in July 2012, reduced the U.K. statutory income tax rate from 25% to 24% retroactive to April 1, 2012 and from 24% to 23% effective April 1, 2013. As a result, PPL reduced its net deferred tax liabilities and recognized a deferred tax benefit during 2012 related to both rate decreases. | ||||||
[4] | During 2014, PPL recorded $47 million of income tax expense primarily attributable to taxable dividends. | |||||
During 2013, PPL recorded $28 million of income tax expense resulting from increased taxable dividends offset by a $19 million income tax benefit associated with a ruling obtained from the IRS impacting the recalculation of 2010 U.K. earnings and profits that was reflected on an amended 2010 U.S. tax return. | ||||||
During 2012, PPL recorded a $23 million adjustment to federal income tax expense related to the recalculation of 2010 U.K. earnings and profits. | ||||||
[5] | In 1997, the U.K. imposed a Windfall Profits Tax (WPT) on privatized utilities, including WPD. PPL filed its federal income tax returns for years subsequent to its 1997 and 1998 claims for refund on the basis that the U.K. WPT was creditable. In September 2010, the U.S. Tax Court (Tax Court) ruled in PPL’s favor in a dispute with the IRS, concluding that the U.K. WPT is a creditable tax for U.S. tax purposes. As a result, and with the finalization of other issues, PPL recorded a $42 million tax benefit in 2010. In January 2011, the IRS appealed the Tax Court’s decision to the U.S. Court of Appeals for the Third Circuit (Third Circuit). In December 2011, the Third Circuit issued its opinion reversing the Tax Court’s decision, holding that the U.K. WPT is not a creditable tax. As a result of the Third Circuit’s adverse determination, PPL recorded a $39 million expense in 2011. In June 2012, the U.S. Court of Appeals for the Fifth Circuit issued a contrary opinion in an identical case involving another company. In July 2012, PPL filed a petition for a writ of certiorari seeking U.S. Supreme Court review of the Third Circuit’s opinion. The Supreme Court granted PPL’s petition and oral argument was held in February 2013. On May 20, 2013, the Supreme Court reversed the Third Circuit’s opinion and ruled that the WPT is a creditable tax. As a result of the Supreme Court ruling, PPL recorded a tax benefit of $44 million during 2013, of which $19 million relates to interest. | |||||
PPL recorded a tax benefit of $7 million during 2013 and $6 million during 2012 federal and state income tax reserves related to stranded cost securitization. The reserve balance at December 31, 2013 related to stranded costs securitization was zero. | ||||||
[6] | During 2012, PPL recorded $16 million in federal and state income tax expense related to the filing of the 2011 federal and state income tax returns. Of this amount, $5 million relates to the reversal of prior years’ state income tax benefits related to regulated depreciation. PPL changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year. In August 2011, the IRS issued guidance regarding the use and evaluation of statistical samples and sampling estimates for network assets. The IRS guidance provided a safe harbor method of determining whether the repair expenditures for electric transmission and distribution property can be currently deducted for tax purposes. PPL adopted the safe harbor method with the filing of its 2011 federal income tax return. | |||||
[7] | During 2013 and 2012, PPL recorded deferred tax benefits related to investment tax credits on progress expenditures for the Holtwood hydroelectric plant expansion. See Note 8 for additional information. | |||||
[8] | During 2014, 2013 and 2012, PPL recorded adjustments related to its December 31 state deferred tax liabilities as a result of annual changes in state apportionment and the impact on the future estimated state income tax rate. | |||||
[9] | Excludes current and deferred federal and state tax expense recorded to Discontinued Operations of $109 million, $17 million and $27 million in 2014, 2013 and 2012. Also excludes federal and state tax expense (benefit) recorded to OCI of $(56) million, $47 million and $(267) million in 2014, 2013 and 2012. | |||||
[10] | During 2013 and 2012, PPL Energy Supply recorded deferred tax benefits related to investment tax credits on progress expenditures for the Holtwood hydroelectric plant expansion. See Note 8 for additional information. | |||||
[11] | During 2014, 2013 and 2012, PPL Energy Supply recorded adjustments related to its December 31 state deferred tax liabilities as a result of annual changes in state apportionment and the impact on the future estimated state income tax rate. | |||||
[12] | PPL Electric recorded a tax benefit of $7 million during 2013 and $6 million during 2012 to federal and state income tax reserves related to stranded cost securitization. The reserve balance at December 31, 2013 related to stranded costs securitization was zero. | |||||
[13] | PPL Electric changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year. In August 2011, the IRS issued guidance regarding the use and evaluation of statistical samples and sampling estimates for network assets. The IRS guidance provided a safe harbor method of determining whether the repair expenditures for electric transmission and distribution property can be currently deducted for tax purposes. PPL Electric adopted the safe harbor method with the filing of its 2011 federal income tax return and recorded a $5 million adjustment to federal and state income tax expense in 2012 resulting from the reversal of prior years’ state income tax benefits related to regulated depreciation. | |||||
[14] | Excludes current and deferred federal and state tax expense (benefit) recorded to Discontinued Operations of less than $1 million in 2014, $1 million in 2013,and $(4) million in 2012.Also, excludes deferred federal and state tax expense (benefit) recorded to OCI of $(36) million in 2014, $18 million in 2013and $(12) million in 2012. | |||||
[15] | During 2012, LKE recorded adjustments to deferred taxes related to net operating loss carryforwards based on income tax return adjustments. | |||||
[16] | Excludes deferred federal and state tax expense (benefit) recorded to OCI of less than$(1) million in both 2014 and in 2013 and $1 million in 2012. |
Income_and_Other_Taxes_Unrecog
Income and Other Taxes (Unrecognized to End) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Integer | |||
Unrecognized Tax Benefits (Details) [Roll Forward] | |||
Beginning of period | $22 | $92 | |
Additions based on tax positions of prior years | 1 | 3 | |
Reductions based on tax positions of prior years | -2 | -32 | |
Settlements | -1 | -30 | |
Lapse of applicable statute of limitation | 0 | -11 | |
End of period | 20 | 22 | 92 |
Unrecognized Tax Benefits - Probable Increase (Decrease) Next 12 Months (Numeric) [Abstract] | |||
Total amount unrecognized tax benefits may increase in next 12 months | 0 | ||
Total amount unrecognized tax benefits may decrease in next 12 months | 20 | ||
Total unrecognized tax benefits and related effects that, if recognized, would decrease the effective tax rate | 19 | 21 | |
Open Tax Positions - Accrued Interest (Numeric) [Abstract] | |||
Accrued interest receivable (payable) related to tax positions | 14 | 15 | |
Open Tax Positions - Interest and Penalties (Numeric) [Abstract] | |||
Interest expense (benefit) related to tax positions | 1 | -30 | -4 |
Income Tax Examination (Details) [Line Items] | |||
Number of major tax jurisdictions tax returns are filed | 5 | ||
US - Federal [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 1997 and prior | ||
Pennsylvania - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior | ||
Kentucky - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2009 and prior | ||
Montana - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior | ||
United Kingdom - Foreign [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2011 and prior | ||
PPL Energy Supply LLC [Member] | |||
Unrecognized Tax Benefits (Details) [Roll Forward] | |||
Beginning of period | 15 | 30 | |
Reductions based on tax positions of prior years | 0 | -15 | |
End of period | 15 | 15 | 30 |
Unrecognized Tax Benefits - Probable Increase (Decrease) Next 12 Months (Numeric) [Abstract] | |||
Total amount unrecognized tax benefits may increase in next 12 months | 0 | ||
Total amount unrecognized tax benefits may decrease in next 12 months | 15 | ||
Total unrecognized tax benefits and related effects that, if recognized, would decrease the effective tax rate | 14 | 14 | |
Open Tax Positions - Accrued Interest (Numeric) [Abstract] | |||
Accrued interest receivable (payable) related to tax positions | 16 | 15 | |
Open Tax Positions - Interest and Penalties (Numeric) [Abstract] | |||
Interest expense (benefit) related to tax positions | -1 | 5 | -4 |
Income Tax Examination (Details) [Line Items] | |||
Number of major tax jurisdictions tax returns are filed | 3 | ||
PPL Energy Supply LLC [Member] | US - Federal [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 1997 and prior | ||
PPL Energy Supply LLC [Member] | Pennsylvania - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior | ||
PPL Energy Supply LLC [Member] | Montana - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior | ||
PPL Electric Utilities Corp [Member] | |||
Unrecognized Tax Benefits (Details) [Roll Forward] | |||
Beginning of period | 0 | 26 | |
Reductions based on tax positions of prior years | 0 | -17 | |
Lapse of applicable statute of limitation | 0 | -9 | |
End of period | 0 | 0 | 26 |
Open Tax Positions - Interest and Penalties (Numeric) [Abstract] | |||
Interest expense (benefit) related to tax positions | $0 | ($7) | ($4) |
Income Tax Examination (Details) [Line Items] | |||
Number of major tax jurisdictions tax returns are filed | 2 | ||
PPL Electric Utilities Corp [Member] | US - Federal [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 1997 and prior | ||
PPL Electric Utilities Corp [Member] | Pennsylvania - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2008 and prior | ||
LG And E And KU Energy LLC [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Number of major tax jurisdictions tax returns are filed | 2 | ||
LG And E And KU Energy LLC [Member] | US - Federal [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 10/31/2010 and prior | ||
LG And E And KU Energy LLC [Member] | Kentucky - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior | ||
Louisville Gas And Electric Co [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Number of major tax jurisdictions tax returns are filed | 2 | ||
Louisville Gas And Electric Co [Member] | US - Federal [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 10/31/2010 and prior | ||
Louisville Gas And Electric Co [Member] | Kentucky - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior | ||
Kentucky Utilities Co [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Number of major tax jurisdictions tax returns are filed | 2 | ||
Kentucky Utilities Co [Member] | US - Federal [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 10/31/2010 and prior | ||
Kentucky Utilities Co [Member] | Kentucky - State [Member] | |||
Income Tax Examination (Details) [Line Items] | |||
Income tax examination, year(s) no longer under examination | 2010 and prior |
Utility_Rate_Regulation_Regula
Utility Rate Regulation (Regulatory Assets) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | $37 | $33 |
Noncurrent regulatory assets | 1,562 | 1,246 |
Gas Supply Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 15 | 10 |
Fuel Adjustment Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 4 | 2 |
Demand Side Management [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 0 | 8 |
Transmission Service Charge [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 6 | 0 |
Defined Benefit Plans [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 720 | 509 |
Taxes Recoverable Through Future Rates [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 316 | 306 |
Storm Costs [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 124 | 147 |
Unamortized Loss On Debt [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 77 | 85 |
Interest Rate Swaps [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 122 | 44 |
Accumulated Cost Of Removal Of Utility Plant [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 114 | 98 |
Asset Retirement Obligations [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 79 | 44 |
Environmental Cost Recovery [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 5 | 7 |
Other Regulatory Assets [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 7 | 6 |
Noncurrent regulatory assets | 10 | 13 |
PPL Electric Utilities Corp [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 12 | 6 |
Noncurrent regulatory assets | 897 | 772 |
PPL Electric Utilities Corp [Member] | Transmission Service Charge [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 6 | 0 |
PPL Electric Utilities Corp [Member] | Defined Benefit Plans [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 372 | 257 |
PPL Electric Utilities Corp [Member] | Taxes Recoverable Through Future Rates [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 316 | 306 |
PPL Electric Utilities Corp [Member] | Storm Costs [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 46 | 53 |
PPL Electric Utilities Corp [Member] | Unamortized Loss On Debt [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 49 | 57 |
PPL Electric Utilities Corp [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 114 | 98 |
PPL Electric Utilities Corp [Member] | Other Regulatory Assets [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 6 | 6 |
Noncurrent regulatory assets | 0 | 1 |
LG And E And KU Energy LLC [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 25 | 27 |
Noncurrent regulatory assets | 665 | 474 |
LG And E And KU Energy LLC [Member] | Gas Supply Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 15 | 10 |
LG And E And KU Energy LLC [Member] | Fuel Adjustment Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 4 | 2 |
LG And E And KU Energy LLC [Member] | Demand Side Management [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 0 | 8 |
LG And E And KU Energy LLC [Member] | Defined Benefit Plans [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 348 | 252 |
LG And E And KU Energy LLC [Member] | Storm Costs [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 78 | 94 |
LG And E And KU Energy LLC [Member] | Unamortized Loss On Debt [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 28 | 28 |
LG And E And KU Energy LLC [Member] | Interest Rate Swaps [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 122 | 44 |
LG And E And KU Energy LLC [Member] | Asset Retirement Obligations [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 79 | 44 |
LG And E And KU Energy LLC [Member] | Environmental Cost Recovery [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 5 | 7 |
LG And E And KU Energy LLC [Member] | Other Regulatory Assets [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 1 | 0 |
Noncurrent regulatory assets | 10 | 12 |
Louisville Gas And Electric Co [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 21 | 17 |
Noncurrent regulatory assets | 397 | 303 |
Louisville Gas And Electric Co [Member] | Gas Supply Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 15 | 10 |
Louisville Gas And Electric Co [Member] | Fuel Adjustment Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 2 | 2 |
Louisville Gas And Electric Co [Member] | Demand Side Management [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 0 | 3 |
Louisville Gas And Electric Co [Member] | Defined Benefit Plans [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 215 | 164 |
Louisville Gas And Electric Co [Member] | Storm Costs [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 43 | 51 |
Louisville Gas And Electric Co [Member] | Unamortized Loss On Debt [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 18 | 18 |
Louisville Gas And Electric Co [Member] | Interest Rate Swaps [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 89 | 44 |
Louisville Gas And Electric Co [Member] | Asset Retirement Obligations [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 28 | 21 |
Louisville Gas And Electric Co [Member] | Environmental Cost Recovery [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 4 | 2 |
Louisville Gas And Electric Co [Member] | Other Regulatory Assets [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 0 | 0 |
Noncurrent regulatory assets | 4 | 5 |
Kentucky Utilities Co [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 4 | 10 |
Noncurrent regulatory assets | 268 | 171 |
Kentucky Utilities Co [Member] | Fuel Adjustment Clause [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 2 | 0 |
Kentucky Utilities Co [Member] | Demand Side Management [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 0 | 5 |
Kentucky Utilities Co [Member] | Defined Benefit Plans [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 133 | 88 |
Kentucky Utilities Co [Member] | Storm Costs [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 35 | 43 |
Kentucky Utilities Co [Member] | Unamortized Loss On Debt [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 10 | 10 |
Kentucky Utilities Co [Member] | Interest Rate Swaps [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 33 | 0 |
Kentucky Utilities Co [Member] | Asset Retirement Obligations [Member] | ||
Regulatory Assets [Line Items] | ||
Noncurrent regulatory assets | 51 | 23 |
Kentucky Utilities Co [Member] | Environmental Cost Recovery [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 1 | 5 |
Kentucky Utilities Co [Member] | Other Regulatory Assets [Member] | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 1 | 0 |
Noncurrent regulatory assets | $6 | $7 |
Utility_Rate_Regulation_Regula1
Utility Rate Regulation (Regulatory Liabilities) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | $91 | $90 | ||
Noncurrent regulatory liabilities | 992 | 1,048 | ||
Generation Supply Charge [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 28 | 23 | ||
Gas Supply Clause [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 6 | 3 | ||
Gas Line Tracker [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 3 | 6 | ||
Transmission Service Charge [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 8 | ||
Transmission Formula Rate [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 42 | 20 | ||
Fuel Adjustment Clause [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 4 | ||
Universal Service Rider [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 10 | ||
Storm Damage Expense [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 3 | 14 | ||
Accumulated Cost Of Removal Of Utility Plant [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 693 | 688 | ||
Coal Contracts [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 59 | [1] | 98 | [1] |
Power Purchase Agreement Ohio Valley Electric Corporation [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 92 | [1] | 100 | [1] |
Net Deferred Tax Assets [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 26 | 30 | ||
Act 129 Compliance Rider [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 18 | 15 | ||
Defined Benefit Plans [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 16 | 26 | ||
Interest Rate Swaps [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 84 | 86 | ||
Other Regulatory Liabilities [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 9 | 2 | ||
Noncurrent regulatory liabilities | 4 | 5 | ||
PPL Electric Utilities Corp [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 76 | 76 | ||
Noncurrent regulatory liabilities | 18 | 15 | ||
PPL Electric Utilities Corp [Member] | Generation Supply Charge [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 28 | 23 | ||
PPL Electric Utilities Corp [Member] | Transmission Service Charge [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 8 | ||
PPL Electric Utilities Corp [Member] | Transmission Formula Rate [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 42 | 20 | ||
PPL Electric Utilities Corp [Member] | Universal Service Rider [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 10 | ||
PPL Electric Utilities Corp [Member] | Storm Damage Expense [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 3 | 14 | ||
PPL Electric Utilities Corp [Member] | Act 129 Compliance Rider [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 18 | 15 | ||
PPL Electric Utilities Corp [Member] | Other Regulatory Liabilities [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 3 | 1 | ||
LG And E And KU Energy LLC [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 15 | 14 | ||
Noncurrent regulatory liabilities | 974 | 1,033 | ||
LG And E And KU Energy LLC [Member] | Demand Side Management [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 2 | 0 | ||
LG And E And KU Energy LLC [Member] | Gas Supply Clause [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 6 | 3 | ||
LG And E And KU Energy LLC [Member] | Gas Line Tracker [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 3 | 6 | ||
LG And E And KU Energy LLC [Member] | Fuel Adjustment Clause [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 4 | ||
LG And E And KU Energy LLC [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 693 | 688 | ||
LG And E And KU Energy LLC [Member] | Coal Contracts [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 59 | [1] | 98 | [1] |
LG And E And KU Energy LLC [Member] | Power Purchase Agreement Ohio Valley Electric Corporation [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 92 | 100 | ||
LG And E And KU Energy LLC [Member] | Net Deferred Tax Assets [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 26 | 30 | ||
LG And E And KU Energy LLC [Member] | Defined Benefit Plans [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 16 | 26 | ||
LG And E And KU Energy LLC [Member] | Interest Rate Swaps [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 84 | 86 | ||
LG And E And KU Energy LLC [Member] | Other Regulatory Liabilities [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 4 | 1 | ||
Noncurrent regulatory liabilities | 4 | 5 | ||
Louisville Gas And Electric Co [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 10 | 9 | ||
Noncurrent regulatory liabilities | 458 | 482 | ||
Louisville Gas And Electric Co [Member] | Demand Side Management [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 1 | 0 | ||
Louisville Gas And Electric Co [Member] | Gas Supply Clause [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 6 | 3 | ||
Louisville Gas And Electric Co [Member] | Gas Line Tracker [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 3 | 6 | ||
Louisville Gas And Electric Co [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 302 | 299 | ||
Louisville Gas And Electric Co [Member] | Coal Contracts [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 25 | [1] | 43 | [1] |
Louisville Gas And Electric Co [Member] | Power Purchase Agreement Ohio Valley Electric Corporation [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 63 | 69 | ||
Louisville Gas And Electric Co [Member] | Net Deferred Tax Assets [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 24 | 26 | ||
Louisville Gas And Electric Co [Member] | Interest Rate Swaps [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 42 | 43 | ||
Louisville Gas And Electric Co [Member] | Other Regulatory Liabilities [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 2 | 2 | ||
Kentucky Utilities Co [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 5 | 5 | ||
Noncurrent regulatory liabilities | 516 | 551 | ||
Kentucky Utilities Co [Member] | Demand Side Management [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 1 | 0 | ||
Kentucky Utilities Co [Member] | Fuel Adjustment Clause [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 0 | 4 | ||
Kentucky Utilities Co [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 391 | 389 | ||
Kentucky Utilities Co [Member] | Coal Contracts [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 34 | [1] | 55 | [1] |
Kentucky Utilities Co [Member] | Power Purchase Agreement Ohio Valley Electric Corporation [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 29 | 31 | ||
Kentucky Utilities Co [Member] | Net Deferred Tax Assets [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 2 | 4 | ||
Kentucky Utilities Co [Member] | Defined Benefit Plans [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 16 | 26 | ||
Kentucky Utilities Co [Member] | Interest Rate Swaps [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Noncurrent regulatory liabilities | 42 | 43 | ||
Kentucky Utilities Co [Member] | Other Regulatory Liabilities [Member] | ||||
Regulatory Liabilities [Line Items] | ||||
Current regulatory liabilities | 4 | 1 | ||
Noncurrent regulatory liabilities | $2 | $3 | ||
[1] | These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. |
Utility_Rate_Regulation_Regula2
Utility Rate Regulation (Regulatory Assets and Liabilities) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Regulatory Assets and Liabilities - Act 129 Compliance Rider (Numeric) [Abstract] | |||
Maximum recoverable cost | 250 | ||
Defined Benefit Plans [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-15 | ||
Regulatory Assets and Liabilities - Defined Benefit Plans (Numeric) [Abstract] | |||
Regulatory asset costs expected to be amortized into net periodic defined benefit costs in the next year | 58 | ||
Unamortized Loss On Debt [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-40 | ||
Accumulated Cost Of Removal Of Utility Plant [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | five-year | ||
Act 129 Compliance Rider [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | three-year | ||
Amortization end date | 31-May-16 | ||
Regulatory Assets and Liabilities - Act 129 Compliance Rider (Numeric) [Abstract] | |||
Maximum recoverable cost Phase II | 185 | ||
Environmental Cost Recovery [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Regulatory Assets and Liabilities - Environmental Cost Recovery (Numeric) [Abstract] | |||
Return on equity for approved projects remaining from earlier ECR plans | 10.25% | ||
Return on equity for approved projects in the 2009 ECR proceedings | 10.63% | ||
Return on equity for approved projects in the 2011 ECR proceedings | 10.10% | ||
Gas Supply Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 18 months | ||
Fuel Adjustment Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Interest Rate Swaps [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-33 | ||
Regulatory Assets and Liabilities - Interest Rate Swaps (Numeric) [Abstract] | |||
Principal amount of debt related to interest rate swap that is receiving regulatory accounting treatment | 1,000 | ||
Realized gains (losses) recognized during period that is receiving regulatory accounting treatment | 86 | ||
Amortization end date for 2008 terminated swap contract | 31-Dec-35 | ||
Gas Line Tracker [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Return on equity | 10.25% | ||
Regulatory Assets and Liabilities - Gas Line Tracker (Numeric) [Abstract] | |||
Term, in years, of the gas service rider program | 5 | ||
Coal Contracts [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-16 | ||
Power Purchase Agreement Ohio Valley Electric Corporation [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Mar-26 | ||
PPL Electric Utilities Corp [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Return on equity | 10.40% | ||
Regulatory Assets and Liabilities - Act 129 Compliance Rider (Numeric) [Abstract] | |||
Maximum recoverable cost | 250 | ||
PPL Electric Utilities Corp [Member] | Defined Benefit Plans [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-15 | ||
Regulatory Assets and Liabilities - Defined Benefit Plans (Numeric) [Abstract] | |||
Regulatory asset costs expected to be amortized into net periodic defined benefit costs in the next year | 18 | ||
PPL Electric Utilities Corp [Member] | Storm Costs [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | three years | ||
PPL Electric Utilities Corp [Member] | Unamortized Loss On Debt [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-29 | ||
PPL Electric Utilities Corp [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | five-year | ||
PPL Electric Utilities Corp [Member] | Act 129 Compliance Rider [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | three-year | ||
Amortization end date | 31-May-16 | ||
Regulatory Assets and Liabilities - Act 129 Compliance Rider (Numeric) [Abstract] | |||
Maximum recoverable cost Phase II | 185 | ||
LG And E And KU Energy LLC [Member] | Defined Benefit Plans [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-15 | ||
Regulatory Assets and Liabilities - Defined Benefit Plans (Numeric) [Abstract] | |||
Regulatory asset costs expected to be amortized into net periodic defined benefit costs in the next year | 40 | ||
LG And E And KU Energy LLC [Member] | Storm Costs [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-20 | ||
LG And E And KU Energy LLC [Member] | Unamortized Loss On Debt [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-40 | ||
LG And E And KU Energy LLC [Member] | Environmental Cost Recovery [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Regulatory Assets and Liabilities - Environmental Cost Recovery (Numeric) [Abstract] | |||
Return on equity for approved projects remaining from earlier ECR plans | 10.25% | ||
Return on equity for approved projects in the 2009 ECR proceedings | 10.63% | ||
Return on equity for approved projects in the 2011 ECR proceedings | 10.10% | ||
LG And E And KU Energy LLC [Member] | Gas Supply Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 18 months | ||
LG And E And KU Energy LLC [Member] | Fuel Adjustment Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
LG And E And KU Energy LLC [Member] | Interest Rate Swaps [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-33 | ||
Regulatory Assets and Liabilities - Interest Rate Swaps (Numeric) [Abstract] | |||
Principal amount of debt related to interest rate swap that is receiving regulatory accounting treatment | 1,000 | ||
Realized gains (losses) recognized during period that is receiving regulatory accounting treatment | 86 | ||
Amortization end date for 2008 terminated swap contract | 31-Dec-35 | ||
LG And E And KU Energy LLC [Member] | Gas Line Tracker [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Return on equity | 10.25% | ||
Regulatory Assets and Liabilities - Gas Line Tracker (Numeric) [Abstract] | |||
Term, in years, of the gas service rider program | 5 | ||
LG And E And KU Energy LLC [Member] | Coal Contracts [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-16 | ||
LG And E And KU Energy LLC [Member] | Power Purchase Agreement Ohio Valley Electric Corporation [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Mar-26 | ||
Louisville Gas And Electric Co [Member] | Defined Benefit Plans [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-15 | ||
Regulatory Assets and Liabilities - Defined Benefit Plans (Numeric) [Abstract] | |||
Regulatory asset costs expected to be amortized into net periodic defined benefit costs in the next year | 25 | ||
Louisville Gas And Electric Co [Member] | Storm Costs [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-20 | ||
Louisville Gas And Electric Co [Member] | Unamortized Loss On Debt [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-35 | ||
Louisville Gas And Electric Co [Member] | Environmental Cost Recovery [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Regulatory Assets and Liabilities - Environmental Cost Recovery (Numeric) [Abstract] | |||
Return on equity for approved projects remaining from earlier ECR plans | 10.25% | ||
Return on equity for approved projects in the 2009 ECR proceedings | 10.63% | ||
Return on equity for approved projects in the 2011 ECR proceedings | 10.10% | ||
Louisville Gas And Electric Co [Member] | Gas Supply Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 18 months | ||
Louisville Gas And Electric Co [Member] | Fuel Adjustment Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Louisville Gas And Electric Co [Member] | Interest Rate Swaps [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-33 | ||
Regulatory Assets and Liabilities - Interest Rate Swaps (Numeric) [Abstract] | |||
Principal amount of debt related to interest rate swap that is receiving regulatory accounting treatment | 500 | ||
Realized gains (losses) recognized during period that is receiving regulatory accounting treatment | 43 | ||
Amortization end date for 2008 terminated swap contract | 31-Dec-35 | ||
Louisville Gas And Electric Co [Member] | Gas Line Tracker [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Return on equity | 10.25% | ||
Regulatory Assets and Liabilities - Gas Line Tracker (Numeric) [Abstract] | |||
Term, in years, of the gas service rider program | 5 | ||
Louisville Gas And Electric Co [Member] | Coal Contracts [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-16 | ||
Louisville Gas And Electric Co [Member] | Power Purchase Agreement Ohio Valley Electric Corporation [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Mar-26 | ||
Kentucky Utilities Co [Member] | Defined Benefit Plans [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-15 | ||
Regulatory Assets and Liabilities - Defined Benefit Plans (Numeric) [Abstract] | |||
Regulatory asset costs expected to be amortized into net periodic defined benefit costs in the next year | 15 | ||
Kentucky Utilities Co [Member] | Storm Costs [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-20 | ||
Kentucky Utilities Co [Member] | Unamortized Loss On Debt [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-40 | ||
Kentucky Utilities Co [Member] | Environmental Cost Recovery [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Regulatory Assets and Liabilities - Environmental Cost Recovery (Numeric) [Abstract] | |||
Return on equity for approved projects remaining from earlier ECR plans | 10.25% | ||
Return on equity for approved projects in the 2009 ECR proceedings | 10.63% | ||
Return on equity for approved projects in the 2011 ECR proceedings | 10.10% | ||
Kentucky Utilities Co [Member] | Gas Supply Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 18 months | ||
Kentucky Utilities Co [Member] | Fuel Adjustment Clause [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization period | within 12 months | ||
Period of recurring reviews of activity | six-month | ||
Period of when rider amounts are rolled into base rates | two-year | ||
Kentucky Utilities Co [Member] | Interest Rate Swaps [Member] | |||
Regulatory Assets and Liabilities - Interest Rate Swaps (Numeric) [Abstract] | |||
Principal amount of debt related to interest rate swap that is receiving regulatory accounting treatment | 500 | ||
Realized gains (losses) recognized during period that is receiving regulatory accounting treatment | 43 | ||
Kentucky Utilities Co [Member] | Coal Contracts [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Dec-16 | ||
Kentucky Utilities Co [Member] | Power Purchase Agreement Ohio Valley Electric Corporation [Member] | |||
Regulatory Assets and Liabilities (Numeric) [Line Items] | |||
Amortization end date | 31-Mar-26 |
Utility_Rate_Regulation_Regula3
Utility Rate Regulation (Regulatory Matters) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Integer | |||
Regulatory Matters - United Kingdom Activities - Ofgem Review of Line Loss Calculation (Numeric) [Abstract] | |||
Liability at period end regarding line loss incentive/penalty | $99 | $74 | |
WPD's credit to income statement for Distribution Price Control Review 4 liability | -79 | ||
Charge to income during period for line loss incentive/penalty liability | 65 | 45 | -90 |
Regulatory Matters - Pennsylvania Activities - Act 129 (Numeric) [Abstract] | |||
Minimum term of long term supply contract under Act 129 (in years) | 4 | ||
Maximum term of long term supply contract under Act 129 (in years) | 20 | ||
Maximum percentage of long-term contracts that can be included in the mix of PLR supply contracts under Act 129 | 25.00% | ||
Regulatory Matters - Pennsylvania Activities - Smart Meter Rider (Numeric) [Abstract] | |||
Maximum number of years the cost of smart meters can be depreciated | 15 | ||
Projected cost of proposed smart meter replacement project | 450 | ||
Regulatory Matters - Pennsylvania Activities - Public Utility Commission Investigation of Retail Electricity Market (Numeric) [Abstract] | |||
Number of phases of a PUC investigation of retail electricity market | 2 | ||
Regulatory Matters - Pennsylvania Activities - Distribution System Improvement Charge (Numeric) [Abstract] | |||
Number of ratemaking mechanisms authorized for PUC approval | 2 | ||
Minimum term for Long Term Infrastructure Improvement Plan (in years) | 5 | ||
Maximum term for Long Term Infrastructure Improvement Plan (in years) | 10 | ||
Number of issues assigned to the Office of Administrative Law Judge | 4 | ||
PPL Electric [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Approved return on equity | 10.40% | ||
PPL Electric [Member] | Pennsylvania 2012 Storms [Member] | |||
Regulatory Matters - Storm Costs (Numeric) [Abstract] | |||
Total storm restoration costs incurred | 81 | ||
Storm restoration costs recorded to statement of income | 61 | ||
Total probable insurance recoveries recorded | 18.25 | ||
Total probable insurance recoveries recorded to statement of income | 14 | ||
Amount of regulatory asset established | 29 | 29 | |
PPL Electric [Member] | Hurricane Sandy [Member] | |||
Regulatory Matters - Pennsylvania Activities - Storm Damage Expense Rider (Numeric) [Abstract] | |||
Amount of regulatory liability reversed | 12 | ||
Regulatory Matters - Storm Costs (Numeric) [Abstract] | |||
Total storm restoration costs incurred | 66 | ||
Storm restoration costs recorded to statement of income | 50 | ||
Period over which storm costs will be recovered (in years) | 3 | ||
PPL Electric [Member] | Distribution Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 71 | ||
LGE [Member] | Kentucky Public Service Commission [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.50% | ||
LGE [Member] | Kentucky Public Service Commission [Member] | Electric Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 30 | ||
Percentage requested increase in base rates with anticipated rate case filing | 2.70% | ||
LGE [Member] | Kentucky Public Service Commission [Member] | Gas Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 14 | ||
Percentage requested increase in base rates with anticipated rate case filing | 4.20% | ||
KU [Member] | Kentucky Public Service Commission [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.50% | ||
KU [Member] | Kentucky Public Service Commission [Member] | Electric Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 153 | ||
Percentage requested increase in base rates with anticipated rate case filing | 9.60% | ||
PPL Electric Utilities Corp [Member] | |||
Regulatory Matters - Pennsylvania Activities - Act 129 (Numeric) [Abstract] | |||
Minimum term of long term supply contract under Act 129 (in years) | 4 | ||
Maximum term of long term supply contract under Act 129 (in years) | 20 | ||
Maximum percentage of long-term contracts that can be included in the mix of PLR supply contracts under Act 129 | 25.00% | ||
Regulatory Matters - Pennsylvania Activities - Smart Meter Rider (Numeric) [Abstract] | |||
Maximum number of years the cost of smart meters can be depreciated | 15 | ||
Projected cost of proposed smart meter replacement project | 450 | ||
Regulatory Matters - Pennsylvania Activities - Public Utility Commission Investigation of Retail Electricity Market (Numeric) [Abstract] | |||
Number of phases of a PUC investigation of retail electricity market | 2 | ||
Regulatory Matters - Pennsylvania Activities - Distribution System Improvement Charge (Numeric) [Abstract] | |||
Number of ratemaking mechanisms authorized for PUC approval | 2 | ||
Minimum term for Long Term Infrastructure Improvement Plan (in years) | 5 | ||
Maximum term for Long Term Infrastructure Improvement Plan (in years) | 10 | ||
Number of issues assigned to the Office of Administrative Law Judge | 4 | ||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Approved return on equity | 10.40% | ||
PPL Electric Utilities Corp [Member] | Pennsylvania 2012 Storms [Member] | |||
Regulatory Matters - Storm Costs (Numeric) [Abstract] | |||
Total storm restoration costs incurred | 81 | ||
Storm restoration costs recorded to statement of income | 61 | ||
Total probable insurance recoveries recorded | 18.25 | ||
Total probable insurance recoveries recorded to statement of income | 14 | ||
Amount of regulatory asset established | 29 | 29 | |
PPL Electric Utilities Corp [Member] | Hurricane Sandy [Member] | |||
Regulatory Matters - Pennsylvania Activities - Storm Damage Expense Rider (Numeric) [Abstract] | |||
Amount of regulatory liability reversed | 12 | ||
Regulatory Matters - Storm Costs (Numeric) [Abstract] | |||
Total storm restoration costs incurred | 66 | ||
Storm restoration costs recorded to statement of income | 50 | ||
Period over which storm costs will be recovered (in years) | 3 | ||
PPL Electric Utilities Corp [Member] | Distribution Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 71 | ||
LG And E And KU Energy LLC [Member] | Federal Energy Regulatory Commission [Member] | |||
Regulatory Matters - Federal Matters - Federal Energy Regulatory Commission Wholesale Formula Rates (Numeric) [Abstract] | |||
Number of municipal customers impacted for Federal Energy Regulatory Commission formula rate request | 12 | ||
Number of municipalities that submitted termination notices, effective 2019 | 9 | ||
Number of municipalities that submitted termination notices, effective 2017 | 1 | ||
Number of municipalities that agreed to settlement terms of rate change request | 2 | ||
Requested return on equity for certain wholesale customers | 10.00% | ||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.70% | ||
LG And E And KU Energy LLC [Member] | LGE [Member] | Kentucky Public Service Commission [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.50% | ||
LG And E And KU Energy LLC [Member] | LGE [Member] | Kentucky Public Service Commission [Member] | Electric Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 30 | ||
Percentage requested increase in base rates with anticipated rate case filing | 2.70% | ||
LG And E And KU Energy LLC [Member] | LGE [Member] | Kentucky Public Service Commission [Member] | Gas Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 14 | ||
Percentage requested increase in base rates with anticipated rate case filing | 4.20% | ||
LG And E And KU Energy LLC [Member] | KU [Member] | Kentucky Public Service Commission [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.50% | ||
LG And E And KU Energy LLC [Member] | KU [Member] | Kentucky Public Service Commission [Member] | Electric Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 153 | ||
Percentage requested increase in base rates with anticipated rate case filing | 9.60% | ||
Louisville Gas And Electric Co [Member] | Kentucky Public Service Commission [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.50% | ||
Louisville Gas And Electric Co [Member] | Kentucky Public Service Commission [Member] | Electric Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 30 | ||
Percentage requested increase in base rates with anticipated rate case filing | 2.70% | ||
Louisville Gas And Electric Co [Member] | Kentucky Public Service Commission [Member] | Gas Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | 14 | ||
Percentage requested increase in base rates with anticipated rate case filing | 4.20% | ||
Kentucky Utilities Co [Member] | Kentucky Public Service Commission [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.50% | ||
Kentucky Utilities Co [Member] | Kentucky Public Service Commission [Member] | Electric Rates [Member] | |||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Dollar amount requested increase in base rates with anticipated rate case filing | $153 | ||
Percentage requested increase in base rates with anticipated rate case filing | 9.60% | ||
Kentucky Utilities Co [Member] | Federal Energy Regulatory Commission [Member] | |||
Regulatory Matters - Federal Matters - Federal Energy Regulatory Commission Wholesale Formula Rates (Numeric) [Abstract] | |||
Number of municipal customers impacted for Federal Energy Regulatory Commission formula rate request | 12 | ||
Number of municipalities that submitted termination notices, effective 2019 | 9 | ||
Number of municipalities that submitted termination notices, effective 2017 | 1 | ||
Number of municipalities that agreed to settlement terms of rate change request | 2 | ||
Requested return on equity for certain wholesale customers | 10.00% | ||
Regulatory Matters - Rate Case Proceeding / Federal Energy Regulatory Commission Formula Rates (Numeric) [Abstract] | |||
Return on equity requested with anticipated rate case filing | 10.70% |
Financing_Activities_Credit_Ar
Financing Activities (Credit Arrangements) (Details) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | ||||||||||||||||||||||||||||||||||||||||||||||||||
WPD Limited [Member] | WPD Limited [Member] | WPD South West [Member] | WPD East Midlands [Member] | WPD West Midlands [Member] | WPD [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Electric [Member] | PPL Electric [Member] | LKE [Member] | LKE [Member] | LGE [Member] | LGE [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||
Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Bilateral Credit Facility [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | Facility Agreement [Member] | Secured Trading Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | GBP (£) | GBP (£) | WPD Limited [Member] | WPD Limited [Member] | WPD South West [Member] | WPD East Midlands [Member] | WPD West Midlands [Member] | WPD [Member] | WPD [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | Facility Agreement [Member] | Secured Trading Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | LKE [Member] | LGE [Member] | LGE [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Bilateral Credit Facility [Member] | Uncommitted Credit Facilities [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Integer | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | GBP (£) | GBP (£) | GBP (£) | GBP (£) | GBP (£) | GBP (£) | Integer | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing Activities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Expiration date | 1-Dec-16 | 1-Jul-19 | 1-Jul-19 | 1-Jul-19 | 28-Jul-19 | 12-Nov-18 | 26-Mar-15 | 6-Nov-17 | 19-Mar-15 | 30-Jun-17 | 3-Nov-19 | 28-Jul-19 | 30-Oct-18 | 29-Jul-19 | 29-Jul-19 | 1-Oct-17 | 6-Nov-17 | 19-Mar-15 | 30-Jun-17 | 3-Nov-19 | 28-Jul-19 | 30-Oct-18 | 30-Oct-18 | 29-Jul-19 | 29-Jul-19 | 1-Oct-17 | 29-Jul-19 | 29-Jul-19 | 1-Oct-17 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Capacity | $3,250,000,000 | $3,000,000,000 | [1],[2],[3] | $100,000,000 | [2] | $150,000,000 | [2] | $300,000,000 | [1],[2] | $75,000,000 | [1],[2],[3] | $500,000,000 | [1],[2] | $598,000,000 | $400,000,000 | [1],[2] | $198,000,000 | [1],[2],[4] | $815,000,000 | $300,000,000 | [1],[2],[3] | $300,000,000 | [1],[2] | $150,000,000 | [1],[2] | $65,000,000 | £ 1,160,000,000 | [5] | £ 210,000,000 | [1],[6] | £ 245,000,000 | [1],[6] | £ 300,000,000 | [1],[6] | £ 300,000,000 | [1],[6] | £ 105,000,000 | $3,250,000,000 | $3,000,000,000 | [1],[2],[3] | $100,000,000 | [2] | $150,000,000 | [2] | $300,000,000 | [1],[2] | $75,000,000 | [1],[2],[3] | $500,000,000 | [1],[2] | $598,000,000 | $400,000,000 | [1],[2] | $198,000,000 | [1],[2],[4] | $500,000,000 | [1],[2] | $598,000,000 | $400,000,000 | [1],[2] | $198,000,000 | [1],[2],[4] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowed | 161,000,000 | 166,000,000 | 100,000,000 | 630,000,000 | 630,000,000 | [1],[2],[3] | 75,000,000 | [1],[2],[3] | 75,000,000 | [1],[2],[3] | 270,000,000 | 270,000,000 | [1],[2],[3] | 167,000,000 | [5] | 103,000,000 | [5] | 103,000,000 | [1],[6] | 103,000,000 | [1],[6] | 64,000,000 | [1],[6] | 630,000,000 | 630,000,000 | [1],[2],[3] | 75,000,000 | [1],[2],[3] | 75,000,000 | [1],[2],[3] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Letters of credit and commercial paper issued | 281,000,000 | 244,000,000 | 121,000,000 | [1],[2],[3] | 29,000,000 | [1],[2] | 22,000,000 | [2] | 77,000,000 | [2] | 138,000,000 | [2] | 138,000,000 | [2] | 1,000,000 | [1],[2] | 21,000,000 | [1],[2] | 264,000,000 | [1],[2] | 20,000,000 | [1],[2] | 434,000,000 | 348,000,000 | 236,000,000 | [1],[2] | 150,000,000 | [1],[2] | 198,000,000 | [1],[2],[4] | 198,000,000 | [1],[2],[4] | 22,000,000 | 21,000,000 | [1],[2] | 1,000,000 | 5,000,000 | [5] | 5,000,000 | [5] | 5,000,000 | 5,000,000 | 281,000,000 | 244,000,000 | 121,000,000 | [1],[2],[3] | 29,000,000 | [1],[2] | 22,000,000 | [2] | 77,000,000 | [2] | 138,000,000 | [2] | 138,000,000 | [2] | 1,000,000 | [1],[2] | 21,000,000 | [1],[2] | 264,000,000 | [1],[2] | 20,000,000 | [1],[2] | 434,000,000 | 348,000,000 | 236,000,000 | [1],[2] | 150,000,000 | [1],[2] | 198,000,000 | [1],[2],[4] | 198,000,000 | [1],[2],[4] | 264,000,000 | [1],[2] | 20,000,000 | [1],[2] | 434,000,000 | 348,000,000 | 236,000,000 | [1],[2] | 150,000,000 | [1],[2] | 198,000,000 | [1],[2],[4] | 198,000,000 | [1],[2],[4] | ||||||||||||||||||||||||||||||||||||||||
