Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 25, 2013 | |
Document Entity Information [Line Items] | ' | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-13 | ' |
Amendment Flag | 'false | ' |
Entity Registrant Name | 'PPL Corp | ' |
Entity Central Index Key | '0000922224 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 630,249,634 |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
PPL Energy Supply LLC [Member] | ' | ' |
Document Entity Information [Line Items] | ' | ' |
Amendment Flag | 'false | ' |
Entity Registrant Name | 'PPL ENERGY SUPPLY LLC | ' |
Entity Central Index Key | '0001161976 | ' |
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 | '0000317187 | ' |
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 | '0001518339 | ' |
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 | '0000060549 | ' |
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 | '0000055387 | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 37,817,878 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, except Share data in Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Operating Revenues | ' | ' | ' | ' | ||||
Utility | $1,739 | $1,693 | $5,344 | $5,012 | ||||
Unregulated retail electric and gas | 264 | 218 | 758 | 620 | ||||
Wholesale energy marketing | ' | ' | ' | ' | ||||
Realized | 980 | 1,076 | 2,767 | 3,367 | ||||
Unrealized economic activity | -49 | -716 | -281 | -322 | ||||
Net energy trading margins | 12 | -11 | 1 | 7 | ||||
Energy-related businesses | 159 | 143 | 423 | 380 | ||||
Total Operating Revenues | 3,105 | 2,403 | 9,012 | 9,064 | ||||
Operation | ' | ' | ' | ' | ||||
Fuel | 494 | 570 | 1,464 | 1,405 | ||||
Energy purchases - realized | 592 | 583 | 1,855 | 2,253 | ||||
Energy purchases - unrealized economic activity | -37 | -569 | -192 | -420 | ||||
Other operation and maintenance | 669 | 650 | 2,043 | 2,095 | ||||
Depreciation | 289 | 278 | 859 | 813 | ||||
Taxes, other than income | 90 | 90 | 272 | 268 | ||||
Energy-related businesses | 151 | 137 | 403 | 363 | ||||
Total Operating Expenses | 2,248 | 1,739 | 6,704 | 6,777 | ||||
Operating Income (Loss) | 857 | 664 | 2,308 | 2,287 | ||||
Other Income (Expense) - net | -116 | -44 | 19 | -31 | ||||
Other-Than-Temporary Impairments | 1 | ' | 1 | 1 | ||||
Interest Expense | 246 | 248 | 755 | 714 | ||||
Income (Loss) Before Income Taxes | 494 | 372 | 1,571 | 1,541 | ||||
Income Taxes | 84 | 17 | 344 | 364 | ||||
Income from Continuing Operations After Income Taxes | 410 | 355 | 1,227 | 1,177 | ||||
Income (Loss) from Discontinued Operations (net of income taxes) | 1 | ' | 2 | -6 | ||||
Net Income | 411 | 355 | 1,229 | 1,171 | ||||
Net Income Attributable to Noncontrolling Interests | 1 | ' | 1 | 4 | ||||
Net Income (Loss) Attributable to Shareowners | 410 | 355 | 1,228 | 1,167 | ||||
Amounts Attributable to Shareowners: | ' | ' | ' | ' | ||||
Income from Continuing Operations After Income Taxes | 409 | 355 | 1,226 | 1,173 | ||||
Income (Loss) from Discontinued Operations (net of income taxes) | 1 | ' | 2 | -6 | ||||
Net Income | 410 | 355 | 1,228 | 1,167 | ||||
Income from Continuing Operations After Income Taxes Available to PPL Common Shareowners: | ' | ' | ' | ' | ||||
Basic (in dollars per share) | $0.65 | $0.61 | $2.03 | $2.01 | ||||
Diluted (in dollars per share) | $0.62 | $0.61 | $1.90 | $2.01 | ||||
Net Income Available to PPL Common Shareowners: | ' | ' | ' | ' | ||||
Basic (in dollars per share) | $0.65 | $0.61 | $2.03 | $2 | ||||
Diluted (in dollars per share) | $0.62 | $0.61 | $1.90 | $2 | ||||
Dividends Declared Per Share of Common Stock | $0.37 | $0.36 | $1.10 | $1.08 | ||||
Weighted-Average Shares of Common Stock Outstanding (in thousands) | ' | ' | ' | ' | ||||
Basic | 631,046 | 580,585 | 601,275 | 579,847 | ||||
Diluted | 664,343 | 582,636 | 662,094 | 580,930 | ||||
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ||||
Operating Revenues | ' | ' | ' | ' | ||||
Unregulated retail electric and gas | 266 | 219 | 761 | 623 | ||||
Wholesale energy marketing | ' | ' | ' | ' | ||||
Realized | 980 | 1,076 | 2,767 | 3,367 | ||||
Unrealized economic activity | -49 | -716 | -281 | -322 | ||||
Revenue to affiliates | 11 | 23 | 37 | 61 | ||||
Net energy trading margins | 12 | -11 | 1 | 7 | ||||
Energy-related businesses | 143 | 128 | 378 | 336 | ||||
Total Operating Revenues | 1,363 | 719 | 3,663 | 4,072 | ||||
Operation | ' | ' | ' | ' | ||||
Fuel | 258 | 321 | 780 | 728 | ||||
Energy purchases - realized | 425 | 421 | 1,277 | 1,715 | ||||
Energy purchases - unrealized economic activity | -37 | -569 | -192 | -420 | ||||
Energy purchases from affiliates | 1 | 1 | 3 | 2 | ||||
Other operation and maintenance | 243 | 220 | 748 | 769 | ||||
Depreciation | 80 | 73 | 237 | 206 | ||||
Taxes, other than income | 18 | 18 | 51 | 53 | ||||
Energy-related businesses | 138 | 125 | 366 | 326 | ||||
Total Operating Expenses | 1,126 | 610 | 3,270 | 3,379 | ||||
Operating Income (Loss) | 237 | 109 | 393 | 693 | ||||
Other Income (Expense) - net | 2 | 5 | 18 | 16 | ||||
Other-Than-Temporary Impairments | 1 | ' | 1 | 1 | ||||
Interest Expense | 39 | 43 | 131 | 123 | ||||
Income (Loss) Before Income Taxes | 199 | 71 | 279 | 585 | ||||
Income Taxes | 74 | 16 | 106 | 202 | ||||
Net Income | 125 | 55 | 173 | 383 | ||||
Net Income Attributable to Noncontrolling Interests | 1 | 1 | 1 | 1 | ||||
Net Income (Loss) Attributable to Shareowners | 124 | 54 | 172 | 382 | ||||
Amounts Attributable to Shareowners: | ' | ' | ' | ' | ||||
Net Income | 124 | 54 | 172 | 382 | ||||
PPL Electric Utilities Corp [Member] | ' | ' | ' | ' | ||||
Operating Revenues | ' | ' | ' | ' | ||||
Retail electric | 463 | 443 | 1,388 | 1,303 | ||||
Wholesale energy marketing | ' | ' | ' | ' | ||||
Revenue to affiliates | 1 | 1 | 3 | 3 | ||||
Total Operating Revenues | 464 | 444 | 1,391 | 1,306 | ||||
Operation | ' | ' | ' | ' | ||||
Energy purchases - realized | 144 | 137 | 436 | 410 | ||||
Energy purchases from affiliates | 11 | 23 | 37 | 61 | ||||
Other operation and maintenance | 134 | 148 | 391 | 431 | ||||
Depreciation | 45 | 41 | 132 | 119 | ||||
Taxes, other than income | 25 | 24 | 77 | 72 | ||||
Total Operating Expenses | 359 | 373 | 1,073 | 1,093 | ||||
Operating Income (Loss) | 105 | 71 | 318 | 213 | ||||
Other Income (Expense) - net | 2 | 3 | 5 | 6 | ||||
Interest Expense | 30 | 25 | 80 | 73 | ||||
Income (Loss) Before Income Taxes | 77 | 49 | 243 | 146 | ||||
Income Taxes | 26 | 16 | 83 | 47 | ||||
Net Income | 51 | [1] | 33 | [1] | 160 | [1] | 99 | [1] |
Distributions on Preference Stock | ' | ' | ' | 4 | ||||
Net Income Available to PPL | 51 | 33 | 160 | 95 | ||||
LG And E And KU Energy LLC [Member] | ' | ' | ' | ' | ||||
Wholesale energy marketing | ' | ' | ' | ' | ||||
Total Operating Revenues | 744 | 732 | 2,226 | 2,095 | ||||
Operation | ' | ' | ' | ' | ||||
Fuel | 237 | 249 | 684 | 677 | ||||
Energy purchases - realized | 23 | 27 | 146 | 135 | ||||
Other operation and maintenance | 188 | 186 | 582 | 589 | ||||
Depreciation | 84 | 87 | 249 | 259 | ||||
Taxes, other than income | 12 | 11 | 36 | 34 | ||||
Total Operating Expenses | 544 | 560 | 1,697 | 1,694 | ||||
Operating Income (Loss) | 200 | 172 | 529 | 401 | ||||
Other Income (Expense) - net | -4 | -4 | -6 | -14 | ||||
Interest Expense | 37 | 37 | 110 | 112 | ||||
Interest Expense with Affiliates | ' | ' | 1 | ' | ||||
Income (Loss) Before Income Taxes | 159 | 131 | 412 | 275 | ||||
Income Taxes | 59 | 48 | 153 | 89 | ||||
Income from Continuing Operations After Income Taxes | 100 | 83 | 259 | 186 | ||||
Income (Loss) from Discontinued Operations (net of income taxes) | ' | ' | 1 | -6 | ||||
Net Income | 100 | [1] | 83 | [1] | 260 | [1] | 180 | [1] |
Louisville Gas And Electric Co [Member] | ' | ' | ' | ' | ||||
Operating Revenues | ' | ' | ' | ' | ||||
Retail electric | 332 | 324 | 1,003 | 939 | ||||
Wholesale energy marketing | ' | ' | ' | ' | ||||
Revenue to affiliates | 11 | 9 | 46 | 51 | ||||
Total Operating Revenues | 343 | 333 | 1,049 | 990 | ||||
Operation | ' | ' | ' | ' | ||||
Fuel | 100 | 100 | 284 | 281 | ||||
Energy purchases - realized | 18 | 18 | 129 | 110 | ||||
Energy purchases from affiliates | 2 | 3 | 6 | 9 | ||||
Other operation and maintenance | 93 | 87 | 278 | 277 | ||||
Depreciation | 37 | 38 | 110 | 114 | ||||
Taxes, other than income | 6 | 6 | 18 | 17 | ||||
Total Operating Expenses | 256 | 252 | 825 | 808 | ||||
Operating Income (Loss) | 87 | 81 | 224 | 182 | ||||
Other Income (Expense) - net | -1 | -3 | -3 | -3 | ||||
Interest Expense | 10 | 10 | 30 | 31 | ||||
Income (Loss) Before Income Taxes | 76 | 68 | 191 | 148 | ||||
Income Taxes | 27 | 25 | 69 | 54 | ||||
Net Income | 49 | [2] | 43 | [2] | 122 | [2] | 94 | [2] |
Kentucky Utilities Co [Member] | ' | ' | ' | ' | ||||
Operating Revenues | ' | ' | ' | ' | ||||
Retail electric | 412 | 408 | 1,223 | 1,156 | ||||
Wholesale energy marketing | ' | ' | ' | ' | ||||
Revenue to affiliates | 2 | 3 | 6 | 9 | ||||
Total Operating Revenues | 414 | 411 | 1,229 | 1,165 | ||||
Operation | ' | ' | ' | ' | ||||
Fuel | 137 | 149 | 400 | 396 | ||||
Energy purchases - realized | 5 | 9 | 17 | 25 | ||||
Energy purchases from affiliates | 11 | 9 | 46 | 51 | ||||
Other operation and maintenance | 91 | 93 | 286 | 286 | ||||
Depreciation | 46 | 49 | 138 | 145 | ||||
Taxes, other than income | 6 | 5 | 18 | 17 | ||||
Total Operating Expenses | 296 | 314 | 905 | 920 | ||||
Operating Income (Loss) | 118 | 97 | 324 | 245 | ||||
Other Income (Expense) - net | -2 | 1 | -1 | -5 | ||||
Interest Expense | 17 | 18 | 51 | 52 | ||||
Income (Loss) Before Income Taxes | 99 | 80 | 272 | 188 | ||||
Income Taxes | 36 | 30 | 101 | 70 | ||||
Net Income | $63 | [2] | $50 | [2] | $171 | [2] | $118 | [2] |
[1] | Net income approximates comprehensive income. | |||||||
[2] | Net income equals comprehensive income. |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Net income (loss) | $411 | $355 | $1,229 | $1,171 | ||||
Amounts arising during the period - gains (losses), net of tax (expense) benefit: | ' | ' | ' | ' | ||||
Foreign currency translation adjustments, net of tax | 87 | 152 | -165 | 49 | ||||
Available-for-sale securities, net of tax | 15 | 13 | 40 | 30 | ||||
Qualifying derivatives, net of tax | -9 | -41 | 77 | 39 | ||||
Equity investees' other comprehensive income (loss), net of tax | ' | ' | ' | -3 | ||||
Defined benefit plans: | ' | ' | ' | ' | ||||
Net actuarial gain (loss), net of tax | ' | ' | ' | -85 | ||||
Reclassifications from accumulated other comprehensive income (loss) - (gains) losses, net of tax expense (benefit): | ' | ' | ' | ' | ||||
Available-for-sale securities, net of tax | ' | ' | -2 | -6 | ||||
Qualifying derivatives, net of tax | -6 | -61 | -122 | -335 | ||||
Equity investee's other comprehensive (income) loss, net of tax | -1 | ' | -1 | ' | ||||
Defined benefit plans: | ' | ' | ' | ' | ||||
Prior service costs, net of tax | 2 | 1 | 5 | 6 | ||||
Net actuarial loss, net of tax | 33 | 17 | 101 | 54 | ||||
Total other comprehensive income (loss) | 121 | 81 | -67 | -251 | ||||
Comprehensive income (loss) | 532 | 436 | 1,162 | 920 | ||||
Comprehensive income attributable to noncontrolling interests | 1 | ' | 1 | 4 | ||||
Comprehensive income (loss) attributable to Shareowners | 531 | 436 | 1,161 | 916 | ||||
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ||||
Net income (loss) | 125 | 55 | 173 | 383 | ||||
Amounts arising during the period - gains (losses), net of tax (expense) benefit: | ' | ' | ' | ' | ||||
Available-for-sale securities, net of tax | 15 | 13 | 40 | 30 | ||||
Qualifying derivatives, net of tax | ' | -1 | ' | 58 | ||||
Reclassifications from accumulated other comprehensive income (loss) - (gains) losses, net of tax expense (benefit): | ' | ' | ' | ' | ||||
Available-for-sale securities, net of tax | ' | ' | -2 | -6 | ||||
Qualifying derivatives, net of tax | -29 | -92 | -96 | -351 | ||||
Defined benefit plans: | ' | ' | ' | ' | ||||
Prior service costs, net of tax | 1 | 1 | 3 | 4 | ||||
Net actuarial loss, net of tax | 3 | 2 | 11 | 8 | ||||
Total other comprehensive income (loss) | -10 | -77 | -44 | -257 | ||||
Comprehensive income (loss) | 115 | -22 | 129 | 126 | ||||
Comprehensive income attributable to noncontrolling interests | 1 | 1 | 1 | 1 | ||||
Comprehensive income (loss) attributable to Shareowners | 114 | -23 | 128 | 125 | ||||
PPL Electric Utilities Corp [Member] | ' | ' | ' | ' | ||||
Net income (loss) | 51 | [1] | 33 | [1] | 160 | [1] | 99 | [1] |
LG And E And KU Energy LLC [Member] | ' | ' | ' | ' | ||||
Net income (loss) | 100 | [1] | 83 | [1] | 260 | [1] | 180 | [1] |
Defined benefit plans: | ' | ' | ' | ' | ||||
Total other comprehensive income (loss) | ' | ' | -1 | -4 | ||||
Louisville Gas And Electric Co [Member] | ' | ' | ' | ' | ||||
Net income (loss) | 49 | [2] | 43 | [2] | 122 | [2] | 94 | [2] |
Kentucky Utilities Co [Member] | ' | ' | ' | ' | ||||
Net income (loss) | 63 | [2] | 50 | [2] | 171 | [2] | 118 | [2] |
Defined benefit plans: | ' | ' | ' | ' | ||||
Total other comprehensive income (loss) | ' | ' | ' | ($4) | ||||
[1] | Net income approximates comprehensive income. | |||||||
[2] | Net income equals comprehensive income. |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Tax effect of foreign currency translation adjustments arising during the period | $8 | $1 | $1 | $1 |
Tax effect of available-for-sale securities arising during the period | -15 | -14 | -42 | -32 |
Tax effect of qualifying derivatives arising during the period | 2 | 14 | -41 | -29 |
Tax effect of equity investees' other comprehensive income (loss) arising during the period | 0 | 0 | 0 | 2 |
Tax effect of defined benefit plans - net actuarial gain (loss) arising during period | 0 | 0 | 0 | 28 |
Tax effect of available-for-sale securities reclassified from accumulated other comprehensive income (loss) | 1 | 0 | 2 | 1 |
Tax effect of qualifying derivatives reclassified from accumulated other comprehensive income (loss) | 11 | 51 | 68 | 210 |
Tax effect of equity investees' other comprehensive income (loss) reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 0 | 0 |
Tax effect of prior service costs reclassified from accumulated other comprehensive income (loss) | -1 | -1 | -3 | -4 |
Tax effect of net actuarial loss reclassified from accumulated other comprehensive income (loss) | -12 | -6 | -37 | -17 |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' |
Tax effect of available-for-sale securities arising during the period | -15 | -14 | -42 | -32 |
Tax effect of qualifying derivatives arising during the period | 0 | -1 | 0 | -41 |
Tax effect of available-for-sale securities reclassified from accumulated other comprehensive income (loss) | 1 | 0 | 2 | 1 |
Tax effect of qualifying derivatives reclassified from accumulated other comprehensive income (loss) | 19 | 62 | 63 | 218 |
Tax effect of prior service costs reclassified from accumulated other comprehensive income (loss) | -1 | -1 | -2 | -2 |
Tax effect of net actuarial loss reclassified from accumulated other comprehensive income (loss) | ($2) | ($1) | ($7) | ($1) |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | ||
Cash Flows from Operating Activities | ' | ' | ||
Net income (loss) | $1,229 | $1,171 | ||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ' | ' | ||
Depreciation | 859 | 813 | ||
Amortization | 164 | 144 | ||
Defined benefit plans - expense | 135 | 123 | ||
Deferred income taxes and investment tax credits | 301 | 298 | ||
Unrealized (gains) losses on derivatives, and other hedging activities | 126 | 21 | ||
Other | 92 | 34 | ||
Change in current assets and current liabilities | ' | ' | ||
Accounts receivable | -79 | 19 | ||
Accounts payable | -140 | -175 | ||
Unbilled revenues | 197 | 121 | ||
Counterparty collateral | -77 | 13 | ||
Taxes payable | 76 | 29 | ||
Unrecognized tax positions | -104 | -4 | ||
Accrued interest | 8 | 43 | ||
Other | -111 | 8 | ||
Other operating activities | ' | ' | ||
Defined benefit plans - funding | -505 | -526 | ||
Other assets | -59 | 1 | ||
Other liabilities | 111 | -39 | ||
Net cash provided by (used in) operating activities | 2,223 | 2,094 | ||
Cash Flows from Investing Activities | ' | ' | ||
Expenditures for property, plant and equipment | -2,768 | -2,078 | ||
Ironwood Acquisition, net of cash acquired | ' | -84 | ||
Purchases of nuclear plant decommissioning trust investments | -102 | -112 | ||
Proceeds from the sale of nuclear plant decommissioning trust investments | 92 | 102 | ||
Net (increase) decrease in restricted cash and cash equivalents | 13 | 62 | ||
Other investing activities | -23 | -6 | ||
Net cash provided by (used in) investing activities | -2,788 | -2,116 | ||
Cash Flows from Financing Activities | ' | ' | ||
Issuance of long-term debt | 862 | 824 | ||
Retirement of long-term debt | -309 | -105 | ||
Repurchase of common stock | -74 | ' | ||
Issuance of common stock | 1,409 | 54 | ||
Payment of common stock dividends | -645 | -623 | ||
Redemption of preference stock of a subsidiary | ' | -250 | ||
Debt issuance and credit facility costs | -37 | -10 | ||
Contract adjustment payments | -72 | -71 | ||
Net increase (decrease) in short-term debt | -148 | -51 | ||
Other financing activities | -20 | -8 | ||
Net cash provided by (used in) financing activities | 966 | -240 | ||
Effect of Exchange Rates on Cash and Cash Equivalents | -11 | 6 | ||
Net Increase (Decrease) in Cash and Cash Equivalents | 390 | -256 | ||
Cash and Cash Equivalents at Beginning of Period | 901 | 1,202 | ||
Cash and Cash Equivalents at End of Period | 1,291 | 946 | ||
PPL Energy Supply LLC [Member] | ' | ' | ||
Cash Flows from Operating Activities | ' | ' | ||
Net income (loss) | 173 | 383 | ||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ' | ' | ||
Depreciation | 237 | 206 | ||
Amortization | 111 | 93 | ||
Defined benefit plans - expense | 39 | 33 | ||
Deferred income taxes and investment tax credits | 112 | 132 | ||
Unrealized (gains) losses on derivatives, and other hedging activities | 98 | -37 | ||
Other | 32 | 33 | ||
Change in current assets and current liabilities | ' | ' | ||
Accounts receivable | 71 | -26 | ||
Accounts payable | -131 | -110 | ||
Unbilled revenues | 135 | 78 | ||
Fuel, materials and supplies | -18 | -20 | ||
Counterparty collateral | -77 | 12 | ||
Other | -32 | -28 | ||
Other operating activities | ' | ' | ||
Defined benefit plans - funding | -107 | -70 | ||
Other assets | -32 | -16 | ||
Other liabilities | -28 | 11 | ||
Net cash provided by (used in) operating activities | 583 | 674 | ||
Cash Flows from Investing Activities | ' | ' | ||
Expenditures for property, plant and equipment | -341 | -460 | ||
Ironwood Acquisition, net of cash acquired | ' | -84 | ||
Expenditures for intangible assets | -33 | -36 | ||
Purchases of nuclear plant decommissioning trust investments | -102 | -112 | ||
Proceeds from the sale of nuclear plant decommissioning trust investments | 92 | 102 | ||
Net (increase) decrease in notes receivable from affiliates | ' | 198 | ||
Net (increase) decrease in restricted cash and cash equivalents | 9 | 70 | ||
Other investing activities | 24 | 14 | ||
Net cash provided by (used in) investing activities | -351 | -308 | ||
Cash Flows from Financing Activities | ' | ' | ||
Retirement of long-term debt | -309 | -6 | ||
Contributions from member | 980 | 472 | ||
Distributions to member | -408 | -733 | ||
Net increase (decrease) in short-term debt | -356 | -45 | ||
Other financing activities | -1 | -1 | ||
Net cash provided by (used in) financing activities | -94 | -313 | ||
Net Increase (Decrease) in Cash and Cash Equivalents | 138 | 53 | ||
Cash and Cash Equivalents at Beginning of Period | 413 | 379 | ||
Cash and Cash Equivalents at End of Period | 551 | 432 | ||
PPL Electric Utilities Corp [Member] | ' | ' | ||
Cash Flows from Operating Activities | ' | ' | ||
Net income (loss) | 160 | [1] | 99 | [1] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ' | ' | ||
Depreciation | 132 | 119 | ||
Amortization | 13 | 13 | ||
Defined benefit plans - expense | 16 | 17 | ||
Deferred income taxes and investment tax credits | 103 | 72 | ||
Other | 2 | 3 | ||
Change in current assets and current liabilities | ' | ' | ||
Accounts receivable | -14 | 48 | ||
Accounts payable | -51 | -43 | ||
Unbilled revenues | 34 | 18 | ||
Taxes payable | 24 | ' | ||
Other | -19 | -4 | ||
Other operating activities | ' | ' | ||
Defined benefit plans - funding | -88 | -54 | ||
Other assets | 6 | ' | ||
Other liabilities | 9 | -27 | ||
Net cash provided by (used in) operating activities | 327 | 261 | ||
Cash Flows from Investing Activities | ' | ' | ||
Expenditures for property, plant and equipment | -688 | -407 | ||
Net (increase) decrease in notes receivable from affiliates | ' | -210 | ||
Other investing activities | -9 | 3 | ||
Net cash provided by (used in) investing activities | -697 | -614 | ||
Cash Flows from Financing Activities | ' | ' | ||
Issuance of long-term debt | 348 | 249 | ||
Redemption of preference stock of a subsidiary | ' | -250 | ||
Payment of common stock dividends to parent | -94 | -75 | ||
Contributions from member | 205 | 150 | ||
Other financing activities | -4 | -10 | ||
Net cash provided by (used in) financing activities | 455 | 64 | ||
Net Increase (Decrease) in Cash and Cash Equivalents | 85 | -289 | ||
Cash and Cash Equivalents at Beginning of Period | 140 | 320 | ||
Cash and Cash Equivalents at End of Period | 225 | 31 | ||
LG And E And KU Energy LLC [Member] | ' | ' | ||
Cash Flows from Operating Activities | ' | ' | ||
Net income (loss) | 260 | [1] | 180 | [1] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ' | ' | ||
Depreciation | 249 | 259 | ||
Amortization | 19 | 20 | ||
Defined benefit plans - expense | 38 | 30 | ||
Deferred income taxes and investment tax credits | 99 | 92 | ||
Other | 6 | -5 | ||
Change in current assets and current liabilities | ' | ' | ||
Accounts receivable | -78 | -25 | ||
Accounts payable | 34 | 4 | ||
Accounts payable to affiliates | 1 | ' | ||
Unbilled revenues | 19 | 26 | ||
Fuel, materials and supplies | 1 | 4 | ||
Income tax receivable | ' | 3 | ||
Taxes payable | 83 | 51 | ||
Accrued interest | 30 | 29 | ||
Other | ' | 19 | ||
Other operating activities | ' | ' | ||
Defined benefit plans - funding | -159 | -66 | ||
Settlement of interest rate swaps | 98 | ' | ||
Other assets | -1 | -3 | ||
Other liabilities | 14 | 28 | ||
Net cash provided by (used in) operating activities | 713 | 646 | ||
Cash Flows from Investing Activities | ' | ' | ||
Expenditures for property, plant and equipment | -891 | -525 | ||
Net (increase) decrease in notes receivable from affiliates | ' | 9 | ||
Net (increase) decrease in restricted cash and cash equivalents | 10 | -3 | ||
Other investing activities | 2 | ' | ||
Net cash provided by (used in) investing activities | -879 | -519 | ||
Cash Flows from Financing Activities | ' | ' | ||
Contributions from member | 146 | ' | ||
Distributions to member | -116 | -95 | ||
Debt issuance and credit facility costs | ' | -1 | ||
Net increase (decrease) in notes payable to affiliates | 27 | ' | ||
Net increase (decrease) in short-term debt | 87 | ' | ||
Net cash provided by (used in) financing activities | 144 | -96 | ||
Net Increase (Decrease) in Cash and Cash Equivalents | -22 | 31 | ||
Cash and Cash Equivalents at Beginning of Period | 43 | 59 | ||
Cash and Cash Equivalents at End of Period | 21 | 90 | ||
Louisville Gas And Electric Co [Member] | ' | ' | ||
Cash Flows from Operating Activities | ' | ' | ||
Net income (loss) | 122 | [2] | 94 | [2] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ' | ' | ||
Depreciation | 110 | 114 | ||
Amortization | 9 | 8 | ||
Defined benefit plans - expense | 13 | 14 | ||
Deferred income taxes and investment tax credits | 22 | 40 | ||
Other | 10 | -11 | ||
Change in current assets and current liabilities | ' | ' | ||
Accounts receivable | -20 | -5 | ||
Accounts payable | 18 | 2 | ||
Accounts payable to affiliates | 7 | ' | ||
Unbilled revenues | 10 | 16 | ||
Fuel, materials and supplies | 2 | -10 | ||
Taxes payable | 32 | 21 | ||
Other | 12 | 13 | ||
Other operating activities | ' | ' | ||
Defined benefit plans - funding | -45 | -26 | ||
Settlement of interest rate swaps | 49 | ' | ||
Other assets | -1 | -2 | ||
Other liabilities | 2 | -1 | ||
Net cash provided by (used in) operating activities | 352 | 267 | ||
Cash Flows from Investing Activities | ' | ' | ||
Expenditures for property, plant and equipment | -376 | -193 | ||
Net (increase) decrease in restricted cash and cash equivalents | 10 | -3 | ||
Net cash provided by (used in) investing activities | -366 | -196 | ||
Cash Flows from Financing Activities | ' | ' | ||
Payment of common stock dividends to parent | -67 | -47 | ||
Contributions from member | 54 | ' | ||
Debt issuance and credit facility costs | ' | -1 | ||
Net increase (decrease) in short-term debt | 17 | ' | ||
Net cash provided by (used in) financing activities | 4 | -48 | ||
Net Increase (Decrease) in Cash and Cash Equivalents | -10 | 23 | ||
Cash and Cash Equivalents at Beginning of Period | 22 | 25 | ||
Cash and Cash Equivalents at End of Period | 12 | 48 | ||
Kentucky Utilities Co [Member] | ' | ' | ||
Cash Flows from Operating Activities | ' | ' | ||
Net income (loss) | 171 | [2] | 118 | [2] |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ' | ' | ||
Depreciation | 138 | 145 | ||
Amortization | 9 | 9 | ||
Defined benefit plans - expense | 16 | 9 | ||
Deferred income taxes and investment tax credits | 73 | 78 | ||
Other | -3 | 1 | ||
Change in current assets and current liabilities | ' | ' | ||
Accounts receivable | -46 | -34 | ||
Accounts payable | 25 | 9 | ||
Accounts payable to affiliates | -9 | -4 | ||
Unbilled revenues | 9 | 10 | ||
Fuel, materials and supplies | -1 | 16 | ||
Taxes payable | 39 | 26 | ||
Accrued interest | 15 | 14 | ||
Other | -3 | 18 | ||
Other operating activities | ' | ' | ||
Defined benefit plans - funding | -62 | -20 | ||
Settlement of interest rate swaps | 49 | ' | ||
Other assets | -2 | -1 | ||
Other liabilities | 1 | 16 | ||
Net cash provided by (used in) operating activities | 419 | 410 | ||
Cash Flows from Investing Activities | ' | ' | ||
Expenditures for property, plant and equipment | -512 | -331 | ||
Other investing activities | 2 | ' | ||
Net cash provided by (used in) investing activities | -510 | -331 | ||
Cash Flows from Financing Activities | ' | ' | ||
Payment of common stock dividends to parent | -83 | -68 | ||
Contributions from member | 92 | ' | ||
Net increase (decrease) in short-term debt | 70 | ' | ||
Net cash provided by (used in) financing activities | 79 | -68 | ||
Net Increase (Decrease) in Cash and Cash Equivalents | -12 | 11 | ||
Cash and Cash Equivalents at Beginning of Period | 21 | 31 | ||
Cash and Cash Equivalents at End of Period | $9 | $42 | ||
[1] | Net income approximates comprehensive income. | |||
[2] | Net income equals comprehensive income. |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
Current Assets | ' | ' | ||
Cash and cash equivalents | $1,291 | $901 | ||
Restricted cash and cash equivalents | 52 | 54 | ||
Accounts receivable (less reserve:) | ' | ' | ||
Customer | 857 | 745 | ||
Other | 117 | 79 | ||
Unbilled revenues | 652 | 857 | ||
Fuel, materials and supplies | 686 | 673 | ||
Prepayments | 173 | 166 | ||
Price risk management assets | 1,045 | 1,525 | ||
Regulatory assets | 31 | 19 | ||
Other current assets | 67 | 49 | ||
Total Current Assets | 4,971 | 5,068 | ||
Investments | ' | ' | ||
Nuclear plant decommissioning trust funds | 804 | 712 | ||
Other investments | 47 | 47 | ||
Total Investments | 851 | 759 | ||
Property, Plant and Equipment | ' | ' | ||
Regulated utility plant | 26,498 | 25,196 | ||
Less: accumulated depreciation - regulated utility plant | 4,636 | 4,164 | ||
Regulated utility plant, net | 21,862 | 21,032 | ||
Non-regulated property, plant and equipment | ' | ' | ||
Generation | 11,653 | 11,295 | ||
Nuclear fuel | 590 | 524 | ||
Other | 834 | 726 | ||
Less: accumulated depreciation - non-regulated property, plant and equipment | 6,173 | 5,942 | ||
Non-regulated property, plant and equipment, net | 6,904 | 6,603 | ||
Construction work in progress | 2,822 | 2,397 | ||
Property, Plant and Equipment, net | 31,588 | [1] | 30,032 | [1] |
Assets, Noncurrent [Abstract] | ' | ' | ||
Regulatory assets | 1,423 | 1,483 | ||
Goodwill | 4,050 | 4,158 | ||
Other intangibles | 932 | 925 | ||
Price risk management assets | 550 | 572 | ||
Other noncurrent assets | 623 | 637 | ||
Total Other Noncurrent Assets | 7,578 | 7,775 | ||
Total Assets | 44,988 | 43,634 | ||
Current Liabilities | ' | ' | ||
Short-term debt | 499 | 652 | ||
Long-term debt due within one year | 751 | 751 | ||
Accounts payable | 1,079 | 1,252 | ||
Taxes | 170 | 90 | ||
Interest | 325 | 325 | ||
Dividends | 232 | 210 | ||
Price risk management liabilities | 823 | 1,065 | ||
Regulatory liabilities | 68 | 61 | ||
Other current liabilities | 1,001 | 1,219 | ||
Total Current Liabilities | 4,948 | 5,625 | ||
Long-term Debt | 19,092 | 18,725 | ||
Deferred Credits and Other Noncurrent Liabilities | ' | ' | ||
Deferred income taxes | 3,777 | 3,387 | ||
Investment tax credits | 345 | 328 | ||
Price risk management liabilities | 538 | 629 | ||
Accrued pension obligations | 1,529 | 2,076 | ||
Asset retirement obligations | 678 | 536 | ||
Regulatory liabilities | 1,054 | 1,010 | ||
Other deferred credits and noncurrent liabilities | 665 | 820 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 8,586 | 8,786 | ||
Commitments and Contingent Liabilities | ' | ' | ||
Equity | ' | ' | ||
Common stock | 6 | [2] | 6 | [2] |
Additional paid-in capital | 8,305 | 6,936 | ||
Earnings reinvested | 6,040 | 5,478 | ||
Accumulated other comprehensive income (loss) | -2,007 | -1,940 | ||
Total Stockholders' Equity | 12,344 | 10,480 | ||
Noncontrolling Interests | 18 | 18 | ||
Total Equity | 12,362 | 10,498 | ||
Total Liabilities and Equity | 44,988 | 43,634 | ||
PPL Energy Supply LLC [Member] | ' | ' | ||
Current Assets | ' | ' | ||
Cash and cash equivalents | 551 | 413 | ||
Restricted cash and cash equivalents | 37 | 46 | ||
Accounts receivable (less reserve:) | ' | ' | ||
Customer | 203 | 183 | ||
Other | 104 | 31 | ||
Unbilled revenues | 234 | 369 | ||
Accounts receivable from affiliates | 37 | 125 | ||
Fuel, materials and supplies | 345 | 327 | ||
Prepayments | 22 | 15 | ||
Price risk management assets | 961 | 1,511 | ||
Other current assets | 22 | 10 | ||
Total Current Assets | 2,516 | 3,030 | ||
Investments | ' | ' | ||
Nuclear plant decommissioning trust funds | 804 | 712 | ||
Other investments | 41 | 41 | ||
Total Investments | 845 | 753 | ||
Non-regulated property, plant and equipment | ' | ' | ||
Generation | 11,663 | 11,305 | ||
Nuclear fuel | 590 | 524 | ||
Other | 307 | 294 | ||
Less: accumulated depreciation - non-regulated property, plant and equipment | 6,025 | 5,817 | ||
Non-regulated property, plant and equipment, net | 6,535 | 6,306 | ||
Construction work in progress | 739 | 987 | ||
Property, Plant and Equipment, net | 7,274 | [1] | 7,293 | [1] |
Assets, Noncurrent [Abstract] | ' | ' | ||
Goodwill | 86 | 86 | ||
Other intangibles | 262 | 252 | ||
Price risk management assets | 519 | 557 | ||
Other noncurrent assets | 362 | 404 | ||
Total Other Noncurrent Assets | 1,229 | 1,299 | ||
Total Assets | 11,864 | 12,375 | ||
Current Liabilities | ' | ' | ||
Short-term debt | ' | 356 | ||
Long-term debt due within one year | 741 | 751 | ||
Accounts payable | 328 | 438 | ||
Accounts payable to affiliates | 3 | 31 | ||
Taxes | 19 | 62 | ||
Interest | 53 | 31 | ||
Price risk management liabilities | 773 | 1,010 | ||
Deferred income taxes | 45 | 158 | ||
Other current liabilities | 264 | 319 | ||
Total Current Liabilities | 2,226 | 3,156 | ||
Long-term Debt | 2,221 | 2,521 | ||
Deferred Credits and Other Noncurrent Liabilities | ' | ' | ||
Deferred income taxes | 1,429 | 1,232 | ||
Investment tax credits | 207 | 186 | ||
Price risk management liabilities | 462 | 556 | ||
Accrued pension obligations | 203 | 293 | ||
Asset retirement obligations | 388 | 365 | ||
Other deferred credits and noncurrent liabilities | 180 | 218 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 2,869 | 2,850 | ||
Commitments and Contingent Liabilities | ' | ' | ||
Equity | ' | ' | ||
Accumulated other comprehensive income (loss) | 4 | 48 | ||
Member's Equity | 4,530 | 3,830 | ||
Noncontrolling Interests | 18 | 18 | ||
Total Equity | 4,548 | 3,848 | ||
Total Liabilities and Equity | 11,864 | 12,375 | ||
PPL Electric Utilities Corp [Member] | ' | ' | ||
Current Assets | ' | ' | ||
Cash and cash equivalents | 225 | 140 | ||
Accounts receivable (less reserve:) | ' | ' | ||
Customer | 273 | 249 | ||
Other | 14 | 5 | ||
Unbilled revenues | 76 | 110 | ||
Accounts receivable from affiliates | 4 | 29 | ||
Fuel, materials and supplies | 35 | 39 | ||
Prepayments | 67 | 76 | ||
Deferred income taxes | 46 | 45 | ||
Regulatory assets | 2 | ' | ||
Other current assets | 18 | 4 | ||
Total Current Assets | 758 | 697 | ||
Property, Plant and Equipment | ' | ' | ||
Regulated utility plant | 6,771 | 6,286 | ||
Less: accumulated depreciation - regulated utility plant | 2,421 | 2,316 | ||
Regulated utility plant, net | 4,350 | 3,970 | ||
Non-regulated property, plant and equipment | ' | ' | ||
Other, net | 2 | 2 | ||
Construction work in progress | 519 | 370 | ||
Property, Plant and Equipment, net | 4,871 | 4,342 | ||
Assets, Noncurrent [Abstract] | ' | ' | ||
Regulatory assets | 857 | 853 | ||
Other intangibles | 208 | 171 | ||
Other noncurrent assets | 35 | 55 | ||
Total Other Noncurrent Assets | 1,100 | 1,079 | ||
Total Assets | 6,729 | 6,118 | ||
Current Liabilities | ' | ' | ||
Long-term debt due within one year | 10 | ' | ||
Accounts payable | 244 | 259 | ||
Accounts payable to affiliates | 46 | 63 | ||
Taxes | 36 | 12 | ||
Interest | 23 | 26 | ||
Regulatory liabilities | 51 | 52 | ||
Other current liabilities | 94 | 93 | ||
Total Current Liabilities | 504 | 505 | ||
Long-term Debt | 2,305 | 1,967 | ||
Deferred Credits and Other Noncurrent Liabilities | ' | ' | ||
Deferred income taxes | 1,334 | 1,233 | ||
Investment tax credits | 3 | 3 | ||
Accrued pension obligations | 157 | 237 | ||
Regulatory liabilities | 14 | 8 | ||
Other deferred credits and noncurrent liabilities | 79 | 103 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 1,587 | 1,584 | ||
Commitments and Contingent Liabilities | ' | ' | ||
Equity | ' | ' | ||
Common stock | 364 | [3] | 364 | [3] |
Additional paid-in capital | 1,340 | 1,135 | ||
Earnings reinvested | 629 | 563 | ||
Total Stockholders' Equity | 2,333 | 2,062 | ||
Total Liabilities and Equity | 6,729 | 6,118 | ||
LG And E And KU Energy LLC [Member] | ' | ' | ||
Current Assets | ' | ' | ||
Cash and cash equivalents | 21 | 43 | ||
Accounts receivable (less reserve:) | ' | ' | ||
Customer | 216 | 133 | ||
Other | 18 | 20 | ||
Unbilled revenues | 137 | 156 | ||
Accounts receivable from affiliates | ' | 1 | ||
Fuel, materials and supplies | 275 | 276 | ||
Prepayments | 24 | 28 | ||
Price risk management assets from affiliates | ' | 14 | ||
Deferred income taxes | 20 | 13 | ||
Regulatory assets | 29 | 19 | ||
Other current assets | 6 | 4 | ||
Total Current Assets | 746 | 707 | ||
Property, Plant and Equipment | ' | ' | ||
Regulated utility plant | 8,434 | 8,073 | ||
Less: accumulated depreciation - regulated utility plant | 713 | 519 | ||
Regulated utility plant, net | 7,721 | 7,554 | ||
Non-regulated property, plant and equipment | ' | ' | ||
Other, net | 3 | 3 | ||
Construction work in progress | 1,341 | 750 | ||
Property, Plant and Equipment, net | 9,065 | 8,307 | ||
Assets, Noncurrent [Abstract] | ' | ' | ||
Regulatory assets | 566 | 630 | ||
Goodwill | 996 | 996 | ||
Other intangibles | 232 | 271 | ||
Other noncurrent assets | 97 | 108 | ||
Total Other Noncurrent Assets | 1,891 | 2,005 | ||
Total Assets | 11,702 | 11,019 | ||
Current Liabilities | ' | ' | ||
Short-term debt | 212 | 125 | ||
Notes payable with affiliates | 52 | 25 | ||
Accounts payable | 312 | 283 | ||
Accounts payable to affiliates | 2 | 1 | ||
Customer deposits | 49 | 48 | ||
Taxes | 109 | 26 | ||
Interest | 51 | 21 | ||
Price risk management liabilities | 4 | 5 | ||
Price risk management liabilities from affiliates | 14 | ' | ||
Regulatory liabilities | 17 | 9 | ||
Other current liabilities | 104 | 100 | ||
Total Current Liabilities | 926 | 643 | ||
Long-term Debt | 4,076 | 4,075 | ||
Deferred Credits and Other Noncurrent Liabilities | ' | ' | ||
Deferred income taxes | 651 | 541 | ||
Investment tax credits | 136 | 138 | ||
Price risk management liabilities | 37 | 53 | ||
Accrued pension obligations | 267 | 414 | ||
Asset retirement obligations | 245 | 125 | ||
Regulatory liabilities | 1,040 | 1,002 | ||
Other deferred credits and noncurrent liabilities | 249 | 242 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 2,625 | 2,515 | ||
Commitments and Contingent Liabilities | ' | ' | ||
Equity | ' | ' | ||
Member's Equity | 4,075 | 3,786 | ||
Total Liabilities and Equity | 11,702 | 11,019 | ||
Louisville Gas And Electric Co [Member] | ' | ' | ||
Current Assets | ' | ' | ||
Cash and cash equivalents | 12 | 22 | ||
Accounts receivable (less reserve:) | ' | ' | ||
Customer | 93 | 59 | ||
Other | 9 | 16 | ||
Unbilled revenues | 62 | 72 | ||
Accounts receivable from affiliates | 8 | 14 | ||
Fuel, materials and supplies | 140 | 142 | ||
Prepayments | 4 | 7 | ||
Price risk management assets from affiliates | ' | 7 | ||
Deferred income taxes | 3 | ' | ||
Regulatory assets | 19 | 19 | ||
Other current assets | 1 | 1 | ||
Total Current Assets | 351 | 359 | ||
Property, Plant and Equipment | ' | ' | ||
Regulated utility plant | 3,340 | 3,187 | ||
Less: accumulated depreciation - regulated utility plant | 309 | 220 | ||
Regulated utility plant, net | 3,031 | 2,967 | ||
Non-regulated property, plant and equipment | ' | ' | ||
Other, net | 1 | ' | ||
Construction work in progress | 490 | 259 | ||
Property, Plant and Equipment, net | 3,522 | 3,226 | ||
Assets, Noncurrent [Abstract] | ' | ' | ||
Regulatory assets | 359 | 400 | ||
Goodwill | 389 | 389 | ||
Other intangibles | 126 | 144 | ||
Other noncurrent assets | 33 | 44 | ||
Total Other Noncurrent Assets | 907 | 977 | ||
Total Assets | 4,780 | 4,562 | ||
Current Liabilities | ' | ' | ||
Short-term debt | 72 | 55 | ||
Accounts payable | 147 | 117 | ||
Accounts payable to affiliates | 30 | 23 | ||
Customer deposits | 24 | 23 | ||
Taxes | 34 | 2 | ||
Interest | 10 | 5 | ||
Price risk management liabilities | 4 | 5 | ||
Price risk management liabilities from affiliates | 7 | ' | ||
Regulatory liabilities | 11 | 4 | ||
Other current liabilities | 34 | 34 | ||
Total Current Liabilities | 373 | 268 | ||
Long-term Debt | 1,112 | 1,112 | ||
Deferred Credits and Other Noncurrent Liabilities | ' | ' | ||
Deferred income taxes | 577 | 544 | ||
Investment tax credits | 39 | 40 | ||
Price risk management liabilities | 37 | 53 | ||
Accrued pension obligations | 56 | 102 | ||
Asset retirement obligations | 69 | 56 | ||
Regulatory liabilities | 489 | 471 | ||
Other deferred credits and noncurrent liabilities | 109 | 106 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 1,376 | 1,372 | ||
Commitments and Contingent Liabilities | ' | ' | ||
Equity | ' | ' | ||
Common stock | 424 | [4] | 424 | [4] |
Additional paid-in capital | 1,332 | 1,278 | ||
Earnings reinvested | 163 | 108 | ||
Total Stockholders' Equity | 1,919 | 1,810 | ||
Total Liabilities and Equity | 4,780 | 4,562 | ||
Kentucky Utilities Co [Member] | ' | ' | ||
Current Assets | ' | ' | ||
Cash and cash equivalents | 9 | 21 | ||
Accounts receivable (less reserve:) | ' | ' | ||
Customer | 123 | 74 | ||
Other | 8 | 13 | ||
Unbilled revenues | 75 | 84 | ||
Accounts receivable from affiliates | 10 | 7 | ||
Fuel, materials and supplies | 135 | 134 | ||
Prepayments | 11 | 10 | ||
Price risk management assets from affiliates | ' | 7 | ||
Deferred income taxes | 3 | 3 | ||
Regulatory assets | 10 | ' | ||
Other current assets | 5 | 3 | ||
Total Current Assets | 389 | 356 | ||
Property, Plant and Equipment | ' | ' | ||
Regulated utility plant | 5,094 | 4,886 | ||
Less: accumulated depreciation - regulated utility plant | 404 | 299 | ||
Regulated utility plant, net | 4,690 | 4,587 | ||
Non-regulated property, plant and equipment | ' | ' | ||
Other, net | 1 | 1 | ||
Construction work in progress | 849 | 490 | ||
Property, Plant and Equipment, net | 5,540 | 5,078 | ||
Assets, Noncurrent [Abstract] | ' | ' | ||
Regulatory assets | 207 | 230 | ||
Goodwill | 607 | 607 | ||
Other intangibles | 106 | 127 | ||
Other noncurrent assets | 57 | 57 | ||
Total Other Noncurrent Assets | 977 | 1,021 | ||
Total Assets | 6,906 | 6,455 | ||
Current Liabilities | ' | ' | ||
Short-term debt | 140 | 70 | ||
Accounts payable | 155 | 147 | ||
Accounts payable to affiliates | 24 | 33 | ||
Customer deposits | 25 | 25 | ||
Taxes | 65 | 26 | ||
Interest | 25 | 10 | ||
Price risk management liabilities from affiliates | 7 | ' | ||
Regulatory liabilities | 6 | 5 | ||
Other current liabilities | 31 | 33 | ||
Total Current Liabilities | 478 | 349 | ||
Long-term Debt | 1,843 | 1,842 | ||
Deferred Credits and Other Noncurrent Liabilities | ' | ' | ||
Deferred income taxes | 660 | 587 | ||
Investment tax credits | 97 | 98 | ||
Accrued pension obligations | 45 | 104 | ||
Asset retirement obligations | 176 | 69 | ||
Regulatory liabilities | 551 | 531 | ||
Other deferred credits and noncurrent liabilities | 93 | 92 | ||
Total Deferred Credits and Other Noncurrent Liabilities | 1,622 | 1,481 | ||
Commitments and Contingent Liabilities | ' | ' | ||
Equity | ' | ' | ||
Common stock | 308 | [5] | 308 | [5] |
Additional paid-in capital | 2,440 | 2,348 | ||
Earnings reinvested | 214 | 126 | ||
Accumulated other comprehensive income (loss) | 1 | 1 | ||
Total Stockholders' Equity | 2,963 | 2,783 | ||
Total Liabilities and Equity | $6,906 | $6,455 | ||
[1] | At September 30, 2013 and December 31, 2012, includes $413 million and $428 million of PP&E, consisting primarily of "Generation," including leasehold improvements from the consolidation of a VIE that is the owner/lessor of the Lower Mt. Bethel plant. | |||
[2] | 780,000 shares authorized; 630,239 and 581,944 shares issued and outstanding at September 30, 2013 and December 31, 2012. | |||
[3] | 170,000 shares authorized; 66,368 shares issued and outstanding at September 30, 2013 and December 31, 2012. | |||
[4] | 75,000 shares authorized; 21,294 shares issued and outstanding at September 30, 2013 and December 31, 2012. | |||
[5] | 80,000 shares authorized; 37,818 shares issued and outstanding at September 30, 2013 and December 31, 2012. |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, except Share data in Thousands, unless otherwise specified | ||
Receivables Net Current [Abstract] | ' | ' |
Accounts receivable reserve for uncollectible accounts | $65 | $64 |
Property, Plant and Equipment | ' | ' |
PP&E, net from the consolidation of a VIE | 413 | 428 |
Equity | ' | ' |
Common stock par value | $0.01 | $0.01 |
Common stock shares authorized | 780,000 | 780,000 |
Common stock shares issued | 630,239 | 581,944 |
Common stock shares outstanding | 630,239 | 581,944 |
PPL Energy Supply LLC [Member] | ' | ' |
Receivables Net Current [Abstract] | ' | ' |
Accounts receivable reserve for uncollectible accounts | 20 | 23 |
Property, Plant and Equipment | ' | ' |
PP&E, net from the consolidation of a VIE | 413 | 428 |
PPL Electric Utilities Corp [Member] | ' | ' |
Receivables Net Current [Abstract] | ' | ' |
Accounts receivable reserve for uncollectible accounts | 20 | 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 | 66,368 |
LG And E And KU Energy LLC [Member] | ' | ' |
Receivables Net Current [Abstract] | ' | ' |
Accounts receivable reserve for uncollectible accounts | 22 | 19 |
Louisville Gas And Electric Co [Member] | ' | ' |
Receivables Net Current [Abstract] | ' | ' |
Accounts receivable reserve for uncollectible accounts | 2 | 1 |
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 | $4 | $2 |
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 |
CONDENSED_CONSOLIDATED_STATEME4
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) (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 | Members Equity [Member] | Non-controlling Interests | Common Stock | Preference Stock | 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 Jun. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,881 | $364 | ' | $979 | $538 | ' | $1,782 | $424 | $1,278 | $80 | $2,761 | $308 | $2,348 | $109 | ($4) | |||||||||||
Balance at beginning of period at Jun. 30, 2012 | 10,980 | 6 | 6,886 | 5,190 | -1,120 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period at Jun. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,774 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period - shares at Jun. 30, 2012 | ' | 580,213 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | 66,368 | [2] | ' | ' | ' | ' | ' | 21,294 | [3] | ' | ' | ' | 37,818 | [4] | ' | ' | ' | |||||||
Balance at beginning of period at Jun. 30, 2012 | ' | ' | ' | ' | ' | ' | 4,000 | 3,982 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Common stock shares issued | [1],[5] | ' | 757 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock issued | [5] | 21 | ' | 21 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Stock-based compensation | [6] | 5 | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Net income (loss) | 355 | ' | ' | 355 | ' | ' | 55 | 54 | 1 | 33 | [7] | ' | ' | ' | 33 | 83 | [7] | 43 | [8] | ' | ' | 43 | 50 | [8] | ' | ' | 50 | ' | |||||||
Dividends, dividend equivalents, redemptions and distributions | [9] | -210 | ' | ' | -210 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash dividends declared on common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | -19 | ' | ' | ' | -19 | ' | -16 | ' | ' | -16 | -20 | ' | ' | -20 | ' | |||||||||||
Distributions to member | ' | ' | ' | ' | ' | ' | -77 | -76 | -1 | ' | ' | ' | ' | ' | -35 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Capital Contributions From Parent | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Other comprehensive income (loss) | 81 | ' | ' | ' | 81 | ' | -77 | -77 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,045 | 364 | ' | ' | 552 | ' | 1,809 | 424 | 1,278 | 107 | 2,791 | 308 | 2,348 | 139 | ' | |||||||||||
Balance at end of period at Sep. 30, 2012 | 11,232 | 6 | 6,912 | 5,335 | -1,039 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,822 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period - shares at Sep. 30, 2012 | ' | 580,970 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | 66,368 | [2] | ' | ' | ' | ' | ' | 21,294 | [3] | ' | ' | ' | 37,818 | [4] | ' | ' | ' | |||||||
Balance at end of period at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | 3,901 | 3,883 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
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 at Dec. 31, 2011 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,741 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period - shares at Dec. 31, 2011 | ' | 578,405 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | 66,368 | [2] | ' | ' | ' | ' | ' | 21,294 | [3] | ' | ' | ' | 37,818 | [4] | ' | ' | ' | |||||||
Balance at beginning of period at Dec. 31, 2011 | ' | ' | ' | ' | ' | ' | 4,037 | 4,019 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Common stock shares issued | [1],[5] | ' | 2,565 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock issued | [5] | 71 | ' | 71 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Stock-based compensation | [6] | 28 | ' | 28 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Net income (loss) | 1,171 | ' | ' | 1,167 | ' | 4 | 383 | 382 | 1 | 99 | [7] | ' | ' | ' | 99 | 180 | [7] | 94 | [8] | ' | ' | 94 | 118 | [8] | ' | ' | 118 | ' | |||||||
Dividends, dividend equivalents, redemptions and distributions | [9] | -883 | ' | ' | -629 | ' | -254 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash dividends declared on preference stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | -4 | ' | ' | ' | -4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Cash dividends declared on common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | -75 | ' | ' | ' | -75 | ' | -47 | ' | ' | -47 | -68 | ' | ' | -68 | ' | |||||||||||
Distributions to member | ' | ' | ' | ' | ' | ' | -734 | -733 | -1 | ' | ' | ' | ' | ' | -95 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Contributions from member | ' | ' | ' | ' | ' | ' | 472 | 472 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Capital Contributions From Parent | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150 | ' | ' | 150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Redemption of preferred stock | [10] | ' | ' | ' | ' | ' | ' | ' | ' | ' | -250 | ' | -250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Other comprehensive income (loss) | -251 | ' | ' | ' | -251 | ' | -257 | -257 | ' | ' | ' | ' | ' | ' | -4 | ' | ' | ' | ' | -4 | ' | ' | ' | -4 | |||||||||||
Balance at end of period at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,045 | 364 | ' | 1,129 | 552 | ' | 1,809 | 424 | 1,278 | 107 | 2,791 | 308 | 2,348 | 139 | -4 | |||||||||||
Balance at end of period at Sep. 30, 2012 | 11,232 | 6 | 6,912 | 5,335 | -1,039 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,822 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period - shares at Sep. 30, 2012 | ' | 580,970 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | 66,368 | [2] | ' | ' | ' | ' | ' | 21,294 | [3] | ' | ' | ' | 37,818 | [4] | ' | ' | ' | |||||||
Balance at end of period at Sep. 30, 2012 | ' | ' | ' | ' | ' | ' | 3,901 | 3,883 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period at Dec. 31, 2012 | 10,480 | ' | ' | ' | ' | ' | ' | ' | ' | 2,062 | 364 | ' | 1,135 | 563 | ' | 1,810 | 424 | 1,278 | 108 | 2,783 | 308 | 2,348 | 126 | 1 | |||||||||||
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 | ' | ' | ' | ' | ' | ' | 3,830 | ' | ' | ' | ' | ' | ' | ' | 3,786 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period - shares at Dec. 31, 2012 | 581,944 | 581,944 | [1] | ' | ' | ' | ' | ' | ' | ' | 66,368 | 66,368 | [2] | ' | ' | ' | ' | 21,294 | 21,294 | [3] | ' | ' | 37,818 | ' | ' | ' | ' | ||||||||
Balance at beginning of period at Dec. 31, 2012 | ' | ' | ' | ' | ' | ' | 3,848 | 3,830 | [11] | 18 | [11] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Common stock shares issued | [1],[5] | ' | 50,725 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock issued | [5] | 1,433 | ' | 1,433 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock shares repurchased | 2,400 | 2,430 | [12] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock repurchased | [12] | 74 | ' | 74 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash settlement of equity forward agreements | [12] | -13 | ' | -13 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Stock-based compensation | [6] | 23 | ' | 23 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Net income (loss) | 1,229 | ' | ' | 1,228 | ' | 1 | 173 | 172 | 1 | 160 | [7] | ' | ' | ' | 160 | 260 | [7] | 122 | [8] | ' | ' | 122 | 171 | [8] | ' | ' | 171 | ' | |||||||
Dividends, dividend equivalents, redemptions and distributions | [9] | -667 | ' | ' | -666 | ' | -1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash dividends declared on common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | -94 | ' | ' | ' | -94 | ' | -67 | ' | ' | -67 | -83 | ' | ' | -83 | ' | |||||||||||
Distributions to member | ' | ' | ' | ' | ' | ' | -409 | -408 | -1 | ' | ' | ' | ' | ' | -116 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Contributions from member | ' | ' | ' | ' | ' | ' | 980 | 980 | ' | ' | ' | ' | ' | ' | 146 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Capital Contributions From Parent | ' | ' | ' | ' | ' | ' | ' | ' | ' | 205 | ' | ' | 205 | ' | ' | 54 | ' | 54 | ' | 92 | ' | 92 | ' | ' | |||||||||||
Other comprehensive income (loss) | -67 | ' | ' | ' | -67 | ' | -44 | -44 | ' | ' | ' | ' | ' | ' | -1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2013 | 12,344 | ' | ' | ' | ' | ' | ' | ' | ' | 2,333 | 364 | ' | 1,340 | 629 | ' | 1,919 | 424 | 1,332 | 163 | 2,963 | 308 | 2,440 | 214 | 1 | |||||||||||
Balance at end of period at Sep. 30, 2013 | 12,362 | 6 | 8,305 | 6,040 | -2,007 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2013 | ' | ' | ' | ' | ' | ' | 4,530 | ' | ' | ' | ' | ' | ' | ' | 4,075 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period - shares at Sep. 30, 2013 | 630,239 | ' | ' | ' | ' | ' | ' | ' | ' | 66,368 | ' | ' | ' | ' | ' | 21,294 | ' | ' | ' | 37,818 | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2013 | ' | ' | ' | ' | ' | ' | 4,548 | 4,530 | [11] | 18 | [11] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
Balance at beginning of period at Jun. 30, 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,310 | 364 | ' | 1,340 | 606 | ' | 1,889 | 424 | 1,332 | 133 | 2,928 | 308 | 2,440 | 179 | 1 | |||||||||||
Balance at beginning of period at Jun. 30, 2013 | 10,954 | 6 | 7,195 | 5,863 | -2,128 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period at Jun. 30, 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,022 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at beginning of period - shares at Jun. 30, 2013 | ' | 591,622 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 21,294 | [3] | ' | ' | 37,818 | [4] | ' | ' | ' | ' | ||||||||
Balance at beginning of period at Jun. 30, 2013 | [11] | ' | ' | ' | ' | ' | ' | 3,559 | 3,541 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock shares issued | [1],[5] | ' | 40,117 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock issued | [5] | 1,151 | ' | 1,151 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock shares repurchased | [12] | ' | 1,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Common stock repurchased | [12] | 46 | ' | 46 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Stock-based compensation | [6] | 5 | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Net income (loss) | 411 | ' | ' | 410 | ' | 1 | 125 | 124 | 1 | 51 | [7] | ' | ' | ' | 51 | 100 | [7] | 49 | [8] | ' | ' | 49 | 63 | [8] | ' | ' | 63 | ' | |||||||
Dividends, dividend equivalents, redemptions and distributions | [9] | -234 | ' | ' | -233 | ' | -1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash dividends declared on common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | -28 | ' | ' | ' | -28 | ' | -19 | ' | ' | -19 | -28 | ' | ' | -28 | ' | |||||||||||
Distributions to member | ' | ' | ' | ' | ' | ' | -1 | ' | -1 | ' | ' | ' | ' | ' | -47 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Contributions from member | ' | ' | ' | ' | ' | ' | 875 | 875 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Capital Contributions From Parent | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Other comprehensive income (loss) | 121 | ' | ' | ' | 121 | ' | -10 | -10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2013 | 12,344 | ' | ' | ' | ' | ' | ' | ' | ' | 2,333 | 364 | ' | 1,340 | 629 | ' | 1,919 | 424 | 1,332 | 163 | 2,963 | 308 | 2,440 | 214 | 1 | |||||||||||
Balance at end of period at Sep. 30, 2013 | 12,362 | 6 | 8,305 | 6,040 | -2,007 | 18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2013 | ' | ' | ' | ' | ' | ' | 4,530 | ' | ' | ' | ' | ' | ' | ' | 4,075 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Balance at end of period - shares at Sep. 30, 2013 | 630,239 | ' | ' | ' | ' | ' | ' | ' | ' | 66,368 | ' | ' | ' | ' | ' | 21,294 | ' | ' | ' | 37,818 | ' | ' | ' | ' | |||||||||||
Balance at end of period at Sep. 30, 2013 | ' | ' | ' | ' | ' | ' | $4,548 | $4,530 | [11] | $18 | [11] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||
[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 PPL Electric stock are owned by PPL. | ||||||||||||||||||||||||||||||||||
[3] | Shares in thousands. All common shares of LG&E stock are owned by LKE. | ||||||||||||||||||||||||||||||||||
[4] | Shares in thousands. All common shares of KU stock are owned by LKE. | ||||||||||||||||||||||||||||||||||
[5] | Each period includes shares of common stock issued through various stock and incentive compensation plans. The 2013 periods include the April and July issuances of shares of common stock. See Note 7 for additional information. | ||||||||||||||||||||||||||||||||||
[6] | The three and nine months ended September 30, 2013 include $8 million and $44 million and the three and nine months ended September 30, 2012 include $7 million and $42 million of stock-based compensation expense related to new and existing unvested equity awards. The three and nine months ended September 30, 2013 include $(3) million and $(21) million and the three and nine months ended September 30, 2012 include $(2) million and $(14) million related primarily to the reclassification from "Stock-based compensation" to "Common stock issued" for the issuance of common stock after applicable equity award vesting periods and tax adjustments related to stock-based compensation. | ||||||||||||||||||||||||||||||||||
[7] | Net income approximates comprehensive income. | ||||||||||||||||||||||||||||||||||
[8] | Net income equals comprehensive income. | ||||||||||||||||||||||||||||||||||
[9] | "Earnings reinvested" includes dividends and dividend equivalents on PPL common stock and restricted stock units. "Noncontrolling interests" includes dividends, redemptions and distributions to noncontrolling interests. In June 2012, PPL Electric redeemed all of its outstanding preference stock at par value, which was classified as noncontrolling interest. | ||||||||||||||||||||||||||||||||||
[10] | In June 2012, PPL Electric redeemed all of its outstanding preference stock. | ||||||||||||||||||||||||||||||||||
[11] | See Note 18 for disclosure of balances of each component of AOCI. | ||||||||||||||||||||||||||||||||||
[12] | See Note 7 for additional information. |
CONDENSED_CONSOLIDATED_STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Integer | Integer | Integer | Integer | |
Vote per share of PPL's common stock | 1 | 1 | 1 | 1 |
Stock-based compensation expense related to new and existing unvested equity awards | $8 | $7 | $44 | $42 |
Reclassifications from Stock-based compensation to Common stock issued | ($3) | ($2) | ($21) | ($14) |
Interim_Financial_Statements
Interim Financial Statements | 9 Months Ended |
Sep. 30, 2013 | |
Interim Financial Statements [Abstract] | ' |
Interim Financial Statements | ' |
1. Interim Financial Statements | |
(All Registrants) | |
Capitalized terms and abbreviations appearing in the unaudited combined notes to condensed 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 their related activities and disclosures. Within combined disclosures, amounts are disclosed for any Registrant when significant. | |
The accompanying unaudited condensed financial statements have been prepared in accordance with GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X and, therefore, do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation in accordance with GAAP are reflected in the condensed financial statements. All adjustments are of a normal recurring nature, except as otherwise disclosed. Each Registrant's Balance Sheet at December 31, 2012 is derived from that Registrant's 2012 audited Balance Sheet. The financial statements and notes thereto should be read in conjunction with the financial statements and notes contained in each Registrant's 2012 Form 10-K. The results of operations for the three and nine months ended September 30, 2013, are not necessarily indicative of the results to be expected for the full year ending December 31, 2013, or other future periods, because results for interim periods can be disproportionately influenced by various factors, developments and seasonal variations. | |
The classification of certain prior period amounts has been changed to conform to the presentation in the September 30, 2013 financial statements. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2013 | |
Summary of Significant Accounting Policies [Abstract] | ' |
Summary of Significant Accounting Policies | ' |
2. Summary of Significant Accounting Policies | |
(All Registrants) | |
The following accounting policy disclosures represent updates to Note 1 in each Registrant's 2012 Form 10-K and should be read in conjunction with those disclosures. | |
Accounts Receivable (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 suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative 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 the three and nine months ended September 30, 2013, PPL Electric purchased $259 million and $738 million of accounts receivable from unaffiliated third parties and $75 million and $222 million from PPL EnergyPlus. During the three and nine months ended September 30, 2012, PPL Electric purchased $225 million and $647 million of accounts receivable from unaffiliated third parties and $81 million and $237 million from PPL EnergyPlus. | |
Depreciation (PPL and Kentucky Registrants) | |
The KPSC approved new lower depreciation rates for LG&E and KU as part of the rate-case settlement agreement reached in | |
2012. The new rates became effective January 1, 2013 and will result in lower depreciation of approximately $19 million ($9 million for LG&E and $10 million for KU) in 2013, exclusive of net additions to PP&E since the rate case. | |
New Accounting Guidance Adopted (All Registrants) | |
Improving Disclosures about Offsetting Balance Sheet Items | |
Effective January 1, 2013, the Registrants retrospectively adopted accounting guidance issued to enhance disclosures about derivative instruments that either (1) offset on the balance sheet or (2) are subject to an enforceable master netting arrangement or similar agreement, irrespective of whether they are offset on the balance sheet. | |
The adoption of this guidance resulted in enhanced disclosures but did not have a significant impact on the Registrants. See Note 14 for the new disclosures. | |
Testing Indefinite-Lived Intangible Assets for Impairment | |
Effective January 1, 2013, the Registrants prospectively adopted accounting guidance that allows an entity to elect the option to first make a qualitative evaluation about the likelihood of an impairment of an indefinite-lived intangible asset. If, based on this assessment, the entity determines that it is more likely than not that the fair value of the indefinite-lived intangible asset exceeds the carrying amount, a quantitative impairment test does not need to be performed. If the entity concludes otherwise, a quantitative impairment test must be performed by determining the fair value of the asset and comparing it with the carrying value. The entity would record an impairment charge, if necessary. | |
The adoption of this guidance did not have a significant impact on the Registrants. | |
Reporting Amounts Reclassified Out of AOCI | |
Effective January 1, 2013, the Registrants prospectively adopted accounting guidance issued to improve the reporting of reclassifications out of AOCI. The Registrants are required to provide information about the effects on net income of significant amounts reclassified out of AOCI by their respective statement of income line item, if the item is required to be reclassified to net income in its entirety. For items not reclassified to net income in their entirety, the Registrants are required to reference other disclosures that provide greater detail about these reclassifications. | |
The adoption of this guidance resulted in enhanced disclosures but did not have a significant impact on the Registrants. See Note 18 for the new disclosures. |
Segment_and_Related_Informatio
Segment and Related Information | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Segment and Related Information [Abstract] | ' | ||||||||||||||||
Segment and Related Information | ' | ||||||||||||||||
3. Segment and Related Information | |||||||||||||||||
(PPL) | |||||||||||||||||
See Note 2 in PPL's 2012 Form 10-K for a discussion of reportable segments. "Corporate and Other" primarily includes financing and certain other costs incurred at the corporate level that have not been allocated or assigned to the segments, as well as certain unallocated assets, which is presented to reconcile segment information to PPL's consolidated results. For 2012, there were no significant costs or assets in this category. | |||||||||||||||||
In 2013, costs included in the Corporate and Other category increased, as anticipated, primarily due to an increase in financing at PPL Capital Funding not directly attributable to a particular segment. PPL's growth in rate-regulated businesses provides the organization an enhanced corporate-level financing alternative, through PPL Capital Funding, that further enables PPL to cost-effectively support targeted credit profiles across all of PPL's rated companies. As a result, PPL plans to further utilize PPL Capital Funding in addition to continued direct financing by the operating companies. The financing costs associated primarily with PPL Capital Funding's new securities issuances, with certain exceptions including the remarketing of the debt component of the Equity Units, have not been directly assigned or allocated to any segment and generally have been reflected in Corporate and Other in 2013. | |||||||||||||||||
For the periods ended September 30, financial data for the segments are: | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Income Statement Data | |||||||||||||||||
Revenues from external customers | |||||||||||||||||
U.K. Regulated | $ | 543 | $ | 528 | $ | 1,763 | $ | 1,647 | |||||||||
Kentucky Regulated | 744 | 732 | 2,226 | 2,095 | |||||||||||||
Pennsylvania Regulated | 463 | 443 | 1,388 | 1,303 | |||||||||||||
Supply (a) | 1,352 | 700 | 3,626 | 4,019 | |||||||||||||
Corporate and Other | 3 | 9 | |||||||||||||||
Total | $ | 3,105 | $ | 2,403 | $ | 9,012 | $ | 9,064 | |||||||||
Intersegment electric revenues | |||||||||||||||||
Pennsylvania Regulated | $ | 1 | $ | 1 | $ | 3 | $ | 3 | |||||||||
Supply | 11 | 23 | 37 | 61 | |||||||||||||
Net Income Attributable to PPL Shareowners | |||||||||||||||||
U.K. Regulated (a) | $ | 183 | $ | 202 | $ | 741 | $ | 563 | |||||||||
Kentucky Regulated | 93 | 72 | 227 | 148 | |||||||||||||
Pennsylvania Regulated | 51 | 33 | 160 | 95 | |||||||||||||
Supply (a) | 91 | 48 | 122 | 361 | |||||||||||||
Corporate and Other | -8 | -22 | |||||||||||||||
Total | $ | 410 | $ | 355 | $ | 1,228 | $ | 1,167 | |||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Assets | |||||||||||||||||
U.K. Regulated | $ | 14,329 | $ | 14,073 | |||||||||||||
Kentucky Regulated | 11,368 | 10,670 | |||||||||||||||
Pennsylvania Regulated | 6,729 | 6,023 | |||||||||||||||
Supply | 12,198 | 12,868 | |||||||||||||||
Corporate and Other (b) | 364 | ||||||||||||||||
Total assets | $ | 44,988 | $ | 43,634 | |||||||||||||
(a) Includes unrealized gains and losses from economic activity. See Note 14 for additional information. | |||||||||||||||||
(b) Primarily consists of unallocated assets, including cash, PP&E and the elimination of inter-segment transactions. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
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. The If-Converted Method was applied to the Equity Units prior to settlement beginning in the first quarter of 2013. Incremental non-participating securities that have a dilutive impact are detailed in the table below. | ||||||||||||||||
See Note 7 for information on the April and May 2013 settlements of forward sale agreements and the July 2013 issuance of PPL common stock to settle the 2010 Purchase Contracts. | ||||||||||||||||
Reconciliations of the amounts of income and shares of PPL common stock (in thousands) for the periods ended September 30 used in the EPS calculation are: | ||||||||||||||||
Three Months | Nine Months | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Income (Numerator) | ||||||||||||||||
Income from continuing operations after income taxes attributable to PPL | ||||||||||||||||
shareowners | $ | 409 | $ | 355 | $ | 1,226 | $ | 1,173 | ||||||||
Less amounts allocated to participating securities | 2 | 2 | 6 | 7 | ||||||||||||
Income from continuing operations after income taxes available to PPL | ||||||||||||||||
common shareowners - Basic | 407 | 353 | 1,220 | 1,166 | ||||||||||||
Plus interest charges (net of tax) related to Equity Units | 7 | 37 | ||||||||||||||
Income from continuing operations after income taxes available to PPL | ||||||||||||||||
common shareowners - Diluted | $ | 414 | $ | 353 | $ | 1,257 | $ | 1,166 | ||||||||
Income (loss) from discontinued operations (net of income taxes) available | ||||||||||||||||
to PPL common shareowners - Basic and Diluted | $ | 1 | $ | $ | 2 | $ | -6 | |||||||||
Net income attributable to PPL shareowners | $ | 410 | $ | 355 | $ | 1,228 | $ | 1,167 | ||||||||
Less amounts allocated to participating securities | 2 | 2 | 6 | 7 | ||||||||||||
Net income available to PPL common shareowners - Basic | 408 | 353 | 1,222 | 1,160 | ||||||||||||
Plus interest charges (net of tax) related to Equity Units | 7 | 37 | ||||||||||||||
Net income available to PPL common shareowners - Diluted | $ | 415 | $ | 353 | $ | 1,259 | $ | 1,160 | ||||||||
Shares of Common Stock (Denominator) | ||||||||||||||||
Weighted-average shares - Basic EPS | 631,046 | 580,585 | 601,275 | 579,847 | ||||||||||||
Add incremental non-participating securities: | ||||||||||||||||
Share-based payment awards | 1,163 | 635 | 1,035 | 522 | ||||||||||||
Equity Units | 32,134 | 439 | 59,171 | 146 | ||||||||||||
Forward sale agreements | 977 | 613 | 415 | |||||||||||||
Weighted-average shares - Diluted EPS | 664,343 | 582,636 | 662,094 | 580,930 | ||||||||||||
Basic EPS | ||||||||||||||||
Available to PPL common shareowners: | ||||||||||||||||
Income from continuing operations after income taxes | $ | 0.65 | $ | 0.61 | $ | 2.03 | $ | 2.01 | ||||||||
Income (loss) from discontinued operations (net of income taxes) | -0.01 | |||||||||||||||
Net Income | $ | 0.65 | $ | 0.61 | $ | 2.03 | $ | 2 | ||||||||
Diluted EPS | ||||||||||||||||
Available to PPL common shareowners: | ||||||||||||||||
Income from continuing operations after income taxes | $ | 0.62 | $ | 0.61 | $ | 1.9 | $ | 2.01 | ||||||||
Income (loss) from discontinued operations (net of income taxes) | -0.01 | |||||||||||||||
Net Income | $ | 0.62 | $ | 0.61 | $ | 1.9 | $ | 2 | ||||||||
For the periods ended September 30, PPL issued common stock related to stock-based compensation plans, ESOP and DRIP as follows: | ||||||||||||||||
(Shares in thousands) | Three Months | Nine Months | ||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Stock-based compensation plans (a) | 85 | 159 | 1,469 | 512 | ||||||||||||
ESOP | 275 | 280 | ||||||||||||||
DRIP | 598 | 549 | 1,773 | |||||||||||||
(a) Includes stock options exercised, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors. | ||||||||||||||||
See Note 7 for information on the repurchase of shares of PPL common stock that offset the 2013 issuances of common stock under stock-based compensation plans, ESOP and DRIP. | ||||||||||||||||
For the periods ended September 30, the following were excluded from the computations of diluted EPS because the effect would have been antidilutive. | ||||||||||||||||
Three Months | Nine Months | |||||||||||||||
(Shares in thousands) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Stock options | 1,136 | 4,935 | 4,793 | 5,622 | ||||||||||||
Performance units | 1 | 73 | 76 | |||||||||||||
Restricted stock units | 39 |
Income_Taxes
Income Taxes | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Income Taxes [Abstract] | ' | ||||||||||||||||
Income Taxes | ' | ||||||||||||||||
5. Income Taxes | |||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(PPL) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income from Continuing Operations Before | |||||||||||||||||
Income Taxes at statutory tax rate - 35% | $ | 173 | $ | 130 | $ | 550 | $ | 539 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 12 | 6 | 29 | 38 | |||||||||||||
State valuation allowance adjustments (a) | 38 | 2 | 38 | 2 | |||||||||||||
Impact of lower U.K. income tax rates (b) | -38 | -30 | -101 | -75 | |||||||||||||
U.S. income tax on foreign earnings - net of foreign tax credit (c) | 10 | 1 | 5 | 2 | |||||||||||||
Federal and state tax reserve adjustments (d) | -1 | -2 | -41 | -7 | |||||||||||||
Foreign tax reserve adjustments | -2 | -2 | -5 | ||||||||||||||
Federal and state income tax return adjustments | -4 | -4 | |||||||||||||||
Enactment of the U.K.'s Finance Acts 2013 and 2012 (b) | -93 | -74 | -93 | -74 | |||||||||||||
Federal income tax credits | -4 | -5 | -9 | -12 | |||||||||||||
Amortization of investment tax credit | -1 | -2 | -6 | -7 | |||||||||||||
Depreciation not normalized | -2 | -2 | -6 | -6 | |||||||||||||
State deferred tax rate change (e) | -6 | -17 | |||||||||||||||
Net operating loss carryforward adjustments (f) | -9 | ||||||||||||||||
Intercompany interest on U.K. financing entities (g) | -2 | -3 | -7 | -8 | |||||||||||||
Other | -2 | 2 | -9 | 3 | |||||||||||||
Total increase (decrease) | -89 | -113 | -206 | -175 | |||||||||||||
Total income taxes from continuing operations | $ | 84 | $ | 17 | $ | 344 | $ | 364 | |||||||||
(a) During the three and nine months ended September 30, 2013, PPL recorded an increase in state deferred income tax expense related to a deferred tax valuation allowance primarily due to a decrease in projected future taxable income 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 in the third quarter of 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 in the third quarter of 2012 related to both rate decreases. | |||||||||||||||||
(c) During the three and nine months ended September 30, 2013, PPL recorded a $10 million and $24 million increase to income tax expense primarily attributable to a revision in the expected taxable amount of cash repatriation in 2013. | |||||||||||||||||
During the nine months ended September 30, 2013, PPL recorded a tax benefit of $19 million 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. | |||||||||||||||||
(d) In 1997, the U.K. imposed a Windfall Profits Tax (WPT) on privatized utilities, including WPD. PPL filed its 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. 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 the fourth quarter of 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 the nine months ended September 30, 2013, of which $19 million relates to interest. | |||||||||||||||||
(e) During the three and nine months ended September 30, 2012, PPL recorded adjustments related to state deferred tax liabilities. | |||||||||||||||||
(f) During the nine months ended September 30, 2012, PPL recorded adjustments to deferred taxes related to net operating loss carryforwards of LKE based on income tax return adjustments. | |||||||||||||||||
(g) PPL recorded foreign income tax benefits related to interest expense on intercompany loans for which there was no domestic income tax expense. | |||||||||||||||||
(PPL Energy Supply) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 70 | $ | 25 | $ | 98 | $ | 205 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 7 | 1 | 10 | 25 | |||||||||||||
State valuation allowance adjustments | 4 | 2 | 4 | 2 | |||||||||||||
Federal and state tax reserve adjustments (a) | 6 | ||||||||||||||||
Federal income tax credits | -4 | -4 | -7 | -10 | |||||||||||||
State deferred tax rate change (b) | -6 | -17 | |||||||||||||||
Other | -3 | -2 | -5 | -3 | |||||||||||||
Total increase (decrease) | 4 | -9 | 8 | -3 | |||||||||||||
Total income taxes | $ | 74 | $ | 16 | $ | 106 | $ | 202 | |||||||||
(a) During the nine months ended September 30, 2013, PPL Energy Supply reversed $3 million in tax benefits related to a 2008 change in method of accounting for certain expenditures for tax purposes and recorded $4 million in federal tax reserves related to differences in over (under) payment interest rates applied to audit claims as a result of the U.S. Supreme Court decision related to Windfall Profits Tax. | |||||||||||||||||
(b) During the three and nine months ended September 30, 2012, PPL Energy Supply recorded adjustments related to state deferred tax liabilities. | |||||||||||||||||
(PPL Electric) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 27 | $ | 17 | $ | 85 | $ | 51 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 5 | 2 | 13 | 7 | |||||||||||||
Federal and state tax reserve adjustments | -2 | -2 | -6 | -5 | |||||||||||||
Depreciation not normalized | -2 | -1 | -6 | -5 | |||||||||||||
Other | -2 | -3 | -1 | ||||||||||||||
Total increase (decrease) | -1 | -1 | -2 | -4 | |||||||||||||
Total income taxes | $ | 26 | $ | 16 | $ | 83 | $ | 47 | |||||||||
(LKE) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income from Continuing Operations Before | |||||||||||||||||
Income Taxes at statutory tax rate - 35% | $ | 56 | $ | 46 | $ | 144 | $ | 96 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 6 | 5 | 14 | 7 | |||||||||||||
Amortization of investment tax credit | -1 | -1 | -3 | -4 | |||||||||||||
Net operating loss carryforward adjustments (a) | -9 | ||||||||||||||||
Other | -2 | -2 | -2 | -1 | |||||||||||||
Total increase (decrease) | 3 | 2 | 9 | -7 | |||||||||||||
Total income taxes from continuing operations | $ | 59 | $ | 48 | $ | 153 | $ | 89 | |||||||||
(a) During the nine months ended September 30, 2012, LKE recorded adjustments to deferred taxes related to net operating loss carryforwards based on income tax return adjustments. | |||||||||||||||||
(LG&E) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 27 | $ | 24 | $ | 67 | $ | 52 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 3 | 2 | 7 | 5 | |||||||||||||
Other | -3 | -1 | -5 | -3 | |||||||||||||
Total increase (decrease) | 1 | 2 | 2 | ||||||||||||||
Total income taxes | $ | 27 | $ | 25 | $ | 69 | $ | 54 | |||||||||
(KU) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 35 | $ | 28 | $ | 95 | $ | 66 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 4 | 3 | 10 | 6 | |||||||||||||
Other | -3 | -1 | -4 | -2 | |||||||||||||
Total increase (decrease) | 1 | 2 | 6 | 4 | |||||||||||||
Total income taxes | $ | 36 | $ | 30 | $ | 101 | $ | 70 | |||||||||
Unrecognized Tax Benefits (All Registrants) | |||||||||||||||||
Changes to unrecognized tax benefits for the periods ended September 30 were as follows. | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
PPL | |||||||||||||||||
Beginning of period | $ | 36 | $ | 113 | $ | 92 | $ | 145 | |||||||||
Additions based on tax positions of prior years | 2 | 6 | |||||||||||||||
Reductions based on tax positions of prior years | -26 | -31 | |||||||||||||||
Additions based on tax positions related to the current year | 4 | ||||||||||||||||
Reductions based on tax positions related to the current year | -1 | -2 | |||||||||||||||
Settlements | -30 | ||||||||||||||||
Lapse of applicable statutes of limitations | -5 | -2 | -9 | -6 | |||||||||||||
End of period | $ | 31 | $ | 112 | $ | 31 | $ | 112 | |||||||||
PPL Energy Supply | |||||||||||||||||
Beginning of period | $ | 15 | $ | 31 | $ | 30 | $ | 28 | |||||||||
Additions based on tax positions of prior years | 4 | ||||||||||||||||
Reductions based on tax positions of prior years | -15 | -1 | |||||||||||||||
End of period | $ | 15 | $ | 31 | $ | 15 | $ | 31 | |||||||||
PPL Electric | |||||||||||||||||
Beginning of period | $ | 12 | $ | 43 | $ | 26 | $ | 73 | |||||||||
Reductions based on tax positions of prior years | -1 | -10 | -28 | ||||||||||||||
Additions based on tax positions related to the current year | 1 | ||||||||||||||||
Lapse of applicable statutes of limitations | -3 | -2 | -7 | -6 | |||||||||||||
End of period | $ | 9 | $ | 40 | $ | 9 | $ | 40 | |||||||||
LKE's, LG&E's and KU's unrecognized tax benefits and changes in those unrecognized tax benefits were insignificant for the three and nine months ended September 30, 2013 and 2012. | |||||||||||||||||
At September 30, 2013, 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 | $ | 16 | $ | 30 | |||||||||||||
PPL Energy Supply | 15 | ||||||||||||||||
PPL Electric | 16 | 8 | |||||||||||||||
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. | |||||||||||||||||
For LKE, LG&E and KU, no significant changes in unrecognized tax benefits are projected over the next 12 months. | |||||||||||||||||
At September 30, the total unrecognized tax benefits and related indirect effects that, if recognized, would decrease the effective income tax rate were as follows. | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
PPL | $ | 21 | $ | 34 | |||||||||||||
PPL Energy Supply | 14 | 14 | |||||||||||||||
The amounts for PPL Electric, LKE, LG&E and KU were insignificant. | |||||||||||||||||
Other (PPL, PPL Energy Supply and PPL Electric) | |||||||||||||||||
PPL changed its method of accounting for repair expenditures for tax purposes effective for its 2008 tax year for Pennsylvania operations. PPL made the same change for its Montana operations for the 2009 tax year. In 2011, the IRS issued guidance on repair expenditures related to network assets providing a safe harbor method of determining whether the repair expenditures can be currently deducted for tax purposes. On April 30, 2013, the IRS issued Revenue Procedure 2013-24 providing guidance to taxpayers to determine whether expenditures to maintain, replace or improve steam or electric generation property must be capitalized for tax purposes. The IRS may assert, and ultimately conclude, that PPL's deduction for generation-related expenditures should be less than the amount determined by PPL. PPL believes that it has established adequate reserves for this contingency. |
Utility_Rate_Regulation
Utility Rate Regulation | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Utility Rate Regulation | ' | ||||||||||||||||||||
6. Utility Rate Regulation | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
Kentucky Activities (PPL and Kentucky Registrants) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
In December 2012, the KPSC approved a rate case settlement agreement providing for increases in annual base electricity rates of $34 million for LG&E and $51 million for KU and an increase in annual base gas rates of $15 million for LG&E using a 10.25% return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
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, using a 10.40% 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 Storm Damage Expense Rider (SDER). PPL Electric filed its proposed SDER on March 28, 2013, including requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy, which the PUC previously approved for deferral. PPL Electric proposed that the SDER become effective January 1, 2013 for storm costs incurred in 2013, with those costs and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. Several parties filed comments opposing the SDER. PPL Electric and several other parties filed reply comments in May 2013. In October 2013, the PUC adopted an Order requesting submission of additional comments and reply comments on PPL Electric's proposal. This matter remains pending before the PUC. | |||||||||||||||||||||
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. | |||||||||||||||||||||
Under Act 129, EDCs must file an energy efficiency and conservation plan (EE&C Plan) with the PUC and contract with conservation service providers to implement all or a portion of the EE&C Plan. EDCs are able to recover the costs (capped at 2.0% of the EDC's 2006 revenue) of implementing their EE&C Plans. In October 2009, the PUC approved PPL Electric's Phase 1 EE&C Plan ending May 31, 2013. | |||||||||||||||||||||
Act 129 requires EDCs to reduce overall electricity consumption by 1.0% by May 2011 and by 3.0% by May 2013, and reduce peak demand by 4.5%. The overall consumption reduction is measured against PUC-forecasted consumption for the twelve months ended May 31, 2010. The peak demand reduction must occur for the 100 hours of highest demand, which is determined by actual demand reduction during the June 2012 through September 2012 period. PPL Electric believes it has met the May 2011 requirement and will determine if it met the May 2013 peak demand reduction and energy reduction targets after it completes the final program evaluation in the fourth quarter of 2013. PPL Electric does not expect the PUC to formally determine compliance for either the 2011 or 2013 requirements before the first quarter of 2014. | |||||||||||||||||||||
Act 129 requires the PUC to evaluate the costs and benefits of the EE&C program by November 30, 2013 and adopt additional reductions if the benefits of the program exceed the costs. In August 2012, after receiving input from stakeholders, the PUC issued a Final Implementation Order establishing a three-year Phase II program, ending May 31, 2016, with individual consumption reduction targets for each EDC. PPL Electric's Phase II reduction target is 2.1% of the total energy consumption forecasted by the PUC for the twelve months ended May 31, 2010. The PUC did not establish demand reduction targets for the Phase II program. PPL Electric filed its Phase II EE&C Plan with the PUC on November 15, 2012 and, in March 2013, the PUC approved PPL Electric's Phase II EE&C Plan with minor modifications. PPL Electric filed a Revised Phase II EE&C Plan on May 13, 2013 pursuant to the PUC's March Order. On July 11, 2013, the PUC issued an Order approving PPL Electric's Revised Phase II EE&C Plan. PPL Electric began its Phase II Plan implementation on June 1, 2013. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electric 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. | |||||||||||||||||||||
The PUC has approved PPL Electric's DSP procurement plan for the period January 1, 2011 through May 31, 2013, and PPL Electric has concluded all competitive solicitations to procure power for its PLR obligations under that plan. | |||||||||||||||||||||
The PUC has directed all EDCs to file default service procurement plans for the period June 1, 2013 through May 31, 2015. PPL Electric filed its plan in May 2012. In that plan, PPL Electric proposed a process to obtain supply for its default service customers and a number of initiatives designed to encourage more customers to purchase electricity from the competitive retail market. In January 2013, the PUC approved PPL Electric's plan with modifications and directed PPL Electric to establish collaborative processes to address several retail competition issues. In February 2013, PPL Electric filed a revised Default Service Supply Master Agreement and a revised Request for Proposals Process and Rules which the PUC approved. PPL Electric filed revised retail competition initiatives and a revised plan consistent with the PUC's January order, and in May 2013, the PUC approved PPL Electric's most recent filing with minor changes. PPL Electric began implementing its revised plan on June 1, 2013. See Note 10 for additional information. | |||||||||||||||||||||
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 continues to conduct pilot projects to evaluate additional applications of its current advanced metering technology pursuant to the requirements of Act 129. PPL Electric recovers the cost of its pilot projects 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 will become effective January 1, 2014. PPL Electric will submit its final Smart Meter Plan by June 30, 2014. | |||||||||||||||||||||
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. The PUC approved the LTIIP on January 10, 2013 and, on January 15, 2013, PPL Electric filed a petition requesting permission to establish a DSIC. Several parties filed responses to PPL Electric's petition. 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 specific issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. The Judge's recommended decision is expected in early 2014. The case remains pending before the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Audit Proceedings (All Registrants except PPL Energy Supply) | |||||||||||||||||||||
In November 2011, the FERC commenced an audit of PPL and its subsidiaries, including an audit of the FERC transmission formula rate mechanisms at PPL Electric, LG&E and KU beginning in April 2012. The audit identified several matters related to separate aspects of formula rate mechanics at PPL Electric, LG&E and KU. As previously reported, among the audit matters related to PPL Electric was the determination that PPL Electric had not obtained a waiver of the equity method accounting requirement with respect to its wholly owned subsidiary, PPL Receivables Corporation, which was formed in 2004 to purchase eligible accounts receivable and unbilled revenue from PPL Electric to collateralize commercial paper issuances and reduce borrowing costs. PPL, PPL Electric, LKE, LG&E and KU currently believe that the total amount of refunds, if any, that may be required with respect to the formula rate and all other issues identified during the course of the audit will not be material to any of these Registrants. PPL, PPL Electric, LKE, LG&E and KU, however, cannot predict the ultimate outcome of these matters. | |||||||||||||||||||||
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 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 No. 1, filed under the FERC's Uniform System of Accounts. PPL Electric has initiated separate formula rate Annual Updates for each of the years 2010-2013. The 2010, 2011, and 2012 updates were subsequently challenged by a group of municipal customers, which challenges PPL Electric has opposed. In August 2011, the FERC issued an order substantially rejecting the 2010 formal challenge and the municipal customers filed a request for rehearing of that order. In September 2012, the FERC issued an order setting for evidentiary hearings and settlement judge procedures a number of issues raised in the 2010 and 2011 formal challenges. Settlement conferences were held in late 2012 and early 2013. In February 2013, the FERC set for evidentiary hearings and settlement judge procedures a number of issues in the 2012 formal challenge and consolidated that challenge with the 2010 and 2011 challenges. PPL Electric filed a request for rehearing of the February Order which remains pending before the FERC. PPL Electric and the group of municipal customers have exchanged confidential settlement proposals and PPL Electric anticipates that there will be additional settlement conferences held in 2013. PPL and PPL Electric cannot predict the outcome of the foregoing proceedings, which remain pending before the FERC. | |||||||||||||||||||||
U. K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
Ofgem is currently consulting on the methodology to be used by all network operators to calculate the final line loss incentive/penalty for the DPCR4. On July 12, 2013, Ofgem issued a decision paper on the process to follow for closing out the line loss incentive/penalty. Subsequent to the July 2013 decision paper, WPD received additional information from Ofgem and as a result revised the estimated potential loss exposure to be in the range of $93 million to $226 million as of September 30, 2013. On October 21, 2013, Ofgem issued a further consultation paper requesting additional information. During the three and nine months ended September 30, 2013, WPD recorded $21 million and $45 million increases to the liability with reductions to "Utility" revenue on the Statement of Income. At September 30, 2013, the liability was $93 million compared with $94 million at December 31, 2012. Other changes to this line loss liability included reductions of $41 million resulting from refunds being included in tariffs and foreign exchange movements during the nine months ended September 30, 2013. PPL cannot predict the outcome of this matter. | |||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Utility Rate Regulation | ' | ||||||||||||||||||||
6. Utility Rate Regulation | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
Kentucky Activities (PPL and Kentucky Registrants) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
In December 2012, the KPSC approved a rate case settlement agreement providing for increases in annual base electricity rates of $34 million for LG&E and $51 million for KU and an increase in annual base gas rates of $15 million for LG&E using a 10.25% return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
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, using a 10.40% 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 Storm Damage Expense Rider (SDER). PPL Electric filed its proposed SDER on March 28, 2013, including requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy, which the PUC previously approved for deferral. PPL Electric proposed that the SDER become effective January 1, 2013 for storm costs incurred in 2013, with those costs and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. Several parties filed comments opposing the SDER. PPL Electric and several other parties filed reply comments in May 2013. In October 2013, the PUC adopted an Order requesting submission of additional comments and reply comments on PPL Electric's proposal. This matter remains pending before the PUC. | |||||||||||||||||||||
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. | |||||||||||||||||||||
Under Act 129, EDCs must file an energy efficiency and conservation plan (EE&C Plan) with the PUC and contract with conservation service providers to implement all or a portion of the EE&C Plan. EDCs are able to recover the costs (capped at 2.0% of the EDC's 2006 revenue) of implementing their EE&C Plans. In October 2009, the PUC approved PPL Electric's Phase 1 EE&C Plan ending May 31, 2013. | |||||||||||||||||||||
Act 129 requires EDCs to reduce overall electricity consumption by 1.0% by May 2011 and by 3.0% by May 2013, and reduce peak demand by 4.5%. The overall consumption reduction is measured against PUC-forecasted consumption for the twelve months ended May 31, 2010. The peak demand reduction must occur for the 100 hours of highest demand, which is determined by actual demand reduction during the June 2012 through September 2012 period. PPL Electric believes it has met the May 2011 requirement and will determine if it met the May 2013 peak demand reduction and energy reduction targets after it completes the final program evaluation in the fourth quarter of 2013. PPL Electric does not expect the PUC to formally determine compliance for either the 2011 or 2013 requirements before the first quarter of 2014. | |||||||||||||||||||||
Act 129 requires the PUC to evaluate the costs and benefits of the EE&C program by November 30, 2013 and adopt additional reductions if the benefits of the program exceed the costs. In August 2012, after receiving input from stakeholders, the PUC issued a Final Implementation Order establishing a three-year Phase II program, ending May 31, 2016, with individual consumption reduction targets for each EDC. PPL Electric's Phase II reduction target is 2.1% of the total energy consumption forecasted by the PUC for the twelve months ended May 31, 2010. The PUC did not establish demand reduction targets for the Phase II program. PPL Electric filed its Phase II EE&C Plan with the PUC on November 15, 2012 and, in March 2013, the PUC approved PPL Electric's Phase II EE&C Plan with minor modifications. PPL Electric filed a Revised Phase II EE&C Plan on May 13, 2013 pursuant to the PUC's March Order. On July 11, 2013, the PUC issued an Order approving PPL Electric's Revised Phase II EE&C Plan. PPL Electric began its Phase II Plan implementation on June 1, 2013. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electric 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. | |||||||||||||||||||||
The PUC has approved PPL Electric's DSP procurement plan for the period January 1, 2011 through May 31, 2013, and PPL Electric has concluded all competitive solicitations to procure power for its PLR obligations under that plan. | |||||||||||||||||||||
The PUC has directed all EDCs to file default service procurement plans for the period June 1, 2013 through May 31, 2015. PPL Electric filed its plan in May 2012. In that plan, PPL Electric proposed a process to obtain supply for its default service customers and a number of initiatives designed to encourage more customers to purchase electricity from the competitive retail market. In January 2013, the PUC approved PPL Electric's plan with modifications and directed PPL Electric to establish collaborative processes to address several retail competition issues. In February 2013, PPL Electric filed a revised Default Service Supply Master Agreement and a revised Request for Proposals Process and Rules which the PUC approved. PPL Electric filed revised retail competition initiatives and a revised plan consistent with the PUC's January order, and in May 2013, the PUC approved PPL Electric's most recent filing with minor changes. PPL Electric began implementing its revised plan on June 1, 2013. See Note 10 for additional information. | |||||||||||||||||||||
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 continues to conduct pilot projects to evaluate additional applications of its current advanced metering technology pursuant to the requirements of Act 129. PPL Electric recovers the cost of its pilot projects 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 will become effective January 1, 2014. PPL Electric will submit its final Smart Meter Plan by June 30, 2014. | |||||||||||||||||||||
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. The PUC approved the LTIIP on January 10, 2013 and, on January 15, 2013, PPL Electric filed a petition requesting permission to establish a DSIC. Several parties filed responses to PPL Electric's petition. 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 specific issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. The Judge's recommended decision is expected in early 2014. The case remains pending before the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Audit Proceedings (All Registrants except PPL Energy Supply) | |||||||||||||||||||||
In November 2011, the FERC commenced an audit of PPL and its subsidiaries, including an audit of the FERC transmission formula rate mechanisms at PPL Electric, LG&E and KU beginning in April 2012. The audit identified several matters related to separate aspects of formula rate mechanics at PPL Electric, LG&E and KU. As previously reported, among the audit matters related to PPL Electric was the determination that PPL Electric had not obtained a waiver of the equity method accounting requirement with respect to its wholly owned subsidiary, PPL Receivables Corporation, which was formed in 2004 to purchase eligible accounts receivable and unbilled revenue from PPL Electric to collateralize commercial paper issuances and reduce borrowing costs. PPL, PPL Electric, LKE, LG&E and KU currently believe that the total amount of refunds, if any, that may be required with respect to the formula rate and all other issues identified during the course of the audit will not be material to any of these Registrants. PPL, PPL Electric, LKE, LG&E and KU, however, cannot predict the ultimate outcome of these matters. | |||||||||||||||||||||
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 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 No. 1, filed under the FERC's Uniform System of Accounts. PPL Electric has initiated separate formula rate Annual Updates for each of the years 2010-2013. The 2010, 2011, and 2012 updates were subsequently challenged by a group of municipal customers, which challenges PPL Electric has opposed. In August 2011, the FERC issued an order substantially rejecting the 2010 formal challenge and the municipal customers filed a request for rehearing of that order. In September 2012, the FERC issued an order setting for evidentiary hearings and settlement judge procedures a number of issues raised in the 2010 and 2011 formal challenges. Settlement conferences were held in late 2012 and early 2013. In February 2013, the FERC set for evidentiary hearings and settlement judge procedures a number of issues in the 2012 formal challenge and consolidated that challenge with the 2010 and 2011 challenges. PPL Electric filed a request for rehearing of the February Order which remains pending before the FERC. PPL Electric and the group of municipal customers have exchanged confidential settlement proposals and PPL Electric anticipates that there will be additional settlement conferences held in 2013. PPL and PPL Electric cannot predict the outcome of the foregoing proceedings, which remain pending before the FERC. | |||||||||||||||||||||
U. K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
Ofgem is currently consulting on the methodology to be used by all network operators to calculate the final line loss incentive/penalty for the DPCR4. On July 12, 2013, Ofgem issued a decision paper on the process to follow for closing out the line loss incentive/penalty. Subsequent to the July 2013 decision paper, WPD received additional information from Ofgem and as a result revised the estimated potential loss exposure to be in the range of $93 million to $226 million as of September 30, 2013. On October 21, 2013, Ofgem issued a further consultation paper requesting additional information. During the three and nine months ended September 30, 2013, WPD recorded $21 million and $45 million increases to the liability with reductions to "Utility" revenue on the Statement of Income. At September 30, 2013, the liability was $93 million compared with $94 million at December 31, 2012. Other changes to this line loss liability included reductions of $41 million resulting from refunds being included in tariffs and foreign exchange movements during the nine months ended September 30, 2013. PPL cannot predict the outcome of this matter. | |||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Utility Rate Regulation | ' | ||||||||||||||||||||
6. Utility Rate Regulation | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
Kentucky Activities (PPL and Kentucky Registrants) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
In December 2012, the KPSC approved a rate case settlement agreement providing for increases in annual base electricity rates of $34 million for LG&E and $51 million for KU and an increase in annual base gas rates of $15 million for LG&E using a 10.25% return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
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, using a 10.40% 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 Storm Damage Expense Rider (SDER). PPL Electric filed its proposed SDER on March 28, 2013, including requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy, which the PUC previously approved for deferral. PPL Electric proposed that the SDER become effective January 1, 2013 for storm costs incurred in 2013, with those costs and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. Several parties filed comments opposing the SDER. PPL Electric and several other parties filed reply comments in May 2013. In October 2013, the PUC adopted an Order requesting submission of additional comments and reply comments on PPL Electric's proposal. This matter remains pending before the PUC. | |||||||||||||||||||||
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. | |||||||||||||||||||||
Under Act 129, EDCs must file an energy efficiency and conservation plan (EE&C Plan) with the PUC and contract with conservation service providers to implement all or a portion of the EE&C Plan. EDCs are able to recover the costs (capped at 2.0% of the EDC's 2006 revenue) of implementing their EE&C Plans. In October 2009, the PUC approved PPL Electric's Phase 1 EE&C Plan ending May 31, 2013. | |||||||||||||||||||||
Act 129 requires EDCs to reduce overall electricity consumption by 1.0% by May 2011 and by 3.0% by May 2013, and reduce peak demand by 4.5%. The overall consumption reduction is measured against PUC-forecasted consumption for the twelve months ended May 31, 2010. The peak demand reduction must occur for the 100 hours of highest demand, which is determined by actual demand reduction during the June 2012 through September 2012 period. PPL Electric believes it has met the May 2011 requirement and will determine if it met the May 2013 peak demand reduction and energy reduction targets after it completes the final program evaluation in the fourth quarter of 2013. PPL Electric does not expect the PUC to formally determine compliance for either the 2011 or 2013 requirements before the first quarter of 2014. | |||||||||||||||||||||
Act 129 requires the PUC to evaluate the costs and benefits of the EE&C program by November 30, 2013 and adopt additional reductions if the benefits of the program exceed the costs. In August 2012, after receiving input from stakeholders, the PUC issued a Final Implementation Order establishing a three-year Phase II program, ending May 31, 2016, with individual consumption reduction targets for each EDC. PPL Electric's Phase II reduction target is 2.1% of the total energy consumption forecasted by the PUC for the twelve months ended May 31, 2010. The PUC did not establish demand reduction targets for the Phase II program. PPL Electric filed its Phase II EE&C Plan with the PUC on November 15, 2012 and, in March 2013, the PUC approved PPL Electric's Phase II EE&C Plan with minor modifications. PPL Electric filed a Revised Phase II EE&C Plan on May 13, 2013 pursuant to the PUC's March Order. On July 11, 2013, the PUC issued an Order approving PPL Electric's Revised Phase II EE&C Plan. PPL Electric began its Phase II Plan implementation on June 1, 2013. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electric 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. | |||||||||||||||||||||
The PUC has approved PPL Electric's DSP procurement plan for the period January 1, 2011 through May 31, 2013, and PPL Electric has concluded all competitive solicitations to procure power for its PLR obligations under that plan. | |||||||||||||||||||||
The PUC has directed all EDCs to file default service procurement plans for the period June 1, 2013 through May 31, 2015. PPL Electric filed its plan in May 2012. In that plan, PPL Electric proposed a process to obtain supply for its default service customers and a number of initiatives designed to encourage more customers to purchase electricity from the competitive retail market. In January 2013, the PUC approved PPL Electric's plan with modifications and directed PPL Electric to establish collaborative processes to address several retail competition issues. In February 2013, PPL Electric filed a revised Default Service Supply Master Agreement and a revised Request for Proposals Process and Rules which the PUC approved. PPL Electric filed revised retail competition initiatives and a revised plan consistent with the PUC's January order, and in May 2013, the PUC approved PPL Electric's most recent filing with minor changes. PPL Electric began implementing its revised plan on June 1, 2013. See Note 10 for additional information. | |||||||||||||||||||||
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 continues to conduct pilot projects to evaluate additional applications of its current advanced metering technology pursuant to the requirements of Act 129. PPL Electric recovers the cost of its pilot projects 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 will become effective January 1, 2014. PPL Electric will submit its final Smart Meter Plan by June 30, 2014. | |||||||||||||||||||||
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. The PUC approved the LTIIP on January 10, 2013 and, on January 15, 2013, PPL Electric filed a petition requesting permission to establish a DSIC. Several parties filed responses to PPL Electric's petition. 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 specific issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. The Judge's recommended decision is expected in early 2014. The case remains pending before the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Audit Proceedings (All Registrants except PPL Energy Supply) | |||||||||||||||||||||
In November 2011, the FERC commenced an audit of PPL and its subsidiaries, including an audit of the FERC transmission formula rate mechanisms at PPL Electric, LG&E and KU beginning in April 2012. The audit identified several matters related to separate aspects of formula rate mechanics at PPL Electric, LG&E and KU. As previously reported, among the audit matters related to PPL Electric was the determination that PPL Electric had not obtained a waiver of the equity method accounting requirement with respect to its wholly owned subsidiary, PPL Receivables Corporation, which was formed in 2004 to purchase eligible accounts receivable and unbilled revenue from PPL Electric to collateralize commercial paper issuances and reduce borrowing costs. PPL, PPL Electric, LKE, LG&E and KU currently believe that the total amount of refunds, if any, that may be required with respect to the formula rate and all other issues identified during the course of the audit will not be material to any of these Registrants. PPL, PPL Electric, LKE, LG&E and KU, however, cannot predict the ultimate outcome of these matters. | |||||||||||||||||||||
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 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 No. 1, filed under the FERC's Uniform System of Accounts. PPL Electric has initiated separate formula rate Annual Updates for each of the years 2010-2013. The 2010, 2011, and 2012 updates were subsequently challenged by a group of municipal customers, which challenges PPL Electric has opposed. In August 2011, the FERC issued an order substantially rejecting the 2010 formal challenge and the municipal customers filed a request for rehearing of that order. In September 2012, the FERC issued an order setting for evidentiary hearings and settlement judge procedures a number of issues raised in the 2010 and 2011 formal challenges. Settlement conferences were held in late 2012 and early 2013. In February 2013, the FERC set for evidentiary hearings and settlement judge procedures a number of issues in the 2012 formal challenge and consolidated that challenge with the 2010 and 2011 challenges. PPL Electric filed a request for rehearing of the February Order which remains pending before the FERC. PPL Electric and the group of municipal customers have exchanged confidential settlement proposals and PPL Electric anticipates that there will be additional settlement conferences held in 2013. PPL and PPL Electric cannot predict the outcome of the foregoing proceedings, which remain pending before the FERC. | |||||||||||||||||||||
U. K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
Ofgem is currently consulting on the methodology to be used by all network operators to calculate the final line loss incentive/penalty for the DPCR4. On July 12, 2013, Ofgem issued a decision paper on the process to follow for closing out the line loss incentive/penalty. Subsequent to the July 2013 decision paper, WPD received additional information from Ofgem and as a result revised the estimated potential loss exposure to be in the range of $93 million to $226 million as of September 30, 2013. On October 21, 2013, Ofgem issued a further consultation paper requesting additional information. During the three and nine months ended September 30, 2013, WPD recorded $21 million and $45 million increases to the liability with reductions to "Utility" revenue on the Statement of Income. At September 30, 2013, the liability was $93 million compared with $94 million at December 31, 2012. Other changes to this line loss liability included reductions of $41 million resulting from refunds being included in tariffs and foreign exchange movements during the nine months ended September 30, 2013. PPL cannot predict the outcome of this matter. | |||||||||||||||||||||
Louisville Gas And Electric Co [Member] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Utility Rate Regulation | ' | ||||||||||||||||||||
6. Utility Rate Regulation | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
Kentucky Activities (PPL and Kentucky Registrants) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
In December 2012, the KPSC approved a rate case settlement agreement providing for increases in annual base electricity rates of $34 million for LG&E and $51 million for KU and an increase in annual base gas rates of $15 million for LG&E using a 10.25% return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
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, using a 10.40% 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 Storm Damage Expense Rider (SDER). PPL Electric filed its proposed SDER on March 28, 2013, including requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy, which the PUC previously approved for deferral. PPL Electric proposed that the SDER become effective January 1, 2013 for storm costs incurred in 2013, with those costs and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. Several parties filed comments opposing the SDER. PPL Electric and several other parties filed reply comments in May 2013. In October 2013, the PUC adopted an Order requesting submission of additional comments and reply comments on PPL Electric's proposal. This matter remains pending before the PUC. | |||||||||||||||||||||
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. | |||||||||||||||||||||
Under Act 129, EDCs must file an energy efficiency and conservation plan (EE&C Plan) with the PUC and contract with conservation service providers to implement all or a portion of the EE&C Plan. EDCs are able to recover the costs (capped at 2.0% of the EDC's 2006 revenue) of implementing their EE&C Plans. In October 2009, the PUC approved PPL Electric's Phase 1 EE&C Plan ending May 31, 2013. | |||||||||||||||||||||
Act 129 requires EDCs to reduce overall electricity consumption by 1.0% by May 2011 and by 3.0% by May 2013, and reduce peak demand by 4.5%. The overall consumption reduction is measured against PUC-forecasted consumption for the twelve months ended May 31, 2010. The peak demand reduction must occur for the 100 hours of highest demand, which is determined by actual demand reduction during the June 2012 through September 2012 period. PPL Electric believes it has met the May 2011 requirement and will determine if it met the May 2013 peak demand reduction and energy reduction targets after it completes the final program evaluation in the fourth quarter of 2013. PPL Electric does not expect the PUC to formally determine compliance for either the 2011 or 2013 requirements before the first quarter of 2014. | |||||||||||||||||||||
Act 129 requires the PUC to evaluate the costs and benefits of the EE&C program by November 30, 2013 and adopt additional reductions if the benefits of the program exceed the costs. In August 2012, after receiving input from stakeholders, the PUC issued a Final Implementation Order establishing a three-year Phase II program, ending May 31, 2016, with individual consumption reduction targets for each EDC. PPL Electric's Phase II reduction target is 2.1% of the total energy consumption forecasted by the PUC for the twelve months ended May 31, 2010. The PUC did not establish demand reduction targets for the Phase II program. PPL Electric filed its Phase II EE&C Plan with the PUC on November 15, 2012 and, in March 2013, the PUC approved PPL Electric's Phase II EE&C Plan with minor modifications. PPL Electric filed a Revised Phase II EE&C Plan on May 13, 2013 pursuant to the PUC's March Order. On July 11, 2013, the PUC issued an Order approving PPL Electric's Revised Phase II EE&C Plan. PPL Electric began its Phase II Plan implementation on June 1, 2013. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electric 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. | |||||||||||||||||||||
The PUC has approved PPL Electric's DSP procurement plan for the period January 1, 2011 through May 31, 2013, and PPL Electric has concluded all competitive solicitations to procure power for its PLR obligations under that plan. | |||||||||||||||||||||
The PUC has directed all EDCs to file default service procurement plans for the period June 1, 2013 through May 31, 2015. PPL Electric filed its plan in May 2012. In that plan, PPL Electric proposed a process to obtain supply for its default service customers and a number of initiatives designed to encourage more customers to purchase electricity from the competitive retail market. In January 2013, the PUC approved PPL Electric's plan with modifications and directed PPL Electric to establish collaborative processes to address several retail competition issues. In February 2013, PPL Electric filed a revised Default Service Supply Master Agreement and a revised Request for Proposals Process and Rules which the PUC approved. PPL Electric filed revised retail competition initiatives and a revised plan consistent with the PUC's January order, and in May 2013, the PUC approved PPL Electric's most recent filing with minor changes. PPL Electric began implementing its revised plan on June 1, 2013. See Note 10 for additional information. | |||||||||||||||||||||
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 continues to conduct pilot projects to evaluate additional applications of its current advanced metering technology pursuant to the requirements of Act 129. PPL Electric recovers the cost of its pilot projects 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 will become effective January 1, 2014. PPL Electric will submit its final Smart Meter Plan by June 30, 2014. | |||||||||||||||||||||
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. The PUC approved the LTIIP on January 10, 2013 and, on January 15, 2013, PPL Electric filed a petition requesting permission to establish a DSIC. Several parties filed responses to PPL Electric's petition. 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 specific issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. The Judge's recommended decision is expected in early 2014. The case remains pending before the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Audit Proceedings (All Registrants except PPL Energy Supply) | |||||||||||||||||||||
In November 2011, the FERC commenced an audit of PPL and its subsidiaries, including an audit of the FERC transmission formula rate mechanisms at PPL Electric, LG&E and KU beginning in April 2012. The audit identified several matters related to separate aspects of formula rate mechanics at PPL Electric, LG&E and KU. As previously reported, among the audit matters related to PPL Electric was the determination that PPL Electric had not obtained a waiver of the equity method accounting requirement with respect to its wholly owned subsidiary, PPL Receivables Corporation, which was formed in 2004 to purchase eligible accounts receivable and unbilled revenue from PPL Electric to collateralize commercial paper issuances and reduce borrowing costs. PPL, PPL Electric, LKE, LG&E and KU currently believe that the total amount of refunds, if any, that may be required with respect to the formula rate and all other issues identified during the course of the audit will not be material to any of these Registrants. PPL, PPL Electric, LKE, LG&E and KU, however, cannot predict the ultimate outcome of these matters. | |||||||||||||||||||||
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 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 No. 1, filed under the FERC's Uniform System of Accounts. PPL Electric has initiated separate formula rate Annual Updates for each of the years 2010-2013. The 2010, 2011, and 2012 updates were subsequently challenged by a group of municipal customers, which challenges PPL Electric has opposed. In August 2011, the FERC issued an order substantially rejecting the 2010 formal challenge and the municipal customers filed a request for rehearing of that order. In September 2012, the FERC issued an order setting for evidentiary hearings and settlement judge procedures a number of issues raised in the 2010 and 2011 formal challenges. Settlement conferences were held in late 2012 and early 2013. In February 2013, the FERC set for evidentiary hearings and settlement judge procedures a number of issues in the 2012 formal challenge and consolidated that challenge with the 2010 and 2011 challenges. PPL Electric filed a request for rehearing of the February Order which remains pending before the FERC. PPL Electric and the group of municipal customers have exchanged confidential settlement proposals and PPL Electric anticipates that there will be additional settlement conferences held in 2013. PPL and PPL Electric cannot predict the outcome of the foregoing proceedings, which remain pending before the FERC. | |||||||||||||||||||||
U. K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
Ofgem is currently consulting on the methodology to be used by all network operators to calculate the final line loss incentive/penalty for the DPCR4. On July 12, 2013, Ofgem issued a decision paper on the process to follow for closing out the line loss incentive/penalty. Subsequent to the July 2013 decision paper, WPD received additional information from Ofgem and as a result revised the estimated potential loss exposure to be in the range of $93 million to $226 million as of September 30, 2013. On October 21, 2013, Ofgem issued a further consultation paper requesting additional information. During the three and nine months ended September 30, 2013, WPD recorded $21 million and $45 million increases to the liability with reductions to "Utility" revenue on the Statement of Income. At September 30, 2013, the liability was $93 million compared with $94 million at December 31, 2012. Other changes to this line loss liability included reductions of $41 million resulting from refunds being included in tariffs and foreign exchange movements during the nine months ended September 30, 2013. PPL cannot predict the outcome of this matter. | |||||||||||||||||||||
Kentucky Utilities Co [Member] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Utility Rate Regulation | ' | ||||||||||||||||||||
6. Utility Rate Regulation | |||||||||||||||||||||
(All Registrants except PPL Energy Supply) | |||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(a) These liabilities were recorded as offsets to certain intangible assets that were recorded at fair value upon the acquisition of LKE by PPL. | |||||||||||||||||||||
Regulatory Matters | |||||||||||||||||||||
Kentucky Activities (PPL and Kentucky Registrants) | |||||||||||||||||||||
Rate Case Proceedings | |||||||||||||||||||||
In December 2012, the KPSC approved a rate case settlement agreement providing for increases in annual base electricity rates of $34 million for LG&E and $51 million for KU and an increase in annual base gas rates of $15 million for LG&E using a 10.25% return on equity. The approved rates became effective January 1, 2013. | |||||||||||||||||||||
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, using a 10.40% 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 Storm Damage Expense Rider (SDER). PPL Electric filed its proposed SDER on March 28, 2013, including requested recovery of the 2012 qualifying storm costs related to Hurricane Sandy, which the PUC previously approved for deferral. PPL Electric proposed that the SDER become effective January 1, 2013 for storm costs incurred in 2013, with those costs and the 2012 Hurricane Sandy costs included in rates effective January 1, 2014. Several parties filed comments opposing the SDER. PPL Electric and several other parties filed reply comments in May 2013. In October 2013, the PUC adopted an Order requesting submission of additional comments and reply comments on PPL Electric's proposal. This matter remains pending before the PUC. | |||||||||||||||||||||
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. | |||||||||||||||||||||
Under Act 129, EDCs must file an energy efficiency and conservation plan (EE&C Plan) with the PUC and contract with conservation service providers to implement all or a portion of the EE&C Plan. EDCs are able to recover the costs (capped at 2.0% of the EDC's 2006 revenue) of implementing their EE&C Plans. In October 2009, the PUC approved PPL Electric's Phase 1 EE&C Plan ending May 31, 2013. | |||||||||||||||||||||
Act 129 requires EDCs to reduce overall electricity consumption by 1.0% by May 2011 and by 3.0% by May 2013, and reduce peak demand by 4.5%. The overall consumption reduction is measured against PUC-forecasted consumption for the twelve months ended May 31, 2010. The peak demand reduction must occur for the 100 hours of highest demand, which is determined by actual demand reduction during the June 2012 through September 2012 period. PPL Electric believes it has met the May 2011 requirement and will determine if it met the May 2013 peak demand reduction and energy reduction targets after it completes the final program evaluation in the fourth quarter of 2013. PPL Electric does not expect the PUC to formally determine compliance for either the 2011 or 2013 requirements before the first quarter of 2014. | |||||||||||||||||||||
Act 129 requires the PUC to evaluate the costs and benefits of the EE&C program by November 30, 2013 and adopt additional reductions if the benefits of the program exceed the costs. In August 2012, after receiving input from stakeholders, the PUC issued a Final Implementation Order establishing a three-year Phase II program, ending May 31, 2016, with individual consumption reduction targets for each EDC. PPL Electric's Phase II reduction target is 2.1% of the total energy consumption forecasted by the PUC for the twelve months ended May 31, 2010. The PUC did not establish demand reduction targets for the Phase II program. PPL Electric filed its Phase II EE&C Plan with the PUC on November 15, 2012 and, in March 2013, the PUC approved PPL Electric's Phase II EE&C Plan with minor modifications. PPL Electric filed a Revised Phase II EE&C Plan on May 13, 2013 pursuant to the PUC's March Order. On July 11, 2013, the PUC issued an Order approving PPL Electric's Revised Phase II EE&C Plan. PPL Electric began its Phase II Plan implementation on June 1, 2013. | |||||||||||||||||||||
Act 129 also requires Default Service Providers (DSP) to provide electric 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. | |||||||||||||||||||||
The PUC has approved PPL Electric's DSP procurement plan for the period January 1, 2011 through May 31, 2013, and PPL Electric has concluded all competitive solicitations to procure power for its PLR obligations under that plan. | |||||||||||||||||||||
The PUC has directed all EDCs to file default service procurement plans for the period June 1, 2013 through May 31, 2015. PPL Electric filed its plan in May 2012. In that plan, PPL Electric proposed a process to obtain supply for its default service customers and a number of initiatives designed to encourage more customers to purchase electricity from the competitive retail market. In January 2013, the PUC approved PPL Electric's plan with modifications and directed PPL Electric to establish collaborative processes to address several retail competition issues. In February 2013, PPL Electric filed a revised Default Service Supply Master Agreement and a revised Request for Proposals Process and Rules which the PUC approved. PPL Electric filed revised retail competition initiatives and a revised plan consistent with the PUC's January order, and in May 2013, the PUC approved PPL Electric's most recent filing with minor changes. PPL Electric began implementing its revised plan on June 1, 2013. See Note 10 for additional information. | |||||||||||||||||||||
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 continues to conduct pilot projects to evaluate additional applications of its current advanced metering technology pursuant to the requirements of Act 129. PPL Electric recovers the cost of its pilot projects 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 will become effective January 1, 2014. PPL Electric will submit its final Smart Meter Plan by June 30, 2014. | |||||||||||||||||||||
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. The PUC approved the LTIIP on January 10, 2013 and, on January 15, 2013, PPL Electric filed a petition requesting permission to establish a DSIC. Several parties filed responses to PPL Electric's petition. 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 specific issues to the Office of Administrative Law Judge for hearing and preparation of a recommended decision. The Judge's recommended decision is expected in early 2014. The case remains pending before the PUC. | |||||||||||||||||||||
Federal Matters | |||||||||||||||||||||
FERC Audit Proceedings (All Registrants except PPL Energy Supply) | |||||||||||||||||||||
In November 2011, the FERC commenced an audit of PPL and its subsidiaries, including an audit of the FERC transmission formula rate mechanisms at PPL Electric, LG&E and KU beginning in April 2012. The audit identified several matters related to separate aspects of formula rate mechanics at PPL Electric, LG&E and KU. As previously reported, among the audit matters related to PPL Electric was the determination that PPL Electric had not obtained a waiver of the equity method accounting requirement with respect to its wholly owned subsidiary, PPL Receivables Corporation, which was formed in 2004 to purchase eligible accounts receivable and unbilled revenue from PPL Electric to collateralize commercial paper issuances and reduce borrowing costs. PPL, PPL Electric, LKE, LG&E and KU currently believe that the total amount of refunds, if any, that may be required with respect to the formula rate and all other issues identified during the course of the audit will not be material to any of these Registrants. PPL, PPL Electric, LKE, LG&E and KU, however, cannot predict the ultimate outcome of these matters. | |||||||||||||||||||||
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 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 No. 1, filed under the FERC's Uniform System of Accounts. PPL Electric has initiated separate formula rate Annual Updates for each of the years 2010-2013. The 2010, 2011, and 2012 updates were subsequently challenged by a group of municipal customers, which challenges PPL Electric has opposed. In August 2011, the FERC issued an order substantially rejecting the 2010 formal challenge and the municipal customers filed a request for rehearing of that order. In September 2012, the FERC issued an order setting for evidentiary hearings and settlement judge procedures a number of issues raised in the 2010 and 2011 formal challenges. Settlement conferences were held in late 2012 and early 2013. In February 2013, the FERC set for evidentiary hearings and settlement judge procedures a number of issues in the 2012 formal challenge and consolidated that challenge with the 2010 and 2011 challenges. PPL Electric filed a request for rehearing of the February Order which remains pending before the FERC. PPL Electric and the group of municipal customers have exchanged confidential settlement proposals and PPL Electric anticipates that there will be additional settlement conferences held in 2013. PPL and PPL Electric cannot predict the outcome of the foregoing proceedings, which remain pending before the FERC. | |||||||||||||||||||||