Unused capacity | 1,500,000,000 | 2,339,000,000 | 2,249,000,000 | [1],[2],[3] | 78,000,000 | [2] | 12,000,000 | [2] | 299,000,000 | [1],[2] | 236,000,000 | [1],[2] | 164,000,000 | 164,000,000 | [1],[2] | 0 | 793,000,000 | 300,000,000 | [1],[2],[3] | 300,000,000 | [1],[2] | 129,000,000 | [1],[2] | 64,000,000 | 988,000,000 | [5] | 107,000,000 | [1],[6] | 245,000,000 | [1],[6] | 236,000,000 | [1],[6] | 300,000,000 | [1],[6] | 100,000,000 | 2,339,000,000 | 2,249,000,000 | [1],[2],[3] | 78,000,000 | [2] | 12,000,000 | [2] | 299,000,000 | [1],[2] | 236,000,000 | [1],[2] | 164,000,000 | 164,000,000 | [1],[2] | 0 | 236,000,000 | [1],[2] | 164,000,000 | 164,000,000 | [1],[2] | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Minimum interest coverage ratio allowed under the credit facility | 3.0 times | 3.0 times | 3.0 times | 3.0 times | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum percentage of total net debt to RAV allowed under the credit facility | 85.00% | 85.00% | 85.00% | 85.00% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate on outstanding borrowing | 1.86% | 1.87% | 1.00% | 1.79% | 2.05% | 1.67% | 1.67% | 2.05% | 1.67% | 1.67% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum percentage of debt to total capitalization allowed under the credit facility | 65.00% | 65.00% | 65.00% | 70.00% | 70.00% | 70.00% | 70.00% | 70.00% | 65.00% | 65.00% | 65.00% | 70.00% | 70.00% | 70.00% | 70.00% | 70.00% | 70.00% | 70.00% | 70.00% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Potential capacity increase | 30,000,000 | 500,000,000 | 100,000,000 | 25,000,000 | 100,000,000 | 500,000,000 | 100,000,000 | 25,000,000 | 100,000,000 | 100,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Potential maximum Facility Agreement capacity | 500,000,000 | 500,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Secured energy marketing and trading facility capacity | 800,000,000 | 800,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate carrying value of mortgages | 2,600,000,000 | 2,600,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Automatic renewal term (in years) | 1 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Secured obligations outstanding | $64,000,000 | $64,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[1] | Each company pays customary fees under its respective facility and borrowings generally bear interest at LIBOR-based rates plus an applicable margin. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | The facilities contain a financial covenant requiring debt to total capitalization not to exceed 65% for PPL Energy Supply and 70% for PPL Capital Funding, PPL Electric, LKE, LG&E and KU, as calculated in accordance with the facilities and other customary covenants. Additionally, as it relates to the syndicated and bilateral credit facilities and subject to certain conditions, PPL Capital Funding may request that the capacity of its facility expiring in July 2019 be increased by up to $100 million and the facilities expiring in November 2018 and March 2015 may be increased by up to $30 million, PPL Energy Supply may request that its facility's capacity be increased by up to $500 million, PPL Electric and KU each may request up to a $100 million increase in its facility's capacity and LKE may request up to a $25 million increase in its facility's capacity. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | At December 31, 2014, PPL Energy Supply’s andLKE's interest rates on outstanding borrowings were 2.05% and 1.67%, respectively. At December 31, 2013, PPL Capital Funding's and LKE’s interest rates on outstanding borrowings were 1.79% and 1.67%, respectively. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[4] | KU's letter of credit facility agreement allows for certain payments under the letter of credit facility to be converted to loans rather than requiring immediate payment. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[5] | WPD Ltd.'s amounts borrowed at December 31, 2014 and 2013 were USD-denominated borrowings of $161 million and $166 million, which bore interest at 1.86% and 1.87%. WPD (East Midlands) amount borrowed at December 31, 2014 was a GBP-denominated borrowing which equated to $100 million and bore interest at 1.00%. At December 31, 2014, the unused capacity under the U.K. credit facilities was approximately $1.5 billion. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[6] | The facilities contain financial covenants to maintain an interest coverage ratio of not less than 3.0 times consolidated earnings before income taxes, depreciation and amortization and total net debt not in excess of 85% of its RAV, calculated in accordance with the credit facility. |
Financing_Activities_Shortterm
Financing Activities (Short-term Debt) (Details) (Commercial Paper [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Short-term Debt [Line Items] | ||
Capacity | $1,000 | |
Commercial paper issuances | 500 | 190 |
Unused capacity | 500 | |
PPL Electric [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 300 | |
Commercial paper issuances | 0 | 20 |
Weighted-average interest rate | 0.23% | |
Unused capacity | 300 | |
LGE [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 350 | |
Commercial paper issuances | 264 | 20 |
Weighted-average interest rate | 0.42% | 0.29% |
Unused capacity | 86 | |
KU [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 350 | |
Commercial paper issuances | 236 | 150 |
Weighted-average interest rate | 0.49% | 0.32% |
Unused capacity | 114 | |
PPL Electric Utilities Corp [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 300 | |
Commercial paper issuances | 0 | 20 |
Weighted-average interest rate | 0.23% | |
Unused capacity | 300 | |
LG And E And KU Energy LLC [Member] | LGE [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 350 | |
Commercial paper issuances | 264 | 20 |
Weighted-average interest rate | 0.42% | 0.29% |
Unused capacity | 86 | |
LG And E And KU Energy LLC [Member] | KU [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 350 | |
Commercial paper issuances | 236 | 150 |
Weighted-average interest rate | 0.49% | 0.32% |
Unused capacity | 114 | |
Louisville Gas And Electric Co [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 350 | |
Commercial paper issuances | 264 | 20 |
Weighted-average interest rate | 0.42% | 0.29% |
Unused capacity | 86 | |
Kentucky Utilities Co [Member] | ||
Short-term Debt [Line Items] | ||
Capacity | 350 | |
Commercial paper issuances | 236 | 150 |
Weighted-average interest rate | 0.49% | 0.32% |
Unused capacity | $114 |
Financing_Activities_Longterm_
Financing Activities (Long-term Debt and Equity Securities) (Details) | Dec. 31, 2014 | Dec. 31, 2013 | 31-May-14 | Dec. 31, 2014 | Jul. 31, 2013 | Dec. 31, 2014 | Aug. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2014 | 31-May-13 | Mar. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | 31-May-13 | Dec. 31, 2014 | 31-May-13 | Dec. 31, 2014 | 31-May-13 | Mar. 31, 2014 | Mar. 31, 2014 | 31-May-13 | Dec. 31, 2014 | 31-May-13 | Dec. 31, 2014 | 31-May-13 | Mar. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | ||||||||||||||||||||
Share data in Millions, except Per Share data, unless otherwise specified | USD ($) | USD ($) | Purchase Contacts 2011 [Member] | Purchase Contacts 2011 [Member] | Purchase Contacts 2010 [Member] | Purchase Contacts 2010 [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Electric [Member] | PPL Electric [Member] | PPL Electric [Member] | PPL Electric [Member] | PPL Electric [Member] | LKE [Member] | LKE [Member] | LGE [Member] | LGE [Member] | KU [Member] | KU [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | PPL Capital Funding [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United States of America, Dollars [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | United Kingdom, Pounds [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | PPL Electric Utilities Corp [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | ||||||||||||||||||||
USD ($) | USD ($) | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | Junior Subordinated Notes [Member] | Remarketed [Member] | Remarketed [Member] | Remarketed [Member] | Remarketed [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | Exchanged [Member] | USD ($) | USD ($) | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Other [Member] | Other [Member] | USD ($) | GBP (£) | USD ($) | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | WPD South West And WPD East Midlands [Member] | WPD South West And WPD East Midlands [Member] | WPD South West [Member] | WPD South West [Member] | USD ($) | USD ($) | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Secured Notes [Member] | Senior Secured Notes [Member] | Other [Member] | Other [Member] | USD ($) | USD ($) | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | Other [Member] | Other [Member] | USD ($) | USD ($) | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | LGE [Member] | LGE [Member] | KU [Member] | KU [Member] | USD ($) | USD ($) | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | USD ($) | USD ($) | Senior Secured Notes - First Mortgage Bonds [Member] | Senior Secured Notes - First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | |||||||||||||||||||||||||
USD ($) | REset Put Securities [Member] | 2001 Mortgage Indenture [Member] | 2001 Mortgage Indenture [Member] | Pollution Control Revenue Refunding Bonds [Member] | USD ($) | Tax Exempt Revenue Bonds [Member] | Insured Auction Rate Securities [Member] | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | Equity Units 2010 [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | Junior Subordinated Notes [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | USD ($) | USD ($) | USD ($) | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | USD ($) | USD ($) | USD ($) | REset Put Securities [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | 2001 Mortgage Indenture [Member] | 2001 Mortgage Indenture [Member] | Pollution Control Revenue Refunding Bonds [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Tax Exempt Revenue Bonds [Member] | Insured Auction Rate Securities [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | First Mortgage Bonds [Member] | USD ($) | USD ($) | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | Tax Exempt Revenue Bonds [Member] | Insured Auction Rate Securities [Member] | USD ($) | USD ($) | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | Tax Exempt Revenue Bonds [Member] | Insured Auction Rate Securities [Member] | ||||||||||||||||||||||||||||||||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Equity Units 2010 [Member] | Equity Units 2010 [Member] | USD ($) | Equity Units 2011 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2011 [Member] | Equity Units 2011 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2010 [Member] | Equity Units 2011 [Member] | Equity Units 2011 [Member] | USD ($) | GBP (£) | USD ($) | GBP (£) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | 2010 Mortgage Indenture [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
USD ($) | USD ($) | Integer | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Weighted-Average Rate | 4.28% | 3.83% | 6.31% | 5.53% | 5.53% | 1.83% | 5.31% | 8.86% | 4.57% | 3.31% | 3.21% | 2.85% | 3.44% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maturity date of long-term debt range start | 15-Nov-15 | 1-Nov-15 | 30-Mar-67 | 1-May-16 | 1-May-16 | 1-Jun-43 | 1-Sep-15 | 15-Dec-15 | 15-Nov-15 | 1-Nov-15 | 15-Nov-15 | 1-Nov-15 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maturity date of long-term date range end | 15-Mar-44 | 15-Jun-44 | 30-Apr-73 | 10-Dec-40 | 10-Dec-40 | 1-Dec-56 | 15-Dec-36 | 15-Jun-44 | 1-Oct-21 | 15-Nov-43 | 15-Nov-43 | 15-Nov-43 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal outstanding | $20,426,000,000 | $20,935,000,000 | $300,000,000 | $231,000,000 | $13,067,000,000 | $13,314,000,000 | $6,018,000,000 | [1] | $5,568,000,000 | [1] | $6,119,000,000 | [2],[3],[4] | $5,823,000,000 | [2],[3],[4] | $930,000,000 | $1,908,000,000 | $0 | $15,000,000 | $7,359,000,000 | [5] | $7,621,000,000 | [5] | $6,627,000,000 | [6] | $6,872,000,000 | [6] | $732,000,000 | [7] | $749,000,000 | [7] | $2,238,000,000 | $2,547,000,000 | $2,193,000,000 | [1] | $2,493,000,000 | [1] | $300,000,000 | $45,000,000 | $49,000,000 | $0 | $5,000,000 | $2,614,000,000 | $2,324,000,000 | $2,614,000,000 | [2],[3] | $2,314,000,000 | [2],[3] | $0 | $10,000,000 | $4,585,000,000 | $4,585,000,000 | $1,125,000,000 | $1,125,000,000 | $3,460,000,000 | [2],[4] | $3,460,000,000 | [2],[4] | $231,000,000 | $1,359,000,000 | $1,359,000,000 | $1,359,000,000 | [2],[4] | $1,359,000,000 | [2],[4] | $135,000,000 | $2,101,000,000 | $2,101,000,000 | $2,101,000,000 | [2],[4] | $2,101,000,000 | [2],[4] | $96,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair market value adjustments | 18,000,000 | 23,000,000 | -19,000,000 | -22,000,000 | -1,000,000 | -1,000,000 | -1,000,000 | -1,000,000 | 0 | 1,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unamortized premium and (discount), net | -53,000,000 | -51,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unamortized discount | -1,000,000 | 0 | -12,000,000 | -9,000,000 | -17,000,000 | -19,000,000 | -5,000,000 | -5,000,000 | -10,000,000 | -11,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Long-term Debt | 20,391,000,000 | 20,907,000,000 | 2,218,000,000 | 2,525,000,000 | 2,602,000,000 | 2,315,000,000 | 4,567,000,000 | 4,565,000,000 | 1,353,000,000 | 1,353,000,000 | 2,091,000,000 | 2,091,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Less current portion of Long-term debt | 1,535,000,000 | 315,000,000 | 535,000,000 | 304,000,000 | 100,000,000 | 10,000,000 | 900,000,000 | 0 | 250,000,000 | 0 | 250,000,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-term Debt | 18,856,000,000 | 20,592,000,000 | 1,683,000,000 | 2,221,000,000 | 2,502,000,000 | 2,305,000,000 | 3,667,000,000 | 4,565,000,000 | 1,103,000,000 | 1,353,000,000 | 1,841,000,000 | 2,091,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-term Debt (Numeric) [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 300,000,000 | 1,150,000,000 | 978,000,000 | 250,000,000 | 600,000,000 | 300,000,000 | 350,000,000 | 400,000,000 | 300,000,000 | 850,000,000 | 350,000,000 | 400,000,000 | 300,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stated interest rate | 5.40% | 5.70% | 4.13% | 4.63% | 4.32% | 1.90% | 3.40% | 4.70% | 3.95% | 5.00% | 2.04% | 2.77% | 2.19% | 3.18% | 5.40% | 5.70% | 4.13% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maturity date (in years) | 31-Dec-35 | 15-Jun-44 | 1-Jul-18 | 1-May-19 | 1-Jun-18 | 1-Jun-23 | 1-Jun-43 | 15-Mar-24 | 15-Mar-44 | 1-Jun-16 | 1-Jun-18 | 15-Mar-17 | 15-Mar-19 | 31-Dec-35 | 30-Nov-25 | 15-Jun-44 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage of principal amount the remarketing dealer will pay if the REPS are purchased for remarketing | 100.00% | 100.00% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate carrying value of property subject to lien | 5,800,000,000 | 5,100,000,000 | 3,700,000,000 | 3,200,000,000 | 5,500,000,000 | 5,100,000,000 | 5,800,000,000 | 5,100,000,000 | 3,700,000,000 | 3,200,000,000 | 5,500,000,000 | 5,100,000,000 | 3,700,000,000 | 3,200,000,000 | 5,500,000,000 | 5,100,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount that may be redeemed at a future date | 224,000,000 | 224,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earliest date the company may redeem the debt | 15-Feb-15 | 15-Feb-15 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount that may be redeemed in whole or in part | 90,000,000 | 90,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earliest date the company may redeem the debt in whole or in part | 1-Oct-20 | 1-Oct-20 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate amount of tax-exempt revenue bonds in a term rate mode | 418,000,000 | 418,000,000 | 391,000,000 | 27,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate amount of tax-exempt revenue bonds in a variable rate mode | 507,000,000 | 507,000,000 | 183,000,000 | 324,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum number of days wherein interest rates reset | weekly or every 35 days | weekly or every 35 days | weekly or every 35 days | weekly or every 35 days | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount that may be redeemed in total but not in part | 352,000,000 | 225,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earliest date the company may redeem the debt in total but not in part | 21-Dec-26 | 21-Dec-26 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount that may be redeemed in total by series | 352,000,000 | 225,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earliest date the company may redeem the debt in total by series | 1-Dec-26 | 1-Dec-26 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Increase (decrease) in principal due to inflation | 16,000,000 | 10,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount that may be put back to the issuer | 251,000,000 | 5,900,000,000 | 3,800,000,000 | 251,000,000 | 23,000,000 | 228,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of tranches of debt entered into relating to the debt extinguishment | 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Portion of total principal settled in cash | 228,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on extinguishment of debt | -9,000,000 | -10,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net proceeds from issuance of unsecured debt | 294,000,000 | 294,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repayments of senior notes | 300,000,000 | 300,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate maturities of long-term debt (Details) [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2015 | 1,535,000,000 | 535,000,000 | 100,000,000 | 900,000,000 | 250,000,000 | 250,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2016 | 839,000,000 | 354,000,000 | 0 | 25,000,000 | 25,000,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2017 | 298,000,000 | 4,000,000 | 0 | 194,000,000 | 194,000,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2018 | 750,000,000 | 403,000,000 | 0 | 98,000,000 | 98,000,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2019 | 44,000,000 | 4,000,000 | 0 | 40,000,000 | 40,000,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Thereafter | 16,960,000,000 | 938,000,000 | 2,514,000,000 | 3,328,000,000 | 752,000,000 | 1,851,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Securities (Numeric) [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock issuance date | 31-May-14 | 31-Jul-13 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of PPL common stock issued | 31.7 | 40 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Price per share of PPL common stock issued | $30.86 | $28.73 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash received on stock transaction | $978,000,000 | $1,150,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[1] | Includes $300million of 5.70%REset Put Securities due 2035 (REPS). The REPS bear interest at a rate of 5.70% per annum to, but excluding, October 15, 2015 (Remarketing Date). The REPS are required to be put by existing holders on the Remarketing Date either for (a) purchase and remarketing by a designated remarketing dealer or (b) repurchase by PPL Energy Supply. If the remarketing dealer elects to purchase the REPS for remarketing, it will purchase the REPS at 100% of the principal amount, and the REPS will bear interest on and after the Remarketing Date at a new fixed rate per annum determined in the remarketing. PPL Energy Supply has the right to terminate the remarketing process. If the remarketing is terminated at the option of PPL Energy Supply or under certain other circumstances, including the occurrence of an event of default by PPLEnergy Supply under the related indenture or a failed remarketing for certain specified reasons, PPL Energy Supply will be required to pay the remarketing dealer a settlement amount as calculated in accordance with the related remarketing agreement. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | IncludesPPL Electric's senior secured and first mortgage bonds that are secured by the lien of PPL Electric's 2001 Mortgage Indenture, which covers substantially all electric distribution plant and certain transmission plant owned by PPL Electric. The carrying value of PPL Electric's property, plant and equipment was approximately $5.8 billion and $5.1 billion at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Includes LG&E's first mortgage bonds that are secured by the lien of the LG&E 2010 Mortgage Indenture which creates a lien, subject to certain exceptions and exclusions, on substantially all of LG&E's real and tangible personal property located in Kentucky and used or to be used in connection with the generation, transmission and distribution of electricity and the storage and distribution of natural gas. The aggregate carrying value of the property subject to the lien was $3.7 billion and $3.2 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Includes KU's first mortgage bonds that are secured by the lien of the KU 2010 Mortgage Indenture which creates a lien, subject to certain exceptions and exclusions, on substantially all of KU's real and tangible personal property located in Kentucky and used or to be used in connection with the generation, transmission and distribution of electricity. The aggregate carrying value of the property subject to the lien was $5.5 billion and $5.1 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | Includes PPL Electric'sseries of senior secured bonds that secure its obligations to make payments with respect to each series of Pollution Control Bonds that were issued by the LCIDA and the PEDFA on behalf of PPL Electric. These senior secured bonds were issued in the same principal amount, contain payment and redemption provisions that correspond to and bear the same interest rate as such Pollution Control Bonds. These senior secured bonds were issued under PPL Electric's 2001 Mortgage Indenture and are secured as noted in (b) above. This amount includes $224 million that may be redeemed at par beginning in 2015 and $90 million that may be redeemed, in whole or in part, at par beginning in October 2020 and are subject to mandatory redemption upon determination that the interest rate on the bonds would be included in the holders' gross income for federal tax purposes. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[4] | Includes LG&E's and KU's series of first mortgage bonds that were issued to the respective trustees of tax-exempt revenue bonds to secure its respective obligations to make payments with respect to each series of bonds. The first mortgage bonds were issued in the same principal amounts, contain payment and redemption provisions that correspond to and bear the same interest rate as such tax-exempt revenue bonds. These first mortgage bonds were issued under the LG&E 2010 Mortgage Indenture and the KU 2010 Mortgage Indenture and are secured as noted in (b) above. The related tax-exempt revenue bonds were issued by various governmental entities, principally counties in Kentucky, on behalf of LG&E and KU. The related revenue bond documents allow LG&E and KU to convert the interest rate mode on the bonds from time to time to a commercial paper rate, daily rate, weekly rate, term rate of at least one year or, in some cases, an auction rate or a LIBOR index rate. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
At December 31, 2014, the aggregate tax-exempt revenue bonds issued on behalf of LG&E and KU that were in a term rate mode totaled $418 million for LKE, comprised of $391 million and $27 million for LG&E and KU, respectively. At December 31, 2014, the aggregate tax-exempt revenue bonds issued on behalf of LG&E and KU that were in a variable rate mode totaled $507 million for LKE, comprised of $183 million and $324 million for LG&E and KU, respectively. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Several series of the tax-exempt revenue bonds are insured by monoline bond insurers whose ratings were reduced due to exposures relating to insurance of sub-prime mortgages. Of the bonds outstanding, $231 million are in the form of insured auction rate securities ($135 million for LG&E and $96 million for KU), wherein interest rates are reset either weekly or every 35 days via an auction process. Beginning in late 2007, the interest rates on these insured bonds began to increase due to investor concerns about the creditworthiness of the bond insurers. During 2008, interest rates increased, and LG&E and KU experienced failed auctions when there were insufficient bids for the bonds. When a failed auction occurs, the interest rate is set pursuant to a formula stipulated in the indenture. As noted above, the instruments governing these auction rate bonds permit LG&E and KU to convert the bonds to other interest rate modes. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Certain variable rate tax-exempt revenue bonds totaling $251 million at December 31, 2014 ($23 million for LG&E and $228 million for KU), are subject to tender for purchase by LG&E and KU at the option of the holder and to mandatory tender for purchase by LG&E and KU upon the occurrence of certain events. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[5] | Includes £3.8 billion ($5.9 billion at December 31, 2014) of notes that may be put by the holders to the issuer for redemption if the long-term credit ratings assigned to the notes are withdrawn by any of the rating agencies (Moody's, S&P or Fitch) or reduced to a non-investment grade rating of Ba1 or BB+ in connection with a restructuring event which includes the loss of, or a material adverse change to, the distribution licenses under which the issuer operates. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[6] | Includes £225 million ($352 million at December 31, 2014) of notes that may be redeemed, in total but not in part, on December 21, 2026, at the greater of the principal value or a value determined by reference to the gross redemption yield on a nominated U.K. Government bond. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[7] | The principal amount of the notes issued by WPD (South West) and WPD (East Midlands) is adjusted based on changes in a specified index, as detailed in the terms of the related indentures. The adjustment to the principal amounts from 2013 to 2014 was an increase of approximately £10million ($16million) resulting from inflation. In addition, this amount includes £225 million ($352 million at December 31, 2014)of notes issued by WPD (South West)that may be redeemed, in total by series, on December 1, 2026, at the greater of the adjusted principal value and a make-whole value determined by reference to the gross real yield on a nominated U.K. government bond. |
Financing_Activities_Distribut
Financing Activities (Distributions and Capital Contributions) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Nov. 30, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||||||||
Distributions [Line Items] | ||||||||||||||||||||
Quarterly common stock dividend declaration date | 2014-11 | |||||||||||||||||||
Dividend payable date of quarterly common stock dividend | 2-Jan-15 | |||||||||||||||||||
Current quarterly common stock dividend (in dollars per share) | $0.37 | $0.37 | [1],[2] | $0.37 | [1],[2] | $0.37 | [1],[2] | $0.37 | [1],[2] | $0.37 | [1],[2] | $0.37 | [1],[2] | $0.37 | [1],[2] | $0.37 | [1],[2] | $1.49 | $1.47 | $1.44 |
Annualized current quarterly common stock dividend (in dollars per share) | $1.49 | |||||||||||||||||||
Maximum amount of planned distribution from subsidiary to parent in first quarter 2015 | $191,000,000 | |||||||||||||||||||
Restricted net assets at end of period | 2,400,000,000 | 2,400,000,000 | ||||||||||||||||||
Unrestricted assets at the end of period | 2,900,000,000 | 2,900,000,000 | ||||||||||||||||||
Minimum adjusted equity to total capitalization in order to pay dividends | 30.00% | |||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||
Distributions [Line Items] | ||||||||||||||||||||
Maximum amount of planned distribution from subsidiary to parent in first quarter 2015 | 191,000,000 | |||||||||||||||||||
Restricted net assets at end of period | 3,700,000,000 | 3,700,000,000 | ||||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||||
Distributions [Line Items] | ||||||||||||||||||||
Restricted net assets at end of period | 2,400,000,000 | 2,400,000,000 | ||||||||||||||||||
Unrestricted assets at the end of period | 2,900,000,000 | 2,900,000,000 | ||||||||||||||||||
Minimum adjusted equity to total capitalization in order to pay dividends | 30.00% | |||||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||||
Distributions [Line Items] | ||||||||||||||||||||
Restricted net assets at end of period | 900,000,000 | 900,000,000 | ||||||||||||||||||
Unrestricted assets at the end of period | 1,200,000,000 | 1,200,000,000 | ||||||||||||||||||
Minimum adjusted equity to total capitalization in order to pay dividends | 30.00% | |||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||||
Distributions [Line Items] | ||||||||||||||||||||
Restricted net assets at end of period | 1,500,000,000 | 1,500,000,000 | ||||||||||||||||||
Unrestricted assets at the end of period | $1,700,000,000 | $1,700,000,000 | ||||||||||||||||||
Minimum adjusted equity to total capitalization in order to pay dividends | 30.00% | |||||||||||||||||||
[1] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||
[2] | PPL has paid quarterly cash dividends on its common stock in every year since 1946. Future dividends, declared at the discretion of the Board of Directors, will be dependent upon future earnings, cash flows, financial requirements and other factors. |
Acquisitions_Development_and_D3
Acquisitions, Development and Divestures (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||||||
MW | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | $640,000,000 | $72,000,000 | $424,000,000 | |||||||||||||||||||
Spinoff transaction costs | 19,000,000 | 0 | 0 | |||||||||||||||||||
Divestitures - Montana Hydro Sale (Numeric) [Abstract] | ||||||||||||||||||||||
Capacity of facilities sold (in MW) | 633 | |||||||||||||||||||||
Agreed upon sales price for disposal of hydroelectric facilities owned by PPL Montana | 900,000,000 | |||||||||||||||||||||
Number of hydroelectric facilities owned by PPL Montana sold | 11 | 11 | ||||||||||||||||||||
Discontinued Operations (Details) [Abstract] | ||||||||||||||||||||||
Income (loss) from Discontinued Operations | 144,000,000 | [1],[2] | 7,000,000 | [1] | 11,000,000 | [1] | -8,000,000 | [1] | 4,000,000 | [1] | 7,000,000 | [1] | 15,000,000 | [1] | 8,000,000 | [1] | 154,000,000 | 34,000,000 | 40,000,000 | |||
Other - Montana Transactions (Numeric) [Line Items] | ||||||||||||||||||||||
Loss on lease termination | 0 | -697,000,000 | 0 | |||||||||||||||||||
Loss on sale-leaseback termination, after-tax | 413,000,000 | |||||||||||||||||||||
Payment on lease termination | 271,000,000 | |||||||||||||||||||||
Cane Run And Green River Plants [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Number of plants anticipated to retire based on stricter EPA regulations or new construction | 5 | |||||||||||||||||||||
Capacity of plants anticipated to be retired (in MW) | 724 | |||||||||||||||||||||
Tyrone Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Capacity of plants retired (in MW) | 71 | |||||||||||||||||||||
Haefling Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Capacity of plants retired (in MW) | 12 | |||||||||||||||||||||
Solar Generation Facility [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Planned capacity expansion (in MW) | 10 | |||||||||||||||||||||
Expected capital cost of an expansion project | 36,000,000 | 36,000,000 | ||||||||||||||||||||
Holtwood Hydroelectric Plant Expansion [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Completed capacity expansion (in MW) | 125 | 125 | ||||||||||||||||||||
Cumulative deferred investments tax credits recorded | 117,000,000 | |||||||||||||||||||||
Treasury grants approved, accepted and to be received in lieu of tax credits | 108,000,000 | |||||||||||||||||||||
Rainbow Hydroelectric Plant Expansion [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Completed capacity expansion (in MW) | 63 | 63 | ||||||||||||||||||||
Cumulative deferred investments tax credits recorded | 60,000,000 | |||||||||||||||||||||
Treasury grants approved, accepted and to be received in lieu of tax credits | 56,000,000 | |||||||||||||||||||||
Proposed Bell Bend Nuclear Unit [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Number of applicants still active in DOE nuclear guarantee program | 8 | |||||||||||||||||||||
Number of applicants that submitted loan guarantees to the DOE | 10 | |||||||||||||||||||||
Current appropriated federal loan guarantees for nuclear projects | 18,500,000,000 | 18,500,000,000 | ||||||||||||||||||||
Maximum number of projects the DOE is expected to finance | 3 | |||||||||||||||||||||
Amount currently authorized by Board of Directors to spend on Bell Bend COLA | 224,000,000 | 224,000,000 | ||||||||||||||||||||
Capitalized costs associated with licensing efforts | 188,000,000 | 173,000,000 | 188,000,000 | 173,000,000 | ||||||||||||||||||
Susquehanna Roseland Transmission Line [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Total length (in miles) of the expansion project | 150 | |||||||||||||||||||||
Capacity (in kilovolts) of a transmission line | 500 | |||||||||||||||||||||
Share of the expected capital cost of an expansion project when the company has a joint ownership interest | 630,000,000 | 630,000,000 | ||||||||||||||||||||
Project costs capitalized | 597,000,000 | 377,000,000 | 597,000,000 | 377,000,000 | ||||||||||||||||||
Total length (in miles) of the expansion project to be routed through Pennsylvania | 101 | |||||||||||||||||||||
Northeast Pocono Reliability Project [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Expected capital cost of an expansion project | 335,000,000 | 335,000,000 | ||||||||||||||||||||
Total length (in miles) of the expansion project | 58 | |||||||||||||||||||||
Capacity (in kilovolts) of a transmission line | 230 | |||||||||||||||||||||
Number of new substations included in request | 3 | 3 | ||||||||||||||||||||
Adder to the return on equity incentive denied in ratemaking request (in basis points) | 100 | 100 | ||||||||||||||||||||
PPL Energy Supply Spinoff [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Spinoff agreement execution date | 9-Jun-14 | |||||||||||||||||||||
Certain details of spinoff transaction | PPL and PPL Energy Supply executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. Under the terms of the agreements, at closing, PPL will spin off to PPL shareowners a newly formed entity, Talen Energy Holdings, Inc. (Holdco), which at such time will own all of the membership interests of PPL Energy Supply and all of the common stock of Talen Energy. Immediately following the spinoff, Holdco will merge with a special purpose subsidiary of Talen Energy, with Holdco continuing as the surviving company to the merger and as a wholly owned subsidiary of Talen Energy and the sole owner of PPL Energy Supply. Substantially contemporaneous with the spinoff and merger, RJS Power will be contributed by its owners to become a subsidiary of Talen Energy. | |||||||||||||||||||||
Initial percent ownership in new company, Talen Energy, by PPL shareowners | 65.00% | |||||||||||||||||||||
Initial percent ownership in new company, Talen Energy, by Riverstone Holdings, LLC | 35.00% | |||||||||||||||||||||
Minimum capacity of revolving credit facility for Talen required at closing under agreement terms | 1,000,000,000 | |||||||||||||||||||||
Capacity, in total, to be divested in connection with the spinoff (in MW) | 1,300 | |||||||||||||||||||||
Number of asset groups proposed to be divested, one of which to be selected | 2 | |||||||||||||||||||||
Number of asset groups that will be divested | 1 | |||||||||||||||||||||
Maximum term after closing to divest an asset group (in months) | Within 12 months | |||||||||||||||||||||
Spinoff expected completion date | Expected to close in the second quarter of 2015 | |||||||||||||||||||||
Montana Hydroelectric Generating Facilities [Member] | ||||||||||||||||||||||
Discontinued Operations (Details) [Abstract] | ||||||||||||||||||||||
Operating revenues | 117,000,000 | 139,000,000 | 154,000,000 | |||||||||||||||||||
Gain on the sale | 237,000,000 | |||||||||||||||||||||
Interest expense | 9,000,000 | [3] | 12,000,000 | [3] | 10,000,000 | [3] | ||||||||||||||||
Income (loss) before income taxes | 263,000,000 | 49,000,000 | 73,000,000 | |||||||||||||||||||
Income (loss) from Discontinued Operations | 154,000,000 | 32,000,000 | 46,000,000 | |||||||||||||||||||
Property, plant and equipment included in assets of discontinued operations | 544,000,000 | 544,000,000 | ||||||||||||||||||||
Goodwill included in assets of discontinued operations | 82,000,000 | 82,000,000 | ||||||||||||||||||||
Spinoff [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | 50,000,000 | |||||||||||||||||||||
Spinoff anticipated transaction costs in future periods | 60,000,000 | |||||||||||||||||||||
Spinoff [Member] | PPL Energy Supply Spinoff [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Number of employees impacted | 306 | |||||||||||||||||||||
Spinoff transaction costs | 27,000,000 | |||||||||||||||||||||
Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Minimum [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Additional seperation costs to be recognized at the spinoff closing date | 30,000,000 | |||||||||||||||||||||
Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Maximum [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Additional seperation costs to be recognized at the spinoff closing date | 40,000,000 | |||||||||||||||||||||
Spinoff anticipated transaction costs in future periods | 70,000,000 | |||||||||||||||||||||
Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Other Operation Maintenance [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Seperation benefits | 36,000,000 | |||||||||||||||||||||
Spinoff transaction costs | 8,000,000 | |||||||||||||||||||||
Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Other Income (Expense) Net [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Spinoff transaction costs | 19,000,000 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | -26,000,000 | -296,000,000 | 152,000,000 | |||||||||||||||||||
Divestitures - Montana Hydro Sale (Numeric) [Abstract] | ||||||||||||||||||||||
Capacity of facilities sold (in MW) | 633 | |||||||||||||||||||||
Agreed upon sales price for disposal of hydroelectric facilities owned by PPL Montana | 900,000,000 | |||||||||||||||||||||
Number of hydroelectric facilities owned by PPL Montana sold | 11 | 11 | ||||||||||||||||||||
Discontinued Operations (Details) [Abstract] | ||||||||||||||||||||||
Income (loss) from Discontinued Operations | 223,000,000 | 32,000,000 | 46,000,000 | |||||||||||||||||||
Other - Montana Transactions (Numeric) [Line Items] | ||||||||||||||||||||||
Loss on lease termination | 0 | -697,000,000 | 0 | |||||||||||||||||||
Loss on sale-leaseback termination, after-tax | 413,000,000 | |||||||||||||||||||||
Payment on lease termination | 271,000,000 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Holtwood Hydroelectric Plant Expansion [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Completed capacity expansion (in MW) | 125 | 125 | ||||||||||||||||||||
Cumulative deferred investments tax credits recorded | 117,000,000 | |||||||||||||||||||||
Treasury grants approved, accepted and to be received in lieu of tax credits | 108,000,000 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Rainbow Hydroelectric Plant Expansion [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Completed capacity expansion (in MW) | 63 | 63 | ||||||||||||||||||||
Cumulative deferred investments tax credits recorded | 60,000,000 | |||||||||||||||||||||
Treasury grants approved, accepted and to be received in lieu of tax credits | 56,000,000 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Proposed Bell Bend Nuclear Unit [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Number of applicants still active in DOE nuclear guarantee program | 8 | |||||||||||||||||||||
Number of applicants that submitted loan guarantees to the DOE | 10 | |||||||||||||||||||||
Current appropriated federal loan guarantees for nuclear projects | 18,500,000,000 | 18,500,000,000 | ||||||||||||||||||||
Maximum number of projects the DOE is expected to finance | 3 | |||||||||||||||||||||
Amount currently authorized by Board of Directors to spend on Bell Bend COLA | 224,000,000 | 224,000,000 | ||||||||||||||||||||
Capitalized costs associated with licensing efforts | 188,000,000 | 173,000,000 | 188,000,000 | 173,000,000 | ||||||||||||||||||
PPL Energy Supply LLC [Member] | PPL Energy Supply Spinoff [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Spinoff agreement execution date | 9-Jun-14 | |||||||||||||||||||||
Certain details of spinoff transaction | PPL and PPL Energy Supply executed definitive agreements with affiliates of Riverstone to combine their competitive power generation businesses into a new, stand-alone, publicly traded company named Talen Energy. Under the terms of the agreements, at closing, PPL will spin off to PPL shareowners a newly formed entity, Talen Energy Holdings, Inc. (Holdco), which at such time will own all of the membership interests of PPL Energy Supply and all of the common stock of Talen Energy. Immediately following the spinoff, Holdco will merge with a special purpose subsidiary of Talen Energy, with Holdco continuing as the surviving company to the merger and as a wholly owned subsidiary of Talen Energy and the sole owner of PPL Energy Supply. Substantially contemporaneous with the spinoff and merger, RJS Power will be contributed by its owners to become a subsidiary of Talen Energy. | |||||||||||||||||||||
Initial percent ownership in new company, Talen Energy, by PPL shareowners | 65.00% | |||||||||||||||||||||
Initial percent ownership in new company, Talen Energy, by Riverstone Holdings, LLC | 35.00% | |||||||||||||||||||||
Minimum capacity of revolving credit facility for Talen required at closing under agreement terms | 1,000,000,000 | |||||||||||||||||||||
Capacity, in total, to be divested in connection with the spinoff (in MW) | 1,300 | |||||||||||||||||||||
Number of asset groups proposed to be divested, one of which to be selected | 2 | |||||||||||||||||||||
Number of asset groups that will be divested | 1 | |||||||||||||||||||||
Maximum term after closing to divest an asset group (in months) | Within 12 months | |||||||||||||||||||||
Spinoff expected completion date | Expected to close in the second quarter of 2015 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Montana Hydroelectric Generating Facilities [Member] | ||||||||||||||||||||||
Discontinued Operations (Details) [Abstract] | ||||||||||||||||||||||
Operating revenues | 117,000,000 | 139,000,000 | 154,000,000 | |||||||||||||||||||
Gain on the sale | 306,000,000 | |||||||||||||||||||||
Interest expense | 9,000,000 | [3] | 12,000,000 | [3] | 10,000,000 | [3] | ||||||||||||||||
Income (loss) before income taxes | 332,000,000 | 49,000,000 | 73,000,000 | |||||||||||||||||||
Income (loss) from Discontinued Operations | 223,000,000 | 32,000,000 | 46,000,000 | |||||||||||||||||||
Property, plant and equipment included in assets of discontinued operations | 544,000,000 | 544,000,000 | ||||||||||||||||||||
Goodwill included in assets of discontinued operations | 14,000,000 | 14,000,000 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Spinoff [Member] | PPL Energy Supply Spinoff [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Number of employees impacted | 112 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Minimum [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Additional seperation costs to be recognized at the spinoff closing date | 30,000,000 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Maximum [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Additional seperation costs to be recognized at the spinoff closing date | 40,000,000 | |||||||||||||||||||||
PPL Energy Supply LLC [Member] | Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Other Operation Maintenance [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Seperation benefits | 16,000,000 | |||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | 87,000,000 | 127,000,000 | 114,000,000 | |||||||||||||||||||
PPL Electric Utilities Corp [Member] | Susquehanna Roseland Transmission Line [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Total length (in miles) of the expansion project | 150 | |||||||||||||||||||||
Capacity (in kilovolts) of a transmission line | 500 | |||||||||||||||||||||
Share of the expected capital cost of an expansion project when the company has a joint ownership interest | 630,000,000 | 630,000,000 | ||||||||||||||||||||
Project costs capitalized | 597,000,000 | 377,000,000 | 597,000,000 | 377,000,000 | ||||||||||||||||||
Total length (in miles) of the expansion project to be routed through Pennsylvania | 101 | |||||||||||||||||||||
PPL Electric Utilities Corp [Member] | Northeast Pocono Reliability Project [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Expected capital cost of an expansion project | 335,000,000 | 335,000,000 | ||||||||||||||||||||
Total length (in miles) of the expansion project | 58 | |||||||||||||||||||||
Capacity (in kilovolts) of a transmission line | 230 | |||||||||||||||||||||
Number of new substations included in request | 3 | 3 | ||||||||||||||||||||
Adder to the return on equity incentive denied in ratemaking request (in basis points) | 100 | 100 | ||||||||||||||||||||
PPL Electric Utilities Corp [Member] | Spinoff [Member] | PPL Energy Supply Spinoff [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Number of employees impacted | 14 | |||||||||||||||||||||
PPL Electric Utilities Corp [Member] | Spinoff [Member] | PPL Energy Supply Spinoff [Member] | Other Operation Maintenance [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Seperation benefits | 1,000,000 | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | 449,000,000 | 254,000,000 | 133,000,000 | |||||||||||||||||||
Discontinued Operations (Details) [Abstract] | ||||||||||||||||||||||
Income (loss) from Discontinued Operations | 0 | 2,000,000 | -6,000,000 | |||||||||||||||||||
LG And E And KU Energy LLC [Member] | Cane Run And Green River Plants [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Number of plants anticipated to retire based on stricter EPA regulations or new construction | 5 | |||||||||||||||||||||
Capacity of plants anticipated to be retired (in MW) | 724 | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | Tyrone Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Capacity of plants retired (in MW) | 71 | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | Haefling Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Capacity of plants retired (in MW) | 12 | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | Solar Generation Facility [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Planned capacity expansion (in MW) | 10 | |||||||||||||||||||||
Expected capital cost of an expansion project | 36,000,000 | 36,000,000 | ||||||||||||||||||||
Louisville Gas And Electric Co [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | 118,000,000 | 26,000,000 | 69,000,000 | |||||||||||||||||||
Louisville Gas And Electric Co [Member] | Cane Run And Green River Plants [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Number of plants anticipated to retire based on stricter EPA regulations or new construction | 5 | |||||||||||||||||||||
Capacity of plants anticipated to be retired (in MW) | 724 | |||||||||||||||||||||
Louisville Gas And Electric Co [Member] | Green River Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Ownership percentage in a jointly owned plant | 40.00% | 40.00% | ||||||||||||||||||||
Louisville Gas And Electric Co [Member] | Solar Generation Facility [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Planned capacity expansion (in MW) | 10 | |||||||||||||||||||||
Expected capital cost of an expansion project | 36,000,000 | 36,000,000 | ||||||||||||||||||||
Ownership percentage in a jointly owned plant | 36.00% | 36.00% | ||||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||||||
Divestitures - Anticipated Spinoff of PPL Energy Supply (Numeric) [Abstract] | ||||||||||||||||||||||
Deferred income tax recorded as result of agreement to adjust valuation allowances | 224,000,000 | 69,000,000 | 99,000,000 | |||||||||||||||||||
Kentucky Utilities Co [Member] | Cane Run And Green River Plants [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Number of plants anticipated to retire based on stricter EPA regulations or new construction | 5 | |||||||||||||||||||||
Capacity of plants anticipated to be retired (in MW) | 724 | |||||||||||||||||||||
Kentucky Utilities Co [Member] | Tyrone Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Capacity of plants retired (in MW) | 71 | |||||||||||||||||||||
Kentucky Utilities Co [Member] | Haefling Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Capacity of plants retired (in MW) | 12 | |||||||||||||||||||||
Kentucky Utilities Co [Member] | Green River Plant [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Ownership percentage in a jointly owned plant | 60.00% | 60.00% | ||||||||||||||||||||
Kentucky Utilities Co [Member] | Solar Generation Facility [Member] | ||||||||||||||||||||||
Development Projects [Abstract] | ||||||||||||||||||||||
Planned capacity expansion (in MW) | 10 | |||||||||||||||||||||
Expected capital cost of an expansion project | $36,000,000 | $36,000,000 | ||||||||||||||||||||
Ownership percentage in a jointly owned plant | 64.00% | 64.00% | ||||||||||||||||||||
[1] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||||
[2] | Fourth quarter of 2014 includes a gain of $137 million (after tax) from the sale of hydroelectric generating facilities of PPL Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||||||||
[3] | Represents allocated interest expense based upon the discontinued operations share of the net assets of PPL Energy Supply. |
Leases_Details
Leases (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Rent - Operating Leases (Details) [Abstract] | |||
Operating leases, rent expense | $80 | $111 | $116 |
Operating leases, future minimum rental payments due (Details) [Abstract] | |||
2015 | 36 | ||
2016 | 25 | ||
2017 | 20 | ||
2018 | 12 | ||
2019 | 8 | ||
Thereafter | 34 | ||
Total | 135 | ||
PPL Energy Supply LLC [Member] | |||
Rent - Operating Leases (Details) [Abstract] | |||
Operating leases, rent expense | 29 | 55 | 62 |
Operating leases, future minimum rental payments due (Details) [Abstract] | |||
2015 | 11 | ||
2016 | 11 | ||
2017 | 10 | ||
2018 | 4 | ||
2019 | 1 | ||
Thereafter | 2 | ||
Total | 39 | ||
LG And E And KU Energy LLC [Member] | |||
Rent - Operating Leases (Details) [Abstract] | |||
Operating leases, rent expense | 18 | 18 | 18 |
Operating leases, future minimum rental payments due (Details) [Abstract] | |||
2015 | 16 | ||
2016 | 11 | ||
2017 | 8 | ||
2018 | 7 | ||
2019 | 5 | ||
Thereafter | 26 | ||
Total | 73 | ||
Louisville Gas And Electric Co [Member] | |||
Rent - Operating Leases (Details) [Abstract] | |||
Operating leases, rent expense | 7 | 7 | 7 |
Operating leases, future minimum rental payments due (Details) [Abstract] | |||
2015 | 6 | ||
2016 | 4 | ||
2017 | 3 | ||
2018 | 2 | ||
2019 | 2 | ||
Thereafter | 11 | ||
Total | 28 | ||
Kentucky Utilities Co [Member] | |||
Rent - Operating Leases (Details) [Abstract] | |||
Operating leases, rent expense | 10 | 10 | 10 |
Operating leases, future minimum rental payments due (Details) [Abstract] | |||
2015 | 9 | ||
2016 | 7 | ||
2017 | 5 | ||
2018 | 4 | ||
2019 | 3 | ||
Thereafter | 13 | ||
Total | $41 |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Unrecognized compensation expense | $27,000,000 | |||
Weighted-average period for recognition | 1.7 | |||
All Plans [Member] | Restricted Shares And Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 3,140,600 | |||
Granted (in shares) | 1,197,947 | |||
Vested (in shares) | -804,582 | |||
Forfeited (in shares) | -48,445 | |||
Nonvested, end of period (in shares) | 3,485,520 | 3,140,600 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $28.50 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $31.50 | $30.30 | $28.35 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $26.01 | |||
Weighted-average grant date fair value per share, forfeited (in dollars per share) | $30.48 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $30.07 | $28.50 | ||
Total fair value of units vested during the period | 21,000,000 | 19,000,000 | 27,000,000 | |
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
All Plans [Member] | Performance Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 793,199 | |||
Granted (in shares) | 555,553 | |||
Vested (in shares) | -177,036 | |||
Nonvested, end of period (in shares) | 1,171,716 | 793,199 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $32.19 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $34.55 | $34.15 | $31.41 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $29.11 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $33.77 | $32.19 | ||
Total fair value of units vested during the period | 5,000,000 | |||
Period over which performance units fair value is recognized (in years) | 3 years | 3 years | ||
Maximum payout percentage of target award | 200.00% | |||
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |
Expected option life (in years) | 3 | 3 | 3 | |
Expected stock volatility | 15.80% | 15.50% | 19.30% | |
All Plans [Member] | Performance Units [Member] | Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 1 year | 1 year | 1 year | |
All Plans [Member] | Performance Units [Member] | Not Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 3 years | |||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | 1 year | 1 year | |
All Plans [Member] | Stock Options [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Cash received from exercise of stock options | 67,000,000 | |||
Minimum period after which employee stock options become exercisable (in years) | 1 year | |||
Fair value assumptions and methodology [Abstract] | ||||
Risk-free interest rate | 1.15% | 1.13% | ||
Expected option life (in years) | 6.48 | 6.17 | ||
Expected stock volatility | 18.50% | 20.60% | ||
Dividend yield | 5.00% | 5.00% | ||
Stock option activity [Roll Forward] | ||||
Outstanding at beginning of period (in shares) | 11,381,482 | |||
Exercised (in shares) | -2,338,520 | |||
Outstanding at end of period (in shares) | 9,042,962 | 11,381,482 | ||
Stock options - additional disclosures [Abstract] | ||||
Percentage of total of long-term incentive mix from performance units | 60.00% | |||
Percentage of total of long-term incentive mix from performance-contingent restricted stock units | 40.00% | |||
Total percentage of performance-based long-term incentive mix that are equity awards | 100.00% | |||
Period that performance goals are evaluated (in years) | 3 | |||
Period after which, employee stock options expire (in years) | 10 | |||
Weighted-average exercise price per share at beginning of period (in dollars per share) | $30.45 | |||
Weighted average exercise price per share, exercised (in dollars per share) | $28.58 | |||
Weighted average exercise price per share at end of period (in dollars per share) | $30.93 | $30.45 | ||
Weighted average remaining contractual term (in years) | 5.9 | |||
Aggregate total intrinsic value | 56,000,000 | |||
Options exercisable at end of period (in shares) | 6,432,806 | |||
Weighted average exercise price, options exercisable at end of period (in dollars per share) | $31.60 | |||
Weighted average remaining contractual term, options exercisable at end of period (in years) | 5.2 | |||
Aggregate total intrinsic value, options exercisable at end of period | 38,000,000 | |||
Weighted average grant date fair value of options granted (in dollars per share) | $2.18 | $2.48 | ||
Total intrinsic value of stock options exercised | 13,000,000 | 6,000,000 | ||
All Plans [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Compensation expense | 63,000,000 | 52,000,000 | 49,000,000 | |
Income tax benefit | 26,000,000 | 22,000,000 | 20,000,000 | |
Incentive Compensation Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 15,769,431 | [1] | ||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | [1] | ||
Annual grant limit options (in shares) | 3,000,000 | [1] | ||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
Incentive Compensation Plan [Member] | Stock Options [Member] | ||||
Stock options - additional disclosures [Abstract] | ||||
Period after the date of grant that employee must be employed before stock option exercise date can be accelerated (in years) | P01Y | |||
Stock Incentive Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Period after grant, employee stock options expire upon retirement (in years) | 10 | |||
Period after which, employee stock options expire upon retirement (in years) | 5 | |||
Maximum number of shares approved for awards under the plan (in shares) | 10,000,000 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 0.00% | |||
Annual grant limit options (in shares) | 2,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 750,000 | |||
Annual grant limit for individual participants - performance based awards | 15,000,000 | |||
Incentive Compensation Plan For Key Employees [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 14,199,796 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | |||
Annual grant limit options (in shares) | 3,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
PPL Energy Supply LLC [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Unrecognized compensation expense | 13,000,000 | |||
Weighted-average period for recognition | 1.8 | |||
PPL Energy Supply LLC [Member] | All Plans [Member] | Restricted Shares And Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 1,343,404 | |||
Transferred (in shares) | 70,298 | |||
Granted (in shares) | 465,238 | |||
Vested (in shares) | -395,740 | |||
Forfeited (in shares) | -25,300 | |||
Nonvested, end of period (in shares) | 1,457,900 | 1,343,404 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $28.71 | |||
Weighted-average grant date fair value per share, transferred (in dollars per share) | $27.43 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $31.70 | $30.42 | $28.29 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $26.19 | |||
Weighted-average grant date fair value per share, forfeited (in dollars per share) | $30.54 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $30.13 | $28.71 | ||
Total fair value of units vested during the period | 10,000,000 | 7,000,000 | 6,000,000 | |
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
PPL Energy Supply LLC [Member] | All Plans [Member] | Performance Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 170,609 | |||
Transferred (in shares) | 27,656 | |||
Granted (in shares) | 138,601 | |||
Vested (in shares) | -45,374 | |||
Nonvested, end of period (in shares) | 291,492 | 170,609 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $32.22 | |||
Weighted-average grant date fair value per share, transferred (in dollars per share) | $32.12 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $34.35 | $34.29 | $31.40 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $29.11 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $33.71 | $32.22 | ||
Period over which performance units fair value is recognized (in years) | 3 years | 3 years | ||
Maximum payout percentage of target award | 200.00% | |||
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |
Expected option life (in years) | 3 | 3 | 3 | |
Expected stock volatility | 15.80% | 15.50% | 19.30% | |
PPL Energy Supply LLC [Member] | All Plans [Member] | Performance Units [Member] | Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 1 year | 1 year | 1 year | |
PPL Energy Supply LLC [Member] | All Plans [Member] | Performance Units [Member] | Not Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 3 years | |||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | 1 year | 1 year | |
PPL Energy Supply LLC [Member] | All Plans [Member] | Stock Options [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | |||
Fair value assumptions and methodology [Abstract] | ||||
Risk-free interest rate | 1.15% | 1.13% | ||
Expected option life (in years) | 6.48 | 6.17 | ||
Expected stock volatility | 18.50% | 20.60% | ||
Dividend yield | 5.00% | 5.00% | ||
Stock option activity [Roll Forward] | ||||
Outstanding at beginning of period (in shares) | 2,845,336 | |||
Transferred (in shares) | 458,800 | |||
Exercised (in shares) | -559,120 | |||
Outstanding at end of period (in shares) | 2,745,016 | 2,845,336 | ||
Stock options - additional disclosures [Abstract] | ||||
Percentage of total of long-term incentive mix from performance units | 60.00% | |||
Percentage of total of long-term incentive mix from performance-contingent restricted stock units | 40.00% | |||
Total percentage of performance-based long-term incentive mix that are equity awards | 100.00% | |||
Period that performance goals are evaluated (in years) | 3 | |||
Period after which, employee stock options expire (in years) | 10 | |||
Weighted-average exercise price per share at beginning of period (in dollars per share) | $30.47 | |||
Weighted average exercise price per share, transferred (in dollars per share) | $30.47 | |||
Weighted average exercise price per share, exercised (in dollars per share) | $28.79 | |||
Weighted average exercise price per share at end of period (in dollars per share) | $30.84 | $30.47 | ||
Weighted average remaining contractual term (in years) | 5.6 | |||
Aggregate total intrinsic value | 17,000,000 | |||
Options exercisable at end of period (in shares) | 2,166,150 | |||
Weighted average exercise price, options exercisable at end of period (in dollars per share) | $31.24 | |||
Weighted average remaining contractual term, options exercisable at end of period (in years) | 5 | |||
Aggregate total intrinsic value, options exercisable at end of period | 13,000,000 | |||
Weighted average grant date fair value of options granted (in dollars per share) | $2.19 | $2.51 | ||
PPL Energy Supply LLC [Member] | All Plans [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Compensation expense | 33,000,000 | 27,000,000 | 23,000,000 | |
Income tax benefit | 14,000,000 | 11,000,000 | 10,000,000 | |
PPL Energy Supply LLC [Member] | Incentive Compensation Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 15,769,431 | [1] | ||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | [1] | ||
Annual grant limit options (in shares) | 3,000,000 | [1] | ||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
PPL Energy Supply LLC [Member] | Incentive Compensation Plan [Member] | Stock Options [Member] | ||||
Stock options - additional disclosures [Abstract] | ||||
Period after the date of grant that employee must be employed before stock option exercise date can be accelerated (in years) | P01Y | |||
PPL Energy Supply LLC [Member] | Stock Incentive Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Period after grant, employee stock options expire upon retirement (in years) | 10 | |||
Period after which, employee stock options expire upon retirement (in years) | 5 | |||
Maximum number of shares approved for awards under the plan (in shares) | 10,000,000 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 0.00% | |||
Annual grant limit options (in shares) | 2,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 750,000 | |||
Annual grant limit for individual participants - performance based awards | 15,000,000 | |||
PPL Energy Supply LLC [Member] | Incentive Compensation Plan For Key Employees [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 14,199,796 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | |||
Annual grant limit options (in shares) | 3,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
PPL Electric Utilities Corp [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Unrecognized compensation expense | 3,000,000 | |||
Weighted-average period for recognition | 1.8 | |||
PPL Electric Utilities Corp [Member] | All Plans [Member] | Restricted Shares And Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 265,550 | |||
Transferred (in shares) | 2,270 | |||
Granted (in shares) | 103,511 | |||
Vested (in shares) | -78,370 | |||
Forfeited (in shares) | -6,150 | |||
Nonvested, end of period (in shares) | 286,811 | 265,550 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $28.22 | |||
Weighted-average grant date fair value per share, transferred (in dollars per share) | $29.03 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $31.81 | $30.55 | $28.51 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $26.04 | |||
Weighted-average grant date fair value per share, forfeited (in dollars per share) | $30.65 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $30.04 | $28.22 | ||
Total fair value of units vested during the period | 2,000,000 | 3,000,000 | 2,000,000 | |
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
PPL Electric Utilities Corp [Member] | All Plans [Member] | Performance Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 38,210 | |||
Granted (in shares) | 29,701 | |||
Vested (in shares) | -8,296 | |||
Nonvested, end of period (in shares) | 59,615 | 38,210 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $32.22 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $34.43 | $33.97 | $31.37 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $28.99 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $33.77 | $32.22 | ||
Period over which performance units fair value is recognized (in years) | 3 years | 3 years | ||
Maximum payout percentage of target award | 200.00% | |||
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |
Expected option life (in years) | 3 | 3 | 3 | |
Expected stock volatility | 15.80% | 15.50% | 19.30% | |
PPL Electric Utilities Corp [Member] | All Plans [Member] | Performance Units [Member] | Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 1 year | 1 year | 1 year | |
PPL Electric Utilities Corp [Member] | All Plans [Member] | Performance Units [Member] | Not Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 3 years | |||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | 1 year | 1 year | |
PPL Electric Utilities Corp [Member] | All Plans [Member] | Stock Options [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | |||
Fair value assumptions and methodology [Abstract] | ||||
Risk-free interest rate | 1.15% | 1.13% | ||
Expected option life (in years) | 6.48 | 6.17 | ||
Expected stock volatility | 18.50% | 20.60% | ||
Dividend yield | 5.00% | 5.00% | ||
Stock option activity [Roll Forward] | ||||
Outstanding at beginning of period (in shares) | 532,200 | |||
Exercised (in shares) | -24,280 | |||
Outstanding at end of period (in shares) | 507,920 | 532,200 | ||
Stock options - additional disclosures [Abstract] | ||||
Percentage of total of long-term incentive mix from performance units | 60.00% | |||
Percentage of total of long-term incentive mix from performance-contingent restricted stock units | 40.00% | |||
Total percentage of performance-based long-term incentive mix that are equity awards | 100.00% | |||
Period that performance goals are evaluated (in years) | 3 | |||
Period after which, employee stock options expire (in years) | 10 | |||
Weighted-average exercise price per share at beginning of period (in dollars per share) | $30.04 | |||
Weighted average exercise price per share, exercised (in dollars per share) | $30.12 | |||
Weighted average exercise price per share at end of period (in dollars per share) | $30.04 | $30.04 | ||
Weighted average remaining contractual term (in years) | 6.3 | |||
Aggregate total intrinsic value | 3,000,000 | |||
Options exercisable at end of period (in shares) | 386,413 | |||
Weighted average exercise price, options exercisable at end of period (in dollars per share) | $30.27 | |||
Weighted average remaining contractual term, options exercisable at end of period (in years) | 5.8 | |||
Aggregate total intrinsic value, options exercisable at end of period | 3,000,000 | |||
Weighted average grant date fair value of options granted (in dollars per share) | $2.19 | $2.50 | ||
PPL Electric Utilities Corp [Member] | All Plans [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Compensation expense | 12,000,000 | 10,000,000 | 11,000,000 | |
Income tax benefit | 5,000,000 | 4,000,000 | 4,000,000 | |
PPL Electric Utilities Corp [Member] | Incentive Compensation Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 15,769,431 | [1] | ||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | [1] | ||
Annual grant limit options (in shares) | 3,000,000 | [1] | ||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
PPL Electric Utilities Corp [Member] | Incentive Compensation Plan [Member] | Stock Options [Member] | ||||
Stock options - additional disclosures [Abstract] | ||||
Period after the date of grant that employee must be employed before stock option exercise date can be accelerated (in years) | P01Y | |||
PPL Electric Utilities Corp [Member] | Stock Incentive Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Period after grant, employee stock options expire upon retirement (in years) | 10 | |||
Period after which, employee stock options expire upon retirement (in years) | 5 | |||
Maximum number of shares approved for awards under the plan (in shares) | 10,000,000 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 0.00% | |||
Annual grant limit options (in shares) | 2,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 750,000 | |||
Annual grant limit for individual participants - performance based awards | 15,000,000 | |||
PPL Electric Utilities Corp [Member] | Incentive Compensation Plan For Key Employees [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 14,199,796 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | |||
Annual grant limit options (in shares) | 3,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
LG And E And KU Energy LLC [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Unrecognized compensation expense | 2,000,000 | |||
Weighted-average period for recognition | 1.3 | |||
LG And E And KU Energy LLC [Member] | All Plans [Member] | Restricted Shares And Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 231,553 | |||
Granted (in shares) | 112,625 | |||
Vested (in shares) | -2,710 | |||
Nonvested, end of period (in shares) | 341,468 | 231,553 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $29.17 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $30.98 | $30 | $28.34 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $29.97 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $29.76 | $29.17 | ||
Total fair value of units vested during the period | 0 | 1,000,000 | 4,000,000 | |
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
LG And E And KU Energy LLC [Member] | All Plans [Member] | Performance Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||||
Nonvested, beginning of period (in shares) | 129,630 | |||
Granted (in shares) | 75,174 | |||
Vested (in shares) | -30,858 | |||
Nonvested, end of period (in shares) | 173,946 | 129,630 | ||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Weighted-average grant date fair value per share, nonvested, beginning of period (in dollars per share) | $31.88 | |||
Weighted-average grant date fair value per share, granted (in dollars per share) | $34.12 | $33.84 | $31.30 | |
Weighted-average grant date fair value per share, vested (in dollars per share) | $29.20 | |||
Weighted-average grant date fair value per share, nonvested - end of period (in dollars per share) | $33.32 | $31.88 | ||
Period over which performance units fair value is recognized (in years) | 3 years | 3 years | ||
Maximum payout percentage of target award | 200.00% | |||
Fair value assumptions and methodology [Abstract] | ||||
Award vesting period (in years) | 3 years | 3 years | 3 years | |
Risk-free interest rate | 0.75% | 0.36% | 0.30% | |
Expected option life (in years) | 3 | 3 | 3 | |
Expected stock volatility | 15.80% | 15.50% | 19.30% | |
LG And E And KU Energy LLC [Member] | All Plans [Member] | Performance Units [Member] | Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 1 year | 1 year | 1 year | |
LG And E And KU Energy LLC [Member] | All Plans [Member] | Performance Units [Member] | Not Retirement Eligible [Member] | ||||
Awards, other than equity based, additional disclosures (Details) [Abstract] | ||||
Period over which performance units fair value is recognized (in years) | 3 years | |||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | 1 year | 1 year | |
LG And E And KU Energy LLC [Member] | All Plans [Member] | Stock Options [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Minimum period after which employee stock options become exercisable (in years) | 1 year | |||
Fair value assumptions and methodology [Abstract] | ||||
Risk-free interest rate | 1.15% | 1.13% | ||
Expected option life (in years) | 6.48 | 6.17 | ||
Expected stock volatility | 18.50% | 20.60% | ||
Dividend yield | 5.00% | 5.00% | ||
Stock option activity [Roll Forward] | ||||
Outstanding at beginning of period (in shares) | 997,156 | |||
Exercised (in shares) | -373,839 | |||
Outstanding at end of period (in shares) | 623,317 | 997,156 | ||
Stock options - additional disclosures [Abstract] | ||||
Percentage of total of long-term incentive mix from performance units | 60.00% | |||
Percentage of total of long-term incentive mix from performance-contingent restricted stock units | 40.00% | |||
Total percentage of performance-based long-term incentive mix that are equity awards | 100.00% | |||
Period that performance goals are evaluated (in years) | 3 | |||
Period after which, employee stock options expire (in years) | 10 | |||
Weighted-average exercise price per share at beginning of period (in dollars per share) | $28.35 | |||
Weighted average exercise price per share, exercised (in dollars per share) | $27.87 | |||
Weighted average exercise price per share at end of period (in dollars per share) | $28.64 | $28.35 | ||
Weighted average remaining contractual term (in years) | 7.5 | |||
Aggregate total intrinsic value | 5,000,000 | |||
Options exercisable at end of period (in shares) | 215,106 | |||
Weighted average exercise price, options exercisable at end of period (in dollars per share) | $27.58 | |||
Weighted average remaining contractual term, options exercisable at end of period (in years) | 6.9 | |||
Aggregate total intrinsic value, options exercisable at end of period | 2,000,000 | |||
Weighted average grant date fair value of options granted (in dollars per share) | $2.18 | $2.51 | ||
LG And E And KU Energy LLC [Member] | All Plans [Member] | All Awards [Member] | ||||
Aggregate disclosures [Abstract] | ||||
Compensation expense | 8,000,000 | 8,000,000 | 8,000,000 | |
Income tax benefit | 3,000,000 | 3,000,000 | 4,000,000 | |
LG And E And KU Energy LLC [Member] | Incentive Compensation Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 15,769,431 | [1] | ||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | [1] | ||
Annual grant limit options (in shares) | 3,000,000 | [1] | ||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | 0 | |||
LG And E And KU Energy LLC [Member] | Incentive Compensation Plan [Member] | Stock Options [Member] | ||||
Stock options - additional disclosures [Abstract] | ||||
Period after the date of grant that employee must be employed before stock option exercise date can be accelerated (in years) | P01Y | |||
LG And E And KU Energy LLC [Member] | Stock Incentive Plan [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Period after grant, employee stock options expire upon retirement (in years) | 10 | |||
Period after which, employee stock options expire upon retirement (in years) | 5 | |||
Maximum number of shares approved for awards under the plan (in shares) | 10,000,000 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 0.00% | |||
Annual grant limit options (in shares) | 2,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 750,000 | |||
Annual grant limit for individual participants - performance based awards | 15,000,000 | |||
LG And E And KU Energy LLC [Member] | Incentive Compensation Plan For Key Employees [Member] | ||||
Stock-Based Compensation [Line Items] | ||||
Maximum number of shares approved for awards under the plan (in shares) | 14,199,796 | |||
Annual grant limit total as % of PPL outstanding PPL common stock on first day of each calendar year | 2.00% | |||
Annual grant limit options (in shares) | 3,000,000 | |||
Annual grant limit for individual participants - performance based awards (in shares) | 0 | |||
Annual grant limit for individual participants - performance based awards | $0 | |||
[1] | Applicable to outstanding awards granted from January 27, 2006 to January 26, 2012. During 2012, the total plan award limit was reached and the ICP was replaced by the SIP. |
Retirement_and_Postemployment_2
Retirement and Postemployment Benefits (Net Period Defined Benefit Costs (Credits) and Other Changes in Plan Assets and Benefit Obligations) (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Pension Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | $102 | $126 | $103 | |||
Interest cost | 233 | 213 | 220 | |||
Expected return on plan assets | -298 | -293 | -259 | |||
Amortization of: | ||||||
Transition (asset) obligation | 0 | 0 | 0 | |||
Prior service cost (credits) | 20 | 22 | 24 | |||
Actuarial (gain) loss | 30 | 80 | 42 | |||
Net periodic defined benefit costs (credits) prior to settlement charges, curtailment charges (credits) and termination benefits | 87 | 148 | 130 | |||
Settlement charges | 0 | 0 | 11 | |||
Curtailment charges (credits) | 0 | 0 | 0 | |||
Termination benefits | 13 | 0 | 0 | |||
Net periodic defined benefit costs (credits) | 100 | 148 | 141 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Curtailments | 0 | 0 | 0 | |||
Settlements | 0 | 0 | -11 | |||
Net (gain) loss | 600 | -319 | 372 | |||
Prior service costs (credit) | -8 | 0 | 0 | |||
Amortization of: [Abstract] | ||||||
Transition asset (obligation) | 0 | 0 | 0 | |||
Prior service (cost) credit | -20 | -22 | -24 | |||
Actuarial gain (loss) | -30 | -80 | -42 | |||
Total recognized in OCI and regulatory assets/liabilities | 542 | -421 | 295 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 642 | -273 | 436 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
OCI | 343 | -228 | 181 | |||
Regulatory assets/liabilities | 199 | -193 | 114 | |||
Total recognized in OCI and regulatory assets/liabilities | 542 | -421 | 295 | |||
Estimated Amounts to be Amortized From AOCI and Regulatory Assets into Net Periodic Benefit Costs in the Next Fiscal Period (Details) [Abstract] | ||||||
Prior service cost (credit) | 7 | |||||
Actuarial (gain) loss | 100 | |||||
Total | 107 | |||||
Amortization from Balance Sheet: [Abstract] | ||||||
AOCI | 49 | |||||
Regulatory assets/liabilities | 58 | |||||
Total | 107 | |||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 84 | 117 | 119 | |||
Pension Benefits United Kingdom [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 71 | 69 | 54 | |||
Interest cost | 354 | 320 | 340 | |||
Expected return on plan assets | -521 | -465 | -458 | |||
Amortization of: | ||||||
Transition (asset) obligation | 0 | 0 | 0 | |||
Prior service cost (credits) | 0 | 1 | 4 | |||
Actuarial (gain) loss | 132 | 150 | 79 | |||
Net periodic defined benefit costs (credits) prior to settlement charges, curtailment charges (credits) and termination benefits | 36 | 75 | 19 | |||
Settlement charges | 0 | 0 | 0 | |||
Curtailment charges (credits) | 0 | 0 | 0 | |||
Termination benefits | 0 | [1] | 3 | [1] | 2 | [1] |
Net periodic defined benefit costs (credits) | 36 | 78 | 21 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Curtailments | 0 | 0 | 0 | |||
Settlements | 0 | 0 | 0 | |||
Net (gain) loss | 354 | 76 | 1,073 | |||
Prior service costs (credit) | 0 | 0 | 0 | |||
Amortization of: [Abstract] | ||||||
Transition asset (obligation) | 0 | 0 | 0 | |||
Prior service (cost) credit | 0 | -1 | -4 | |||
Actuarial gain (loss) | -132 | -150 | -79 | |||
Total recognized in OCI and regulatory assets/liabilities | 222 | [2] | -75 | [2] | 990 | [2] |
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 258 | [2] | 3 | [2] | 1,011 | [2] |
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
Total recognized in OCI and regulatory assets/liabilities | 222 | [2] | -75 | [2] | 990 | [2] |
Estimated Amounts to be Amortized From AOCI and Regulatory Assets into Net Periodic Benefit Costs in the Next Fiscal Period (Details) [Abstract] | ||||||
Prior service cost (credit) | 0 | |||||
Actuarial (gain) loss | 162 | |||||
Total | 162 | |||||
Amortization from Balance Sheet: [Abstract] | ||||||
AOCI | 162 | |||||
Regulatory assets/liabilities | 0 | |||||
Total | 162 | |||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | -9 | 33 | 25 | |||
Other Postretirement Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 12 | 14 | 12 | |||
Interest cost | 32 | 29 | 31 | |||
Expected return on plan assets | -26 | -25 | -23 | |||
Amortization of: | ||||||
Transition (asset) obligation | 0 | 0 | 2 | |||
Prior service cost (credits) | 0 | 0 | 1 | |||
Actuarial (gain) loss | 1 | 6 | 4 | |||
Net periodic defined benefit costs (credits) prior to settlement charges, curtailment charges (credits) and termination benefits | 19 | 24 | 27 | |||
Settlement charges | 0 | 0 | 0 | |||
Curtailment charges (credits) | -1 | 0 | 0 | |||
Termination benefits | 0 | 0 | 0 | |||
Net periodic defined benefit costs (credits) | 18 | 24 | 27 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Curtailments | 1 | 0 | 0 | |||
Settlements | 0 | 0 | 0 | |||
Net (gain) loss | 21 | -68 | 13 | |||
Prior service costs (credit) | 7 | -3 | -1 | |||
Amortization of: [Abstract] | ||||||
Transition asset (obligation) | 0 | 0 | -2 | |||
Prior service (cost) credit | 0 | 0 | -1 | |||
Actuarial gain (loss) | -1 | -6 | -4 | |||
Total recognized in OCI and regulatory assets/liabilities | 28 | -77 | 5 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 46 | -53 | 32 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
OCI | 7 | -41 | 12 | |||
Regulatory assets/liabilities | 21 | -36 | -7 | |||
Total recognized in OCI and regulatory assets/liabilities | 28 | -77 | 5 | |||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 13 | 19 | 22 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 5 | 7 | 6 | |||
Interest cost | 9 | 8 | 7 | |||
Expected return on plan assets | -11 | -10 | -9 | |||
Amortization of: | ||||||
Actuarial (gain) loss | 2 | 3 | 2 | |||
Curtailment charges (credits) | 0 | 0 | 0 | |||
Net periodic defined benefit costs (credits) | 5 | 8 | 6 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Curtailments | 0 | 0 | 0 | |||
Net (gain) loss | 26 | -15 | 16 | |||
Prior service costs (credit) | 0 | 0 | 0 | |||
Amortization of: [Abstract] | ||||||
Actuarial gain (loss) | -2 | -3 | -2 | |||
Total recognized in OCI and regulatory assets/liabilities | 24 | -18 | 14 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 29 | -10 | 20 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
Total recognized in OCI and regulatory assets/liabilities | 24 | -18 | 14 | |||
Estimated Amounts to be Amortized From AOCI and Regulatory Assets into Net Periodic Benefit Costs in the Next Fiscal Period (Details) [Abstract] | ||||||
Actuarial (gain) loss | 4 | |||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 39 | 45 | 37 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | PPL Services [Member] | ||||||
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ||||||
Costs allocated to subsidiary by plan sponsors | 34 | 38 | 31 | |||
PPL Energy Supply LLC [Member] | Other Postretirement Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 0 | 1 | 1 | |||
Interest cost | 1 | 0 | 1 | |||
Expected return on plan assets | 0 | 0 | 0 | |||
Amortization of: | ||||||
Actuarial (gain) loss | 0 | 0 | 0 | |||
Curtailment charges (credits) | -1 | 0 | 0 | |||
Net periodic defined benefit costs (credits) | 0 | 1 | 2 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Curtailments | 1 | 0 | 0 | |||
Net (gain) loss | -1 | -1 | 0 | |||
Prior service costs (credit) | 0 | -3 | -1 | |||
Amortization of: [Abstract] | ||||||
Actuarial gain (loss) | 0 | 0 | 0 | |||
Total recognized in OCI and regulatory assets/liabilities | 0 | -4 | -1 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 0 | -3 | 1 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
Total recognized in OCI and regulatory assets/liabilities | 0 | -4 | -1 | |||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 3 | 6 | 6 | |||
PPL Energy Supply LLC [Member] | Other Postretirement Benefits United States [Member] | PPL Services [Member] | ||||||
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ||||||
Costs allocated to subsidiary by plan sponsors | 3 | 5 | 5 | |||
PPL Electric Utilities Corp [Member] | Pension Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 12 | [3] | 18 | [3] | 19 | [3] |
PPL Electric Utilities Corp [Member] | Other Postretirement Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 2 | [3] | 3 | [3] | 3 | [3] |
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 21 | 26 | 22 | |||
Interest cost | 66 | 62 | 64 | |||
Expected return on plan assets | -82 | -82 | -70 | |||
Amortization of: | ||||||
Transition (asset) obligation | 0 | 0 | 0 | |||
Prior service cost (credits) | 5 | 5 | 5 | |||
Actuarial (gain) loss | 12 | 33 | 22 | |||
Net periodic defined benefit costs (credits) | 22 | 44 | 43 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Net (gain) loss | 162 | -116 | 96 | |||
Prior service costs (credit) | 23 | 0 | 0 | |||
Amortization of: [Abstract] | ||||||
Transition asset (obligation) | 0 | 0 | 0 | |||
Prior service (cost) credit | -5 | -5 | -5 | |||
Actuarial gain (loss) | -12 | -33 | -22 | |||
Total recognized in OCI and regulatory assets/liabilities | 168 | -154 | 69 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 190 | -110 | 112 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
OCI | 84 | -46 | 34 | |||
Regulatory assets/liabilities | 84 | -108 | 35 | |||
Total recognized in OCI and regulatory assets/liabilities | 168 | -154 | 69 | |||
Estimated Amounts to be Amortized From AOCI and Regulatory Assets into Net Periodic Benefit Costs in the Next Fiscal Period (Details) [Abstract] | ||||||
Prior service cost (credit) | 7 | |||||
Actuarial (gain) loss | 34 | |||||
Total | 41 | |||||
Amortization from Balance Sheet: [Abstract] | ||||||
AOCI | 3 | |||||
Regulatory assets/liabilities | 38 | |||||
Total | 41 | |||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 17 | 32 | 31 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 4 | 5 | 4 | |||
Interest cost | 9 | 8 | 9 | |||
Expected return on plan assets | -4 | -5 | -4 | |||
Amortization of: | ||||||
Transition (asset) obligation | 0 | 0 | 2 | |||
Prior service cost (credits) | 2 | 3 | 3 | |||
Actuarial (gain) loss | -1 | 0 | -1 | |||
Net periodic defined benefit costs (credits) | 10 | 11 | 13 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Net (gain) loss | 26 | -14 | -11 | |||
Prior service costs (credit) | 6 | 0 | 0 | |||
Amortization of: [Abstract] | ||||||
Transition asset (obligation) | 0 | 0 | -2 | |||
Prior service (cost) credit | -2 | -3 | -3 | |||
Actuarial gain (loss) | 1 | 0 | 1 | |||
Total recognized in OCI and regulatory assets/liabilities | 31 | -17 | -15 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 41 | -6 | -2 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
OCI | 9 | -1 | -1 | |||
Regulatory assets/liabilities | 22 | -16 | -14 | |||
Total recognized in OCI and regulatory assets/liabilities | 31 | -17 | -15 | |||
Estimated Amounts to be Amortized From AOCI and Regulatory Assets into Net Periodic Benefit Costs in the Next Fiscal Period (Details) [Abstract] | ||||||
Prior service cost (credit) | 3 | |||||
Actuarial (gain) loss | 0 | |||||
Total | 3 | |||||
Amortization from Balance Sheet: [Abstract] | ||||||
AOCI | 1 | |||||
Regulatory assets/liabilities | 2 | |||||
Total | 3 | |||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 7 | 8 | 9 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits): [ Abstract] | ||||||
Service cost | 1 | 2 | 2 | |||
Interest cost | 15 | 14 | 14 | |||
Expected return on plan assets | -19 | -20 | -19 | |||
Amortization of: | ||||||
Prior service cost (credits) | 2 | 2 | 3 | |||
Actuarial (gain) loss | 6 | 14 | 11 | |||
Net periodic defined benefit costs (credits) | 5 | 12 | 11 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross: [Abstract] | ||||||
Net (gain) loss | 14 | -20 | 18 | |||
Prior service costs (credit) | 9 | 0 | 0 | |||
Amortization of: [Abstract] | ||||||
Prior service (cost) credit | -2 | -2 | -2 | |||
Actuarial gain (loss) | -6 | -14 | -11 | |||
Total recognized in OCI and regulatory assets/liabilities | 15 | -36 | 5 | |||
Total recognized in net periodic benefit costs, OCI and regulatory assets/liabilities | 20 | -24 | 16 | |||
Other Changes in Plan Assets and Benefit Obligations Recognized in OCI and Regulatory Assets/Liabilities - Gross (Details) [Abstract] | ||||||
Total recognized in OCI and regulatory assets/liabilities | 15 | -36 | 5 | |||
Estimated Amounts to be Amortized From AOCI and Regulatory Assets into Net Periodic Benefit Costs in the Next Fiscal Period (Details) [Abstract] | ||||||
Prior service cost (credit) | 3 | |||||
Actuarial (gain) loss | 11 | |||||
Total | 14 | |||||
Amortization from Balance Sheet: [Abstract] | ||||||
Total | 14 | |||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 5 | 14 | 13 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | LKE [Member] | ||||||
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ||||||
Costs allocated to subsidiary by plan sponsors | 2 | 5 | 5 | |||
Louisville Gas And Electric Co [Member] | Other Postretirement Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 4 | 4 | 5 | |||
Louisville Gas And Electric Co [Member] | Other Postretirement Benefits United States [Member] | LKE [Member] | ||||||
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ||||||
Costs allocated to subsidiary by plan sponsors | 4 | 4 | 5 | |||
Kentucky Utilities Co [Member] | Pension Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | 3 | [3] | 9 | [3] | 8 | [3] |
Kentucky Utilities Co [Member] | Other Postretirement Benefits United States [Member] | ||||||
Net Periodic Defined Benefit Costs (Credits) Charged to Operating Expense, Excluding Amounts Charged to Construction and Other Non-expense Accounts (Details) [Abstract] | ||||||
Net periodic defined benefit costs (credits) charged to operating expense, excluding amounts charged to construction and other non-expense accounts | $2 | [3] | $2 | [3] | $3 | [3] |
[1] | See Note 13 for details of a one-time voluntary retirement window offered to certain bargaining unit employees in 2014. 2013 and 2012 amounts are related to the WPD Midlands separations in the U.K. | |||||
[2] | WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP. As a result, WPD does not record regulatory assets/liabilities. | |||||
[3] | PPL Electric and KU do not directly sponsor any defined benefit plans. PPL Electric and KU were allocated these costs of defined benefit plans sponsored by PPL Services (for PPL Electric) and by LKE (for KU), based on their participation in those plans, which management believes are reasonable. |
Retirement_and_Postemployment_3
Retirement and Postemployment Benefits (Weighted-Average Assumptions, Cost Trend Rates and Funded Status) (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Contributions to specific plan | $73 | $68 | $59 | |||
Significant Specific Multiemployer Plan [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Employer Identification Number | 232004424 | |||||
Plan number of pension plan | 1 | |||||
Contributions to specific plan | 5 | 5 | 5 | |||
Threshold, as a percentage, of contributions by individual contributors to a specific plan that if exceeded require disclosure | 5.00% | |||||
Number of subsidiaries whose contributions, on a combined basis, exceeded 5% of a specific plan's contributions | 4 | |||||
Threshold, as a percentage, of contributions to a specific plan that if exceeded require disclosure | 5.00% | |||||
Expiration date of the collective-bargaining agreement | 18-Sep-16 | |||||
Multiemployer Pension Plans [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Multiemployer Plan, number of plans | 70 | |||||
Pension Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 4.25% | 5.12% | ||||
Benefit obligations valuation rate of compensation increase | 3.92% | 3.97% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 5.12% | 4.22% | 5.06% | |||
Net periodic benefit costs rate of compensation increase | 3.97% | 3.98% | 4.02% | |||
Net periodic benefit costs expected return on plan assets | 7.00% | [1] | 7.03% | [1] | 7.07% | [1] |
Assumed Health Care Cost Trend Rates (Details) [Abstract] | ||||||
Health care cost trend rate assumed for next year, obligations | 7.20% | 7.60% | 8.00% | |||
Health care cost trend rate assumed for next year, cost | 7.60% | 8.00% | 8.50% | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate), obligations | 5.00% | 5.00% | 5.50% | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate),cost | 5.00% | 5.50% | 5.50% | |||