U. K. Activities (PPL) | |||||||||||||||||||||
Ofgem Review of Line Loss Calculation | |||||||||||||||||||||
Ofgem is currently consulting on the methodology to be used by all network operators to calculate the final line loss incentive/penalty for the DPCR4. On July 12, 2013, Ofgem issued a decision paper on the process to follow for closing out the line loss incentive/penalty. Subsequent to the July 2013 decision paper, WPD received additional information from Ofgem and as a result revised the estimated potential loss exposure to be in the range of $93 million to $226 million as of September 30, 2013. On October 21, 2013, Ofgem issued a further consultation paper requesting additional information. During the three and nine months ended September 30, 2013, WPD recorded $21 million and $45 million increases to the liability with reductions to "Utility" revenue on the Statement of Income. At September 30, 2013, the liability was $93 million compared with $94 million at December 31, 2012. Other changes to this line loss liability included reductions of $41 million resulting from refunds being included in tariffs and foreign exchange movements during the nine months ended September 30, 2013. PPL cannot predict the outcome of this matter. |
Financing_Activities
Financing Activities | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
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, 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: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Letters of | Letters of | ||||||||||||||||||||||||||
Credit Issued | Credit Issued | ||||||||||||||||||||||||||
and | and | ||||||||||||||||||||||||||
Commercial | Commercial | ||||||||||||||||||||||||||
Expiration | Paper | Unused | Paper | ||||||||||||||||||||||||
Date | Capacity | Borrowed | Backup | Capacity | Borrowed | Backup | |||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
WPD Credit Facilities | |||||||||||||||||||||||||||
PPL WW Syndicated | |||||||||||||||||||||||||||
Credit Facility (a) (b) | Dec. 2016 | £ | 210 | £ | 106 | n/a | £ | 104 | £ | 106 | n/a | ||||||||||||||||
WPD (South West) | |||||||||||||||||||||||||||
Syndicated Credit Facility | Jan. 2017 | 245 | n/a | 245 | n/a | ||||||||||||||||||||||
WPD (East Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (b) | Apr. 2016 | 300 | 44 | 256 | |||||||||||||||||||||||
WPD (West Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (b) | Apr. 2016 | 300 | 34 | 266 | |||||||||||||||||||||||
Uncommitted Credit Facilities | 84 | £ | 5 | 79 | £ | 4 | |||||||||||||||||||||
Total WPD Credit Facilities (c) | £ | 1,139 | £ | 184 | £ | 5 | £ | 950 | £ | 106 | £ | 4 | |||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Syndicated Credit Facility | Nov. 2017 | $ | 3,000 | $ | 61 | $ | 2,939 | $ | 499 | ||||||||||||||||||
Letter of Credit Facility (d) | Mar. 2014 | 150 | n/a | 109 | 41 | n/a | 132 | ||||||||||||||||||||
Uncommitted Credit Facilities (e) | 175 | n/a | 51 | 124 | n/a | 40 | |||||||||||||||||||||
Total PPL Energy Supply Credit Facilities | $ | 3,325 | $ | 221 | $ | 3,104 | $ | 671 | |||||||||||||||||||
PPL Electric | |||||||||||||||||||||||||||
Syndicated Credit Facility | Oct. 2017 | $ | 300 | $ | 1 | $ | 299 | $ | 1 | ||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Syndicated Credit Facility | Nov. 2017 | $ | 500 | $ | 72 | $ | 428 | $ | 55 | ||||||||||||||||||
KU | |||||||||||||||||||||||||||
Syndicated Credit Facility | Nov. 2017 | $ | 400 | $ | 140 | $ | 260 | $ | 70 | ||||||||||||||||||
Letter of Credit Facility (f) | May-16 | 198 | 198 | 198 | |||||||||||||||||||||||
Total KU Credit Facilities | $ | 598 | $ | 338 | $ | 260 | $ | 268 | |||||||||||||||||||
(a) In December 2012, the PPL WW syndicated credit facility that was set to expire in January 2013 was replaced and the capacity was increased from £150 million. | |||||||||||||||||||||||||||
(b) PPL WW's amounts borrowed at September 30, 2013 and December 31, 2012 were USD-denominated borrowings of $166 million and $171 million, which equated to £106 million at the time of borrowings and bore interest at 1.89% and 0.85%. WPD (East Midlands) amount borrowed at September 30, 2013 was a GBP-denominated borrowing of £44 million, which equated to $68 million and bore interest at 1.30%. WPD (West Midlands) amount borrowed at September 30, 2013 was a GBP-denominated borrowing of £34 million, which equated to $53 million and bore interest at 1.30%. | |||||||||||||||||||||||||||
(c) At September 30, 2013, the USD equivalent of unused capacity under WPD's credit facilities was $1.5 billion. | |||||||||||||||||||||||||||
(d) In February 2013, PPL Energy Supply extended the expiration date from March 2013 and, effective April 2013, the capacity was reduced from $200 million. | |||||||||||||||||||||||||||
(e) In August 2013, the capacity was reduced from $200 million. | |||||||||||||||||||||||||||
(f) In May 2013, KU extended the letter of credit facility from April 2014. | |||||||||||||||||||||||||||
In September 2013, PPL Electric terminated its asset-backed commercial paper program sponsored by a financial institution. See Note 7 in PPL's and PPL Electric's 2012 Form 10-K for more information regarding the asset-backed commercial paper program. | |||||||||||||||||||||||||||
In October 2013, LKE entered into a $75 million syndicated credit facility that expires in October 2018. | |||||||||||||||||||||||||||
PPL Energy Supply, PPL Electric, LG&E and KU maintain commercial paper programs to provide an additional financing source to fund their short-term liquidity needs, if and when 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: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Energy Supply | $ | 750 | $ | 750 | 0.50% | $ | 356 | ||||||||||||||||||||
PPL Electric | 300 | 300 | |||||||||||||||||||||||||
LG&E (a) | 0.28% | 350 | $ | 72 | 278 | 0.42% | 55 | ||||||||||||||||||||
KU (a) | 0.28% | 350 | 140 | 210 | 0.42% | 70 | |||||||||||||||||||||
Total | $ | 1,750 | $ | 212 | $ | 1,538 | $ | 481 | |||||||||||||||||||
(a) In April 2013, the capacity was increased from $250 million. | |||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||
PPL Energy Supply maintains a $500 million Facility Agreement expiring June 2017, whereby PPL Energy Supply has 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 September 30, 2013, 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. The facility expires in November 2017, but is subject to automatic one-year renewals under certain conditions. There were no secured obligations outstanding under this facility at September 30, 2013. | |||||||||||||||||||||||||||
(LKE) | |||||||||||||||||||||||||||
See Note 11 for discussion of intercompany borrowings. | |||||||||||||||||||||||||||
Long-term Debt and Equity Securities | |||||||||||||||||||||||||||
(PPL) | |||||||||||||||||||||||||||
In connection with an April 2012 registered public offering of 9.9 million shares of PPL common stock, PPL entered into forward sale agreements with two counterparties. In conjunction with that offering, the underwriters exercised an overallotment option and PPL entered into additional forward sale agreements covering 591 thousand shares of PPL common stock. | |||||||||||||||||||||||||||
In April 2013, PPL settled the initial forward sale agreements by issuing 8.4 million shares of PPL common stock and cash settling the remaining 1.5 million shares. PPL received net cash proceeds of $205 million, which was calculated based on an initial forward price of $27.02 per share, reduced during the period the contracts were outstanding as specified in the forward sale agreements. PPL used the net proceeds to repay short-term debt obligations and for other general corporate purposes. In May 2013, PPL cash settled the forward sale agreements covering the 591 thousand remaining shares for $4 million. | |||||||||||||||||||||||||||
The forward sale agreements were classified as equity transactions. As a result, no amounts were recorded in the consolidated financial statements until the April 2013 settlement of the initial forward sale agreements. However, prior to settlement, incremental shares were included within the calculation of diluted EPS using the treasury stock method. See Note 4 for the impact on the calculation of diluted EPS. | |||||||||||||||||||||||||||
In March 2013, PPL Capital Funding issued $450 million of 5.90% Junior Subordinated Notes due 2073. PPL Capital Funding received proceeds of $436 million, net of underwriting fees, which was loaned to or invested in affiliates of PPL Capital Funding and used to fund their capital expenditures and for other general corporate purposes. | |||||||||||||||||||||||||||
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 into three tranches of Senior Notes. As a result of the exchange, the new Senior Notes include $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, which was recorded to "Interest Expense" on the Statement of Income. The transaction was considered non-cash activity that was excluded from the 2013 Statement of Cash Flows. | |||||||||||||||||||||||||||
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 will be used to repay short-term and long-term debt obligations and for other general corporate purposes. | |||||||||||||||||||||||||||
During the nine months ended September 30, 2013, PPL repurchased 2.4 million shares of its common stock for $74 million to offset the 2013 issuances of common stock under stock-based compensation plans, ESOP and DRIP. These repurchases were recorded as a reduction to "Additional paid-in capital" on the Balance Sheet. | |||||||||||||||||||||||||||
In September 2013, WPD (East Midlands) issued £40 million aggregate principal amount of 1.676% Index-linked Senior Notes due 2052. WPD (East Midlands) received proceeds of £40 million, which equated to $64 million at the time of issuance. The proceeds will be used for general corporate purposes. Although WPD's results are generally recorded on a one-month lag, this transaction was recognized in the current period financial statements. | |||||||||||||||||||||||||||
In October 2013, WPD (East Midlands) issued £25 million aggregate principal amount of 1.676% Index-linked Senior Notes due 2052. WPD (East Midlands) received proceeds of £25 million, which equated to $40 million at the time of issuance. The proceeds will be used for general corporate purposes. | |||||||||||||||||||||||||||
In October 2013, WPD (West Midlands) issued £400 million aggregate principal amount of 3.875% Senior Notes due 2024. WPD (West Midlands) received proceeds of £394 million, which equated to $637 million at the time of issuance, net of a discount and underwriting fees. The net proceeds will be used for general corporate purposes. | |||||||||||||||||||||||||||
See Note 7 in PPL's 2012 Form 10-K for information on the 2011 Equity Units (with respect to which the related $978 million of Notes are expected to be remarketed as early as the first quarter of 2014). | |||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | |||||||||||||||||||||||||||
In February 2013, PPL Energy Supply completed an offer to exchange up to all, but not less than a majority, of PPL Ironwood's 8.857% Senior Secured Bonds due 2025, (Ironwood Bonds), for newly issued PPL Energy Supply Senior Notes, Series 4.60% due 2021. A total of $167 million aggregate principal amount of outstanding Ironwood Bonds was exchanged for $212 million aggregate principal amount of Senior Notes, Series 4.60% due 2021. This transaction was accounted for as a modification of the existing debt; therefore, the amount of debt on the Balance Sheet remained at $167 million and will be accreted to $212 million over the life of the new Senior Notes. No gain or loss was recorded and the exchange was considered non-cash activity that was excluded from the 2013 Statement of Cash Flows. | |||||||||||||||||||||||||||
In July 2013, PPL Energy Supply repaid the entire $300 million principal amount of its 6.30% Senior Notes upon maturity. | |||||||||||||||||||||||||||
(PPL and PPL Electric) | |||||||||||||||||||||||||||
In July 2013, PPL Electric issued $350 million of 4.75% First Mortgage Bonds due 2043. PPL Electric received proceeds of $345 million, net of a discount and underwriting fees, which will be used for capital expenditures, to fund pension obligations and for other 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, absent a specific contractual undertaking or as required by applicable law or regulation, 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 such 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, absent a specific contractual undertaking or as required by applicable law or regulation, 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 Capital Contributions | |||||||||||||||||||||||||||
(PPL) | |||||||||||||||||||||||||||
In August 2013, PPL declared its quarterly common stock dividend, payable October 1, 2013, at 36.75 cents per share (equivalent to $1.47 per annum). Future dividends, declared at the discretion of the Board of Directors, will be dependent upon future earnings, cash flows, financial and legal requirements and other factors. | |||||||||||||||||||||||||||
(All Registrants except PPL) | |||||||||||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
PPL Energy | |||||||||||||||||||||||||||
Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||||||||||||
Dividends/distributions paid to parent/member | $ | 408 | $ | 94 | $ | 116 | $ | 67 | $ | 83 | |||||||||||||||||
Capital contributions received from parent/member | 980 | 205 | 146 | 54 | 92 |
Acquisitions_Development_and_D
Acquisitions, Development and Divestitures | 9 Months Ended |
Sep. 30, 2013 | |
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. | |
Acquisitions | |
Ironwood Acquisition (PPL and PPL Energy Supply) | |
See Note 10 in PPL's and PPL Energy Supply's 2012 Form 10-K for information on the April 13, 2012 Ironwood Acquisition. See Note 7 for information on the February 2013 exchange of a portion of long-term debt assumed through consolidation as a result of the acquisition. | |
Development | |
Future Capacity Needs (PPL and Kentucky Registrants) | |
Construction activity continues on the previously announced natural gas combined-cycle generating unit at the Cane Run station, scheduled to be operational in May 2015. In October 2013, LG&E and KU announced plans to build a second natural gas combined-cycle generating unit at KU's Green River generating site. Subject to finalizing details, regulatory applications, permitting and construction schedules, the facility is expected to have approximately 700 MW of capacity at an estimated cost of $700 million and is planned to be operational in 2018. At the same time, LG&E and KU also announced plans for a potential 10 MW solar generation facility to be operational in 2016 at an estimated cost of $25 million. | |
(PPL and PPL Energy Supply) | |
Bell Bend COLA | |
The NRC continues to review the COLA submitted by a PPL Energy Supply subsidiary, PPL Bell Bend, LLC (PPL Bell Bend) for the proposed construction of the Bell Bend nuclear generating unit (Bell Bend) adjacent to PPL's Susquehanna nuclear generating plant. PPL Bell Bend does not expect to complete the COLA review process with the NRC prior to 2016. PPL Bell Bend has made no decision to proceed with construction of Bell Bend 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 to spend up to $205 million on the COLA and other permitting costs necessary for construction, which is expected to be sufficient to fund the project through receipt of the license. At September 30, 2013 and December 31, 2012, $169 million and $154 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 Bell Bend believes that the estimated fair value of the COLA currently exceeds the costs expected to be capitalized associated with the licensing application. See Note 8 in PPL's and PPL Energy Supply's 2012 Form 10-K for additional information. | |
Hydroelectric Expansion Project | |
In the first quarter of 2013, the 63 MW Rainbow hydroelectric redevelopment project in Great Falls, Montana was placed in service. | |
Regional Transmission Line Expansion Plan (PPL and PPL Electric) | |
Susquehanna-Roseland | |
On October 1, 2012, the National Park Service (NPS) issued its Record of Decision (ROD) on the proposed Susquehanna-Roseland transmission line affirming the route chosen by PPL Electric and Public Service Electric & Gas Company (PSE&G) as the preferred alternative under the NPS's National Environmental Policy Act review. In October 2012, a complaint was filed in the U.S. District Court for the District of Columbia by various environmental groups, including the Sierra Club, challenging the ROD and seeking to prohibit its implementation. PPL Electric and PSE&G intervened in the lawsuit. In December 2012, PPL Electric received federal construction and right of way permits to build on National Park Service lands. | |
On August 19, 2013, the environmental groups filed a petition for injunctive relief seeking to prohibit all construction activities until the court issued a final decision on the complaint. On August 30, 2013, the District Court ruled in favor of PPL Electric, PSE&G and the U.S. Government and dismissed the lawsuit filed by the environmental groups. The environmental groups have publicly stated that they do not intend to appeal the District Court decision. PPL Electric began construction on the National Park Service lands in Pennsylvania on October 1, 2013. | |
Construction activities have been underway on other portions of the 101-mile route in Pennsylvania since 2012. The line is expected to be completed before the peak summer demand period of 2015. At September 30, 2013, PPL Electric's estimated share of the project cost was $630 million. | |
PPL and PPL Electric cannot predict any future legal challenges to the project or what additional actions, if any, PJM might take in the event of a further delay to the scheduled in-service date for the new line. | |
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 incentive for a 100 basis point adder to the return on equity. The order required a follow-up compliance filing from PPL Electric to ensure proper accounting treatment of AFUDC and CWIP for the project, which PPL Electric submitted to the FERC in March 2013 and the FERC subsequently approved in April 2013. | |
In December 2012, PPL Electric submitted an application to the PUC requesting permission to site and construct the project. A number of parties have protested the application, which has been assigned to an Administrative Law Judge (ALJ). Evidentiary hearings were held in July 2013. In October 2013, the ALJ concluded that PPL met its burden on all issues, and recommended that the PUC approve the siting application, two zoning petitions, and the remaining eminent domain applications. A final PUC order is expected in the first quarter of 2014. PPL Electric expects the project to be completed in 2017. At September 30, 2013, PPL Electric's estimated cost of the project was $335 million, an increase from its original estimate of $200 million at December 31, 2012. The increased cost is primarily related to higher material and labor costs and additional scope due to revised construction standards. Of the total estimated cost, $308 million qualifies for the CWIP treatment. | |
See Note 8 in PPL's and PPL Electric's 2012 Form 10-K for additional information. | |
Other (PPL and PPL Energy Supply) | |
Montana Transactions | |
In September 2013, PPL Montana executed a definitive agreement to sell 633 MW of hydroelectric facilities to NorthWestern for $900 million in cash, subject to certain adjustments. The sale, which is not expected to close before the second half of 2014, includes 11 hydroelectric power facilities and related assets. The sale is subject to closing conditions, including receipt of regulatory approvals by the FERC and Montana Public Service Commission and certain third-party consents. Due to the uncertainties related to certain of these conditions as of September 30, 2013, the sale did not meet the applicable accounting criteria for the assets and liabilities included in the transaction to be classified as held for sale on the Balance Sheet. | |
In a related transaction, in September 2013, PPL Montana negotiated and entered into an agreement to pay $271 million to terminate a sale-leaseback arrangement and reacquire its interests in the Colstrip coal-fired facilities. See Note 11 in PPL's and PPL Energy Supply's 2012 Form 10-K for additional information on the sale-leaseback. This transaction is anticipated to occur by the end of the first quarter of 2014, subject to approval by the FERC. At lease termination, in addition to recording a charge for the cash payment, a non-cash charge is expected to be recorded related to the existing lease-related assets on PPL's and PPL Energy Supply's Balance Sheets. The book value of these assets was approximately $450 million at September 30, 2013. These lease-related assets will be written-off and the reacquired Colstrip assets will be recorded at fair value as of the acquisition date. The total loss is currently estimated at between $310 million and $430 million, after-tax, which is dependent on the fair value assigned to the reacquired Colstrip assets. | |
Lower Mt. Bethel Plant Transaction | |
In December 2001, a subsidiary of PPL Energy Supply entered into an operating lease arrangement, as lessee, for the development, construction and operation of the Lower Mt. Bethel plant. The owner/lessor of the Lower Mt. Bethel plant was determined to be a VIE and has been consolidated in PPL's and PPL Energy Supply's financial statements since December 31, 2003. See Note 22 in PPL's and PPL Energy Supply's 2012 Form 10-K for additional information on the VIE. A subsidiary of PPL Energy Supply now intends to purchase the Lower Mt. Bethel plant for $455 million at the lease termination date in December 2013, subject to approval by the FERC. The proceeds are expected to be used by the VIE to repay outstanding debt and make a distribution to its equity investors (currently presented as noncontrolling interests in PPL's and PPL Energy Supply's financial statements). The transaction will not result in any gain or loss as it will be treated as a transfer of assets between entities under common control and will not result in any change to the presentation of the Lower Mt. Bethel plant assets as they are currently included in PPL's and PPL Energy Supply's consolidated financial statements. |
Defined_Benefits
Defined Benefits | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Defined Benefits [Abstract] | ' | ||||||||||||||||||||||||||
Defined Benefits | ' | ||||||||||||||||||||||||||
9. Defined Benefits | |||||||||||||||||||||||||||
(All Registrants except PPL Electric and KU) | |||||||||||||||||||||||||||
Certain net periodic defined benefit costs are applied to accounts that are further distributed between capital and expense, including certain costs allocated to applicable subsidiaries for plans sponsored by PPL Services and LKE. Following are the net periodic defined benefit costs (credits) of the plans sponsored by PPL, PPL Energy Supply, LKE and LG&E for the periods ended September 30: | |||||||||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
U.S. | U.K. | U.S. | U.K. | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Service cost | $ | 31 | $ | 25 | $ | 18 | $ | 13 | $ | 94 | $ | 77 | $ | 52 | $ | 40 | |||||||||||
Interest cost | 53 | 55 | 79 | 85 | 160 | 165 | 238 | 254 | |||||||||||||||||||
Expected return on plan assets | -73 | -65 | -115 | -115 | -220 | -195 | -346 | -340 | |||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 6 | 6 | 1 | 17 | 18 | 3 | |||||||||||||||||||||
Actuarial (gain) loss | 20 | 11 | 37 | 19 | 60 | 32 | 112 | 59 | |||||||||||||||||||
Net periodic defined benefit | |||||||||||||||||||||||||||
costs (credits) | $ | 37 | $ | 32 | $ | 19 | $ | 3 | $ | 111 | $ | 97 | $ | 56 | $ | 16 | |||||||||||
Pension Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 5 | $ | 4 | |||||||||||||||||||
Interest cost | 2 | 2 | 6 | 6 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -2 | -7 | -7 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 2 | $ | 2 | $ | 6 | $ | 5 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 6 | $ | 5 | $ | 19 | $ | 16 | |||||||||||||||||||
Interest cost | 16 | 16 | 47 | 48 | |||||||||||||||||||||||
Expected return on plan assets | -20 | -17 | -61 | -52 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 3 | 4 | |||||||||||||||||||||||
Actuarial (gain) loss | 8 | 5 | 25 | 16 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 11 | $ | 11 | $ | 33 | $ | 32 | |||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 2 | $ | 1 | |||||||||||||||||||||
Interest cost | 3 | $ | 4 | 10 | 11 | ||||||||||||||||||||||
Expected return on plan assets | -5 | -5 | -15 | -14 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Actuarial (gain) loss | 3 | 3 | 10 | 8 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 9 | $ | 8 | |||||||||||||||||||
Other Postretirement Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Service cost | $ | 4 | $ | 3 | $ | 11 | $ | 9 | |||||||||||||||||||
Interest cost | 7 | 7 | 21 | 23 | |||||||||||||||||||||||
Expected return on plan assets | -6 | -6 | -18 | -17 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Transition obligation | 1 | ||||||||||||||||||||||||||
Prior service cost | 1 | 1 | |||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 4 | 3 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 6 | $ | 6 | $ | 18 | $ | 20 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 2 | $ | 1 | $ | 4 | $ | 3 | |||||||||||||||||||
Interest cost | 2 | 3 | 6 | 7 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -1 | -4 | -3 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Transition obligation | 1 | ||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 2 | ||||||||||||||||||||||||
Actuarial (gain) loss | -1 | ||||||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 8 | $ | 9 | |||||||||||||||||||
(All Registrants except PPL) | |||||||||||||||||||||||||||
In addition to the specific defined benefit plans they sponsor, PPL Energy Supply subsidiaries are also allocated costs of defined benefit plans sponsored by PPL Services and LG&E is allocated costs of defined benefit plans sponsored by LKE based on their participation in those plans, which management believes are reasonable. PPL Electric and KU do not independently sponsor any defined benefit plans. PPL Electric is allocated costs of defined benefit plans sponsored by PPL Services and KU is allocated costs of defined benefit plans sponsored by LKE based on their participation in those plans, which management believes are reasonable. For the periods ended September 30, PPL Services allocated the following net periodic defined benefit costs to PPL Energy Supply subsidiaries and PPL Electric, and LKE allocated the following net periodic defined benefit costs to LG&E and KU. | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | $ | 11 | $ | 10 | $ | 34 | $ | 29 | |||||||||||||||||||
PPL Electric | 9 | 8 | 27 | 23 | |||||||||||||||||||||||
LG&E | 3 | 3 | 9 | 9 | |||||||||||||||||||||||
KU | 4 | 4 | 13 | 13 |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | ||||||
Sep. 30, 2013 | |||||||
Commitments and Contingencies [Abstract] | ' | ||||||
Commitments and Contingencies | ' | ||||||
10. Commitments and Contingencies | |||||||
Energy Purchase Commitments | |||||||
(PPL and PPL Energy Supply) | |||||||
PPL Energy Supply enters into long-term purchase contracts to supply the coal requirements for its coal-fired generating facilities. These contracts include commitments to purchase coal through 2019. In 2012, as a result of lower electricity and natural gas prices, coal unit utilization began to decrease. To mitigate the risk of exceeding available coal storage, PPL Energy Supply incurred pre-tax charges of $17 million and $29 million during the three and nine months ended September 30, 2012 to reduce its 2012 and 2013 contracted coal deliveries. These charges were recorded to "Fuel" on the Statement of Income. | |||||||
(PPL and PPL Electric) | |||||||
In May 2012, PPL Electric filed a plan with the PUC to purchase its electricity supply for default customers for the period June 2013 through May 2015. The PUC approved the plan in January 2013. The approved plan provides that PPL Electric procure this electricity through competitive solicitations twice each plan year beginning in April 2013. The solicitations will 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. Through October 2013, two of four solicitations have been completed. | |||||||
(PPL Electric) | |||||||
See Note 11 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 (l) 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. Trial in this matter as to liability has been scheduled for October 2014. Trial as to remedies, if there is a finding of liability, is scheduled for August 2015. | |||||||
On July 27, 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. On September 27, 2013, the plaintiffs filed an amended complaint. This amended complaint drops all claims regarding pre-2001 plant projects, as well as the plaintiffs' Title V and opacity claims. It does, 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 on October 11, 2013. Although 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. | |||||||
Regulatory Issues | |||||||
(All Registrants) | |||||||
See Note 6 for information on regulatory matters related to utility rate regulation. See Note 15 to the Registrants' 2012 Form 10-K for a discussion of Enactment of Financial Reform Legislation. | |||||||
(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: S. No. 2381, 214th Leg. (N.J. 2011) (the Act). To create incentives for the development of new, in-state electric generation facilities, the Act implements 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 incent 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 have filed appeals of the FERC's order. PPL, PPL Energy Supply and PPL Electric cannot predict the outcome of this proceeding or the economic impact on their businesses or operations, or the markets in which they transact business. | |||||||
In addition, 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 Clause and the Commerce Clause of the U.S. Constitution and requesting declaratory and injunctive relief barring implementation of the Act by the BPU Commissioners. In October 2011, the court denied the BPU's motion to dismiss the proceeding and in September 2012 the U.S. District Court denied all summary judgment motions. Trial of this matter was completed in June 2013. 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 has been appealed to the U.S. Court of Appeals for the Third Circuit by CPV Power Development, Inc. and is expected to be appealed by the State of New Jersey. PPL, PPL Energy Supply and PPL Electric cannot predict the outcome of this proceeding or the economic impact on their businesses or operations, or the markets in which they transact business. | |||||||
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 electric 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 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 August 2012, the court denied the MD PSC and CPV Maryland, LLC motions to dismiss the proceeding. Trial of this matter was completed in March 2013. In September 2013, the U.S. District Court in Maryland 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 is expected to be appealed to the U.S. Court of Appeals for the Fourth Circuit. PPL, PPL Energy Supply, and PPL Electric cannot predict the outcome of this proceeding or the economic impact on their businesses or operations, or the markets in which they transact business. | |||||||
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 September 30, 2013 by the City of Seattle for approximately $50 million. In April 2013, the FERC issued an order on reconsideration allowing the parties to seek refunds for the period January 2000 through December 2000. As a result, the City of Seattle may be able to seek refunds from PPL Montana for such period. Hearings before a FERC Administrative Law Judge regarding the City of Seattle's refund claims were completed in October 2013. A briefing schedule has been set and an initial decision is expected in mid-March 2014. | |||||||
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. | |||||||
Electric - Reliability Standards (All Registrants) | |||||||
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, other than the amounts currently recorded. | |||||||
In October 2012, the FERC issued a Notice of Proposed Rulemaking (NOPR) concerning Reliability Standards for geomagnetic disturbances (GMDs). The FERC proposed to direct the NERC to submit for approval Reliability Standards that address the impact of GMDs on the reliable operation of the bulk-power system. In May 2013, the FERC issued its Final Rule, Order No. 779, which directs the NERC to submit GMD Reliability Standards to the FERC for approval in two stages. In the first stage, the NERC must submit one or more Reliability Standards by January 22, 2014 that require owners and operators of the bulk-power system to develop and implement operational procedures to mitigate the effects of GMDs on the bulk-power system. In the second stage, the NERC must submit one or more Reliability Standards by January 22, 2015 that require owners and operators of bulk-power system facilities to assess yet to be determined “benchmark GMD events” and develop and implement plans to protect the bulk-power system from such GMD events. The Registrants are unable to predict the specific requirements that will be contained in the Reliability Standards that the NERC has been directed to submit or the amount of any expenditures that may be required as a result of the approval of any such Reliability Standards. | |||||||
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 impact 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 (formerly Clean Air Transport Rule) and CAIR | |||||||
In July 2011, the EPA adopted the CSAPR. The CSAPR replaced the EPA's previous CAIR which was invalidated in July 2008 by the U.S. Court of Appeals for the District of Columbia Circuit (D.C. Circuit Court). CAIR subsequently was effectively reinstated by the D.C. Circuit Court in December 2008, pending finalization of the CSAPR. Like CAIR, CSAPR targeted sources in the eastern U.S. and required reductions in sulfur dioxide and nitrogen oxides in two phases (2012 and 2014). | |||||||
In December 2011, the D.C. Circuit Court stayed implementation of the CSAPR and left CAIR in effect pending a final decision on the validity of the rule. In August 2012, the D.C. Circuit Court issued a ruling invalidating CSAPR, remanding the rule to the EPA for further action, and leaving CAIR in place during the interim. In June 2013, the U.S. Supreme Court granted the EPA's petition for review of the D.C. Circuit Court's August 2012 decision. Oral argument before the U.S. Supreme Court has been scheduled for December 2013. Prior to a revised rule from the EPA, coal-fired generating plants could face tighter nitrous oxide emission limitations through state action. | |||||||
The Kentucky fossil-fueled generating plants can meet the CAIR sulfur dioxide emission requirements by utilizing sulfur dioxide allowances (including banked allowances and optimizing existing controls). To meet nitrogen oxide standards under the CAIR, the Kentucky companies will need to buy allowances and/or make operational changes. LG&E and KU do not currently anticipate that the costs of meeting these reinstated CAIR requirements or standards will be significant. | |||||||
PPL Energy Supply's Pennsylvania fossil-fueled generating plants can meet the CAIR sulfur dioxide emission requirements with the existing scrubbers that were placed in service in 2008 and 2009. To meet the CAIR nitrogen oxide standards, PPL Energy Supply will need to buy allowances and/or make operational changes, the costs of which are not anticipated to be significant. | |||||||
National Ambient Air Quality Standards | |||||||
PPL fossil-fueled generating plants may face further reductions in emissions as a result of more stringent national ambient air quality standards for ozone, nitrogen oxide, sulfur dioxide and/or fine particulates. | |||||||
In 2010, the EPA finalized a new one-hour standard for sulfur dioxide, and states are required 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), including the Corette plant and its immediate vicinity, and part of Jefferson County in Kentucky. Attainment must be achieved by 2018. States are working on designations for other areas. | |||||||
In December 2012, the EPA issued final rules that strengthen the fine particulate standards. Under the final rules, states and the EPA have until 2015 to identify non-attainment areas, and states have until 2020 to achieve attainment status for those areas. | |||||||
PPL, PPL Energy Supply, LKE, LG&E and KU anticipate that some of the measures required for compliance with the CAIR, or the MATS, or the Regional Haze requirements (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 one-hour 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 PPL Energy Supply previously announced its intent to place the plant in long-term reserve status beginning in April 2015 (see "MATS" below). The longer-term impact will depend on the status of plant operations at that time and what the MDEQ requires in its State Implementation Plan for reestablishing attainment, due in January 2015. | |||||||
Until particulate matter and sulfur dioxide maintenance and compliance plans are developed by the EPA and state or local agencies, including identification and finalization of attainment designations for particulate matter, PPL, PPL Energy Supply, LKE, LG&E and KU cannot predict the impact of the new standards. | |||||||
MATS | |||||||
In May 2011, the EPA published a proposed regulation requiring stringent reductions of mercury and other hazardous air pollutants from power plants. In February 2012, the EPA published the final rule, known as the MATS, with an effective date of April 2012. The rule is being challenged by industry groups and states in the D.C. Circuit Court, where oral argument is scheduled for December 2013. The rule provides for a three-year compliance deadline with the potential for a one-year extension as provided under the statute. PPL has received two extensions in Kentucky and has requested an extension for one plant in Pennsylvania. Other extension requests are under consideration. | |||||||
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 certain 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 is in response to this and other environmental regulations. LG&E and KU are continuing to assess whether any revisions of their approved compliance plans will be necessary. | |||||||
With respect to PPL Energy Supply's Pennsylvania plants, PPL Energy Supply believes that installation of chemical additive systems 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 on Colstrip may be required, the cost of which is not expected to be significant. For the Corette plant, PPL Energy Supply announced in September 2012 its intention, beginning in April 2015, to place the plant in long-term reserve status, suspending the plant's operation, due to expected market conditions and the costs to comply with the MATS requirements. The Corette plant asset group's carrying amount at September 30, 2013 was $67 million. Although the Corette plant asset group was not determined to be impaired at September 30, 2013, it is reasonably possible that an impairment could occur in future periods, as the Company continues to assess its plans for Corette and as higher priced sales contracts settle, adversely impacting projected cash flows. PPL Energy Supply, LG&E and KU are continuing to conduct in-depth reviews of the MATS, including the potential implications to scrubber wastewater discharges. See the discussion of effluent limitations guidelines and standards below. | |||||||
Upon reconsideration of the MATS rule, in March 2013 the EPA revised certain emission limits and related requirements for new power plants. The revised limits are somewhat less onerous than the original proposal, and thereby pose less of an impediment to the construction of new coal-fired power plants. | |||||||
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 take action via state plans to make reasonable progress every decade, including the application 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 oxide and particulates. To date, the focus of regional haze activity has been the western U.S. because, until recently, BART requirements for sulfur dioxide and nitrogen oxide reductions in the eastern U.S. were largely addressed through compliance with other regulatory programs, such as CSAPR or CAIR. More specifically, before CAIR was temporarily invalidated in 2008, the EPA had determined, and the D.C. Circuit Court had affirmed, that a state could accept region-wide reductions under the CAIR trading program to satisfy BART requirements. After CAIR was temporarily invalidated, the EPA adopted a final rule providing that states subject to CSAPR (which replaced CAIR) may rely on participation in the CSAPR trading program as an alternative to BART. However, the D.C. Circuit Court's August 2012 decision to vacate and remand CSAPR and to implement CAIR in its place on an interim basis leaves power plants located in the eastern U.S., including PPL's plants in Pennsylvania and Kentucky, exposed to reductions in sulfur dioxide and nitrogen oxides as required by BART, unless the D.C. Circuit Court's decision, now pending before the U.S. Supreme Court, is overturned. | |||||||
In addition to this exposure stemming from the remand of CSAPR, 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 in the Kentucky Division of Air Quality's regional haze state implementation plan that was 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 develop a BART state implementation plan. In September 2012, the EPA issued its final Federal Implementation Plan (FIP) for the Montana regional haze rule. The final FIP assumed no additional controls for Corette or Colstrip Units 3 and 4, but proposed tighter limits for Corette and Colstrip Units 1 and 2. PPL Energy Supply expects to meet these tighter permit limits at Corette without any significant changes to operations, although other requirements have led to the planned suspension of operations at Corette beginning in April 2015 (see "MATS" 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 oxide and sulfur dioxide limits. The cost of these potential additional controls, if required, could be significant. In November 2012, PPL filed a petition for review of the Montana Regional Haze FIP with the U.S. Court of Appeals for the Ninth Circuit. Environmental groups have also filed a petition for review. The two matters have been consolidated, and litigation is on-going. | |||||||
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. PPL and the EPA have exchanged certain information regarding this matter. 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. 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. In September 2012, PPL Montana received an information request from the Montana Department of Environmental Quality regarding Colstrip Unit 1 and other projects. PPL and PPL Energy Supply cannot predict the outcome of these matters, and cannot estimate a range of reasonably possible losses, if any. | |||||||
In March 2009, KU received an EPA notice alleging that KU violated certain provisions of the Clean Air Act's rules governing NSR and prevention of significant deterioration by installing sulfur dioxide scrubbers and SCR controls at its Ghent plant without assessing potential increased sulfuric acid mist emissions. KU contends that the projects in question were pollution control projects, and therefore exempt from the requirements cited by the EPA. In December 2009, the EPA issued an information request on this matter. In September 2012, the parties reached a tentative settlement addressing the Ghent NSR matter that seeks to resolve a September 2007 notice of violation alleging opacity violations at the plant. The parties subsequently entered into a consent decree which was approved by the court on September 11, 2013. The consent decree requires the incurrence of non-material costs that have already been accrued. | |||||||
In August 2007, LG&E received information requests for the Mill Creek and Trimble County plants, and KU received requests for the Ghent plant, but they have received no further communications from the EPA since providing their responses. PPL, LKE, LG&E and KU 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, PPL, PPL Energy Supply, LKE, LG&E and KU would, among other things, be required to meet permit limits reflecting Best Available Control Technology (BACT) for the emissions of any pollutant found to have significantly increased due to a major plant modification. The costs to meet such limits, including installation of technology at certain units, could be significant. | |||||||
TC2 Air Permit (PPL and Kentucky Registrants) | |||||||
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 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 KDAQ. 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 the capital costs of this project, if any. | |||||||
Cane Run Environmental Claims (PPL, LKE and LG&E) | |||||||
On September 6, 2013, PPL, LKE and LG&E received a letter on behalf of two residents adjacent to the Cane Run plant notifying various federal, state, and local agencies of their intent to file a citizen suit for alleged violations of the Clean Air Act and Resource Conservation and Recovery Act. The claimants allege various environmental harms including an imminent and substantial endangerment to health or the environment and state that they will seek civil penalties, injunctive relief and attorneys' fees. PPL, LKE and LG&E cannot predict the outcome of this matter or the potential impact on operations of the Cane Run plant. In the 2011 to 2013 time period, the Louisville Metro Air Pollution Control District issued several notices of violation alleging violations of local air quality rules at the Cane Run plant. The agency is seeking civil penalties and remedial measures which are not expected to result in the incurrence of material costs. LG&E is currently in settlement negotiations with the agency. LG&E has previously announced that it anticipates retiring the coal-fired units at Cane Run before the end of 2015. | |||||||
(All Registrants) | |||||||
GHG Regulations and Tort Litigation | |||||||
As a result of the April 2007 U.S. Supreme Court decision that the EPA has authority under the Clean Air Act to regulate GHG 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 GHG emissions from stationary sources under the NSR and Title V operating permit provisions of the Clean Air Act. As a result, any new sources or major modifications to existing GHG sources causing a net significant emissions increase now require adherence to the BACT permit limits for GHGs. The rules were challenged, and in June 2012 the D.C. Circuit Court upheld the EPA's regulations. In December 2012, the D.C. Circuit Court denied petitions for rehearing pertaining to its June 2012 opinion. On October 15, 2013, the U.S. Supreme Court granted certiorari for several petitions to decide whether the NSR provisions of the Clean Air Act require the EPA to regulate GHG emissions from stationary sources, such as power plants. | |||||||
In June 2013, President Obama released his Climate Action Plan which reiterates the goal of reducing greenhouse gas 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 tighter energy efficiency standards. Also, by Presidential Memorandum the EPA was directed to issue a new proposal for new power plants by September 20, 2013, with a final rule in a timely fashion thereafter, and to issue proposed standards for existing plants by June 1, 2014 with a final rule to be issued by June 1, 2015. The EPA was further directed to require that states develop implementation plans for existing plants by June 2016. Regulation of existing plants could have a significant industry-wide impact depending on the structure and stringency of the final rule and the state implementation plans. The Administration's recent increase in its estimate of the "social cost of carbon" (which is used to calculate benefits associated with proposed regulations) from $23.80 to $38 per metric ton in 2015 may also lead to more costly regulatory requirements. Additionally, the Climate Action Plan requirements related to preparing the U.S. for the impacts of climate change could affect PPL and others in the industry as transmission system modifications to improve the ability to withstand major storms may be needed in order to meet those requirements. | |||||||
The EPA issued its revised proposal (re-proposal) for new sources on September 20, 2013 as directed by the White House. Unlike the EPA's April 2012 Carbon Dioxide (CO2) New Source Performance Standards (NSPS) for new plants, the re-proposal established 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 there is no commercially viable CO2 reduction technology available presently to allow new coal plants to meet the proposed standards, this proposal effectively precludes the construction of new coal plants. The EPA proposed the same standard for natural gas combined-cycle power plants as it had proposed in April 2012. A slightly less stringent standard, however, was offered in the re-proposal for smaller gas plants. Simple cycle natural gas plants are no longer explicitly exempt from the standard under the EPA's re-proposal. | |||||||
At the regional level, ten northeastern states signed a Memorandum of Understanding (MOU) agreeing to establish a GHG emission cap-and-trade program, called the Regional Greenhouse Gas Initiative (RGGI). The program commenced in January 2009 and calls for stabilizing carbon dioxide emissions, at base levels established in 2005, from electric power plants with capacity greater than 25 MW. The MOU also provides for a 10% reduction, by 2019, in carbon dioxide emissions from base levels. | |||||||
Pennsylvania has not stated an intention to join the RGGI, but enacted the Pennsylvania Climate Change Act of 2008 (PCCA). The PCCA established a Climate Change Advisory Committee to advise the PADEP on the development of a Climate Change Action Plan. In December 2009, the Advisory Committee finalized its Climate Change Action Report and identified specific actions that could result in reducing GHG emissions by 30% by 2020. Some of the proposed actions, such as a mandatory 5% efficiency improvement at power plants, could be unachievable. To date, there have been no regulatory or legislative actions taken to implement the recommendations of the report. | |||||||
In November 2008, the Governor of Kentucky issued a comprehensive energy plan including non-binding targets aimed at promoting improved energy efficiency, development of alternative energy, development of carbon capture and sequestration projects, and other actions to reduce GHG emissions. In December 2009, the Kentucky Climate Action Plan Council was established to develop an action plan addressing potential GHG reductions and related measures. To date, the state has not issued a final plan. The impact of any such plan is not now determinable, but the costs to comply with the plan could be significant. | |||||||
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 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. PPL, LKE and KU cannot predict the outcome of these lawsuits or estimate a range of reasonably possible losses, if any. | |||||||
Renewable Energy Legislation (All Registrants) | |||||||
There has been interest in renewable energy legislation at both the state and federal levels. Federal legislation on renewable energy is not expected to be enacted this year. In Pennsylvania, bills were recently introduced calling for an increase in AEPS Tier 1 obligations and to create a $25 million permanent funding program for solar generation. A bill adding new hydropower to Montana's renewable portfolio standard was enacted with an effective date of October 1, 2013. An interim legislative committee in Montana is reviewing the state's RPS. PPL and PPL Energy Supply cannot predict at this time whether the committee will recommend any changes to existing laws. | |||||||
The Registrants believe there are financial, regulatory and logistical 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 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 at this time 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 Resource Conservation and Recovery Act (RCRA). CCRs include fly ash, bottom ash and sulfur dioxide scrubber wastes. Regulating CCRs as a hazardous waste under Subtitle C of the RCRA would materially increase costs and result in early retirements of many coal-fired plants, as it would require plants to retrofit their operations to comply with full hazardous waste requirements for the generation of CCRs and associated waste waters through generation, transportation and disposal. This would also have a negative impact on the beneficial use of CCRs and could eliminate existing markets for CCRs. The EPA's proposed approach to regulate CCRs as non-hazardous waste under Subtitle D of the RCRA would mainly affect disposal and most significantly affect any wet disposal operations. Under this approach, many of the current markets for beneficial uses would not be affected. Currently, PPL expects that several of its plants in Kentucky and Montana could be significantly impacted by the EPA's proposed non-hazardous waste regulations, as these plants are using surface impoundments for management and disposal of CCRs. | |||||||
The EPA has issued information requests on CCR management practices at numerous plants throughout the power industry as it considers whether or not to regulate CCRs as hazardous waste. PPL has provided information on CCR management practices at most of its plants in response to the EPA's requests. In addition, the EPA has conducted follow-up inspections to evaluate the structural stability of CCR management facilities at several PPL plants and PPL has implemented or is implementing certain actions in response to recommendations from these inspections. | |||||||
The EPA is continuing to evaluate the unprecedented number of comments it received on its June 2010 proposed regulations. In October 2011, the EPA issued a Notice of Data Availability (NODA) requesting comments on selected documents it received during the comment period for the proposed regulations. On September 20, 2013, in response to the proposed Effluent Limitation Guidelines, PPL submitted comments on the proposed CCR regulations. Also, on September 3, 2013, PPL commented on a second CCR NODA seeking comment on additional information related to the EPA's proposal. In July 2013, the U.S. House of Representatives passed House Bill H.R. 2218, the Coal Residuals and Reuse Management Act of 2013, which would preempt the EPA from issuing final CCR regulations and would set non-hazardous CCR standards under RCRA and authorize state permit programs. It remains uncertain whether similar legislation will likely be passed by the U.S. Senate. | |||||||
A coalition of environmental groups and two CCR recycling companies have filed lawsuits against the EPA for failure to perform nondiscretionary duties under RCRA, which could require a deadline for the EPA to issue strict CCR regulations. The two CCR recycling companies are asserting that the EPA should regulate CCRs as a non-hazardous waste that would allow for continued recycling. | |||||||
As a result of litigation by environmental groups, final rulemaking could be issued as early as the end of 2014. | |||||||
PPL, PPL Energy Supply, LKE, LG&E and KU cannot predict at this time the final requirements of the EPA's CCR regulations or potential changes to the RCRA and what impact they would have on their facilities, but the financial and operational impact is expected to be material if CCRs are regulated as hazardous waste and significant if regulated as non-hazardous. | |||||||
Trimble County Landfill Permit (PPL and Kentucky Registrants) | |||||||
In May 2011, LG&E submitted an application for a special waste landfill permit to handle coal combustion residuals 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. LG&E and KU are assessing additional options for managing coal combustion residuals including construction of a landfill at an alternate site adjacent to the plant. Submittal of a new permit application for an alternative site may result in additional environmental considerations in the course of the permitting process and substantial additional costs. PPL, LKE, LG&E and KU are unable to determine the precise impact of this matter until they select an alternate management option and complete a detailed engineering design. | |||||||
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 implement assessment or abatement measures, where required. A range of reasonably possible losses cannot currently be estimated. | |||||||
(PPL and PPL Energy Supply) | |||||||
In 2007, six plaintiffs filed a lawsuit in the Montana Sixteenth Judicial District Court against the Colstrip plant owners asserting property damage due to seepage from plant wastewater ponds. A settlement agreement was reached in July 2010 which would have resulted in a payment by PPL Montana, but certain of the plaintiffs later argued the settlement was not final. The Colstrip plant owners filed a motion to enforce the settlement and in October 2011 the court granted the motion and ordered the settlement to be completed in 60 days. The plaintiffs appealed the October 2011 order to the Montana Supreme Court, which affirmed the district court's order enforcing the settlement in December 2012 and denied plaintiff's motion for rehearing in February 2013. Final settlement documents were executed and the settlement was effective on October 28, 2013. PPL Montana's share of the settlement payment was not significant. | |||||||
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 (NWF). 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. | |||||||
In late October 2012, Earthjustice filed a second complaint against the MDEQ and PPL Montana in state district court in Lewis and Clark County on behalf of the Sierra Club, the MEIC and the NWF. This complaint alleges that the defendants have failed to take action under the MFSA and the Montana Water Quality Act to effectively monitor and correct issues of coal ash disposal and wastewater ponds at the Colstrip plant. The complaint seeks a declaration that the operations of the impoundments violate the statutes referred to above, requests a writ of mandamus directing the MDEQ to enforce the same and seeks recovery of attorneys' fees and costs. In May 2013, the court granted MDEQ's and PPL Montana's motion to dismiss. It is unknown at this time whether the complainants will appeal this decision. | |||||||
(All Registrants except PPL Electric) | |||||||
Clean Water Act 316(b) | |||||||
The EPA published proposed rule 316(b) for existing facilities in April 2011. The EPA has been evaluating the comments it received to the proposed rule and meeting with industry groups to discuss options. The proposed rule contains two requirements to reduce impact to aquatic organisms at cooling water intake structures. The first requires all existing facilities to meet standards for the reduction of mortality of aquatic organisms that become trapped against water intake screens (impingement) regardless of the levels of mortality actually occurring or the cost to achieve the standards. The second requirement is to determine and install the best technology available to reduce mortality of aquatic organisms pulled through a plant's cooling water system (entrainment). A form of cost-benefit analysis is allowed for this second requirement involving a site-specific evaluation based on nine factors, including impacts to energy delivery reliability and the remaining useful life of the plant. The final rule is expected to be issued in November 2013. Until the final rule is issued, PPL, PPL Energy Supply, LKE, LG&E and KU cannot reasonably estimate a range of reasonably possible costs, if any, that would be required to comply with such a regulation. | |||||||
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. 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. PPL, PPL Energy Supply, LKE, LG&E and KU worked with industry groups to comment on the proposed regulation on September 20, 2013. The final regulation is expected to be issued in May 2014. At the present time, PPL, PPL Energy Supply, LKE, LG&E and KU are currently 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, states, including Pennsylvania and Kentucky, 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. | |||||||
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 PCB-containing equipment. The EPA is planning to propose the revised regulations in 2014. 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 Energy Supply has investigated alternatives to exclude fish from the discharge channel at its Brunner Island plant, but the subsidiary and the PADEP have concluded that a barrier method to exclude fish is not workable. In June 2012, a Consent Order and Agreement (COA) was signed that allows the subsidiary to study a change in a cooling tower operational method that may keep fish from entering the channel. Should this approach fail, the COA requires a retrofit of impingement control technology at the intakes to the cooling towers, the cost of which could be significant. | |||||||
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. | |||||||
The EPA and the Army Corps of Engineers are working on a guidance document that will expand the federal government's interpretation of what constitutes "waters of the U.S." subject to regulation under the Clean Water Act. This change has the potential to affect generation and delivery operations, with the most significant effect being the potential elimination of the existing regulatory exemption for plant waste water treatment systems. The costs that may be imposed on the Registrants as a result of any eventual expansion of this interpretation cannot reliably be estimated at this time but could be significant. | |||||||
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. | |||||||
From time to time, PPL Energy Supply, PPL Electric, LG&E and KU undertake remedial action in response to 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 which 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 their 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) | |||||||
PPL Susquehanna is a member of certain insurance programs that provide coverage for property damage to members' nuclear generating plants. Effective April 1, 2013, facilities at the Susquehanna plant are insured against property damage losses up to $2.50 billion under these programs. PPL Susquehanna is also a member of an insurance program that provides insurance coverage for the cost of replacement power during prolonged outages of nuclear units caused by certain specified conditions. | |||||||
Under the property and replacement power insurance programs, PPL Susquehanna could be assessed retroactive premiums in the event of the insurers' adverse loss experience. Effective April 1, 2013, this maximum assessment was $46 million. | |||||||
In the event of a nuclear incident at the Susquehanna plant, PPL Susquehanna's public liability for claims resulting from such incident would be limited to $12.6 billion under provisions of The Price-Anderson Act as amended. PPL Susquehanna is protected against this liability by a combination of commercial insurance and an 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 $235 million per incident, payable at $35 million per year. | |||||||
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. | |||||||
(All Registrants) | |||||||
The table below details guarantees provided at September 30, 2013. The total recorded liability at September 30, 2013 and December 31, 2012, was $23 million and $24 million for PPL and $20 million for both periods for LKE. 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" and "Indemnification of lease termination and other divestitures." 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 | ||||||
September 30, 2013 (a) | Date | ||||||
PPL | |||||||
Indemnifications related to the WPD Midlands acquisition | (b) | ||||||
WPD indemnifications for entities in liquidation and sales of assets | $ | 11 | (c) | 2018 | |||
WPD guarantee of pension and other obligations of unconsolidated entities | 125 | (d) | 2015 | ||||
PPL Energy Supply | |||||||
Letters of credit issued on behalf of affiliates | 23 | (e) | 2013 - 2014 | ||||
Retrospective premiums under nuclear insurance programs | 46 | (f) | |||||