Year that the rate reaches the ultimate trend rate, obligations | 2019 | 2020 | 2020 | |||
Year that the rate reaches the ultimate trend rate, cost | 2020 | 2019 | 2019 | |||
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 4,591 | 5,046 | ||||
Service cost | 102 | 126 | 103 | |||
Interest cost | 233 | 213 | 220 | |||
Participant contributions | 0 | 0 | ||||
Plan amendments | -7 | 0 | ||||
Actuarial (gain) loss | 925 | -540 | ||||
Curtailment | 0 | 0 | ||||
Termination benefits | 13 | 0 | ||||
Gross benefits paid | -248 | [2] | -254 | |||
Currency conversion | 0 | 0 | ||||
Benefit Obligation, end of period | 5,609 | 4,591 | 5,046 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 4,156 | 3,939 | ||||
Actual return on plan assets | 622 | 72 | ||||
Employer contributions | 102 | 399 | ||||
Participant contributions | 0 | 0 | ||||
Gross benefits paid | -248 | [2] | -254 | |||
Currency conversion | 0 | 0 | ||||
Balance at end of period | 4,632 | 4,156 | 3,939 | |||
Funded Status, end of period | -977 | -435 | ||||
Lump sum cash payouts made to terminated vested employees | 33 | 64 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Noncurrent asset | 0 | 0 | ||||
Current liability | -10 | -8 | ||||
Noncurrent liability | -967 | -427 | ||||
Net amount recognized, end of period | -977 | -435 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | 41 | 69 | ||||
Net actuarial (gain) loss | 1,412 | 842 | ||||
Total | 1,453 | 911 | ||||
Total accumulated benefit obligation for defined benefit pension plans | 5,156 | 4,191 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
AOCI | 773 | 430 | ||||
Regulatory assets/liabilities | 680 | 481 | ||||
Total | 1,453 | 911 | ||||
Pension Plans Where the Projected or Accumulated Benefit Obligation Exceed the Value of Plan Assets (Details) [Abstract] | ||||||
Projected benefit obligations | 5,609 | 4,591 | ||||
Fair value of plan assets where the projected benefit obligations exceed the value of plan assets | 4,632 | 4,156 | ||||
Accumulated benefit obligation | 5,156 | 572 | ||||
Fair value of plan assets where the accumulated benefit obligations exceed the value of plan assets | 4,632 | 431 | ||||
Pension Benefits United States [Member] | Multiemployer Pension Plans [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Contributions to specific plan | 40 | 36 | 31 | |||
Pension Benefits United Kingdom [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 3.85% | 4.41% | ||||
Benefit obligations valuation rate of compensation increase | 4.00% | 4.00% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 4.41% | 4.27% | 5.24% | |||
Net periodic benefit costs rate of compensation increase | 4.00% | 4.00% | 4.00% | |||
Net periodic benefit costs expected return on plan assets | 7.19% | [1] | 7.16% | [1] | 7.17% | [1] |
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 8,143 | 7,888 | ||||
Service cost | 71 | 69 | 54 | |||
Interest cost | 354 | 320 | 340 | |||
Participant contributions | 16 | 15 | ||||
Plan amendments | 0 | 0 | ||||
Actuarial (gain) loss | 747 | 46 | ||||
Curtailment | 0 | 0 | ||||
Termination benefits | 0 | 3 | ||||
Gross benefits paid | -411 | -375 | ||||
Currency conversion | -397 | 177 | ||||
Benefit Obligation, end of period | 8,523 | 8,143 | 7,888 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 7,284 | 6,911 | ||||
Actual return on plan assets | 895 | 438 | ||||
Employer contributions | 311 | 134 | ||||
Participant contributions | 16 | 15 | ||||
Gross benefits paid | -411 | -375 | ||||
Currency conversion | -361 | 161 | ||||
Balance at end of period | 7,734 | 7,284 | 6,911 | |||
Funded Status, end of period | -789 | -859 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Noncurrent asset | 0 | 0 | ||||
Current liability | -1 | 0 | ||||
Noncurrent liability | -788 | -859 | ||||
Net amount recognized, end of period | -789 | -859 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | 0 | 0 | ||||
Net actuarial (gain) loss | 2,334 | 2,112 | ||||
Total | 2,334 | [3] | 2,112 | [3] | ||
Total accumulated benefit obligation for defined benefit pension plans | 7,867 | 7,542 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
Total | 2,334 | [3] | 2,112 | [3] | ||
Pension Plans Where the Projected or Accumulated Benefit Obligation Exceed the Value of Plan Assets (Details) [Abstract] | ||||||
Projected benefit obligations | 8,523 | 8,143 | ||||
Fair value of plan assets where the projected benefit obligations exceed the value of plan assets | 7,734 | 7,284 | ||||
Accumulated benefit obligation | 3,592 | 3,441 | ||||
Fair value of plan assets where the accumulated benefit obligations exceed the value of plan assets | 3,321 | 3,131 | ||||
Other Postretirement Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 4.08% | 4.91% | ||||
Benefit obligations valuation rate of compensation increase | 3.86% | 3.96% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 4.91% | 4.00% | 4.80% | |||
Net periodic benefit costs rate of compensation increase | 3.96% | 3.97% | 4.00% | |||
Net periodic benefit costs expected return on plan assets | 5.96% | [1] | 5.94% | [1] | 5.99% | [1] |
Effect of One Percentage Point Change in Assumed Health Care Costs Trend Rate (Details) [Abstract] | ||||||
Effect on accumulated postretirement benefit obligation of a one percentage point increase | 5 | |||||
Effect on accumulated postretirement benefit obligation of a one percentage point decrease | -5 | |||||
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 662 | 722 | ||||
Service cost | 12 | 14 | 12 | |||
Interest cost | 32 | 29 | 31 | |||
Participant contributions | 12 | 12 | ||||
Plan amendments | 6 | -4 | ||||
Actuarial (gain) loss | 58 | -54 | ||||
Curtailment | -1 | 0 | ||||
Termination benefits | 0 | 0 | ||||
Gross benefits paid | -56 | -57 | ||||
Currency conversion | 0 | 0 | ||||
Benefit Obligation, end of period | 726 | 662 | 722 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 446 | 421 | ||||
Actual return on plan assets | 62 | 37 | ||||
Employer contributions | 16 | 30 | ||||
Participant contributions | 12 | 12 | ||||
Gross benefits paid | -52 | -54 | ||||
Currency conversion | 0 | 0 | ||||
Balance at end of period | 484 | 446 | 421 | |||
Funded Status, end of period | -242 | -216 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Noncurrent asset | 1 | 0 | ||||
Current liability | -4 | -1 | ||||
Noncurrent liability | -239 | -215 | ||||
Net amount recognized, end of period | -242 | -216 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | -4 | -11 | ||||
Net actuarial (gain) loss | 54 | 33 | ||||
Total | 50 | 22 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
AOCI | 26 | 19 | ||||
Regulatory assets/liabilities | 24 | 3 | ||||
Total | 50 | 22 | ||||
Other Postretirement Benefits United States [Member] | Multiemployer Other Postretirement Medical Plans [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Contributions to specific plan | 33 | 32 | 28 | |||
PPL Energy Supply LLC [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Multiemployer Plan, period contributions | 73 | 68 | 59 | |||
PPL Energy Supply LLC [Member] | Significant Specific Multiemployer Plan [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Employer Identification Number | 232004424 | |||||
Plan number of pension plan | 1 | |||||
Contributions to specific plan | 5 | 5 | 5 | |||
Threshold, as a percentage, of contributions by individual contributors to a specific plan that if exceeded require disclosure | 5.00% | |||||
Number of subsidiaries whose contributions, on a combined basis, exceeded 5% of a specific plan's contributions | 4 | |||||
Threshold, as a percentage, of contributions to a specific plan that if exceeded require disclosure | 5.00% | |||||
Expiration date of the collective-bargaining agreement | 18-Sep-16 | |||||
PPL Energy Supply LLC [Member] | Multiemployer Pension Plans [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Multiemployer Plan, number of plans | 70 | |||||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 4.28% | 5.18% | ||||
Benefit obligations valuation rate of compensation increase | 4.03% | 3.94% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 5.18% | 4.25% | 5.12% | |||
Net periodic benefit costs rate of compensation increase | 3.94% | 3.95% | 4.00% | |||
Net periodic benefit costs expected return on plan assets | 7.00% | [1] | 7.00% | [1] | 7.00% | [1] |
Assumed Health Care Cost Trend Rates (Details) [Abstract] | ||||||
Health care cost trend rate assumed for next year, obligations | 7.20% | 7.60% | 8.00% | |||
Health care cost trend rate assumed for next year, cost | 7.60% | 8.00% | 8.50% | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate), obligations | 5.00% | 5.00% | 5.50% | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate),cost | 5.00% | 5.50% | 5.50% | |||
Year that the rate reaches the ultimate trend rate, obligations | 2019 | 2020 | 2020 | |||
Year that the rate reaches the ultimate trend rate, cost | 2020 | 2019 | 2019 | |||
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 163 | 176 | ||||
Service cost | 5 | 7 | 6 | |||
Interest cost | 9 | 8 | 7 | |||
Plan amendments | 0 | 0 | ||||
Actuarial (gain) loss | 38 | -23 | ||||
Curtailment | 0 | 0 | ||||
Gross benefits paid | -5 | -5 | ||||
Benefit Obligation, end of period | 210 | 163 | 176 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 147 | 149 | ||||
Actual return on plan assets | 22 | 3 | ||||
Employer contributions | 6 | 0 | ||||
Gross benefits paid | -5 | -5 | ||||
Balance at end of period | 170 | 147 | 149 | |||
Funded Status, end of period | -40 | -16 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Current liability | 0 | 0 | ||||
Noncurrent liability | -40 | -16 | ||||
Net amount recognized, end of period | -40 | -16 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | 0 | 0 | ||||
Net actuarial (gain) loss | 59 | 34 | ||||
Total | 59 | 34 | ||||
Total accumulated benefit obligation for defined benefit pension plans | 210 | 163 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
Total | 59 | 34 | ||||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | PPL Services Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 259 | 96 | ||||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Multiemployer Pension Plans [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Multiemployer Plan, period contributions | 40 | 36 | 31 | |||
PPL Energy Supply LLC [Member] | Other Postretirement Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 3.81% | 4.51% | ||||
Benefit obligations valuation rate of compensation increase | 4.03% | 3.94% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 4.51% | 3.77% | 4.60% | |||
Net periodic benefit costs rate of compensation increase | 3.94% | 3.95% | 4.00% | |||
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 12 | 17 | ||||
Service cost | 0 | 1 | 1 | |||
Interest cost | 1 | 0 | 1 | |||
Plan amendments | 0 | -4 | ||||
Actuarial (gain) loss | -1 | -1 | ||||
Curtailment | -1 | 0 | ||||
Gross benefits paid | -1 | -1 | ||||
Benefit Obligation, end of period | 10 | 12 | 17 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 0 | 0 | ||||
Actual return on plan assets | 0 | 0 | ||||
Employer contributions | 1 | 1 | ||||
Gross benefits paid | -1 | -1 | ||||
Balance at end of period | 0 | 0 | 0 | |||
Funded Status, end of period | -10 | -12 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Current liability | -1 | -1 | ||||
Noncurrent liability | -9 | -11 | ||||
Net amount recognized, end of period | -10 | -12 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | -4 | -5 | ||||
Net actuarial (gain) loss | 0 | 1 | ||||
Total | -4 | -4 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
Total | -4 | -4 | ||||
PPL Energy Supply LLC [Member] | Other Postretirement Benefits United States [Member] | PPL Services Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 34 | 35 | ||||
PPL Energy Supply LLC [Member] | Other Postretirement Benefits United States [Member] | Multiemployer Other Postretirement Medical Plans [Member] | ||||||
Multiemployer Plans (Numeric) [Abstract] | ||||||
Multiemployer Plan, period contributions | 33 | 32 | 28 | |||
PPL Electric Utilities Corp [Member] | Pension Benefits United States [Member] | PPL Services Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 212 | 96 | ||||
PPL Electric Utilities Corp [Member] | Other Postretirement Benefits United States [Member] | PPL Services Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 40 | 41 | ||||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 4.25% | 5.18% | ||||
Benefit obligations valuation rate of compensation increase | 3.50% | 4.00% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 5.18% | 4.24% | 5.09% | |||
Net periodic benefit costs rate of compensation increase | 4.00% | 4.00% | 4.00% | |||
Net periodic benefit costs expected return on plan assets | 7.00% | [1] | 7.10% | [1] | 7.25% | [1] |
Assumed Health Care Cost Trend Rates (Details) [Abstract] | ||||||
Health care cost trend rate assumed for next year, obligations | 7.20% | 7.60% | 8.00% | |||
Health care cost trend rate assumed for next year, cost | 7.60% | 8.00% | 8.50% | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate), obligations | 5.00% | 5.00% | 5.50% | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate),cost | 5.00% | 5.50% | 5.50% | |||
Year that the rate reaches the ultimate trend rate, obligations | 2019 | 2020 | 2020 | |||
Year that the rate reaches the ultimate trend rate, cost | 2020 | 2019 | 2019 | |||
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 1,328 | 1,487 | ||||
Service cost | 21 | 26 | 22 | |||
Interest cost | 66 | 62 | 64 | |||
Participant contributions | 0 | 0 | ||||
Plan amendments | 23 | [4] | 0 | |||
Actuarial (gain) loss | 253 | -177 | ||||
Gross benefits paid | -83 | [5] | -70 | |||
Benefit Obligation, end of period | 1,608 | 1,328 | 1,487 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 1,173 | 1,070 | ||||
Actual return on plan assets | 173 | 21 | ||||
Employer contributions | 38 | 152 | ||||
Participant contributions | 0 | 0 | ||||
Gross benefits paid | -83 | [5] | -70 | |||
Balance at end of period | 1,301 | 1,173 | 1,070 | |||
Funded Status, end of period | -307 | -155 | ||||
Lump sum cash payouts made to terminated vested employees | 33 | 21 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Current liability | -3 | -3 | ||||
Noncurrent liability | -304 | -152 | ||||
Net amount recognized, end of period | -307 | -155 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | 43 | 24 | ||||
Net actuarial (gain) loss | 354 | 205 | ||||
Total | 397 | 229 | ||||
Total accumulated benefit obligation for defined benefit pension plans | 1,461 | 1,176 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
AOCI | 65 | -19 | ||||
Regulatory assets/liabilities | 332 | 248 | ||||
Total | 397 | 229 | ||||
Pension Plans Where the Projected or Accumulated Benefit Obligation Exceed the Value of Plan Assets (Details) [Abstract] | ||||||
Projected benefit obligations | 1,608 | 1,328 | ||||
Fair value of plan assets where the projected benefit obligations exceed the value of plan assets | 1,301 | 1,173 | ||||
Accumulated benefit obligation | 1,461 | 350 | ||||
Fair value of plan assets where the accumulated benefit obligations exceed the value of plan assets | 1,301 | 284 | ||||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 4.06% | 4.91% | ||||
Benefit obligations valuation rate of compensation increase | 3.50% | 4.00% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 4.91% | 3.99% | 4.78% | |||
Net periodic benefit costs rate of compensation increase | 4.00% | 4.00% | 4.00% | |||
Net periodic benefit costs expected return on plan assets | 6.75% | [1] | 6.76% | [1] | 7.02% | [1] |
Effect of One Percentage Point Change in Assumed Health Care Costs Trend Rate (Details) [Abstract] | ||||||
Effect on accumulated postretirement benefit obligation of a one percentage point increase | 4 | |||||
Effect on accumulated postretirement benefit obligation of a one percentage point decrease | -4 | |||||
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 193 | 209 | ||||
Service cost | 4 | 5 | 4 | |||
Interest cost | 9 | 8 | 9 | |||
Participant contributions | 7 | 7 | ||||
Plan amendments | 6 | 0 | ||||
Actuarial (gain) loss | 32 | -18 | ||||
Gross benefits paid | -17 | -18 | ||||
Benefit Obligation, end of period | 234 | 193 | 209 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 74 | 68 | ||||
Actual return on plan assets | 10 | 1 | ||||
Employer contributions | 8 | 16 | ||||
Participant contributions | 7 | 7 | ||||
Gross benefits paid | -17 | -18 | ||||
Balance at end of period | 82 | 74 | 68 | |||
Funded Status, end of period | -152 | -119 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Noncurrent asset | 2 | 0 | ||||
Current liability | -3 | 0 | ||||
Noncurrent liability | -151 | -119 | ||||
Net amount recognized, end of period | -152 | -119 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | 12 | 8 | ||||
Net actuarial (gain) loss | -4 | -30 | ||||
Total | 8 | -22 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
AOCI | 8 | 0 | ||||
Regulatory assets/liabilities | 0 | -22 | ||||
Total | 8 | -22 | ||||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | ||||||
Weighted Average Assumptions Used in the Valuation of the Benefit Obligations (Details) [Abstract] | ||||||
Benefit obligations valuation discount rate | 4.20% | 5.13% | ||||
Weighted Average Assumptions Used to Determine the Net Periodic Benefit Costs (Details) [Abstract] | ||||||
Net periodic benefit costs discount rate | 5.13% | 4.20% | 5.00% | |||
Net periodic benefit costs expected return on plan assets | 7.00% | [1] | 7.10% | [1] | 7.25% | [1] |
Change in Benefit Obligation [Roll Forward] | ||||||
Benefit Obligation, beginning of period | 291 | 331 | ||||
Service cost | 1 | 2 | 2 | |||
Interest cost | 15 | 14 | 14 | |||
Plan amendments | 9 | [6] | 0 | |||
Actuarial (gain) loss | 36 | -35 | ||||
Gross benefits paid | -21 | [7] | -21 | |||
Benefit Obligation, end of period | 331 | 291 | 331 | |||
Change in Plan Assets [Roll Forward] | ||||||
Balance at beginning of period | 281 | 287 | ||||
Actual return on plan assets | 41 | 4 | ||||
Employer contributions | 0 | 11 | ||||
Gross benefits paid | -21 | [7] | -21 | |||
Balance at end of period | 301 | 281 | 287 | |||
Funded Status, end of period | -30 | -10 | ||||
Lump sum cash payouts made to terminated vested employees | 8 | 7 | ||||
Amounts recognized in the Balance Sheets consist of: [Abstract] | ||||||
Noncurrent liability | -30 | -10 | ||||
Net amount recognized, end of period | -30 | -10 | ||||
Amounts recognized in AOCI and regulatory asets/liabilities (pre-tax): [Abstract] | ||||||
Prior service cost (credit) | 22 | 15 | ||||
Net actuarial (gain) loss | 98 | 90 | ||||
Total | 120 | 105 | ||||
Total accumulated benefit obligation for defined benefit pension plans | 330 | 288 | ||||
Changes in Plan Assets and Benefit Obligations Recognized in AOCI and Regulatory Assets/Liabilities by Type (Details) [Abstract] | ||||||
Total | 120 | 105 | ||||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | LKE Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 27 | 9 | ||||
Louisville Gas And Electric Co [Member] | Other Postretirement Benefits United States [Member] | LKE Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 85 | 73 | ||||
Kentucky Utilities Co [Member] | Pension Benefits United States [Member] | LKE Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | 59 | 11 | ||||
Kentucky Utilities Co [Member] | Other Postretirement Benefits United States [Member] | LKE Funded Status Allocation [Member] | ||||||
Change in Plan Assets [Roll Forward] | ||||||
Funded Status, end of period | $52 | $42 | ||||
[1] | The expected long-term rates of return for pension and other postretirement benefits are based on management's projections using a best-estimate of expected returns, volatilities and correlations for each asset class. Each plan's specific current and expected asset allocations are also considered in developing a reasonable return assumption. | |||||
[2] | Certain U.S. pension plans offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump sum payment. Gross benefits paid includes $33 million and $64million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | |||||
[3] | WPD is not subject to accounting for the effects of certain types of regulation as prescribed by GAAP. As a result, WPD does not record regulatory assets/liabilities. | |||||
[4] | (a)The plans were amended in December2014 to enhance the early retirement factors for all plan participants retiring on or after January 1, 2015. These modifications resulted in an increase of $23 million in the plans’ projected benefit obligations as of December 31, 2014. | |||||
[5] | Certain LKE pension plans offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump-sum payment. The gross benefits paid includes $33 million and $21million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. | |||||
[6] | (a)The plan was amended in December2014 to enhance the early retirement factors for all plan participants retiring on or after January 1, 2015.  This modification resulted in an increase of $9 million in the plan’s projected benefit obligation as of December 31, 2014. | |||||
[7] | LG&E's pension plan offered a limited-time program in 2014 and 2013 during which terminated vested participants could elect to receive their accrued pension benefit as a one-time lump-sum payment. The gross benefits paid includes $8 million and $7million of lump-sum cash payments made to terminated vested participants in 2014 and 2013 in connection with these offerings. |
Retirement_and_Postemployment_4
Retirement and Postemployment Benefits (Plan Assets and Expected Cash Flows) (Details) (USD $) | 12 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2012 | ||
Master Trust [Member] | Other Debt Securities [Member] | Level 3 [Member] | |||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Actual return on plan assets relating to assets still held at the reporting date | $0 | ||||
Pension Benefits United States [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,632 | 3,939 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 4,156 | 3,939 | |||
Balance at end of period | 4,632 | 3,939 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 175 | ||||
Expected amount of benefit payments in the next period for non-qualified plans | 10 | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 268 | ||||
2016 | 279 | ||||
2017 | 294 | ||||
2018 | 308 | ||||
2019 | 323 | ||||
2020-2024 | 1,749 | ||||
Pension Benefits United States [Member] | Master Trust [Member] | |||||
Assumptions Used in Calculations (Numeric) [Abstract] | |||||
The limited lives of four partnership of private equity investments (in years) | 10 | ||||
The limited lives of fifth partnership of private equity investments (in years) | 15 | ||||
The amount of potential liability that maybe required to be funded by the master trust during life of the partnership | 55 | ||||
Minimum number of days notice required to redeem shares for investments in hedge funds | 65 | ||||
Maximum number of days notice required to redeem shares for investments in hedge funds | 95 | ||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 100.00% | 100.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 100.00% | [1] | |||
Target asset allocation - PPL Plans | 100.00% | [1] | |||
Target asset allocation - LKE Plans | 100.00% | [1] | |||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,809 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 4,271 | ||||
Balance at end of period | 4,809 | ||||
Pension Benefits United States [Member] | Master Trust [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,130 | 1,211 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1,130 | 1,211 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 3,000 | 3,440 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 3,000 | 3,440 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 141 | 158 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 146 | 141 | |||
Actual return on plan assets relating to assets still held at the reporting date | 5 | 18 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -14 | 0 | |||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 141 | 158 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 480 | 432 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 480 | 432 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 114 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 114 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 346 | 318 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 346 | 318 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 749 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 749 | 818 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 13 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 13 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 736 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 736 | 818 | |||
Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 630 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 630 | 615 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 163 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 163 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 467 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 467 | 615 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 617 | 723 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 617 | 723 | |||
Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 563 | 706 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 563 | 706 | |||
Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 54 | 17 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 54 | 17 | |||
Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 2 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 11 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 11 | 2 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | 1 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 0 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 1 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 963 | 1,109 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 963 | 1,109 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 940 | 1,088 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 940 | 1,088 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 23 | 21 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 27 | 23 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -9 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 23 | 21 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | ||||
Actual return on plan assets relating to assets sold during the period | 0 | ||||
Purchases, sales and settlements | 0 | ||||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 80 | 104 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 75 | 80 | |||
Actual return on plan assets relating to assets still held at the reporting date | 3 | 19 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 2 | 5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 80 | 104 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 37 | 33 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 42 | 37 | |||
Actual return on plan assets relating to assets still held at the reporting date | 2 | 1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | -7 | -5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 37 | 33 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Receivables And Payables Net [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | [2] | -41 | ||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | [2] | -41 | ||
Pension Benefits United States [Member] | Master Trust [Member] | Account 401 H [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -115 | -136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -115 | -136 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Total Trust Assets Not Including 401 H Assets [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,156 | 4,632 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 4,156 | 4,632 | |||
Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 59.00% | 51.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 52.00% | [1] | |||
Target asset allocation - PPL Plans | 52.00% | [1] | |||
Target asset allocation - LKE Plans | 52.00% | [1] | |||
Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 30.00% | 26.00% | [1] | ||
Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 17.00% | [3] | 13.00% | [1],[3] | |
Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Alternative Investments [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 12.00% | 12.00% | [1] | ||
Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 39.00% | 47.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 46.00% | [1] | |||
Target asset allocation - PPL Plans | 46.00% | [1] | |||
Target asset allocation - LKE Plans | 46.00% | [1] | |||
Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 40.00% | [3] | 44.00% | [1],[3] | |
Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Derivatives [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | -1.00% | 3.00% | [1] | ||
Pension Benefits United States [Member] | Master Trust [Member] | Liquidity Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 2.00% | 2.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 2.00% | [1] | |||
Target asset allocation - PPL Plans | 2.00% | [1] | |||
Target asset allocation - LKE Plans | 2.00% | [1] | |||
Pension Benefits United Kingdom [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 100.00% | 100.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 100.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7,734 | 6,911 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 7,284 | 6,911 | |||
Balance at end of period | 7,734 | 6,911 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 377 | ||||
Recurrence of formal actuarial valuations (in years) | 3 | ||||
Percentage of deficit funding requirements permitted to recover in rates | 64.00% | ||||
Approximate percentage of WPD's pension funding requirements that will be permitted to be recovered in rates in 2019 | 80.00% | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 386 | ||||
2016 | 391 | ||||
2017 | 395 | ||||
2018 | 403 | ||||
2019 | 409 | ||||
2020-2024 | 2,118 | ||||
Pension Benefits United Kingdom [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,112 | 57 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1,112 | 57 | |||
Pension Benefits United Kingdom [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 6,172 | 7,677 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 6,172 | 7,677 | |||
Pension Benefits United Kingdom [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Cash And Cash Equivalents [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 0.00% | 1.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 0.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 57 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 10 | ||||
Balance at end of period | 57 | ||||
Pension Benefits United Kingdom [Member] | Cash And Cash Equivalents [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 10 | 57 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 10 | 57 | |||
Pension Benefits United Kingdom [Member] | Cash And Cash Equivalents [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Cash And Cash Equivalents [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | UK Companies Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 7.00% | 3.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 3.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 239 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 523 | ||||
Balance at end of period | 239 | ||||
Pension Benefits United Kingdom [Member] | UK Companies Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 267 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 267 | 0 | |||
Pension Benefits United Kingdom [Member] | UK Companies Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 256 | 239 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 256 | 239 | |||
Pension Benefits United Kingdom [Member] | UK Companies Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | European Companies Excluding UK Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 5.00% | 3.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 3.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 198 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 355 | ||||
Balance at end of period | 198 | ||||
Pension Benefits United Kingdom [Member] | European Companies Excluding UK Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 275 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 275 | 0 | |||
Pension Benefits United Kingdom [Member] | European Companies Excluding UK Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 198 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 80 | 198 | |||
Pension Benefits United Kingdom [Member] | European Companies Excluding UK Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Asian Pacific Companies Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 3.00% | 2.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 2.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 142 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 226 | ||||
Balance at end of period | 142 | ||||
Pension Benefits United Kingdom [Member] | Asian Pacific Companies Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 180 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 180 | 0 | |||
Pension Benefits United Kingdom [Member] | Asian Pacific Companies Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 46 | 142 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 46 | 142 | |||
Pension Benefits United Kingdom [Member] | Asian Pacific Companies Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | North American Companies Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 5.00% | 3.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 3.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 227 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 352 | ||||
Balance at end of period | 227 | ||||
Pension Benefits United Kingdom [Member] | North American Companies Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 254 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 254 | 0 | |||
Pension Benefits United Kingdom [Member] | North American Companies Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 98 | 227 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 98 | 227 | |||
Pension Benefits United Kingdom [Member] | North American Companies Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Emerging Markets Companies Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 8.00% | 9.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 9.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 309 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 411 | ||||
Balance at end of period | 309 | ||||
Pension Benefits United Kingdom [Member] | Emerging Markets Companies Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 126 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 126 | 0 | |||
Pension Benefits United Kingdom [Member] | Emerging Markets Companies Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 285 | 309 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 285 | 309 | |||
Pension Benefits United Kingdom [Member] | Emerging Markets Companies Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Global Equities Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 161 | 397 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 161 | 397 | |||
Pension Benefits United Kingdom [Member] | Global Equities Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 161 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 161 | 0 | |||
Pension Benefits United Kingdom [Member] | Global Equities Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 397 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 397 | |||
Pension Benefits United Kingdom [Member] | Global Equities Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Currency Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 7.00% | 2.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 3.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 190 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 485 | ||||
Balance at end of period | 190 | ||||
Pension Benefits United Kingdom [Member] | Currency Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Currency Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 485 | 190 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 485 | 190 | |||
Pension Benefits United Kingdom [Member] | Currency Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Global Tactical Asset Allocation Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 19.00% | 29.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 30.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 2,263 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1,384 | ||||
Balance at end of period | 2,263 | ||||
Pension Benefits United Kingdom [Member] | Global Tactical Asset Allocation Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Global Tactical Asset Allocation Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,384 | 2,263 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1,384 | 2,263 | |||
Pension Benefits United Kingdom [Member] | Global Tactical Asset Allocation Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | UK Corporate Bonds Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 504 | 436 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 504 | 436 | |||
Pension Benefits United Kingdom [Member] | UK Corporate Bonds Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | UK Corporate Bonds Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 504 | 436 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 504 | 436 | |||
Pension Benefits United Kingdom [Member] | UK Corporate Bonds Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | UK Gilts Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 2,426 | 2,840 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 2,426 | 2,840 | |||
Pension Benefits United Kingdom [Member] | UK Gilts Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | UK Gilts Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 2,426 | 2,840 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 2,426 | 2,840 | |||
Pension Benefits United Kingdom [Member] | UK Gilts Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 40.00% | [4] | 42.00% | [4] | |
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 41.00% | [4] | |||
Pension Benefits United Kingdom [Member] | Alternative Investments [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 6.00% | 6.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 6.00% | ||||
Pension Benefits United Kingdom [Member] | Real Estate Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 447 | 436 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 447 | 436 | |||
Pension Benefits United Kingdom [Member] | Real Estate Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Pension Benefits United Kingdom [Member] | Real Estate Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 447 | 436 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 447 | 436 | |||
Pension Benefits United Kingdom [Member] | Real Estate Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 100.00% | 100.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 100.00% | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 484 | 421 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 446 | 421 | |||
Balance at end of period | 484 | 421 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 17 | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 54 | ||||
2016 | 56 | ||||
2017 | 58 | ||||
2018 | 60 | ||||
2019 | 62 | ||||
2020-2024 | 326 | ||||
Expected Federal Subsidy (Details) [Abstract] | |||||
Federal subsidy 2015 | 1 | ||||
Federal subsidy 2016 | 1 | ||||
Federal subsidy 2017 | 1 | ||||
Federal subsidy 2018 | 1 | ||||
Federal subsidy 2019 | 1 | ||||
Federal subsidy 2020-2024 | 3 | ||||
Other Postretirement Benefits United States [Member] | Cash And Cash Equivalents [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 4.00% | [5] | 2.00% | [5] | |
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 5.00% | [5] | |||
Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | |||||
Assumptions Used in Calculations (Numeric) [Abstract] | |||||
Number of months from date of purchase that investment must mature | 13 | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 9 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 12 | ||||
Balance at end of period | 9 | ||||
Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 9 | |||
Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 55.00% | 49.00% | |||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 45.00% | ||||
Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 182 | 169 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 182 | 169 | |||
Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 182 | 169 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 182 | 169 | |||
Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 100 | 136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 100 | 136 | |||
Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 100 | 136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 100 | 136 | |||
Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 41.00% | [6] | 49.00% | [6] | |
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 50.00% | [6] | |||
Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 36 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 36 | 33 | |||
Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 36 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 36 | 33 | |||
Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Other Postretirement Benefits United States [Member] | Receivables And Payables Net [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1 | [7] | 1 | [7] | |
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1 | [7] | 1 | [7] | |
Other Postretirement Benefits United States [Member] | Account 401 H [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 115 | 136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 115 | 136 | |||
Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 330 | 347 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 330 | 347 | |||
Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 9 | |||
Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 318 | 338 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 318 | 338 | |||
Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 170 | 149 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 147 | 149 | |||
Balance at end of period | 170 | 149 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 32 | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 5 | ||||
2016 | 7 | ||||
2017 | 7 | ||||
2018 | 8 | ||||
2019 | 9 | ||||
2020-2024 | 58 | ||||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | |||||
Information About Plan Assets (Numeric) [Abstract] | |||||
Value of plan U.S. pension trust assets that relate to PPL subsidiary | 147 | 170 | |||
Undivided interest percentage in each asset category that PPL subsidiary holds | 3.40% | 4.00% | |||
Assumptions Used in Calculations (Numeric) [Abstract] | |||||
The limited lives of four partnership of private equity investments (in years) | 10 | ||||
The limited lives of fifth partnership of private equity investments (in years) | 15 | ||||
The amount of potential liability that maybe required to be funded by the master trust during life of the partnership | 55 | ||||
Minimum number of days notice required to redeem shares for investments in hedge funds | 65 | ||||
Maximum number of days notice required to redeem shares for investments in hedge funds | 95 | ||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 100.00% | 100.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 100.00% | [1] | |||
Target asset allocation - PPL Plans | 100.00% | [1] | |||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,271 | 4,809 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 4,271 | ||||
Balance at end of period | 4,271 | 4,809 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,130 | 1,211 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1,130 | 1,211 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 3,000 | 3,440 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 3,000 | 3,440 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 141 | 158 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 146 | 141 | |||
Actual return on plan assets relating to assets still held at the reporting date | 5 | 18 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -14 | 0 | |||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 141 | 158 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 480 | 432 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 480 | 432 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 114 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 114 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 346 | 318 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 346 | 318 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 749 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 749 | 818 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 13 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 13 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 736 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 736 | 818 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 630 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 630 | 615 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 163 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 163 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 467 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 467 | 615 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 617 | 723 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 617 | 723 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 563 | 706 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 563 | 706 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 54 | 17 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 54 | 17 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 2 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 11 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 11 | 2 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | 1 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 0 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 1 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 963 | 1,109 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 963 | 1,109 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 940 | 1,088 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 940 | 1,088 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 23 | 21 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 27 | 23 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -9 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 23 | 21 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | ||||
Actual return on plan assets relating to assets still held at the reporting date | 0 | ||||
Actual return on plan assets relating to assets sold during the period | 0 | ||||
Purchases, sales and settlements | 0 | ||||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 80 | 104 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 75 | 80 | |||