Nuclear claims assessment under The Price-Anderson Act as amended | 235 | (g) | |||||
Indemnifications for sales of assets | 250 | (h) | 2025 | ||||
Indemnification to operators of jointly owned facilities | 6 | (i) | |||||
Guarantee of a portion of a divested unconsolidated entity's debt | 22 | (j) | 2018 | ||||
PPL Electric | |||||||
Guarantee of inventory value | 32 | (k) | 2017 | ||||
LKE | |||||||
Indemnification of lease termination and other divestitures | 301 | (l) | 2021 - 2023 | ||||
LG&E and KU | |||||||
LG&E and KU guarantee of shortfall related to OVEC | (m) | ||||||
(a) Represents the estimated maximum potential amount of future payments that could be required to be made under the guarantee. | |||||||
(b) Prior to PPL's acquisition, WPD Midlands Holdings Limited had agreed to indemnify certain former directors of a Turkish entity, in which WPD Midlands Holdings Limited previously owned an interest, for any liabilities that may arise as a result of an investigation by Turkish tax authorities, and PPL WEM has received a cross-indemnity from E.ON AG with respect to these indemnification obligations. Additionally, PPL subsidiaries agreed to provide indemnifications to subsidiaries of E.ON AG for certain liabilities relating to properties and assets owned by affiliates of E.ON AG that were transferred to WPD Midlands in connection with the acquisition. 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. | |||||||
(c) In connection with the liquidation of wholly owned subsidiaries that have been deconsolidated upon turning the entities over to the liquidators, certain affiliates of PPL Global have agreed to indemnify the liquidators, directors and/or the entities themselves for any liabilities or expenses arising during the liquidation process, including liabilities and expenses of the entities placed into liquidation. In some cases, the indemnifications are limited to a maximum amount that is based on distributions made from the subsidiary to its parent either prior or subsequent to being placed into liquidation. In other cases, the maximum amount of the indemnifications is 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 in which the agreements provide for a specific limit on the amount of the indemnification, and the expiration date was based on an estimate of the dissolution date of the entities. | |||||||
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. In addition, in connection with certain of these sales, WPD and its affiliates 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. | |||||||
(d) As a result of the privatization of the utility industry in the U.K., certain electric associations' roles and responsibilities were discontinued or modified. As a result, certain obligations, primarily pension-related, associated with these organizations have been guaranteed by the participating members. Costs are allocated to the members based on predetermined percentages as outlined in specific agreements. However, if a member becomes insolvent, costs can be reallocated to and are guaranteed by the remaining members. At September 30, 2013, WPD has recorded an estimated discounted liability based on its current allocated percentage of the total expected costs 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. Therefore, they have been estimated based on the types of obligations. | |||||||
(e) 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. | |||||||
(f) PPL Susquehanna is contingently obligated to pay this amount related to potential retrospective premiums that could be assessed under its nuclear insurance programs. See "Nuclear Insurance" above for additional information. | |||||||
(g) This is the maximum amount PPL Susquehanna could be assessed for each incident at any of the nuclear reactors covered by this Act. See "Nuclear Insurance" above for additional information. | |||||||
(h) PPL Energy Supply's maximum exposure with respect to certain indemnifications and the expiration of the indemnifications cannot be estimated because, in the case of certain indemnification provisions, 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 dates noted are only for those cases in which the agreements provide for specific limits. The indemnification provisions described below are in each case subject to certain customary limitations, including thresholds for allowable claims, caps on aggregate liability, and time limitations for claims arising out of breaches of most representations and warranties. | |||||||
A subsidiary of PPL Energy Supply has agreed to provide indemnification to the purchaser of the Long Island generation business for damages arising out of any breach of the representations, warranties and covenants under the related transaction agreement and for damages arising out of certain other matters, including liabilities relating to certain renewable energy facilities which were previously owned by one of the PPL subsidiaries sold in the transaction but which were unrelated to the Long Island generation business. The indemnification provisions for most representations and warranties expired in the third quarter of 2011. | |||||||
A subsidiary of PPL Energy Supply has agreed to provide indemnification to the purchasers of the Maine hydroelectric facilities for damages arising out of any breach of the representations, warranties and covenants under the respective transaction agreements and for damages arising out of certain other matters, including liabilities of the PPL Energy Supply subsidiary relating to the pre-closing ownership or operation of those hydroelectric facilities. The indemnification provisions for most representations and warranties expired in the fourth quarter of 2012. | |||||||
Subsidiaries of PPL Energy Supply have agreed to provide indemnification to the purchasers of certain non-core generation facilities sold in March 2011 for damages arising out of any breach of the representations, warranties and covenants under the related transaction agreements and for damages arising out of certain other matters relating to the facilities that were the subject of the transaction, including certain reduced capacity payments (if any) at one of the facilities in the event specified PJM rule changes are proposed and become effective. The indemnification provisions for most representations and warranties expired in the first quarter of 2012. | |||||||
(i) In December 2007, a subsidiary of PPL Energy Supply executed revised owners agreements for two jointly owned facilities, the Keystone and Conemaugh generating plants. The agreements require that in the event of any default by an owner, the other owners fund contributions for the operation of the generating plants, based upon their ownership percentages. The non-defaulting owners, who make up the defaulting owner's obligations, are entitled to the generation entitlement of the defaulting owner, based upon their ownership percentage. The exposure shown reflects the PPL Energy Supply subsidiary's share of the maximum obligation. The agreements do not have an expiration date. | |||||||
(j) A PPL Energy Supply subsidiary owned a one-third equity interest in Safe Harbor Water Power Corporation (Safe Harbor) that was sold in March 2011. Beginning in 2008, PPL Energy Supply guaranteed one-third of any amounts payable with respect to certain senior notes issued by Safe Harbor. Under the terms of the sale agreement, PPL Energy Supply continues to guarantee the portion of Safe Harbor's debt, but received a cross-indemnity from the purchaser, secured by a lien on the purchaser's stock of Safe Harbor, in the event PPL Energy Supply is required to make a payment under the guarantee. The exposure noted reflects principal only. | |||||||
(k) PPL Electric entered into contracts with a third party logistics firm that provides inventory procurement and fulfillment services. Under the contracts, the logistics firm has title to the inventory purchased for PPL Electric's use. Upon termination of the contracts, PPL Electric has guaranteed to purchase any remaining inventory that has not been used or sold by the logistics firm at the weighted-average cost at which the logistics firm purchased the inventory. | |||||||
(l) 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 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. LKE has contested the applicability of the indemnification requirement relating to one matter presented by a counterparty under this guarantee. Another guarantee with a maximum exposure of $100 million covering other indemnifications expires in 2023. In May 2012, LKE's indemnitee received an arbitration panel's decision affecting 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 the December 2012 order of the Henderson Circuit Court, confirming the arbitration award. A decision in the appellate matter may occur during late 2013 or early 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. 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; however, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. In the second quarter of 2012, LKE adjusted its estimated liability for certain of these 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. LKE cannot predict the ultimate outcomes of such indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | |||||||
(m) Pursuant to the OVEC power purchase contract, expiring in June 2040, LG&E and KU are obligated to pay a demand charge which includes, among other charges, debt service and amortization toward principal retirement, decommissioning costs, post-retirement and post-employment benefits costs (other than pensions), and reimbursement of plant operating, maintenance and other expenses. The demand charge is expected to cover LG&E's and KU's shares of the cost of the listed items over the term of the contract. However, in the event there is a shortfall in covering these costs, LG&E and KU are obligated to pay their share of the excess debt service, post-retirement and decommissioning costs. The maximum exposure and the expiration date of these potential obligations are not presently determinable. | |||||||
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 | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
PPL Energy Supply LLC [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Related Party Transactions | ' | ||||||||||||
11. 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 "Wholesale energy marketing 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: (a) when 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. Based on the current credit rating of PPL Energy Supply, as guarantor, PPL EnergyPlus' credit limit was $35 million at September 30, 2013. 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 2 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | |||||||||||||
At September 30, 2013, 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. | |||||||||||||
Allocations of PPL Services Costs (PPL Energy Supply, PPL Electric and LKE) | |||||||||||||
PPL Services provides corporate functions such as financial, legal, human resources and information technology services. PPL Services charges the respective PPL subsidiaries for the cost of such services when they can be specifically identified. The cost of the services that is not directly charged to PPL subsidiaries is allocated to applicable subsidiaries based on an average of the subsidiaries' relative invested capital, operation and maintenance expenses and number of employees. PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
Intercompany Billings by LKS (LG&E and KU) | |||||||||||||
LKS provides LG&E and KU with a variety of centralized administrative, management and support services. The cost of these services is directly charged to the company or, for general costs that cannot be directly attributed, charged based on predetermined allocation factors, including the following measures: number of customers, total assets, revenues, number of employees and/or other statistical information. LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 | |||||||||
In addition, LG&E and KU 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 LKE and KU are reimbursed through LKS. | |||||||||||||
Intercompany Borrowings (LKE) | |||||||||||||
LKE maintains a $300 million revolving demand note with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At September 30, 2013 and December 31, 2012, $52 million and $25 million were outstanding and were reflected in "Notes payable with affiliates" on the Balance Sheet. The interest rate on the outstanding borrowing at September 30, 2013 was 1.68%. Interest on the demand note was not significant for the three and nine months ended September 30, 2013 and 2012. In October 2013, the capacity of the revolving demand note was reduced by $75 million. | |||||||||||||
Intercompany Derivatives (Kentucky Registrants) | |||||||||||||
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 14 for additional information on intercompany derivatives. | |||||||||||||
Intercompany Insurance (PPL Electric) | |||||||||||||
In May 2013, PPL Electric received $18.25 million from the settlement of its 2012 storm insurance claims with PPL Power Insurance Ltd., a subsidiary of PPL that provides certain insurance coverage to PPL and its subsidiaries. | |||||||||||||
Effective January 1, 2013, PPL Electric no longer has storm insurance coverage with PPL Power Insurance Ltd. See Note 6 for discussion regarding the proposed Storm Damage Expense Rider filed with the PUC by PPL Electric. | |||||||||||||
Other (All Registrants except PPL) | |||||||||||||
See Note 7 for a discussion regarding capital transactions by PPL Energy Supply, PPL Electric, LKE, LG&E and KU. For PPL Energy Supply, PPL Electric, LG&E and KU, refer to Note 9 for discussions regarding intercompany allocations associated with defined benefits. | |||||||||||||
PPL Electric Utilities Corp [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Related Party Transactions | ' | ||||||||||||
11. 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 "Wholesale energy marketing 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: (a) when 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. Based on the current credit rating of PPL Energy Supply, as guarantor, PPL EnergyPlus' credit limit was $35 million at September 30, 2013. 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 2 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | |||||||||||||
At September 30, 2013, 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. | |||||||||||||
Allocations of PPL Services Costs (PPL Energy Supply, PPL Electric and LKE) | |||||||||||||
PPL Services provides corporate functions such as financial, legal, human resources and information technology services. PPL Services charges the respective PPL subsidiaries for the cost of such services when they can be specifically identified. The cost of the services that is not directly charged to PPL subsidiaries is allocated to applicable subsidiaries based on an average of the subsidiaries' relative invested capital, operation and maintenance expenses and number of employees. PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
Intercompany Billings by LKS (LG&E and KU) | |||||||||||||
LKS provides LG&E and KU with a variety of centralized administrative, management and support services. The cost of these services is directly charged to the company or, for general costs that cannot be directly attributed, charged based on predetermined allocation factors, including the following measures: number of customers, total assets, revenues, number of employees and/or other statistical information. LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 | |||||||||
In addition, LG&E and KU 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 LKE and KU are reimbursed through LKS. | |||||||||||||
Intercompany Borrowings (LKE) | |||||||||||||
LKE maintains a $300 million revolving demand note with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At September 30, 2013 and December 31, 2012, $52 million and $25 million were outstanding and were reflected in "Notes payable with affiliates" on the Balance Sheet. The interest rate on the outstanding borrowing at September 30, 2013 was 1.68%. Interest on the demand note was not significant for the three and nine months ended September 30, 2013 and 2012. In October 2013, the capacity of the revolving demand note was reduced by $75 million. | |||||||||||||
Intercompany Derivatives (Kentucky Registrants) | |||||||||||||
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 14 for additional information on intercompany derivatives. | |||||||||||||
Intercompany Insurance (PPL Electric) | |||||||||||||
In May 2013, PPL Electric received $18.25 million from the settlement of its 2012 storm insurance claims with PPL Power Insurance Ltd., a subsidiary of PPL that provides certain insurance coverage to PPL and its subsidiaries. | |||||||||||||
Effective January 1, 2013, PPL Electric no longer has storm insurance coverage with PPL Power Insurance Ltd. See Note 6 for discussion regarding the proposed Storm Damage Expense Rider filed with the PUC by PPL Electric. | |||||||||||||
Other (All Registrants except PPL) | |||||||||||||
See Note 7 for a discussion regarding capital transactions by PPL Energy Supply, PPL Electric, LKE, LG&E and KU. For PPL Energy Supply, PPL Electric, LG&E and KU, refer to Note 9 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 | ' | ||||||||||||
11. 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 "Wholesale energy marketing 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: (a) when 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. Based on the current credit rating of PPL Energy Supply, as guarantor, PPL EnergyPlus' credit limit was $35 million at September 30, 2013. 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 2 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | |||||||||||||
At September 30, 2013, 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. | |||||||||||||
Allocations of PPL Services Costs (PPL Energy Supply, PPL Electric and LKE) | |||||||||||||
PPL Services provides corporate functions such as financial, legal, human resources and information technology services. PPL Services charges the respective PPL subsidiaries for the cost of such services when they can be specifically identified. The cost of the services that is not directly charged to PPL subsidiaries is allocated to applicable subsidiaries based on an average of the subsidiaries' relative invested capital, operation and maintenance expenses and number of employees. PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
Intercompany Billings by LKS (LG&E and KU) | |||||||||||||
LKS provides LG&E and KU with a variety of centralized administrative, management and support services. The cost of these services is directly charged to the company or, for general costs that cannot be directly attributed, charged based on predetermined allocation factors, including the following measures: number of customers, total assets, revenues, number of employees and/or other statistical information. LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 | |||||||||
In addition, LG&E and KU 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 LKE and KU are reimbursed through LKS. | |||||||||||||
Intercompany Borrowings (LKE) | |||||||||||||
LKE maintains a $300 million revolving demand note with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At September 30, 2013 and December 31, 2012, $52 million and $25 million were outstanding and were reflected in "Notes payable with affiliates" on the Balance Sheet. The interest rate on the outstanding borrowing at September 30, 2013 was 1.68%. Interest on the demand note was not significant for the three and nine months ended September 30, 2013 and 2012. In October 2013, the capacity of the revolving demand note was reduced by $75 million. | |||||||||||||
Intercompany Derivatives (Kentucky Registrants) | |||||||||||||
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 14 for additional information on intercompany derivatives. | |||||||||||||
Intercompany Insurance (PPL Electric) | |||||||||||||
In May 2013, PPL Electric received $18.25 million from the settlement of its 2012 storm insurance claims with PPL Power Insurance Ltd., a subsidiary of PPL that provides certain insurance coverage to PPL and its subsidiaries. | |||||||||||||
Effective January 1, 2013, PPL Electric no longer has storm insurance coverage with PPL Power Insurance Ltd. See Note 6 for discussion regarding the proposed Storm Damage Expense Rider filed with the PUC by PPL Electric. | |||||||||||||
Other (All Registrants except PPL) | |||||||||||||
See Note 7 for a discussion regarding capital transactions by PPL Energy Supply, PPL Electric, LKE, LG&E and KU. For PPL Energy Supply, PPL Electric, LG&E and KU, refer to Note 9 for discussions regarding intercompany allocations associated with defined benefits. | |||||||||||||
Louisville Gas And Electric Co [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Related Party Transactions | ' | ||||||||||||
11. 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 "Wholesale energy marketing 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: (a) when 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. Based on the current credit rating of PPL Energy Supply, as guarantor, PPL EnergyPlus' credit limit was $35 million at September 30, 2013. 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 2 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | |||||||||||||
At September 30, 2013, 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. | |||||||||||||
Allocations of PPL Services Costs (PPL Energy Supply, PPL Electric and LKE) | |||||||||||||
PPL Services provides corporate functions such as financial, legal, human resources and information technology services. PPL Services charges the respective PPL subsidiaries for the cost of such services when they can be specifically identified. The cost of the services that is not directly charged to PPL subsidiaries is allocated to applicable subsidiaries based on an average of the subsidiaries' relative invested capital, operation and maintenance expenses and number of employees. PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
Intercompany Billings by LKS (LG&E and KU) | |||||||||||||
LKS provides LG&E and KU with a variety of centralized administrative, management and support services. The cost of these services is directly charged to the company or, for general costs that cannot be directly attributed, charged based on predetermined allocation factors, including the following measures: number of customers, total assets, revenues, number of employees and/or other statistical information. LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 | |||||||||
In addition, LG&E and KU 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 LKE and KU are reimbursed through LKS. | |||||||||||||
Intercompany Borrowings (LKE) | |||||||||||||
LKE maintains a $300 million revolving demand note with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At September 30, 2013 and December 31, 2012, $52 million and $25 million were outstanding and were reflected in "Notes payable with affiliates" on the Balance Sheet. The interest rate on the outstanding borrowing at September 30, 2013 was 1.68%. Interest on the demand note was not significant for the three and nine months ended September 30, 2013 and 2012. In October 2013, the capacity of the revolving demand note was reduced by $75 million. | |||||||||||||
Intercompany Derivatives (Kentucky Registrants) | |||||||||||||
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 14 for additional information on intercompany derivatives. | |||||||||||||
Intercompany Insurance (PPL Electric) | |||||||||||||
In May 2013, PPL Electric received $18.25 million from the settlement of its 2012 storm insurance claims with PPL Power Insurance Ltd., a subsidiary of PPL that provides certain insurance coverage to PPL and its subsidiaries. | |||||||||||||
Effective January 1, 2013, PPL Electric no longer has storm insurance coverage with PPL Power Insurance Ltd. See Note 6 for discussion regarding the proposed Storm Damage Expense Rider filed with the PUC by PPL Electric. | |||||||||||||
Other (All Registrants except PPL) | |||||||||||||
See Note 7 for a discussion regarding capital transactions by PPL Energy Supply, PPL Electric, LKE, LG&E and KU. For PPL Energy Supply, PPL Electric, LG&E and KU, refer to Note 9 for discussions regarding intercompany allocations associated with defined benefits. | |||||||||||||
Kentucky Utilities Co [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Related Party Transactions | ' | ||||||||||||
11. 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 "Wholesale energy marketing 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: (a) when 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. Based on the current credit rating of PPL Energy Supply, as guarantor, PPL EnergyPlus' credit limit was $35 million at September 30, 2013. 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 2 for additional information regarding PPL Electric's purchases of accounts receivable from alternative suppliers, including PPL EnergyPlus. | |||||||||||||
At September 30, 2013, 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. | |||||||||||||
Allocations of PPL Services Costs (PPL Energy Supply, PPL Electric and LKE) | |||||||||||||
PPL Services provides corporate functions such as financial, legal, human resources and information technology services. PPL Services charges the respective PPL subsidiaries for the cost of such services when they can be specifically identified. The cost of the services that is not directly charged to PPL subsidiaries is allocated to applicable subsidiaries based on an average of the subsidiaries' relative invested capital, operation and maintenance expenses and number of employees. PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
Intercompany Billings by LKS (LG&E and KU) | |||||||||||||
LKS provides LG&E and KU with a variety of centralized administrative, management and support services. The cost of these services is directly charged to the company or, for general costs that cannot be directly attributed, charged based on predetermined allocation factors, including the following measures: number of customers, total assets, revenues, number of employees and/or other statistical information. LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 | |||||||||
In addition, LG&E and KU 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 LKE and KU are reimbursed through LKS. | |||||||||||||
Intercompany Borrowings (LKE) | |||||||||||||
LKE maintains a $300 million revolving demand note with a PPL Energy Funding subsidiary whereby LKE can borrow funds on a short-term basis at market-based rates. The interest rates on borrowings are equal to one-month LIBOR plus a spread. At September 30, 2013 and December 31, 2012, $52 million and $25 million were outstanding and were reflected in "Notes payable with affiliates" on the Balance Sheet. The interest rate on the outstanding borrowing at September 30, 2013 was 1.68%. Interest on the demand note was not significant for the three and nine months ended September 30, 2013 and 2012. In October 2013, the capacity of the revolving demand note was reduced by $75 million. | |||||||||||||
Intercompany Derivatives (Kentucky Registrants) | |||||||||||||
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 14 for additional information on intercompany derivatives. | |||||||||||||
Intercompany Insurance (PPL Electric) | |||||||||||||
In May 2013, PPL Electric received $18.25 million from the settlement of its 2012 storm insurance claims with PPL Power Insurance Ltd., a subsidiary of PPL that provides certain insurance coverage to PPL and its subsidiaries. | |||||||||||||
Effective January 1, 2013, PPL Electric no longer has storm insurance coverage with PPL Power Insurance Ltd. See Note 6 for discussion regarding the proposed Storm Damage Expense Rider filed with the PUC by PPL Electric. | |||||||||||||
Other (All Registrants except PPL) | |||||||||||||
See Note 7 for a discussion regarding capital transactions by PPL Energy Supply, PPL Electric, LKE, LG&E and KU. For PPL Energy Supply, PPL Electric, LG&E and KU, refer to Note 9 for discussions regarding intercompany allocations associated with defined benefits. |
Other_Income_Expense_net
Other Income (Expense) - net | 9 Months Ended | ||||||||||||||
Sep. 30, 2013 | |||||||||||||||
Other Income (Expense) Net [Abstract] | ' | ||||||||||||||
Other Income (Expense) - net | ' | ||||||||||||||
12. Other Income (Expense) - net | |||||||||||||||
(All Registrants) | |||||||||||||||
The breakdown of "Other Income (Expense) - net" for the periods ended September 30 was: | |||||||||||||||
Three Months | Nine Months | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
PPL | |||||||||||||||
Other Income | |||||||||||||||
Earnings on securities in NDT funds | $ | 4 | $ | 5 | $ | 14 | $ | 17 | |||||||
Interest income | 1 | 1 | 2 | 4 | |||||||||||
AFUDC - equity component | 3 | 2 | 8 | 7 | |||||||||||
Earnings (losses) from equity method investments | -1 | -7 | |||||||||||||
Miscellaneous - Domestic | 3 | 9 | 8 | ||||||||||||
Miscellaneous - U.K. | -1 | 1 | 1 | ||||||||||||
Total Other Income | 8 | 9 | 34 | 30 | |||||||||||
Other Expense | |||||||||||||||
Economic foreign currency exchange contracts (Note 14) | 117 | 47 | -6 | 40 | |||||||||||
Charitable contributions | 5 | 1 | 13 | 7 | |||||||||||
Miscellaneous - Domestic | 2 | 4 | 7 | 12 | |||||||||||
Miscellaneous - U.K. | 1 | 1 | 2 | ||||||||||||
Total Other Expense | 124 | 53 | 15 | 61 | |||||||||||
Other Income (Expense) - net | $ | -116 | $ | -44 | $ | 19 | $ | -31 | |||||||
PPL Energy Supply | |||||||||||||||
Other Income | |||||||||||||||
Earnings on securities in NDT funds | $ | 4 | $ | 5 | $ | 14 | $ | 17 | |||||||
Interest income | 1 | 3 | 1 | ||||||||||||
Miscellaneous | 2 | 7 | 5 | ||||||||||||
Total Other Income | 5 | 7 | 24 | 23 | |||||||||||
Other Expense | |||||||||||||||
Charitable contributions | 1 | 1 | 3 | 2 | |||||||||||
Miscellaneous | 2 | 1 | 3 | 5 | |||||||||||
Total Other Expense | 3 | 2 | 6 | 7 | |||||||||||
Other Income (Expense) - net | $ | 2 | $ | 5 | $ | 18 | $ | 16 | |||||||
"Other Income (Expense) - net" for the three and nine months ended September 30, 2013 and 2012 for PPL Electric is primarily the equity component of AFUDC. The components of "Other Income (Expense) - net" for the three and nine months ended September 30, 2013 for LKE, LG&E and KU are not significant. The components of "Other Income (Expense) - net" for the three months ended September 30, 2012 for LKE, LG&E and KU are not significant. "Other Income (Expense) - net" for the nine months ended September 30, 2012 for LKE and KU is primarily losses from an equity method investment. The components of "Other Income (Expense) - net" for the nine months ended September 30, 2012 for LG&E are not significant. |
Fair_Value_Measurements_and_Cr
Fair Value Measurements and Credit Concentration | 9 Months Ended | |||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements and Credit Concentration [Abstract] | ' | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements and Credit Concentration | ' | |||||||||||||||||||||||||||||||||||||
13. 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 the three and nine months ended September 30, 2013 and 2012, there were no transfers between Level 1 and Level 2. See Note 1 in each Registrant's 2012 Form 10-K for information on the levels in the fair value hierarchy. | ||||||||||||||||||||||||||||||||||||||
Recurring Fair Value Measurements | ||||||||||||||||||||||||||||||||||||||
The assets and liabilities measured at fair value were: | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 1,291 | $ | 1,291 | $ | 901 | $ | 901 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (a) | 120 | 120 | 135 | 135 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | 1,480 | 7 | $ | 1,421 | $ | 52 | 2,068 | 2 | $ | 2,037 | $ | 29 | ||||||||||||||||||||||||||
Interest rate swaps | 86 | 86 | 15 | 15 | ||||||||||||||||||||||||||||||||||
Foreign currency contracts | 1 | 1 | ||||||||||||||||||||||||||||||||||||
Cross-currency swaps | 28 | 28 | 14 | 13 | 1 | |||||||||||||||||||||||||||||||||
Total price risk management assets | 1,595 | 7 | 1,536 | 52 | 2,097 | 2 | 2,065 | 30 | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 14 | 14 | 11 | 11 | ||||||||||||||||||||||||||||||||||
Equity securities | ||||||||||||||||||||||||||||||||||||||
U.S. large-cap | 494 | 369 | 125 | 412 | 308 | 104 | ||||||||||||||||||||||||||||||||
U.S. mid/small-cap | 74 | 30 | 44 | 60 | 25 | 35 | ||||||||||||||||||||||||||||||||
Debt securities | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury | 96 | 96 | 95 | 95 | ||||||||||||||||||||||||||||||||||
U.S. government sponsored agency | 6 | 6 | 9 | 9 | ||||||||||||||||||||||||||||||||||
Municipality | 75 | 75 | 82 | 82 | ||||||||||||||||||||||||||||||||||
Investment-grade corporate | 40 | 40 | 40 | 40 | ||||||||||||||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | -2 | 2 | ||||||||||||||||||||||||||||||||||
Total NDT funds | 804 | 509 | 295 | 712 | 437 | 275 | ||||||||||||||||||||||||||||||||
Auction rate securities (b) | 19 | 19 | 19 | 3 | 16 | |||||||||||||||||||||||||||||||||
Total assets | $ | 3,829 | $ | 1,927 | $ | 1,831 | $ | 71 | $ | 3,864 | $ | 1,475 | $ | 2,343 | $ | 46 | ||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | $ | 1,235 | $ | 4 | $ | 1,226 | $ | 5 | $ | 1,566 | $ | 2 | $ | 1,557 | $ | 7 | ||||||||||||||||||||||
Interest rate swaps | 58 | 58 | 80 | 80 | ||||||||||||||||||||||||||||||||||
Foreign currency contracts | 67 | 67 | 44 | 44 | ||||||||||||||||||||||||||||||||||
Cross-currency swaps | 1 | 1 | 4 | 4 | ||||||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 1,361 | $ | 4 | $ | 1,352 | $ | 5 | $ | 1,694 | $ | 2 | $ | 1,685 | $ | 7 | ||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 551 | $ | 551 | $ | 413 | $ | 413 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (a) | 54 | 54 | 63 | 63 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | 1,480 | 7 | $ | 1,421 | $ | 52 | 2,068 | 2 | $ | 2,037 | $ | 29 | ||||||||||||||||||||||||||
Total price risk management assets | 1,480 | 7 | 1,421 | 52 | 2,068 | 2 | 2,037 | 29 | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 14 | 14 | 11 | 11 | ||||||||||||||||||||||||||||||||||
Equity securities | ||||||||||||||||||||||||||||||||||||||
U.S. large-cap | 494 | 369 | 125 | 412 | 308 | 104 | ||||||||||||||||||||||||||||||||
U.S. mid/small-cap | 74 | 30 | 44 | 60 | 25 | 35 | ||||||||||||||||||||||||||||||||
Debt securities | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury | 96 | 96 | 95 | 95 | ||||||||||||||||||||||||||||||||||
U.S. government sponsored agency | 6 | 6 | 9 | 9 | ||||||||||||||||||||||||||||||||||
Municipality | 75 | 75 | 82 | 82 | ||||||||||||||||||||||||||||||||||
Investment-grade corporate | 40 | 40 | 40 | 40 | ||||||||||||||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | -2 | 2 | ||||||||||||||||||||||||||||||||||
Total NDT funds | 804 | 509 | 295 | 712 | 437 | 275 | ||||||||||||||||||||||||||||||||
Auction rate securities (b) | 16 | 16 | 16 | 3 | 13 | |||||||||||||||||||||||||||||||||
Total assets | $ | 2,905 | $ | 1,121 | $ | 1,716 | $ | 68 | $ | 3,272 | $ | 915 | $ | 2,315 | $ | 42 | ||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | $ | 1,235 | $ | 4 | $ | 1,226 | $ | 5 | $ | 1,566 | $ | 2 | $ | 1,557 | $ | 7 | ||||||||||||||||||||||
Total price risk management liabilities | $ | 1,235 | $ | 4 | $ | 1,226 | $ | 5 | $ | 1,566 | $ | 2 | $ | 1,557 | $ | 7 | ||||||||||||||||||||||
PPL Electric | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 225 | $ | 225 | $ | 140 | $ | 140 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (c) | 12 | 12 | 13 | 13 | ||||||||||||||||||||||||||||||||||
Total assets | $ | 237 | $ | 237 | $ | 153 | $ | 153 | ||||||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 21 | $ | 21 | $ | 43 | $ | 43 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (d) | 22 | 22 | 32 | 32 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | 14 | $ | 14 | |||||||||||||||||||||||||||||||||||
Total price risk management assets | 14 | 14 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 43 | $ | 43 | $ | 89 | $ | 75 | $ | 14 | ||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 55 | $ | 55 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 55 | $ | 55 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 12 | $ | 12 | $ | 22 | $ | 22 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (d) | 22 | 22 | 32 | 32 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | 7 | $ | 7 | |||||||||||||||||||||||||||||||||||
Total price risk management assets | 7 | 7 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 34 | $ | 34 | $ | 61 | $ | 54 | $ | 7 | ||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 48 | $ | 48 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 48 | $ | 48 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 9 | $ | 9 | $ | 21 | $ | 21 | ||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | 7 | $ | 7 | |||||||||||||||||||||||||||||||||||
Total price risk management assets | 7 | 7 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 9 | $ | 9 | $ | 28 | $ | 21 | $ | 7 | ||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 7 | $ | 7 | ||||||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 7 | $ | 7 | ||||||||||||||||||||||||||||||||||
(a) Current portion is included in "Restricted cash and cash equivalents" and the 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 the long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | ||||||||||||||||||||||||||||||||||||||
(d) Included in "Other noncurrent assets" on the Balance Sheets. | ||||||||||||||||||||||||||||||||||||||
A reconciliation of net assets and liabilities classified as Level 3 for the periods ended September 30, 2013 is as follows: | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||||||||||
Energy | Auction | Cross- | Energy | Auction | Cross- | |||||||||||||||||||||||||||||||||
Commodities, | Rate | Currency | Commodities, | Rate | Currency | |||||||||||||||||||||||||||||||||
net | Securities | Swaps | Total | net | Securities | Swaps | Total | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 40 | $ | 19 | $ | 3 | $ | 62 | $ | 22 | $ | 16 | $ | 1 | $ | 39 | ||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | 18 | 18 | 23 | 23 | ||||||||||||||||||||||||||||||||||
Included in OCI (a) | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Sales | -2 | -2 | ||||||||||||||||||||||||||||||||||||
Settlements | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -7 | -7 | 1 | 3 | 3 | 7 | ||||||||||||||||||||||||||||||||
Transfers out of Level 3 | -2 | -1 | -3 | 2 | -5 | -3 | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | 47 | $ | 19 | $ | $ | 66 | $ | 47 | $ | 19 | $ | $ | 66 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 40 | $ | 16 | $ | 56 | $ | 22 | $ | 13 | $ | 35 | ||||||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | 18 | 18 | 23 | 23 | ||||||||||||||||||||||||||||||||||
Sales | -2 | -2 | ||||||||||||||||||||||||||||||||||||
Settlements | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -7 | -7 | 1 | 3 | 4 | |||||||||||||||||||||||||||||||||
Transfers out of Level 3 | -2 | -2 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Balance at end of period | $ | 47 | $ | 16 | $ | 63 | $ | 47 | $ | 16 | $ | 63 | ||||||||||||||||||||||||||
(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 periods ended September 30, 2012 is as follows: | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||||||||||
Energy | Auction | Cross- | Energy | Auction | Cross- | |||||||||||||||||||||||||||||||||
Commodities, | Rate | Currency | Commodities, | Rate | Currency | |||||||||||||||||||||||||||||||||
net | Securities | Swaps | Total | net | Securities | Swaps | Total | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 34 | $ | 15 | $ | 10 | $ | 59 | $ | 13 | $ | 24 | $ | 4 | $ | 41 | ||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | -17 | -17 | -1 | -1 | -2 | |||||||||||||||||||||||||||||||||
Included in OCI (a) | 1 | -8 | -7 | 1 | 2 | 3 | ||||||||||||||||||||||||||||||||
Sales | -5 | -5 | ||||||||||||||||||||||||||||||||||||
Settlements | 2 | 2 | -9 | -9 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -2 | -2 | 12 | 12 | ||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 8 | 8 | 9 | -3 | -3 | 3 | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | 25 | $ | 16 | $ | 2 | $ | 43 | $ | 25 | $ | 16 | $ | 2 | $ | 43 | ||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 34 | $ | 12 | $ | 46 | $ | 13 | $ | 19 | $ | 32 | ||||||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | -17 | -17 | -1 | -1 | ||||||||||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Sales | -3 | -3 | ||||||||||||||||||||||||||||||||||||
Settlements | 2 | 2 | -9 | -9 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -2 | -2 | 12 | 12 | ||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 8 | 8 | 9 | -3 | 6 | |||||||||||||||||||||||||||||||||
Balance at end of period | $ | 25 | $ | 13 | $ | 38 | $ | 25 | $ | 13 | $ | 38 | ||||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||||||||||
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: | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||
Fair Value, net | Range | |||||||||||||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | |||||||||||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 35 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 13% - 100% (80%) | |||||||||||||||||||||||||||||||||
Heat rate call options (d) | 9 | Discounted cash flow | Implied correlation, implied volatility, and market implied heat rate | 33% - 60% (58%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 19 | Discounted cash flow | Modeled from SIFMA Index | 12% - 80% (64%) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 35 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 13% - 100% (80%) | |||||||||||||||||||||||||||||||||
Heat rate call options (d) | 9 | Discounted cash flow | Implied correlation, implied volatility, and market implied heat rate | 33% - 60% (58%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 16 | Discounted cash flow | Modeled from SIFMA Index | 12% - 80% (63%) | ||||||||||||||||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||||||||||||||
Fair Value, net | Range | |||||||||||||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | |||||||||||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 24 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 21% - 100% (75%) | |||||||||||||||||||||||||||||||||
Power sales contracts (c) | -4 | Discounted cash flow | Proprietary model used to calculate forward basis prices | 24% (24%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 2 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 16 | Discounted cash flow | Modeled from SIFMA Index | 54% - 74% (64%) | ||||||||||||||||||||||||||||||||||
Cross-currency swaps (f) | 1 | Discounted cash flow | Credit valuation adjustment | 22% (22%) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 24 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 21% - 100% (75%) | |||||||||||||||||||||||||||||||||
Power sales contracts (c) | -4 | Discounted cash flow | Proprietary model used to calculate forward basis prices | 24% (24%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 2 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 13 | Discounted cash flow | Modeled from SIFMA Index | 57% - 74% (65%) | ||||||||||||||||||||||||||||||||||
(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 decrease in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | ||||||||||||||||||||||||||||||||||||||
(b) At September 30, 2013, retail natural gas sales contracts extend through 2019, and $14 million of the fair value is scheduled to deliver within the next 12 months. As the forward price of natural gas increases/(decreases), the fair value of the contracts (decreases)/increases. | ||||||||||||||||||||||||||||||||||||||
(c) As the forward price of basis increases/(decreases), the fair value of the contracts (decreases)/increases. | ||||||||||||||||||||||||||||||||||||||
(d) At September 30, 2013, heat rate call options extend through 2020, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the implied correlation in heat rate call options increases/(decreases), the fair value of the heat rate call options (decreases)/increases, as all implied volatilities in heat rate call options increase/(decrease), the fair value of the heat rate call options increases/(decreases), and as the market implied heat rate increases/(decreases), the fair value of the heat rate call options increases/(decreases). | ||||||||||||||||||||||||||||||||||||||
(e) At September 30, 2013, auction rate securities have a weighted average contractual maturity of 22 years. 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). | ||||||||||||||||||||||||||||||||||||||
(f) 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. | ||||||||||||||||||||||||||||||||||||||
(g) At September 30, 2013, FTR purchase contracts extend through 2015, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | ||||||||||||||||||||||||||||||||||||||
Net gains and losses on assets and liabilities classified as Level 3 and included in earnings for the periods ended September 30 are reported in the Statements of Income as follows: | ||||||||||||||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||||||||||||||
Energy Commodities, net | ||||||||||||||||||||||||||||||||||||||
Unregulated | Wholesale | |||||||||||||||||||||||||||||||||||||
Retail | Energy | Net Energy | Energy | |||||||||||||||||||||||||||||||||||
Electric and Gas | Marketing | Trading Margins | Fuel | Purchases | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included in earnings | $ | 3 | $ | -3 | $ | -8 | $ | -4 | $ | 11 | $ | -8 | $ | 3 | $ | 9 | $ | -2 | ||||||||||||||||||||
Change in unrealized gains (losses) relating | ||||||||||||||||||||||||||||||||||||||
to positions still held at the reporting date | 3 | -2 | -1 | 17 | 2 | |||||||||||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||||||||||||||
Cross-Currency | ||||||||||||||||||||||||||||||||||||||
Energy Commodities, net | Swaps | |||||||||||||||||||||||||||||||||||||
Unregulated | Wholesale | |||||||||||||||||||||||||||||||||||||
Retail | Energy | Net Energy | Energy | |||||||||||||||||||||||||||||||||||
Electric and Gas | Marketing | Trading Margins | Fuel | Purchases | Interest Expense | |||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included | ||||||||||||||||||||||||||||||||||||||
in earnings | $ | 18 | $ | 16 | $ | -15 | $ | -7 | $ | 8 | $ | -9 | $ | 3 | $ | 9 | $ | -1 | $ | -1 | ||||||||||||||||||
Change in unrealized gains | ||||||||||||||||||||||||||||||||||||||
(losses) relating to positions | ||||||||||||||||||||||||||||||||||||||
still held at the reporting date | 18 | 29 | -1 | 8 | 2 | 5 | 1 | |||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included | ||||||||||||||||||||||||||||||||||||||
in earnings | $ | 18 | $ | 16 | $ | -15 | $ | -7 | $ | 8 | $ | -9 | $ | 3 | $ | 9 | $ | -1 | ||||||||||||||||||||
Change in unrealized gains | ||||||||||||||||||||||||||||||||||||||
(losses) relating to positions | ||||||||||||||||||||||||||||||||||||||
still held at the reporting date | 18 | 29 | -1 | 8 | 2 | 5 | 1 | |||||||||||||||||||||||||||||||
Price Risk Management Assets/Liabilities - Energy Commodities (PPL and PPL Energy Supply) | ||||||||||||||||||||||||||||||||||||||
Energy commodity contracts for electricity, gas, oil and/or emission allowances are generally valued using the income approach, except for exchange-traded derivative gas and oil contracts, which are valued using the market approach and are classified as Level 1. 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. 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 standard industry models. For example, the fair value of a full-requirement sales contract that delivers power to an illiquid delivery point may be measured by valuing the nearest liquid trading point plus the value of the basis between the two points. The basis input may be from market quotes or historical prices. | ||||||||||||||||||||||||||||||||||||||
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 include significant unobservable inputs such as delivery at a location where pricing is unobservable, assumptions for customer migration, delivery dates that are beyond the dates for which independent quotes are available, 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 2013 and 2012 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 and Kentucky Registrants) | ||||||||||||||||||||||||||||||||||||||
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 during 2013 and 2012 was the change in the significance of the credit valuation adjustment. Cross-currency swaps classified as Level 3 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 and are comprised of securities that are representative of the Wilshire 5000 Total Market Index. | ||||||||||||||||||||||||||||||||||||||
Investments in commingled equity funds are classified as Level 2 and represent securities that track the S&P 500 Index, Dow Jones U.S. Total Stock Market Index and the Dow Jones U.S. Completion Total Stock Market Index. 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. | ||||||||||||||||||||||||||||||||||||||
Debt securities are generally measured using a market approach, including the use of matrix pricing. Common inputs include reported trades, 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 benchmark yields, credit valuation adjustments, reference data from market research publications, monthly payment data, collateral performance and new issue data. | ||||||||||||||||||||||||||||||||||||||
The debt securities held in the NDT funds at September 30, 2013 have a weighted-average coupon of 3.94% and a weighted-average maturity of 7.8 years. | ||||||||||||||||||||||||||||||||||||||
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 in and out of Level 3 in 2013 and 2012 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. | ||||||||||||||||||||||||||||||||||||||
Financial Instruments Not Recorded at Fair Value (All Registrants) | ||||||||||||||||||||||||||||||||||||||
The carrying amounts of contract adjustment payments related to the Purchase Contract component of the Equity Units and 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. | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Carrying | Carrying | |||||||||||||||||||||||||||||||||||||
Amount | Fair Value | Amount | Fair Value | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Contract adjustment payments (a) | $ | 32 | $ | 32 | $ | 105 | $ | 106 | ||||||||||||||||||||||||||||||
Long-term debt | 19,843 | 21,537 | 19,476 | 21,671 | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 2,962 | 3,127 | 3,272 | 3,556 | ||||||||||||||||||||||||||||||||||
PPL Electric | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 2,315 | 2,505 | 1,967 | 2,333 | ||||||||||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 4,076 | 4,222 | 4,075 | 4,423 | ||||||||||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 1,112 | 1,137 | 1,112 | 1,178 | ||||||||||||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 1,843 | 1,940 | 1,842 | 2,056 | ||||||||||||||||||||||||||||||||||
(a) Reflected in "Other current liabilities" and "Other deferred credits and noncurrent liabilities" on the Balance Sheets. | ||||||||||||||||||||||||||||||||||||||
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. Many of these contracts qualify for NPNS and, as such, 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 14 for information on credit policies used to manage credit risk, including master netting arrangements and collateral requirements. | ||||||||||||||||||||||||||||||||||||||
(PPL) | ||||||||||||||||||||||||||||||||||||||
At September 30, 2013, PPL had credit exposure of $1.1 billion from energy trading partners, excluding the effects of netting arrangements, reserves and collateral. As a result of netting arrangements, reserves and collateral, PPL's credit exposure was reduced to $541 million. The top ten counterparties including their affiliates accounted for $292 million, or 54%, of this exposure. Nine of these counterparties had an investment grade credit rating from S&P or Moody's and accounted for 95% of the top ten exposure. The remaining counterparty has not been rated by S&P or Moody's, but is current on its obligations. | ||||||||||||||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||||||||||
At September 30, 2013, PPL Energy Supply had credit exposure of $1.1 billion from energy trading partners, excluding exposure from related parties and the effects of netting arrangements, reserves and collateral. As a result of netting arrangements, reserves and collateral, this credit exposure was reduced to $540 million. The top ten counterparties including their affiliates accounted for $292 million, or 54%, of this exposure. Nine of these counterparties had an investment grade credit rating from S&P or Moody's and accounted for 95% of the top ten exposure. The remaining counterparty has not been rated by S&P or Moody's, but is current on its obligations. See Note 11 for information regarding the 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 cost recovery mechanism is anticipated to substantially eliminate this exposure. | ||||||||||||||||||||||||||||||||||||||
(Kentucky Registrants) | ||||||||||||||||||||||||||||||||||||||
At September 30, 2013, LKE's, LG&E's and KU's credit exposure was not significant. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 9 Months Ended | |||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities [Abstract] | ' | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | ' | |||||||||||||||||||||||||||||
14. 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 (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 liquidity and volumetric risks. Forward contracts, futures contracts, options, swaps and structured transactions, such as tolling agreements, 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/or 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 they qualify for NPNS. | ||||||||||||||||||||||||||||||
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 and volumetric risks | ||||||||||||||||||||||||||||||
PPL is exposed to market and commodity price, basis and volumetric risk through its domestic subsidiaries as described below. Volumetric risk is significantly mitigated at WPD as a result of the method of regulation in the U.K. | ||||||||||||||||||||||||||||||
PPL Energy Supply is exposed to commodity price, basis and volumetric risks 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 and volumetric risks from its obligation as PLR; however, its PUC-approved cost recovery mechanism substantially eliminates its exposure to these risks. 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, gas supply and environmental expenses. 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. | ||||||||||||||||||||||||||||||
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 Energy Supply is 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 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 and financial institutions. | ||||||||||||||||||||||||||||||
LKE, LG&E and KU are exposed to credit risk from interest rate derivatives with PPL. LKE and LG&E are also exposed to credit risk from interest rate derivatives with third-party financial institutions. | ||||||||||||||||||||||||||||||
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, incremental costs incurred by these entities would be recoverable from customers in future rates, 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 13 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 $14 million and $112 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
PPL Electric, LKE and LG&E had no obligation to return cash collateral under master netting arrangements at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
PPL, LKE and LG&E had posted cash collateral under master netting arrangements of $22 million and $32 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
PPL Energy Supply, PPL Electric and KU had not posted any cash collateral under master netting arrangements at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
(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 wholesale and 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 7,298 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 3,316 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 qualify for NPNS or are non-derivatives and are therefore 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 the nine months ended September 30, 2013 and 2012 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 September 30, 2013. At September 30, 2013, the accumulated net unrecognized after-tax gains (losses) that are expected to be reclassified into earnings during the next 12 months were $47 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 the three and nine months ended September 30, 2013 and 2012, such reclassifications were insignificant. | ||||||||||||||||||||||||||||||
For the three and nine months ended September 30, 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 would also include the ineffective portion of qualifying cash flow hedges (see "Cash Flow Hedges" above). The derivative contracts in this category that existed at September 30, 2013 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. | ||||||||||||||||||||||||||||||
Commodity Price Risk (Trading) | ||||||||||||||||||||||||||||||
PPL Energy Supply has a proprietary trading strategy which is utilized to take advantage of market opportunities. 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. The proprietary trading portfolio shown in "Net energy trading margins" on the Statements of Income is not a significant part of PPL Energy Supply's business. | ||||||||||||||||||||||||||||||
Commodity Volumes | ||||||||||||||||||||||||||||||
At September 30, 2013, the net volumes of derivative (sales)/purchase contracts used in support of the various strategies discussed above were as follows. | ||||||||||||||||||||||||||||||
Volume (a) | ||||||||||||||||||||||||||||||
Commodity | Unit of Measure | 2013 (b) | 2014 | 2015 | Thereafter | |||||||||||||||||||||||||
Power | MWh | -9,950,950 | -28,280,182 | -4,110,530 | 10,991,752 | |||||||||||||||||||||||||
Capacity | MW-Month | -5,114 | -14,418 | -309 | 1,990 | |||||||||||||||||||||||||
Gas | MMBtu | 12,653,279 | 18,794,545 | -3,852,725 | 5,320,453 | |||||||||||||||||||||||||
Coal | Tons | -30,000 | ||||||||||||||||||||||||||||
FTRs | MW-Month | 5,056 | 8,724 | 1,465 | ||||||||||||||||||||||||||
Oil | Barrels | -15,335 | 300,000 | 384,334 | 371,466 | |||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
(b) Represents balance of the current year. | ||||||||||||||||||||||||||||||
Interest Rate Risk | ||||||||||||||||||||||||||||||
(PPL and Kentucky Registrants) | ||||||||||||||||||||||||||||||
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 September 30, 2013, outstanding interest rate swap contracts range in maturity through 2024 for WPD and through 2044 for PPL's domestic interest rate swaps. These swaps had an aggregate notional value of $2.3 billion at September 30, 2013 of which £300 million (approximately $464 million based on spot rates) was related to WPD. Also included in this total are forward-starting interest rate swaps entered into by PPL on behalf of LG&E and KU. Realized gains and losses from these swaps are probable of recovery through regulated rates; as such, the fair value of these derivatives have been reclassified from AOCI to regulatory assets or liabilities. The gains and losses will be recognized in "Interest Expense" on the Statements of Income over the life of the underlying debt when the hedged transaction occurs. | ||||||||||||||||||||||||||||||
At September 30, 2013, PPL held a notional position in cross-currency interest rate swaps totaling $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 the three and nine months ended September 30, 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 no such reclassifications for the three and nine months ended September 30, 2013 and 2012. | ||||||||||||||||||||||||||||||
At September 30, 2013, 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 $(11) million. Amounts are reclassified as the hedged interest payments are made. | ||||||||||||||||||||||||||||||
(Kentucky Registrants) | ||||||||||||||||||||||||||||||
In November 2012 and April 2013, LG&E and KU entered into forward-starting interest rate swaps with PPL that hedge the interest payments on new debt that is expected to be issued in 2013. In September 2013, these hedges were terminated and LG&E and KU entered into new forward-starting interest rate swaps with PPL, effectively extending the start date of the prior hedges from September 2013 to December 2013. Both the terminated swaps and the swaps entered into in September have terms identical to forward-starting swaps entered into by PPL with third parties. A cash settlement of $98 million (LG&E and KU each received $49 million) was received on the terminated swaps, which is included in "Cash Flows from Operating Activities" on the Statements of Cash Flows. Realized gains and losses on all of these swaps are probable of recovery through regulated rates; as such, the September settlements and the fair value of the new derivatives were reclassified from AOCI to regulatory assets or liabilities and are expected to be recognized in "Interest Expense" on the Statements of Income over the life of the underlying debt when the hedged transaction occurs. For the three and nine months ended September 30, 2013, there was no hedge ineffectiveness recorded for the interest rate derivatives. At September 30, 2013, the total notional amount outstanding was $500 million (LG&E and KU each held contracts of $250 million) that matures in 2043. | ||||||||||||||||||||||||||||||
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 when the hedged transaction occurs. At September 30, 2013, 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 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 September 30, 2013 had a notional amount of £320 million (approximately $505 million based on contracted rates). The settlement dates of these contracts range from November 2013 through June 2015. | ||||||||||||||||||||||||||||||
Additionally, a PPL Global subsidiary that has a U.S. dollar functional currency entered into GBP intercompany loans payable with PPL WEM 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. At September 30, 2013, the outstanding balances of the intercompany loans were £77 million (approximately $119 million based on spot rates). For the three and nine months ended September 30, 2013, PPL recognized net investment hedge gains (losses) on the intercompany loans of $(9) million and $(3) million in the foreign currency translation adjustment component of OCI. Such amounts for the three and nine months ended September 30, 2012 were not significant. | ||||||||||||||||||||||||||||||
At September 30, 2013, PPL had $5 million of accumulated net investment hedge gains (losses), after-tax, in the foreign currency translation adjustment component of AOCI, compared to $14 million of gains (losses), after-tax at December 31, 2012. | ||||||||||||||||||||||||||||||
Economic Activity | ||||||||||||||||||||||||||||||
PPL enters into foreign currency contracts on behalf of a subsidiary to economically hedge GBP-denominated anticipated earnings. At September 30, 2013, the total exposure hedged by PPL was approximately £1.3 billion (approximately $2.1 billion based on contracted rates). These contracts had termination dates ranging from October 2013 through October 2015. | ||||||||||||||||||||||||||||||
Accounting and Reporting | ||||||||||||||||||||||||||||||
(All Registrants) | ||||||||||||||||||||||||||||||
All derivative instruments are recorded at fair value on the Balance Sheet as an asset or liability unless they qualify for NPNS. 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 change in fair value 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 September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
See Notes 1 and 19 in each Registrant's 2012 Form 10-K 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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Derivatives designated as | Derivatives not designated | Derivatives designated as | Derivatives not designated | |||||||||||||||||||||||||||
hedging instruments | as hedging instruments (a) | hedging instruments | as hedging instruments (a) | |||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Interest rate swaps (c) | $ | 83 | $ | 16 | $ | 4 | $ | 14 | $ | 22 | $ | 5 | ||||||||||||||||||
Cross-currency swaps | 1 | 1 | 3 | |||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | 5 | $ | 24 | 2 | 23 | |||||||||||||||||||||||||
Commodity contracts | 961 | 773 | 59 | $ | 1,452 | 1,010 | ||||||||||||||||||||||||
Total current | 84 | 22 | 961 | 801 | 73 | 27 | 1,452 | 1,038 | ||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Interest rate swaps (c) | 3 | 1 | 37 | 1 | 53 | |||||||||||||||||||||||||
Cross-currency swaps | 27 | 14 | 1 | |||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | 6 | 1 | 32 | 19 | ||||||||||||||||||||||||||
Commodity contracts | 519 | 462 | 27 | 530 | 556 | |||||||||||||||||||||||||
Total noncurrent | 30 | 7 | 520 | 531 | 42 | 1 | 530 | 628 | ||||||||||||||||||||||
Total derivatives | $ | 114 | $ | 29 | $ | 1,481 | $ | 1,332 | $ | 115 | $ | 28 | $ | 1,982 | $ | 1,666 | ||||||||||||||
(a) $216 million and $300 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
(b) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
(c) Excludes accrued interest, if applicable. | ||||||||||||||||||||||||||||||
The after-tax balances of accumulated net gains (losses) (excluding net investment hedges) in AOCI were $87 million and $132 million at September 30, 2013 and December 31, 2012. The after-tax balances of accumulated net gains (losses) (excluding net investment hedges) in AOCI were $231 million and $527 million at September 30, 2012 and December 31, 2011. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income, OCI or regulatory assets and regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | Gain (Loss) | on Derivative | ||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Reclassified | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | from AOCI | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gain (Loss) | from AOCI | Amount | into | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 25 | $ | 102 | Interest expense | $ | -5 | $ | -14 | |||||||||||||||||||||
Cross-currency swaps | -36 | 16 | Interest expense | -1 | ||||||||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||
(expense) - net | -25 | 45 | ||||||||||||||||||||||||||||
Commodity contracts | Wholesale energy | |||||||||||||||||||||||||||||
marketing | 58 | 198 | $ | 1 | ||||||||||||||||||||||||||
Depreciation | 1 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -11 | -41 | ||||||||||||||||||||||||||||
Total | $ | -11 | $ | 118 | $ | 17 | $ | 190 | $ | 1 | ||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -22 | $ | -5 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Foreign currency contracts | Other income (expense) - net | $ | -117 | $ | 6 | |||||||||||||||||||||||||
Interest rate swaps | Interest expense | -2 | -6 | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | 3 | 18 | |||||||||||||||||||||||||||
Wholesale energy marketing | 104 | 144 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | 14 | 8 | ||||||||||||||||||||||||||||
Fuel | 4 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -86 | -99 | ||||||||||||||||||||||||||||
Total | $ | -80 | $ | 73 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | 2 | $ | 18 | |||||||||||||||||||||||||
Derivatives Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 12 | $ | 70 | |||||||||||||||||||||||||
(a) Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income, OCI, or regulatory assets and regulatory liabilities for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Derivatives in | Hedged Items in | Location of Gain | Gain (Loss) Recognized | Gain (Loss) Recognized | ||||||||||||||||||||||||||
Fair Value Hedging | Fair Value Hedging | (Loss) Recognized in | in Income on Derivative | in Income on Related Item | ||||||||||||||||||||||||||
Relationships | Relationships | Income on Derivative | Three Months | Nine Months | Three Months | Nine Months | ||||||||||||||||||||||||
Interest rate swaps | Fixed rate debt | Interest expense | $ | -1 | $ | 1 | $ | 3 | ||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | Gain (Loss) | on Derivative | ||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Reclassified | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | from AOCI | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gain (Loss) | from AOCI | Amount | into | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | -6 | $ | -28 | Interest expense | $ | -4 | $ | -13 | |||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||
(expense) - net | 1 | 1 | ||||||||||||||||||||||||||||
Cross-currency swaps | -49 | -3 | Interest expense | -1 | ||||||||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||
(expense) - net | -40 | -12 | ||||||||||||||||||||||||||||
Commodity contracts | 99 | Wholesale energy | ||||||||||||||||||||||||||||
marketing | 174 | 673 | $ | -1 | ||||||||||||||||||||||||||
Depreciation | 1 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -20 | $ | 1 | -105 | -2 | |||||||||||||||||||||||||
Total | $ | -55 | $ | 68 | $ | 112 | $ | 1 | $ | 545 | $ | -3 | ||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -4 | $ | -5 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Foreign currency contracts | Other income (expense) - net | $ | -47 | $ | -40 | |||||||||||||||||||||||||
Interest rate swaps | Interest expense | -2 | -4 | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | -3 | 20 | |||||||||||||||||||||||||||
Wholesale energy marketing | -476 | 900 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | -10 | 12 | ||||||||||||||||||||||||||||
Fuel | 6 | |||||||||||||||||||||||||||||
Energy purchases | 364 | -717 | ||||||||||||||||||||||||||||
Total | $ | -168 | $ | 171 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | 1 | $ | -2 | |||||||||||||||||||||||||
(a) Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
(PPL Energy Supply) | ||||||||||||||||||||||||||||||
The following table presents the fair value and location of derivative instruments recorded on the Balance Sheets. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Derivatives not designated | Derivatives designated as | Derivatives not designated | ||||||||||||||||||||||||||||
as hedging instruments (a) | hedging instruments | as hedging instruments (a) | ||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 961 | $ | 773 | $ | 59 | $ | 1,452 | $ | 1,010 | ||||||||||||||||||||
Total current | 961 | 773 | 59 | 1,452 | 1,010 | |||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Commodity contracts | 519 | 462 | 27 | 530 | 556 | |||||||||||||||||||||||||
Total noncurrent | 519 | 462 | 27 | 530 | 556 | |||||||||||||||||||||||||
Total derivatives | $ | 1,480 | $ | 1,235 | $ | 86 | $ | 1,982 | $ | 1,566 | ||||||||||||||||||||
(a) $216 million and $300 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
(b) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The after-tax balances of accumulated net gains (losses) in AOCI were $115 million and $211 million at September 30, 2013 and December 31, 2012. The after-tax balances of accumulated net gains (losses) in AOCI were $312 million and $605 million at September 30, 2012 and December 31, 2011. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income or OCI for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | on Derivative | |||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Gain (Loss) | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | Reclassified | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gains (Losses) | from AOCI | Amount | from AOCI | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | into Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | Wholesale energy | |||||||||||||||||||||||||||||
marketing | $ | 58 | $ | 198 | $ | 1 | ||||||||||||||||||||||||
Depreciation | 1 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -11 | -41 | ||||||||||||||||||||||||||||
Total | $ | 48 | $ | 159 | $ | 1 | ||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instrument | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | $ | 3 | $ | 18 | |||||||||||||||||||||||||
Wholesale energy marketing | 104 | 144 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | 14 | 8 | ||||||||||||||||||||||||||||
Fuel | 4 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -86 | -99 | ||||||||||||||||||||||||||||
Total | $ | 39 | $ | 73 | ||||||||||||||||||||||||||
(a) Differs from the Statements of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income or OCI for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | on Derivative | |||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Gain (Loss) | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | Reclassified | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gains (Losses) | from AOCI | Amount | from AOCI | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | into Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Wholesale energy | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 99 | marketing | $ | 174 | $ | 673 | $ | -1 | |||||||||||||||||||||
Depreciation | 1 | |||||||||||||||||||||||||||||
Energy purchases | -20 | $ | 1 | -105 | -2 | |||||||||||||||||||||||||
Total | $ | 99 | $ | 154 | $ | 1 | $ | 569 | $ | -3 | ||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | $ | -3 | $ | 20 | |||||||||||||||||||||||||
Wholesale energy marketing | -476 | 900 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | -10 | 12 | ||||||||||||||||||||||||||||
Fuel | 6 | |||||||||||||||||||||||||||||
Energy purchases | 364 | -717 | ||||||||||||||||||||||||||||
Total | $ | -119 | $ | 215 | ||||||||||||||||||||||||||
(a) Differs from the Statements of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
(LKE) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 14 | $ | 14 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 12 | $ | 70 | |||||||||||||||||||||||||
(LG&E) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 6 | $ | 35 | |||||||||||||||||||||||||
(KU) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 6 | $ | 35 | |||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 4 | $ | 5 | ||||||||||||||||||||||||||
Total current | 4 | 5 | ||||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | 37 | 53 | ||||||||||||||||||||||||||||
Total noncurrent | 37 | 53 | ||||||||||||||||||||||||||||
Total derivatives | $ | 41 | $ | 58 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as hedging instruments recognized in income or regulatory assets for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Income on Derivatives | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Interest expense | $ | -2 | $ | -6 | |||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Regulatory Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent (a) | $ | 2 | $ | 18 | |||||||||||||||||||||||||
(a) Includes both realized and unrealized gains (losses). | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as hedging instruments recognized in income or regulatory assets for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Income on Derivatives | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Interest expense | $ | -2 | $ | -6 | |||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Regulatory Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent (a) | $ | 1 | $ | -2 | |||||||||||||||||||||||||
(a) Includes both realized and unrealized gains (losses). | ||||||||||||||||||||||||||||||
(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 | |||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
Treasury Derivatives | 115 | 47 | 68 | 126 | 47 | $ | 22 | 57 | ||||||||||||||||||||||
Total | $ | 1,595 | $ | 1,169 | $ | 14 | $ | 412 | $ | 1,361 | $ | 1,169 | $ | 22 | $ | 170 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 55 | $ | 22 | $ | 33 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 48 | $ | 22 | $ | 26 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
Treasury Derivatives | 29 | 19 | 10 | 128 | 19 | 30 | 79 | |||||||||||||||||||||||
Total | $ | 2,097 | $ | 1,432 | $ | 111 | $ | 554 | $ | 1,694 | $ | 1,432 | $ | 39 | $ | 223 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 14 | $ | 14 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
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 decrease 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 (i.e., below BBB- for S&P or Fitch, or Baa3 for Moody's), 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. | ||||||||||||||||||||||||||||||
At September 30, 2013, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit risk-related contingent features and were in a net liability position is summarized as follows: | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 178 | $ | 115 | $ | 29 | $ | 29 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 39 | 17 | 22 | 22 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 167 | 127 | 7 | 7 | ||||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. |
Goodwill
Goodwill | 9 Months Ended |
Sep. 30, 2013 | |
Goodwill [Abstract] | ' |
Goodwill | ' |
15. Goodwill | |
(PPL) | |
The change in the carrying amount of goodwill for the nine months ended September 30, 2013 was due to the effect of foreign currency exchange rates on the U.K. Regulated segment. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Asset Retirement Obligations [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligations | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Substantially all of the ARO balances are classified as noncurrent at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||
The most significant ARO recorded by PPL and PPL Energy Supply relates to the decommissioning of the Susquehanna nuclear plant. The accrued nuclear decommissioning obligation was $335 million and $316 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
Assets in the NDT funds are legally restricted for purposes of settling PPL's and PPL Energy Supply's ARO related to the decommissioning of the PPL Susquehanna nuclear plant. The aggregate fair value of these assets was $804 million and $712 million at September 30, 2013 and December 31, 2012, and is included in "Nuclear plant decommissioning trust funds" on the Balance Sheets. See Notes 13 and 17 for additional information on these assets. | ||||||||||||||||||
(PPL and Kentucky Registrants) | ||||||||||||||||||
Accretion and depreciation expense recorded by LG&E and KU is reversed on the income statement and recorded as a regulatory asset, such that there is no net earnings impact. AROs were revalued primarily due to updates in the estimated cash flows for ash ponds and CCR surface impoundments based on updated cost estimates. | ||||||||||||||||||
PPL Energy Supply LLC [Member] | ' | |||||||||||||||||
Asset Retirement Obligations [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligations | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Substantially all of the ARO balances are classified as noncurrent at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||
The most significant ARO recorded by PPL and PPL Energy Supply relates to the decommissioning of the Susquehanna nuclear plant. The accrued nuclear decommissioning obligation was $335 million and $316 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
Assets in the NDT funds are legally restricted for purposes of settling PPL's and PPL Energy Supply's ARO related to the decommissioning of the PPL Susquehanna nuclear plant. The aggregate fair value of these assets was $804 million and $712 million at September 30, 2013 and December 31, 2012, and is included in "Nuclear plant decommissioning trust funds" on the Balance Sheets. See Notes 13 and 17 for additional information on these assets. | ||||||||||||||||||
(PPL and Kentucky Registrants) | ||||||||||||||||||
Accretion and depreciation expense recorded by LG&E and KU is reversed on the income statement and recorded as a regulatory asset, such that there is no net earnings impact. AROs were revalued primarily due to updates in the estimated cash flows for ash ponds and CCR surface impoundments based on updated cost estimates. | ||||||||||||||||||
LG And E And KU Energy LLC [Member] | ' | |||||||||||||||||
Asset Retirement Obligations [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligations | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Substantially all of the ARO balances are classified as noncurrent at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||
The most significant ARO recorded by PPL and PPL Energy Supply relates to the decommissioning of the Susquehanna nuclear plant. The accrued nuclear decommissioning obligation was $335 million and $316 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
Assets in the NDT funds are legally restricted for purposes of settling PPL's and PPL Energy Supply's ARO related to the decommissioning of the PPL Susquehanna nuclear plant. The aggregate fair value of these assets was $804 million and $712 million at September 30, 2013 and December 31, 2012, and is included in "Nuclear plant decommissioning trust funds" on the Balance Sheets. See Notes 13 and 17 for additional information on these assets. | ||||||||||||||||||
(PPL and Kentucky Registrants) | ||||||||||||||||||
Accretion and depreciation expense recorded by LG&E and KU is reversed on the income statement and recorded as a regulatory asset, such that there is no net earnings impact. AROs were revalued primarily due to updates in the estimated cash flows for ash ponds and CCR surface impoundments based on updated cost estimates. | ||||||||||||||||||
Louisville Gas And Electric Co [Member] | ' | |||||||||||||||||
Asset Retirement Obligations [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligations | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Substantially all of the ARO balances are classified as noncurrent at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||
The most significant ARO recorded by PPL and PPL Energy Supply relates to the decommissioning of the Susquehanna nuclear plant. The accrued nuclear decommissioning obligation was $335 million and $316 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
Assets in the NDT funds are legally restricted for purposes of settling PPL's and PPL Energy Supply's ARO related to the decommissioning of the PPL Susquehanna nuclear plant. The aggregate fair value of these assets was $804 million and $712 million at September 30, 2013 and December 31, 2012, and is included in "Nuclear plant decommissioning trust funds" on the Balance Sheets. See Notes 13 and 17 for additional information on these assets. | ||||||||||||||||||
(PPL and Kentucky Registrants) | ||||||||||||||||||
Accretion and depreciation expense recorded by LG&E and KU is reversed on the income statement and recorded as a regulatory asset, such that there is no net earnings impact. AROs were revalued primarily due to updates in the estimated cash flows for ash ponds and CCR surface impoundments based on updated cost estimates. | ||||||||||||||||||
Kentucky Utilities Co [Member] | ' | |||||||||||||||||
Asset Retirement Obligations [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligations | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Substantially all of the ARO balances are classified as noncurrent at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||
The most significant ARO recorded by PPL and PPL Energy Supply relates to the decommissioning of the Susquehanna nuclear plant. The accrued nuclear decommissioning obligation was $335 million and $316 million at September 30, 2013 and December 31, 2012. | ||||||||||||||||||
Assets in the NDT funds are legally restricted for purposes of settling PPL's and PPL Energy Supply's ARO related to the decommissioning of the PPL Susquehanna nuclear plant. The aggregate fair value of these assets was $804 million and $712 million at September 30, 2013 and December 31, 2012, and is included in "Nuclear plant decommissioning trust funds" on the Balance Sheets. See Notes 13 and 17 for additional information on these assets. | ||||||||||||||||||
(PPL and Kentucky Registrants) | ||||||||||||||||||
Accretion and depreciation expense recorded by LG&E and KU is reversed on the income statement and recorded as a regulatory asset, such that there is no net earnings impact. AROs were revalued primarily due to updates in the estimated cash flows for ash ponds and CCR surface impoundments based on updated cost estimates. |
AvailableforSale_Securities
Available-for-Sale Securities | 9 Months Ended | |||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||
Available-for-Sale Securities [Line Items] | ' | |||||||||||||||||||||||||||||
Available-for-Sale Securities | ' | |||||||||||||||||||||||||||||
17. 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. Available-for-sale securities are carried on the Balance Sheets at fair value. Unrealized gains and losses on these securities are reported, net of tax, in OCI or are recognized currently in earnings when a decline in fair value is determined to be other-than-temporary. The specific identification method is used to calculate realized gains and losses. | ||||||||||||||||||||||||||||||
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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 20 | 1 | 19 | 20 | 1 | 19 | ||||||||||||||||||||||||
Total | $ | 508 | $ | 318 | $ | 3 | $ | 823 | $ | 494 | $ | 239 | $ | 2 | $ | 731 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 17 | 1 | 16 | 17 | 1 | 16 | ||||||||||||||||||||||||
Total | $ | 505 | $ | 318 | $ | 3 | $ | 820 | $ | 491 | $ | 239 | $ | 2 | $ | 728 | ||||||||||||||
There were no securities with credit losses at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
The following table shows the scheduled maturity dates of debt securities held at September 30, 2013. | ||||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 77 | $ | 231 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 79 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 74 | $ | 228 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 76 | 236 | |||||||||||||||||||||||||
The following table shows proceeds from and realized gains and losses on sales of available-for-sale securities for the periods ended September 30. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 5 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 3 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
(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 | ' | |||||||||||||||||||||||||||||
17. 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. Available-for-sale securities are carried on the Balance Sheets at fair value. Unrealized gains and losses on these securities are reported, net of tax, in OCI or are recognized currently in earnings when a decline in fair value is determined to be other-than-temporary. The specific identification method is used to calculate realized gains and losses. | ||||||||||||||||||||||||||||||
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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 20 | 1 | 19 | 20 | 1 | 19 | ||||||||||||||||||||||||
Total | $ | 508 | $ | 318 | $ | 3 | $ | 823 | $ | 494 | $ | 239 | $ | 2 | $ | 731 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 17 | 1 | 16 | 17 | 1 | 16 | ||||||||||||||||||||||||
Total | $ | 505 | $ | 318 | $ | 3 | $ | 820 | $ | 491 | $ | 239 | $ | 2 | $ | 728 | ||||||||||||||
There were no securities with credit losses at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
The following table shows the scheduled maturity dates of debt securities held at September 30, 2013. | ||||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 77 | $ | 231 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 79 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 74 | $ | 228 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 76 | 236 | |||||||||||||||||||||||||
The following table shows proceeds from and realized gains and losses on sales of available-for-sale securities for the periods ended September 30. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 5 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 3 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
(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_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended | |||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||||||||
18. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||
The after-tax changes in AOCI by component for the three and nine months ended September 30, 2013 were as follows. | ||||||||||||||||||||||||||
Foreign | Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | |||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | ||||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | |||||||||||||||||||
PPL | ||||||||||||||||||||||||||
June 30, 2013 | $ | -401 | $ | 135 | $ | 102 | $ | 1 | $ | -11 | $ | -1,955 | $ | 1 | $ | -2,128 | ||||||||||
Amounts arising during the period | 87 | 15 | -9 | 93 | ||||||||||||||||||||||
Reclassifications from AOCI | -6 | -1 | 2 | 33 | 28 | |||||||||||||||||||||
Net OCI during the period | 87 | 15 | -15 | -1 | 2 | 33 | 121 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | ||||||||||
Amounts arising during the period | -165 | 40 | 77 | -48 | ||||||||||||||||||||||
Reclassifications from AOCI | -2 | -122 | -1 | 5 | 101 | -19 | ||||||||||||||||||||
Net OCI during the period | -165 | 38 | -45 | -1 | 5 | 101 | -67 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
June 30, 2013 | $ | 135 | $ | 144 | $ | -8 | $ | -257 | $ | 14 | ||||||||||||||||
Amounts arising during the period | 15 | 15 | ||||||||||||||||||||||||
Reclassifications from AOCI | -29 | 1 | 3 | -25 | ||||||||||||||||||||||
Net OCI during the period | 15 | -29 | 1 | 3 | -10 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | ||||||||||||||||
Amounts arising during the period | 40 | 40 | ||||||||||||||||||||||||
Reclassifications from AOCI | -2 | -96 | 3 | 11 | -84 | |||||||||||||||||||||
Net OCI during the period | 38 | -96 | 3 | 11 | -44 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the periods ended September 30, 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income during the periods; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 9 for additional information. | ||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -5 | -5 | 2 | $ | -3 | ||||||||||||||||||||
Cross-currency swaps | -25 | -1 | -26 | 7 | -19 | |||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -20 | 28 | |||||||||||||||||
Total | $ | 58 | $ | -11 | $ | 1 | $ | -25 | $ | -6 | 17 | -11 | 6 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -3 | 1 | -2 | |||||||||||||||||||||||
Net actuarial loss | -45 | 12 | -33 | |||||||||||||||||||||||
Total | $ | -48 | $ | 13 | -35 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | -28 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -19 | $ | 29 | ||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -2 | 1 | -1 | |||||||||||||||||||||||
Net actuarial loss | -5 | 2 | -3 | |||||||||||||||||||||||
Total | $ | -7 | $ | 3 | -4 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 25 | ||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -14 | -14 | 6 | -8 | |||||||||||||||||||||
Cross-currency swaps | 45 | 45 | -10 | 35 | ||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -64 | 95 | |||||||||||||||||
Total | $ | 198 | $ | -41 | $ | 2 | $ | 45 | $ | -14 | 190 | -68 | 122 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -8 | 3 | -5 | |||||||||||||||||||||||
Net actuarial loss | -138 | 37 | -101 | |||||||||||||||||||||||
Total | $ | -146 | $ | 40 | -106 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 19 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -63 | 96 | |||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -5 | 2 | -3 | |||||||||||||||||||||||
Net actuarial loss | -18 | 7 | -11 | |||||||||||||||||||||||
Total | $ | -23 | $ | 9 | -14 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 84 | ||||||||||||||||||||||||
(LKE and KU) | ||||||||||||||||||||||||||
For the three and nine months ended September 30, 2013, the changes in AOCI and the effect of reclassifications from AOCI on the statement of income for LKE and KU were insignificant. | ||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||||||||
18. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||
The after-tax changes in AOCI by component for the three and nine months ended September 30, 2013 were as follows. | ||||||||||||||||||||||||||
Foreign | Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | |||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | ||||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | |||||||||||||||||||
PPL | ||||||||||||||||||||||||||
June 30, 2013 | $ | -401 | $ | 135 | $ | 102 | $ | 1 | $ | -11 | $ | -1,955 | $ | 1 | $ | -2,128 | ||||||||||
Amounts arising during the period | 87 | 15 | -9 | 93 | ||||||||||||||||||||||
Reclassifications from AOCI | -6 | -1 | 2 | 33 | 28 | |||||||||||||||||||||
Net OCI during the period | 87 | 15 | -15 | -1 | 2 | 33 | 121 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | ||||||||||
Amounts arising during the period | -165 | 40 | 77 | -48 | ||||||||||||||||||||||
Reclassifications from AOCI | -2 | -122 | -1 | 5 | 101 | -19 | ||||||||||||||||||||
Net OCI during the period | -165 | 38 | -45 | -1 | 5 | 101 | -67 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
June 30, 2013 | $ | 135 | $ | 144 | $ | -8 | $ | -257 | $ | 14 | ||||||||||||||||
Amounts arising during the period | 15 | 15 | ||||||||||||||||||||||||
Reclassifications from AOCI | -29 | 1 | 3 | -25 | ||||||||||||||||||||||
Net OCI during the period | 15 | -29 | 1 | 3 | -10 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | ||||||||||||||||
Amounts arising during the period | 40 | 40 | ||||||||||||||||||||||||
Reclassifications from AOCI | -2 | -96 | 3 | 11 | -84 | |||||||||||||||||||||
Net OCI during the period | 38 | -96 | 3 | 11 | -44 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the periods ended September 30, 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income during the periods; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 9 for additional information. | ||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -5 | -5 | 2 | $ | -3 | ||||||||||||||||||||
Cross-currency swaps | -25 | -1 | -26 | 7 | -19 | |||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -20 | 28 | |||||||||||||||||
Total | $ | 58 | $ | -11 | $ | 1 | $ | -25 | $ | -6 | 17 | -11 | 6 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -3 | 1 | -2 | |||||||||||||||||||||||
Net actuarial loss | -45 | 12 | -33 | |||||||||||||||||||||||
Total | $ | -48 | $ | 13 | -35 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | -28 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -19 | $ | 29 | ||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -2 | 1 | -1 | |||||||||||||||||||||||
Net actuarial loss | -5 | 2 | -3 | |||||||||||||||||||||||
Total | $ | -7 | $ | 3 | -4 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 25 | ||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -14 | -14 | 6 | -8 | |||||||||||||||||||||
Cross-currency swaps | 45 | 45 | -10 | 35 | ||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -64 | 95 | |||||||||||||||||
Total | $ | 198 | $ | -41 | $ | 2 | $ | 45 | $ | -14 | 190 | -68 | 122 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -8 | 3 | -5 | |||||||||||||||||||||||
Net actuarial loss | -138 | 37 | -101 | |||||||||||||||||||||||
Total | $ | -146 | $ | 40 | -106 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 19 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -63 | 96 | |||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -5 | 2 | -3 | |||||||||||||||||||||||
Net actuarial loss | -18 | 7 | -11 | |||||||||||||||||||||||
Total | $ | -23 | $ | 9 | -14 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 84 | ||||||||||||||||||||||||
(LKE and KU) | ||||||||||||||||||||||||||
For the three and nine months ended September 30, 2013, the changes in AOCI and the effect of reclassifications from AOCI on the statement of income for LKE and KU were insignificant. | ||||||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||||||||
18. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||
The after-tax changes in AOCI by component for the three and nine months ended September 30, 2013 were as follows. | ||||||||||||||||||||||||||
Foreign | Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | |||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | ||||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | |||||||||||||||||||
PPL | ||||||||||||||||||||||||||
June 30, 2013 | $ | -401 | $ | 135 | $ | 102 | $ | 1 | $ | -11 | $ | -1,955 | $ | 1 | $ | -2,128 | ||||||||||
Amounts arising during the period | 87 | 15 | -9 | 93 | ||||||||||||||||||||||
Reclassifications from AOCI | -6 | -1 | 2 | 33 | 28 | |||||||||||||||||||||
Net OCI during the period | 87 | 15 | -15 | -1 | 2 | 33 | 121 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | ||||||||||
Amounts arising during the period | -165 | 40 | 77 | -48 | ||||||||||||||||||||||
Reclassifications from AOCI | -2 | -122 | -1 | 5 | 101 | -19 | ||||||||||||||||||||
Net OCI during the period | -165 | 38 | -45 | -1 | 5 | 101 | -67 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
June 30, 2013 | $ | 135 | $ | 144 | $ | -8 | $ | -257 | $ | 14 | ||||||||||||||||
Amounts arising during the period | 15 | 15 | ||||||||||||||||||||||||
Reclassifications from AOCI | -29 | 1 | 3 | -25 | ||||||||||||||||||||||
Net OCI during the period | 15 | -29 | 1 | 3 | -10 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | ||||||||||||||||
Amounts arising during the period | 40 | 40 | ||||||||||||||||||||||||
Reclassifications from AOCI | -2 | -96 | 3 | 11 | -84 | |||||||||||||||||||||
Net OCI during the period | 38 | -96 | 3 | 11 | -44 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the periods ended September 30, 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income during the periods; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 9 for additional information. | ||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -5 | -5 | 2 | $ | -3 | ||||||||||||||||||||
Cross-currency swaps | -25 | -1 | -26 | 7 | -19 | |||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -20 | 28 | |||||||||||||||||
Total | $ | 58 | $ | -11 | $ | 1 | $ | -25 | $ | -6 | 17 | -11 | 6 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -3 | 1 | -2 | |||||||||||||||||||||||
Net actuarial loss | -45 | 12 | -33 | |||||||||||||||||||||||
Total | $ | -48 | $ | 13 | -35 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | -28 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -19 | $ | 29 | ||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -2 | 1 | -1 | |||||||||||||||||||||||
Net actuarial loss | -5 | 2 | -3 | |||||||||||||||||||||||
Total | $ | -7 | $ | 3 | -4 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 25 | ||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -14 | -14 | 6 | -8 | |||||||||||||||||||||
Cross-currency swaps | 45 | 45 | -10 | 35 | ||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -64 | 95 | |||||||||||||||||
Total | $ | 198 | $ | -41 | $ | 2 | $ | 45 | $ | -14 | 190 | -68 | 122 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -8 | 3 | -5 | |||||||||||||||||||||||
Net actuarial loss | -138 | 37 | -101 | |||||||||||||||||||||||
Total | $ | -146 | $ | 40 | -106 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 19 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -63 | 96 | |||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -5 | 2 | -3 | |||||||||||||||||||||||
Net actuarial loss | -18 | 7 | -11 | |||||||||||||||||||||||
Total | $ | -23 | $ | 9 | -14 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 84 | ||||||||||||||||||||||||
(LKE and KU) | ||||||||||||||||||||||||||
For the three and nine months ended September 30, 2013, the changes in AOCI and the effect of reclassifications from AOCI on the statement of income for LKE and KU were insignificant. | ||||||||||||||||||||||||||
Kentucky Utilities Co [Member] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||||||||
18. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||||
(PPL and PPL Energy Supply) | ||||||||||||||||||||||||||
The after-tax changes in AOCI by component for the three and nine months ended September 30, 2013 were as follows. | ||||||||||||||||||||||||||
Foreign | Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | |||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | ||||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | |||||||||||||||||||
PPL | ||||||||||||||||||||||||||
June 30, 2013 | $ | -401 | $ | 135 | $ | 102 | $ | 1 | $ | -11 | $ | -1,955 | $ | 1 | $ | -2,128 | ||||||||||
Amounts arising during the period | 87 | 15 | -9 | 93 | ||||||||||||||||||||||
Reclassifications from AOCI | -6 | -1 | 2 | 33 | 28 | |||||||||||||||||||||
Net OCI during the period | 87 | 15 | -15 | -1 | 2 | 33 | 121 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | ||||||||||
Amounts arising during the period | -165 | 40 | 77 | -48 | ||||||||||||||||||||||
Reclassifications from AOCI | -2 | -122 | -1 | 5 | 101 | -19 | ||||||||||||||||||||
Net OCI during the period | -165 | 38 | -45 | -1 | 5 | 101 | -67 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
June 30, 2013 | $ | 135 | $ | 144 | $ | -8 | $ | -257 | $ | 14 | ||||||||||||||||
Amounts arising during the period | 15 | 15 | ||||||||||||||||||||||||
Reclassifications from AOCI | -29 | 1 | 3 | -25 | ||||||||||||||||||||||
Net OCI during the period | 15 | -29 | 1 | 3 | -10 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | ||||||||||||||||
Amounts arising during the period | 40 | 40 | ||||||||||||||||||||||||
Reclassifications from AOCI | -2 | -96 | 3 | 11 | -84 | |||||||||||||||||||||
Net OCI during the period | 38 | -96 | 3 | 11 | -44 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the periods ended September 30, 2013. The defined benefit plan components of AOCI are not reflected in their entirety in the statement of income during the periods; rather, they are included in the computation of net periodic defined benefit costs (credits). See Note 9 for additional information. | ||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -5 | -5 | 2 | $ | -3 | ||||||||||||||||||||
Cross-currency swaps | -25 | -1 | -26 | 7 | -19 | |||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -20 | 28 | |||||||||||||||||
Total | $ | 58 | $ | -11 | $ | 1 | $ | -25 | $ | -6 | 17 | -11 | 6 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -3 | 1 | -2 | |||||||||||||||||||||||
Net actuarial loss | -45 | 12 | -33 | |||||||||||||||||||||||
Total | $ | -48 | $ | 13 | -35 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | -28 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -19 | $ | 29 | ||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -2 | 1 | -1 | |||||||||||||||||||||||
Net actuarial loss | -5 | 2 | -3 | |||||||||||||||||||||||
Total | $ | -7 | $ | 3 | -4 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 25 | ||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -14 | -14 | 6 | -8 | |||||||||||||||||||||
Cross-currency swaps | 45 | 45 | -10 | 35 | ||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -64 | 95 | |||||||||||||||||
Total | $ | 198 | $ | -41 | $ | 2 | $ | 45 | $ | -14 | 190 | -68 | 122 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -8 | 3 | -5 | |||||||||||||||||||||||
Net actuarial loss | -138 | 37 | -101 | |||||||||||||||||||||||
Total | $ | -146 | $ | 40 | -106 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 19 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -63 | 96 | |||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -5 | 2 | -3 | |||||||||||||||||||||||
Net actuarial loss | -18 | 7 | -11 | |||||||||||||||||||||||
Total | $ | -23 | $ | 9 | -14 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 84 | ||||||||||||||||||||||||
(LKE and KU) | ||||||||||||||||||||||||||
For the three and nine months ended September 30, 2013, the changes in AOCI and the effect of reclassifications from AOCI on the statement of income for LKE and KU were insignificant. |
New_Accounting_Guidance_Pendin
New Accounting Guidance Pending Adoption | 9 Months Ended |
Sep. 30, 2013 | |
New Accounting Guidance Pending Adoption [Abstract] | ' |
New Accounting Guidance Pending Adoption | ' |
19. New Accounting Guidance Pending Adoption | |
(All Registrants) | |
Accounting for Obligations Resulting from Joint and Several Liability Arrangements | |
Effective January 1, 2014, the Registrants will retrospectively adopt 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 Registrants are assessing the potential impact of adoption, which is not expected to be material. | |
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 will prospectively adopt 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 is not expected to 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 will prospectively adopt 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 is not expected to have a significant impact on the Registrants. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Summary Of Significant Accounting Policies [Line Items] | ' |
Accounts Receivable | ' |
Accounts Receivable (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 suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative 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 the three and nine months ended September 30, 2013, PPL Electric purchased $259 million and $738 million of accounts receivable from unaffiliated third parties and $75 million and $222 million from PPL EnergyPlus. During the three and nine months ended September 30, 2012, PPL Electric purchased $225 million and $647 million of accounts receivable from unaffiliated third parties and $81 million and $237 million from PPL EnergyPlus. | |
New Accounting Guidance Adopted | ' |
New Accounting Guidance Adopted (All Registrants) | |
Improving Disclosures about Offsetting Balance Sheet Items | |
Effective January 1, 2013, the Registrants retrospectively adopted accounting guidance issued to enhance disclosures about derivative instruments that either (1) offset on the balance sheet or (2) are subject to an enforceable master netting arrangement or similar agreement, irrespective of whether they are offset on the balance sheet. | |
The adoption of this guidance resulted in enhanced disclosures but did not have a significant impact on the Registrants. See Note 14 for the new disclosures. | |
Testing Indefinite-Lived Intangible Assets for Impairment | |
Effective January 1, 2013, the Registrants prospectively adopted accounting guidance that allows an entity to elect the option to first make a qualitative evaluation about the likelihood of an impairment of an indefinite-lived intangible asset. If, based on this assessment, the entity determines that it is more likely than not that the fair value of the indefinite-lived intangible asset exceeds the carrying amount, a quantitative impairment test does not need to be performed. If the entity concludes otherwise, a quantitative impairment test must be performed by determining the fair value of the asset and comparing it with the carrying value. The entity would record an impairment charge, if necessary. | |
The adoption of this guidance did not have a significant impact on the Registrants. | |
Reporting Amounts Reclassified Out of AOCI | |
Effective January 1, 2013, the Registrants prospectively adopted accounting guidance issued to improve the reporting of reclassifications out of AOCI. The Registrants are required to provide information about the effects on net income of significant amounts reclassified out of AOCI by their respective statement of income line item, if the item is required to be reclassified to net income in its entirety. For items not reclassified to net income in their entirety, the Registrants are required to reference other disclosures that provide greater detail about these reclassifications. | |
The adoption of this guidance resulted in enhanced disclosures but did not have a significant impact on the Registrants. See Note 18 for the new disclosures. | |
PPL Electric Utilities Corp [Member] | ' |
Summary Of Significant Accounting Policies [Line Items] | ' |
Accounts Receivable | ' |
Accounts Receivable (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 suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative 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 the three and nine months ended September 30, 2013, PPL Electric purchased $259 million and $738 million of accounts receivable from unaffiliated third parties and $75 million and $222 million from PPL EnergyPlus. During the three and nine months ended September 30, 2012, PPL Electric purchased $225 million and $647 million of accounts receivable from unaffiliated third parties and $81 million and $237 million from PPL EnergyPlus. | |
PPL Energy Supply LLC [Member] | ' |
Summary Of Significant Accounting Policies [Line Items] | ' |
Accounts Receivable | ' |
Accounts Receivable (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 suppliers (including PPL EnergyPlus) at a discount, which reflects a provision for uncollectible accounts. The alternative 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 the three and nine months ended September 30, 2013, PPL Electric purchased $259 million and $738 million of accounts receivable from unaffiliated third parties and $75 million and $222 million from PPL EnergyPlus. During the three and nine months ended September 30, 2012, PPL Electric purchased $225 million and $647 million of accounts receivable from unaffiliated third parties and $81 million and $237 million from PPL EnergyPlus. |
Fair_Value_Measurements_and_Cr1
Fair Value Measurements and Credit Concentration (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
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) | 9 Months Ended |
Sep. 30, 2013 | |
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. |
AvailableforSale_Securities_Po
Available-for-Sale Securities (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Available-for-Sale Securities [Line Items] | ' |
Investments | ' |
Securities held by the NDT funds and auction rate securities are classified as available-for-sale. Available-for-sale securities are carried on the Balance Sheets at fair value. Unrealized gains and losses on these securities are reported, net of tax, in OCI or are recognized currently in earnings when a decline in fair value is determined to be other-than-temporary. The specific identification method is used to calculate realized gains and losses. | |
PPL Energy Supply LLC [Member] | ' |
Available-for-Sale Securities [Line Items] | ' |
Investments | ' |
Securities held by the NDT funds and auction rate securities are classified as available-for-sale. Available-for-sale securities are carried on the Balance Sheets at fair value. Unrealized gains and losses on these securities are reported, net of tax, in OCI or are recognized currently in earnings when a decline in fair value is determined to be other-than-temporary. The specific identification method is used to calculate realized gains and losses. |
Segment_and_Related_Informatio1
Segment and Related Information (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Segment and Related Information [Abstract] | ' | ||||||||||||||||
Segment and Related Information | ' | ||||||||||||||||
For the periods ended September 30, financial data for the segments are: | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Income Statement Data | |||||||||||||||||
Revenues from external customers | |||||||||||||||||
U.K. Regulated | $ | 543 | $ | 528 | $ | 1,763 | $ | 1,647 | |||||||||
Kentucky Regulated | 744 | 732 | 2,226 | 2,095 | |||||||||||||
Pennsylvania Regulated | 463 | 443 | 1,388 | 1,303 | |||||||||||||
Supply (a) | 1,352 | 700 | 3,626 | 4,019 | |||||||||||||
Corporate and Other | 3 | 9 | |||||||||||||||
Total | $ | 3,105 | $ | 2,403 | $ | 9,012 | $ | 9,064 | |||||||||
Intersegment electric revenues | |||||||||||||||||
Pennsylvania Regulated | $ | 1 | $ | 1 | $ | 3 | $ | 3 | |||||||||
Supply | 11 | 23 | 37 | 61 | |||||||||||||
Net Income Attributable to PPL Shareowners | |||||||||||||||||
U.K. Regulated (a) | $ | 183 | $ | 202 | $ | 741 | $ | 563 | |||||||||
Kentucky Regulated | 93 | 72 | 227 | 148 | |||||||||||||
Pennsylvania Regulated | 51 | 33 | 160 | 95 | |||||||||||||
Supply (a) | 91 | 48 | 122 | 361 | |||||||||||||
Corporate and Other | -8 | -22 | |||||||||||||||
Total | $ | 410 | $ | 355 | $ | 1,228 | $ | 1,167 | |||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
Balance Sheet Data | |||||||||||||||||
Assets | |||||||||||||||||
U.K. Regulated | $ | 14,329 | $ | 14,073 | |||||||||||||
Kentucky Regulated | 11,368 | 10,670 | |||||||||||||||
Pennsylvania Regulated | 6,729 | 6,023 | |||||||||||||||
Supply | 12,198 | 12,868 | |||||||||||||||
Corporate and Other (b) | 364 | ||||||||||||||||
Total assets | $ | 44,988 | $ | 43,634 | |||||||||||||
(a) Includes unrealized gains and losses from economic activity. See Note 14 for additional information. | |||||||||||||||||
(b) Primarily consists of unallocated assets, including cash, PP&E and the elimination of inter-segment transactions. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
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 September 30 used in the EPS calculation are: | ||||||||||||||||
Three Months | Nine Months | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Income (Numerator) | ||||||||||||||||
Income from continuing operations after income taxes attributable to PPL | ||||||||||||||||
shareowners | $ | 409 | $ | 355 | $ | 1,226 | $ | 1,173 | ||||||||
Less amounts allocated to participating securities | 2 | 2 | 6 | 7 | ||||||||||||
Income from continuing operations after income taxes available to PPL | ||||||||||||||||
common shareowners - Basic | 407 | 353 | 1,220 | 1,166 | ||||||||||||
Plus interest charges (net of tax) related to Equity Units | 7 | 37 | ||||||||||||||
Income from continuing operations after income taxes available to PPL | ||||||||||||||||
common shareowners - Diluted | $ | 414 | $ | 353 | $ | 1,257 | $ | 1,166 | ||||||||
Income (loss) from discontinued operations (net of income taxes) available | ||||||||||||||||
to PPL common shareowners - Basic and Diluted | $ | 1 | $ | $ | 2 | $ | -6 | |||||||||
Net income attributable to PPL shareowners | $ | 410 | $ | 355 | $ | 1,228 | $ | 1,167 | ||||||||
Less amounts allocated to participating securities | 2 | 2 | 6 | 7 | ||||||||||||
Net income available to PPL common shareowners - Basic | 408 | 353 | 1,222 | 1,160 | ||||||||||||
Plus interest charges (net of tax) related to Equity Units | 7 | 37 | ||||||||||||||
Net income available to PPL common shareowners - Diluted | $ | 415 | $ | 353 | $ | 1,259 | $ | 1,160 | ||||||||
Shares of Common Stock (Denominator) | ||||||||||||||||
Weighted-average shares - Basic EPS | 631,046 | 580,585 | 601,275 | 579,847 | ||||||||||||
Add incremental non-participating securities: | ||||||||||||||||
Share-based payment awards | 1,163 | 635 | 1,035 | 522 | ||||||||||||
Equity Units | 32,134 | 439 | 59,171 | 146 | ||||||||||||
Forward sale agreements | 977 | 613 | 415 | |||||||||||||
Weighted-average shares - Diluted EPS | 664,343 | 582,636 | 662,094 | 580,930 | ||||||||||||
Basic EPS | ||||||||||||||||
Available to PPL common shareowners: | ||||||||||||||||
Income from continuing operations after income taxes | $ | 0.65 | $ | 0.61 | $ | 2.03 | $ | 2.01 | ||||||||
Income (loss) from discontinued operations (net of income taxes) | -0.01 | |||||||||||||||
Net Income | $ | 0.65 | $ | 0.61 | $ | 2.03 | $ | 2 | ||||||||
Diluted EPS | ||||||||||||||||
Available to PPL common shareowners: | ||||||||||||||||
Income from continuing operations after income taxes | $ | 0.62 | $ | 0.61 | $ | 1.9 | $ | 2.01 | ||||||||
Income (loss) from discontinued operations (net of income taxes) | -0.01 | |||||||||||||||
Net Income | $ | 0.62 | $ | 0.61 | $ | 1.9 | $ | 2 | ||||||||
Common Stock Issuances | ' | |||||||||||||||
For the periods ended September 30, PPL issued common stock related to stock-based compensation plans, ESOP and DRIP as follows: | ||||||||||||||||
(Shares in thousands) | Three Months | Nine Months | ||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Stock-based compensation plans (a) | 85 | 159 | 1,469 | 512 | ||||||||||||
ESOP | 275 | 280 | ||||||||||||||
DRIP | 598 | 549 | 1,773 | |||||||||||||
(a) Includes stock options exercised, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors. | ||||||||||||||||
Antidilutive Securities Excluded From Diluted EPS | ' | |||||||||||||||
See Note 7 for information on the repurchase of shares of PPL common stock that offset the 2013 issuances of common stock under stock-based compensation plans, ESOP and DRIP. | ||||||||||||||||
For the periods ended September 30, the following were excluded from the computations of diluted EPS because the effect would have been antidilutive. | ||||||||||||||||
Three Months | Nine Months | |||||||||||||||
(Shares in thousands) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Stock options | 1,136 | 4,935 | 4,793 | 5,622 | ||||||||||||
Performance units | 1 | 73 | 76 | |||||||||||||
Restricted stock units | 39 |
Income_Taxes_Tables
Income Taxes (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Income Taxes [Line Items] | ' | ||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | ' | ||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(PPL) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income from Continuing Operations Before | |||||||||||||||||
Income Taxes at statutory tax rate - 35% | $ | 173 | $ | 130 | $ | 550 | $ | 539 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 12 | 6 | 29 | 38 | |||||||||||||
State valuation allowance adjustments (a) | 38 | 2 | 38 | 2 | |||||||||||||
Impact of lower U.K. income tax rates (b) | -38 | -30 | -101 | -75 | |||||||||||||
U.S. income tax on foreign earnings - net of foreign tax credit (c) | 10 | 1 | 5 | 2 | |||||||||||||
Federal and state tax reserve adjustments (d) | -1 | -2 | -41 | -7 | |||||||||||||
Foreign tax reserve adjustments | -2 | -2 | -5 | ||||||||||||||
Federal and state income tax return adjustments | -4 | -4 | |||||||||||||||
Enactment of the U.K.'s Finance Acts 2013 and 2012 (b) | -93 | -74 | -93 | -74 | |||||||||||||
Federal income tax credits | -4 | -5 | -9 | -12 | |||||||||||||
Amortization of investment tax credit | -1 | -2 | -6 | -7 | |||||||||||||
Depreciation not normalized | -2 | -2 | -6 | -6 | |||||||||||||
State deferred tax rate change (e) | -6 | -17 | |||||||||||||||
Net operating loss carryforward adjustments (f) | -9 | ||||||||||||||||
Intercompany interest on U.K. financing entities (g) | -2 | -3 | -7 | -8 | |||||||||||||
Other | -2 | 2 | -9 | 3 | |||||||||||||
Total increase (decrease) | -89 | -113 | -206 | -175 | |||||||||||||
Total income taxes from continuing operations | $ | 84 | $ | 17 | $ | 344 | $ | 364 | |||||||||
(a) During the three and nine months ended September 30, 2013, PPL recorded an increase in state deferred income tax expense related to a deferred tax valuation allowance primarily due to a decrease in projected future taxable income 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 in the third quarter of 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 in the third quarter of 2012 related to both rate decreases. | |||||||||||||||||
(c) During the three and nine months ended September 30, 2013, PPL recorded a $10 million and $24 million increase to income tax expense primarily attributable to a revision in the expected taxable amount of cash repatriation in 2013. | |||||||||||||||||
During the nine months ended September 30, 2013, PPL recorded a tax benefit of $19 million 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. | |||||||||||||||||
(d) In 1997, the U.K. imposed a Windfall Profits Tax (WPT) on privatized utilities, including WPD. PPL filed its 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. 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 the fourth quarter of 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 the nine months ended September 30, 2013, of which $19 million relates to interest. | |||||||||||||||||
(e) During the three and nine months ended September 30, 2012, PPL recorded adjustments related to state deferred tax liabilities. | |||||||||||||||||
(f) During the nine months ended September 30, 2012, PPL recorded adjustments to deferred taxes related to net operating loss carryforwards of LKE based on income tax return adjustments. | |||||||||||||||||
(g) PPL recorded foreign income tax benefits related to interest expense on intercompany loans for which there was no domestic income tax expense. | |||||||||||||||||
Unrecognized Tax Benefits | ' | ||||||||||||||||
Changes to unrecognized tax benefits for the periods ended September 30 were as follows. | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
PPL | |||||||||||||||||
Beginning of period | $ | 36 | $ | 113 | $ | 92 | $ | 145 | |||||||||
Additions based on tax positions of prior years | 2 | 6 | |||||||||||||||
Reductions based on tax positions of prior years | -26 | -31 | |||||||||||||||
Additions based on tax positions related to the current year | 4 | ||||||||||||||||
Reductions based on tax positions related to the current year | -1 | -2 | |||||||||||||||
Settlements | -30 | ||||||||||||||||
Lapse of applicable statutes of limitations | -5 | -2 | -9 | -6 | |||||||||||||
End of period | $ | 31 | $ | 112 | $ | 31 | $ | 112 | |||||||||
PPL Energy Supply | |||||||||||||||||
Beginning of period | $ | 15 | $ | 31 | $ | 30 | $ | 28 | |||||||||
Additions based on tax positions of prior years | 4 | ||||||||||||||||
Reductions based on tax positions of prior years | -15 | -1 | |||||||||||||||
End of period | $ | 15 | $ | 31 | $ | 15 | $ | 31 | |||||||||
PPL Electric | |||||||||||||||||
Beginning of period | $ | 12 | $ | 43 | $ | 26 | $ | 73 | |||||||||
Reductions based on tax positions of prior years | -1 | -10 | -28 | ||||||||||||||
Additions based on tax positions related to the current year | 1 | ||||||||||||||||
Lapse of applicable statutes of limitations | -3 | -2 | -7 | -6 | |||||||||||||
End of period | $ | 9 | $ | 40 | $ | 9 | $ | 40 | |||||||||
At September 30, 2013, 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 | $ | 16 | $ | 30 | |||||||||||||
PPL Energy Supply | 15 | ||||||||||||||||
PPL Electric | 16 | 8 | |||||||||||||||
At September 30, the total unrecognized tax benefits and related indirect effects that, if recognized, would decrease the effective income tax rate were as follows. | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
PPL | $ | 21 | $ | 34 | |||||||||||||
PPL Energy Supply | 14 | 14 | |||||||||||||||
PPL Energy Supply LLC [Member] | ' | ||||||||||||||||
Income Taxes [Line Items] | ' | ||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | ' | ||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(PPL Energy Supply) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 70 | $ | 25 | $ | 98 | $ | 205 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 7 | 1 | 10 | 25 | |||||||||||||
State valuation allowance adjustments | 4 | 2 | 4 | 2 | |||||||||||||
Federal and state tax reserve adjustments (a) | 6 | ||||||||||||||||
Federal income tax credits | -4 | -4 | -7 | -10 | |||||||||||||
State deferred tax rate change (b) | -6 | -17 | |||||||||||||||
Other | -3 | -2 | -5 | -3 | |||||||||||||
Total increase (decrease) | 4 | -9 | 8 | -3 | |||||||||||||
Total income taxes | $ | 74 | $ | 16 | $ | 106 | $ | 202 | |||||||||
(a) During the nine months ended September 30, 2013, PPL Energy Supply reversed $3 million in tax benefits related to a 2008 change in method of accounting for certain expenditures for tax purposes and recorded $4 million in federal tax reserves related to differences in over (under) payment interest rates applied to audit claims as a result of the U.S. Supreme Court decision related to Windfall Profits Tax. | |||||||||||||||||
(b) During the three and nine months ended September 30, 2012, PPL Energy Supply recorded adjustments related to state deferred tax liabilities. | |||||||||||||||||
Unrecognized Tax Benefits | ' | ||||||||||||||||
Changes to unrecognized tax benefits for the periods ended September 30 were as follows. | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
PPL | |||||||||||||||||
Beginning of period | $ | 36 | $ | 113 | $ | 92 | $ | 145 | |||||||||
Additions based on tax positions of prior years | 2 | 6 | |||||||||||||||
Reductions based on tax positions of prior years | -26 | -31 | |||||||||||||||
Additions based on tax positions related to the current year | 4 | ||||||||||||||||
Reductions based on tax positions related to the current year | -1 | -2 | |||||||||||||||
Settlements | -30 | ||||||||||||||||
Lapse of applicable statutes of limitations | -5 | -2 | -9 | -6 | |||||||||||||
End of period | $ | 31 | $ | 112 | $ | 31 | $ | 112 | |||||||||
PPL Energy Supply | |||||||||||||||||
Beginning of period | $ | 15 | $ | 31 | $ | 30 | $ | 28 | |||||||||
Additions based on tax positions of prior years | 4 | ||||||||||||||||
Reductions based on tax positions of prior years | -15 | -1 | |||||||||||||||
End of period | $ | 15 | $ | 31 | $ | 15 | $ | 31 | |||||||||
PPL Electric | |||||||||||||||||
Beginning of period | $ | 12 | $ | 43 | $ | 26 | $ | 73 | |||||||||
Reductions based on tax positions of prior years | -1 | -10 | -28 | ||||||||||||||
Additions based on tax positions related to the current year | 1 | ||||||||||||||||
Lapse of applicable statutes of limitations | -3 | -2 | -7 | -6 | |||||||||||||
End of period | $ | 9 | $ | 40 | $ | 9 | $ | 40 | |||||||||
At September 30, 2013, 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 | $ | 16 | $ | 30 | |||||||||||||
PPL Energy Supply | 15 | ||||||||||||||||
PPL Electric | 16 | 8 | |||||||||||||||
At September 30, the total unrecognized tax benefits and related indirect effects that, if recognized, would decrease the effective income tax rate were as follows. | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
PPL | $ | 21 | $ | 34 | |||||||||||||
PPL Energy Supply | 14 | 14 | |||||||||||||||
PPL Electric Utilities Corp [Member] | ' | ||||||||||||||||
Income Taxes [Line Items] | ' | ||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | ' | ||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(PPL Electric) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 27 | $ | 17 | $ | 85 | $ | 51 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 5 | 2 | 13 | 7 | |||||||||||||
Federal and state tax reserve adjustments | -2 | -2 | -6 | -5 | |||||||||||||
Depreciation not normalized | -2 | -1 | -6 | -5 | |||||||||||||
Other | -2 | -3 | -1 | ||||||||||||||
Total increase (decrease) | -1 | -1 | -2 | -4 | |||||||||||||
Total income taxes | $ | 26 | $ | 16 | $ | 83 | $ | 47 | |||||||||
Unrecognized Tax Benefits | ' | ||||||||||||||||
Changes to unrecognized tax benefits for the periods ended September 30 were as follows. | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
PPL | |||||||||||||||||
Beginning of period | $ | 36 | $ | 113 | $ | 92 | $ | 145 | |||||||||
Additions based on tax positions of prior years | 2 | 6 | |||||||||||||||
Reductions based on tax positions of prior years | -26 | -31 | |||||||||||||||
Additions based on tax positions related to the current year | 4 | ||||||||||||||||
Reductions based on tax positions related to the current year | -1 | -2 | |||||||||||||||
Settlements | -30 | ||||||||||||||||
Lapse of applicable statutes of limitations | -5 | -2 | -9 | -6 | |||||||||||||
End of period | $ | 31 | $ | 112 | $ | 31 | $ | 112 | |||||||||
PPL Energy Supply | |||||||||||||||||
Beginning of period | $ | 15 | $ | 31 | $ | 30 | $ | 28 | |||||||||
Additions based on tax positions of prior years | 4 | ||||||||||||||||
Reductions based on tax positions of prior years | -15 | -1 | |||||||||||||||
End of period | $ | 15 | $ | 31 | $ | 15 | $ | 31 | |||||||||
PPL Electric | |||||||||||||||||
Beginning of period | $ | 12 | $ | 43 | $ | 26 | $ | 73 | |||||||||
Reductions based on tax positions of prior years | -1 | -10 | -28 | ||||||||||||||
Additions based on tax positions related to the current year | 1 | ||||||||||||||||
Lapse of applicable statutes of limitations | -3 | -2 | -7 | -6 | |||||||||||||
End of period | $ | 9 | $ | 40 | $ | 9 | $ | 40 | |||||||||
At September 30, 2013, 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 | $ | 16 | $ | 30 | |||||||||||||
PPL Energy Supply | 15 | ||||||||||||||||
PPL Electric | 16 | 8 | |||||||||||||||
LG And E And KU Energy LLC [Member] | ' | ||||||||||||||||
Income Taxes [Line Items] | ' | ||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | ' | ||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(LKE) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income from Continuing Operations Before | |||||||||||||||||
Income Taxes at statutory tax rate - 35% | $ | 56 | $ | 46 | $ | 144 | $ | 96 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 6 | 5 | 14 | 7 | |||||||||||||
Amortization of investment tax credit | -1 | -1 | -3 | -4 | |||||||||||||
Net operating loss carryforward adjustments (a) | -9 | ||||||||||||||||
Other | -2 | -2 | -2 | -1 | |||||||||||||
Total increase (decrease) | 3 | 2 | 9 | -7 | |||||||||||||
Total income taxes from continuing operations | $ | 59 | $ | 48 | $ | 153 | $ | 89 | |||||||||
(a) During the nine months ended September 30, 2012, LKE recorded adjustments to deferred taxes related to net operating loss carryforwards based on income tax return adjustments. | |||||||||||||||||
Louisville Gas And Electric Co [Member] | ' | ||||||||||||||||
Income Taxes [Line Items] | ' | ||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | ' | ||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(LG&E) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 27 | $ | 24 | $ | 67 | $ | 52 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 3 | 2 | 7 | 5 | |||||||||||||
Other | -3 | -1 | -5 | -3 | |||||||||||||
Total increase (decrease) | 1 | 2 | 2 | ||||||||||||||
Total income taxes | $ | 27 | $ | 25 | $ | 69 | $ | 54 | |||||||||
Kentucky Utilities Co [Member] | ' | ||||||||||||||||
Income Taxes [Line Items] | ' | ||||||||||||||||
Reconciliation of Income Tax Expense Derived From Statutory Tax Rate | ' | ||||||||||||||||