Actual return on plan assets relating to assets still held at the reporting date | 3 | 19 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 2 | 5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 80 | 104 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 37 | 33 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 42 | 37 | |||
Actual return on plan assets relating to assets still held at the reporting date | 2 | 1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | -7 | -5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 37 | 33 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Receivables And Payables Net [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | [2] | -41 | ||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | [2] | -41 | ||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Account 401 H [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -115 | -136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -115 | -136 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Total Trust Assets Not Including 401 H Assets [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,156 | 4,632 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 4,156 | 4,632 | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 59.00% | 51.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 52.00% | [1] | |||
Target asset allocation - PPL Plans | 52.00% | [1] | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 30.00% | 26.00% | [1] | ||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 17.00% | [3] | 13.00% | [1],[3] | |
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Alternative Investments [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 12.00% | 12.00% | [1] | ||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 39.00% | 47.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 46.00% | [1] | |||
Target asset allocation - PPL Plans | 46.00% | [1] | |||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 40.00% | [3] | 44.00% | [1],[3] | |
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Derivatives [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | -1.00% | 3.00% | [1] | ||
PPL Energy Supply LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Liquidity Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 2.00% | 2.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 2.00% | [1] | |||
Target asset allocation - PPL Plans | 2.00% | [1] | |||
PPL Energy Supply LLC [Member] | Other Postretirement Benefits United States [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | 0 | ||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 0 | ||||
Balance at end of period | 0 | 0 | 0 | ||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 1 | ||||
2016 | 1 | ||||
2017 | 1 | ||||
2018 | 2 | ||||
2019 | 2 | ||||
2020-2024 | 9 | ||||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,301 | 1,070 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1,173 | 1,070 | |||
Balance at end of period | 1,301 | 1,070 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 49 | ||||
Expected amount of benefit payments in the next period for non-qualified plans | 3 | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 60 | ||||
2016 | 62 | ||||
2017 | 67 | ||||
2018 | 72 | ||||
2019 | 77 | ||||
2020-2024 | 456 | ||||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | |||||
Information About Plan Assets (Numeric) [Abstract] | |||||
Value of plan U.S. pension trust assets that relate to PPL subsidiary | 1,200 | 1,300 | |||
Undivided interest percentage in each asset category that PPL subsidiary holds | 29.00% | 28.00% | |||
Assumptions Used in Calculations (Numeric) [Abstract] | |||||
The limited lives of four partnership of private equity investments (in years) | 10 | ||||
The limited lives of fifth partnership of private equity investments (in years) | 15 | ||||
The amount of potential liability that maybe required to be funded by the master trust during life of the partnership | 55 | ||||
Minimum number of days notice required to redeem shares for investments in hedge funds | 65 | ||||
Maximum number of days notice required to redeem shares for investments in hedge funds | 95 | ||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 100.00% | 100.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 100.00% | [1] | |||
Target asset allocation - LKE Plans | 100.00% | [1] | |||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,271 | 4,809 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 4,271 | ||||
Balance at end of period | 4,271 | 4,809 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,130 | 1,211 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1,130 | 1,211 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 3,000 | 3,440 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 3,000 | 3,440 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 141 | 158 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 146 | 141 | |||
Actual return on plan assets relating to assets still held at the reporting date | 5 | 18 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -14 | 0 | |||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 141 | 158 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 480 | 432 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 480 | 432 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 114 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 114 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 346 | 318 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 346 | 318 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 749 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 749 | 818 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 13 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 13 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 736 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 736 | 818 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 630 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 630 | 615 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 163 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 163 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 467 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 467 | 615 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 617 | 723 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 617 | 723 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 563 | 706 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 563 | 706 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 54 | 17 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 54 | 17 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 2 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 11 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 11 | 2 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | 1 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 0 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 1 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 963 | 1,109 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 963 | 1,109 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 940 | 1,088 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 940 | 1,088 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 23 | 21 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 27 | 23 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -9 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 23 | 21 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | ||||
Actual return on plan assets relating to assets still held at the reporting date | 0 | ||||
Actual return on plan assets relating to assets sold during the period | 0 | ||||
Purchases, sales and settlements | 0 | ||||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 80 | 104 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 75 | 80 | |||
Actual return on plan assets relating to assets still held at the reporting date | 3 | 19 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 2 | 5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 80 | 104 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 37 | 33 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 42 | 37 | |||
Actual return on plan assets relating to assets still held at the reporting date | 2 | 1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | -7 | -5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 37 | 33 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Receivables And Payables Net [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | [2] | -41 | ||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | [2] | -41 | ||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Account 401 H [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -115 | -136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -115 | -136 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Total Trust Assets Not Including 401 H Assets [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,156 | 4,632 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 4,156 | 4,632 | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 59.00% | 51.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 52.00% | [1] | |||
Target asset allocation - LKE Plans | 52.00% | [1] | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 30.00% | 26.00% | [1] | ||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 17.00% | [3] | 13.00% | [1],[3] | |
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Alternative Investments [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 12.00% | 12.00% | [1] | ||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 39.00% | 47.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 46.00% | [1] | |||
Target asset allocation - LKE Plans | 46.00% | [1] | |||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 40.00% | [3] | 44.00% | [1],[3] | |
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Derivatives [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | -1.00% | 3.00% | [1] | ||
LG And E And KU Energy LLC [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Liquidity Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 2.00% | 2.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 2.00% | [1] | |||
Target asset allocation - LKE Plans | 2.00% | [1] | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 82 | 68 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 74 | 68 | |||
Balance at end of period | 82 | 68 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 13 | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 14 | ||||
2016 | 14 | ||||
2017 | 15 | ||||
2018 | 16 | ||||
2019 | 17 | ||||
2020-2024 | 88 | ||||
Expected Federal Subsidy (Details) [Abstract] | |||||
Federal subsidy 2015 | 0 | ||||
Federal subsidy 2016 | 0 | ||||
Federal subsidy 2017 | 1 | ||||
Federal subsidy 2018 | 0 | ||||
Federal subsidy 2019 | 0 | ||||
Federal subsidy 2020-2024 | 2 | ||||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | |||||
Assumptions Used in Calculations (Numeric) [Abstract] | |||||
Number of months from date of purchase that investment must mature | 13 | ||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 9 | ||||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 12 | ||||
Balance at end of period | 9 | ||||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 9 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Money Market Funds [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 182 | 169 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 182 | 169 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 182 | 169 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 182 | 169 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Large Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 100 | 136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 100 | 136 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 100 | 136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 100 | 136 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | United States Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 36 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 36 | 33 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 36 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 36 | 33 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Municipalities Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Receivables And Payables Net [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1 | [7] | 1 | [7] | |
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1 | [7] | 1 | [7] | |
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Account 401 H [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 115 | 136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 115 | 136 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 330 | 347 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 330 | 347 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 9 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 318 | 338 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 318 | 338 | |||
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits United States [Member] | Total Trust Assets Not Including 401 H Assets [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 301 | 287 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 281 | 287 | |||
Balance at end of period | 301 | 287 | |||
Defined Benefit Plan Estimated Future Employer Contributions (Numeric) [Abstract] | |||||
Amount to be contributed to plan in the next fiscal year | 13 | ||||
Estimated Future Benefit Payments (Details) [Abstract] | |||||
2015 | 15 | ||||
2016 | 16 | ||||
2017 | 17 | ||||
2018 | 18 | ||||
2019 | 19 | ||||
2020-2024 | 105 | ||||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | |||||
Information About Plan Assets (Numeric) [Abstract] | |||||
Value of plan U.S. pension trust assets that relate to PPL subsidiary | 281 | 301 | |||
Undivided interest percentage in each asset category that PPL subsidiary holds | 7.00% | 6.00% | |||
Assumptions Used in Calculations (Numeric) [Abstract] | |||||
The limited lives of four partnership of private equity investments (in years) | 10 | ||||
The limited lives of fifth partnership of private equity investments (in years) | 15 | ||||
The amount of potential liability that maybe required to be funded by the master trust during life of the partnership | 55 | ||||
Minimum number of days notice required to redeem shares for investments in hedge funds | 65 | ||||
Maximum number of days notice required to redeem shares for investments in hedge funds | 95 | ||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 100.00% | 100.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 100.00% | [1] | |||
Target asset allocation - LKE Plans | 100.00% | [1] | |||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,271 | 4,809 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 4,271 | ||||
Balance at end of period | 4,271 | 4,809 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1,130 | 1,211 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 1,130 | 1,211 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 3,000 | 3,440 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 3,000 | 3,440 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 141 | 158 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 146 | 141 | |||
Actual return on plan assets relating to assets still held at the reporting date | 5 | 18 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -14 | 0 | |||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 141 | 158 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 120 | 246 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 120 | 246 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Cash And Cash Equivalents [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 480 | 432 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 480 | 432 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 114 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 114 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 346 | 318 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 346 | 318 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Large Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 137 | 145 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 137 | 145 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Small Cap Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 749 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 749 | 818 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 13 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 13 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 736 | 818 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 736 | 818 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | United States Commingled Debt Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 630 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 630 | 615 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 163 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 163 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 467 | 615 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 467 | 615 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Equity Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 617 | 723 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 617 | 723 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 563 | 706 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 563 | 706 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 54 | 17 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 54 | 17 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | US Treasury And US Government Sponsored Agency Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 2 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 11 | 2 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 11 | 2 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Residential - Commercial Backed Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 1 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | 1 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 0 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 1 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 963 | 1,109 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 963 | 1,109 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 940 | 1,088 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 940 | 1,088 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Corporate Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 23 | 21 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 27 | 23 | |||
Actual return on plan assets relating to assets still held at the reporting date | 0 | -1 | |||
Actual return on plan assets relating to assets sold during the period | 5 | -1 | |||
Purchases, sales and settlements | -9 | 0 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 23 | 21 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 24 | 9 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 24 | 9 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 1 | ||||
Actual return on plan assets relating to assets still held at the reporting date | 0 | ||||
Actual return on plan assets relating to assets sold during the period | 0 | ||||
Purchases, sales and settlements | 0 | ||||
Transfers from level 3 to level 2 | -1 | ||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 7 | 8 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 7 | 8 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | International Debt Securities [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 108 | 90 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 108 | 90 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Commodities Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 134 | 148 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 134 | 148 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Real Estate Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 80 | 104 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Private Equity Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 80 | 104 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 75 | 80 | |||
Actual return on plan assets relating to assets still held at the reporting date | 3 | 19 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | 2 | 5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 80 | 104 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 210 | 223 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 210 | 223 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Hedge Fund Of Funds Alternative Investments [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 12 | 12 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 12 | 12 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Other Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -49 | 92 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -49 | 92 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Interest Rate Swaps Derivatives [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 37 | 33 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 1 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 2 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | 0 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Insurance Contracts [Member] | Level 3 [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 37 | 33 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at beginning of period | 42 | 37 | |||
Actual return on plan assets relating to assets still held at the reporting date | 2 | 1 | |||
Actual return on plan assets relating to assets sold during the period | 0 | 0 | |||
Purchases, sales and settlements | -7 | -5 | |||
Transfers from level 3 to level 2 | 0 | ||||
Balance at end of period | 37 | 33 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Receivables And Payables Net [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 0 | [2] | -41 | ||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | 0 | [2] | -41 | ||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Account 401 H [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | -115 | -136 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | -115 | -136 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Total Trust Assets Not Including 401 H Assets [Member] | |||||
Defined benefit plan fair value of plan assets (Details) [Abstract] | |||||
Fair value at end of period | 4,156 | 4,632 | |||
Change in Fair Value of Level 3 Plan Assets [Roll Forward] | |||||
Balance at end of period | $4,156 | $4,632 | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 59.00% | 51.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 52.00% | [1] | |||
Target asset allocation - LKE Plans | 52.00% | [1] | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Equity Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 30.00% | 26.00% | [1] | ||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 17.00% | [3] | 13.00% | [1],[3] | |
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Growth Portfolio [Member] | Alternative Investments [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 12.00% | 12.00% | [1] | ||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 39.00% | 47.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 46.00% | [1] | |||
Target asset allocation - LKE Plans | 46.00% | [1] | |||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Debt Securities [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 40.00% | [3] | 44.00% | [1],[3] | |
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Immunizing Portfolio [Member] | Derivatives [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | -1.00% | 3.00% | [1] | ||
Louisville Gas And Electric Co [Member] | Pension Benefits United States [Member] | Master Trust [Member] | Liquidity Portfolio [Member] | |||||
Actual Allocation by Plan Asset (Details) [Abstract] | |||||
Percentage of trust assets | 2.00% | 2.00% | [1] | ||
Target Allocations (Details ) [Abstract] | |||||
Target asset allocation, weighted average | 2.00% | [1] | |||
Target asset allocation - LKE Plans | 2.00% | [1] | |||
[1] | Allocations exclude consideration of cash for the WKE Bargaining Employees' Retirement Plan and a group annuity contract held by the LG&E and KU Retirement Plan. | ||||
[2] | Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. | ||||
[3] | Includes commingled debt funds, which PPL treats as debt securities for asset allocation purposes. | ||||
[4] | Includes commingled debt funds. | ||||
[5] | Includes money market funds. | ||||
[6] | Includes commingled debt funds and debt securities. | ||||
[7] | Receivables and payables represent amounts for investments sold/purchased but not yet settled along with interest and dividends earned but not yet received. |
Retirement_and_Postemployment_5
Retirement and Postemployment Benefits (Savings Plans and Employee Stock Ownership Plan) (Details) (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Employee Stock Ownership Plan [Member] | |||
Employee Stock Ownership Plan (ESOP) Disclosures (Numeric) [Line Item] | |||
Contributions allocated based on this percentage of shares held in existing participants' accounts | 75.00% | ||
Contributions allocated based on this percentage of eligible compensation | 25.00% | ||
Compensation expense for ESOP | $8 | ||
ESOP shares outstanding at period end | 7,053,754 | ||
ESOP shares percentage of total common shares outstanding | 1.00% | ||
Deferred Savings Plans 401K [Member] | |||
Defined Contribution Pension And Other Postretirement Plans [Line Items] | |||
Employer contributions to deferred savings plans | 47 | 41 | 36 |
PPL Energy Supply LLC [Member] | Employee Stock Ownership Plan [Member] | |||
Employee Stock Ownership Plan (ESOP) Disclosures (Numeric) [Line Item] | |||
Contributions allocated based on this percentage of shares held in existing participants' accounts | 75.00% | ||
Contributions allocated based on this percentage of eligible compensation | 25.00% | ||
PPL Energy Supply LLC [Member] | Deferred Savings Plans 401K [Member] | |||
Defined Contribution Pension And Other Postretirement Plans [Line Items] | |||
Employer contributions to deferred savings plans | 14 | 12 | 12 |
PPL Electric Utilities Corp [Member] | Employee Stock Ownership Plan [Member] | |||
Employee Stock Ownership Plan (ESOP) Disclosures (Numeric) [Line Item] | |||
Contributions allocated based on this percentage of shares held in existing participants' accounts | 75.00% | ||
Contributions allocated based on this percentage of eligible compensation | 25.00% | ||
PPL Electric Utilities Corp [Member] | Deferred Savings Plans 401K [Member] | |||
Defined Contribution Pension And Other Postretirement Plans [Line Items] | |||
Employer contributions to deferred savings plans | 6 | 6 | 5 |
LG And E And KU Energy LLC [Member] | Deferred Savings Plans 401K [Member] | |||
Defined Contribution Pension And Other Postretirement Plans [Line Items] | |||
Employer contributions to deferred savings plans | 15 | 13 | 12 |
Louisville Gas And Electric Co [Member] | Deferred Savings Plans 401K [Member] | |||
Defined Contribution Pension And Other Postretirement Plans [Line Items] | |||
Employer contributions to deferred savings plans | 5 | 7 | 6 |
Kentucky Utilities Co [Member] | Deferred Savings Plans 401K [Member] | |||
Defined Contribution Pension And Other Postretirement Plans [Line Items] | |||
Employer contributions to deferred savings plans | $4 | $6 | $6 |
Jointly_Owned_Facilities_Detai
Jointly Owned Facilities (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Jointly Owned Facilities [Line Items] | ||
Percentage of interest by Northwestern in Colstrip Unit 4 | 30.00% | 30.00% |
Proportionate share by each party of operating and construction costs regarding Colstrip Unit 3 or 4 | 15.00% | 15.00% |
Susquehanna Nuclear Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 90.00% | 90.00% |
Electric plant | 4,746 | 4,686 |
Accumulated depreciation | 3,591 | 3,545 |
Construction work in progress | 117 | 76 |
Conemaugh Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 16.25% | 16.25% |
Electric plant | 330 | 247 |
Accumulated depreciation | 141 | 131 |
Construction work in progress | 2 | 63 |
Keystone Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 12.34% | 12.34% |
Electric plant | 213 | 207 |
Accumulated depreciation | 102 | 91 |
Construction work in progress | 2 | 2 |
Trimble County Units 1 and 2 Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 75.00% | 75.00% |
Electric plant | 1,311 | 1,288 |
Accumulated depreciation | 173 | 144 |
Construction work in progress | 91 | 54 |
Merrill Creek Reservoir [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 8.37% | 8.37% |
Other property | 22 | 22 |
Accumulated depreciation | 15 | 16 |
Colstrip Units 1 and 2 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 50.00% | 50.00% |
Colstrip Unit 3 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 30.00% | 30.00% |
PPL Energy Supply LLC [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Percentage of interest by Northwestern in Colstrip Unit 4 | 30.00% | 30.00% |
Proportionate share by each party of operating and construction costs regarding Colstrip Unit 3 or 4 | 15.00% | 15.00% |
PPL Energy Supply LLC [Member] | Susquehanna Nuclear Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 90.00% | 90.00% |
Electric plant | 4,746 | 4,686 |
Accumulated depreciation | 3,591 | 3,545 |
Construction work in progress | 117 | 76 |
PPL Energy Supply LLC [Member] | Conemaugh Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 16.25% | 16.25% |
Electric plant | 330 | 247 |
Accumulated depreciation | 141 | 131 |
Construction work in progress | 2 | 63 |
PPL Energy Supply LLC [Member] | Keystone Generation Plant [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 12.34% | 12.34% |
Electric plant | 213 | 207 |
Accumulated depreciation | 102 | 91 |
Construction work in progress | 2 | 2 |
PPL Energy Supply LLC [Member] | Merrill Creek Reservoir [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 8.37% | 8.37% |
Other property | 22 | 22 |
Accumulated depreciation | 15 | 16 |
PPL Energy Supply LLC [Member] | Colstrip Units 1 and 2 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 50.00% | 50.00% |
PPL Energy Supply LLC [Member] | Colstrip Unit 3 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 30.00% | 30.00% |
LG And E And KU Energy LLC [Member] | Trimble County Unit 1 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 75.00% | 75.00% |
Electric plant | 309 | 308 |
Accumulated depreciation | 51 | 42 |
Construction work in progress | 59 | 18 |
LG And E And KU Energy LLC [Member] | Trimble County Unit 2 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 75.00% | 75.00% |
Electric plant | 1,002 | 980 |
Accumulated depreciation | 122 | 102 |
Construction work in progress | 32 | 36 |
Louisville Gas And Electric Co [Member] | E W Brown Units 6 And 7 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 38.00% | 38.00% |
Electric plant | 40 | 40 |
Accumulated depreciation | 10 | 7 |
Construction work in progress | 1 | |
Louisville Gas And Electric Co [Member] | Paddys Run Unit 13 And E W Brown Unit 5 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 53.00% | 53.00% |
Electric plant | 47 | 46 |
Accumulated depreciation | 7 | 5 |
Construction work in progress | 1 | |
Louisville Gas And Electric Co [Member] | Trimble County Unit 1 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 75.00% | 75.00% |
Electric plant | 309 | 308 |
Accumulated depreciation | 51 | 42 |
Construction work in progress | 59 | 18 |
Louisville Gas And Electric Co [Member] | Trimble County Unit 2 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 14.25% | 14.25% |
Electric plant | 205 | 200 |
Accumulated depreciation | 23 | 19 |
Construction work in progress | 15 | 14 |
Louisville Gas And Electric Co [Member] | Trimble County Units 5 And 6 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 29.00% | 29.00% |
Electric plant | 29 | 29 |
Accumulated depreciation | 5 | 3 |
Louisville Gas And Electric Co [Member] | Trimble County Units 7 Through 10 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 37.00% | 37.00% |
Electric plant | 70 | 69 |
Accumulated depreciation | 11 | 7 |
Construction work in progress | 1 | |
Louisville Gas And Electric Co [Member] | Cane Run Unit 7 Combined Cycle Gas Turbine [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 22.00% | 22.00% |
Construction work in progress | 113 | 91 |
Kentucky Utilities Co [Member] | E W Brown Units 6 And 7 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 62.00% | 62.00% |
Electric plant | 65 | 64 |
Accumulated depreciation | 15 | 11 |
Construction work in progress | 1 | 2 |
Kentucky Utilities Co [Member] | Paddys Run Unit 13 And E W Brown Unit 5 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 47.00% | 47.00% |
Electric plant | 42 | 42 |
Accumulated depreciation | 6 | 4 |
Construction work in progress | 1 | |
Kentucky Utilities Co [Member] | Trimble County Unit 2 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 60.75% | 60.75% |
Electric plant | 797 | 780 |
Accumulated depreciation | 98 | 83 |
Construction work in progress | 17 | 22 |
Kentucky Utilities Co [Member] | Trimble County Units 5 And 6 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 71.00% | 71.00% |
Electric plant | 70 | 70 |
Accumulated depreciation | 11 | 8 |
Kentucky Utilities Co [Member] | Trimble County Units 7 Through 10 [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 63.00% | 63.00% |
Electric plant | 120 | 118 |
Accumulated depreciation | 18 | 12 |
Construction work in progress | 1 | 2 |
Kentucky Utilities Co [Member] | Cane Run Unit 7 Combined Cycle Gas Turbine [Member] | ||
Jointly Owned Facilities [Line Items] | ||
Ownership interest | 78.00% | 78.00% |
Construction work in progress | 403 | 317 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Energy Purchases, Energy Sales, Other Commitments and Legal Matters) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Energy Purchase Commitments (Numeric) [Abstract] | |||
Pre-tax charges incurred from coal contract modifications | $29,000,000 | ||
Frequency of competitive solicitations each plan year | twice | ||
Shortest term of layered short-term full requirement products (in months) | 3 | ||
Longest term of layered short-term full requirement products (in months) | 12 | ||
Recurring term of spot market product (in months) | 12 | ||
Hydroelectric License Commitments (Numeric) [Abstract] | |||
Number of hydroelectric facilities owned by PPL Montana sold | 11 | ||
Legal Matters - Sierra Club Litigation (Numeric) [Abstract] | |||
Number of separate claims included in the original complaint against PPL Montana | 39 | ||
Number of original claims against Colstrip that did not allege Prevention of Significant Deterioration but alleged Title V operating permit violations | 3 | ||
Average requested amount, per day per violation, of injuctive relief and civil penalities | 36,000,000 | ||
Amount of civil penalities to be used for beneficial mitigation projects | 100,000,000 | ||
Estimated number of post-2000 projects alleged not to be in compliance with the Clean Air Act | 40 | ||
Number of plant projects that had claims dismissed under alleged Clean Air Act violations | 3 | ||
Number of plant projects included in a second amended complaint under alleged Clean Air Act violations | 8 | ||
Legal Matters - Cane Run Environmental Claims (Numeric) [Abstract] | |||
Number of residents that filed class action suit | 6 | ||
Number of miles within plant that would include a class of residents | 4 | ||
Number of remaining unresolved Clean Air Act violation claims after July 2014 court ruling | 1 | ||
Regulatory Issues - Maryland Capacity Order (Numeric) [Abstract] | |||
Number electric utilities ordered to enter into long term contracts | 3 | ||
Capacity of natural gas-fired combined-cycle generating facility (in MW) | 661 | ||
Regulatory Issues - Pacific Northwest Markets (Numeric) [Abstract] | |||
Number of claims remaining unsettled at period end | 1 | ||
Settlement amount reached with one of the parties | 75,000 | ||
Amount of claim sought by City of Tacoma | 23,000,000 | ||
Amount for claims remaining unsettled at period end | 50,000,000 | ||
Regulatory Issues - FERC Market-Based Rate Authority (Numeric) [Abstract] | |||
Time from December 1998 that a subsidiary was required to respond to the FERC market analysis information request (in years) | 3 | ||
Frequency, after initial filing, that a subsidiary is required to respond to the FERC market analysis information request (in years) | 3 | ||
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | |||
Maximum per day penalties for reliability violations | 1,000,000 | ||
Power Purchase [Member] | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
2015 | 26,000,000 | ||
2016 | 26,000,000 | ||
2017 | 27,000,000 | ||
2018 | 29,000,000 | ||
2019 | 32,000,000 | ||
Thereafter | 736,000,000 | ||
Total future obligation | 876,000,000 | ||
Purchases | 25,000,000 | 26,000,000 | 29,000,000 |
PPL Energy Supply LLC [Member] | |||
Energy Purchase Commitments (Numeric) [Abstract] | |||
Pre-tax charges incurred from coal contract modifications | 29,000,000 | ||
Hydroelectric License Commitments (Numeric) [Abstract] | |||
Number of hydroelectric facilities owned by PPL Montana sold | 11 | ||
Legal Matters - Sierra Club Litigation (Numeric) [Abstract] | |||
Number of separate claims included in the original complaint against PPL Montana | 39 | ||
Number of original claims against Colstrip that did not allege Prevention of Significant Deterioration but alleged Title V operating permit violations | 3 | ||
Average requested amount, per day per violation, of injuctive relief and civil penalities | 36,000,000 | ||
Amount of civil penalities to be used for beneficial mitigation projects | 100,000,000 | ||
Estimated number of post-2000 projects alleged not to be in compliance with the Clean Air Act | 40 | ||
Number of plant projects that had claims dismissed under alleged Clean Air Act violations | 3 | ||
Number of plant projects included in a second amended complaint under alleged Clean Air Act violations | 8 | ||
Regulatory Issues - Maryland Capacity Order (Numeric) [Abstract] | |||
Number electric utilities ordered to enter into long term contracts | 3 | ||
Capacity of natural gas-fired combined-cycle generating facility (in MW) | 661 | ||
Regulatory Issues - Pacific Northwest Markets (Numeric) [Abstract] | |||
Number of claims remaining unsettled at period end | 1 | ||
Settlement amount reached with one of the parties | 75,000 | ||
Amount of claim sought by City of Tacoma | 23,000,000 | ||
Amount for claims remaining unsettled at period end | 50,000,000 | ||
Regulatory Issues - FERC Market-Based Rate Authority (Numeric) [Abstract] | |||
Time from December 1998 that a subsidiary was required to respond to the FERC market analysis information request (in years) | 3 | ||
Frequency, after initial filing, that a subsidiary is required to respond to the FERC market analysis information request (in years) | 3 | ||
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | |||
Maximum per day penalties for reliability violations | 1,000,000 | ||
PPL Electric Utilities Corp [Member] | |||
Energy Purchase Commitments (Numeric) [Abstract] | |||
Frequency of competitive solicitations each plan year | twice | ||
Shortest term of layered short-term full requirement products (in months) | 3 | ||
Longest term of layered short-term full requirement products (in months) | 12 | ||
Recurring term of spot market product (in months) | 12 | ||
Regulatory Issues - Maryland Capacity Order (Numeric) [Abstract] | |||
Number electric utilities ordered to enter into long term contracts | 3 | ||
Capacity of natural gas-fired combined-cycle generating facility (in MW) | 661 | ||
Regulatory Issues - FERC Market-Based Rate Authority (Numeric) [Abstract] | |||
Time from December 1998 that a subsidiary was required to respond to the FERC market analysis information request (in years) | 3 | ||
Frequency, after initial filing, that a subsidiary is required to respond to the FERC market analysis information request (in years) | 3 | ||
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | |||
Maximum per day penalties for reliability violations | 1,000,000 | ||
LG And E And KU Energy LLC [Member] | |||
Legal Matters - Cane Run Environmental Claims (Numeric) [Abstract] | |||
Number of residents that filed class action suit | 6 | ||
Number of miles within plant that would include a class of residents | 4 | ||
Number of remaining unresolved Clean Air Act violation claims after July 2014 court ruling | 1 | ||
Regulatory Issues - FERC Market-Based Rate Authority (Numeric) [Abstract] | |||
Time from December 1998 that a subsidiary was required to respond to the FERC market analysis information request (in years) | 3 | ||
Frequency, after initial filing, that a subsidiary is required to respond to the FERC market analysis information request (in years) | 3 | ||
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | |||
Maximum per day penalties for reliability violations | 1,000,000 | ||
LG And E And KU Energy LLC [Member] | Power Purchase [Member] | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
2015 | 26,000,000 | ||
2016 | 26,000,000 | ||
2017 | 27,000,000 | ||
2018 | 29,000,000 | ||
2019 | 32,000,000 | ||
Thereafter | 736,000,000 | ||
Total future obligation | 876,000,000 | ||
Purchases | 25,000,000 | 26,000,000 | 29,000,000 |
Louisville Gas And Electric Co [Member] | |||
Legal Matters - Cane Run Environmental Claims (Numeric) [Abstract] | |||
Number of residents that filed class action suit | 6 | ||
Number of miles within plant that would include a class of residents | 4 | ||
Number of remaining unresolved Clean Air Act violation claims after July 2014 court ruling | 1 | ||
Regulatory Issues - FERC Market-Based Rate Authority (Numeric) [Abstract] | |||
Time from December 1998 that a subsidiary was required to respond to the FERC market analysis information request (in years) | 3 | ||
Frequency, after initial filing, that a subsidiary is required to respond to the FERC market analysis information request (in years) | 3 | ||
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | |||
Maximum per day penalties for reliability violations | 1,000,000 | ||
Louisville Gas And Electric Co [Member] | Power Purchase [Member] | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
2015 | 18,000,000 | ||
2016 | 18,000,000 | ||
2017 | 19,000,000 | ||
2018 | 20,000,000 | ||
2019 | 22,000,000 | ||
Thereafter | 510,000,000 | ||
Total future obligation | 607,000,000 | ||
Purchases | 17,000,000 | 18,000,000 | 20,000,000 |
Kentucky Utilities Co [Member] | |||
Regulatory Issues - FERC Market-Based Rate Authority (Numeric) [Abstract] | |||
Time from December 1998 that a subsidiary was required to respond to the FERC market analysis information request (in years) | 3 | ||
Frequency, after initial filing, that a subsidiary is required to respond to the FERC market analysis information request (in years) | 3 | ||
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | |||
Maximum per day penalties for reliability violations | 1,000,000 | ||
Kentucky Utilities Co [Member] | Power Purchase [Member] | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
2015 | 8,000,000 | ||
2016 | 8,000,000 | ||
2017 | 8,000,000 | ||
2018 | 9,000,000 | ||
2019 | 10,000,000 | ||
Thereafter | 226,000,000 | ||
Total future obligation | 269,000,000 | ||
Purchases | $8,000,000 | $8,000,000 | $9,000,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Environmental Matter and Other) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
lb | T | |
T | ||
Y | ||
Integer | ||
Environmental Matters - Domestic - Air - Cross State Air Pollution Rule (formerly Clean Air Transport Rule) and Clean Air Interstate Rule (Numeric) [Abstract] | ||
Number of phases CSAPR will be implemented | 2 | |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ||
Period for compliance with final MACT standards (in years) | 3 | |
Possible period of extension to comply with final MACT standards (in years) | 1 | |
Environmental Matters - Domestic - Air - Greenhouse Gas Regulations and Tort Litigation (Numeric) [Abstract] | ||
Percentage reduction of greenhouse gas emissions below 2005 levels by 2020 | 17.00% | |
Estimate of "social cost of carbon" per metric ton prior to 2015 | 23.8 | |
Estimate of "social cost of carbon" per metric ton in 2015 | 38 | |
Number of electric utility companies affected by a September 2009 U.S. Court of Appeals for the Second Circuit decision | 5 | |
Number of companies cited in May 2011 Mississippi court filing | 87 | |
Number of indirect subsidaries cited in a May 2011 Mississippi court filing | 3 | |
Carbon dioxide emitted from PPL power plants during the reporting period (in tons) | 62,000,000 | 62,000,000 |
Number of pounds in a ton of carbon dioxide emissions | 2,000 | |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ||
Proposed percentage of New Jersey renewable energy portfolio standard by 2020 | 30.00% | |
Proposed percentage of New Jersey renewable energy portfolio standard by 2050 | 80.00% | |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ||
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 | |
Environmental Matters - Domestic - Water/Waste - Seepages and Groundwater Infiltration - Pennsylvania, Montana and Kentucky (Numeric) [Abstract] | ||
Period for PPL Montana to provide financial assurance to Montana Department of Environmental Quality (in years) | 5 | |
Environmental Matters - Domestic - Superfund and Other Remediation (Numeric) [Abstract] | ||
Period end recorded discounted liability for the cost of pumping and treating groundwater, and operating and maintaining a passive wetlands treatment center | $19,000,000 | |
Period of years used to calculate discounted environmental liability | 50 | |
Weighted average discount rate applied to calculate the liability (in hundredths) | 8.41% | |
Expected undiscounted payments per year related to pumping and treating groundwater, and operating and maintaining a passive wetlands treatment center after 2019 | 93,000,000 | |
Other - Nuclear Insurance (Numeric) [Abstract] | ||
Maximum public liability for claims resulting an incident at nuclear station | 13,600,000,000 | |
Maximum amount that could be assessed resulting from an incident at nuclear station | 255,000,000 | |
Maximum amount payable per year resulting from an incident at nuclear station | 38,000,000 | |
Maximum amount of insured property damage losses at nuclear station | 2,000,000,000 | |
Maximum assessment for retroactive premiums for nuclear outage insurance coverage | 46,000,000 | |
International Brotherhood Of Electrical Workers Local 1600 [Member] | ||
Other - Labor Union Agreements (Details) [Line Items] | ||
Term, in years, of newly approved labor agreement | 3 | |
Pension benefits recorded related to voluntary retirement election | 13,000,000 | |
Severance compensation recorded related to voluntary retirement election | 7,000,000 | |
Total seperation benefits recorded related to voluntary retirement election | 20,000,000 | |
Number of employees who elected voluntary retirement | 123 | |
PPL Energy Supply LLC [Member] | ||
Environmental Matters - Domestic - Air - Cross State Air Pollution Rule (formerly Clean Air Transport Rule) and Clean Air Interstate Rule (Numeric) [Abstract] | ||
Number of phases CSAPR will be implemented | 2 | |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ||
Period for compliance with final MACT standards (in years) | 3 | |
Possible period of extension to comply with final MACT standards (in years) | 1 | |
Environmental Matters - Domestic - Air - Greenhouse Gas Regulations and Tort Litigation (Numeric) [Abstract] | ||