Reconciliations of income taxes for the periods ended September 30 are: | |||||||||||||||||
(KU) | |||||||||||||||||
Three Months | Nine Months | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Federal income tax on Income Before Income Taxes at statutory | |||||||||||||||||
tax rate - 35% | $ | 35 | $ | 28 | $ | 95 | $ | 66 | |||||||||
Increase (decrease) due to: | |||||||||||||||||
State income taxes, net of federal income tax benefit | 4 | 3 | 10 | 6 | |||||||||||||
Other | -3 | -1 | -4 | -2 | |||||||||||||
Total increase (decrease) | 1 | 2 | 6 | 4 | |||||||||||||
Total income taxes | $ | 36 | $ | 30 | $ | 101 | $ | 70 |
Utility_Rate_Regulation_Tables
Utility Rate Regulation (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Regulatory Assets and Liabilities | ' | ||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
(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] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Regulatory Assets and Liabilities | ' | ||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
PPL | PPL Electric | ||||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | ||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | |||||||||||||||||||
Gas supply clause | 13 | $ | 11 | ||||||||||||||||||
Fuel adjustment clause | 6 | ||||||||||||||||||||
Other | 11 | 2 | $ | 2 | |||||||||||||||||
Total current regulatory assets | $ | 31 | $ | 19 | $ | 2 | |||||||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 683 | $ | 730 | $ | 345 | $ | 362 | |||||||||||||
Taxes recoverable through future rates | 302 | 293 | 302 | 293 | |||||||||||||||||
Storm costs | 152 | 168 | 55 | 59 | |||||||||||||||||
Unamortized loss on debt | 88 | 96 | 58 | 65 | |||||||||||||||||
Interest rate swaps | 49 | 67 | |||||||||||||||||||
Accumulated cost of removal of utility plant | 95 | 71 | 95 | 71 | |||||||||||||||||
AROs | 37 | 26 | |||||||||||||||||||
Other | 17 | 32 | 2 | 3 | |||||||||||||||||
Total noncurrent regulatory assets | $ | 1,423 | $ | 1,483 | $ | 857 | $ | 853 | |||||||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
Generation supply charge | $ | 21 | $ | 27 | $ | 21 | $ | 27 | |||||||||||||
ECR | 4 | ||||||||||||||||||||
Gas supply clause | 2 | 4 | |||||||||||||||||||
Transmission service charge | 9 | 6 | 9 | 6 | |||||||||||||||||
Transmission formula rate | 9 | 9 | |||||||||||||||||||
Universal service rider | 11 | 17 | 11 | 17 | |||||||||||||||||
Gas line tracker | 6 | ||||||||||||||||||||
Other | 10 | 3 | 1 | 2 | |||||||||||||||||
Total current regulatory liabilities | $ | 68 | $ | 61 | $ | 51 | $ | 52 | |||||||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal of utility plant | $ | 690 | $ | 679 | |||||||||||||||||
Coal contracts (a) | 108 | 141 | |||||||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | |||||||||||||||||||
Net deferred tax assets | 32 | 34 | |||||||||||||||||||
Act 129 compliance rider | 14 | 8 | $ | 14 | $ | 8 | |||||||||||||||
Defined benefit plans | 18 | 17 | |||||||||||||||||||
Interest rate swaps | 84 | 14 | |||||||||||||||||||
Other | 6 | 9 | |||||||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,054 | $ | 1,010 | $ | 14 | $ | 8 | |||||||||||||
LG And E And KU Energy LLC [Member] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Regulatory Assets and Liabilities | ' | ||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(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] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Regulatory Assets and Liabilities | ' | ||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(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] | ' | ||||||||||||||||||||
Utility Rate Regulation [Line Items] | ' | ||||||||||||||||||||
Regulatory Assets and Liabilities | ' | ||||||||||||||||||||
The following table provides information about the regulatory assets and liabilities of cost-based rate-regulated utility operations. | |||||||||||||||||||||
LKE | LG&E | KU | |||||||||||||||||||
September 30, | December 31, | September 30, | December 31, | September 30, | December 31, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Current Regulatory Assets: | |||||||||||||||||||||
ECR | $ | 7 | $ | 2 | $ | 5 | |||||||||||||||
Gas supply clause | 13 | $ | 11 | 13 | $ | 11 | |||||||||||||||
Fuel adjustment clause | 6 | 6 | |||||||||||||||||||
Other | 9 | 2 | 4 | 2 | 5 | ||||||||||||||||
Total current regulatory assets | $ | 29 | $ | 19 | $ | 19 | $ | 19 | $ | 10 | |||||||||||
Noncurrent Regulatory Assets: | |||||||||||||||||||||
Defined benefit plans | $ | 338 | $ | 368 | $ | 212 | $ | 232 | $ | 126 | $ | 136 | |||||||||
Storm costs | 97 | 109 | 53 | 59 | 44 | 50 | |||||||||||||||
Unamortized loss on debt | 30 | 31 | 19 | 20 | 11 | 11 | |||||||||||||||
Interest rate swaps | 49 | 67 | 49 | 67 | |||||||||||||||||
AROs | 37 | 26 | 20 | 15 | 17 | 11 | |||||||||||||||
Other | 15 | 29 | 6 | 7 | 9 | 22 | |||||||||||||||
Total noncurrent regulatory assets | $ | 566 | $ | 630 | $ | 359 | $ | 400 | $ | 207 | $ | 230 | |||||||||
Current Regulatory Liabilities: | |||||||||||||||||||||
ECR | $ | 4 | $ | 4 | |||||||||||||||||
Gas supply clause | $ | 2 | 4 | $ | 2 | $ | 4 | ||||||||||||||
Gas line tracker | 6 | 6 | |||||||||||||||||||
Other | 9 | 1 | 3 | $ | 6 | 1 | |||||||||||||||
Total current regulatory liabilities | $ | 17 | $ | 9 | $ | 11 | $ | 4 | $ | 6 | $ | 5 | |||||||||
Noncurrent Regulatory Liabilities: | |||||||||||||||||||||
Accumulated cost of removal | |||||||||||||||||||||
of utility plant | $ | 690 | $ | 679 | $ | 300 | $ | 297 | $ | 390 | $ | 382 | |||||||||
Coal contracts (a) | 108 | 141 | 47 | 61 | 61 | 80 | |||||||||||||||
Power purchase agreement - OVEC (a) | 102 | 108 | 71 | 75 | 31 | 33 | |||||||||||||||
Net deferred tax assets | 32 | 34 | 26 | 28 | 6 | 6 | |||||||||||||||
Defined benefit plans | 18 | 17 | 18 | 17 | |||||||||||||||||
Interest rate swaps | 84 | 14 | 42 | 7 | 42 | 7 | |||||||||||||||
Other | 6 | 9 | 3 | 3 | 3 | 6 | |||||||||||||||
Total noncurrent regulatory liabilities | $ | 1,040 | $ | 1,002 | $ | 489 | $ | 471 | $ | 551 | $ | 531 | |||||||||
(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) | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ||||||||||||||||||||||||||
Credit Facilities in Place at Period End | ' | ||||||||||||||||||||||||||
The following credit facilities were in place at: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Letters of | Letters of | ||||||||||||||||||||||||||
Credit Issued | Credit Issued | ||||||||||||||||||||||||||
and | and | ||||||||||||||||||||||||||
Commercial | Commercial | ||||||||||||||||||||||||||
Expiration | Paper | Unused | Paper | ||||||||||||||||||||||||
Date | Capacity | Borrowed | Backup | Capacity | Borrowed | Backup | |||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
WPD Credit Facilities | |||||||||||||||||||||||||||
PPL WW Syndicated | |||||||||||||||||||||||||||
Credit Facility (a) (b) | Dec. 2016 | £ | 210 | £ | 106 | n/a | £ | 104 | £ | 106 | n/a | ||||||||||||||||
WPD (South West) | |||||||||||||||||||||||||||
Syndicated Credit Facility | Jan. 2017 | 245 | n/a | 245 | n/a | ||||||||||||||||||||||
WPD (East Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (b) | Apr. 2016 | 300 | 44 | 256 | |||||||||||||||||||||||
WPD (West Midlands) | |||||||||||||||||||||||||||
Syndicated Credit Facility (b) | Apr. 2016 | 300 | 34 | 266 | |||||||||||||||||||||||
Uncommitted Credit Facilities | 84 | £ | 5 | 79 | £ | 4 | |||||||||||||||||||||
Total WPD Credit Facilities (c) | £ | 1,139 | £ | 184 | £ | 5 | £ | 950 | £ | 106 | £ | 4 | |||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Syndicated Credit Facility | Nov. 2017 | $ | 3,000 | $ | 61 | $ | 2,939 | $ | 499 | ||||||||||||||||||
Letter of Credit Facility (d) | Mar. 2014 | 150 | n/a | 109 | 41 | n/a | 132 | ||||||||||||||||||||
Uncommitted Credit Facilities (e) | 175 | n/a | 51 | 124 | n/a | 40 | |||||||||||||||||||||
Total PPL Energy Supply Credit Facilities | $ | 3,325 | $ | 221 | $ | 3,104 | $ | 671 | |||||||||||||||||||
PPL Electric | |||||||||||||||||||||||||||
Syndicated Credit Facility | Oct. 2017 | $ | 300 | $ | 1 | $ | 299 | $ | 1 | ||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Syndicated Credit Facility | Nov. 2017 | $ | 500 | $ | 72 | $ | 428 | $ | 55 | ||||||||||||||||||
KU | |||||||||||||||||||||||||||
Syndicated Credit Facility | Nov. 2017 | $ | 400 | $ | 140 | $ | 260 | $ | 70 | ||||||||||||||||||
Letter of Credit Facility (f) | May-16 | 198 | 198 | 198 | |||||||||||||||||||||||
Total KU Credit Facilities | $ | 598 | $ | 338 | $ | 260 | $ | 268 | |||||||||||||||||||
(a) In December 2012, the PPL WW syndicated credit facility that was set to expire in January 2013 was replaced and the capacity was increased from £150 million. | |||||||||||||||||||||||||||
(b) PPL WW's amounts borrowed at September 30, 2013 and December 31, 2012 were USD-denominated borrowings of $166 million and $171 million, which equated to £106 million at the time of borrowings and bore interest at 1.89% and 0.85%. WPD (East Midlands) amount borrowed at September 30, 2013 was a GBP-denominated borrowing of £44 million, which equated to $68 million and bore interest at 1.30%. WPD (West Midlands) amount borrowed at September 30, 2013 was a GBP-denominated borrowing of £34 million, which equated to $53 million and bore interest at 1.30%. | |||||||||||||||||||||||||||
(c) At September 30, 2013, the USD equivalent of unused capacity under WPD's credit facilities was $1.5 billion. | |||||||||||||||||||||||||||
(d) In February 2013, PPL Energy Supply extended the expiration date from March 2013 and, effective April 2013, the capacity was reduced from $200 million. | |||||||||||||||||||||||||||
(e) In August 2013, the capacity was reduced from $200 million. | |||||||||||||||||||||||||||
(f) In May 2013, KU extended the letter of credit facility from April 2014. | |||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ' | ||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ||||||||||||||||||||||||||
Commercial paper | ' | ||||||||||||||||||||||||||
The following commercial paper programs were in place at: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Energy Supply | $ | 750 | $ | 750 | 0.50% | $ | 356 | ||||||||||||||||||||
PPL Electric | 300 | 300 | |||||||||||||||||||||||||
LG&E (a) | 0.28% | 350 | $ | 72 | 278 | 0.42% | 55 | ||||||||||||||||||||
KU (a) | 0.28% | 350 | 140 | 210 | 0.42% | 70 | |||||||||||||||||||||
Total | $ | 1,750 | $ | 212 | $ | 1,538 | $ | 481 | |||||||||||||||||||
Dividends/distributions paid to and capital contributions received from parent/member | ' | ||||||||||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
PPL Energy | |||||||||||||||||||||||||||
Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||||||||||||
Dividends/distributions paid to parent/member | $ | 408 | $ | 94 | $ | 116 | $ | 67 | $ | 83 | |||||||||||||||||
Capital contributions received from parent/member | 980 | 205 | 146 | 54 | 92 | ||||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ' | ||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ||||||||||||||||||||||||||
Commercial paper | ' | ||||||||||||||||||||||||||
The following commercial paper programs were in place at: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Energy Supply | $ | 750 | $ | 750 | 0.50% | $ | 356 | ||||||||||||||||||||
PPL Electric | 300 | 300 | |||||||||||||||||||||||||
LG&E (a) | 0.28% | 350 | $ | 72 | 278 | 0.42% | 55 | ||||||||||||||||||||
KU (a) | 0.28% | 350 | 140 | 210 | 0.42% | 70 | |||||||||||||||||||||
Total | $ | 1,750 | $ | 212 | $ | 1,538 | $ | 481 | |||||||||||||||||||
Dividends/distributions paid to and capital contributions received from parent/member | ' | ||||||||||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
PPL Energy | |||||||||||||||||||||||||||
Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||||||||||||
Dividends/distributions paid to parent/member | $ | 408 | $ | 94 | $ | 116 | $ | 67 | $ | 83 | |||||||||||||||||
Capital contributions received from parent/member | 980 | 205 | 146 | 54 | 92 | ||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ' | ||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ||||||||||||||||||||||||||
Dividends/distributions paid to and capital contributions received from parent/member | ' | ||||||||||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
PPL Energy | |||||||||||||||||||||||||||
Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||||||||||||
Dividends/distributions paid to parent/member | $ | 408 | $ | 94 | $ | 116 | $ | 67 | $ | 83 | |||||||||||||||||
Capital contributions received from parent/member | 980 | 205 | 146 | 54 | 92 | ||||||||||||||||||||||
Louisville Gas And Electric Co [Member] | ' | ||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ||||||||||||||||||||||||||
Commercial paper | ' | ||||||||||||||||||||||||||
The following commercial paper programs were in place at: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Energy Supply | $ | 750 | $ | 750 | 0.50% | $ | 356 | ||||||||||||||||||||
PPL Electric | 300 | 300 | |||||||||||||||||||||||||
LG&E (a) | 0.28% | 350 | $ | 72 | 278 | 0.42% | 55 | ||||||||||||||||||||
KU (a) | 0.28% | 350 | 140 | 210 | 0.42% | 70 | |||||||||||||||||||||
Total | $ | 1,750 | $ | 212 | $ | 1,538 | $ | 481 | |||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
Dividends/distributions paid to and capital contributions received from parent/member | ' | ||||||||||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
PPL Energy | |||||||||||||||||||||||||||
Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||||||||||||
Dividends/distributions paid to parent/member | $ | 408 | $ | 94 | $ | 116 | $ | 67 | $ | 83 | |||||||||||||||||
Capital contributions received from parent/member | 980 | 205 | 146 | 54 | 92 | ||||||||||||||||||||||
Kentucky Utilities Co [Member] | ' | ||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ||||||||||||||||||||||||||
Commercial paper | ' | ||||||||||||||||||||||||||
The following commercial paper programs were in place at: | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Weighted - | Commercial | Weighted - | Commercial | ||||||||||||||||||||||||
Average | Paper | Unused | Average | Paper | |||||||||||||||||||||||
Interest Rate | Capacity | Issuances | Capacity | Interest Rate | Issuances | ||||||||||||||||||||||
PPL Energy Supply | $ | 750 | $ | 750 | 0.50% | $ | 356 | ||||||||||||||||||||
PPL Electric | 300 | 300 | |||||||||||||||||||||||||
LG&E (a) | 0.28% | 350 | $ | 72 | 278 | 0.42% | 55 | ||||||||||||||||||||
KU (a) | 0.28% | 350 | 140 | 210 | 0.42% | 70 | |||||||||||||||||||||
Total | $ | 1,750 | $ | 212 | $ | 1,538 | $ | 481 | |||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
Dividends/distributions paid to and capital contributions received from parent/member | ' | ||||||||||||||||||||||||||
During the nine months ended September 30, 2013, the following distributions and capital contributions occurred: | |||||||||||||||||||||||||||
PPL Energy | |||||||||||||||||||||||||||
Supply | PPL Electric | LKE | LG&E | KU | |||||||||||||||||||||||
Dividends/distributions paid to parent/member | $ | 408 | $ | 94 | $ | 116 | $ | 67 | $ | 83 | |||||||||||||||||
Capital contributions received from parent/member | 980 | 205 | 146 | 54 | 92 |
Defined_Benefits_Tables
Defined Benefits (Tables) | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Defined Benefits [Line Items] | ' | ||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | ' | ||||||||||||||||||||||||||
Following are the net periodic defined benefit costs (credits) of the plans sponsored by PPL, PPL Energy Supply, LKE and LG&E for the periods ended September 30: | |||||||||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
U.S. | U.K. | U.S. | U.K. | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Service cost | $ | 31 | $ | 25 | $ | 18 | $ | 13 | $ | 94 | $ | 77 | $ | 52 | $ | 40 | |||||||||||
Interest cost | 53 | 55 | 79 | 85 | 160 | 165 | 238 | 254 | |||||||||||||||||||
Expected return on plan assets | -73 | -65 | -115 | -115 | -220 | -195 | -346 | -340 | |||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 6 | 6 | 1 | 17 | 18 | 3 | |||||||||||||||||||||
Actuarial (gain) loss | 20 | 11 | 37 | 19 | 60 | 32 | 112 | 59 | |||||||||||||||||||
Net periodic defined benefit | |||||||||||||||||||||||||||
costs (credits) | $ | 37 | $ | 32 | $ | 19 | $ | 3 | $ | 111 | $ | 97 | $ | 56 | $ | 16 | |||||||||||
Other Postretirement Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Service cost | $ | 4 | $ | 3 | $ | 11 | $ | 9 | |||||||||||||||||||
Interest cost | 7 | 7 | 21 | 23 | |||||||||||||||||||||||
Expected return on plan assets | -6 | -6 | -18 | -17 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Transition obligation | 1 | ||||||||||||||||||||||||||
Prior service cost | 1 | 1 | |||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 4 | 3 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 6 | $ | 6 | $ | 18 | $ | 20 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 2 | $ | 1 | $ | 4 | $ | 3 | |||||||||||||||||||
Interest cost | 2 | 3 | 6 | 7 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -1 | -4 | -3 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Transition obligation | 1 | ||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 2 | ||||||||||||||||||||||||
Actuarial (gain) loss | -1 | ||||||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 8 | $ | 9 | |||||||||||||||||||
PPL Energy Supply LLC [Member] | ' | ||||||||||||||||||||||||||
Defined Benefits [Line Items] | ' | ||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | ' | ||||||||||||||||||||||||||
Following are the net periodic defined benefit costs (credits) of the plans sponsored by PPL, PPL Energy Supply, LKE and LG&E for the periods ended September 30: | |||||||||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 5 | $ | 4 | |||||||||||||||||||
Interest cost | 2 | 2 | 6 | 6 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -2 | -7 | -7 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 2 | $ | 2 | $ | 6 | $ | 5 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 6 | $ | 5 | $ | 19 | $ | 16 | |||||||||||||||||||
Interest cost | 16 | 16 | 47 | 48 | |||||||||||||||||||||||
Expected return on plan assets | -20 | -17 | -61 | -52 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 3 | 4 | |||||||||||||||||||||||
Actuarial (gain) loss | 8 | 5 | 25 | 16 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 11 | $ | 11 | $ | 33 | $ | 32 | |||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 2 | $ | 1 | |||||||||||||||||||||
Interest cost | 3 | $ | 4 | 10 | 11 | ||||||||||||||||||||||
Expected return on plan assets | -5 | -5 | -15 | -14 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Actuarial (gain) loss | 3 | 3 | 10 | 8 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 9 | $ | 8 | |||||||||||||||||||
Allocation of Net Periodic Benefit Costs | ' | ||||||||||||||||||||||||||
For the periods ended September 30, PPL Services allocated the following net periodic defined benefit costs to PPL Energy Supply subsidiaries and PPL Electric, and LKE allocated the following net periodic defined benefit costs to LG&E and KU. | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | $ | 11 | $ | 10 | $ | 34 | $ | 29 | |||||||||||||||||||
PPL Electric | 9 | 8 | 27 | 23 | |||||||||||||||||||||||
LG&E | 3 | 3 | 9 | 9 | |||||||||||||||||||||||
KU | 4 | 4 | 13 | 13 | |||||||||||||||||||||||
PPL Electric Utilities Corp [Member] | ' | ||||||||||||||||||||||||||
Defined Benefits [Line Items] | ' | ||||||||||||||||||||||||||
Allocation of Net Periodic Benefit Costs | ' | ||||||||||||||||||||||||||
For the periods ended September 30, PPL Services allocated the following net periodic defined benefit costs to PPL Energy Supply subsidiaries and PPL Electric, and LKE allocated the following net periodic defined benefit costs to LG&E and KU. | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | $ | 11 | $ | 10 | $ | 34 | $ | 29 | |||||||||||||||||||
PPL Electric | 9 | 8 | 27 | 23 | |||||||||||||||||||||||
LG&E | 3 | 3 | 9 | 9 | |||||||||||||||||||||||
KU | 4 | 4 | 13 | 13 | |||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ' | ||||||||||||||||||||||||||
Defined Benefits [Line Items] | ' | ||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | ' | ||||||||||||||||||||||||||
Following are the net periodic defined benefit costs (credits) of the plans sponsored by PPL, PPL Energy Supply, LKE and LG&E for the periods ended September 30: | |||||||||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 5 | $ | 4 | |||||||||||||||||||
Interest cost | 2 | 2 | 6 | 6 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -2 | -7 | -7 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 2 | $ | 2 | $ | 6 | $ | 5 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 6 | $ | 5 | $ | 19 | $ | 16 | |||||||||||||||||||
Interest cost | 16 | 16 | 47 | 48 | |||||||||||||||||||||||
Expected return on plan assets | -20 | -17 | -61 | -52 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 3 | 4 | |||||||||||||||||||||||
Actuarial (gain) loss | 8 | 5 | 25 | 16 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 11 | $ | 11 | $ | 33 | $ | 32 | |||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 2 | $ | 1 | |||||||||||||||||||||
Interest cost | 3 | $ | 4 | 10 | 11 | ||||||||||||||||||||||
Expected return on plan assets | -5 | -5 | -15 | -14 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Actuarial (gain) loss | 3 | 3 | 10 | 8 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 9 | $ | 8 | |||||||||||||||||||
Other Postretirement Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL | |||||||||||||||||||||||||||
Service cost | $ | 4 | $ | 3 | $ | 11 | $ | 9 | |||||||||||||||||||
Interest cost | 7 | 7 | 21 | 23 | |||||||||||||||||||||||
Expected return on plan assets | -6 | -6 | -18 | -17 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Transition obligation | 1 | ||||||||||||||||||||||||||
Prior service cost | 1 | 1 | |||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 4 | 3 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 6 | $ | 6 | $ | 18 | $ | 20 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 2 | $ | 1 | $ | 4 | $ | 3 | |||||||||||||||||||
Interest cost | 2 | 3 | 6 | 7 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -1 | -4 | -3 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Transition obligation | 1 | ||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 2 | ||||||||||||||||||||||||
Actuarial (gain) loss | -1 | ||||||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 8 | $ | 9 | |||||||||||||||||||
Louisville Gas And Electric Co [Member] | ' | ||||||||||||||||||||||||||
Defined Benefits [Line Items] | ' | ||||||||||||||||||||||||||
Schedule Of Net Periodic Defined Benefit Costs (Credits) | ' | ||||||||||||||||||||||||||
Following are the net periodic defined benefit costs (credits) of the plans sponsored by PPL, PPL Energy Supply, LKE and LG&E for the periods ended September 30: | |||||||||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 5 | $ | 4 | |||||||||||||||||||
Interest cost | 2 | 2 | 6 | 6 | |||||||||||||||||||||||
Expected return on plan assets | -2 | -2 | -7 | -7 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Actuarial (gain) loss | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 2 | $ | 2 | $ | 6 | $ | 5 | |||||||||||||||||||
LKE | |||||||||||||||||||||||||||
Service cost | $ | 6 | $ | 5 | $ | 19 | $ | 16 | |||||||||||||||||||
Interest cost | 16 | 16 | 47 | 48 | |||||||||||||||||||||||
Expected return on plan assets | -20 | -17 | -61 | -52 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 2 | 3 | 4 | |||||||||||||||||||||||
Actuarial (gain) loss | 8 | 5 | 25 | 16 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 11 | $ | 11 | $ | 33 | $ | 32 | |||||||||||||||||||
LG&E | |||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 2 | $ | 1 | |||||||||||||||||||||
Interest cost | 3 | $ | 4 | 10 | 11 | ||||||||||||||||||||||
Expected return on plan assets | -5 | -5 | -15 | -14 | |||||||||||||||||||||||
Amortization of: | |||||||||||||||||||||||||||
Prior service cost | 1 | 1 | 2 | 2 | |||||||||||||||||||||||
Actuarial (gain) loss | 3 | 3 | 10 | 8 | |||||||||||||||||||||||
Net periodic defined benefit costs (credits) | $ | 3 | $ | 3 | $ | 9 | $ | 8 | |||||||||||||||||||
Allocation of Net Periodic Benefit Costs | ' | ||||||||||||||||||||||||||
For the periods ended September 30, PPL Services allocated the following net periodic defined benefit costs to PPL Energy Supply subsidiaries and PPL Electric, and LKE allocated the following net periodic defined benefit costs to LG&E and KU. | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | $ | 11 | $ | 10 | $ | 34 | $ | 29 | |||||||||||||||||||
PPL Electric | 9 | 8 | 27 | 23 | |||||||||||||||||||||||
LG&E | 3 | 3 | 9 | 9 | |||||||||||||||||||||||
KU | 4 | 4 | 13 | 13 | |||||||||||||||||||||||
Kentucky Utilities Co [Member] | ' | ||||||||||||||||||||||||||
Defined Benefits [Line Items] | ' | ||||||||||||||||||||||||||
Allocation of Net Periodic Benefit Costs | ' | ||||||||||||||||||||||||||
For the periods ended September 30, PPL Services allocated the following net periodic defined benefit costs to PPL Energy Supply subsidiaries and PPL Electric, and LKE allocated the following net periodic defined benefit costs to LG&E and KU. | |||||||||||||||||||||||||||
Three Months | Nine Months | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
PPL Energy Supply | $ | 11 | $ | 10 | $ | 34 | $ | 29 | |||||||||||||||||||
PPL Electric | 9 | 8 | 27 | 23 | |||||||||||||||||||||||
LG&E | 3 | 3 | 9 | 9 | |||||||||||||||||||||||
KU | 4 | 4 | 13 | 13 |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 9 Months Ended | ||||||
Sep. 30, 2013 | |||||||
Commitments and Contingencies [Abstract] | ' | ||||||
Guarantees | ' | ||||||
The table below details guarantees provided at September 30, 2013. | |||||||
Exposure at | Expiration | ||||||
September 30, 2013 (a) | Date | ||||||
PPL | |||||||
Indemnifications related to the WPD Midlands acquisition | (b) | ||||||
WPD indemnifications for entities in liquidation and sales of assets | $ | 11 | (c) | 2018 | |||
WPD guarantee of pension and other obligations of unconsolidated entities | 125 | (d) | 2015 | ||||
PPL Energy Supply | |||||||
Letters of credit issued on behalf of affiliates | 23 | (e) | 2013 - 2014 | ||||
Retrospective premiums under nuclear insurance programs | 46 | (f) | |||||
Nuclear claims assessment under The Price-Anderson Act as amended | 235 | (g) | |||||
Indemnifications for sales of assets | 250 | (h) | 2025 | ||||
Indemnification to operators of jointly owned facilities | 6 | (i) | |||||
Guarantee of a portion of a divested unconsolidated entity's debt | 22 | (j) | 2018 | ||||
PPL Electric | |||||||
Guarantee of inventory value | 32 | (k) | 2017 | ||||
LKE | |||||||
Indemnification of lease termination and other divestitures | 301 | (l) | 2021 - 2023 | ||||
LG&E and KU | |||||||
LG&E and KU guarantee of shortfall related to OVEC | (m) | ||||||
(a) Represents the estimated maximum potential amount of future payments that could be required to be made under the guarantee. | |||||||
(b) Prior to PPL's acquisition, WPD Midlands Holdings Limited had agreed to indemnify certain former directors of a Turkish entity, in which WPD Midlands Holdings Limited previously owned an interest, for any liabilities that may arise as a result of an investigation by Turkish tax authorities, and PPL WEM has received a cross-indemnity from E.ON AG with respect to these indemnification obligations. Additionally, PPL subsidiaries agreed to provide indemnifications to subsidiaries of E.ON AG for certain liabilities relating to properties and assets owned by affiliates of E.ON AG that were transferred to WPD Midlands in connection with the acquisition. 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. | |||||||
(c) In connection with the liquidation of wholly owned subsidiaries that have been deconsolidated upon turning the entities over to the liquidators, certain affiliates of PPL Global have agreed to indemnify the liquidators, directors and/or the entities themselves for any liabilities or expenses arising during the liquidation process, including liabilities and expenses of the entities placed into liquidation. In some cases, the indemnifications are limited to a maximum amount that is based on distributions made from the subsidiary to its parent either prior or subsequent to being placed into liquidation. In other cases, the maximum amount of the indemnifications is 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 in which the agreements provide for a specific limit on the amount of the indemnification, and the expiration date was based on an estimate of the dissolution date of the entities. | |||||||
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. In addition, in connection with certain of these sales, WPD and its affiliates 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. | |||||||
(d) As a result of the privatization of the utility industry in the U.K., certain electric associations' roles and responsibilities were discontinued or modified. As a result, certain obligations, primarily pension-related, associated with these organizations have been guaranteed by the participating members. Costs are allocated to the members based on predetermined percentages as outlined in specific agreements. However, if a member becomes insolvent, costs can be reallocated to and are guaranteed by the remaining members. At September 30, 2013, WPD has recorded an estimated discounted liability based on its current allocated percentage of the total expected costs 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. Therefore, they have been estimated based on the types of obligations. | |||||||
(e) 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. | |||||||
(f) PPL Susquehanna is contingently obligated to pay this amount related to potential retrospective premiums that could be assessed under its nuclear insurance programs. See "Nuclear Insurance" above for additional information. | |||||||
(g) This is the maximum amount PPL Susquehanna could be assessed for each incident at any of the nuclear reactors covered by this Act. See "Nuclear Insurance" above for additional information. | |||||||
(h) PPL Energy Supply's maximum exposure with respect to certain indemnifications and the expiration of the indemnifications cannot be estimated because, in the case of certain indemnification provisions, 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 dates noted are only for those cases in which the agreements provide for specific limits. The indemnification provisions described below are in each case subject to certain customary limitations, including thresholds for allowable claims, caps on aggregate liability, and time limitations for claims arising out of breaches of most representations and warranties. | |||||||
A subsidiary of PPL Energy Supply has agreed to provide indemnification to the purchaser of the Long Island generation business for damages arising out of any breach of the representations, warranties and covenants under the related transaction agreement and for damages arising out of certain other matters, including liabilities relating to certain renewable energy facilities which were previously owned by one of the PPL subsidiaries sold in the transaction but which were unrelated to the Long Island generation business. The indemnification provisions for most representations and warranties expired in the third quarter of 2011. | |||||||
A subsidiary of PPL Energy Supply has agreed to provide indemnification to the purchasers of the Maine hydroelectric facilities for damages arising out of any breach of the representations, warranties and covenants under the respective transaction agreements and for damages arising out of certain other matters, including liabilities of the PPL Energy Supply subsidiary relating to the pre-closing ownership or operation of those hydroelectric facilities. The indemnification provisions for most representations and warranties expired in the fourth quarter of 2012. | |||||||
Subsidiaries of PPL Energy Supply have agreed to provide indemnification to the purchasers of certain non-core generation facilities sold in March 2011 for damages arising out of any breach of the representations, warranties and covenants under the related transaction agreements and for damages arising out of certain other matters relating to the facilities that were the subject of the transaction, including certain reduced capacity payments (if any) at one of the facilities in the event specified PJM rule changes are proposed and become effective. The indemnification provisions for most representations and warranties expired in the first quarter of 2012. | |||||||
(i) In December 2007, a subsidiary of PPL Energy Supply executed revised owners agreements for two jointly owned facilities, the Keystone and Conemaugh generating plants. The agreements require that in the event of any default by an owner, the other owners fund contributions for the operation of the generating plants, based upon their ownership percentages. The non-defaulting owners, who make up the defaulting owner's obligations, are entitled to the generation entitlement of the defaulting owner, based upon their ownership percentage. The exposure shown reflects the PPL Energy Supply subsidiary's share of the maximum obligation. The agreements do not have an expiration date. | |||||||
(j) A PPL Energy Supply subsidiary owned a one-third equity interest in Safe Harbor Water Power Corporation (Safe Harbor) that was sold in March 2011. Beginning in 2008, PPL Energy Supply guaranteed one-third of any amounts payable with respect to certain senior notes issued by Safe Harbor. Under the terms of the sale agreement, PPL Energy Supply continues to guarantee the portion of Safe Harbor's debt, but received a cross-indemnity from the purchaser, secured by a lien on the purchaser's stock of Safe Harbor, in the event PPL Energy Supply is required to make a payment under the guarantee. The exposure noted reflects principal only. | |||||||
(k) PPL Electric entered into contracts with a third party logistics firm that provides inventory procurement and fulfillment services. Under the contracts, the logistics firm has title to the inventory purchased for PPL Electric's use. Upon termination of the contracts, PPL Electric has guaranteed to purchase any remaining inventory that has not been used or sold by the logistics firm at the weighted-average cost at which the logistics firm purchased the inventory. | |||||||
(l) 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 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. LKE has contested the applicability of the indemnification requirement relating to one matter presented by a counterparty under this guarantee. Another guarantee with a maximum exposure of $100 million covering other indemnifications expires in 2023. In May 2012, LKE's indemnitee received an arbitration panel's decision affecting 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 the December 2012 order of the Henderson Circuit Court, confirming the arbitration award. A decision in the appellate matter may occur during late 2013 or early 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. 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; however, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. In the second quarter of 2012, LKE adjusted its estimated liability for certain of these 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. LKE cannot predict the ultimate outcomes of such indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | |||||||
(m) Pursuant to the OVEC power purchase contract, expiring in June 2040, LG&E and KU are obligated to pay a demand charge which includes, among other charges, debt service and amortization toward principal retirement, decommissioning costs, post-retirement and post-employment benefits costs (other than pensions), and reimbursement of plant operating, maintenance and other expenses. The demand charge is expected to cover LG&E's and KU's shares of the cost of the listed items over the term of the contract. However, in the event there is a shortfall in covering these costs, LG&E and KU are obligated to pay their share of the excess debt service, post-retirement and decommissioning costs. The maximum exposure and the expiration date of these potential obligations are not presently determinable. |
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
PPL Energy Supply LLC [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Intercompany Service Cost Allocations | ' | ||||||||||||
PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
PPL Electric Utilities Corp [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Intercompany Service Cost Allocations | ' | ||||||||||||
PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
LG And E And KU Energy LLC [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Intercompany Service Cost Allocations | ' | ||||||||||||
PPL Services charged the following amounts for the periods ended September 30, which PPL management believes are reasonable, including amounts applied to accounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
PPL Energy Supply | $ | 52 | $ | 49 | $ | 161 | $ | 159 | |||||
PPL Electric | 37 | 35 | 109 | 116 | |||||||||
LKE | 3 | 3 | 11 | 11 | |||||||||
Louisville Gas And Electric Co [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Intercompany Billings | ' | ||||||||||||
LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 | |||||||||
Kentucky Utilities Co [Member] | ' | ||||||||||||
Related Party Transactions [Line Items] | ' | ||||||||||||
Intercompany Billings | ' | ||||||||||||
LKS charged the amounts in the table below for the periods ended September 30, which LKE management believes are reasonable, including amounts that are further distributed between capital and expense: | |||||||||||||
Three Months | Nine Months | ||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
LG&E | $ | 53 | $ | 51 | $ | 159 | $ | 132 | |||||
KU | 36 | 33 | 146 | 114 |
Other_Income_Expense_net_Table
Other Income (Expense) - net (Tables) | 9 Months Ended | ||||||||||||||
Sep. 30, 2013 | |||||||||||||||
Other Income (Expense) Net [Line Items] | ' | ||||||||||||||
Other Income (Expense) - net | ' | ||||||||||||||
The breakdown of "Other Income (Expense) - net" for the periods ended September 30 was: | |||||||||||||||
Three Months | Nine Months | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
PPL | |||||||||||||||
Other Income | |||||||||||||||
Earnings on securities in NDT funds | $ | 4 | $ | 5 | $ | 14 | $ | 17 | |||||||
Interest income | 1 | 1 | 2 | 4 | |||||||||||
AFUDC - equity component | 3 | 2 | 8 | 7 | |||||||||||
Earnings (losses) from equity method investments | -1 | -7 | |||||||||||||
Miscellaneous - Domestic | 3 | 9 | 8 | ||||||||||||
Miscellaneous - U.K. | -1 | 1 | 1 | ||||||||||||
Total Other Income | 8 | 9 | 34 | 30 | |||||||||||
Other Expense | |||||||||||||||
Economic foreign currency exchange contracts (Note 14) | 117 | 47 | -6 | 40 | |||||||||||
Charitable contributions | 5 | 1 | 13 | 7 | |||||||||||
Miscellaneous - Domestic | 2 | 4 | 7 | 12 | |||||||||||
Miscellaneous - U.K. | 1 | 1 | 2 | ||||||||||||
Total Other Expense | 124 | 53 | 15 | 61 | |||||||||||
Other Income (Expense) - net | $ | -116 | $ | -44 | $ | 19 | $ | -31 | |||||||
PPL Energy Supply | |||||||||||||||
Other Income | |||||||||||||||
Earnings on securities in NDT funds | $ | 4 | $ | 5 | $ | 14 | $ | 17 | |||||||
Interest income | 1 | 3 | 1 | ||||||||||||
Miscellaneous | 2 | 7 | 5 | ||||||||||||
Total Other Income | 5 | 7 | 24 | 23 | |||||||||||
Other Expense | |||||||||||||||
Charitable contributions | 1 | 1 | 3 | 2 | |||||||||||
Miscellaneous | 2 | 1 | 3 | 5 | |||||||||||
Total Other Expense | 3 | 2 | 6 | 7 | |||||||||||
Other Income (Expense) - net | $ | 2 | $ | 5 | $ | 18 | $ | 16 | |||||||
PPL Energy Supply LLC [Member] | ' | ||||||||||||||
Other Income (Expense) Net [Line Items] | ' | ||||||||||||||
Other Income (Expense) - net | ' | ||||||||||||||
The breakdown of "Other Income (Expense) - net" for the periods ended September 30 was: | |||||||||||||||
Three Months | Nine Months | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
PPL | |||||||||||||||
Other Income | |||||||||||||||
Earnings on securities in NDT funds | $ | 4 | $ | 5 | $ | 14 | $ | 17 | |||||||
Interest income | 1 | 1 | 2 | 4 | |||||||||||
AFUDC - equity component | 3 | 2 | 8 | 7 | |||||||||||
Earnings (losses) from equity method investments | -1 | -7 | |||||||||||||
Miscellaneous - Domestic | 3 | 9 | 8 | ||||||||||||
Miscellaneous - U.K. | -1 | 1 | 1 | ||||||||||||
Total Other Income | 8 | 9 | 34 | 30 | |||||||||||
Other Expense | |||||||||||||||
Economic foreign currency exchange contracts (Note 14) | 117 | 47 | -6 | 40 | |||||||||||
Charitable contributions | 5 | 1 | 13 | 7 | |||||||||||
Miscellaneous - Domestic | 2 | 4 | 7 | 12 | |||||||||||
Miscellaneous - U.K. | 1 | 1 | 2 | ||||||||||||
Total Other Expense | 124 | 53 | 15 | 61 | |||||||||||
Other Income (Expense) - net | $ | -116 | $ | -44 | $ | 19 | $ | -31 | |||||||
PPL Energy Supply | |||||||||||||||
Other Income | |||||||||||||||
Earnings on securities in NDT funds | $ | 4 | $ | 5 | $ | 14 | $ | 17 | |||||||
Interest income | 1 | 3 | 1 | ||||||||||||
Miscellaneous | 2 | 7 | 5 | ||||||||||||
Total Other Income | 5 | 7 | 24 | 23 | |||||||||||
Other Expense | |||||||||||||||
Charitable contributions | 1 | 1 | 3 | 2 | |||||||||||
Miscellaneous | 2 | 1 | 3 | 5 | |||||||||||
Total Other Expense | 3 | 2 | 6 | 7 | |||||||||||
Other Income (Expense) - net | $ | 2 | $ | 5 | $ | 18 | $ | 16 |
Fair_Value_Measurements_and_Cr2
Fair Value Measurements and Credit Concentration (Tables) | 9 Months Ended | |||||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements and Credit Concentration [Line Items] | ' | |||||||||||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Recurring Basis | ' | |||||||||||||||||||||||||||||||||||||
The assets and liabilities measured at fair value were: | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 1,291 | $ | 1,291 | $ | 901 | $ | 901 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (a) | 120 | 120 | 135 | 135 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | 1,480 | 7 | $ | 1,421 | $ | 52 | 2,068 | 2 | $ | 2,037 | $ | 29 | ||||||||||||||||||||||||||
Interest rate swaps | 86 | 86 | 15 | 15 | ||||||||||||||||||||||||||||||||||
Foreign currency contracts | 1 | 1 | ||||||||||||||||||||||||||||||||||||
Cross-currency swaps | 28 | 28 | 14 | 13 | 1 | |||||||||||||||||||||||||||||||||
Total price risk management assets | 1,595 | 7 | 1,536 | 52 | 2,097 | 2 | 2,065 | 30 | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 14 | 14 | 11 | 11 | ||||||||||||||||||||||||||||||||||
Equity securities | ||||||||||||||||||||||||||||||||||||||
U.S. large-cap | 494 | 369 | 125 | 412 | 308 | 104 | ||||||||||||||||||||||||||||||||
U.S. mid/small-cap | 74 | 30 | 44 | 60 | 25 | 35 | ||||||||||||||||||||||||||||||||
Debt securities | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury | 96 | 96 | 95 | 95 | ||||||||||||||||||||||||||||||||||
U.S. government sponsored agency | 6 | 6 | 9 | 9 | ||||||||||||||||||||||||||||||||||
Municipality | 75 | 75 | 82 | 82 | ||||||||||||||||||||||||||||||||||
Investment-grade corporate | 40 | 40 | 40 | 40 | ||||||||||||||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | -2 | 2 | ||||||||||||||||||||||||||||||||||
Total NDT funds | 804 | 509 | 295 | 712 | 437 | 275 | ||||||||||||||||||||||||||||||||
Auction rate securities (b) | 19 | 19 | 19 | 3 | 16 | |||||||||||||||||||||||||||||||||
Total assets | $ | 3,829 | $ | 1,927 | $ | 1,831 | $ | 71 | $ | 3,864 | $ | 1,475 | $ | 2,343 | $ | 46 | ||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | $ | 1,235 | $ | 4 | $ | 1,226 | $ | 5 | $ | 1,566 | $ | 2 | $ | 1,557 | $ | 7 | ||||||||||||||||||||||
Interest rate swaps | 58 | 58 | 80 | 80 | ||||||||||||||||||||||||||||||||||
Foreign currency contracts | 67 | 67 | 44 | 44 | ||||||||||||||||||||||||||||||||||
Cross-currency swaps | 1 | 1 | 4 | 4 | ||||||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 1,361 | $ | 4 | $ | 1,352 | $ | 5 | $ | 1,694 | $ | 2 | $ | 1,685 | $ | 7 | ||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 551 | $ | 551 | $ | 413 | $ | 413 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (a) | 54 | 54 | 63 | 63 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | 1,480 | 7 | $ | 1,421 | $ | 52 | 2,068 | 2 | $ | 2,037 | $ | 29 | ||||||||||||||||||||||||||
Total price risk management assets | 1,480 | 7 | 1,421 | 52 | 2,068 | 2 | 2,037 | 29 | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 14 | 14 | 11 | 11 | ||||||||||||||||||||||||||||||||||
Equity securities | ||||||||||||||||||||||||||||||||||||||
U.S. large-cap | 494 | 369 | 125 | 412 | 308 | 104 | ||||||||||||||||||||||||||||||||
U.S. mid/small-cap | 74 | 30 | 44 | 60 | 25 | 35 | ||||||||||||||||||||||||||||||||
Debt securities | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury | 96 | 96 | 95 | 95 | ||||||||||||||||||||||||||||||||||
U.S. government sponsored agency | 6 | 6 | 9 | 9 | ||||||||||||||||||||||||||||||||||
Municipality | 75 | 75 | 82 | 82 | ||||||||||||||||||||||||||||||||||
Investment-grade corporate | 40 | 40 | 40 | 40 | ||||||||||||||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||||||||||
Receivables (payables), net | 2 | 2 | -2 | 2 | ||||||||||||||||||||||||||||||||||
Total NDT funds | 804 | 509 | 295 | 712 | 437 | 275 | ||||||||||||||||||||||||||||||||
Auction rate securities (b) | 16 | 16 | 16 | 3 | 13 | |||||||||||||||||||||||||||||||||
Total assets | $ | 2,905 | $ | 1,121 | $ | 1,716 | $ | 68 | $ | 3,272 | $ | 915 | $ | 2,315 | $ | 42 | ||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Energy commodities | $ | 1,235 | $ | 4 | $ | 1,226 | $ | 5 | $ | 1,566 | $ | 2 | $ | 1,557 | $ | 7 | ||||||||||||||||||||||
Total price risk management liabilities | $ | 1,235 | $ | 4 | $ | 1,226 | $ | 5 | $ | 1,566 | $ | 2 | $ | 1,557 | $ | 7 | ||||||||||||||||||||||
PPL Electric | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 225 | $ | 225 | $ | 140 | $ | 140 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (c) | 12 | 12 | 13 | 13 | ||||||||||||||||||||||||||||||||||
Total assets | $ | 237 | $ | 237 | $ | 153 | $ | 153 | ||||||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 21 | $ | 21 | $ | 43 | $ | 43 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (d) | 22 | 22 | 32 | 32 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | 14 | $ | 14 | |||||||||||||||||||||||||||||||||||
Total price risk management assets | 14 | 14 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 43 | $ | 43 | $ | 89 | $ | 75 | $ | 14 | ||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 55 | $ | 55 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 55 | $ | 55 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 12 | $ | 12 | $ | 22 | $ | 22 | ||||||||||||||||||||||||||||||
Restricted cash and cash equivalents (d) | 22 | 22 | 32 | 32 | ||||||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | 7 | $ | 7 | |||||||||||||||||||||||||||||||||||
Total price risk management assets | 7 | 7 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 34 | $ | 34 | $ | 61 | $ | 54 | $ | 7 | ||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 48 | $ | 48 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 48 | $ | 48 | $ | 58 | $ | 58 | ||||||||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 9 | $ | 9 | $ | 21 | $ | 21 | ||||||||||||||||||||||||||||||
Price risk management assets: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | 7 | $ | 7 | |||||||||||||||||||||||||||||||||||
Total price risk management assets | 7 | 7 | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 9 | $ | 9 | $ | 28 | $ | 21 | $ | 7 | ||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||
Price risk management liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest rate swaps | $ | 7 | $ | 7 | ||||||||||||||||||||||||||||||||||
Total price risk management liabilities | $ | 7 | $ | 7 | ||||||||||||||||||||||||||||||||||
(a) Current portion is included in "Restricted cash and cash equivalents" and the 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 the long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | ||||||||||||||||||||||||||||||||||||||
(d) Included in "Other noncurrent assets" on the Balance Sheets. | ||||||||||||||||||||||||||||||||||||||
Reconciliation of Net Assets and Liabilities Classified as Level 3 | ' | |||||||||||||||||||||||||||||||||||||
A reconciliation of net assets and liabilities classified as Level 3 for the periods ended September 30, 2013 is as follows: | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||||||||||
Energy | Auction | Cross- | Energy | Auction | Cross- | |||||||||||||||||||||||||||||||||
Commodities, | Rate | Currency | Commodities, | Rate | Currency | |||||||||||||||||||||||||||||||||
net | Securities | Swaps | Total | net | Securities | Swaps | Total | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 40 | $ | 19 | $ | 3 | $ | 62 | $ | 22 | $ | 16 | $ | 1 | $ | 39 | ||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | 18 | 18 | 23 | 23 | ||||||||||||||||||||||||||||||||||
Included in OCI (a) | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Sales | -2 | -2 | ||||||||||||||||||||||||||||||||||||
Settlements | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -7 | -7 | 1 | 3 | 3 | 7 | ||||||||||||||||||||||||||||||||
Transfers out of Level 3 | -2 | -1 | -3 | 2 | -5 | -3 | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | 47 | $ | 19 | $ | $ | 66 | $ | 47 | $ | 19 | $ | $ | 66 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 40 | $ | 16 | $ | 56 | $ | 22 | $ | 13 | $ | 35 | ||||||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | 18 | 18 | 23 | 23 | ||||||||||||||||||||||||||||||||||
Sales | -2 | -2 | ||||||||||||||||||||||||||||||||||||
Settlements | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -7 | -7 | 1 | 3 | 4 | |||||||||||||||||||||||||||||||||
Transfers out of Level 3 | -2 | -2 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Balance at end of period | $ | 47 | $ | 16 | $ | 63 | $ | 47 | $ | 16 | $ | 63 | ||||||||||||||||||||||||||
(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 periods ended September 30, 2012 is as follows: | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||||||||||
Energy | Auction | Cross- | Energy | Auction | Cross- | |||||||||||||||||||||||||||||||||
Commodities, | Rate | Currency | Commodities, | Rate | Currency | |||||||||||||||||||||||||||||||||
net | Securities | Swaps | Total | net | Securities | Swaps | Total | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 34 | $ | 15 | $ | 10 | $ | 59 | $ | 13 | $ | 24 | $ | 4 | $ | 41 | ||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | -17 | -17 | -1 | -1 | -2 | |||||||||||||||||||||||||||||||||
Included in OCI (a) | 1 | -8 | -7 | 1 | 2 | 3 | ||||||||||||||||||||||||||||||||
Sales | -5 | -5 | ||||||||||||||||||||||||||||||||||||
Settlements | 2 | 2 | -9 | -9 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -2 | -2 | 12 | 12 | ||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 8 | 8 | 9 | -3 | -3 | 3 | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | 25 | $ | 16 | $ | 2 | $ | 43 | $ | 25 | $ | 16 | $ | 2 | $ | 43 | ||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 34 | $ | 12 | $ | 46 | $ | 13 | $ | 19 | $ | 32 | ||||||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | -17 | -17 | -1 | -1 | ||||||||||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Sales | -3 | -3 | ||||||||||||||||||||||||||||||||||||
Settlements | 2 | 2 | -9 | -9 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -2 | -2 | 12 | 12 | ||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 8 | 8 | 9 | -3 | 6 | |||||||||||||||||||||||||||||||||
Balance at end of period | $ | 25 | $ | 13 | $ | 38 | $ | 25 | $ | 13 | $ | 38 | ||||||||||||||||||||||||||
(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: | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||
Fair Value, net | Range | |||||||||||||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | |||||||||||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 35 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 13% - 100% (80%) | |||||||||||||||||||||||||||||||||
Heat rate call options (d) | 9 | Discounted cash flow | Implied correlation, implied volatility, and market implied heat rate | 33% - 60% (58%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 19 | Discounted cash flow | Modeled from SIFMA Index | 12% - 80% (64%) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 35 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 13% - 100% (80%) | |||||||||||||||||||||||||||||||||
Heat rate call options (d) | 9 | Discounted cash flow | Implied correlation, implied volatility, and market implied heat rate | 33% - 60% (58%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 16 | Discounted cash flow | Modeled from SIFMA Index | 12% - 80% (63%) | ||||||||||||||||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||||||||||||||
Fair Value, net | Range | |||||||||||||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | |||||||||||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 24 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 21% - 100% (75%) | |||||||||||||||||||||||||||||||||
Power sales contracts (c) | -4 | Discounted cash flow | Proprietary model used to calculate forward basis prices | 24% (24%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 2 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 16 | Discounted cash flow | Modeled from SIFMA Index | 54% - 74% (64%) | ||||||||||||||||||||||||||||||||||
Cross-currency swaps (f) | 1 | Discounted cash flow | Credit valuation adjustment | 22% (22%) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 24 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 21% - 100% (75%) | |||||||||||||||||||||||||||||||||
Power sales contracts (c) | -4 | Discounted cash flow | Proprietary model used to calculate forward basis prices | 24% (24%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 2 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 13 | Discounted cash flow | Modeled from SIFMA Index | 57% - 74% (65%) | ||||||||||||||||||||||||||||||||||
(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 decrease in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | ||||||||||||||||||||||||||||||||||||||
(b) At September 30, 2013, retail natural gas sales contracts extend through 2019, and $14 million of the fair value is scheduled to deliver within the next 12 months. As the forward price of natural gas increases/(decreases), the fair value of the contracts (decreases)/increases. | ||||||||||||||||||||||||||||||||||||||
(c) As the forward price of basis increases/(decreases), the fair value of the contracts (decreases)/increases. | ||||||||||||||||||||||||||||||||||||||
(d) At September 30, 2013, heat rate call options extend through 2020, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the implied correlation in heat rate call options increases/(decreases), the fair value of the heat rate call options (decreases)/increases, as all implied volatilities in heat rate call options increase/(decrease), the fair value of the heat rate call options increases/(decreases), and as the market implied heat rate increases/(decreases), the fair value of the heat rate call options increases/(decreases). | ||||||||||||||||||||||||||||||||||||||
(e) At September 30, 2013, auction rate securities have a weighted average contractual maturity of 22 years. 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). | ||||||||||||||||||||||||||||||||||||||
(f) 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. | ||||||||||||||||||||||||||||||||||||||
(g) At September 30, 2013, FTR purchase contracts extend through 2015, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | ||||||||||||||||||||||||||||||||||||||
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 periods ended September 30 are reported in the Statements of Income as follows: | ||||||||||||||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||||||||||||||
Energy Commodities, net | ||||||||||||||||||||||||||||||||||||||
Unregulated | Wholesale | |||||||||||||||||||||||||||||||||||||
Retail | Energy | Net Energy | Energy | |||||||||||||||||||||||||||||||||||
Electric and Gas | Marketing | Trading Margins | Fuel | Purchases | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included in earnings | $ | 3 | $ | -3 | $ | -8 | $ | -4 | $ | 11 | $ | -8 | $ | 3 | $ | 9 | $ | -2 | ||||||||||||||||||||
Change in unrealized gains (losses) relating | ||||||||||||||||||||||||||||||||||||||
to positions still held at the reporting date | 3 | -2 | -1 | 17 | 2 | |||||||||||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||||||||||||||
Cross-Currency | ||||||||||||||||||||||||||||||||||||||
Energy Commodities, net | Swaps | |||||||||||||||||||||||||||||||||||||
Unregulated | Wholesale | |||||||||||||||||||||||||||||||||||||
Retail | Energy | Net Energy | Energy | |||||||||||||||||||||||||||||||||||
Electric and Gas | Marketing | Trading Margins | Fuel | Purchases | Interest Expense | |||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included | ||||||||||||||||||||||||||||||||||||||
in earnings | $ | 18 | $ | 16 | $ | -15 | $ | -7 | $ | 8 | $ | -9 | $ | 3 | $ | 9 | $ | -1 | $ | -1 | ||||||||||||||||||
Change in unrealized gains | ||||||||||||||||||||||||||||||||||||||
(losses) relating to positions | ||||||||||||||||||||||||||||||||||||||
still held at the reporting date | 18 | 29 | -1 | 8 | 2 | 5 | 1 | |||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included | ||||||||||||||||||||||||||||||||||||||
in earnings | $ | 18 | $ | 16 | $ | -15 | $ | -7 | $ | 8 | $ | -9 | $ | 3 | $ | 9 | $ | -1 | ||||||||||||||||||||
Change in unrealized gains | ||||||||||||||||||||||||||||||||||||||
(losses) relating to positions | ||||||||||||||||||||||||||||||||||||||
still held at the reporting date | 18 | 29 | -1 | 8 | 2 | 5 | 1 | |||||||||||||||||||||||||||||||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | |||||||||||||||||||||||||||||||||||||
The carrying amounts of contract adjustment payments related to the Purchase Contract component of the Equity Units and long-term debt on the Balance Sheets and their estimated fair values are set forth below. | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Carrying | Carrying | |||||||||||||||||||||||||||||||||||||
Amount | Fair Value | Amount | Fair Value | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Contract adjustment payments (a) | $ | 32 | $ | 32 | $ | 105 | $ | 106 | ||||||||||||||||||||||||||||||
Long-term debt | 19,843 | 21,537 | 19,476 | 21,671 | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 2,962 | 3,127 | 3,272 | 3,556 | ||||||||||||||||||||||||||||||||||
PPL Electric | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 2,315 | 2,505 | 1,967 | 2,333 | ||||||||||||||||||||||||||||||||||
LKE | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 4,076 | 4,222 | 4,075 | 4,423 | ||||||||||||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 1,112 | 1,137 | 1,112 | 1,178 | ||||||||||||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||||||||||
Long-term debt | 1,843 | 1,940 | 1,842 | 2,056 | ||||||||||||||||||||||||||||||||||
(a) Reflected in "Other current liabilities" and "Other deferred credits and noncurrent liabilities" on the Balance Sheets. | ||||||||||||||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ' | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements and Credit Concentration [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 periods ended September 30, 2013 is as follows: | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||||||||||
Energy | Auction | Cross- | Energy | Auction | Cross- | |||||||||||||||||||||||||||||||||
Commodities, | Rate | Currency | Commodities, | Rate | Currency | |||||||||||||||||||||||||||||||||
net | Securities | Swaps | Total | net | Securities | Swaps | Total | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 40 | $ | 19 | $ | 3 | $ | 62 | $ | 22 | $ | 16 | $ | 1 | $ | 39 | ||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | 18 | 18 | 23 | 23 | ||||||||||||||||||||||||||||||||||
Included in OCI (a) | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Sales | -2 | -2 | ||||||||||||||||||||||||||||||||||||
Settlements | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -7 | -7 | 1 | 3 | 3 | 7 | ||||||||||||||||||||||||||||||||
Transfers out of Level 3 | -2 | -1 | -3 | 2 | -5 | -3 | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | 47 | $ | 19 | $ | $ | 66 | $ | 47 | $ | 19 | $ | $ | 66 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 40 | $ | 16 | $ | 56 | $ | 22 | $ | 13 | $ | 35 | ||||||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | 18 | 18 | 23 | 23 | ||||||||||||||||||||||||||||||||||
Sales | -2 | -2 | ||||||||||||||||||||||||||||||||||||
Settlements | -2 | -2 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -7 | -7 | 1 | 3 | 4 | |||||||||||||||||||||||||||||||||
Transfers out of Level 3 | -2 | -2 | 2 | 2 | ||||||||||||||||||||||||||||||||||
Balance at end of period | $ | 47 | $ | 16 | $ | 63 | $ | 47 | $ | 16 | $ | 63 | ||||||||||||||||||||||||||
(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 periods ended September 30, 2012 is as follows: | ||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||||||||||
Energy | Auction | Cross- | Energy | Auction | Cross- | |||||||||||||||||||||||||||||||||
Commodities, | Rate | Currency | Commodities, | Rate | Currency | |||||||||||||||||||||||||||||||||
net | Securities | Swaps | Total | net | Securities | Swaps | Total | |||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 34 | $ | 15 | $ | 10 | $ | 59 | $ | 13 | $ | 24 | $ | 4 | $ | 41 | ||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | -17 | -17 | -1 | -1 | -2 | |||||||||||||||||||||||||||||||||
Included in OCI (a) | 1 | -8 | -7 | 1 | 2 | 3 | ||||||||||||||||||||||||||||||||
Sales | -5 | -5 | ||||||||||||||||||||||||||||||||||||
Settlements | 2 | 2 | -9 | -9 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -2 | -2 | 12 | 12 | ||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 8 | 8 | 9 | -3 | -3 | 3 | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | 25 | $ | 16 | $ | 2 | $ | 43 | $ | 25 | $ | 16 | $ | 2 | $ | 43 | ||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Balance at beginning of | ||||||||||||||||||||||||||||||||||||||
period | $ | 34 | $ | 12 | $ | 46 | $ | 13 | $ | 19 | $ | 32 | ||||||||||||||||||||||||||
Total realized/unrealized | ||||||||||||||||||||||||||||||||||||||
gains (losses) | ||||||||||||||||||||||||||||||||||||||
Included in earnings | -17 | -17 | -1 | -1 | ||||||||||||||||||||||||||||||||||
Included in OCI (a) | 1 | 1 | 1 | 1 | ||||||||||||||||||||||||||||||||||
Sales | -3 | -3 | ||||||||||||||||||||||||||||||||||||
Settlements | 2 | 2 | -9 | -9 | ||||||||||||||||||||||||||||||||||
Transfers into Level 3 | -2 | -2 | 12 | 12 | ||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 8 | 8 | 9 | -3 | 6 | |||||||||||||||||||||||||||||||||
Balance at end of period | $ | 25 | $ | 13 | $ | 38 | $ | 25 | $ | 13 | $ | 38 | ||||||||||||||||||||||||||
(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: | ||||||||||||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||||||||||
Fair Value, net | Range | |||||||||||||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | |||||||||||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 35 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 13% - 100% (80%) | |||||||||||||||||||||||||||||||||
Heat rate call options (d) | 9 | Discounted cash flow | Implied correlation, implied volatility, and market implied heat rate | 33% - 60% (58%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 19 | Discounted cash flow | Modeled from SIFMA Index | 12% - 80% (64%) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 35 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 13% - 100% (80%) | |||||||||||||||||||||||||||||||||
Heat rate call options (d) | 9 | Discounted cash flow | Implied correlation, implied volatility, and market implied heat rate | 33% - 60% (58%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 3 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 16 | Discounted cash flow | Modeled from SIFMA Index | 12% - 80% (63%) | ||||||||||||||||||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||||||||||||||
Fair Value, net | Range | |||||||||||||||||||||||||||||||||||||
Asset | Valuation | Unobservable | (Weighted | |||||||||||||||||||||||||||||||||||
(Liability) | Technique | Input(s) | Average) (a) | |||||||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 24 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 21% - 100% (75%) | |||||||||||||||||||||||||||||||||
Power sales contracts (c) | -4 | Discounted cash flow | Proprietary model used to calculate forward basis prices | 24% (24%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 2 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 16 | Discounted cash flow | Modeled from SIFMA Index | 54% - 74% (64%) | ||||||||||||||||||||||||||||||||||
Cross-currency swaps (f) | 1 | Discounted cash flow | Credit valuation adjustment | 22% (22%) | ||||||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Energy commodities | ||||||||||||||||||||||||||||||||||||||
Retail natural gas sales contracts (b) | $ | 24 | Discounted cash flow | Observable wholesale prices used as proxy for retail delivery points | 21% - 100% (75%) | |||||||||||||||||||||||||||||||||
Power sales contracts (c) | -4 | Discounted cash flow | Proprietary model used to calculate forward basis prices | 24% (24%) | ||||||||||||||||||||||||||||||||||
FTR purchase contracts (g) | 2 | Discounted cash flow | Historical settled prices used to model forward prices | 100% (100%) | ||||||||||||||||||||||||||||||||||
Auction rate securities (e) | 13 | Discounted cash flow | Modeled from SIFMA Index | 57% - 74% (65%) | ||||||||||||||||||||||||||||||||||
(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 decrease in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | ||||||||||||||||||||||||||||||||||||||
(b) At September 30, 2013, retail natural gas sales contracts extend through 2019, and $14 million of the fair value is scheduled to deliver within the next 12 months. As the forward price of natural gas increases/(decreases), the fair value of the contracts (decreases)/increases. | ||||||||||||||||||||||||||||||||||||||
(c) As the forward price of basis increases/(decreases), the fair value of the contracts (decreases)/increases. | ||||||||||||||||||||||||||||||||||||||
(d) At September 30, 2013, heat rate call options extend through 2020, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the implied correlation in heat rate call options increases/(decreases), the fair value of the heat rate call options (decreases)/increases, as all implied volatilities in heat rate call options increase/(decrease), the fair value of the heat rate call options increases/(decreases), and as the market implied heat rate increases/(decreases), the fair value of the heat rate call options increases/(decreases). | ||||||||||||||||||||||||||||||||||||||
(e) At September 30, 2013, auction rate securities have a weighted average contractual maturity of 22 years. 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). | ||||||||||||||||||||||||||||||||||||||
(f) 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. | ||||||||||||||||||||||||||||||||||||||
(g) At September 30, 2013, FTR purchase contracts extend through 2015, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | ||||||||||||||||||||||||||||||||||||||
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 periods ended September 30 are reported in the Statements of Income as follows: | ||||||||||||||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||||||||||||||
Energy Commodities, net | ||||||||||||||||||||||||||||||||||||||
Unregulated | Wholesale | |||||||||||||||||||||||||||||||||||||
Retail | Energy | Net Energy | Energy | |||||||||||||||||||||||||||||||||||
Electric and Gas | Marketing | Trading Margins | Fuel | Purchases | ||||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||||
PPL and PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included in earnings | $ | 3 | $ | -3 | $ | -8 | $ | -4 | $ | 11 | $ | -8 | $ | 3 | $ | 9 | $ | -2 | ||||||||||||||||||||
Change in unrealized gains (losses) relating | ||||||||||||||||||||||||||||||||||||||
to positions still held at the reporting date | 3 | -2 | -1 | 17 | 2 | |||||||||||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||||||||||||||
Cross-Currency | ||||||||||||||||||||||||||||||||||||||
Energy Commodities, net | Swaps | |||||||||||||||||||||||||||||||||||||
Unregulated | Wholesale | |||||||||||||||||||||||||||||||||||||
Retail | Energy | Net Energy | Energy | |||||||||||||||||||||||||||||||||||
Electric and Gas | Marketing | Trading Margins | Fuel | Purchases | Interest Expense | |||||||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included | ||||||||||||||||||||||||||||||||||||||
in earnings | $ | 18 | $ | 16 | $ | -15 | $ | -7 | $ | 8 | $ | -9 | $ | 3 | $ | 9 | $ | -1 | $ | -1 | ||||||||||||||||||
Change in unrealized gains | ||||||||||||||||||||||||||||||||||||||
(losses) relating to positions | ||||||||||||||||||||||||||||||||||||||
still held at the reporting date | 18 | 29 | -1 | 8 | 2 | 5 | 1 | |||||||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||||||||||
Total gains (losses) included | ||||||||||||||||||||||||||||||||||||||
in earnings | $ | 18 | $ | 16 | $ | -15 | $ | -7 | $ | 8 | $ | -9 | $ | 3 | $ | 9 | $ | -1 | ||||||||||||||||||||
Change in unrealized gains | ||||||||||||||||||||||||||||||||||||||
(losses) relating to positions | ||||||||||||||||||||||||||||||||||||||
still held at the reporting date | 18 | 29 | -1 | 8 | 2 | 5 | 1 | |||||||||||||||||||||||||||||||
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Tables) | 9 Months Ended | |||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities [Line Items] | ' | |||||||||||||||||||||||||||||
Commodity Volumes - Volumes of Derivative (Sales) Purchase Contracts | ' | |||||||||||||||||||||||||||||
At September 30, 2013, the net volumes of derivative (sales)/purchase contracts used in support of the various strategies discussed above were as follows. | ||||||||||||||||||||||||||||||
Volume (a) | ||||||||||||||||||||||||||||||
Commodity | Unit of Measure | 2013 (b) | 2014 | 2015 | Thereafter | |||||||||||||||||||||||||
Power | MWh | -9,950,950 | -28,280,182 | -4,110,530 | 10,991,752 | |||||||||||||||||||||||||
Capacity | MW-Month | -5,114 | -14,418 | -309 | 1,990 | |||||||||||||||||||||||||
Gas | MMBtu | 12,653,279 | 18,794,545 | -3,852,725 | 5,320,453 | |||||||||||||||||||||||||
Coal | Tons | -30,000 | ||||||||||||||||||||||||||||
FTRs | MW-Month | 5,056 | 8,724 | 1,465 | ||||||||||||||||||||||||||
Oil | Barrels | -15,335 | 300,000 | 384,334 | 371,466 | |||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
(b) Represents balance of the current year. | ||||||||||||||||||||||||||||||
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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Derivatives designated as | Derivatives not designated | Derivatives designated as | Derivatives not designated | |||||||||||||||||||||||||||
hedging instruments | as hedging instruments (a) | hedging instruments | as hedging instruments (a) | |||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Interest rate swaps (c) | $ | 83 | $ | 16 | $ | 4 | $ | 14 | $ | 22 | $ | 5 | ||||||||||||||||||
Cross-currency swaps | 1 | 1 | 3 | |||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | 5 | $ | 24 | 2 | 23 | |||||||||||||||||||||||||
Commodity contracts | 961 | 773 | 59 | $ | 1,452 | 1,010 | ||||||||||||||||||||||||
Total current | 84 | 22 | 961 | 801 | 73 | 27 | 1,452 | 1,038 | ||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Interest rate swaps (c) | 3 | 1 | 37 | 1 | 53 | |||||||||||||||||||||||||
Cross-currency swaps | 27 | 14 | 1 | |||||||||||||||||||||||||||
Foreign currency | ||||||||||||||||||||||||||||||
contracts | 6 | 1 | 32 | 19 | ||||||||||||||||||||||||||
Commodity contracts | 519 | 462 | 27 | 530 | 556 | |||||||||||||||||||||||||
Total noncurrent | 30 | 7 | 520 | 531 | 42 | 1 | 530 | 628 | ||||||||||||||||||||||
Total derivatives | $ | 114 | $ | 29 | $ | 1,481 | $ | 1,332 | $ | 115 | $ | 28 | $ | 1,982 | $ | 1,666 | ||||||||||||||
(a) $216 million and $300 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
(b) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
(c) 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 for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | Gain (Loss) | on Derivative | ||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Reclassified | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | from AOCI | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gain (Loss) | from AOCI | Amount | into | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 25 | $ | 102 | Interest expense | $ | -5 | $ | -14 | |||||||||||||||||||||
Cross-currency swaps | -36 | 16 | Interest expense | -1 | ||||||||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||
(expense) - net | -25 | 45 | ||||||||||||||||||||||||||||
Commodity contracts | Wholesale energy | |||||||||||||||||||||||||||||
marketing | 58 | 198 | $ | 1 | ||||||||||||||||||||||||||
Depreciation | 1 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -11 | -41 | ||||||||||||||||||||||||||||
Total | $ | -11 | $ | 118 | $ | 17 | $ | 190 | $ | 1 | ||||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -22 | $ | -5 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Foreign currency contracts | Other income (expense) - net | $ | -117 | $ | 6 | |||||||||||||||||||||||||
Interest rate swaps | Interest expense | -2 | -6 | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | 3 | 18 | |||||||||||||||||||||||||||
Wholesale energy marketing | 104 | 144 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | 14 | 8 | ||||||||||||||||||||||||||||
Fuel | 4 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -86 | -99 | ||||||||||||||||||||||||||||
Total | $ | -80 | $ | 73 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | 2 | $ | 18 | |||||||||||||||||||||||||
Derivatives Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 12 | $ | 70 | |||||||||||||||||||||||||
(a) Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income, OCI, or regulatory assets and regulatory liabilities for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Derivatives in | Hedged Items in | Location of Gain | Gain (Loss) Recognized | Gain (Loss) Recognized | ||||||||||||||||||||||||||
Fair Value Hedging | Fair Value Hedging | (Loss) Recognized in | in Income on Derivative | in Income on Related Item | ||||||||||||||||||||||||||
Relationships | Relationships | Income on Derivative | Three Months | Nine Months | Three Months | Nine Months | ||||||||||||||||||||||||
Interest rate swaps | Fixed rate debt | Interest expense | $ | -1 | $ | 1 | $ | 3 | ||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | Gain (Loss) | on Derivative | ||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Reclassified | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | from AOCI | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gain (Loss) | from AOCI | Amount | into | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | -6 | $ | -28 | Interest expense | $ | -4 | $ | -13 | |||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||
(expense) - net | 1 | 1 | ||||||||||||||||||||||||||||
Cross-currency swaps | -49 | -3 | Interest expense | -1 | ||||||||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||
(expense) - net | -40 | -12 | ||||||||||||||||||||||||||||
Commodity contracts | 99 | Wholesale energy | ||||||||||||||||||||||||||||
marketing | 174 | 673 | $ | -1 | ||||||||||||||||||||||||||
Depreciation | 1 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -20 | $ | 1 | -105 | -2 | |||||||||||||||||||||||||
Total | $ | -55 | $ | 68 | $ | 112 | $ | 1 | $ | 545 | $ | -3 | ||||||||||||||||||
Net Investment Hedges: | ||||||||||||||||||||||||||||||
Foreign currency contracts | $ | -4 | $ | -5 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Foreign currency contracts | Other income (expense) - net | $ | -47 | $ | -40 | |||||||||||||||||||||||||
Interest rate swaps | Interest expense | -2 | -4 | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | -3 | 20 | |||||||||||||||||||||||||||
Wholesale energy marketing | -476 | 900 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | -10 | 12 | ||||||||||||||||||||||||||||
Fuel | 6 | |||||||||||||||||||||||||||||
Energy purchases | 364 | -717 | ||||||||||||||||||||||||||||
Total | $ | -168 | $ | 171 | ||||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized as | |||||||||||||||||||||||||||||
Hedging Instruments | Regulatory Liabilities/Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent | $ | 1 | $ | -2 | |||||||||||||||||||||||||
(a) Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
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 | |||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
Treasury Derivatives | 115 | 47 | 68 | 126 | 47 | $ | 22 | 57 | ||||||||||||||||||||||
Total | $ | 1,595 | $ | 1,169 | $ | 14 | $ | 412 | $ | 1,361 | $ | 1,169 | $ | 22 | $ | 170 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 55 | $ | 22 | $ | 33 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 48 | $ | 22 | $ | 26 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
Treasury Derivatives | 29 | 19 | 10 | 128 | 19 | 30 | 79 | |||||||||||||||||||||||
Total | $ | 2,097 | $ | 1,432 | $ | 111 | $ | 554 | $ | 1,694 | $ | 1,432 | $ | 39 | $ | 223 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 14 | $ | 14 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
Credit Risk-Related Contingent Features | ' | |||||||||||||||||||||||||||||
At September 30, 2013, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit risk-related contingent features and were in a net liability position is summarized as follows: | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 178 | $ | 115 | $ | 29 | $ | 29 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 39 | 17 | 22 | 22 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 167 | 127 | 7 | 7 | ||||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
PPL Energy Supply LLC [Member] | ' | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities [Line Items] | ' | |||||||||||||||||||||||||||||
Commodity Volumes - Volumes of Derivative (Sales) Purchase Contracts | ' | |||||||||||||||||||||||||||||
At September 30, 2013, the net volumes of derivative (sales)/purchase contracts used in support of the various strategies discussed above were as follows. | ||||||||||||||||||||||||||||||
Volume (a) | ||||||||||||||||||||||||||||||
Commodity | Unit of Measure | 2013 (b) | 2014 | 2015 | Thereafter | |||||||||||||||||||||||||
Power | MWh | -9,950,950 | -28,280,182 | -4,110,530 | 10,991,752 | |||||||||||||||||||||||||
Capacity | MW-Month | -5,114 | -14,418 | -309 | 1,990 | |||||||||||||||||||||||||
Gas | MMBtu | 12,653,279 | 18,794,545 | -3,852,725 | 5,320,453 | |||||||||||||||||||||||||
Coal | Tons | -30,000 | ||||||||||||||||||||||||||||
FTRs | MW-Month | 5,056 | 8,724 | 1,465 | ||||||||||||||||||||||||||
Oil | Barrels | -15,335 | 300,000 | 384,334 | 371,466 | |||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
(b) Represents balance of the current year. | ||||||||||||||||||||||||||||||
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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Derivatives not designated | Derivatives designated as | Derivatives not designated | ||||||||||||||||||||||||||||
as hedging instruments (a) | hedging instruments | as hedging instruments (a) | ||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 961 | $ | 773 | $ | 59 | $ | 1,452 | $ | 1,010 | ||||||||||||||||||||
Total current | 961 | 773 | 59 | 1,452 | 1,010 | |||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (b): | ||||||||||||||||||||||||||||||
Commodity contracts | 519 | 462 | 27 | 530 | 556 | |||||||||||||||||||||||||
Total noncurrent | 519 | 462 | 27 | 530 | 556 | |||||||||||||||||||||||||
Total derivatives | $ | 1,480 | $ | 1,235 | $ | 86 | $ | 1,982 | $ | 1,566 | ||||||||||||||||||||
(a) $216 million and $300 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at September 30, 2013 and December 31, 2012. | ||||||||||||||||||||||||||||||
(b) 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 for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | on Derivative | |||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Gain (Loss) | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | Reclassified | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gains (Losses) | from AOCI | Amount | from AOCI | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | into Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Commodity contracts | Wholesale energy | |||||||||||||||||||||||||||||
marketing | $ | 58 | $ | 198 | $ | 1 | ||||||||||||||||||||||||
Depreciation | 1 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -11 | -41 | ||||||||||||||||||||||||||||
Total | $ | 48 | $ | 159 | $ | 1 | ||||||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instrument | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | $ | 3 | $ | 18 | |||||||||||||||||||||||||
Wholesale energy marketing | 104 | 144 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | 14 | 8 | ||||||||||||||||||||||||||||
Fuel | 4 | 2 | ||||||||||||||||||||||||||||
Energy purchases | -86 | -99 | ||||||||||||||||||||||||||||
Total | $ | 39 | $ | 73 | ||||||||||||||||||||||||||
(a) Differs from the Statements of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments recognized in income or OCI for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||||||||||||||||||
Recognized | Recognized | |||||||||||||||||||||||||||||
in Income | in Income | |||||||||||||||||||||||||||||
on Derivative | on Derivative | |||||||||||||||||||||||||||||
Gain (Loss) | (Ineffective | Gain (Loss) | (Ineffective | |||||||||||||||||||||||||||
Location of | Reclassified | Portion and | Reclassified | Portion and | ||||||||||||||||||||||||||
Derivative Gain | Gains (Losses) | from AOCI | Amount | from AOCI | Amount | |||||||||||||||||||||||||
(Loss) Recognized in | Recognized | into Income | Excluded from | into Income | Excluded from | |||||||||||||||||||||||||
Derivative | OCI (Effective Portion) | in Income | (Effective | Effectiveness | (Effective | Effectiveness | ||||||||||||||||||||||||
Relationships | Three Months | Nine Months | on Derivative | Portion) | Testing) | Portion) | Testing) | |||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||
Wholesale energy | ||||||||||||||||||||||||||||||
Commodity contracts | $ | 99 | marketing | $ | 174 | $ | 673 | $ | -1 | |||||||||||||||||||||
Depreciation | 1 | |||||||||||||||||||||||||||||
Energy purchases | -20 | $ | 1 | -105 | -2 | |||||||||||||||||||||||||
Total | $ | 99 | $ | 154 | $ | 1 | $ | 569 | $ | -3 | ||||||||||||||||||||
Derivatives Not Designated as | Location of Gain (Loss) Recognized in | |||||||||||||||||||||||||||||
Hedging Instruments | Income on Derivative | Three Months | Nine Months | |||||||||||||||||||||||||||
Commodity contracts | Unregulated retail electric and gas | $ | -3 | $ | 20 | |||||||||||||||||||||||||
Wholesale energy marketing | -476 | 900 | ||||||||||||||||||||||||||||
Net energy trading margins (a) | -10 | 12 | ||||||||||||||||||||||||||||
Fuel | 6 | |||||||||||||||||||||||||||||
Energy purchases | 364 | -717 | ||||||||||||||||||||||||||||
Total | $ | -119 | $ | 215 | ||||||||||||||||||||||||||
(a) Differs from the Statements of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative. | ||||||||||||||||||||||||||||||
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 | |||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
Treasury Derivatives | 115 | 47 | 68 | 126 | 47 | $ | 22 | 57 | ||||||||||||||||||||||
Total | $ | 1,595 | $ | 1,169 | $ | 14 | $ | 412 | $ | 1,361 | $ | 1,169 | $ | 22 | $ | 170 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 55 | $ | 22 | $ | 33 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 48 | $ | 22 | $ | 26 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
Treasury Derivatives | 29 | 19 | 10 | 128 | 19 | 30 | 79 | |||||||||||||||||||||||
Total | $ | 2,097 | $ | 1,432 | $ | 111 | $ | 554 | $ | 1,694 | $ | 1,432 | $ | 39 | $ | 223 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 14 | $ | 14 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
Credit Risk-Related Contingent Features | ' | |||||||||||||||||||||||||||||
At September 30, 2013, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit risk-related contingent features and were in a net liability position is summarized as follows: | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 178 | $ | 115 | $ | 29 | $ | 29 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 39 | 17 | 22 | 22 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 167 | 127 | 7 | 7 | ||||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
LG And E And KU Energy LLC [Member] | ' | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities [Line Items] | ' | |||||||||||||||||||||||||||||
Fair Value and Balance Sheet Location of Derivative Instruments | ' | |||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 14 | $ | 14 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 4 | $ | 5 | ||||||||||||||||||||||||||
Total current | 4 | 5 | ||||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | 37 | 53 | ||||||||||||||||||||||||||||
Total noncurrent | 37 | 53 | ||||||||||||||||||||||||||||
Total derivatives | $ | 41 | $ | 58 | ||||||||||||||||||||||||||
(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 designated as cash flow hedges that are recognized in regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 12 | $ | 70 | |||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as hedging instruments recognized in income or regulatory assets for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Income on Derivatives | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Interest expense | $ | -2 | $ | -6 | |||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Regulatory Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent (a) | $ | 2 | $ | 18 | |||||||||||||||||||||||||
(a) Includes both realized and unrealized gains (losses). | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as hedging instruments recognized in income or regulatory assets for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Income on Derivatives | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Interest expense | $ | -2 | $ | -6 | |||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Regulatory Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent (a) | $ | 1 | $ | -2 | |||||||||||||||||||||||||
(a) Includes both realized and unrealized gains (losses). | ||||||||||||||||||||||||||||||
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 | |||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
Treasury Derivatives | 115 | 47 | 68 | 126 | 47 | $ | 22 | 57 | ||||||||||||||||||||||
Total | $ | 1,595 | $ | 1,169 | $ | 14 | $ | 412 | $ | 1,361 | $ | 1,169 | $ | 22 | $ | 170 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 55 | $ | 22 | $ | 33 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 48 | $ | 22 | $ | 26 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
Treasury Derivatives | 29 | 19 | 10 | 128 | 19 | 30 | 79 | |||||||||||||||||||||||
Total | $ | 2,097 | $ | 1,432 | $ | 111 | $ | 554 | $ | 1,694 | $ | 1,432 | $ | 39 | $ | 223 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 14 | $ | 14 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
Credit Risk-Related Contingent Features | ' | |||||||||||||||||||||||||||||
At September 30, 2013, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit risk-related contingent features and were in a net liability position is summarized as follows: | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 178 | $ | 115 | $ | 29 | $ | 29 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 39 | 17 | 22 | 22 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 167 | 127 | 7 | 7 | ||||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
Louisville Gas And Electric Co [Member] | ' | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities [Line Items] | ' | |||||||||||||||||||||||||||||
Fair Value and Balance Sheet Location of Derivative Instruments | ' | |||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 4 | $ | 5 | ||||||||||||||||||||||||||
Total current | 4 | 5 | ||||||||||||||||||||||||||||
Noncurrent: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | 37 | 53 | ||||||||||||||||||||||||||||
Total noncurrent | 37 | 53 | ||||||||||||||||||||||||||||
Total derivatives | $ | 41 | $ | 58 | ||||||||||||||||||||||||||
(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 designated as cash flow hedges that are recognized in regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 6 | $ | 35 | |||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as hedging instruments recognized in income or regulatory assets for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Income on Derivatives | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Interest expense | $ | -2 | $ | -6 | |||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Regulatory Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent (a) | $ | 2 | $ | 18 | |||||||||||||||||||||||||
(a) Includes both realized and unrealized gains (losses). | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivatives not designated as hedging instruments recognized in income or regulatory assets for the periods ended September 30, 2012. | ||||||||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Income on Derivatives | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Interest expense | $ | -2 | $ | -6 | |||||||||||||||||||||||||
Location of Gain (Loss) Recognized in | ||||||||||||||||||||||||||||||
Derivative Instruments | Regulatory Assets | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory assets - noncurrent (a) | $ | 1 | $ | -2 | |||||||||||||||||||||||||
(a) Includes both realized and unrealized gains (losses). | ||||||||||||||||||||||||||||||
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 | |||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
Treasury Derivatives | 115 | 47 | 68 | 126 | 47 | $ | 22 | 57 | ||||||||||||||||||||||
Total | $ | 1,595 | $ | 1,169 | $ | 14 | $ | 412 | $ | 1,361 | $ | 1,169 | $ | 22 | $ | 170 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 55 | $ | 22 | $ | 33 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 48 | $ | 22 | $ | 26 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
Treasury Derivatives | 29 | 19 | 10 | 128 | 19 | 30 | 79 | |||||||||||||||||||||||
Total | $ | 2,097 | $ | 1,432 | $ | 111 | $ | 554 | $ | 1,694 | $ | 1,432 | $ | 39 | $ | 223 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 14 | $ | 14 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
Credit Risk-Related Contingent Features | ' | |||||||||||||||||||||||||||||
At September 30, 2013, the effect of a decrease in credit ratings below investment grade on derivative contracts that contain credit risk-related contingent features and were in a net liability position is summarized as follows: | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | |||||||||||||||||||||||||||
Aggregate fair value of derivative instruments in a net liability | ||||||||||||||||||||||||||||||
position with credit risk-related contingent features | $ | 178 | $ | 115 | $ | 29 | $ | 29 | ||||||||||||||||||||||
Aggregate fair value of collateral posted on these derivative instruments | 39 | 17 | 22 | 22 | ||||||||||||||||||||||||||
Aggregate fair value of additional collateral requirements in the event of | ||||||||||||||||||||||||||||||
a credit downgrade below investment grade (a) | 167 | 127 | 7 | 7 | ||||||||||||||||||||||||||
(a) Includes the effect of net receivables and payables already recorded on the Balance Sheet. | ||||||||||||||||||||||||||||||
Kentucky Utilities Co [Member] | ' | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities [Line Items] | ' | |||||||||||||||||||||||||||||
Fair Value and Balance Sheet Location of Derivative Instruments | ' | |||||||||||||||||||||||||||||
(KU) | ||||||||||||||||||||||||||||||
The following table presents the fair value and the location on the Balance Sheets of derivative instruments designated as cash flow hedges. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | |||||||||||||||||||||||||||
Current: | ||||||||||||||||||||||||||||||
Price Risk Management | ||||||||||||||||||||||||||||||
Assets/Liabilities (a): | ||||||||||||||||||||||||||||||
Interest rate swaps | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
Pre-tax Gain (Loss) on Derivative Instruments Recognized in Income or on the Balance Sheet | ' | |||||||||||||||||||||||||||||
(a) Represents the location on the Balance Sheets. | ||||||||||||||||||||||||||||||
The following tables present the pre-tax effect of derivative instruments designated as cash flow hedges that are recognized in regulatory liabilities for the periods ended September 30, 2013. | ||||||||||||||||||||||||||||||
Derivative Instruments | Location of Gain (Loss) | Three Months | Nine Months | |||||||||||||||||||||||||||
Interest rate swaps | Regulatory liabilities - noncurrent | $ | 6 | $ | 35 | |||||||||||||||||||||||||
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 | |||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
Treasury Derivatives | 115 | 47 | 68 | 126 | 47 | $ | 22 | 57 | ||||||||||||||||||||||
Total | $ | 1,595 | $ | 1,169 | $ | 14 | $ | 412 | $ | 1,361 | $ | 1,169 | $ | 22 | $ | 170 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 1,480 | $ | 1,122 | $ | 14 | $ | 344 | $ | 1,235 | $ | 1,122 | $ | 113 | ||||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 55 | $ | 22 | $ | 33 | ||||||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 48 | $ | 22 | $ | 26 | ||||||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | ||||||||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
Treasury Derivatives | 29 | 19 | 10 | 128 | 19 | 30 | 79 | |||||||||||||||||||||||
Total | $ | 2,097 | $ | 1,432 | $ | 111 | $ | 554 | $ | 1,694 | $ | 1,432 | $ | 39 | $ | 223 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Energy Commodities | $ | 2,068 | $ | 1,413 | $ | 111 | $ | 544 | $ | 1,566 | $ | 1,413 | $ | 9 | $ | 144 | ||||||||||||||
LKE | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 14 | $ | 14 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
LG&E | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 | $ | 58 | $ | 30 | $ | 28 | ||||||||||||||||||||
KU | ||||||||||||||||||||||||||||||
Treasury Derivatives | $ | 7 | $ | 7 |
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Asset Retirement Obligation [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligation Roll Forward | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
PPL Energy Supply LLC [Member] | ' | |||||||||||||||||
Asset Retirement Obligation [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligation Roll Forward | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
LG And E And KU Energy LLC [Member] | ' | |||||||||||||||||
Asset Retirement Obligation [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligation Roll Forward | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Louisville Gas And Electric Co [Member] | ' | |||||||||||||||||
Asset Retirement Obligation [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligation Roll Forward | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 | ||||||||
Kentucky Utilities Co [Member] | ' | |||||||||||||||||
Asset Retirement Obligation [Line Items] | ' | |||||||||||||||||
Asset Retirement Obligation Roll Forward | ' | |||||||||||||||||
16. Asset Retirement Obligations | ||||||||||||||||||
(All Registrants except PPL Electric) | ||||||||||||||||||
The changes in the carrying amounts of AROs were as follows. | ||||||||||||||||||
PPL | ||||||||||||||||||
PPL | Energy Supply | LKE | LG&E | KU | ||||||||||||||
Balance at December 31, 2012 | $ | 552 | $ | 375 | $ | 131 | $ | 62 | $ | 69 | ||||||||
Accretion expense | 27 | 22 | 4 | 2 | 2 | |||||||||||||
Obligations incurred | 6 | 6 | ||||||||||||||||
Changes in estimated cash flow or settlement date | 123 | 1 | 122 | 17 | 105 | |||||||||||||
Effect of foreign currency exchange rates | -2 | |||||||||||||||||
Obligations settled | -12 | -6 | -6 | -6 | ||||||||||||||
Balance at September 30, 2013 | $ | 694 | $ | 398 | $ | 251 | $ | 75 | $ | 176 |
AvailableforSale_Securities_Ta
Available-for-Sale Securities (Tables) | 9 Months Ended | |||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||
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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 20 | 1 | 19 | 20 | 1 | 19 | ||||||||||||||||||||||||
Total | $ | 508 | $ | 318 | $ | 3 | $ | 823 | $ | 494 | $ | 239 | $ | 2 | $ | 731 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 17 | 1 | 16 | 17 | 1 | 16 | ||||||||||||||||||||||||
Total | $ | 505 | $ | 318 | $ | 3 | $ | 820 | $ | 491 | $ | 239 | $ | 2 | $ | 728 | ||||||||||||||
Scheduled Maturity Dates of Debt Securities | ' | |||||||||||||||||||||||||||||
The following table shows the scheduled maturity dates of debt securities held at September 30, 2013. | ||||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 77 | $ | 231 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 79 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 74 | $ | 228 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 76 | 236 | |||||||||||||||||||||||||
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 for the periods ended September 30. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 5 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 3 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
(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. | ||||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||||
Gross | Gross | Gross | Gross | |||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Amortized | Unrealized | Unrealized | |||||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | Cost | Gains | Losses | Fair Value | |||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 20 | 1 | 19 | 20 | 1 | 19 | ||||||||||||||||||||||||
Total | $ | 508 | $ | 318 | $ | 3 | $ | 823 | $ | 494 | $ | 239 | $ | 2 | $ | 731 | ||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
NDT funds: | ||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 14 | $ | 14 | $ | 11 | $ | 11 | ||||||||||||||||||||||
Equity securities: | ||||||||||||||||||||||||||||||
U.S. large-cap | 230 | $ | 264 | 494 | 222 | $ | 190 | 412 | ||||||||||||||||||||||
U.S. mid/small-cap | 31 | 43 | 74 | 30 | 30 | 60 | ||||||||||||||||||||||||
Debt securities: | ||||||||||||||||||||||||||||||
U.S. Treasury | 90 | 6 | 96 | 86 | 9 | 95 | ||||||||||||||||||||||||
U.S. government sponsored | ||||||||||||||||||||||||||||||
agency | 5 | 1 | 6 | 8 | 1 | 9 | ||||||||||||||||||||||||
Municipality | 74 | 2 | $ | 1 | 75 | 78 | 5 | $ | 1 | 82 | ||||||||||||||||||||
Investment-grade corporate | 39 | 2 | 1 | 40 | 36 | 4 | 40 | |||||||||||||||||||||||
Other | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||
Receivables/payables, net | 2 | 2 | ||||||||||||||||||||||||||||
Total NDT funds | 488 | 318 | 2 | 804 | 474 | 239 | 1 | 712 | ||||||||||||||||||||||
Auction rate securities | 17 | 1 | 16 | 17 | 1 | 16 | ||||||||||||||||||||||||
Total | $ | 505 | $ | 318 | $ | 3 | $ | 820 | $ | 491 | $ | 239 | $ | 2 | $ | 728 | ||||||||||||||
Scheduled Maturity Dates of Debt Securities | ' | |||||||||||||||||||||||||||||
The following table shows the scheduled maturity dates of debt securities held at September 30, 2013. | ||||||||||||||||||||||||||||||
Maturity | Maturity | Maturity | Maturity | |||||||||||||||||||||||||||
Less Than | 5-Jan | 10-Jun | in Excess | |||||||||||||||||||||||||||
1 Year | Years | Years | of 10 Years | Total | ||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 77 | $ | 231 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 79 | 239 | |||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Amortized cost | $ | 6 | $ | 92 | $ | 56 | $ | 74 | $ | 228 | ||||||||||||||||||||
Fair value | 6 | 96 | 58 | 76 | 236 | |||||||||||||||||||||||||
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 for the periods ended September 30. | ||||||||||||||||||||||||||||||
Three Months | Nine Months | |||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||||
PPL | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 5 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||||||
Proceeds from sales of NDT securities (a) | $ | 33 | $ | 23 | $ | 92 | $ | 102 | ||||||||||||||||||||||
Other proceeds from sales | 3 | |||||||||||||||||||||||||||||
Gross realized gains (b) | 3 | 2 | 10 | 15 | ||||||||||||||||||||||||||
Gross realized losses (b) | 2 | 2 | 6 | 8 | ||||||||||||||||||||||||||
(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) | 9 Months Ended | |||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ' | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||||||||
The after-tax changes in AOCI by component for the three and nine months ended September 30, 2013 were as follows. | ||||||||||||||||||||||||||
Foreign | Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | |||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | ||||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | |||||||||||||||||||
PPL | ||||||||||||||||||||||||||
June 30, 2013 | $ | -401 | $ | 135 | $ | 102 | $ | 1 | $ | -11 | $ | -1,955 | $ | 1 | $ | -2,128 | ||||||||||
Amounts arising during the period | 87 | 15 | -9 | 93 | ||||||||||||||||||||||
Reclassifications from AOCI | -6 | -1 | 2 | 33 | 28 | |||||||||||||||||||||
Net OCI during the period | 87 | 15 | -15 | -1 | 2 | 33 | 121 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | ||||||||||
Amounts arising during the period | -165 | 40 | 77 | -48 | ||||||||||||||||||||||
Reclassifications from AOCI | -2 | -122 | -1 | 5 | 101 | -19 | ||||||||||||||||||||
Net OCI during the period | -165 | 38 | -45 | -1 | 5 | 101 | -67 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
June 30, 2013 | $ | 135 | $ | 144 | $ | -8 | $ | -257 | $ | 14 | ||||||||||||||||
Amounts arising during the period | 15 | 15 | ||||||||||||||||||||||||
Reclassifications from AOCI | -29 | 1 | 3 | -25 | ||||||||||||||||||||||
Net OCI during the period | 15 | -29 | 1 | 3 | -10 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | ||||||||||||||||
Amounts arising during the period | 40 | 40 | ||||||||||||||||||||||||
Reclassifications from AOCI | -2 | -96 | 3 | 11 | -84 | |||||||||||||||||||||
Net OCI during the period | 38 | -96 | 3 | 11 | -44 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the periods ended September 30, 2013. | ||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -5 | -5 | 2 | $ | -3 | ||||||||||||||||||||
Cross-currency swaps | -25 | -1 | -26 | 7 | -19 | |||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -20 | 28 | |||||||||||||||||
Total | $ | 58 | $ | -11 | $ | 1 | $ | -25 | $ | -6 | 17 | -11 | 6 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -3 | 1 | -2 | |||||||||||||||||||||||
Net actuarial loss | -45 | 12 | -33 | |||||||||||||||||||||||
Total | $ | -48 | $ | 13 | -35 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | -28 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -19 | $ | 29 | ||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -2 | 1 | -1 | |||||||||||||||||||||||
Net actuarial loss | -5 | 2 | -3 | |||||||||||||||||||||||
Total | $ | -7 | $ | 3 | -4 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 25 | ||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -14 | -14 | 6 | -8 | |||||||||||||||||||||
Cross-currency swaps | 45 | 45 | -10 | 35 | ||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -64 | 95 | |||||||||||||||||
Total | $ | 198 | $ | -41 | $ | 2 | $ | 45 | $ | -14 | 190 | -68 | 122 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -8 | 3 | -5 | |||||||||||||||||||||||
Net actuarial loss | -138 | 37 | -101 | |||||||||||||||||||||||
Total | $ | -146 | $ | 40 | -106 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 19 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -63 | 96 | |||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -5 | 2 | -3 | |||||||||||||||||||||||
Net actuarial loss | -18 | 7 | -11 | |||||||||||||||||||||||
Total | $ | -23 | $ | 9 | -14 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 84 | ||||||||||||||||||||||||
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 three and nine months ended September 30, 2013 were as follows. | ||||||||||||||||||||||||||
Foreign | Unrealized gains (losses) | Defined benefit plans | ||||||||||||||||||||||||
currency | Available- | Equity | Prior | Actuarial | Transition | |||||||||||||||||||||
translation | for-sale | Qualifying | investees' | service | gain | asset | ||||||||||||||||||||
adjustments | securities | derivatives | AOCI | costs | (loss) | (obligation) | Total | |||||||||||||||||||
PPL | ||||||||||||||||||||||||||
June 30, 2013 | $ | -401 | $ | 135 | $ | 102 | $ | 1 | $ | -11 | $ | -1,955 | $ | 1 | $ | -2,128 | ||||||||||
Amounts arising during the period | 87 | 15 | -9 | 93 | ||||||||||||||||||||||
Reclassifications from AOCI | -6 | -1 | 2 | 33 | 28 | |||||||||||||||||||||
Net OCI during the period | 87 | 15 | -15 | -1 | 2 | 33 | 121 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
December 31, 2012 | $ | -149 | $ | 112 | $ | 132 | $ | 1 | $ | -14 | $ | -2,023 | $ | 1 | $ | -1,940 | ||||||||||
Amounts arising during the period | -165 | 40 | 77 | -48 | ||||||||||||||||||||||
Reclassifications from AOCI | -2 | -122 | -1 | 5 | 101 | -19 | ||||||||||||||||||||
Net OCI during the period | -165 | 38 | -45 | -1 | 5 | 101 | -67 | |||||||||||||||||||
September 30, 2013 | $ | -314 | $ | 150 | $ | 87 | $ | $ | -9 | $ | -1,922 | $ | 1 | $ | -2,007 | |||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
June 30, 2013 | $ | 135 | $ | 144 | $ | -8 | $ | -257 | $ | 14 | ||||||||||||||||
Amounts arising during the period | 15 | 15 | ||||||||||||||||||||||||
Reclassifications from AOCI | -29 | 1 | 3 | -25 | ||||||||||||||||||||||
Net OCI during the period | 15 | -29 | 1 | 3 | -10 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
December 31, 2012 | $ | 112 | $ | 211 | $ | -10 | $ | -265 | $ | 48 | ||||||||||||||||
Amounts arising during the period | 40 | 40 | ||||||||||||||||||||||||
Reclassifications from AOCI | -2 | -96 | 3 | 11 | -84 | |||||||||||||||||||||
Net OCI during the period | 38 | -96 | 3 | 11 | -44 | |||||||||||||||||||||
September 30, 2013 | $ | 150 | $ | 115 | $ | -7 | $ | -254 | $ | 4 | ||||||||||||||||
The following table presents the gains (losses) and related income taxes for reclassifications from AOCI for the periods ended September 30, 2013. | ||||||||||||||||||||||||||
Three Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -5 | -5 | 2 | $ | -3 | ||||||||||||||||||||
Cross-currency swaps | -25 | -1 | -26 | 7 | -19 | |||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -20 | 28 | |||||||||||||||||
Total | $ | 58 | $ | -11 | $ | 1 | $ | -25 | $ | -6 | 17 | -11 | 6 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -3 | 1 | -2 | |||||||||||||||||||||||
Net actuarial loss | -45 | 12 | -33 | |||||||||||||||||||||||
Total | $ | -48 | $ | 13 | -35 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | -28 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 1 | $ | 1 | $ | -1 | ||||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 58 | $ | -11 | $ | 1 | 48 | -19 | $ | 29 | ||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -2 | 1 | -1 | |||||||||||||||||||||||
Net actuarial loss | -5 | 2 | -3 | |||||||||||||||||||||||
Total | $ | -7 | $ | 3 | -4 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 25 | ||||||||||||||||||||||||
Nine Months | ||||||||||||||||||||||||||
Affected Line Item on the Statements of Income | ||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||
Wholesale | Income | |||||||||||||||||||||||||
energy | Energy | (Expense), | Interest | Total | Income | Total | ||||||||||||||||||||
Details about AOCI | marketing | purchases | Depreciation | net | Expense | Pre-tax | Taxes | After-tax | ||||||||||||||||||
PPL | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Interest rate swaps | $ | -14 | -14 | 6 | -8 | |||||||||||||||||||||
Cross-currency swaps | 45 | 45 | -10 | 35 | ||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -64 | 95 | |||||||||||||||||
Total | $ | 198 | $ | -41 | $ | 2 | $ | 45 | $ | -14 | 190 | -68 | 122 | |||||||||||||
Equity investees' AOCI | $ | 1 | 1 | 1 | ||||||||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -8 | 3 | -5 | |||||||||||||||||||||||
Net actuarial loss | -138 | 37 | -101 | |||||||||||||||||||||||
Total | $ | -146 | $ | 40 | -106 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 19 | ||||||||||||||||||||||||
PPL Energy Supply | ||||||||||||||||||||||||||
Available-for-sale securities | $ | 4 | $ | 4 | $ | -2 | $ | 2 | ||||||||||||||||||
Qualifying derivatives | ||||||||||||||||||||||||||
Energy commodities | $ | 198 | $ | -41 | $ | 2 | 159 | -63 | 96 | |||||||||||||||||
Defined benefit plans | ||||||||||||||||||||||||||
Prior service costs | -5 | 2 | -3 | |||||||||||||||||||||||
Net actuarial loss | -18 | 7 | -11 | |||||||||||||||||||||||
Total | $ | -23 | $ | 9 | -14 | |||||||||||||||||||||
Total reclassifications | ||||||||||||||||||||||||||
during the period | $ | 84 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Depreciation [Line Items] | ' | ' | ' | ' |
Reduction in depreciation expense in 2013 as a result of lower depreciation rates | ' | ' | $19 | ' |
Unaffiliated Third Party Entity [Member] | ' | ' | ' | ' |
Accounts Receivable (Numeric) [Abstract] | ' | ' | ' | ' |
Purchases of accounts receivable | 259 | 225 | 738 | 647 |
PPL Electric Utilities Corp [Member] | Unaffiliated Third Party Entity [Member] | ' | ' | ' | ' |
Accounts Receivable (Numeric) [Abstract] | ' | ' | ' | ' |
Purchases of accounts receivable | 259 | 225 | 738 | 647 |
PPL Electric Utilities Corp [Member] | Affiliated Entity [Member] | ' | ' | ' | ' |
Accounts Receivable (Numeric) [Abstract] | ' | ' | ' | ' |
Purchases of accounts receivable | 75 | 81 | 222 | 237 |
LG And E And KU Energy LLC [Member] | ' | ' | ' | ' |
Depreciation [Line Items] | ' | ' | ' | ' |
Reduction in depreciation expense in 2013 as a result of lower depreciation rates | ' | ' | 19 | ' |
Louisville Gas And Electric Co [Member] | ' | ' | ' | ' |
Depreciation [Line Items] | ' | ' | ' | ' |
Reduction in depreciation expense in 2013 as a result of lower depreciation rates | ' | ' | 9 | ' |
Kentucky Utilities Co [Member] | ' | ' | ' | ' |
Depreciation [Line Items] | ' | ' | ' | ' |
Reduction in depreciation expense in 2013 as a result of lower depreciation rates | ' | ' | $10 | ' |
Segment_and_Related_Informatio2
Segment and Related Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | $3,105 | $2,403 | $9,012 | $9,064 | ' | ||||
Net Income Attributable to PPL Shareowners | 410 | 355 | 1,228 | 1,167 | ' | ||||
Balance Sheet Data | ' | ' | ' | ' | ' | ||||
Assets | 44,988 | ' | 44,988 | ' | 43,634 | ||||
United Kingdom Regulated [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | 543 | 528 | 1,763 | 1,647 | ' | ||||
Net Income Attributable to PPL Shareowners | 183 | [1] | 202 | [1] | 741 | [1] | 563 | [1] | ' |
Balance Sheet Data | ' | ' | ' | ' | ' | ||||
Assets | 14,329 | ' | 14,329 | ' | 14,073 | ||||
Kentucky Regulated [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | 744 | 732 | 2,226 | 2,095 | ' | ||||
Net Income Attributable to PPL Shareowners | 93 | 72 | 227 | 148 | ' | ||||
Balance Sheet Data | ' | ' | ' | ' | ' | ||||
Assets | 11,368 | ' | 11,368 | ' | 10,670 | ||||
Pennsylvania Regulated [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | 463 | 443 | 1,388 | 1,303 | ' | ||||
Net Income Attributable to PPL Shareowners | 51 | 33 | 160 | 95 | ' | ||||
Balance Sheet Data | ' | ' | ' | ' | ' | ||||
Assets | 6,729 | ' | 6,729 | ' | 6,023 | ||||
Supply [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | 1,352 | [1] | 700 | [1] | 3,626 | [1] | 4,019 | [1] | ' |
Net Income Attributable to PPL Shareowners | 91 | [1] | 48 | [1] | 122 | [1] | 361 | [1] | ' |
Balance Sheet Data | ' | ' | ' | ' | ' | ||||
Assets | 12,198 | ' | 12,198 | ' | 12,868 | ||||
Corporate And Other [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | 3 | ' | 9 | ' | ' | ||||
Net Income Attributable to PPL Shareowners | -8 | ' | -22 | ' | ' | ||||
Balance Sheet Data | ' | ' | ' | ' | ' | ||||
Assets | 364 | [2] | ' | 364 | [2] | ' | ' | ||
Intersegment Eliminations [Member] | Pennsylvania Regulated [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | -1 | -1 | -3 | -3 | ' | ||||
Intersegment Eliminations [Member] | Supply [Member] | ' | ' | ' | ' | ' | ||||
Income Statement Data | ' | ' | ' | ' | ' | ||||
Revenues | ($11) | ($23) | ($37) | ($61) | ' | ||||
[1] | Includes unrealized gains and losses from economic activity. See Note 14 for additional information. | ||||||||
[2] | Primarily consists of unallocated assets, including cash, PP&E and the elimination of inter-segment transactions. |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, except Share data in Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Income (Numerator) | ' | ' | ' | ' | ||||
Income from continuing operations after income taxes attributable to PPL shareowners | $409 | $355 | $1,226 | $1,173 | ||||
Less amounts allocated to participating securities | 2 | 2 | 6 | 7 | ||||
Income from continuing operations after income taxes available to PPL shareowners - Basic | 407 | 353 | 1,220 | 1,166 | ||||
Plus interest charges (net of tax) related to Equity Units | 7 | ' | 37 | ' | ||||
Income from continuing operations after income taxes available to PPL shareowners - Diluted | 414 | 353 | 1,257 | 1,166 | ||||
Income (loss) from discontinued operations (net of income taxes) available to PPL common shareowners - Basic and Diluted | 1 | ' | 2 | -6 | ||||
Net income attributable to PPL shareowners | 410 | 355 | 1,228 | 1,167 | ||||
Less amounts allocated to participating securities | 2 | 2 | 6 | 7 | ||||
Net income available to PPL common shareowners - Basic | 408 | 353 | 1,222 | 1,160 | ||||
Plus interest charges (net of tax) related to Equity Units | 7 | ' | 37 | ' | ||||
Net income available to PPL common shareowners - Diluted | $415 | $353 | $1,259 | $1,160 | ||||
Shares of Common Stock (Denominator) | ' | ' | ' | ' | ||||
Weighted-average shares - Basic EPS (in shares) | 631,046 | 580,585 | 601,275 | 579,847 | ||||
Add incremental non-participating securities: | ' | ' | ' | ' | ||||
Share-based payment awards (in shares) | 1,163 | 635 | 1,035 | 522 | ||||
Equity Units (in shares) | 32,134 | 439 | 59,171 | 146 | ||||
Forward sale agreements (in shares) | ' | 977 | 613 | 415 | ||||
Weighted-average shares - Diluted EPS (in shares) | 664,343 | 582,636 | 662,094 | 580,930 | ||||
Basic EPS - Available to PPL common shareowners: | ' | ' | ' | ' | ||||
Income from continuing operations after income taxes (in dollars per share) | $0.65 | $0.61 | $2.03 | $2.01 | ||||
Income (loss) from discontinued operations (net of income taxes) (in dollars per share) | ' | ' | ' | ($0.01) | ||||
Net Income (in dollars per share) | $0.65 | $0.61 | $2.03 | $2 | ||||
Diluted EPS - Available to PPL common shareowners: | ' | ' | ' | ' | ||||
Income from continuing operations after income taxes (in dollars per share) | $0.62 | $0.61 | $1.90 | $2.01 | ||||
Income (loss) from discontinued operations (net of income taxes) (in dollars per share) | ' | ' | ' | ($0.01) | ||||
Net Income (in dollars per share) | $0.62 | $0.61 | $1.90 | $2 | ||||
Shares Issued (Numeric) [Abstract] | ' | ' | ' | ' | ||||
Common stock issued under stock-based compensation plans (in shares) | 85 | [1] | 159 | [1] | 1,469 | [1] | 512 | [1] |
Common stock issued under ESOP (in shares) | ' | ' | 275 | 280 | ||||
Common stock issued under DRIP (in shares) | ' | 598 | 549 | 1,773 | ||||
Stock Options [Member] | ' | ' | ' | ' | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' | ||||
Shares excluded from the computations of diluted EPS | 1,136 | 4,935 | 4,793 | 5,622 | ||||
Performance Units [Member] | ' | ' | ' | ' | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' | ||||
Shares excluded from the computations of diluted EPS | 1 | ' | 73 | 76 | ||||
Restricted Stock Units [Member] | ' | ' | ' | ' | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' | ||||
Shares excluded from the computations of diluted EPS | ' | ' | 39 | ' | ||||
[1] | Includes stock options exercised, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors. |
Income_Taxes_Reconciliation_of
Income Taxes (Reconciliation of Income Tax Expense) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||||
In Millions, unless otherwise specified | Jul. 31, 2013 | Jul. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Reconciliation of Income Tax Expense | ' | ' | ' | ' | ' | ' | ||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | ' | ' | $173 | $130 | $550 | $539 | ||||
Federal statutory tax rate | ' | ' | 35.00% | 35.00% | 35.00% | 35.00% | ||||
Increase (decrease) due to: | ' | ' | ' | ' | ' | ' | ||||
State income taxes, net of federal income tax benefit | ' | ' | 12 | 6 | 29 | 38 | ||||
State valuation allowance adjustments | ' | ' | 38 | [1] | 2 | [1] | 38 | [1] | 2 | [1] |
Impact of lower U.K. income tax rates | ' | ' | -38 | [2] | -30 | [2] | -101 | [2] | -75 | [2] |
U.S. income tax on foreign earnings - net of foreign tax credit | ' | ' | 10 | [3] | 1 | [3] | 5 | [3] | 2 | [3] |
Federal and state tax reserve adjustments | ' | ' | -1 | [4] | -2 | [4] | -41 | [4] | -7 | [4] |
Foreign tax reserve adjustments | ' | ' | -2 | ' | -2 | -5 | ||||
Federal and state income tax return adjustments | ' | ' | -4 | ' | -4 | ' | ||||
Enactment of the United Kingdom's Finance Act 2013 and 2012 | ' | ' | -93 | [2] | -74 | [2] | -93 | [2] | -74 | [2] |
Federal income tax credits | ' | ' | -4 | -5 | -9 | -12 | ||||
Amortization of investment tax credit | ' | ' | -1 | -2 | -6 | -7 | ||||
Depreciation not normalized | ' | ' | -2 | -2 | -6 | -6 | ||||
State deferred tax rate change | ' | ' | ' | -6 | [5] | ' | -17 | [5] | ||
Net operating loss carryforward adjustments | ' | ' | ' | ' | ' | -9 | [6] | |||
Intercompany interest on U.K. financing entities | ' | ' | -2 | [7] | -3 | [7] | -7 | [7] | -8 | [7] |
Other | ' | ' | -2 | 2 | -9 | 3 | ||||
Total increase (decrease) | ' | ' | -89 | -113 | -206 | -175 | ||||
Total income tax from continuing operations | ' | ' | 84 | 17 | 344 | 364 | ||||
United Kingdom statutory income tax rate in effect during period prior to a change | ' | ' | ' | ' | 23.00% | 25.00% | ||||
United Kingdom statutory income tax rate reduction | ' | 24.00% | ' | ' | ' | ' | ||||
United Kingdom statutory income tax rate reduction in 2014 | 21.00% | ' | ' | ' | ' | ' | ||||
United Kingdom statutory income tax rate reduction in 2015 | 20.00% | ' | ' | ' | ' | ' | ||||
Increase to income tax expense primarily attributable to a revision in the expected taxable amount of cash repatriation in 2013 | ' | ' | ' | ' | 24 | ' | ||||
Benefit related to the recalculation of 2010 United Kingdom earnings and profits | ' | ' | ' | ' | -19 | ' | ||||
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 | ' | ||||
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ' | ' | ||||
Reconciliation of Income Tax Expense | ' | ' | ' | ' | ' | ' | ||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | ' | ' | 70 | 25 | 98 | 205 | ||||
Federal statutory tax rate | ' | ' | 35.00% | 35.00% | 35.00% | 35.00% | ||||
Increase (decrease) due to: | ' | ' | ' | ' | ' | ' | ||||
State income taxes, net of federal income tax benefit | ' | ' | 7 | 1 | 10 | 25 | ||||
State valuation allowance adjustments | ' | ' | 4 | 2 | 4 | 2 | ||||
Federal and state tax reserve adjustments | ' | ' | ' | ' | 6 | [8] | ' | |||
Federal income tax credits | ' | ' | -4 | -4 | -7 | -10 | ||||
State deferred tax rate change | ' | ' | ' | -6 | [9] | ' | -17 | [9] | ||
Other | ' | ' | -3 | -2 | -5 | -3 | ||||
Total increase (decrease) | ' | ' | 4 | -9 | 8 | -3 | ||||
Total income tax from continuing operations | ' | ' | 74 | 16 | 106 | 202 | ||||
Reversal of tax benefit related to a 2008 change in accounting method | ' | ' | ' | ' | 3 | ' | ||||
Federal tax reserves related to differences in over (under) payment interest rates applied to audit claims as a result of the U.S. Supreme Court decision related to Windfall Profits tax | ' | ' | ' | ' | 4 | ' | ||||
PPL Electric Utilities Corp [Member] | ' | ' | ' | ' | ' | ' | ||||
Reconciliation of Income Tax Expense | ' | ' | ' | ' | ' | ' | ||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | ' | ' | 27 | 17 | 85 | 51 | ||||
Federal statutory tax rate | ' | ' | 35.00% | 35.00% | 35.00% | 35.00% | ||||
Increase (decrease) due to: | ' | ' | ' | ' | ' | ' | ||||
State income taxes, net of federal income tax benefit | ' | ' | 5 | 2 | 13 | 7 | ||||
Federal and state tax reserve adjustments | ' | ' | -2 | -2 | -6 | -5 | ||||
Depreciation not normalized | ' | ' | -2 | -1 | -6 | -5 | ||||
Other | ' | ' | -2 | ' | -3 | -1 | ||||
Total increase (decrease) | ' | ' | -1 | -1 | -2 | -4 | ||||
Total income tax from continuing operations | ' | ' | 26 | 16 | 83 | 47 | ||||
LG And E And KU Energy LLC [Member] | ' | ' | ' | ' | ' | ' | ||||
Reconciliation of Income Tax Expense | ' | ' | ' | ' | ' | ' | ||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | ' | ' | 56 | 46 | 144 | 96 | ||||
Federal statutory tax rate | ' | ' | 35.00% | 35.00% | 35.00% | 35.00% | ||||
Increase (decrease) due to: | ' | ' | ' | ' | ' | ' | ||||
State income taxes, net of federal income tax benefit | ' | ' | 6 | 5 | 14 | 7 | ||||
Amortization of investment tax credit | ' | ' | -1 | -1 | -3 | -4 | ||||
Net operating loss carryforward adjustments | ' | ' | ' | ' | ' | -9 | [10] | |||
Other | ' | ' | -2 | -2 | -2 | -1 | ||||
Total increase (decrease) | ' | ' | 3 | 2 | 9 | -7 | ||||
Total income tax from continuing operations | ' | ' | 59 | 48 | 153 | 89 | ||||
Louisville Gas And Electric Co [Member] | ' | ' | ' | ' | ' | ' | ||||
Reconciliation of Income Tax Expense | ' | ' | ' | ' | ' | ' | ||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | ' | ' | 27 | 24 | 67 | 52 | ||||
Federal statutory tax rate | ' | ' | 35.00% | 35.00% | 35.00% | 35.00% | ||||
Increase (decrease) due to: | ' | ' | ' | ' | ' | ' | ||||
State income taxes, net of federal income tax benefit | ' | ' | 3 | 2 | 7 | 5 | ||||
Other | ' | ' | -3 | -1 | -5 | -3 | ||||
Total increase (decrease) | ' | ' | ' | 1 | 2 | 2 | ||||
Total income tax from continuing operations | ' | ' | 27 | 25 | 69 | 54 | ||||
Kentucky Utilities Co [Member] | ' | ' | ' | ' | ' | ' | ||||
Reconciliation of Income Tax Expense | ' | ' | ' | ' | ' | ' | ||||
Federal income tax on Income (Loss) from Continuing Operations Before Income Taxes at statutory tax rate - 35% | ' | ' | 35 | 28 | 95 | 66 | ||||
Federal statutory tax rate | ' | ' | 35.00% | 35.00% | 35.00% | 35.00% | ||||
Increase (decrease) due to: | ' | ' | ' | ' | ' | ' | ||||
State income taxes, net of federal income tax benefit | ' | ' | 4 | 3 | 10 | 6 | ||||
Other | ' | ' | -3 | -1 | -4 | -2 | ||||
Total increase (decrease) | ' | ' | 1 | 2 | 6 | 4 | ||||
Total income tax from continuing operations | ' | ' | $36 | $30 | $101 | $70 | ||||
[1] | During the three and nine months ended September 30, 2013, PPL recorded an increase in state deferred income tax expense related to a deferred tax valuation allowance primarily due to a decrease in projected future taxable income over the remaining carryforward period of Pennsylvania net operating losses. | |||||||||
[2] | 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 in the third quarter of 2013 related to both rate decreases. Â Â Â Â Â Â Â Â 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 in the third quarter of 2012 related to both rate decreases. | |||||||||
[3] | During the three and nine months ended September 30, 2013, PPL recorded a $10 million and $24 million increase to income tax expense primarily attributable to a revision in the expected taxable amount of cash repatriation in 2013. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â During the nine months ended September 30, 2013, PPL recorded a tax benefit of $19 million 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. | |||||||||
[4] | In 1997, the U.K. imposed a Windfall Profits Tax (WPT) on privatized utilities, including WPD. PPL filed its 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. 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 the fourth quarter of 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 the nine months ended September 30, 2013, of which $19 million relates to interest. | |||||||||
[5] | During the three and nine months ended September 30, 2012, PPL recorded adjustments related to state deferred tax liabilities. | |||||||||
[6] | During the nine months ended September 30, 2012, PPL recorded adjustments to deferred taxes related to net operating loss carryforwards of LKE based on income tax return adjustments. | |||||||||
[7] | PPL recorded foreign income tax benefits related to interest expense on intercompany loans for which there was no domestic income tax expense. | |||||||||
[8] | During the nine months ended September 30, 2013, PPL Energy Supply reversed $3 million in tax benefits related to a 2008 change in method of accounting for certain expenditures for tax purposes and recorded $4 million in federal tax reserves related to differences in over (under) payment interest rates applied to audit claims as a result of the U.S. Supreme Court decision related to Windfall Profits Tax. | |||||||||
[9] | During the three and nine months ended September 30, 2012, PPL Energy Supply recorded adjustments related to state deferred tax liabilities. | |||||||||
[10] | During the nine months ended September 30, 2012, LKE recorded adjustments to deferred taxes related to net operating loss carryforwards based on income tax return adjustments. |
Income_Taxes_Unrecognized_Tax_
Income Taxes (Unrecognized Tax Benefits and Tax Litigation) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Unrecognized Tax Benefits [Abstract] | ' | ' | ' | ' |
Beginning of period | $36 | $113 | $92 | $145 |
Additions based on tax positions of prior years | ' | 2 | ' | 6 |
Reductions based on tax positions of prior years | ' | ' | -26 | -31 |
Additions based on tax positions related to the current year | ' | ' | 4 | ' |
Reductions based on tax positions related to the current year | ' | -1 | ' | -2 |
Settlements | ' | ' | -30 | ' |
Lapse of applicable statutes of limitations | -5 | -2 | -9 | -6 |
End of period | 31 | 112 | 31 | 112 |
Unrecognized Tax Benefits - Probable Increase (Decrease) Next 12 Months (Details) [Abstract] | ' | ' | ' | ' |
Total amount unrecognized tax benefits may increase in next 12 months | 16 | ' | 16 | ' |
Total amount unrecognized tax benefits may decrease in next 12 months | 30 | ' | 30 | ' |
Total unrecognized tax benefits and related effects that, if recognized, would decrease the effective tax rate | 21 | 34 | 21 | 34 |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' |
Unrecognized Tax Benefits [Abstract] | ' | ' | ' | ' |
Beginning of period | 15 | 31 | 30 | 28 |
Additions based on tax positions of prior years | ' | ' | ' | 4 |
Reductions based on tax positions of prior years | ' | ' | -15 | -1 |
End of period | 15 | 31 | 15 | 31 |
Unrecognized Tax Benefits - Probable Increase (Decrease) Next 12 Months (Details) [Abstract] | ' | ' | ' | ' |
Total amount unrecognized tax benefits may increase in next 12 months | ' | ' | ' | ' |
Total amount unrecognized tax benefits may decrease in next 12 months | 15 | ' | 15 | ' |
Total unrecognized tax benefits and related effects that, if recognized, would decrease the effective tax rate | 14 | 14 | 14 | 14 |
PPL Electric Utilities Corp [Member] | ' | ' | ' | ' |
Unrecognized Tax Benefits [Abstract] | ' | ' | ' | ' |
Beginning of period | 12 | 43 | 26 | 73 |
Reductions based on tax positions of prior years | ' | -1 | -10 | -28 |
Additions based on tax positions related to the current year | ' | ' | ' | 1 |
Lapse of applicable statutes of limitations | -3 | -2 | -7 | -6 |
End of period | 9 | 40 | 9 | 40 |
Unrecognized Tax Benefits - Probable Increase (Decrease) Next 12 Months (Details) [Abstract] | ' | ' | ' | ' |
Total amount unrecognized tax benefits may increase in next 12 months | 16 | ' | 16 | ' |
Total amount unrecognized tax benefits may decrease in next 12 months | $8 | ' | $8 | ' |
Utility_Rate_Regulation_Regula
Utility Rate Regulation (Regulatory Assets and Liabilities) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | $31 | $19 | ||
Noncurrent regulatory assets | 1,423 | 1,483 | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 68 | 61 | ||
Noncurrent regulatory liabilities | 1,054 | 1,010 | ||
Generation Supply Charge [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 21 | 27 | ||
Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | ' | 4 | ||
Gas Supply Clause [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 2 | 4 | ||
Gas Line Tracker [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 6 | ' | ||
Transmission Service Charge [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 9 | 6 | ||
Transmission Formula Rate [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 9 | ' | ||
Universal Service Rider [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 11 | 17 | ||
Accumulated Cost Of Removal Of Utility Plant [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 690 | 679 | ||
Coal Contracts [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 108 | [1] | 141 | [1] |
Power Purchase Agreement OVEC [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 102 | [1] | 108 | [1] |
Net Deferred Tax Assets [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 32 | 34 | ||
Act 129 Compliance Rider [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 14 | 8 | ||
Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 18 | 17 | ||
Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 84 | 14 | ||
Other Regulatory Liabilities [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 10 | 3 | ||
Noncurrent regulatory liabilities | 6 | 9 | ||
Gas Supply Clause [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 13 | 11 | ||
Fuel Adjustment Clause [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | ' | 6 | ||
Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 683 | 730 | ||
Taxes Recoverable Through Future Rates [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 302 | 293 | ||