Percentage reduction of greenhouse gas emissions below 2005 levels by 2020 | 17.00% | |
Estimate of "social cost of carbon" per metric ton prior to 2015 | 23.8 | |
Estimate of "social cost of carbon" per metric ton in 2015 | 38 | |
Number of electric utility companies affected by a September 2009 U.S. Court of Appeals for the Second Circuit decision | 5 | |
Number of companies cited in May 2011 Mississippi court filing | 87 | |
Carbon dioxide emitted from PPL power plants during the reporting period (in tons) | 26,000,000 | |
Number of pounds in a ton of carbon dioxide emissions | 2,000 | |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ||
Proposed percentage of New Jersey renewable energy portfolio standard by 2020 | 30.00% | |
Proposed percentage of New Jersey renewable energy portfolio standard by 2050 | 80.00% | |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ||
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 | |
Environmental Matters - Domestic - Water/Waste - Seepages and Groundwater Infiltration - Pennsylvania, Montana and Kentucky (Numeric) [Abstract] | ||
Period for PPL Montana to provide financial assurance to Montana Department of Environmental Quality (in years) | 5 | |
Environmental Matters - Domestic - Superfund and Other Remediation (Numeric) [Abstract] | ||
Period end recorded discounted liability for the cost of pumping and treating groundwater, and operating and maintaining a passive wetlands treatment center | 19,000,000 | |
Period of years used to calculate discounted environmental liability | 50 | |
Weighted average discount rate applied to calculate the liability (in hundredths) | 8.41% | |
Expected undiscounted payments per year related to pumping and treating groundwater, and operating and maintaining a passive wetlands treatment center after 2019 | 93,000,000 | |
Other - Nuclear Insurance (Numeric) [Abstract] | ||
Maximum public liability for claims resulting an incident at nuclear station | 13,600,000,000 | |
Maximum amount that could be assessed resulting from an incident at nuclear station | 255,000,000 | |
Maximum amount payable per year resulting from an incident at nuclear station | 38,000,000 | |
Maximum amount of insured property damage losses at nuclear station | 2,000,000,000 | |
Maximum assessment for retroactive premiums for nuclear outage insurance coverage | 46,000,000 | |
PPL Energy Supply LLC [Member] | International Brotherhood Of Electrical Workers Local 1600 [Member] | ||
Other - Labor Union Agreements (Details) [Line Items] | ||
Term, in years, of newly approved labor agreement | 3 | |
Pension benefits recorded related to voluntary retirement election | 11,000,000 | |
Severance compensation recorded related to voluntary retirement election | 6,000,000 | |
Total seperation benefits recorded related to voluntary retirement election | 17,000,000 | |
Number of employees who elected voluntary retirement | 105 | |
PPL Electric Utilities Corp [Member] | International Brotherhood Of Electrical Workers Local 1600 [Member] | ||
Other - Labor Union Agreements (Details) [Line Items] | ||
Term, in years, of newly approved labor agreement | 3 | |
Pension benefits recorded related to voluntary retirement election | 2,000,000 | |
Severance compensation recorded related to voluntary retirement election | 1,000,000 | |
Total seperation benefits recorded related to voluntary retirement election | $3,000,000 | |
Number of employees who elected voluntary retirement | 17 | |
LG And E And KU Energy LLC [Member] | ||
Environmental Matters - Domestic - Air - Cross State Air Pollution Rule (formerly Clean Air Transport Rule) and Clean Air Interstate Rule (Numeric) [Abstract] | ||
Number of phases CSAPR will be implemented | 2 | |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ||
Period for compliance with final MACT standards (in years) | 3 | |
Possible period of extension to comply with final MACT standards (in years) | 1 | |
Environmental Matters - Domestic - Air - Greenhouse Gas Regulations and Tort Litigation (Numeric) [Abstract] | ||
Percentage reduction of greenhouse gas emissions below 2005 levels by 2020 | 17.00% | |
Estimate of "social cost of carbon" per metric ton prior to 2015 | 23.8 | |
Estimate of "social cost of carbon" per metric ton in 2015 | 38 | |
Number of electric utility companies affected by a September 2009 U.S. Court of Appeals for the Second Circuit decision | 5 | |
Number of companies cited in May 2011 Mississippi court filing | 87 | |
Number of indirect subsidaries cited in a May 2011 Mississippi court filing | 3 | |
Number of pounds in a ton of carbon dioxide emissions | 2,000 | |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ||
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 | |
Louisville Gas And Electric Co [Member] | ||
Environmental Matters - Domestic - Air - Cross State Air Pollution Rule (formerly Clean Air Transport Rule) and Clean Air Interstate Rule (Numeric) [Abstract] | ||
Number of phases CSAPR will be implemented | 2 | |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ||
Period for compliance with final MACT standards (in years) | 3 | |
Possible period of extension to comply with final MACT standards (in years) | 1 | |
Environmental Matters - Domestic - Air - Greenhouse Gas Regulations and Tort Litigation (Numeric) [Abstract] | ||
Percentage reduction of greenhouse gas emissions below 2005 levels by 2020 | 17.00% | |
Estimate of "social cost of carbon" per metric ton prior to 2015 | 23.8 | |
Estimate of "social cost of carbon" per metric ton in 2015 | 38 | |
Number of electric utility companies affected by a September 2009 U.S. Court of Appeals for the Second Circuit decision | 5 | |
Number of companies cited in May 2011 Mississippi court filing | 87 | |
Carbon dioxide emitted from LKE power plants during the reporting period (in tons) | 18,000,000 | |
Number of pounds in a ton of carbon dioxide emissions | 2,000 | |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ||
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 | |
Kentucky Utilities Co [Member] | ||
Environmental Matters - Domestic - Air - Cross State Air Pollution Rule (formerly Clean Air Transport Rule) and Clean Air Interstate Rule (Numeric) [Abstract] | ||
Number of phases CSAPR will be implemented | 2 | |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ||
Period for compliance with final MACT standards (in years) | 3 | |
Possible period of extension to comply with final MACT standards (in years) | 1 | |
Environmental Matters - Domestic - Air - Greenhouse Gas Regulations and Tort Litigation (Numeric) [Abstract] | ||
Percentage reduction of greenhouse gas emissions below 2005 levels by 2020 | 17.00% | |
Estimate of "social cost of carbon" per metric ton prior to 2015 | 23.8 | |
Estimate of "social cost of carbon" per metric ton in 2015 | 38 | |
Number of electric utility companies affected by a September 2009 U.S. Court of Appeals for the Second Circuit decision | 5 | |
Number of companies cited in May 2011 Mississippi court filing | 87 | |
Carbon dioxide emitted from LKE power plants during the reporting period (in tons) | 18,000,000 | |
Number of pounds in a ton of carbon dioxide emissions | 2,000 | |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ||
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 |
Commitments_and_Contingencies_3
Commitments and Contingencies (Guarantees and Other Assurances) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | |
Guarantor Obligations [Line Items] | |||
Recorded liability for all guarantees | 38 | $26 | |
Other Guarantee (Numeric) [Abstract] | |||
Maximum aggregate coverage bodily injury and property damage | 225 | ||
PPL Guarantee [Member] | Indemnification Guarantee [Member] | Indemnifications Related To WPD Midlands Acquisition [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure is not estimateable | The maximum exposure and expiration of these indemnifications cannot be estimated because the maximum potential liability is not capped and the expiration date is not specified in the transaction documents. | ||
PPL Guarantee [Member] | Indemnification Guarantee [Member] | Indemnifications For Entities In Liquidation Sales Of Assets [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 12 | [1] | |
Expiration date | 2018 | ||
Minimum period that indemnifications generally expire (in years) | 2 | ||
Maximum period that indemnifications generally expire (in years) | 7 | ||
PPL Guarantee [Member] | Financial Guarantee [Member] | WPD Guarantee Of Pension And Other Obligations Of Unconsolidated Entities [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 119 | [2] | |
PPL Energy Supply Guarantee [Member] | Indemnification Guarantee [Member] | Indemnifications For Sales Of Assets [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 1,150 | [3] | |
Expiration date minimum | 2016 | ||
Expiration date maximum | 2025 | ||
PPL Electric Guarantee [Member] | Indemnification Guarantee [Member] | Guarantee Of Inventory Value [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 34 | [4] | |
Expiration date | 2017 | ||
LKE Guarantee [Member] | Indemnification Guarantee [Member] | Indemnification Of Lease Termination And Other Divestitures [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 301 | [5] | |
Expiration date minimum | 2021 | ||
Expiration date maximum | 2023 | ||
Term of guarantee (in years) | 12 | ||
Maximum exposure of guarantee related to terminated lease specific to operational, regulatory and environmental issues | 200 | ||
Maximum exposure of other guarantees expiring related to a terminated lease | 100 | ||
Charge recorded in discontinued operations relating to certain indemnification, pre-tax | 9 | ||
Charge recorded in discontinued operations relating to certain indemnification, after-tax | 5 | ||
LGE And KU Guarantee [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | |||
Guarantor Obligations [Line Items] | |||
Contingent potential proportionate share of OVEC's outstanding debt | 125 | ||
PPL Energy Supply LLC [Member] | |||
Guarantor Obligations [Line Items] | |||
Recorded liability for all guarantees | 13 | ||
PPL Energy Supply LLC [Member] | Indemnification Guarantee [Member] | Indemnifications For Sales Of Assets [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 1,150 | [3] | |
Expiration date minimum | 2016 | ||
Expiration date maximum | 2025 | ||
PPL Energy Supply LLC [Member] | Financial Guarantee [Member] | Letters Of Credit Issued On Behalf Of Affiliates [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 25 | [6] | |
Expiration date minimum | 2015 | ||
Expiration date maximum | 2016 | ||
PPL Electric Utilities Corp [Member] | Indemnification Guarantee [Member] | Guarantee Of Inventory Value [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 34 | [4] | |
Expiration date | 2017 | ||
LG And E And KU Energy LLC [Member] | |||
Guarantor Obligations [Line Items] | |||
Recorded liability for all guarantees | 19 | 19 | |
LG And E And KU Energy LLC [Member] | Indemnification Guarantee [Member] | Indemnification Of Lease Termination And Other Divestitures [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure | 301 | [5] | |
Expiration date minimum | 2021 | ||
Expiration date maximum | 2023 | ||
Term of guarantee (in years) | 12 | ||
Maximum exposure of guarantee related to terminated lease specific to operational, regulatory and environmental issues | 200 | ||
Maximum exposure of other guarantees expiring related to a terminated lease | 100 | ||
Charge recorded in discontinued operations relating to certain indemnification, pre-tax | 9 | ||
Charge recorded in discontinued operations relating to certain indemnification, after-tax | 5 | ||
LG And E And KU Energy LLC [Member] | LGE And KU Guarantee [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure is not estimateable | The maximum exposure and the expiration date of these potential obligations are not presently determinable. See "Energy Purchase Commitments" above for additional information on the OVEC power purchase contract. | ||
Contingent potential proportionate share of OVEC's outstanding debt | 125 | ||
Louisville Gas And Electric Co [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure is not estimateable | The maximum exposure and the expiration date of these potential obligations are not presently determinable. See "Energy Purchase Commitments" above for additional information on the OVEC power purchase contract. | ||
Louisville Gas And Electric Co [Member] | LGE And KU Guarantee [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | |||
Guarantor Obligations [Line Items] | |||
Contingent potential proportionate share of OVEC's outstanding debt | 87 | ||
Kentucky Utilities Co [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | |||
Guarantor Obligations [Line Items] | |||
Maximum exposure is not estimateable | The maximum exposure and the expiration date of these potential obligations are not presently determinable. See "Energy Purchase Commitments" above for additional information on the OVEC power purchase contract. | ||
Kentucky Utilities Co [Member] | LGE And KU Guarantee [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | |||
Guarantor Obligations [Line Items] | |||
Contingent potential proportionate share of OVEC's outstanding debt | 38 | ||
[1] | Indemnification to the liquidators and certain others for existing liabilities or expenses or liabilities arising during the liquidation process. The indemnifications are limited to distributions made from the subsidiary to its parent either prior or subsequent to liquidation or are not explicitly stated in the agreements. The indemnifications generally expire two to seven years subsequent to the date of dissolution of the entities. The exposure noted only includes those cases where the agreements provide for specific limits. | ||
In connection with their sales of various businesses, WPD and its affiliates have provided the purchasers with indemnifications that are standard for such transactions, including indemnifications for certain pre-existing liabilities and environmental and tax matters or have agreed to continue their obligations under existing third-party guarantees, either for a set period of time following the transactions or upon the condition that the purchasers make reasonable efforts to terminate the guarantees. Finally, WPD and its affiliates remain secondarily responsible for lease payments under certain leases that they have assigned to third parties. | |||
[2] | Relates to certain obligations of discontinued or modified electric associations that were guaranteed at the time of privatization by the participating members. Costs are allocated to the members and can be reallocated if an existing member becomes insolvent. At December 31, 2014, WPD has recorded an estimated discounted liability for which the expected payment/performance is probable. Neither the expiration date nor the maximum amount of potential payments for certain obligations is explicitly stated in the related agreements, and as a result, the exposure has been estimated. | ||
[3] | Indemnifications are governed by the specific sales agreement and include breach of the representations, warranties and covenants, and liabilities for certain other matters. PPL Energy Supply's maximum exposure with respect to certain indemnifications and the expiration of the indemnifications cannot be estimated because the maximum potential liability is not capped by the transaction documents and the expiration date is based on the applicable statute of limitations. The exposure and expiration date noted is based on those cases in which the agreements provide for specific limits.The exposure at December 31, 2014 includes amounts related to the sale of the Montana Hydroelectric facilities. See Note 8 for additional information related to the sale. | ||
[4] | A third party logistics firm provides inventory procurement and fulfillment services. The logistics firm has title to the inventory, however, upon termination of the contracts, PPL Electric has guaranteed to purchase any remaining inventory that has not been used or sold. | ||
[5] | LKE provides certain indemnifications, the most significant of which relate to the termination of the WKE lease in July 2009.These guarantees cover the due and punctual payment, performance and discharge by each party of its respective present and future obligations. The most comprehensive of these WKE-related guarantees is the LKE guarantee covering operational, regulatory and environmental commitments and indemnifications made by WKE under the WKE Transaction Termination Agreement. This guarantee has a term of 12 years ending July 2021, and a cumulative maximum exposure of $200 million. Certain items such as government fines and penalties fall outside the cumulative cap.Another WKE-related LKE guarantee covers other indemnifications, has a term expiring in 2023 and a maximum exposure of $100 million. In May 2012, LKE's indemnitee received an unfavorable arbitration panel's decision interpreting this matter, which granted LKE’s indemnitee certain rights of first refusal to purchase excess power at a market-based price rather than at an absolute fixed price. In January 2013, LKE's indemnitee commenced a proceeding in the Kentucky Court of Appeals appealing a December 2012 order of the Henderson Circuit Court, confirming the arbitration award.In May 2014, the Court of Appeals issued an opinion affirming the lower court decision. LKE's indemnitee filed a Motion for Discretionary Review with the Kentucky Supreme Court on October 2, 2014.LKE believes its indemnification obligations in this matter remain subject to various uncertainties, including potential for additional legal challenges regarding the arbitration decision as well as future prices, availability and demand for the subject excess power. LKE continues to evaluate various legal and commercial options with respect to this indemnification matter. The ultimate outcomes of the WKE termination-related indemnifications cannot be predicted at this time. In the second quarter of 2012, LKE adjusted its estimated liability for the WKE-related indemnifications by $9 million ($5 million after-tax), which is reflected in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The adjustment was recorded in the Kentucky Regulated segment for PPL. Additionally, LKE has indemnified various third parties related to historical obligations for other divested subsidiaries and affiliates. The indemnifications vary by entity and the maximum exposures range from being capped at the sale price to no specified maximum; LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. However, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE cannot predict the ultimate outcomes of indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | ||
[6] | Standby letter of credit arrangements under PPL Energy Supply's credit facilities for the purposes of protecting various third parties against nonperformance by PPL. This is not a guarantee by PPL on a consolidated basis. |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
PPL Energy Supply LLC [Member] | |||
Support Costs (Details) [Abstract] | |||
Support cost allocations from subsidiary of parent to registrant | $218 | $218 | $212 |
PPL Energy Supply LLC [Member] | PPL Electric [Member] | |||
PLR Contracts/Purchase of Accounts Receivable (Numeric) [Abstract] | |||
Credit exposure with affiliate under a Master Supply Agreement | 25 | ||
PPL Electric Utilities Corp [Member] | |||
Support Costs (Details) [Abstract] | |||
Support cost allocations from subsidiary of parent to registrant | 151 | 146 | 157 |
Intercompany Borrowings (Numeric) [Abstract] | |||
Notes receivable from affiliates | 0 | 150 | |
PPL Electric Utilities Corp [Member] | PPL Energy Funding [Member] | |||
Intercompany Borrowings (Numeric) [Abstract] | |||
Notes receivable from affiliates | 150 | ||
Intercompany borrowings demand note rate on outstanding borrowing | 1.92% | ||
LG And E And KU Energy LLC [Member] | |||
Support Costs (Details) [Abstract] | |||
Support cost allocations from subsidiary of parent to registrant | 15 | 15 | 15 |
Intercompany Borrowings (Numeric) [Abstract] | |||
Notes receivable from affiliates | 0 | 70 | |
Notes payable to affiliates | 41 | 0 | |
LG And E And KU Energy LLC [Member] | PPL Energy Funding [Member] | |||
Intercompany Borrowings (Numeric) [Abstract] | |||
Intercompany borrowings demand note rate on outstanding borrowing | 1.65% | ||
Notes payable to affiliates | 41 | ||
Intercompany note with affiliate maximum borrowing capacity | 225 | ||
Amount of capacity reduction to existing affiliate credit facility | 75 | ||
LG And E And KU Energy LLC [Member] | PPL Affiliate [Member] | |||
Intercompany Borrowings (Numeric) [Abstract] | |||
Notes receivable from affiliates | 70 | ||
Intercompany borrowings demand note rate on outstanding borrowing | 2.17% | ||
Intercompany note with affiliate maximum borrowing capacity | 300 | ||
Louisville Gas And Electric Co [Member] | |||
Intercompany Billings by LKS (Details) [Abstract] | |||
Intercompany billings between affiliates | 203 | 216 | 186 |
Kentucky Utilities Co [Member] | |||
Intercompany Billings by LKS (Details) [Abstract] | |||
Intercompany billings between affiliates | $225 | $207 | $161 |
Other_Income_Expense_net_Detai
Other Income (Expense) - net (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other Income [Line Items] | |||
Earnings on securities in nuclear decommissioning trust funds | $28 | $23 | $22 |
Interest income | 5 | 3 | 5 |
Allowance for funds used during construction - equity component | 11 | 10 | 10 |
Miscellaneous | 12 | 18 | 5 |
Other income | 56 | 54 | 42 |
Other Expense [Line Items] | |||
Economic foreign currency exchange contracts | -121 | 38 | 52 |
Charitable contributions | 30 | 25 | 10 |
Spinoff of PPL Energy Supply transaction costs | 19 | 0 | 0 |
Miscellaneous | 10 | 14 | 19 |
Other expense | -62 | 77 | 81 |
Other Income (Expense) - net | 118 | -23 | -39 |
PPL Energy Supply LLC [Member] | |||
Other Expense [Line Items] | |||
Other Income (Expense) - net | 30 | 32 | 19 |
PPL Electric Utilities Corp [Member] | |||
Other Expense [Line Items] | |||
Other Income (Expense) - net | 7 | 6 | 9 |
LG And E And KU Energy LLC [Member] | |||
Other Expense [Line Items] | |||
Other Income (Expense) - net | -9 | -7 | -15 |
Louisville Gas And Electric Co [Member] | |||
Other Expense [Line Items] | |||
Other Income (Expense) - net | -3 | -2 | -3 |
Kentucky Utilities Co [Member] | |||
Other Expense [Line Items] | |||
Other Income (Expense) - net | ($1) | ($3) | ($8) |
Fair_Value_Measurements_and_Cr3
Fair Value Measurements and Credit Concentration (Assets and Liabilities Measured on Recurring Basis Table) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Price risk management liabilities: | ||||
Total price risk management liabilities | $1,378 | $1,244 | ||
Recurring [Member] | ||||
Assets | ||||
Cash and cash equivalents | 1,751 | 1,102 | ||
Short-term investments | 120 | 0 | ||
Restricted cash and cash equivalents | 224 | [1] | 134 | [1] |
Price risk management assets: | ||||
Energy commodities assets | 1,318 | 1,188 | ||
Interest rate swaps assets | 0 | 91 | ||
Foreign currency contracts assets | 130 | 0 | ||
Cross-currency swaps assets | 29 | 0 | ||
Total price risk management assets | 1,477 | 1,279 | ||
NDT funds | 950 | 864 | ||
Auction rate securities | 10 | [2] | 19 | [2] |
Total assets | 4,532 | 3,398 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 1,217 | 1,070 | ||
Interest rate swaps liabilities | 156 | 36 | ||
Foreign currency contracts liabilities | 2 | 106 | ||
Cross-currency swaps liabilities | 3 | 32 | ||
Total price risk management liabilities | 1,378 | 1,244 | ||
Recurring [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 19 | 14 | ||
Recurring [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 611 | 547 | ||
Recurring [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 89 | 81 | ||
Recurring [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 99 | 95 | ||
Recurring [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 9 | 6 | ||
Recurring [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 76 | 77 | ||
Recurring [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 42 | 38 | ||
Recurring [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 3 | 5 | ||
Recurring [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 2 | 1 | ||
Recurring [Member] | Level 1 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 1,751 | 1,102 | ||
Short-term investments | 120 | 0 | ||
Restricted cash and cash equivalents | 224 | [1] | 134 | [1] |
Price risk management assets: | ||||
Energy commodities assets | 6 | 3 | ||
Interest rate swaps assets | 0 | 0 | ||
Foreign currency contracts assets | 0 | 0 | ||
Cross-currency swaps assets | 0 | 0 | ||
Total price risk management assets | 6 | 3 | ||
NDT funds | 609 | 550 | ||
Auction rate securities | 0 | 0 | ||
Total assets | 2,710 | 1,789 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 5 | 4 | ||
Interest rate swaps liabilities | 0 | 0 | ||
Foreign currency contracts liabilities | 0 | 0 | ||
Cross-currency swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 5 | 4 | ||
Recurring [Member] | Level 1 [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 19 | 14 | ||
Recurring [Member] | Level 1 [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 454 | 409 | ||
Recurring [Member] | Level 1 [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 37 | 33 | ||
Recurring [Member] | Level 1 [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 99 | 95 | ||
Recurring [Member] | Level 1 [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 1 [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 1 [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 1 [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 1 [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | -1 | ||
Recurring [Member] | Level 2 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Short-term investments | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Energy commodities assets | 1,171 | 1,123 | ||
Interest rate swaps assets | 0 | 91 | ||
Foreign currency contracts assets | 130 | 0 | ||
Cross-currency swaps assets | 28 | 0 | ||
Total price risk management assets | 1,329 | 1,214 | ||
NDT funds | 341 | 314 | ||
Auction rate securities | 0 | 0 | ||
Total assets | 1,670 | 1,528 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 1,182 | 1,028 | ||
Interest rate swaps liabilities | 156 | 36 | ||
Foreign currency contracts liabilities | 2 | 106 | ||
Cross-currency swaps liabilities | 3 | 32 | ||
Total price risk management liabilities | 1,343 | 1,202 | ||
Recurring [Member] | Level 2 [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 2 [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 157 | 138 | ||
Recurring [Member] | Level 2 [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 52 | 48 | ||
Recurring [Member] | Level 2 [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 2 [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 9 | 6 | ||
Recurring [Member] | Level 2 [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 76 | 77 | ||
Recurring [Member] | Level 2 [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 42 | 38 | ||
Recurring [Member] | Level 2 [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 3 | 5 | ||
Recurring [Member] | Level 2 [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 2 | 2 | ||
Recurring [Member] | Level 3 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Short-term investments | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Energy commodities assets | 141 | 62 | ||
Interest rate swaps assets | 0 | 0 | ||
Foreign currency contracts assets | 0 | 0 | ||
Cross-currency swaps assets | 1 | 0 | ||
Total price risk management assets | 142 | 62 | ||
NDT funds | 0 | 0 | ||
Auction rate securities | 10 | [2] | 19 | [2] |
Total assets | 152 | 81 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 30 | 38 | ||
Interest rate swaps liabilities | 0 | 0 | ||
Foreign currency contracts liabilities | 0 | 0 | ||
Cross-currency swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 30 | 38 | ||
Recurring [Member] | Level 3 [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
Recurring [Member] | Level 3 [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | ||||
Assets | ||||
Cash and cash equivalents | 352 | 239 | ||
Restricted cash and cash equivalents | 193 | [1] | 85 | [1] |
Price risk management assets: | ||||
Energy commodities assets | 1,318 | 1,188 | ||
Total price risk management assets | 1,318 | 1,188 | ||
NDT funds | 950 | 864 | ||
Auction rate securities | 8 | [2] | 16 | [2] |
Total assets | 2,821 | 2,392 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 1,217 | 1,070 | ||
Total price risk management liabilities | 1,217 | 1,070 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 19 | 14 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 611 | 547 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 89 | 81 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 99 | 95 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 9 | 6 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 76 | 77 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 42 | 38 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 3 | 5 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 2 | 1 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 352 | 239 | ||
Restricted cash and cash equivalents | 193 | [1] | 85 | [1] |
Price risk management assets: | ||||
Energy commodities assets | 6 | 3 | ||
Total price risk management assets | 6 | 3 | ||
NDT funds | 609 | 550 | ||
Auction rate securities | 0 | 0 | ||
Total assets | 1,160 | 877 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 5 | 4 | ||
Total price risk management liabilities | 5 | 4 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 19 | 14 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 454 | 409 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 37 | 33 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 99 | 95 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | -1 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Energy commodities assets | 1,171 | 1,123 | ||
Total price risk management assets | 1,171 | 1,123 | ||
NDT funds | 341 | 314 | ||
Auction rate securities | 0 | 0 | ||
Total assets | 1,512 | 1,437 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 1,182 | 1,028 | ||
Total price risk management liabilities | 1,182 | 1,028 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 157 | 138 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 52 | 48 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 9 | 6 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 76 | 77 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 42 | 38 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 3 | 5 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 2 | 2 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Energy commodities assets | 141 | 62 | ||
Total price risk management assets | 141 | 62 | ||
NDT funds | 0 | 0 | ||
Auction rate securities | 8 | [2] | 16 | [2] |
Total assets | 149 | 78 | ||
Price risk management liabilities: | ||||
Energy commodities liabilities | 30 | 38 | ||
Total price risk management liabilities | 30 | 38 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Cash And Cash Equivalents [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | United States Large Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | United States Mid Small Cap Equity Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | US Treasury Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | US Government Sponsored Agency Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Municipality Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Investment Grade Corporate Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Other Debt Securities [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Receivables Payables Net [Member] | ||||
Price risk management assets: | ||||
NDT funds | 0 | 0 | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | ||||
Assets | ||||
Cash and cash equivalents | 214 | 25 | ||
Restricted cash and cash equivalents | 3 | [3] | 12 | [3] |
Price risk management assets: | ||||
Total assets | 217 | 37 | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | Level 1 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 214 | 25 | ||
Restricted cash and cash equivalents | 3 | [3] | 12 | [3] |
Price risk management assets: | ||||
Total assets | 217 | 37 | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | Level 2 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Total assets | 0 | 0 | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | Level 3 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Total assets | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | ||||
Assets | ||||
Cash and cash equivalents | 21 | 35 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 21 | [4] | 22 | [4] |
Total assets | 42 | 57 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 114 | 36 | ||
Total price risk management liabilities | 114 | 36 | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | Level 1 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 21 | 35 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 21 | [4] | 22 | [4] |
Total assets | 42 | 57 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | Level 2 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 0 | 0 | ||
Total assets | 0 | 0 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 114 | 36 | ||
Total price risk management liabilities | 114 | 36 | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | Level 3 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 0 | 0 | ||
Total assets | 0 | 0 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 0 | 0 | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | ||||
Assets | ||||
Cash and cash equivalents | 10 | 8 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 21 | [4] | 22 | [4] |
Total assets | 31 | 30 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 81 | 36 | ||
Total price risk management liabilities | 81 | 36 | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | Level 1 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 10 | 8 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 21 | [4] | 22 | [4] |
Total assets | 31 | 30 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 0 | 0 | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | Level 2 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 0 | 0 | ||
Total assets | 0 | 0 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 81 | 36 | ||
Total price risk management liabilities | 81 | 36 | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | Level 3 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Cash collateral posted to counterparties | 0 | 0 | ||
Total assets | 0 | 0 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 0 | 0 | ||
Kentucky Utilities Co [Member] | Recurring [Member] | ||||
Assets | ||||
Cash and cash equivalents | 11 | 21 | ||
Price risk management assets: | ||||
Total assets | 11 | 21 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 33 | 0 | ||
Total price risk management liabilities | 33 | 0 | ||
Kentucky Utilities Co [Member] | Recurring [Member] | Level 1 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 11 | 21 | ||
Price risk management assets: | ||||
Total assets | 11 | 21 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | 0 | 0 | ||
Kentucky Utilities Co [Member] | Recurring [Member] | Level 2 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Total assets | 0 | 0 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 33 | 0 | ||
Total price risk management liabilities | 33 | 0 | ||
Kentucky Utilities Co [Member] | Recurring [Member] | Level 3 [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Price risk management assets: | ||||
Total assets | 0 | 0 | ||
Price risk management liabilities: | ||||
Interest rate swaps liabilities | 0 | 0 | ||
Total price risk management liabilities | $0 | $0 | ||
[1] | Current portion is included in "Restricted cash and cash equivalents" and long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||
[2] | Included in "Other investments" on the Balance Sheets. | |||
[3] | Current portion is included in "Other current assets" and long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||
[4] | Included in "Other noncurrent assets" on the Balance Sheets. Represents cash collateral posted to offset the exposure with counterparties related to certain interest rate swaps under master netting arrangements that are not offset. |
Fair_Value_Measurements_and_Cr4
Fair Value Measurements and Credit Concentration (Net Asset and Liability Measured on Recurring Basis Level 3 Unobservable Inputs Reconciliation Rollforward) (Details) (Level 3 [Member], USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | $43 | $39 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | -32 | -5 | ||
Included in OCI | -2 | [1] | 1 | [1] |
Purchases | -6 | |||
Sales | 58 | -2 | ||
Settlements | 50 | -3 | ||
Transfers into Level 3 | 8 | 16 | ||
Transfers out of Level 3 | 3 | -3 | ||
Balance at end of period | 122 | 43 | ||
Energy Commodities, Net [Member] | ||||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | 24 | 22 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | -32 | -5 | ||
Included in OCI | 0 | 0 | ||
Purchases | -6 | |||
Sales | 67 | -2 | ||
Settlements | 50 | -3 | ||
Transfers into Level 3 | 7 | 10 | ||
Transfers out of Level 3 | 1 | 2 | ||
Balance at end of period | 111 | 24 | ||
Auction Rate Securities [Member] | ||||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | 19 | 16 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | 0 | 0 | ||
Included in OCI | 0 | 0 | ||
Purchases | 0 | |||
Sales | -9 | 0 | ||
Settlements | 0 | 0 | ||
Transfers into Level 3 | 0 | 3 | ||
Transfers out of Level 3 | 0 | 0 | ||
Balance at end of period | 10 | 19 | ||
Cross Currency Swaps [Member] | ||||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | 0 | 1 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | 0 | 0 | ||
Included in OCI | -2 | [1] | 1 | [1] |
Purchases | 0 | |||
Sales | 0 | 0 | ||
Settlements | 0 | 0 | ||
Transfers into Level 3 | 1 | 3 | ||
Transfers out of Level 3 | 2 | -5 | ||
Balance at end of period | 1 | 0 | ||
PPL Energy Supply LLC [Member] | ||||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | 40 | 35 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | -32 | -5 | ||
Included in OCI | 1 | [2] | ||
Purchases | -6 | |||
Sales | 58 | -2 | ||
Settlements | 50 | -3 | ||
Transfers into Level 3 | 7 | 13 | ||
Transfers out of Level 3 | 1 | 2 | ||
Balance at end of period | 119 | 40 | ||
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | ||||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | 24 | 22 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | -32 | -5 | ||
Included in OCI | 0 | |||
Purchases | -6 | |||
Sales | 67 | -2 | ||
Settlements | 50 | -3 | ||
Transfers into Level 3 | 7 | 10 | ||
Transfers out of Level 3 | 1 | 2 | ||
Balance at end of period | 111 | 24 | ||
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | ||||
Reconciliation of net assets and liabilities | ||||
Balance at beginning of period | 16 | 13 | ||
Total realized/unrealized gains (losses) | ||||
Included in earnings | 0 | 0 | ||
Included in OCI | 1 | [2] | ||
Purchases | 0 | |||
Sales | -9 | 0 | ||
Settlements | 0 | 0 | ||
Transfers into Level 3 | 0 | 3 | ||
Transfers out of Level 3 | 0 | 0 | ||
Balance at end of period | $8 | $16 | ||
[1] | "Energy Commodities, net" and "Cross-Currency Swaps" are included in "Qualifying derivatives" and "Auction Rate Securities" are included in "Available-for-sale securities" on the Statements of Comprehensive Income. | |||
[2] | "Energy Commodities, net" are included in "Qualifying derivatives" and "Auction Rate Securities" are included in "Available-for-sale securities" on the Statements of Comprehensive Income. |
Fair_Value_Measurements_and_Cr5
Fair Value Measurements and Credit Concentration (Net Assets and Liabilities Measured on Recurring and Nonrecurring Basis Level 3 Significant Unobservable Inputs) (Details) (Level 3 [Member], USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 59 | [1] | 36 | [1] | ||
Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 100.00% | [2] | 100.00% | [2] | ||
Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 11.00% | [2] | 10.00% | [2] | ||
Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 52.00% | [2] | 86.00% | [2] | ||
Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | -1 | [3] | -12 | [3] | ||
Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 100.00% | [2] | 100.00% | [2] | ||
Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 9.00% | [2] | 100.00% | [2] | ||
Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 59.00% | [2] | 100.00% | [2] | ||
Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 3 | [4] | ||||
Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Historical settled prices used to model forward prices | 100.00% | [2] | ||||
Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Historical settled prices used to model forward prices | 100.00% | [2] | ||||
Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Historical settled prices used to model forward prices | 100.00% | [2] | ||||
Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 50 | [5] | ||||
Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 51.00% | [2] | ||||
Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 23.00% | [2] | ||||
Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 45.00% | [2] | ||||
Recurring [Member] | Auction Rate Securities [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 10 | [6] | 19 | [6] | ||
Recurring [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Modeled from SIFMA Index | 69.00% | [2] | 80.00% | [2] | ||
Recurring [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Modeled from SIFMA Index | 44.00% | [2] | 10.00% | [2] | ||
Recurring [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Modeled from SIFMA Index | 63.00% | [2] | 63.00% | [2] | ||
Recurring [Member] | Cross Currency Swaps [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 1 | [7] | ||||
Recurring [Member] | Cross Currency Swaps [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Credit valuation adjustment | 15.00% | [2] | ||||
Recurring [Member] | Cross Currency Swaps [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Credit valuation adjustment | 15.00% | [2] | ||||
Nonrecurring [Member] | Kerr Dam Project [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 29 | |||||
Nonrecurring [Member] | Kerr Dam Project [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate plant value | 38.00% | [8] | ||||
Nonrecurring [Member] | Kerr Dam Project [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate plant value | 38.00% | [8] | ||||
Nonrecurring [Member] | Kerr Dam Project [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate plant value | 38.00% | [8] | ||||
Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 0 | |||||
Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 0 | |||||
Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 59 | [1] | 36 | [1] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 100.00% | [2] | 100.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 11.00% | [2] | 10.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Natural Gas Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 52.00% | [2] | 86.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | -1 | [3] | -12 | [3] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 100.00% | [2] | 100.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 9.00% | [2] | 100.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 59.00% | [2] | 100.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 3 | [4] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Historical settled prices used to model forward prices | 100.00% | [2] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Historical settled prices used to model forward prices | 100.00% | [2] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Financial Transmission Rights Purchase Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Historical settled prices used to model forward prices | 100.00% | [2] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 50 | [5] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 51.00% | [2] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 23.00% | [2] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Energy Commodities [Member] | Heat Rate Options [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate forward prices | 45.00% | [2] | ||||
PPL Energy Supply LLC [Member] | Recurring [Member] | Auction Rate Securities [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 8 | [6] | 16 | [6] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Modeled from SIFMA Index | 69.00% | [2] | 80.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Modeled from SIFMA Index | 51.00% | [2] | 10.00% | [2] | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Modeled from SIFMA Index | 63.00% | [2] | 63.00% | [2] | ||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Kerr Dam Project [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 29 | |||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Kerr Dam Project [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate plant value | 38.00% | [8] | ||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Kerr Dam Project [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate plant value | 38.00% | [8] | ||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Kerr Dam Project [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Proprietary model used to calculate plant value | 38.00% | [8] | ||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 0 | |||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
LG And E And KU Energy LLC [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 0 | |||||
LG And E And KU Energy LLC [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
LG And E And KU Energy LLC [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
LG And E And KU Energy LLC [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||
Fair Value Inputs Assets Liabilities Quantitative Information [Line Items] | ||||||
Fair value of net asset and (liability) | 0 | |||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ||||||
Fair Value Inputs [Abstract] | ||||||
Long term forward price curves and capital expenditure projections | 100.00% | [8] | ||||
[1] | As the forward price of natural gas increases/(decreases), the fair value of purchase contracts increases/(decreases). As the forward price of natural gas increases/(decreases), the fair value of sales contracts (decreases)/increases. | |||||
[2] | For energy commodities and auction rate securities, therange and weighted average represent the percentage of fair value derived from the unobservable inputs. For cross-currency swaps, the range and weighted average represent the percentage change in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | |||||
[3] | As forward market prices increase/(decrease), the fair value of contracts (decreases)/increases. As volumetric assumptions for contracts in a gain position increase/(decrease), the fair value of contracts increases/(decreases). As volumetric assumptions for contracts in a loss position increase/(decrease), the fair value of the contracts (decreases)/increases. | |||||
[4] | As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | |||||
[5] | The proprietary model used to calculate fair value incorporates market heat rates, correlations and volatilities. As the market implied heat rate increases/(decreases), the fair value of the contracts increases/(decreases). | |||||
[6] | The model used to calculate fair value incorporates an assumption that the auctions will continue to fail. As the modeled forward rates of the SIFMA Index increase/(decrease), the fair value of the securities increases/(decreases). | |||||
[7] | The credit valuation adjustment incorporates projected probabilities of default and estimated recovery rates. As the credit valuation adjustment increases/(decreases), the fair value of the swaps (decreases)/increases. | |||||
[8] | The range and weighted average represent the percentage of fair value derived from the unobservable inputs. |
Fair_Value_Measurements_and_Cr6
Fair Value Measurements and Credit Concentration (Net Asset and Liability Measured on Recurring Basis Level 3 Gain Loss Included in Earnings and Other Recurring Numeric Data) (Details) (Level 3 [Member], USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | ($32) | ($5) |
Energy Commodities, Net [Member] | Unregulated Wholesale Energy [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | -77 | -36 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 50 | -23 |
Energy Commodities, Net [Member] | Unregulated Retail Energy [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | 23 | 25 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 37 | 24 |
Energy Commodities, Net [Member] | Fuel [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | 0 | 3 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 0 | 0 |
Energy Commodities, Net [Member] | Energy Purchases [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | 22 | 3 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | -4 | 1 |
PPL Energy Supply LLC [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | -32 | -5 |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Unregulated Wholesale Energy [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | -77 | -36 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 50 | -23 |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Unregulated Retail Energy [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | 23 | 25 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 37 | 24 |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Fuel [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | 0 | 3 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 0 | 0 |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Energy Purchases [Member] | ||
Net gains and losses on assets and liabilities [Abstract] | ||
Total gains (losses) included in earnings | 22 | 3 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ($4) | $1 |
Fair_Value_Measurements_and_Cr7
Fair Value Measurements and Credit Concentration (Nonrecurring Fair Value Measurements) (Details) (USD $) | 12 Months Ended | |||||||
In Millions, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2011 | ||||
Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | $25 | [1] | ||||||
Nonrecurring [Member] | Kerr Dam Project [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | 18 | [1],[2] | ||||||
Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | 65 | [1] | ||||||
Nonrecurring [Member] | Carrying Amount [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 25 | [3] | ||||||
Nonrecurring [Member] | Carrying Amount [Member] | Kerr Dam Project [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 47 | [2],[3] | ||||||
Nonrecurring [Member] | Carrying Amount [Member] | Corette Plant And Emission Allowances [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 65 | [3] | ||||||
Nonrecurring [Member] | Level 3 [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 0 | |||||||
Nonrecurring [Member] | Level 3 [Member] | Kerr Dam Project [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 29 | [2] | ||||||
Nonrecurring [Member] | Level 3 [Member] | Corette Plant And Emission Allowances [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 0 | |||||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Kerr Dam Project [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | 18 | [1],[2] | ||||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Corette Plant And Emission Allowances [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | 65 | [1] | ||||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Carrying Amount [Member] | Kerr Dam Project [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 47 | [2],[3] | ||||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Carrying Amount [Member] | Corette Plant And Emission Allowances [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 65 | [3] | ||||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Level 3 [Member] | Kerr Dam Project [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 29 | [2] | ||||||
PPL Energy Supply LLC [Member] | Nonrecurring [Member] | Level 3 [Member] | Corette Plant And Emission Allowances [Member] | Asset Class [Domain] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 0 | |||||||
LG And E And KU Energy LLC [Member] | Level 3 [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 0 | |||||||
LG And E And KU Energy LLC [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | 25 | [1] | ||||||
LG And E And KU Energy LLC [Member] | Nonrecurring [Member] | Carrying Amount [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 25 | [3] | ||||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Loss | 25 | [1] | ||||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Carrying Amount [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | 25 | [3] | ||||||
Kentucky Utilities Co [Member] | Nonrecurring [Member] | Level 3 [Member] | Equity Investment In Electric Energy Incorporated [Member] | ||||||||
Nonrecurring Fair Value Measurements [Abstract] | ||||||||
Nonrecurring measurement asset value | $0 | |||||||
[1] | The loss on the Kerr Dam Project was recorded in the Supply segment and included in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The loss on the Corette plant and emission allowances was recorded in the Supply segment and included in "Other operation and maintenance" on the Statement of Income. The loss on the EEI investment was recorded in the Kentucky Regulated segment and included in "Other-Than-Temporary Impairments" on the Statement of Income. | |||||||
[2] | The Kerr Dam Project was included in the sale of the Montana Hydroelectric facilities and the assets were removed from the Balance Sheet. See Note 8 for additional information. | |||||||
[3] | Represents carrying value before fair value measurement. |
Fair_Value_Measurements_and_Cr8
Fair Value Measurements and Credit Concentration (Financial Instruments Not Recorded at Fair Value and Credit Concentration) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Credit Concentration Associated with Financial Instruments (Numeric) [Abstract] | ||
Gross credit exposure from energy trading partners | $708 | |
Net credit exposure to energy trading partners | 374 | |
Dollar exposure to top ten energy trading counterparties | 164 | |
Percentage exposure to top ten energy trading counterparties | 44.00% | |
Number of counterparties in top ten that have investment grade credit rating | 9 | |
Percentage of top ten's exposure that consists of counterparties with investment grade credit rating (in hundreths) | 95.00% | |
Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 20,391 | 20,907 |
Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 22,670 | 22,177 |
PPL Energy Supply LLC [Member] | ||
Credit Concentration Associated with Financial Instruments (Numeric) [Abstract] | ||
Gross credit exposure from energy trading partners | 708 | |
Net credit exposure to energy trading partners | 374 | |
Dollar exposure to top ten energy trading counterparties | 164 | |
Percentage exposure to top ten energy trading counterparties | 44.00% | |
Number of counterparties in top ten that have investment grade credit rating | 9 | |
Percentage of top ten's exposure that consists of counterparties with investment grade credit rating (in hundreths) | 95.00% | |
PPL Energy Supply LLC [Member] | Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 2,218 | 2,525 |
PPL Energy Supply LLC [Member] | Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 2,204 | 2,658 |
PPL Electric Utilities Corp [Member] | Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 2,602 | 2,315 |
PPL Electric Utilities Corp [Member] | Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 2,990 | 2,483 |
LG And E And KU Energy LLC [Member] | Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 4,567 | 4,565 |
LG And E And KU Energy LLC [Member] | Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 4,946 | 4,672 |
Louisville Gas And Electric Co [Member] | Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 1,353 | 1,353 |
Louisville Gas And Electric Co [Member] | Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 1,455 | 1,372 |
Kentucky Utilities Co [Member] | Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | 2,091 | 2,091 |
Kentucky Utilities Co [Member] | Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Long-term debt | $2,313 | $2,155 |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Intro) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Master Netting Arrangements (Numeric) [Line Items] | |||
Obligation to return cash collateral obligation under master netting arrangement | $11 | $9 | |
Obligation to return cash collateral obligation under master netting arrangement | 10 | 7 | |
Cash collateral posted under master netting arrangements | 21 | 22 | |
Commodity Price Risk (Non-trading) [Line Items] | |||
Baseload generation fleet capacity (in MW) | 6,644 | ||
Intermediate and peaking generation fleet capacity (in MW) | 3,252 | ||
Commodity Price Risk (Non-trading) - Cash Flow Hedges (Numeric) [Abstract] | |||
Net unrealized after-tax gains (losses) expected to be reclassified into earnings within 12 months related to commodity price risk cash flow hedge contracts | 19 | ||
No or insignificant amounts previously recorded in AOCI reclassified to earnings related to commodity price risk cash flow hedge contracts | For 2014 and 2013, there were no reclassifications, while in 2012, such reclassifications were insignificant. | ||
No or immaterial hedge ineffectiveness related to commodity price risk cash flow hedge contracts | For 2014, 2013 and 2012, hedge ineffectiveness associated with energy derivatives was insignificant. | ||
Commodity Price Risk (Non-trading) - Economic Activity (Numeric) [Abstract] | |||
Year of expiration of the maximum maturity date of economic activity derivative contracts | 2019 | ||
Unregulated Retail Energy [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | 29 | 12 | -17 |
Unregulated Wholesale Energy [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | 325 | -721 | -311 |
Fuel [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | -27 | -4 | -14 |
Energy Purchases [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | -327 | 586 | 442 |
PPL Energy Supply LLC [Member] | |||
Master Netting Arrangements (Numeric) [Line Items] | |||
Obligation to return cash collateral obligation under master netting arrangement | 11 | 9 | |
Commodity Price Risk (Non-trading) [Line Items] | |||
Baseload generation fleet capacity (in MW) | 6,644 | ||
Intermediate and peaking generation fleet capacity (in MW) | 3,252 | ||
Commodity Price Risk (Non-trading) - Cash Flow Hedges (Numeric) [Abstract] | |||
Net unrealized after-tax gains (losses) expected to be reclassified into earnings within 12 months related to commodity price risk cash flow hedge contracts | 19 | ||
No or insignificant amounts previously recorded in AOCI reclassified to earnings related to commodity price risk cash flow hedge contracts | For 2014 and 2013, there were no reclassifications, while in 2012, such reclassifications were insignificant. | ||
No or immaterial hedge ineffectiveness related to commodity price risk cash flow hedge contracts | For 2014, 2013 and 2012, hedge ineffectiveness associated with energy derivatives was insignificant. | ||
Commodity Price Risk (Non-trading) - Economic Activity (Numeric) [Abstract] | |||
Year of expiration of the maximum maturity date of economic activity derivative contracts | 2019 | ||
PPL Energy Supply LLC [Member] | Unregulated Retail Energy [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | 29 | 12 | -17 |
PPL Energy Supply LLC [Member] | Unregulated Wholesale Energy [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | 325 | -721 | -311 |
PPL Energy Supply LLC [Member] | Fuel [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | -27 | -4 | -14 |
PPL Energy Supply LLC [Member] | Energy Purchases [Member] | |||
Pre-tax Gains (Losses) of Economic Activity - Unregulated Business (Details) [Abstract] | |||
Pre-tax gain (loss) | -327 | 586 | 442 |
LG And E And KU Energy LLC [Member] | |||
Master Netting Arrangements (Numeric) [Line Items] | |||
Cash collateral posted under master netting arrangements | 21 | 22 | |
Louisville Gas And Electric Co [Member] | |||
Master Netting Arrangements (Numeric) [Line Items] | |||
Cash collateral posted under master netting arrangements | $21 | $22 |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities (Commodity Volumes Volumetric Activity) (Details) | Dec. 31, 2014 | |
MWh | ||
Purchase Contracts [Member] | Power [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 741,005 | [1] |
Purchase Contracts [Member] | Power [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 3,426,579 | [1] |
Purchase Contracts [Member] | Capacity [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 6 | [1] |
Purchase Contracts [Member] | Capacity [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 3 | [1] |
Purchase Contracts [Member] | Gas [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 136,349,655 | [1] |
Purchase Contracts [Member] | Gas [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 42,144,483 | [1] |
Purchase Contracts [Member] | Gas [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 5,804,511 | [1] |
Purchase Contracts [Member] | Gas [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 8,969,760 | [1] |
Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 2,803 | [1] |
Purchase Contracts [Member] | Oil [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 421,019 | [1] |
Purchase Contracts [Member] | Oil [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 374,334 | [1] |
Purchase Contracts [Member] | Oil [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 251,670 | [1] |
Purchase Contracts [Member] | Oil [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 60,000 | [1] |
Sales Contracts [Member] | Power [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 39,946,543 | [1] |
Sales Contracts [Member] | Power [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 4,999,532 | [1] |
Sales Contracts [Member] | Capacity [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 6,604 | [1] |
Sales Contracts [Member] | Capacity [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 249 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Power [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 741,005 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Power [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 3,426,579 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Capacity [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 6 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Capacity [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 3 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 136,349,655 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 42,144,483 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 5,804,511 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 8,969,760 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 2,803 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 421,019 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 374,334 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | 2017 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 251,670 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | Thereafter [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 60,000 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Power [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 39,946,543 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Power [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 4,999,532 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Capacity [Member] | 2015 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 6,604 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Capacity [Member] | 2016 [Member] | ||
Commodity Volumetric Activity [Line Items] | ||
Notional amount (in units) | 249 | [1] |
[1] | Volumes for option contracts factor in the probability of an option being exercised and may be less than the notional amount of the option. |
Derivative_Instruments_and_Hed5
Derivative Instruments and Hedging Activities (Risk Disclosures) (Details) | 12 Months Ended | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | |
Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Economic Hedges [Member] | Economic Hedges [Member] | Economic Hedges [Member] | Net Investment Hedges [Member] | Net Investment Hedges [Member] | Net Investment Hedges [Member] | Net Investment Hedges [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | LG And E And KU Energy LLC [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Louisville Gas And Electric Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | |
USD ($) | Interest Rate Swap Contracts [Member] | Cross Currency Interest Rate Swaps [Member] | Interest Rate Swap Contracts [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Intercompany Loans [Member] | Combined Foreign Currency Contracts And Intercompany Loans [Member] | USD ($) | USD ($) | USD ($) | Cash Flow Hedges [Member] | Economic Hedges [Member] | USD ($) | USD ($) | USD ($) | Cash Flow Hedges [Member] | Economic Hedges [Member] | USD ($) | USD ($) | USD ($) | Cash Flow Hedges [Member] | |
USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | USD ($) | GBP (£) | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | |||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||||||||||||||||||
Interest Rate Risk And Foreign Currency Risk [Line Items] | ||||||||||||||||||||||||
Notional amount | $1,600,000,000 | $1,300,000,000 | $179,000,000 | $355,000,000 | £ 217,000,000 | $1,000,000,000 | $179,000,000 | $500,000,000 | $179,000,000 | $500,000,000 | ||||||||||||||
Interest Rate Risk - Cash Flow Hedges (Numeric) [Abstract] | ||||||||||||||||||||||||
Year of expiration of the maximum maturity date of interest rate cash flow hedge contracts | 2045 | 2045 | 2045 | 2045 | ||||||||||||||||||||
Latest maturity date of cross-currency cash flow hedge contracts | 2028 | |||||||||||||||||||||||
Insignificant or no hedge ineffectiveness associated with interest rate cash flow hedges | For 2014, 2013 and 2012, hedge ineffectiveness associated with interest rate derivatives was insignificant. | |||||||||||||||||||||||
No or insignificant after-tax gains (losses) previously recorded in AOCI reclassified to earnings related to interest rate cash flow hedge contracts | PPL had an insignificant amount for 2014 and no such reclassifications in 2013 and 2012. | |||||||||||||||||||||||
Net unrealized after-tax gains (losses) on interest rate cash flow hedge contracts expected to be reclassified into earnings during next 12 months | -10,000,000 | |||||||||||||||||||||||
Cash settlement on terminated swaps | 0 | 86,000,000 | 0 | 0 | 43,000,000 | 0 | 0 | 43,000,000 | 0 | |||||||||||||||
Interest Rate Risk - Economic Activity (Numeric) [Abstract] | ||||||||||||||||||||||||
Year of expiration of the maximum maturity date of interest rate economic activity contracts | 2033 | 2033 | 2033 | |||||||||||||||||||||
Foreign Currency Risk - Net Investment Hedges (Numeric) [Abstract] | ||||||||||||||||||||||||
Earliest settlement date of net investment hedge contracts | May-15 | |||||||||||||||||||||||
Latest settlement date of net investment hedge contracts | Jun-16 | |||||||||||||||||||||||
Net after tax gains (losses) on net investment hedges recognized in the foreign currency translation adjustment component of AOCI | 14,000,000 | |||||||||||||||||||||||
Insignificant or no net after tax gains (losses) on net investment hedges recognized in the foreign currency translation adjustment component of AOCI | At December 31, 2014 and 2013, PPL had $14 million and an insignificant amount of accumulated net investment hedge after tax gains (losses) that were included in the foreign currency translation adjustment component of AOCI. | For 2014 and 2013, PPL recognized insignificant amounts of net investment hedge gains (losses) on the intercompany loans in the foreign currency translation adjustment component of OCI. | ||||||||||||||||||||||
Foreign Currency Risk - Economic Activity (Numeric) [Abstract] | ||||||||||||||||||||||||
Total exposure hedged related to foreign currency contracts for anticipated earnings hedges classified as economic activity | $2,200,000,000 | £ 1,400,000,000 | ||||||||||||||||||||||
Earliest termination date of foreign currency contracts for anticipated earnings hedges classified as economic activity | Jan-15 | Jan-15 | ||||||||||||||||||||||
Latest termination date of foreign currency contracts for anticipated earnings hedges classified as economic activity | Dec-16 | Dec-16 |
Derivative_Instruments_and_Hed6
Derivative Instruments and Hedging Activities (Fair Values) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | $1,477 | $1,279 | ||
Liability value | 1,378 | 1,244 | ||
Derivatives Designated As Hedging Instruments [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 46 | [1] | 91 | [1] |
Liability value | 111 | [1] | 52 | [1] |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 12 | [1] | 82 | [1] |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 82 | [1],[2] | |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 12 | [1] | 0 | |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 34 | [1] | 9 | [1] |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 9 | [1],[2] | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 29 | [1],[2] | 0 | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 5 | [1] | 0 | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 97 | [1] | 20 | [1] |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 94 | [1],[2] | 0 | |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 3 | [1],[2] | 4 | [1],[2] |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 16 | [1] | |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 0 | ||
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 14 | [1] | 32 | [1] |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 14 | [1],[2] | 0 | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 28 | [1],[2] | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 4 | [1] | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 1,431 | [1] | 1,188 | [1] |
Liability value | 1,267 | [1] | 1,192 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 1,146 | [1] | 860 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 67 | [1] | 0 | |
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 1,079 | [1] | 860 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 285 | [1] | 328 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 46 | [1] | 0 | |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 239 | [1] | 328 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 1,029 | [1] | 809 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 5 | [1],[2] | 4 | [1],[2] |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 55 | [1] | |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 1,024 | [1] | 750 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 238 | [1] | 383 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 43 | [1],[2] | 32 | [1],[2] |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Cross Currency Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 0 | 0 | ||
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Foreign Currency Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 2 | [1] | 31 | [1] |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 193 | [1] | 320 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 1,318 | [1] | 1,188 | [1] |
Liability value | 1,217 | [1] | 1,070 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 1,079 | [1] | 860 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 1,079 | [1] | 860 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 239 | [1] | 328 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 239 | [1] | 328 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 1,024 | [1] | 750 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 1,024 | [1] | 750 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 193 | [1] | 320 | [1] |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 193 | [1] | 320 | [1] |
LG And E And KU Energy LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 66 | [1] | 0 | |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Liability value | 48 | [1] | 36 | [1] |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 5 | [1] | 4 | [1] |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 5 | [1] | 4 | [1] |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 43 | [1] | 32 | [1] |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 43 | [1] | 32 | [1] |
Louisville Gas And Electric Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Louisville Gas And Electric Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 33 | [1] | 0 | |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 48 | [1] | 36 | [1] |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | |||
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 5 | [1] | 4 | [1] |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | 5 | [1] | 4 | [1] |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 43 | [1] | 32 | [1] |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | |||
Liability value | 43 | [1] | 32 | [1] |
Kentucky Utilities Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Asset value | 0 | 0 | ||
Kentucky Utilities Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ||||
Fair Values by Balance Sheet Location [Abstract] | ||||
Liability value | $33 | [1] | $0 | |
[1] | Represents the location on the Balance Sheets. | |||
[2] | Excludes accrued interest, if applicable |
Derivative_Instruments_and_Hed7
Derivative Instruments and Hedging Activities (Gains and Losses) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value Hedges [Member] | Interest Rate Swaps [Member] | Interest Expense [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | $0 | ||
Gain (loss) recognized in income on related item | 3 | ||
Cash Flow Hedges [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 85 | 163 | 712 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 2 | 1 | -3 |
Cash Flow Hedges [Member] | Other Comprehensive Income [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | -33 | 86 | 71 |
Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Other Comprehensive Income [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | -91 | 127 | -28 |
Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Interest Expense [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | -18 | -20 | -18 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 2 | 0 | 0 |
Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Other Income (Expense) Net [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 1 | ||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | ||
Cash Flow Hedges [Member] | Cross Currency Swaps [Member] | Other Comprehensive Income [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | 58 | -41 | -15 |
Cash Flow Hedges [Member] | Cross Currency Swaps [Member] | Interest Expense [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 4 | 1 | -2 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 |
Cash Flow Hedges [Member] | Cross Currency Swaps [Member] | Other Income (Expense) Net [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 57 | -28 | -23 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 |
Cash Flow Hedges [Member] | Commodity Contracts [Member] | Other Comprehensive Income [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | 0 | 0 | 114 |
Cash Flow Hedges [Member] | Commodity Contracts [Member] | Depreciation [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 2 | 2 | 2 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 |
Cash Flow Hedges [Member] | Commodity Contracts [Member] | Energy Purchases [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 31 | -58 | -136 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | -2 |
Cash Flow Hedges [Member] | Commodity Contracts [Member] | Other Operation And Maintenance [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 3 | ||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | ||
Net Investment Hedges [Member] | Foreign Currency Contracts [Member] | Other Comprehensive Income [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | 23 | -14 | -7 |
Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | -66 | 0 | 0 |
Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Liabilities Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | 0 | 72 | 14 |
Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Unregulated Wholesale Energy [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 1 | 240 | 838 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 1 | -1 |
Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Discontinued Operations [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 8 | 23 | 50 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 |
Derivatives Not Designated As Hedging Instruments [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -221 | 26 | 204 |
Derivatives Not Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | -12 | 22 | 1 |
Derivatives Not Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | Interest Expense [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -8 | -8 | -8 |
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Unregulated Wholesale Energy [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -1,353 | -99 | 1,182 |
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Fuel [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -30 | 2 | 0 |
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Energy Purchases [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 1,013 | 130 | -965 |
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Unregulated Retail Energy [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 30 | 25 | 30 |
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Discontinued Operations [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 6 | 14 | 17 |
Derivatives Not Designated As Hedging Instruments [Member] | Foreign Currency Contracts [Member] | Other Income (Expense) Net [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 121 | -38 | -52 |
PPL Energy Supply LLC [Member] | Cash Flow Hedges [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | 0 | 0 | 114 |
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 42 | 207 | 754 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 1 | -3 |
PPL Energy Supply LLC [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in OCI on derivative (effective portion) | 0 | 0 | 114 |
PPL Energy Supply LLC [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Depreciation [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 2 | 2 | 2 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 |
PPL Energy Supply LLC [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Energy Purchases [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 31 | -58 | -136 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | -2 |
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Unregulated Wholesale Energy [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 1 | 240 | 838 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 1 | -1 |
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Discontinued Operations [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 8 | 23 | 50 |
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -334 | 72 | 264 |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Unregulated Wholesale Energy [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -1,353 | -99 | 1,182 |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Fuel [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | -30 | 2 | 0 |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Energy Purchases [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 1,013 | 130 | -965 |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Unregulated Retail Energy [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 30 | 25 | 30 |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Discontinued Operations [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized in income on derivative | 6 | 14 | 17 |
LG And E And KU Energy LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gains (losses) recognized as regulatory asset on derivative | -66 | 0 | 0 |
LG And E And KU Energy LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Liabilities Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | 0 | 72 | 14 |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | -12 | 22 | 1 |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | Interest Expense [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | -8 | -8 | -8 |
Louisville Gas And Electric Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gains (losses) recognized as regulatory asset on derivative | -33 | 0 | 0 |
Louisville Gas And Electric Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Liabilities Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | 0 | 36 | 7 |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | -12 | 22 | 1 |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | Interest Expense [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | -8 | -8 | -8 |
Kentucky Utilities Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Assets Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gains (losses) recognized as regulatory asset on derivative | -33 | 0 | 0 |
Kentucky Utilities Co [Member] | Derivatives Designated As Hedging Instruments [Member] | Cash Flow Hedges [Member] | Interest Rate Swaps [Member] | Regulatory Liabilities Noncurrent [Member] | |||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | |||
Gain (loss) recognized as regulatory liabilities/assets | $0 | $36 | $7 |
Derivative_Instruments_and_Hed8
Derivative Instruments and Hedging Activities (Offseting Derivative Instruments and Credit Risk-Related Features) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | |
In Millions, unless otherwise specified | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross assets | $1,477 | $1,279 | |
Derivative instruments eligible for offset - assets | 1,125 | 973 | |
Cash collateral received eligible for offset - assets | 10 | 7 | |
Net assets | 342 | 299 | |
Gross liabilities | 1,378 | 1,244 | |
Derivative instruments eligible for offset - liabilities | 1,125 | 973 | |
Cash collateral pledged eligible for offset - liabilities | 79 | 24 | |
Net liabilities | 174 | 247 | |
Credit Risk-Related Contingent Features [Abstract] | |||
Aggregate fair value of derivative instruments in a net liability position with credit risk-related contingent features | 162 | ||
Aggregate fair value of collateral posted on these derivative instruments | 127 | ||
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 71 | [1],[2] | |
Energy Commodities [Member] | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross assets | 1,318 | 1,188 | |
Derivative instruments eligible for offset - assets | 1,060 | 912 | |
Cash collateral received eligible for offset - assets | 10 | 7 | |
Net assets | 248 | 269 | |
Gross liabilities | 1,217 | 1,070 | |
Derivative instruments eligible for offset - liabilities | 1,060 | 912 | |
Cash collateral pledged eligible for offset - liabilities | 58 | 1 | |
Net liabilities | 99 | 157 | |
Treasury Derivatives [Member] | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross assets | 159 | 91 | |
Derivative instruments eligible for offset - assets | 65 | 61 | |
Net assets | 94 | 30 | |
Gross liabilities | 161 | 174 | |
Derivative instruments eligible for offset - liabilities | 65 | 61 | |
Cash collateral pledged eligible for offset - liabilities | 21 | 23 | |
Net liabilities | 75 | 90 | |
PPL Energy Supply LLC [Member] | |||
Credit Risk-Related Contingent Features [Abstract] | |||
Aggregate fair value of derivative instruments in a net liability position with credit risk-related contingent features | 98 | ||
Aggregate fair value of collateral posted on these derivative instruments | 106 | ||
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 26 | [1],[2] | |
PPL Energy Supply LLC [Member] | Energy Commodities [Member] | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross assets | 1,318 | 1,188 | |
Derivative instruments eligible for offset - assets | 1,060 | 912 | |
Cash collateral received eligible for offset - assets | 10 | 7 | |
Net assets | 248 | 269 | |
Gross liabilities | 1,217 | 1,070 | |
Derivative instruments eligible for offset - liabilities | 1,060 | 912 | |
Cash collateral pledged eligible for offset - liabilities | 58 | 1 | |
Net liabilities | 99 | 157 | |
LG And E And KU Energy LLC [Member] | |||
Credit Risk-Related Contingent Features [Abstract] | |||
Aggregate fair value of derivative instruments in a net liability position with credit risk-related contingent features | 30 | ||
Aggregate fair value of collateral posted on these derivative instruments | 21 | ||
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 10 | [1] | |
LG And E And KU Energy LLC [Member] | Treasury Derivatives [Member] | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross liabilities | 114 | 36 | |
Cash collateral pledged eligible for offset - liabilities | 20 | 20 | |
Net liabilities | 94 | 16 | |
Louisville Gas And Electric Co [Member] | |||
Credit Risk-Related Contingent Features [Abstract] | |||
Aggregate fair value of derivative instruments in a net liability position with credit risk-related contingent features | 30 | ||
Aggregate fair value of collateral posted on these derivative instruments | 21 | ||
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 10 | [1] | |
Louisville Gas And Electric Co [Member] | Treasury Derivatives [Member] | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross liabilities | 81 | 36 | |
Cash collateral pledged eligible for offset - liabilities | 20 | 20 | |
Net liabilities | 61 | 16 | |
Kentucky Utilities Co [Member] | Treasury Derivatives [Member] | |||
Offsetting Assets And Liabilities [Line Items] | |||
Gross liabilities | 33 | ||
Net liabilities | $33 | ||
[1] | Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||
[2] | During the second quarter of 2014, PPL Energy Supply experienced a downgrade in its corporate credit ratings to below investment grade. Amounts related to PPL Energy Supply represent net liability positions subject to further adequate assurance features. |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Goodwill) (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at beginning of period | $4,225 | [1] | $4,158 | [1] | ||
Allocation to discontinued operations | -82 | [2] | 0 | |||
Effect of foreign currency exchange rates | -138 | 67 | ||||
Balance at end of period | 4,005 | [1] | 4,225 | [1] | ||
Kentucky Regulated [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at beginning of period | 662 | [1] | ||||
Balance at end of period | 662 | [1] | 662 | [1] | 662 | [1] |
United Kingdom Regulated [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at beginning of period | 3,143 | [1] | 3,076 | [1] | ||
Effect of foreign currency exchange rates | -138 | 67 | ||||
Balance at end of period | 3,005 | [1] | 3,143 | [1] | ||
Supply [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at beginning of period | 420 | [1] | 420 | [1] | ||
Allocation to discontinued operations | -82 | [2] | 0 | |||
Balance at end of period | 338 | [1] | 420 | [1] | ||
PPL Energy Supply LLC [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at end of period | 72 | 86 | ||||
LG And E And KU Energy LLC [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at end of period | 996 | 996 | ||||
Louisville Gas And Electric Co [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at end of period | 389 | 389 | ||||
Kentucky Utilities Co [Member] | ||||||
Changes in the Carrying Amount of Goodwill by Segment [Roll Forward] | ||||||
Balance at end of period | $607 | $607 | ||||
[1] | There were no accumulated impairment losses related to goodwill. | |||||
[2] | Represents goodwill allocated to the Montana hydroelectric generating facilities that were sold in November 2014. See Note 8 for additionalinformation. |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets (Other Intangibles) (Details) (USD $) | 12 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | $1,062 | $1,060 | |||
Accumulated amortization | 396 | 364 | |||
Not subject to amortization due to indefinite life: [Line Items] | |||||
Gross carrying amount | 266 | 255 | |||
Gross carrying amount - other intangible assets | 1,328 | 1,315 | |||
Land And Transmission Rights [Member] | |||||
Not subject to amortization due to indefinite life: [Line Items] | |||||
Gross carrying amount | 16 | 16 | |||
Easements [Member] | |||||
Not subject to amortization due to indefinite life: [Line Items] | |||||
Gross carrying amount | 250 | 239 | |||
Contracts [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 408 | [1] | 408 | [1] | |
Accumulated amortization | 250 | 202 | |||
Land And Transmission Rights [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 359 | 331 | |||
Accumulated amortization | 121 | 117 | |||
Emission Allowances And Renewable Energy Credits [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 15 | [2] | 16 | [2] | |
Accumulated amortization | 0 | 0 | |||
Amortization expense | 24 | 23 | 12 | ||
Licenses And Other [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 280 | [3] | 305 | [3] | |
Accumulated amortization | 25 | [3] | 45 | [3] | |
Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 57 | 61 | 61 | ||
Forecasted amortization in 2015 | 58 | ||||
Forecasted amortization in 2016 | 34 | ||||
Forecasted amortization in 2017 | 17 | ||||
Forecasted amortization in 2018 | 17 | ||||
Forecasted amortization in 2019 | 17 | ||||
Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 47 | 51 | 47 | ||
Forecasted amortization in 2015 | 50 | ||||
Forecasted amortization in 2016 | 26 | ||||
Forecasted amortization in 2017 | 9 | ||||
Forecasted amortization in 2018 | 9 | ||||
Forecasted amortization in 2019 | 9 | ||||
Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With No Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 10 | 10 | 14 | ||
Forecasted amortization in 2015 | 8 | ||||
Forecasted amortization in 2016 | 8 | ||||
Forecasted amortization in 2017 | 8 | ||||
Forecasted amortization in 2018 | 8 | ||||
Forecasted amortization in 2019 | 8 | ||||
PPL Energy Supply LLC [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 297 | 323 | |||
Accumulated amortization | 33 | 53 | |||
PPL Energy Supply LLC [Member] | Land And Transmission Rights [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 17 | 17 | |||
Accumulated amortization | 14 | 14 | |||
PPL Energy Supply LLC [Member] | Emission Allowances And Renewable Energy Credits [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 10 | [2] | 11 | [2] | |
Accumulated amortization | 0 | 0 | |||
Amortization expense | 24 | 23 | 12 | ||
PPL Energy Supply LLC [Member] | Licenses And Other [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 270 | [3] | 295 | [3] | |
Accumulated amortization | 19 | [3] | 39 | [3] | |
PPL Energy Supply LLC [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 4 | 5 | 9 | ||
PPL Electric Utilities Corp [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 325 | 298 | |||
Accumulated amortization | 106 | 103 | |||
Not subject to amortization due to indefinite life: [Line Items] | |||||
Gross carrying amount - other intangible assets | 341 | 314 | |||
PPL Electric Utilities Corp [Member] | Land And Transmission Rights [Member] | |||||
Not subject to amortization due to indefinite life: [Line Items] | |||||
Gross carrying amount | 16 | 16 | |||
PPL Electric Utilities Corp [Member] | Land And Transmission Rights [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 321 | 293 | |||
Accumulated amortization | 105 | 102 | |||
PPL Electric Utilities Corp [Member] | Licenses And Other [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 4 | 5 | |||
Accumulated amortization | 1 | 1 | |||
LG And E And KU Energy LLC [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 419 | 419 | |||
Accumulated amortization | 245 | 198 | |||
LG And E And KU Energy LLC [Member] | Coal Contracts [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 269 | [4] | 269 | [4] | |
Accumulated amortization | 210 | [4] | 171 | [4] | |
LG And E And KU Energy LLC [Member] | Land And Transmission Rights [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 21 | 20 | |||
Accumulated amortization | 2 | 2 | |||
LG And E And KU Energy LLC [Member] | Emission Allowances [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 3 | [2] | 4 | [2] | |
Accumulated amortization | 0 | 0 | |||
LG And E And KU Energy LLC [Member] | Ohio Valley Electric Corporation Power Purchase Agreement [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 126 | [5] | 126 | [5] | |
Accumulated amortization | 33 | 25 | |||
LG And E And KU Energy LLC [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 47 | 52 | 47 | ||
LG And E And KU Energy LLC [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 47 | 51 | 47 | ||
Forecasted amortization in 2015 | 50 | ||||
Forecasted amortization in 2016 | 26 | ||||
Forecasted amortization in 2017 | 9 | ||||
Forecasted amortization in 2018 | 9 | ||||
Forecasted amortization in 2019 | 9 | ||||
LG And E And KU Energy LLC [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With No Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 0 | 1 | 0 | ||
Louisville Gas And Electric Co [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 219 | 219 | |||
Accumulated amortization | 122 | 99 | |||
Louisville Gas And Electric Co [Member] | Coal Contracts [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 124 | [4] | 124 | [4] | |
Accumulated amortization | 98 | [4] | 81 | [4] | |
Louisville Gas And Electric Co [Member] | Land And Transmission Rights [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 7 | 7 | |||
Accumulated amortization | 1 | 1 | |||
Louisville Gas And Electric Co [Member] | Emission Allowances [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 1 | 1 | |||
Accumulated amortization | 0 | 0 | |||
Louisville Gas And Electric Co [Member] | Ohio Valley Electric Corporation Power Purchase Agreement [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 87 | [5] | 87 | [5] | |
Accumulated amortization | 23 | 17 | |||
Louisville Gas And Electric Co [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 23 | 23 | 23 | ||
Forecasted amortization in 2015 | 24 | ||||
Forecasted amortization in 2016 | 13 | ||||
Forecasted amortization in 2017 | 6 | ||||
Forecasted amortization in 2018 | 6 | ||||
Forecasted amortization in 2019 | 6 | ||||
Kentucky Utilities Co [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 200 | 200 | |||
Accumulated amortization | 123 | 99 | |||
Kentucky Utilities Co [Member] | Coal Contracts [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 145 | [4] | 145 | [4] | |
Accumulated amortization | 112 | [4] | 90 | [4] | |
Kentucky Utilities Co [Member] | Land And Transmission Rights [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 14 | 13 | |||
Accumulated amortization | 1 | 1 | |||
Kentucky Utilities Co [Member] | Emission Allowances [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 2 | [2] | 3 | [2] | |
Accumulated amortization | 0 | 0 | |||
Kentucky Utilities Co [Member] | Ohio Valley Electric Corporation Power Purchase Agreement [Member] | |||||
Subject to amortization: [Abstract] | |||||
Gross carrying amount | 39 | [5] | 39 | [5] | |
Accumulated amortization | 10 | 8 | |||
Kentucky Utilities Co [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 24 | 29 | 24 | ||
Kentucky Utilities Co [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | 24 | 28 | 24 | ||
Forecasted amortization in 2015 | 26 | ||||
Forecasted amortization in 2016 | 13 | ||||
Forecasted amortization in 2017 | 3 | ||||
Forecasted amortization in 2018 | 3 | ||||
Forecasted amortization in 2019 | 3 | ||||
Kentucky Utilities Co [Member] | Other Intangibles Excluding Emission Allowances And Or Renewable Energy Credits With No Regulatory Offset [Member] | |||||
Subject to amortization: [Abstract] | |||||
Amortization expense | $0 | $1 | $0 | ||
[1] | Gross carrying amount includes the fair value at the acquisition date of the OVEC power purchase contract and coal contracts with terms favorable to market recognized as a result of the 2010 acquisition of LKE by PPL. Offsetting regulatory liabilities were recorded related to these contracts, which are being amortized over the same period as the intangible assets, eliminating any income statement impact. This is referred to as "regulatory offset" in the tables below. See Note 6 for additional information. | ||||
[2] | Emission allowances/RECs are expensed when consumed or sold; therefore, there is no accumulated amortization. | ||||
[3] | "Other" includes costs for the development of licenses, the most significant of which is the COLA. Amortization of these costs begins when the related asset is placed in service. See Note 8 for additional information on the COLA. | ||||
[4] | Gross carrying amount represents the fair value at the acquisition date of coal contracts with terms favorable to market recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to these contracts, which is being amortized over the same period as the intangible assets, eliminating any income statement impact. See Note 6 for additional information. | ||||
[5] | Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL.An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact.See Note 6 for additional information. |
Asset_Retirement_Obligations_D
Asset Retirement Obligations (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Asset Retirement Obligation [Rollforward] | ||
Balance at Beginning of Period | $705 | $552 |
Accretion | 48 | 38 |
Obligations incurred | 14 | 6 |
Changes in estimated cash flow or settlement date | 9 | 123 |
Effect of foreign currency exchange rates | -2 | 1 |
Obligations settled | -13 | -15 |
Balance at End of Period | 761 | 705 |
PPL Energy Supply LLC [Member] | ||
Asset Retirement Obligation [Rollforward] | ||
Balance at Beginning of Period | 404 | 375 |
Accretion | 32 | 29 |
Obligations incurred | 13 | 6 |
Changes in estimated cash flow or settlement date | -16 | 1 |
Obligations settled | -8 | -7 |
Balance at End of Period | 425 | 404 |
LG And E And KU Energy LLC [Member] | ||
Asset Retirement Obligation [Rollforward] | ||
Balance at Beginning of Period | 252 | 131 |
Accretion | 14 | 7 |
Obligations incurred | 1 | 0 |
Changes in estimated cash flow or settlement date | 23 | 122 |
Obligations settled | -5 | -8 |
Balance at End of Period | 285 | 252 |
Louisville Gas And Electric Co [Member] | ||
Asset Retirement Obligation [Rollforward] | ||
Balance at Beginning of Period | 74 | 62 |
Accretion | 4 | 3 |
Changes in estimated cash flow or settlement date | 1 | 17 |
Obligations settled | -5 | -8 |
Balance at End of Period | 74 | 74 |
Kentucky Utilities Co [Member] | ||
Asset Retirement Obligation [Rollforward] | ||
Balance at Beginning of Period | 178 | 69 |
Accretion | 10 | 4 |
Obligations incurred | 1 | 0 |
Changes in estimated cash flow or settlement date | 22 | 105 |
Balance at End of Period | $211 | $178 |
AvailableforSale_Securities_De
Available-for-Sale Securities (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Available-for-Sale Securities Scheduled Maturity Dates of Debt Securities (Details) [Abstract] | ||||||
Amortized cost - maturity less than 1 year | $10 | |||||
Amortized cost - maturity between 1 and 5 years | 87 | |||||
Amortized cost - maturity between 6 and 10 years | 64 | |||||
Amortized cost - maturity in excess of 10 years | 68 | |||||
Amortized cost total | 229 | |||||
Fair value - maturity less than 1 year | 10 | |||||
Fair value - maturity between 1 and 5 years | 89 | |||||
Fair value - maturity between 6 and 10 years | 67 | |||||
Fair value - maturity in excess of 10 years | 73 | |||||
Fair value total | 239 | |||||
Available-for-Sale Securities Proceeds From and Realized Gains and Losses (Details) [Abstract] | ||||||
Proceeds from sales of NDT securities | 154 | [1] | 144 | [1] | 139 | [1] |
Other proceeds from sales | 9 | 0 | 5 | |||
Gross realized gains | 23 | [2] | 17 | [2] | 29 | [2] |
Gross realized losses | 10 | [2] | 7 | [2] | 21 | [2] |
Nuclear Decommissioning Trust Funds [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 522 | 497 | ||||
Gross unrealized gains | 428 | 370 | ||||
Gross unrealized losses | 0 | 3 | ||||
Fair value | 950 | 864 | ||||
Nuclear Decommissioning Trust Funds (Numeric) [Abstract] | ||||||
Percentage of shortfall PPL Susquehanna would be obligated to fund | 90.00% | |||||
Nuclear Decommissioning Trust Funds [Member] | Cash And Cash Equivalents [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 19 | 14 | ||||
Gross unrealized gains | 0 | 0 | ||||
Gross unrealized losses | 0 | 0 | ||||
Fair value | 19 | 14 | ||||
Nuclear Decommissioning Trust Funds [Member] | Equity Securities [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 283 | 265 | ||||
Gross unrealized gains | 417 | 363 | ||||
Gross unrealized losses | 0 | 0 | ||||
Fair value | 700 | 628 | ||||
Nuclear Decommissioning Trust Funds [Member] | Debt Securities [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 218 | 217 | ||||
Gross unrealized gains | 11 | 7 | ||||
Gross unrealized losses | 0 | 3 | ||||
Fair value | 229 | 221 | ||||
Nuclear Decommissioning Trust Funds [Member] | Receivables Payables Net [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 2 | 1 | ||||
Gross unrealized gains | 0 | 0 | ||||
Gross unrealized losses | 0 | |||||
Fair value | 2 | 1 | ||||
Auction Rate Securities [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 11 | 20 | ||||
Gross unrealized gains | 0 | 0 | ||||
Gross unrealized losses | 1 | 1 | ||||
Fair value | 10 | 19 | ||||
PPL Energy Supply LLC [Member] | ||||||
Available-for-Sale Securities Scheduled Maturity Dates of Debt Securities (Details) [Abstract] | ||||||
Amortized cost - maturity less than 1 year | 10 | |||||
Amortized cost - maturity between 1 and 5 years | 87 | |||||
Amortized cost - maturity between 6 and 10 years | 64 | |||||
Amortized cost - maturity in excess of 10 years | 65 | |||||
Amortized cost total | 226 | |||||
Fair value - maturity less than 1 year | 10 | |||||
Fair value - maturity between 1 and 5 years | 89 | |||||
Fair value - maturity between 6 and 10 years | 67 | |||||
Fair value - maturity in excess of 10 years | 71 | |||||
Fair value total | 237 | |||||
Available-for-Sale Securities Proceeds From and Realized Gains and Losses (Details) [Abstract] | ||||||
Proceeds from sales of NDT securities | 154 | [1] | 144 | [1] | 139 | [1] |
Other proceeds from sales | 9 | 0 | 3 | |||
Gross realized gains | 23 | [2] | 17 | [2] | 29 | [2] |
Gross realized losses | 10 | [2] | 7 | [2] | 21 | [2] |
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 522 | 497 | ||||
Gross unrealized gains | 428 | 370 | ||||
Gross unrealized losses | 0 | 3 | ||||
Fair value | 950 | 864 | ||||
Nuclear Decommissioning Trust Funds (Numeric) [Abstract] | ||||||
Percentage of shortfall PPL Susquehanna would be obligated to fund | 90.00% | |||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Cash And Cash Equivalents [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 19 | 14 | ||||
Gross unrealized gains | 0 | 0 | ||||
Gross unrealized losses | 0 | 0 | ||||
Fair value | 19 | 14 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Equity Securities [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 283 | 265 | ||||
Gross unrealized gains | 417 | 363 | ||||
Gross unrealized losses | 0 | 0 | ||||
Fair value | 700 | 628 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Debt Securities [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 218 | 217 | ||||
Gross unrealized gains | 11 | 7 | ||||
Gross unrealized losses | 0 | 3 | ||||
Fair value | 229 | 221 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Receivables Payables Net [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 2 | 1 | ||||
Gross unrealized gains | 0 | 0 | ||||
Gross unrealized losses | 0 | 0 | ||||
Fair value | 2 | 1 | ||||
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | ||||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ||||||
Amortized cost | 8 | 17 | ||||
Gross unrealized gains | 0 | 0 | ||||
Gross unrealized losses | 0 | 1 | ||||
Fair value | $8 | $16 | ||||
[1] | These proceeds are used to pay income taxes and fees related to managing the trust. Remaining proceeds are reinvested in the trust. | |||||
[2] | Excludes the impact of other-than-temporary impairment charges recognized on the Statements of Income. |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (After-tax Changes by Component) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | ($1,565) | ($1,940) | ($788) |
Amounts arising during the period | -754 | 323 | |
Reclassifications from accumulated other comprehensive income | 45 | 52 | |
Net other comprehensive income during the period | -709 | 375 | -1,152 |
Balance at end of period | -2,274 | -1,565 | -1,940 |
Foreign Currency Translation Adjustments [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | -11 | -149 | -243 |
Amounts arising during the period | -275 | 138 | |
Reclassifications from accumulated other comprehensive income | 0 | 0 | |
Net other comprehensive income during the period | -275 | 138 | 94 |
Balance at end of period | -286 | -11 | -149 |
Available For Sale Securities Unrealized Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 173 | 112 | 90 |
Amounts arising during the period | 35 | 67 | |
Reclassifications from accumulated other comprehensive income | -6 | -6 | |
Net other comprehensive income during the period | 29 | 61 | 22 |
Balance at end of period | 202 | 173 | 112 |
Qualifying Derivatives Unrealized Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 94 | 132 | 527 |
Amounts arising during the period | -10 | 45 | |
Reclassifications from accumulated other comprehensive income | -64 | -83 | |
Net other comprehensive income during the period | -74 | -38 | -395 |
Balance at end of period | 20 | 94 | 132 |
Equity Investees Accumulated Other Comprehensive Income [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 1 | 1 | -1 |
Amounts arising during the period | 0 | 0 | |
Reclassifications from accumulated other comprehensive income | 0 | 0 | |
Net other comprehensive income during the period | 0 | 0 | 2 |
Balance at end of period | 1 | 1 | 1 |
Defined Benefit Plans Prior Service Costs [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | -6 | -14 | -25 |
Amounts arising during the period | 5 | 2 | |
Reclassifications from accumulated other comprehensive income | 4 | 6 | |
Net other comprehensive income during the period | 9 | 8 | 11 |
Balance at end of period | 3 | -6 | -14 |
Defined Benefit Plans Actuarial Gain (Loss) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | -1,817 | -2,023 | -1,137 |
Amounts arising during the period | -509 | 71 | |
Reclassifications from accumulated other comprehensive income | 111 | 135 | |
Net other comprehensive income during the period | -398 | 206 | -886 |
Balance at end of period | -2,215 | -1,817 | -2,023 |
Defined Benefit Plans Transition Assset Obligation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 1 | 1 | 1 |
Amounts arising during the period | 0 | 0 | |
Reclassifications from accumulated other comprehensive income | 0 | 0 | |
Net other comprehensive income during the period | 0 | 0 | 0 |
Balance at end of period | 1 | 1 | 1 |
PPL Energy Supply LLC [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 77 | 48 | 487 |
Amounts arising during the period | -77 | 140 | |
Reclassifications from accumulated other comprehensive income | -23 | -111 | |
Net other comprehensive income during the period | -100 | 29 | -439 |
Balance at end of period | -23 | 77 | 48 |
PPL Energy Supply LLC [Member] | Available For Sale Securities Unrealized Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 173 | 112 | 90 |
Amounts arising during the period | 35 | 67 | |
Reclassifications from accumulated other comprehensive income | -6 | -6 | |
Net other comprehensive income during the period | 29 | 61 | 22 |
Balance at end of period | 202 | 173 | 112 |
PPL Energy Supply LLC [Member] | Qualifying Derivatives Unrealized Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 88 | 211 | 606 |
Amounts arising during the period | 0 | 0 | |
Reclassifications from accumulated other comprehensive income | -25 | -123 | |
Net other comprehensive income during the period | -25 | -123 | -395 |
Balance at end of period | 63 | 88 | 211 |
PPL Energy Supply LLC [Member] | Defined Benefit Plans Prior Service Costs [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | -4 | -10 | -16 |
Amounts arising during the period | 8 | 2 | |
Reclassifications from accumulated other comprehensive income | 3 | 4 | |
Net other comprehensive income during the period | 11 | 6 | 6 |
Balance at end of period | 7 | -4 | -10 |
PPL Energy Supply LLC [Member] | Defined Benefit Plans Actuarial Gain (Loss) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | -180 | -265 | -193 |
Amounts arising during the period | -120 | 71 | |
Reclassifications from accumulated other comprehensive income | 5 | 14 | |
Net other comprehensive income during the period | -115 | 85 | -72 |
Balance at end of period | -295 | -180 | -265 |
PPL Energy Supply LLC [Member] | Defined Benefit Plans Transition Assset Obligation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 0 | 0 | 0 |
Amounts arising during the period | 0 | 0 | |
Reclassifications from accumulated other comprehensive income | 0 | 0 | |
Net other comprehensive income during the period | 0 | 0 | 0 |
Balance at end of period | 0 | 0 | 0 |
LG And E And KU Energy LLC [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 13 | -15 | 4 |
Amounts arising during the period | -57 | 28 | |
Reclassifications from accumulated other comprehensive income | -1 | ||
Net other comprehensive income during the period | -58 | 28 | -19 |
Balance at end of period | -45 | 13 | -15 |
LG And E And KU Energy LLC [Member] | Available For Sale Securities Unrealized Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 0 | 0 | 0 |
Amounts arising during the period | 0 | ||
Reclassifications from accumulated other comprehensive income | 0 | ||
Net other comprehensive income during the period | 0 | 0 | 0 |
Balance at end of period | 0 | 0 | 0 |
LG And E And KU Energy LLC [Member] | Qualifying Derivatives Unrealized Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 0 | 0 | 0 |
Amounts arising during the period | 0 | ||
Reclassifications from accumulated other comprehensive income | 0 | ||
Net other comprehensive income during the period | 0 | 0 | 0 |
Balance at end of period | 0 | 0 | 0 |
LG And E And KU Energy LLC [Member] | Equity Investees Accumulated Other Comprehensive Income [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 1 | 0 | |
Reclassifications from accumulated other comprehensive income | -1 | ||
Net other comprehensive income during the period | -1 | 1 | |
Balance at end of period | 0 | 1 | |
LG And E And KU Energy LLC [Member] | Defined Benefit Plans Prior Service Costs [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | -2 | -2 | -2 |
Amounts arising during the period | -7 | ||
Reclassifications from accumulated other comprehensive income | 1 | ||
Net other comprehensive income during the period | -6 | 0 | -2 |
Balance at end of period | -8 | -2 | -2 |
LG And E And KU Energy LLC [Member] | Defined Benefit Plans Actuarial Gain (Loss) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 14 | -14 | 6 |
Amounts arising during the period | -50 | 28 | |
Reclassifications from accumulated other comprehensive income | -1 | ||
Net other comprehensive income during the period | -51 | 28 | -20 |
Balance at end of period | -37 | 14 | -14 |
LG And E And KU Energy LLC [Member] | Defined Benefit Plans Transition Assset Obligation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 0 | 0 | 0 |
Amounts arising during the period | 0 | ||
Reclassifications from accumulated other comprehensive income | 0 | ||
Net other comprehensive income during the period | 0 | 0 | 0 |
Balance at end of period | $0 | $0 | $0 |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) (Income (Expense) Effect of Reclassifications) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Interest Expense | ($1,024) | ($994) | ($951) | |||||||||||||||||||
Other Income (Expense) - net | 118 | -23 | -39 | |||||||||||||||||||
Total Pre-tax | 2,364 | 1,260 | 2,009 | |||||||||||||||||||
Income Taxes | -781 | -163 | -518 | |||||||||||||||||||
Total After-Tax | 551 | [1] | 490 | [1] | 218 | [1] | 324 | [1] | -102 | [1],[2] | 404 | [1] | 390 | [1] | 405 | [1] | 1,583 | 1,097 | 1,491 | |||
Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total After-Tax | -45 | -52 | ||||||||||||||||||||
Available For Sale Securities [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Other Income (Expense) - net | 13 | 10 | ||||||||||||||||||||
Total Pre-tax | 13 | 10 | ||||||||||||||||||||
Income Taxes | -7 | -4 | ||||||||||||||||||||
Total After-Tax | 6 | 6 | ||||||||||||||||||||
Qualifying Derivatives [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | 87 | 163 | ||||||||||||||||||||
Income Taxes | -23 | -80 | ||||||||||||||||||||
Total After-Tax | 64 | 83 | ||||||||||||||||||||
Qualifying Derivatives [Member] | Interest Rate Swaps [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Interest Expense | -16 | -20 | ||||||||||||||||||||
Qualifying Derivatives [Member] | Cross Currency Swaps [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Interest Expense | 4 | 1 | ||||||||||||||||||||
Other Income (Expense) - net | 57 | -28 | ||||||||||||||||||||
Qualifying Derivatives [Member] | Energy Commodities [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Unregulated wholesale energy | 1 | 240 | ||||||||||||||||||||
Energy purchases | 31 | -58 | ||||||||||||||||||||
Discontinued operations | 8 | 23 | ||||||||||||||||||||
Other | 2 | 5 | ||||||||||||||||||||
Defined Benefit Plans [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | -152 | -194 | ||||||||||||||||||||
Income Taxes | 37 | 53 | ||||||||||||||||||||
Total After-Tax | -115 | -141 | ||||||||||||||||||||
Defined Benefit Plans [Member] | Prior Service Costs [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | -7 | -10 | ||||||||||||||||||||
Defined Benefit Plans [Member] | Net Actuarial Loss [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | -145 | -184 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Interest Expense | -124 | -159 | -158 | |||||||||||||||||||
Other Income (Expense) - net | 30 | 32 | 19 | |||||||||||||||||||
Total Pre-tax | 303 | -420 | 665 | |||||||||||||||||||
Income Taxes | -116 | [3] | 159 | [3] | -236 | [3] | ||||||||||||||||
Total After-Tax | 187 | -261 | 429 | |||||||||||||||||||
PPL Energy Supply LLC [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total After-Tax | 23 | 111 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Available For Sale Securities [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Other Income (Expense) - net | 13 | 10 | ||||||||||||||||||||
Total Pre-tax | 13 | 10 | ||||||||||||||||||||
Income Taxes | -7 | -4 | ||||||||||||||||||||
Total After-Tax | 6 | 6 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Qualifying Derivatives [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | 42 | 207 | ||||||||||||||||||||
Income Taxes | -17 | -84 | ||||||||||||||||||||
Total After-Tax | 25 | 123 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Qualifying Derivatives [Member] | Energy Commodities [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Unregulated wholesale energy | 1 | 240 | ||||||||||||||||||||
Energy purchases | 31 | -58 | ||||||||||||||||||||
Discontinued operations | 8 | 23 | ||||||||||||||||||||
Other | 2 | 2 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Defined Benefit Plans [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | -13 | -31 | ||||||||||||||||||||
Income Taxes | 5 | 13 | ||||||||||||||||||||
Total After-Tax | -8 | -18 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Defined Benefit Plans [Member] | Prior Service Costs [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | -4 | -7 | ||||||||||||||||||||
PPL Energy Supply LLC [Member] | Defined Benefit Plans [Member] | Net Actuarial Loss [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Total Pre-tax | -9 | -24 | ||||||||||||||||||||
Kentucky Utilities Co [Member] | ||||||||||||||||||||||
Affected Line Item on the Statements of Income [Line Items] | ||||||||||||||||||||||
Energy purchases | -23 | -22 | -32 | |||||||||||||||||||
Interest Expense | -77 | -70 | -69 | |||||||||||||||||||
Other Income (Expense) - net | -1 | -3 | -8 | |||||||||||||||||||
Total Pre-tax | 355 | 360 | 215 | |||||||||||||||||||
Income Taxes | ($135) | [4] | ($132) | [4] | ($78) | [4] | ||||||||||||||||
[1] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | |||||||||||||||||||||
[2] | Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | |||||||||||||||||||||
[3] | Excludes current and deferred federal and state tax expense recorded to Discontinued Operations of $109 million, $17 million and $27 million in 2014, 2013 and 2012. Also excludes federal and state tax expense (benefit) recorded to OCI of $(56) million, $47 million and $(267) million in 2014, 2013 and 2012. | |||||||||||||||||||||
[4] | Excludes deferred federal and state tax expense (benefit) recorded to OCI of less than$(1) million in both 2014 and in 2013 and $1 million in 2012. |
SCHEDULE_I_CONDENSED_UNCONSOLI1
SCHEDULE I - CONDENSED UNCONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Millions, except Share data in Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||
Operating Revenues [Abstract] | |||||||||||||||||||
Operating Revenues | $4,023 | [1] | $3,449 | [1] | $2,833 | [1] | $1,194 | [1] | $2,819 | [1] | $3,074 | [1] | $3,403 | [1] | $2,425 | [1] | $11,499 | $11,721 | $12,132 |
Operating Expenses [Abstract] | |||||||||||||||||||
Other operation and maintenance | 2,803 | 2,779 | 2,791 | ||||||||||||||||
Total Operating Expenses | 8,227 | 9,443 | 9,106 | ||||||||||||||||
Operating Income (Loss) | 983 | [1] | 869 | [1] | 697 | [1] | 723 | [1] | 21 | [1],[2] | 846 | [1] | 732 | [1] | 679 | [1] | 3,272 | 2,278 | 3,026 |
Other Income (Expense) - net [Abstract] | |||||||||||||||||||
Other Income (Expense) - net | 118 | -23 | -39 | ||||||||||||||||
Interest Expense | 1,024 | 994 | 951 | ||||||||||||||||
Income (Loss) Before Income Taxes | 2,364 | 1,260 | 2,009 | ||||||||||||||||
Income Tax Expense (Benefit) | 781 | 163 | 518 | ||||||||||||||||
Net Income (Loss) | 695 | [1] | 497 | [1] | 229 | [1] | 316 | [1] | -98 | [1],[2] | 410 | [1] | 405 | [1] | 413 | [1] | 1,737 | 1,130 | 1,526 |
Comprehensive Income (Loss) | 1,028 | 1,505 | 374 | ||||||||||||||||
Net Income Available to PPL Corporation Common Shareowners: (in dollars per share) | |||||||||||||||||||
Basic | $1.04 | [1],[3] | $0.74 | [1],[3] | $0.35 | [1],[3] | $0.50 | [1],[3] | ($0.16) | [1],[2],[3] | $0.65 | [1],[3] | $0.68 | [1],[3] | $0.70 | [1],[3] | $2.64 | $1.85 | $2.61 |
Diluted | $1.04 | [1],[3] | $0.74 | [1],[3] | $0.34 | [1],[3] | $0.49 | [1],[3] | ($0.16) | [1],[2],[3],[4] | $0.62 | [1],[3] | $0.63 | [1],[3] | $0.65 | [1],[3] | $2.61 | $1.76 | $2.60 |
Weighted-Average Shares of Common Stock Outstanding (in thousands) | |||||||||||||||||||
Basic | 653,504 | 608,983 | 580,276 | ||||||||||||||||
Diluted | 665,973 | 663,073 | 581,626 | ||||||||||||||||
PPL Corp [Member] | |||||||||||||||||||
Operating Expenses [Abstract] | |||||||||||||||||||
Other operation and maintenance | 16 | 1 | 11 | ||||||||||||||||
Total Operating Expenses | 16 | 1 | 11 | ||||||||||||||||
Operating Income (Loss) | -16 | -1 | -11 | ||||||||||||||||
Other Income (Expense) - net [Abstract] | |||||||||||||||||||
Equity in earnings of subsidiaries | 1,776 | 1,171 | 1,580 | ||||||||||||||||
Other income (expense) | -18 | -13 | 1 | ||||||||||||||||
Other Income (Expense) - net | 1,758 | 1,158 | 1,581 | ||||||||||||||||
Interest Expense | 15 | 21 | 22 | ||||||||||||||||
Interest Expense with Affiliates | 10 | 29 | 43 | ||||||||||||||||
Income (Loss) Before Income Taxes | 1,717 | 1,107 | 1,505 | ||||||||||||||||
Income Tax Expense (Benefit) | -20 | -23 | -21 | ||||||||||||||||
Net Income (Loss) | 1,737 | 1,130 | 1,526 | ||||||||||||||||
Comprehensive Income (Loss) | 1,028 | 1,505 | 374 | ||||||||||||||||
Net Income Available to PPL Corporation Common Shareowners: (in dollars per share) | |||||||||||||||||||
Basic | $2.64 | $1.85 | $2.61 | ||||||||||||||||
Diluted | $2.61 | $1.76 | $2.60 | ||||||||||||||||
Weighted-Average Shares of Common Stock Outstanding (in thousands) | |||||||||||||||||||
Basic | 653,504 | 608,983 | 580,276 | ||||||||||||||||
Diluted | 665,973 | 663,073 | 581,626 | ||||||||||||||||
L G And E And K U Energy L L C Unconsolidated [Member] | |||||||||||||||||||
Operating Expenses [Abstract] | |||||||||||||||||||
Other operation and maintenance | 0 | 0 | 3 | ||||||||||||||||
Total Operating Expenses | 0 | 0 | 3 | ||||||||||||||||
Operating Income (Loss) | 0 | 0 | -3 | ||||||||||||||||
Other Income (Expense) - net [Abstract] | |||||||||||||||||||
Equity in earnings of subsidiaries | 368 | 376 | 234 | ||||||||||||||||
Interest Income from Affiliates | 5 | 5 | 10 | ||||||||||||||||
Interest Expense | 41 | 39 | 39 | ||||||||||||||||
Interest Expense with Affiliates | 3 | 3 | 2 | ||||||||||||||||
Income (Loss) Before Income Taxes | 329 | 339 | 200 | ||||||||||||||||
Income Tax Expense (Benefit) | -15 | -8 | -19 | ||||||||||||||||
Net Income (Loss) | 344 | 347 | 219 | ||||||||||||||||
Comprehensive Income (Loss) | $286 | $375 | $200 | ||||||||||||||||
[1] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | ||||||||||||||||||
[2] | Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | ||||||||||||||||||
[3] | The sum of the quarterly amounts may not equal annual earnings per share due to changes in the number of common shares outstanding during the year or rounding. | ||||||||||||||||||
[4] | As a result of a reported loss, diluted earnings per share for the three months ended December 31, 2013 exclude incremental shares as they were anti-dilutive. |
SCHEDULE_I_CONDENSED_UNCONSOLI2
SCHEDULE I - CONDENSED UNCONSOLIDATED STATEMENTS OF CASH FLOWS (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash Flows from Operating Activities [Abstact] | |||
Net cash provided by (used in) operating activities | $3,403 | $2,857 | $2,764 |
Cash Flows from Investing Activities [Abstact] | |||
Net cash provided by (used in) investing activities | -3,329 | -4,295 | -3,123 |
Cash Flows from Financing Activities [Abstract] | |||
Issuance of equity, net of issuance costs | 1,074 | 1,411 | 72 |
Net increase (decrease) in short-term debt | 777 | 49 | 74 |
Retirement of long-term debt | -546 | -747 | -108 |
Issuance of long-term debt | 296 | 2,038 | 1,223 |
Debt-issuance costs | -22 | -49 | -17 |
Payment of common stock dividends | -967 | -878 | -833 |
Contract adjustment payments on Equity Units | -22 | -82 | -94 |
Repurchase of common stock | 0 | -74 | 0 |
Other | -7 | -37 | -19 |
Net cash provided by (used in) financing activities | 583 | 1,631 | 48 |
Net Increase (Decrease) in Cash and Cash Equivalents | 649 | 201 | -301 |
Cash and Cash Equivalents at Beginning of Period | 1,102 | 901 | 1,202 |
Cash and Cash Equivalents at End of Period | 1,751 | 1,102 | 901 |
PPL Corp [Member] | |||
Cash Flows from Operating Activities [Abstact] | |||
Net cash provided by (used in) operating activities | 1,633 | 968 | 937 |
Cash Flows from Investing Activities [Abstact] | |||
Capital contributions to affiliated subsidiaries | -1,045 | -496 | -221 |
Return of capital from affiliated subsidiaries | 247 | 213 | 0 |
Net cash provided by (used in) investing activities | -798 | -283 | -221 |
Cash Flows from Financing Activities [Abstract] | |||
Issuance of equity, net of issuance costs | 1,074 | 1,411 | 72 |
Net increase (decrease) in short-term debt | -913 | -1,057 | 149 |
Payment of common stock dividends | -967 | -878 | -833 |
Contract adjustment payments on Equity Units | -22 | -82 | -94 |
Repurchase of common stock | 0 | -74 | 0 |
Other | -7 | -5 | -10 |
Net cash provided by (used in) financing activities | -835 | -685 | -716 |
Supplemental Disclosures of Cash Flow Information: [Abstract] | |||
Cash Dividends Received from Affiliated Subsidiaries | 1,388 | 960 | 720 |
L G And E And K U Energy L L C Unconsolidated [Member] | |||
Cash Flows from Operating Activities [Abstact] | |||
Net cash provided by (used in) operating activities | -183 | 136 | 364 |
Cash Flows from Investing Activities [Abstact] | |||
Capital contributions to affiliated subsidiaries | -248 | -243 | 0 |
Net (increase) decrease in notes receivable from affiliates | 555 | -122 | -15 |
Net cash provided by (used in) investing activities | 307 | -365 | -15 |
Cash Flows from Financing Activities [Abstract] | |||
Net increase (decrease) in notes payable to affiliates | 58 | 171 | -196 |
Net increase (decrease) in short-term debt | 0 | 75 | 0 |
Contributions from member | 248 | 243 | 0 |
Distributions to member | -436 | -254 | -155 |
Net cash provided by (used in) financing activities | -130 | 235 | -351 |
Net Increase (Decrease) in Cash and Cash Equivalents | -6 | 6 | -2 |
Cash and Cash Equivalents at Beginning of Period | 6 | 0 | 2 |
Cash and Cash Equivalents at End of Period | 0 | 6 | 0 |
Supplemental Disclosures of Cash Flow Information: [Abstract] | |||
Cash Dividends Received from Affiliated Subsidiaries | $260 | $223 | $175 |
SCHEDULE_I_CONDENSED_UNCONSOLI3
SCHEDULE I - CONDENSED UNCONSOLIDATED BALANCE SHEETS (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
In Millions, except Share data in Thousands, unless otherwise specified | ||||||
Current Assets | ||||||
Cash and cash equivalents | $1,751 | $1,102 | $901 | $1,202 | ||
Accounts Receivable [Abstract] | ||||||
Other | 171 | 97 | ||||
Accounts receivable | 923 | 923 | ||||
Prepayments | 87 | 153 | ||||
Deferred income taxes | 129 | 246 | ||||
Price risk management assets | 1,158 | 942 | ||||
Other current assets | 32 | 37 | ||||
Total Current Assets | 6,159 | 5,153 | ||||
Other Noncurrent Assets [Abstract] | ||||||
Other noncurrent assets | 312 | 357 | ||||
Total Other Noncurrent Assets | 7,123 | 7,112 | ||||
Total Assets | 48,864 | 46,259 | ||||
Current Liabilities [Abstract] | ||||||
Short-term debt | 1,466 | 701 | ||||
Long-term debt due within one year | 1,535 | 315 | ||||
Dividends | 249 | 232 | ||||
Price risk management liabilities | 1,126 | 829 | ||||
Taxes | 230 | 114 | ||||
Other current liabilities | 1,076 | 998 | ||||
Total Current Liabilities | 7,443 | 4,912 | ||||
Long-term Debt [Abstract] | ||||||
Long-term Debt | 18,856 | 20,592 | ||||
Total Deferred Credits and Other Noncurrent Liabilities | 8,937 | 8,289 | ||||
Equity [Abstract] | ||||||
Common stock | 7 | [1] | 6 | [1] | ||
Additional paid-in capital | 9,433 | 8,316 | ||||
Earnings reinvested | 6,462 | 5,709 | ||||
Accumulated other comprehensive income (loss) | -2,274 | -1,565 | -1,940 | -788 | ||
Total Equity | 13,628 | 12,466 | ||||
Total Liabilities and Equity | 48,864 | 46,259 | ||||
PPL Corporation Shareowners' Common Equity Additional Information [Abstract] | ||||||
Common stock par value | $0.01 | $0.01 | ||||
Common stock shares authorized | 780,000 | 780,000 | ||||
Common stock shares issued | 665,849 | 630,321 | ||||
Common stock shares outstanding | 665,849 | 630,321 | ||||
PPL Corp [Member] | ||||||
Accounts Receivable [Abstract] | ||||||
Other | 53 | 28 | ||||
Accounts receivable from affiliates | 149 | 24 | ||||
Prepayments | 0 | 2 | ||||
Deferred income taxes | 34 | 0 | ||||
Price risk management assets | 148 | 190 | ||||
Total Current Assets | 384 | 244 | ||||
Investments [Abstract] | ||||||
Affiliated companies at equity | 15,426 | 14,892 | ||||
Other Noncurrent Assets [Abstract] | ||||||
Other noncurrent assets | 88 | 73 | ||||
Total Assets | 15,898 | 15,209 | ||||
Current Liabilities [Abstract] | ||||||
Short-term debt with affiliates | 170 | 1,083 | ||||
Accounts payable to affiliates | 1,513 | 1,251 | ||||
Dividends | 249 | 233 | ||||
Price risk management liabilities | 227 | 75 | ||||
Other current liabilities | 70 | 46 | ||||
Total Current Liabilities | 2,229 | 2,688 | ||||
Long-term Debt [Abstract] | ||||||
Total Deferred Credits and Other Noncurrent Liabilities | 41 | 55 | ||||
Equity [Abstract] | ||||||
Common stock | 7 | [1] | 6 | [1] | ||
Additional paid-in capital | 9,433 | 8,316 | ||||
Earnings reinvested | 6,462 | 5,709 | ||||
Accumulated other comprehensive income (loss) | -2,274 | -1,565 | ||||
Total Equity | 13,628 | 12,466 | ||||
Total Liabilities and Equity | 15,898 | 15,209 | ||||
PPL Corporation Shareowners' Common Equity Additional Information [Abstract] | ||||||
Common stock par value | $0.01 | $0.01 | ||||
Common stock shares authorized | 780,000 | 780,000 | ||||
Common stock shares issued | 665,849 | 665,849 | ||||
Common stock shares outstanding | 630,321 | 630,321 | ||||
L G And E And K U Energy L L C Unconsolidated [Member] | ||||||
Current Assets | ||||||
Cash and cash equivalents | 0 | 6 | 0 | 2 | ||
Accounts Receivable [Abstract] | ||||||
Accounts receivable | 8 | 2 | ||||
Accounts receivable from affiliates | 0 | 11 | ||||
Notes receivable from affiliates | 1,127 | 1,682 | ||||
Other current assets | 2 | 10 | ||||
Total Current Assets | 1,137 | 1,711 | ||||
Investments [Abstract] | ||||||
Affiliated companies at equity | 4,818 | 4,519 | ||||
Other Noncurrent Assets [Abstract] | ||||||
Deferred income taxes | 203 | 170 | ||||
Other noncurrent assets | 5 | 6 | ||||
Total Other Noncurrent Assets | 208 | 176 | ||||
Total Assets | 6,163 | 6,406 | ||||
Current Liabilities [Abstract] | ||||||
Short-term debt | 75 | 75 | ||||
Notes payable to affiliates | 58 | 0 | ||||
Long-term debt due within one year | 400 | 0 | ||||
Accounts payable to affiliates | 451 | 843 | ||||
Taxes | 2 | 12 | ||||
Other current liabilities | 8 | 6 | ||||
Total Current Liabilities | 994 | 936 | ||||
Long-term Debt [Abstract] | ||||||
Long-term Debt | 722 | 1,121 | ||||
Notes payable to affiliates | 196 | 196 | ||||
Total Long-term Debt | 918 | 1,317 | ||||
Total Deferred Credits and Other Noncurrent Liabilities | 3 | 3 | ||||
Equity [Abstract] | ||||||
Members Equity | 4,248 | 4,150 | ||||
Total Liabilities and Equity | $6,163 | $6,406 | ||||
[1] | 780,000 shares authorized; 665,849 and 630,321 shares issued and outstanding at December 31, 2014 and 2013. |
SCHEDULE_I_NOTES_TO_CONDENSED_
SCHEDULE I - NOTES TO CONDENSED UNCONSOLIDATED FINANCIAL STATEMENTS (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | |
Aggregate maturities of long-term debt (Details) [Abstract] | ||
2015 | $1,535 | |
After 2019 | 16,960 | |
LKE Guarantee [Member] | Indemnification Guarantee [Member] | Indemnification Of Lease Termination And Other Divestitures [Member] | ||
Condensed Unconsolidated Financial Statements [Line Items] | ||
Maximum exposure | 301 | [1] |
Term of guarantee (in years) | 12 | |
Expiration date minimum | 2021 | |
Maximum exposure of guarantee related to terminated lease specific to operational, regulatory and environmental issues | 200 | |
Maximum exposure of other guarantees expiring related to a terminated lease | 100 | |
Expiration date maximum | 2023 | |
Charge recorded in discontinued operations relating to certain indemnification, pre-tax | 9 | |
Charge recorded in discontinued operations relating to certain indemnification, after-tax | 5 | |
PPL Corp [Member] | PPL Guarantee [Member] | Financial Guarantee [Member] | Guarantee Of Principal And Premium And Interest [Member] | ||
Condensed Unconsolidated Financial Statements [Line Items] | ||
Maximum exposure | 8,100 | |
Expiration date | 2073 | |
LG&E and KU Energy LLC Unconsolidated | ||
Aggregate maturities of long-term debt (Details) [Abstract] | ||
2015 | 400 | |
After 2019 | 722 | |
LG&E and KU Energy LLC Unconsolidated | LKE Guarantee [Member] | Indemnification Guarantee [Member] | Indemnification Of Lease Termination And Other Divestitures [Member] | ||
Condensed Unconsolidated Financial Statements [Line Items] | ||
Term of guarantee (in years) | 12 | |
Expiration date minimum | 2021 | |
Maximum exposure of guarantee related to terminated lease specific to operational, regulatory and environmental issues | 200 | |
Maximum exposure of other guarantees expiring related to a terminated lease | 100 | |
Expiration date maximum | 2023 | |
Charge recorded in discontinued operations relating to certain indemnification, pre-tax | 9 | |
Charge recorded in discontinued operations relating to certain indemnification, after-tax | $5 | |
[1] | LKE provides certain indemnifications, the most significant of which relate to the termination of the WKE lease in July 2009.These guarantees cover the due and punctual payment, performance and discharge by each party of its respective present and future obligations. The most comprehensive of these WKE-related guarantees is the LKE guarantee covering operational, regulatory and environmental commitments and indemnifications made by WKE under the WKE Transaction Termination Agreement. This guarantee has a term of 12 years ending July 2021, and a cumulative maximum exposure of $200 million. Certain items such as government fines and penalties fall outside the cumulative cap.Another WKE-related LKE guarantee covers other indemnifications, has a term expiring in 2023 and a maximum exposure of $100 million. In May 2012, LKE's indemnitee received an unfavorable arbitration panel's decision interpreting this matter, which granted LKE’s indemnitee certain rights of first refusal to purchase excess power at a market-based price rather than at an absolute fixed price. In January 2013, LKE's indemnitee commenced a proceeding in the Kentucky Court of Appeals appealing a December 2012 order of the Henderson Circuit Court, confirming the arbitration award.In May 2014, the Court of Appeals issued an opinion affirming the lower court decision. LKE's indemnitee filed a Motion for Discretionary Review with the Kentucky Supreme Court on October 2, 2014.LKE believes its indemnification obligations in this matter remain subject to various uncertainties, including potential for additional legal challenges regarding the arbitration decision as well as future prices, availability and demand for the subject excess power. LKE continues to evaluate various legal and commercial options with respect to this indemnification matter. The ultimate outcomes of the WKE termination-related indemnifications cannot be predicted at this time. In the second quarter of 2012, LKE adjusted its estimated liability for the WKE-related indemnifications by $9 million ($5 million after-tax), which is reflected in "Income (Loss) from Discontinued Operations (net of income taxes)" on the Statement of Income. The adjustment was recorded in the Kentucky Regulated segment for PPL. Additionally, LKE has indemnified various third parties related to historical obligations for other divested subsidiaries and affiliates. The indemnifications vary by entity and the maximum exposures range from being capped at the sale price to no specified maximum; LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. However, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE cannot predict the ultimate outcomes of indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. |
Quarterly_Financial_Data_Unaud1
Quarterly Financial Data (Unaudited) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, except Per Share data, unless otherwise specified | Nov. 30, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||||||||||
Operating revenues | $4,023 | [1] | $3,449 | [1] | $2,833 | [1] | $1,194 | [1] | $2,819 | [1] | $3,074 | [1] | $3,403 | [1] | $2,425 | [1] | $11,499 | $11,721 | $12,132 | ||||
Operating income | 983 | [1] | 869 | [1] | 697 | [1] | 723 | [1] | 21 | [1],[2] | 846 | [1] | 732 | [1] | 679 | [1] | 3,272 | 2,278 | 3,026 | ||||
Income from continuing operations after income taxes | 551 | [1] | 490 | [1] | 218 | [1] | 324 | [1] | -102 | [1],[2] | 404 | [1] | 390 | [1] | 405 | [1] | 1,583 | 1,097 | 1,491 | ||||
Income (loss) from Discontinued Operations | 144 | [1],[3] | 7 | [1] | 11 | [1] | -8 | [1] | 4 | [1] | 7 | [1] | 15 | [1] | 8 | [1] | 154 | 34 | 40 | ||||
Net income | 695 | [1],[3] | 497 | [1] | 229 | [1] | 316 | [1] | -98 | [1],[2] | 411 | [1] | 405 | [1] | 413 | [1] | 1,737 | 1,131 | 1,531 | ||||
Net income attributable to PPL shareowners | 695 | [1] | 497 | [1] | 229 | [1] | 316 | [1] | -98 | [1],[2] | 410 | [1] | 405 | [1] | 413 | [1] | 1,737 | 1,130 | 1,526 | ||||
Income from continuing operations after income taxes available to PPL common shareowners: [Abstract] | |||||||||||||||||||||||
Basic (in dollars per share) | $0.82 | [1],[4] | $0.73 | [1],[4] | $0.33 | [1],[4] | $0.51 | [1],[4] | ($0.16) | [1],[2],[4] | $0.64 | [1],[4] | $0.66 | [1],[4] | $0.69 | [1],[4] | $2.41 | $1.79 | $2.55 | ||||
Diluted (in dollars per share) | $0.82 | [1],[4] | $0.73 | [1],[4] | $0.32 | [1],[4] | $0.50 | [1],[4] | ($0.16) | [1],[2],[4],[5] | $0.61 | [1],[4] | $0.61 | [1],[4] | $0.64 | [1],[4] | $2.38 | $1.71 | $2.54 | ||||
Dividends declared per share of common stock (in dollars per share) | $0.37 | $0.37 | [1],[6] | $0.37 | [1],[6] | $0.37 | [1],[6] | $0.37 | [1],[6] | $0.37 | [1],[6] | $0.37 | [1],[6] | $0.37 | [1],[6] | $0.37 | [1],[6] | $1.49 | $1.47 | $1.44 | |||
Net income available to PPL common shareowners: [Abstract] | |||||||||||||||||||||||
Basic (in dollars per share) | $1.04 | [1],[4] | $0.74 | [1],[4] | $0.35 | [1],[4] | $0.50 | [1],[4] | ($0.16) | [1],[2],[4] | $0.65 | [1],[4] | $0.68 | [1],[4] | $0.70 | [1],[4] | $2.64 | $1.85 | $2.61 | ||||
Diluted (in dollars per share) | $1.04 | [1],[4] | $0.74 | [1],[4] | $0.34 | [1],[4] | $0.49 | [1],[4] | ($0.16) | [1],[2],[4],[5] | $0.62 | [1],[4] | $0.63 | [1],[4] | $0.65 | [1],[4] | $2.61 | $1.76 | $2.60 | ||||
Price per common share: [Abstract] | |||||||||||||||||||||||
High (in dollars per share) | $38.14 | [1] | $35.52 | [1] | $35.56 | [1] | $33.24 | [1] | $31.79 | [1] | $32.09 | [1] | $33.55 | [1] | $31.35 | [1] | |||||||
Low (in dollars per share) | $32.09 | [1] | $31.79 | [1] | $32.32 | [1] | $29.40 | [1] | $28.95 | [1] | $29.03 | [1] | $28.44 | [1] | $28.64 | [1] | |||||||
Montana Hydroelectric Generating Facilities [Member] | |||||||||||||||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||||||||||
Income (loss) from Discontinued Operations | 154 | 32 | 46 | ||||||||||||||||||||
Price per common share: [Abstract] | |||||||||||||||||||||||
Gain on the sale of Montana hydroelectric generation business, after-tax | 137 | ||||||||||||||||||||||
As Previously Reported [Member] | |||||||||||||||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||||||||||
Operating revenues | 0 | 0 | 2,874 | [1] | 1,223 | [1] | 2,848 | [1] | 3,105 | [1] | 3,450 | [1] | 2,457 | [1] | |||||||||
Operating income | 0 | 0 | 718 | [1] | 715 | [1] | 31 | [1] | 857 | [1] | 758 | [1] | 693 | [1] | |||||||||
Income from continuing operations after income taxes | 0 | 0 | 229 | [1] | 316 | [1] | -98 | [1] | 410 | [1] | 404 | [1] | 413 | [1] | |||||||||
Income (loss) from Discontinued Operations | 0 | 1 | [1] | 1 | [1] | 0 | |||||||||||||||||
Reclassification Of Discontinued Operations [Member] | |||||||||||||||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||||||||||
Operating revenues | 0 | 0 | -41 | [1],[7] | -29 | [1],[7] | -29 | [1],[7] | -31 | [1],[7] | -47 | [1],[7] | -32 | [1],[7] | |||||||||
Operating income | 0 | 0 | -21 | [1],[7] | 8 | [1],[7] | -10 | [1],[7] | -11 | [1],[7] | -26 | [1],[7] | -14 | [1],[7] | |||||||||
Income from continuing operations after income taxes | 0 | 0 | -11 | [1],[7] | 8 | [1],[7] | -4 | [1],[7] | -6 | [1],[7] | -14 | [1],[7] | -8 | [1],[7] | |||||||||
Income (loss) from Discontinued Operations | 0 | 0 | 11 | [1],[7] | -8 | [1],[7] | 4 | [1],[7] | 6 | [1],[7] | 14 | [1],[7] | 8 | [1],[7] | |||||||||
PPL Electric Utilities Corp [Member] | |||||||||||||||||||||||
Quarterly Financial Information Disclosure [Line Items] | |||||||||||||||||||||||
Operating revenues | 526 | [8] | 477 | [8] | 449 | [8] | 592 | [8] | 479 | [8] | 464 | [8] | 414 | [8] | 513 | [8] | 2,044 | 1,870 | 1,763 | ||||
Operating income | 138 | [8] | 124 | [8] | 111 | [8] | 165 | [8] | 101 | [8] | 105 | [8] | 92 | [8] | 121 | [8] | 538 | 419 | 294 | ||||
Net income | 69 | [8] | 57 | [8] | 52 | [8] | 85 | [8] | 49 | [8] | 51 | [8] | 45 | [8] | 64 | [8] | 263 | [9] | 209 | [9] | 136 | [9] | |
Net income available to PPL | $69 | [8] | $57 | [8] | $52 | [8] | $85 | [8] | $49 | [8] | $51 | [8] | $45 | [8] | $64 | [8] | $263 | $209 | $132 | ||||
[1] | Quarterly results can vary depending on, among other things, weather and the forward pricing of power. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | ||||||||||||||||||||||
[2] | Fourth quarter of 2013 includes a charge for the termination of the lease of the Colstrip coal-fired electric generating facility in Montana. See Note 8 to the Financial Statements for additional information. | ||||||||||||||||||||||
[3] | Fourth quarter of 2014 includes a gain of $137 million (after tax) from the sale of hydroelectric generating facilities of PPL Montana. See Note 8 to the Financial Statements for additional information. | ||||||||||||||||||||||
[4] | The sum of the quarterly amounts may not equal annual earnings per share due to changes in the number of common shares outstanding during the year or rounding. | ||||||||||||||||||||||
[5] | As a result of a reported loss, diluted earnings per share for the three months ended December 31, 2013 exclude incremental shares as they were anti-dilutive. | ||||||||||||||||||||||
[6] | PPL has paid quarterly cash dividends on its common stock in every year since 1946. Future dividends, declared at the discretion of the Board of Directors, will be dependent upon future earnings, cash flows, financial requirements and other factors. | ||||||||||||||||||||||
[7] | In the third quarter of 2014, the hydroelectric generation facilities of PPL Montana met the criteria as held for sale. Accordingly, the previously reported operating results for these facilities have been reclassified as discontinued operations. See Note 8 to the Financial Statements for additional information. | ||||||||||||||||||||||
[8] | PPL Electric's business is seasonal in nature, with peak sales periods generally occurring in the winter and summer months. Accordingly, comparisons among quarters of a year may not be indicative of overall trends and changes in operations. | ||||||||||||||||||||||
[9] | Net income approximates comprehensive income. |