Storm Costs [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 152 | 168 | ||
Unamortized Loss On Debt [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 88 | 96 | ||
Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 49 | 67 | ||
Accumulated Cost Of Removal Of Utility Plant [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 95 | 71 | ||
Asset Retirement Obligations [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 37 | 26 | ||
Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 7 | ' | ||
Other Regulatory Assets [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 11 | 2 | ||
Noncurrent regulatory assets | 17 | 32 | ||
PPL Electric Utilities Corp [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 2 | ' | ||
Noncurrent regulatory assets | 857 | 853 | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 51 | 52 | ||
Noncurrent regulatory liabilities | 14 | 8 | ||
PPL Electric Utilities Corp [Member] | Generation Supply Charge [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 21 | 27 | ||
PPL Electric Utilities Corp [Member] | Transmission Service Charge [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 9 | 6 | ||
PPL Electric Utilities Corp [Member] | Transmission Formula Rate [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 9 | ' | ||
PPL Electric Utilities Corp [Member] | Universal Service Rider [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 11 | 17 | ||
PPL Electric Utilities Corp [Member] | Act 129 Compliance Rider [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 14 | 8 | ||
PPL Electric Utilities Corp [Member] | Other Regulatory Liabilities [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 1 | 2 | ||
PPL Electric Utilities Corp [Member] | Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 345 | 362 | ||
PPL Electric Utilities Corp [Member] | Taxes Recoverable Through Future Rates [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 302 | 293 | ||
PPL Electric Utilities Corp [Member] | Storm Costs [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 55 | 59 | ||
PPL Electric Utilities Corp [Member] | Unamortized Loss On Debt [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 58 | 65 | ||
PPL Electric Utilities Corp [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 95 | 71 | ||
PPL Electric Utilities Corp [Member] | Other Regulatory Assets [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 2 | ' | ||
Noncurrent regulatory assets | 2 | 3 | ||
LG And E And KU Energy LLC [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 29 | 19 | ||
Noncurrent regulatory assets | 566 | 630 | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 17 | 9 | ||
Noncurrent regulatory liabilities | 1,040 | 1,002 | ||
LG And E And KU Energy LLC [Member] | Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | ' | 4 | ||
LG And E And KU Energy LLC [Member] | Gas Supply Clause [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 2 | 4 | ||
LG And E And KU Energy LLC [Member] | Gas Line Tracker [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 6 | ' | ||
LG And E And KU Energy LLC [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 690 | 679 | ||
LG And E And KU Energy LLC [Member] | Coal Contracts [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 108 | [1] | 141 | [1] |
LG And E And KU Energy LLC [Member] | Power Purchase Agreement OVEC [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 102 | [1] | 108 | [1] |
LG And E And KU Energy LLC [Member] | Net Deferred Tax Assets [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 32 | 34 | ||
LG And E And KU Energy LLC [Member] | Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 18 | 17 | ||
LG And E And KU Energy LLC [Member] | Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 84 | 14 | ||
LG And E And KU Energy LLC [Member] | Other Regulatory Liabilities [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 9 | 1 | ||
Noncurrent regulatory liabilities | 6 | 9 | ||
LG And E And KU Energy LLC [Member] | Gas Supply Clause [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 13 | 11 | ||
LG And E And KU Energy LLC [Member] | Fuel Adjustment Clause [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | ' | 6 | ||
LG And E And KU Energy LLC [Member] | Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 338 | 368 | ||
LG And E And KU Energy LLC [Member] | Storm Costs [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 97 | 109 | ||
LG And E And KU Energy LLC [Member] | Unamortized Loss On Debt [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 30 | 31 | ||
LG And E And KU Energy LLC [Member] | Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 49 | 67 | ||
LG And E And KU Energy LLC [Member] | Asset Retirement Obligations [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 37 | 26 | ||
LG And E And KU Energy LLC [Member] | Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 7 | ' | ||
LG And E And KU Energy LLC [Member] | Other Regulatory Assets [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 9 | 2 | ||
Noncurrent regulatory assets | 15 | 29 | ||
Louisville Gas And Electric Co [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 19 | 19 | ||
Noncurrent regulatory assets | 359 | 400 | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 11 | 4 | ||
Noncurrent regulatory liabilities | 489 | 471 | ||
Louisville Gas And Electric Co [Member] | Gas Supply Clause [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 2 | 4 | ||
Louisville Gas And Electric Co [Member] | Gas Line Tracker [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 6 | ' | ||
Louisville Gas And Electric Co [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 300 | 297 | ||
Louisville Gas And Electric Co [Member] | Coal Contracts [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 47 | [1] | 61 | [1] |
Louisville Gas And Electric Co [Member] | Power Purchase Agreement OVEC [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 71 | [1] | 75 | [1] |
Louisville Gas And Electric Co [Member] | Net Deferred Tax Assets [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 26 | 28 | ||
Louisville Gas And Electric Co [Member] | Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 42 | 7 | ||
Louisville Gas And Electric Co [Member] | Other Regulatory Liabilities [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 3 | ' | ||
Noncurrent regulatory liabilities | 3 | 3 | ||
Louisville Gas And Electric Co [Member] | Gas Supply Clause [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 13 | 11 | ||
Louisville Gas And Electric Co [Member] | Fuel Adjustment Clause [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | ' | 6 | ||
Louisville Gas And Electric Co [Member] | Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 212 | 232 | ||
Louisville Gas And Electric Co [Member] | Storm Costs [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 53 | 59 | ||
Louisville Gas And Electric Co [Member] | Unamortized Loss On Debt [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 19 | 20 | ||
Louisville Gas And Electric Co [Member] | Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 49 | 67 | ||
Louisville Gas And Electric Co [Member] | Asset Retirement Obligations [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 20 | 15 | ||
Louisville Gas And Electric Co [Member] | Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 2 | ' | ||
Louisville Gas And Electric Co [Member] | Other Regulatory Assets [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 4 | 2 | ||
Noncurrent regulatory assets | 6 | 7 | ||
Kentucky Utilities Co [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 10 | ' | ||
Noncurrent regulatory assets | 207 | 230 | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 6 | 5 | ||
Noncurrent regulatory liabilities | 551 | 531 | ||
Kentucky Utilities Co [Member] | Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | ' | 4 | ||
Kentucky Utilities Co [Member] | Accumulated Cost Of Removal Of Utility Plant [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 390 | 382 | ||
Kentucky Utilities Co [Member] | Coal Contracts [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 61 | [1] | 80 | [1] |
Kentucky Utilities Co [Member] | Power Purchase Agreement OVEC [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 31 | [1] | 33 | [1] |
Kentucky Utilities Co [Member] | Net Deferred Tax Assets [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 6 | 6 | ||
Kentucky Utilities Co [Member] | Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 18 | 17 | ||
Kentucky Utilities Co [Member] | Interest Rate Swaps [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Noncurrent regulatory liabilities | 42 | 7 | ||
Kentucky Utilities Co [Member] | Other Regulatory Liabilities [Member] | ' | ' | ||
Regulatory Liabilities [Line Items] | ' | ' | ||
Current regulatory liabilities | 6 | 1 | ||
Noncurrent regulatory liabilities | 3 | 6 | ||
Kentucky Utilities Co [Member] | Defined Benefit Plans [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 126 | 136 | ||
Kentucky Utilities Co [Member] | Storm Costs [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 44 | 50 | ||
Kentucky Utilities Co [Member] | Unamortized Loss On Debt [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 11 | 11 | ||
Kentucky Utilities Co [Member] | Asset Retirement Obligations [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Noncurrent regulatory assets | 17 | 11 | ||
Kentucky Utilities Co [Member] | Environmental Cost Recovery [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 5 | ' | ||
Kentucky Utilities Co [Member] | Other Regulatory Assets [Member] | ' | ' | ||
Regulatory Assets [Line Items] | ' | ' | ||
Current regulatory assets | 5 | ' | ||
Noncurrent regulatory assets | $9 | $22 | ||
[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_Regula1
Utility Rate Regulation (Regulatory Matters) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 |
Integer | |||
Y | |||
Regulatory Matters - Pennsylvania Activities - Act 129 (Numeric) [Abstract] | ' | ' | ' |
Under Act 129, percentage cap on costs that can be recovered for implementation of EE and C plan | ' | 2.00% | ' |
Under Act 129, percentage reduction in electricity consumption by 2011 | ' | 1.00% | ' |
Under Act 129, percentage reduction in electricity consumption by 2013 | ' | 3.00% | ' |
Under Act 129, percentage reduction in peak demand electricity consumption by 2013 | ' | 4.50% | ' |
Number of hours that are the benchmark for demand reductions by 2013 | ' | 100 | ' |
Number of years EDCs have to comply with consumption reduction target | ' | 3 | ' |
Under Act 129, percentage reduction in electricity target for the company under the Phase II program | ' | 2.10% | ' |
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 | ' |
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 - United Kingdom Activities - Ofgem Review of Line Loss Calculation (Numeric) [Abstract] | ' | ' | ' |
Charge to income during period for line loss incentive/penalty liability | $21 | $45 | ' |
Minimum potential loss exposure regarding line loss incentive/penalty | 93 | 93 | ' |
Maximum potential loss exposure regarding line loss incentive/penalty | 226 | 226 | ' |
Liability at period end regarding line loss incentive/penalty | 93 | 93 | 94 |
Reduction in liability for line loss liability, beginning April 2013, resulting refunds included in tariff | ' | 41 | ' |
PPL Electric [Member] | Distribution Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 71 | ' |
Return on equity used in approved rate case proceeding | ' | 10.40% | ' |
LGE [Member] | Electric Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 34 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
LGE [Member] | Gas Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 15 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
KU [Member] | Electric Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 51 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
PPL Electric Utilities Corp [Member] | ' | ' | ' |
Regulatory Matters - Pennsylvania Activities - Act 129 (Numeric) [Abstract] | ' | ' | ' |
Under Act 129, percentage cap on costs that can be recovered for implementation of EE and C plan | ' | 2.00% | ' |
Under Act 129, percentage reduction in electricity consumption by 2011 | ' | 1.00% | ' |
Under Act 129, percentage reduction in electricity consumption by 2013 | ' | 3.00% | ' |
Under Act 129, percentage reduction in peak demand electricity consumption by 2013 | ' | 4.50% | ' |
Number of hours that are the benchmark for demand reductions by 2013 | ' | 100 | ' |
Number of years EDCs have to comply with consumption reduction target | ' | 3 | ' |
Under Act 129, percentage reduction in electricity target for the company under the Phase II program | ' | 2.10% | ' |
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 | ' |
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 Utilities Corp [Member] | Distribution Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 71 | ' |
Return on equity used in approved rate case proceeding | ' | 10.40% | ' |
LG And E And KU Energy LLC [Member] | LGE [Member] | Electric Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 34 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
LG And E And KU Energy LLC [Member] | LGE [Member] | Gas Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 15 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
LG And E And KU Energy LLC [Member] | KU [Member] | Electric Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 51 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
Louisville Gas And Electric Co [Member] | Electric Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 34 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
Louisville Gas And Electric Co [Member] | Gas Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | 15 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
Kentucky Utilities Co [Member] | Electric Rates [Member] | ' | ' | ' |
Regulatory Matters - Rate Case Proceeding (Numeric) [Abstract] | ' | ' | ' |
Dollar amount of increase to rates | ' | $51 | ' |
Return on equity used in approved rate case proceeding | ' | 10.25% | ' |
Financing_Activities_Credit_Ar
Financing Activities (Credit Arrangements) (Details) | 9 Months Ended | 12 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Aug. 31, 2013 | Dec. 31, 2012 | Feb. 28, 2013 | Sep. 30, 2013 | Apr. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | 31-May-13 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Aug. 31, 2013 | Dec. 31, 2012 | Feb. 28, 2013 | Sep. 30, 2013 | Apr. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | 31-May-13 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | 31-May-13 | Sep. 30, 2013 | Dec. 31, 2012 | ||||||||||||
PPL WW [Member] | PPL WW [Member] | PPL WW [Member] | PPL WW [Member] | WPD South West [Member] | WPD East Midlands [Member] | WPD East Midlands [Member] | WPD West Midlands [Member] | WPD West Midlands [Member] | WPD [Member] | WPD [Member] | WPD [Member] | WPD [Member] | WPD [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 Energy Supply [Member] | PPL Energy Supply [Member] | PPL Energy Supply [Member] | PPL Electric [Member] | PPL Electric [Member] | LGE [Member] | LGE [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [Member] | KU [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 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] | 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] | |||||||||||||
Syndicated Credit 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] | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | USD ($) | GBP (£) | GBP (£) | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [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] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | Uncommitted Credit Facilities [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [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] | LGE [Member] | LGE [Member] | KU [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] | Letter Of Credit Facility [Member] | |||||||||||||
GBP (£) | GBP (£) | USD Denominated Borrowing [Member] | USD Denominated Borrowing [Member] | GBP (£) | GBP (£) | USD Denominated Borrowing [Member] | GBP (£) | USD Denominated Borrowing [Member] | GBP (£) | GBP (£) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | USD ($) | USD ($) | Syndicated Credit Facility [Member] | Syndicated Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | Letter Of Credit Facility [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||||||||||||||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | Integer | Integer | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing Activities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Expiration date | 21-Dec-16 | 24-Jan-13 | ' | ' | 12-Jan-17 | 16-Apr-16 | ' | 16-Apr-16 | ' | ' | ' | ' | ' | ' | ' | ' | 6-Nov-17 | ' | ' | ' | ' | 31-Mar-13 | 31-Mar-14 | ' | ' | 30-Jun-17 | 30-Nov-17 | 18-Oct-17 | ' | 6-Nov-17 | ' | ' | ' | 6-Nov-17 | ' | 29-Apr-14 | 1-May-16 | [1] | ' | ' | ' | 6-Nov-17 | ' | ' | ' | ' | 31-Mar-13 | 31-Mar-14 | ' | ' | 30-Jun-17 | 30-Nov-17 | 18-Oct-17 | ' | 30-Oct-18 | 6-Nov-17 | ' | ' | ' | 6-Nov-17 | ' | 29-Apr-14 | 1-May-16 | [1] | ' | 6-Nov-17 | ' | ' | ' | 6-Nov-17 | ' | 29-Apr-14 | 1-May-16 | [1] | ' | |||||||||
Capacity | £ 210 | [2] | £ 150 | ' | ' | £ 245 | £ 300 | ' | £ 300 | ' | ' | £ 1,139 | ' | £ 84 | ' | $3,325 | ' | $3,000 | ' | $175 | [3] | $200 | ' | ' | $150 | [4] | $200 | ' | ' | ' | $300 | ' | $500 | ' | $598 | ' | $400 | ' | ' | $198 | ' | $3,325 | ' | $3,000 | ' | $175 | [3] | $200 | ' | ' | $150 | [4] | $200 | ' | ' | ' | $300 | ' | $75 | $500 | ' | $598 | ' | $400 | ' | ' | $198 | ' | $500 | ' | $598 | ' | $400 | ' | ' | $198 | ' | |||||||
Borrowed | 106 | [5] | 106 | [5] | 166 | 171 | ' | 44 | [5] | 68 | 34 | [5] | 53 | ' | 184 | 106 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Letters of credit issued and commercial paper backstop | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | 4 | 5 | 4 | 221 | 671 | 61 | 499 | 51 | ' | 40 | ' | 109 | ' | 132 | ' | ' | 1 | 1 | 72 | 55 | 338 | 268 | 140 | 70 | ' | 198 | 198 | 221 | 671 | 61 | 499 | 51 | ' | 40 | ' | 109 | ' | 132 | ' | ' | 1 | 1 | ' | 72 | 55 | 338 | 268 | 140 | 70 | ' | 198 | 198 | 72 | 55 | 338 | 268 | 140 | 70 | ' | 198 | 198 | ||||||||||||
Unused capacity | 104 | ' | ' | ' | 245 | 256 | ' | 266 | ' | 1,500 | [6] | 950 | ' | 79 | ' | 3,104 | ' | 2,939 | ' | 124 | ' | ' | ' | 41 | ' | ' | ' | ' | 299 | ' | 428 | ' | 260 | ' | 260 | ' | ' | ' | ' | 3,104 | ' | 2,939 | ' | 124 | ' | ' | ' | 41 | ' | ' | ' | ' | 299 | ' | ' | 428 | ' | 260 | ' | 260 | ' | ' | ' | ' | 428 | ' | 260 | ' | 260 | ' | ' | ' | ' | |||||||||||
Interest rate on outstanding borrowing | 1.89% | 0.85% | ' | ' | ' | 1.30% | ' | 1.30% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Potential maximum Facility Agreement capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Secured energy marketing and trading facility capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $800 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $800 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Automatic renewal term (in years) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
[1] | In May 2013, KU extended the letter of credit facility from April 2014. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | In December 2012, the PPL WW syndicated credit facility that was set to expire in January 2013 was replaced and the capacity was increased from £150 million. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | In August 2013, the capacity was reduced from $200 million. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[4] | In February 2013, PPL Energy Supply extended the expiration date from March 2013 and, effective April 2013, the capacity was reduced from $200 million. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[5] | PPL WW's amounts borrowed at September 30, 2013 and December 31, 2012 were USD-denominated borrowings of $166 million and $171 million, which equated to £106 million at the time of borrowings and bore interest at 1.89% and 0.85%. WPD (East Midlands) amount borrowed at September 30, 2013 was a GBP-denominated borrowing of £44 million, which equated to $68 million and bore interest at 1.30%. WPD (West Midlands) amount borrowed at September 30, 2013 was a GBP-denominated borrowing of £34 million, which equated to $53 million and bore interest at 1.30%. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[6] | At September 30, 2013, the USD equivalent of unused capacity under WPD's credit facilities was $1.5 billion. |
Financing_Activities_Shortterm
Financing Activities (Short-term Debt) (Details) (Commercial Paper [Member], USD $) | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | |
In Millions, unless otherwise specified | ||||
Short-term Debt [Line Items] | ' | ' | ' | |
Capacity | $1,750 | ' | ' | |
Commercial paper issuances | 212 | ' | 481 | |
Unused capacity | 1,538 | ' | ' | |
PPL Energy Supply [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | ' | ' | 0.50% | |
Capacity | 750 | ' | ' | |
Commercial paper issuances | ' | ' | 356 | |
Unused capacity | 750 | ' | ' | |
PPL Electric [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Capacity | 300 | ' | ' | |
Unused capacity | 300 | ' | ' | |
LGE [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | 0.28% | ' | 0.42% | |
Capacity | 350 | [1] | 250 | ' |
Commercial paper issuances | 72 | ' | 55 | |
Unused capacity | 278 | ' | ' | |
KU [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | 0.28% | ' | 0.42% | |
Capacity | 350 | [1] | 250 | ' |
Commercial paper issuances | 140 | ' | 70 | |
Unused capacity | 210 | ' | ' | |
PPL Energy Supply LLC [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | ' | ' | 0.50% | |
Capacity | 750 | ' | ' | |
Commercial paper issuances | ' | ' | 356 | |
Unused capacity | 750 | ' | ' | |
PPL Electric Utilities Corp [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Capacity | 300 | ' | ' | |
Unused capacity | 300 | ' | ' | |
LG And E And KU Energy LLC [Member] | LGE [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | 0.28% | ' | 0.42% | |
Capacity | 350 | [1] | 250 | ' |
Commercial paper issuances | 72 | ' | 55 | |
Unused capacity | 278 | ' | ' | |
LG And E And KU Energy LLC [Member] | KU [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | 0.28% | ' | 0.42% | |
Capacity | 350 | [1] | 250 | ' |
Commercial paper issuances | 140 | ' | 70 | |
Unused capacity | 210 | ' | ' | |
Louisville Gas And Electric Co [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | 0.28% | ' | 0.42% | |
Capacity | 350 | [1] | 250 | ' |
Commercial paper issuances | 72 | ' | 55 | |
Unused capacity | 278 | ' | ' | |
Kentucky Utilities Co [Member] | ' | ' | ' | |
Short-term Debt [Line Items] | ' | ' | ' | |
Weighted-average interest rate | 0.28% | ' | 0.42% | |
Capacity | 350 | [1] | 250 | ' |
Commercial paper issuances | 140 | ' | 70 | |
Unused capacity | $210 | ' | ' | |
[1] | In April 2013, the capacity was increased from $250 million. |
Financing_Activities_Longterm_
Financing Activities (Long-term Debt and Equity Securities) (Details) | 1 Months Ended | 9 Months Ended | 1 Months Ended | 6 Months Ended | 1 Months Ended | ||||||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Jul. 31, 2013 | 31-May-13 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | 31-May-13 | Jun. 30, 2013 | 31-May-13 | 31-May-13 | 31-May-13 | 31-May-13 | 31-May-13 | 31-May-13 | Feb. 28, 2013 | Feb. 28, 2013 | Jul. 31, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Jul. 31, 2013 | 31-May-13 | Apr. 30, 2013 | Apr. 30, 2012 | |
USD ($) | Integer | USD ($) | USD ($) | Equity Units 2011 [Member] | Junior Subordinated Notes [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 Energy Supply [Member] | PPL Ironwood [Member] | PPL Electric Utilities Corporation [Member] | WPD East Midlands [Member] | WPD East Midlands [Member] | WPD East Midlands [Member] | WPD East Midlands [Member] | WPD West Midlands [Member] | WPD West Midlands [Member] | PPL Energy Supply LLC [Member] | PPL Energy Supply LLC [Member] | PPL Electric Utilities Corp [Member] | Forward Sale Agreement [Member] | Forward Sale Agreement [Member] | Forward Sale Agreement [Member] | ||
USD ($) | USD ($) | 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 Secured Notes [Member] | First Mortgage Bonds [Member] | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | Index Linked Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | Senior Unsecured Notes [Member] | PPL Ironwood [Member] | First Mortgage Bonds [Member] | USD ($) | USD ($) | Integer | ||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | USD ($) | GBP (£) | USD ($) | GBP (£) | USD ($) | Senior Secured Notes [Member] | USD ($) | |||||||||||
USD ($) | |||||||||||||||||||||||||||||
Equity Securities (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Number of shares of common stock repurchased | ' | ' | 2,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Repurchase of common stock due to the repurchase program | ' | ' | $74 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Shares of PPL common stock issued | 40,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Price per share of PPL common stock issued | $28.73 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Equity Sale Agreement [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Number of shares of common stock covered by a forward contract | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,900,000 | |
Number of counterparties involved in the sale agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | |
Additional shares to cover over-allotments covered by a forward contract | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 591,000 | |
Settlement date of forward sale agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-May-13 | 30-Apr-13 | ' | |
Shares physically delivered relating to forward sale agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,400,000 | ' | |
Shares cash settled relating to forward sale agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 591,000 | 1,500,000 | ' | |
Initial forward price used to calculate the forward sale price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $27.02 | ' | |
Cash settlement of equity forward agreements | ' | ' | 13 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -4 | ' | ' |
Net cash received on stock transaction | 1,150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 205 | ' | |
Long-term Debt (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Principal amount | ' | ' | ' | ' | ' | ' | 450 | 1,150 | 300 | 850 | 250 | 600 | 300 | 212 | ' | 350 | ' | 25 | ' | 40 | ' | 400 | 212 | ' | 350 | ' | ' | ' | |
Stated interest rate | ' | ' | ' | ' | ' | ' | 5.90% | 4.63% | 2.04% | 2.77% | 1.90% | 3.40% | 4.70% | 4.60% | 8.86% | 4.75% | 1.68% | 1.68% | 1.68% | 1.68% | 3.88% | 3.88% | 4.60% | 8.86% | 4.75% | ' | ' | ' | |
Maturity date (in year) | ' | ' | ' | ' | ' | ' | 30-Apr-73 | 1-Jul-18 | 1-Jun-16 | 1-Jun-18 | 1-Jun-18 | 1-Jun-23 | 1-Jun-43 | 15-Dec-21 | 30-Nov-25 | 15-Jul-43 | 24-Sep-52 | 24-Sep-52 | 24-Sep-52 | 24-Sep-52 | 17-Oct-24 | 17-Oct-24 | 15-Dec-21 | 30-Nov-25 | 15-Jul-43 | ' | ' | ' | |
Net proceeds from issuance of unsecured debt | ' | ' | ' | ' | ' | ' | 436 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40 | 25 | 64 | 40 | 637 | 394 | ' | ' | ' | ' | ' | ' | |
Proceeds from issuance of secured debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 345 | ' | ' | ' | ' | ' | ' | ' | ' | 345 | ' | ' | ' | |
Principal amount of debt exchanged | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 167 | ' | ' | ' | ' | ' | ' | ' | ' | 167 | ' | ' | ' | ' | |
Number of tranches of debt entered into relating to the debt extinguishment | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Interest payments relating to debt extinguishment costs | ' | ' | ' | ' | ' | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Equity Units [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Aggregate value of Equity Units expected to be remarketed | ' | ' | ' | ' | $978 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
[1] | See Note 7 for additional information. |
Financing_Activities_Distribut
Financing Activities (Distributions and Capital Contributions) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Aug. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Distributions And Capital Contributions [Line Items] | ' | ' | ' | ' | ' |
Quarterly common stock dividend declaration date | '2013-08 | ' | ' | ' | ' |
Dividend payable date of quarterly common stock dividend | 1-Oct-13 | ' | ' | ' | ' |
Current quarterly common stock dividend (in dollars per share) | $0.37 | $0.37 | $0.36 | $1.10 | $1.08 |
Annualized current quarterly common stock dividend (in dollars per share) | $1.47 | ' | ' | ' | ' |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ' |
Distributions And Capital Contributions [Line Items] | ' | ' | ' | ' | ' |
Dividends/distributions paid to parent/member | ' | ' | ' | $408 | $733 |
Capital contributions received from parent/member | ' | ' | ' | 980 | 472 |
PPL Electric Utilities Corp [Member] | ' | ' | ' | ' | ' |
Distributions And Capital Contributions [Line Items] | ' | ' | ' | ' | ' |
Dividends/distributions paid to parent/member | ' | ' | ' | 94 | 75 |
Capital contributions received from parent/member | ' | ' | ' | 205 | 150 |
LG And E And KU Energy LLC [Member] | ' | ' | ' | ' | ' |
Distributions And Capital Contributions [Line Items] | ' | ' | ' | ' | ' |
Dividends/distributions paid to parent/member | ' | ' | ' | 116 | 95 |
Capital contributions received from parent/member | ' | ' | ' | 146 | ' |
Louisville Gas And Electric Co [Member] | ' | ' | ' | ' | ' |
Distributions And Capital Contributions [Line Items] | ' | ' | ' | ' | ' |
Dividends/distributions paid to parent/member | ' | ' | ' | 67 | 47 |
Capital contributions received from parent/member | ' | ' | ' | 54 | ' |
Kentucky Utilities Co [Member] | ' | ' | ' | ' | ' |
Distributions And Capital Contributions [Line Items] | ' | ' | ' | ' | ' |
Dividends/distributions paid to parent/member | ' | ' | ' | 83 | 68 |
Capital contributions received from parent/member | ' | ' | ' | $92 | ' |
Acquisitions_Development_and_D1
Acquisitions, Development and Divestures (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
mi | ||
kV | ||
Integer | ||
Other - Montana Transactions (Numeric) [Line Items] | ' | ' |
Capacity of facilities to be sold (in MW) | 633 | ' |
Agreed upon sales price for disposal of hydroelectric facilities owned by PPL Montana | $900 | ' |
Number of hydroelectric facilities owned by PPL Montana to be sold | 11 | ' |
Agreed upon amount to terminate a sale-leaseback arrangement by PPL Montana | 271 | ' |
Expected minimum amount of estimated loss on future sale-leaseback termination, after-tax | 310 | ' |
Expected maximum amount of estimated loss on future sale-leaseback termination, after-tax | 430 | ' |
Current book value of lease related assets on the balance sheet | 450 | ' |
Green River Plant [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 700 | ' |
Expected capital cost of an expansion project | 700 | ' |
Solar Generation Facility [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 10 | ' |
Expected capital cost of an expansion project | 25 | ' |
Proposed Bell Bend Nuclear Unit [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Amount currently authorized by Board of Directors to spend on Bell Bend COLA | 205 | ' |
Capitalized costs associated with licensing efforts | 169 | 154 |
Rainbow Hydroelectric Plant Expansion [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 63 | ' |
Susquehanna Roseland Transmission Line [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Expected capital cost of an expansion project | 630 | ' |
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 | 200 |
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 | ' |
Adder to the return on equity incentive denied in ratemaking request (in basis points) | 100 | ' |
Zoning petitions to be approved | 2 | ' |
Project costs that qualify for the construction work in progress incentive | 308 | ' |
Ironwood [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date | 13-Apr-12 | ' |
Lower Mount Bethel Plant [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Purchase price at lease termination | 455 | ' |
PPL Energy Supply LLC [Member] | ' | ' |
Other - Montana Transactions (Numeric) [Line Items] | ' | ' |
Capacity of facilities to be sold (in MW) | 633 | ' |
Agreed upon sales price for disposal of hydroelectric facilities owned by PPL Montana | 900 | ' |
Number of hydroelectric facilities owned by PPL Montana to be sold | 11 | ' |
Agreed upon amount to terminate a sale-leaseback arrangement by PPL Montana | 271 | ' |
Expected minimum amount of estimated loss on future sale-leaseback termination, after-tax | 310 | ' |
Expected maximum amount of estimated loss on future sale-leaseback termination, after-tax | 430 | ' |
Current book value of lease related assets on the balance sheet | 450 | ' |
PPL Energy Supply LLC [Member] | Proposed Bell Bend Nuclear Unit [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Amount currently authorized by Board of Directors to spend on Bell Bend COLA | 205 | ' |
Capitalized costs associated with licensing efforts | 169 | 154 |
PPL Energy Supply LLC [Member] | Rainbow Hydroelectric Plant Expansion [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 63 | ' |
PPL Energy Supply LLC [Member] | Ironwood [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Acquisition date | 13-Apr-12 | ' |
PPL Energy Supply LLC [Member] | Lower Mount Bethel Plant [Member] | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Purchase price at lease termination | 455 | ' |
PPL Electric Utilities Corp [Member] | Susquehanna Roseland Transmission Line [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Expected capital cost of an expansion project | 630 | ' |
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 | 200 |
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 | ' |
Adder to the return on equity incentive denied in ratemaking request (in basis points) | 100 | ' |
Zoning petitions to be approved | 2 | ' |
Project costs that qualify for the construction work in progress incentive | 308 | ' |
LG And E And KU Energy LLC [Member] | Green River Plant [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 700 | ' |
Expected capital cost of an expansion project | 700 | ' |
LG And E And KU Energy LLC [Member] | Solar Generation Facility [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 10 | ' |
Expected capital cost of an expansion project | 25 | ' |
Louisville Gas And Electric Co [Member] | Green River Plant [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 700 | ' |
Expected capital cost of an expansion project | 700 | ' |
Louisville Gas And Electric Co [Member] | Solar Generation Facility [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 10 | ' |
Expected capital cost of an expansion project | 25 | ' |
Kentucky Utilities Co [Member] | Green River Plant [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 700 | ' |
Expected capital cost of an expansion project | 700 | ' |
Kentucky Utilities Co [Member] | Solar Generation Facility [Member] | ' | ' |
Development Projects [Abstract] | ' | ' |
Completed capacity expansion (in MW) | 10 | ' |
Expected capital cost of an expansion project | $25 | ' |
Defined_Benefits_Details
Defined Benefits (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Pension Benefits - U.S. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | $31 | $25 | $94 | $77 |
Interest cost | 53 | 55 | 160 | 165 |
Expected return on plan assets | -73 | -65 | -220 | -195 |
Amortization of: | ' | ' | ' | ' |
Prior service cost | 6 | 6 | 17 | 18 |
Actuarial (gain) loss | 20 | 11 | 60 | 32 |
Net periodic defined benefit costs (credits) | 37 | 32 | 111 | 97 |
Pension Benefits - U.K. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | 18 | 13 | 52 | 40 |
Interest cost | 79 | 85 | 238 | 254 |
Expected return on plan assets | -115 | -115 | -346 | -340 |
Amortization of: | ' | ' | ' | ' |
Prior service cost | ' | 1 | ' | 3 |
Actuarial (gain) loss | 37 | 19 | 112 | 59 |
Net periodic defined benefit costs (credits) | 19 | 3 | 56 | 16 |
Other Postretirement Benefits - U.S. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | 4 | 3 | 11 | 9 |
Interest cost | 7 | 7 | 21 | 23 |
Expected return on plan assets | -6 | -6 | -18 | -17 |
Amortization of: | ' | ' | ' | ' |
Transition obligation | ' | ' | ' | 1 |
Prior service cost | ' | 1 | ' | 1 |
Actuarial (gain) loss | 1 | 1 | 4 | 3 |
Net periodic defined benefit costs (credits) | 6 | 6 | 18 | 20 |
PPL Energy Supply LLC [Member] | PPL Services [Member] | ' | ' | ' | ' |
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ' | ' | ' | ' |
Costs allocated to subsidiary by plan sponsors | 11 | 10 | 34 | 29 |
PPL Energy Supply LLC [Member] | Pension Benefits - U.S. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | 1 | 1 | 5 | 4 |
Interest cost | 2 | 2 | 6 | 6 |
Expected return on plan assets | -2 | -2 | -7 | -7 |
Amortization of: | ' | ' | ' | ' |
Actuarial (gain) loss | 1 | 1 | 2 | 2 |
Net periodic defined benefit costs (credits) | 2 | 2 | 6 | 5 |
PPL Electric Utilities Corp [Member] | PPL Services [Member] | ' | ' | ' | ' |
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ' | ' | ' | ' |
Costs allocated to subsidiary by plan sponsors | 9 | 8 | 27 | 23 |
LG And E And KU Energy LLC [Member] | Pension Benefits - U.S. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | 6 | 5 | 19 | 16 |
Interest cost | 16 | 16 | 47 | 48 |
Expected return on plan assets | -20 | -17 | -61 | -52 |
Amortization of: | ' | ' | ' | ' |
Prior service cost | 1 | 2 | 3 | 4 |
Actuarial (gain) loss | 8 | 5 | 25 | 16 |
Net periodic defined benefit costs (credits) | 11 | 11 | 33 | 32 |
LG And E And KU Energy LLC [Member] | Other Postretirement Benefits - U.S. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | 2 | 1 | 4 | 3 |
Interest cost | 2 | 3 | 6 | 7 |
Expected return on plan assets | -2 | -1 | -4 | -3 |
Amortization of: | ' | ' | ' | ' |
Transition obligation | ' | ' | ' | 1 |
Prior service cost | 1 | ' | 2 | 2 |
Actuarial (gain) loss | ' | ' | ' | -1 |
Net periodic defined benefit costs (credits) | 3 | 3 | 8 | 9 |
Louisville Gas And Electric Co [Member] | LKE [Member] | ' | ' | ' | ' |
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ' | ' | ' | ' |
Costs allocated to subsidiary by plan sponsors | 3 | 3 | 9 | 9 |
Louisville Gas And Electric Co [Member] | Pension Benefits - U.S. [Member] | ' | ' | ' | ' |
Defined Benefits [Line Items] | ' | ' | ' | ' |
Service cost | 1 | ' | 2 | 1 |
Interest cost | 3 | 4 | 10 | 11 |
Expected return on plan assets | -5 | -5 | -15 | -14 |
Amortization of: | ' | ' | ' | ' |
Prior service cost | 1 | 1 | 2 | 2 |
Actuarial (gain) loss | 3 | 3 | 10 | 8 |
Net periodic defined benefit costs (credits) | 3 | 3 | 9 | 8 |
Kentucky Utilities Co [Member] | LKE [Member] | ' | ' | ' | ' |
Net Periodic Defined Benefit Costs Allocated to Subsidiary by Sponsor (Numeric) [Abstract] | ' | ' | ' | ' |
Costs allocated to subsidiary by plan sponsors | $4 | $4 | $13 | $13 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Energy Purchases, Energy Sales, Other Commitments, Legal Matters and Regulatory Issues) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Integer | |||
MW | |||
Energy Purchase Commitments (Numeric) [Abstract] | ' | ' | ' |
Pre-tax charges incurred from coal contract modifications | $17,000,000 | ' | $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 | ' |
Number of competitive solicitations completed to date under the Public Utility Commission approved purchase plan | ' | 2 | ' |
Total number of competitive solicitations under the Public Utility Commission approved purchase plan | ' | 4 | ' |
Legal Matters - Sierra Club Litigation (Numeric) [Abstract] | ' | ' | ' |
Number of separate claims included in the complaint against PPL Montana | ' | 39 | ' |
Number of 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 | ' |
Amount of civil penalities to be used for beneficial mitigation projects | ' | 100,000 | ' |
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] | ' | ' | ' |
Amount for claims remaining unsettled at period end | ' | 50,000,000 | ' |
Settlement amount reached with one of the parties | ' | 75,000 | ' |
Amount of claim sought by City of Tacoma | ' | 23,000,000 | ' |
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | ' | ' | ' |
Maximum per day penalties for reliability violations | ' | 1,000,000 | ' |
PPL Energy Supply LLC [Member] | ' | ' | ' |
Energy Purchase Commitments (Numeric) [Abstract] | ' | ' | ' |
Pre-tax charges incurred from coal contract modifications | 17,000,000 | ' | 29,000,000 |
Legal Matters - Sierra Club Litigation (Numeric) [Abstract] | ' | ' | ' |
Number of separate claims included in the complaint against PPL Montana | ' | 39 | ' |
Number of 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 | ' |
Amount of civil penalities to be used for beneficial mitigation projects | ' | 100,000 | ' |
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] | ' | ' | ' |
Amount for claims remaining unsettled at period end | ' | 50,000,000 | ' |
Settlement amount reached with one of the parties | ' | 75,000 | ' |
Amount of claim sought by City of Tacoma | ' | 23,000,000 | ' |
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 | ' |
Number of competitive solicitations completed to date under the Public Utility Commission approved purchase plan | ' | 2 | ' |
Total number of competitive solicitations under the Public Utility Commission approved purchase plan | ' | 4 | ' |
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 - Electric - Reliability Standards (Numeric) [Abstract] | ' | ' | ' |
Maximum per day penalties for reliability violations | ' | 1,000,000 | ' |
LG And E And KU Energy LLC [Member] | ' | ' | ' |
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | ' | ' | ' |
Maximum per day penalties for reliability violations | ' | 1,000,000 | ' |
Louisville Gas And Electric Co [Member] | ' | ' | ' |
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | ' | ' | ' |
Maximum per day penalties for reliability violations | ' | 1,000,000 | ' |
Kentucky Utilities Co [Member] | ' | ' | ' |
Regulatory Issues - Electric - Reliability Standards (Numeric) [Abstract] | ' | ' | ' |
Maximum per day penalties for reliability violations | ' | $1,000,000 | ' |
Commitments_and_Contingencies_2
Commitments and Contingencies (Environmental Matter and Other) (Details) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
MW | |
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 - National Ambient Air Quality Standards [Abstract] | ' |
Standard for sulfur dioxide emissions (in hours) | 1 |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ' |
Period for compliance with final mercury and air toxics standards (in years) | 3 |
Possible period of extension to comply with final mercury and air toxics standards (in years) | 1 |
Number of extension requests received in Kentucky to comply with mercury and air toxics standards | 2 |
Number of plants in Pennsylvania included in extension request to comply with mercury and air toxics standards | 1 |
Carrying value of Corette plant in Montana that is being moved to long-term reserve status | $67,000,000 |
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 northeastern states that signed a Memorandum of Understanding that established Regional Greenhouse Gas Initiative | 10 |
Minimum capacity of electric power plants that are impacted by Regional Greenhouse Gas Initiative's emissions stabilization program (in MW) | 25 |
Percentage reduction by 2019 in carbon dioxide emissions under Regional Greenhouse Gas Initiative | 10.00% |
Maximum percentage reduction in greenhouse gas emissions by implementing actions identified in a Pennsylvania 2009 report | 30.00% |
Proposed mandatory percentage improvement at power plants | 5.00% |
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 |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ' |
Proposed amount of funding for solar projects | 25,000,000 |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ' |
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 |
Number of companies that have issued an intent to sue against the EPA regarding CCRs | 2 |
Environmental Matters - Domestic - Water/Waste - Seepages and Groundwater Infiltration - Pennsylvania, Montana and Kentucky (Numeric) [Abstract] | ' |
Number of plaintiffs that filed a lawsuit against the Colstrip plant owners in 2007 for seepage issues | 6 |
Period to complete a settlement (in days) | 60 |
Period for PPL Montana to provide financial assurance to Montana Department of Environmental Quality (in years) | 5 |
Environmental Matters - Domestic - Water/Waste - Clean Water Act 316(b) (Numeric) [Abstract] | ' |
Number of requirements under proposed EPA rule regarding reducing impact to aquatic organisms | 2 |
Number of factors to make a site-specific determination | 9 |
Other - Nuclear Insurance (Numeric) [Abstract] | ' |
Maximum amount of insured property damage losses at nuclear station | 2,500,000,000 |
Maximum assessment for retroactive premiums for nuclear outage insurance coverage | 46,000,000 |
Maximum public liability for claims resulting an incident at nuclear station | 12,600,000,000 |
Maximum amount that could be assessed resulting from an incident at nuclear station | 235,000,000 |
Maximum amount payable per year resulting from an incident at nuclear station | 35,000,000 |
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 - National Ambient Air Quality Standards [Abstract] | ' |
Standard for sulfur dioxide emissions (in hours) | 1 |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ' |
Period for compliance with final mercury and air toxics standards (in years) | 3 |
Possible period of extension to comply with final mercury and air toxics standards (in years) | 1 |
Number of plants in Pennsylvania included in extension request to comply with mercury and air toxics standards | 1 |
Carrying value of Corette plant in Montana that is being moved to long-term reserve status | 67,000,000 |
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 northeastern states that signed a Memorandum of Understanding that established Regional Greenhouse Gas Initiative | 10 |
Minimum capacity of electric power plants that are impacted by Regional Greenhouse Gas Initiative's emissions stabilization program (in MW) | 25 |
Percentage reduction by 2019 in carbon dioxide emissions under Regional Greenhouse Gas Initiative | 10.00% |
Maximum percentage reduction in greenhouse gas emissions by implementing actions identified in a Pennsylvania 2009 report | 30.00% |
Proposed mandatory percentage improvement at power plants | 5.00% |
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 |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ' |
Proposed amount of funding for solar projects | 25,000,000 |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ' |
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 |
Number of companies that have issued an intent to sue against the EPA regarding CCRs | 2 |
Environmental Matters - Domestic - Water/Waste - Seepages and Groundwater Infiltration - Pennsylvania, Montana and Kentucky (Numeric) [Abstract] | ' |
Number of plaintiffs that filed a lawsuit against the Colstrip plant owners in 2007 for seepage issues | 6 |
Period to complete a settlement (in days) | 60 |
Period for PPL Montana to provide financial assurance to Montana Department of Environmental Quality (in years) | 5 |
Environmental Matters - Domestic - Water/Waste - Clean Water Act 316(b) (Numeric) [Abstract] | ' |
Number of requirements under proposed EPA rule regarding reducing impact to aquatic organisms | 2 |
Number of factors to make a site-specific determination | 9 |
Other - Nuclear Insurance (Numeric) [Abstract] | ' |
Maximum amount of insured property damage losses at nuclear station | 2,500,000,000 |
Maximum assessment for retroactive premiums for nuclear outage insurance coverage | 46,000,000 |
Maximum public liability for claims resulting an incident at nuclear station | 12,600,000,000 |
Maximum amount that could be assessed resulting from an incident at nuclear station | 235,000,000 |
Maximum amount payable per year resulting from an incident at nuclear station | 35,000,000 |
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 - National Ambient Air Quality Standards [Abstract] | ' |
Standard for sulfur dioxide emissions (in hours) | 1 |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ' |
Period for compliance with final mercury and air toxics standards (in years) | 3 |
Possible period of extension to comply with final mercury and air toxics standards (in years) | 1 |
Number of extension requests received in Kentucky to comply with mercury and air toxics standards | 2 |
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 northeastern states that signed a Memorandum of Understanding that established Regional Greenhouse Gas Initiative | 10 |
Minimum capacity of electric power plants that are impacted by Regional Greenhouse Gas Initiative's emissions stabilization program (in MW) | 25 |
Percentage reduction by 2019 in carbon dioxide emissions under Regional Greenhouse Gas Initiative | 10.00% |
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 |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ' |
Proposed amount of funding for solar projects | 25,000,000 |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ' |
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 |
Number of companies that have issued an intent to sue against the EPA regarding CCRs | 2 |
Environmental Matters - Domestic - Water/Waste - Clean Water Act 316(b) (Numeric) [Abstract] | ' |
Number of requirements under proposed EPA rule regarding reducing impact to aquatic organisms | 2 |
Number of factors to make a site-specific determination | 9 |
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 - National Ambient Air Quality Standards [Abstract] | ' |
Standard for sulfur dioxide emissions (in hours) | 1 |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ' |
Period for compliance with final mercury and air toxics standards (in years) | 3 |
Possible period of extension to comply with final mercury and air toxics 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 northeastern states that signed a Memorandum of Understanding that established Regional Greenhouse Gas Initiative | 10 |
Minimum capacity of electric power plants that are impacted by Regional Greenhouse Gas Initiative's emissions stabilization program (in MW) | 25 |
Percentage reduction by 2019 in carbon dioxide emissions under Regional Greenhouse Gas Initiative | 10.00% |
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 |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ' |
Proposed amount of funding for solar projects | 25,000,000 |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ' |
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 |
Number of companies that have issued an intent to sue against the EPA regarding CCRs | 2 |
Environmental Matters - Domestic - Water/Waste - Clean Water Act 316(b) (Numeric) [Abstract] | ' |
Number of requirements under proposed EPA rule regarding reducing impact to aquatic organisms | 2 |
Number of factors to make a site-specific determination | 9 |
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 - National Ambient Air Quality Standards [Abstract] | ' |
Standard for sulfur dioxide emissions (in hours) | 1 |
Environmental Matters - Domestic - Air - Mercury and Air Toxics (Numeric) [Abstract] | ' |
Period for compliance with final mercury and air toxics standards (in years) | 3 |
Possible period of extension to comply with final mercury and air toxics 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 northeastern states that signed a Memorandum of Understanding that established Regional Greenhouse Gas Initiative | 10 |
Minimum capacity of electric power plants that are impacted by Regional Greenhouse Gas Initiative's emissions stabilization program (in MW) | 25 |
Percentage reduction by 2019 in carbon dioxide emissions under Regional Greenhouse Gas Initiative | 10.00% |
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 |
Environmental Matters - Domestic - Air - Renewable Energy Legislation (Numeric) [Abstract] | ' |
Proposed amount of funding for solar projects | $25,000,000 |
Environmental Matters - Domestic - Water/Waste - Coal Combustion Residuals (Numeric) [Abstract] | ' |
Number of approaches proposed by EPA in June 2010 to regulate CCRs | 2 |
Number of companies that have issued an intent to sue against the EPA regarding CCRs | 2 |
Environmental Matters - Domestic - Water/Waste - Clean Water Act 316(b) (Numeric) [Abstract] | ' |
Number of requirements under proposed EPA rule regarding reducing impact to aquatic organisms | 2 |
Number of factors to make a site-specific determination | 9 |
Commitments_and_Contingencies_3
Commitments and Contingencies (Guarantees and Other Assurances) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |||||||||||||||||
In Millions, unless otherwise specified | PPL Guarantee [Member] | PPL Guarantee [Member] | PPL Guarantee [Member] | PPL Energy Supply Guarantee [Member] | PPL Energy Supply Guarantee [Member] | PPL Energy Supply Guarantee [Member] | PPL Energy Supply Guarantee [Member] | PPL Energy Supply Guarantee [Member] | PPL Electric Guarantee [Member] | LKE Guarantee [Member] | LGE And KU Guarantee [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] | 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] | Kentucky Utilities Co [Member] | |||||||||||||||||||
Indemnification Guarantee [Member] | Indemnification Guarantee [Member] | Financial Guarantee [Member] | Indemnification Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Indemnification Guarantee [Member] | Indemnification Guarantee [Member] | Financial Guarantee [Member] | Indemnification Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | Indemnification Guarantee [Member] | Indemnification Guarantee [Member] | LGE And KU Guarantee [Member] | Financial Guarantee [Member] | Financial Guarantee [Member] | ||||||||||||||||||||||
Indemnifications Related To WPD Midlands Acquisition [Member] | Indemnifications For Entities In Liquidation Sales Of Assets [Member] | WPD Guarantee Of Pension And Other Obligations Of Unconsolidated Entities [Member] | Indemnifications For Sales Of Assets [Member] | Retroactive Premiums Under Nuclear Insurance Programs [Member] | Nuclear Claims Under Price Anderson Act Amendments Under Energy Policy Act of 2005 [Member] | Indemnification To Operators Of Jointly Owned Facilities [Member] | Guarantee Of Portion Of Divested Unconsolidated Entitys Debt [Member] | Guarantee Of Inventory Value [Member] | Indemnification Of Lease Termination And Other Divestitures [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | Indemnifications For Sales Of Assets [Member] | Letters Of Credit Issued On Behalf Of Affiliates [Member] | Retroactive Premiums Under Nuclear Insurance Programs [Member] | Nuclear Claims Under Price Anderson Act Amendments Under Energy Policy Act of 2005 [Member] | Indemnification To Operators Of Jointly Owned Facilities [Member] | Guarantee Of Portion Of Divested Unconsolidated Entitys Debt [Member] | Guarantee Of Inventory Value [Member] | Indemnification Of Lease Termination And Other Divestitures [Member] | Financial Guarantee [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | ||||||||||||||||||||||
Integer | Integer | Integer | Integer | Integer | LGE And KU Guarantee Of Shortfall Related To OVEC [Member] | ||||||||||||||||||||||||||||||||||||||
Guarantor Obligations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Recorded liability for all guarantees | $23 | $24 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $20 | $20 | ' | ' | ' | ' | |||||||||||||||||
Maximum exposure | ' | ' | ' | 11 | [1],[2] | 125 | [1],[3] | 250 | [1],[4] | 46 | [1],[5] | 235 | [1],[6] | 6 | [1],[7] | 22 | [1],[8] | 32 | [1],[9] | 301 | [1],[10] | ' | 250 | [1],[4] | 23 | [1],[11] | 46 | [1],[5] | 235 | [1],[6] | 6 | [1],[7] | 22 | [1],[8] | 32 | [1],[9] | ' | ' | 301 | [1],[10] | ' | ' | ' |
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. | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'The maximum exposure and the expiration date of these potential obligations are not presently determinable. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'The maximum exposure and the expiration date of these potential obligations are not presently determinable. | 'The maximum exposure and the expiration date of these potential obligations are not presently determinable. | 'The maximum exposure and the expiration date of these potential obligations are not presently determinable. | |||||||||||||||||
Expiration date | ' | ' | ' | '2018 | '2015 | '2025 | ' | ' | ' | '2018 | '2017 | ' | ' | '2025 | ' | ' | ' | ' | '2018 | '2017 | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Expiration date minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2021 | ' | ' | '2013 | ' | ' | ' | ' | ' | ' | ' | '2021 | ' | ' | ' | |||||||||||||||||
Expiration date maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2023 | ' | ' | '2014 | ' | ' | ' | ' | ' | ' | ' | '2023 | ' | ' | ' | |||||||||||||||||
Maximum exposure of guarantee related to terminated lease specific to operational, regulatory and environmental issues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200 | ' | ' | ' | |||||||||||||||||
Term of guarantee (in years) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '12 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '12 | ' | ' | ' | |||||||||||||||||
Maximum exposure of other guarantees expiring related to a terminated lease | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100 | ' | ' | ' | |||||||||||||||||
Minimum period that indemnifications generally expire (in years) | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Maximum period that indemnifications generally expire (in years) | ' | ' | ' | 7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Number of subsidiaries or affiliates involved in an indemnification transaction | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Number of subsidiaries that previously owned certain renewable energy facilities | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Equity interest in previously owned facility (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33.00% | ' | ' | ' | ' | ' | ' | ' | ' | 33.00% | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Charge recorded in discontinued operations relating to certain indemnification, pre-tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9 | ' | ' | ' | |||||||||||||||||
Charge recorded in discontinued operations relating to certain indemnification, after-tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | ' | ' | |||||||||||||||||
Other Guarantee (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
Maximum aggregate coverage bodily injury and property damage | $225 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||||||||
[1] | Represents the estimated maximum potential amount of future payments that could be required to be made under the guarantee. | ||||||||||||||||||||||||||||||||||||||||||
[2] | In connection with the liquidation of wholly owned subsidiaries that have been deconsolidated upon turning the entities over to the liquidators, certain affiliates of PPL Global have agreed to indemnify the liquidators, directors and/or the entities themselves for any liabilities or expenses arising during the liquidation process, including liabilities and expenses of the entities placed into liquidation. In some cases, the indemnifications are limited to a maximum amount that is based on distributions made from the subsidiary to its parent either prior or subsequent to being placed into liquidation. In other cases, the maximum amount of the indemnifications is 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 in which the agreements provide for a specific limit on the amount of the indemnification, and the expiration date was based on an estimate of the dissolution date of the entities. 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. In addition, in connection with certain of these sales, WPD and its affiliates 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. | ||||||||||||||||||||||||||||||||||||||||||
[3] | As a result of the privatization of the utility industry in the U.K., certain electric associations' roles and responsibilities were discontinued or modified. As a result, certain obligations, primarily pension-related, associated with these organizations have been guaranteed by the participating members. Costs are allocated to the members based on predetermined percentages as outlined in specific agreements. However, if a member becomes insolvent, costs can be reallocated to and are guaranteed by the remaining members. At September 30, 2013, WPD has recorded an estimated discounted liability based on its current allocated percentage of the total expected costs 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. Therefore, they have been estimated based on the types of obligations. | ||||||||||||||||||||||||||||||||||||||||||
[4] | PPL Energy Supply's maximum exposure with respect to certain indemnifications and the expiration of the indemnifications cannot be estimated because, in the case of certain indemnification provisions, 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 dates noted are only for those cases in which the agreements provide for specific limits. The indemnification provisions described below are in each case subject to certain customary limitations, including thresholds for allowable claims, caps on aggregate liability, and time limitations for claims arising out of breaches of most representations and warranties. A subsidiary of PPL Energy Supply has agreed to provide indemnification to the purchaser of the Long Island generation business for damages arising out of any breach of the representations, warranties and covenants under the related transaction agreement and for damages arising out of certain other matters, including liabilities relating to certain renewable energy facilities which were previously owned by one of the PPL subsidiaries sold in the transaction but which were unrelated to the Long Island generation business. The indemnification provisions for most representations and warranties expired in the third quarter of 2011. A subsidiary of PPL Energy Supply has agreed to provide indemnification to the purchasers of the Maine hydroelectric facilities for damages arising out of any breach of the representations, warranties and covenants under the respective transaction agreements and for damages arising out of certain other matters, including liabilities of the PPL Energy Supply subsidiary relating to the pre-closing ownership or operation of those hydroelectric facilities. The indemnification provisions for most representations and warranties expired in the fourth quarter of 2012. Subsidiaries of PPL Energy Supply have agreed to provide indemnification to the purchasers of certain non-core generation facilities sold in March 2011 for damages arising out of any breach of the representations, warranties and covenants under the related transaction agreements and for damages arising out of certain other matters relating to the facilities that were the subject of the transaction, including certain reduced capacity payments (if any) at one of the facilities in the event specified PJM rule changes are proposed and become effective. The indemnification provisions for most representations and warranties expired in the first quarter of 2012. | ||||||||||||||||||||||||||||||||||||||||||
[5] | PPL Susquehanna is contingently obligated to pay this amount related to potential retrospective premiums that could be assessed under its nuclear insurance programs. See "Nuclear Insurance" above for additional information. | ||||||||||||||||||||||||||||||||||||||||||
[6] | This is the maximum amount PPL Susquehanna could be assessed for each incident at any of the nuclear reactors covered by this Act. See "Nuclear Insurance" above for additional information. | ||||||||||||||||||||||||||||||||||||||||||
[7] | In December 2007, a subsidiary of PPL Energy Supply executed revised owners agreements for two jointly owned facilities, the Keystone and Conemaugh generating plants. The agreements require that in the event of any default by an owner, the other owners fund contributions for the operation of the generating plants, based upon their ownership percentages. The non-defaulting owners, who make up the defaulting owner's obligations, are entitled to the generation entitlement of the defaulting owner, based upon their ownership percentage. The exposure shown reflects the PPL Energy Supply subsidiary's share of the maximum obligation. The agreements do not have an expiration date. | ||||||||||||||||||||||||||||||||||||||||||
[8] | A PPL Energy Supply subsidiary owned a one-third equity interest in Safe Harbor Water Power Corporation (Safe Harbor) that was sold in March 2011. Beginning in 2008, PPL Energy Supply guaranteed one-third of any amounts payable with respect to certain senior notes issued by Safe Harbor. Under the terms of the sale agreement, PPL Energy Supply continues to guarantee the portion of Safe Harbor's debt, but received a cross-indemnity from the purchaser, secured by a lien on the purchaser's stock of Safe Harbor, in the event PPL Energy Supply is required to make a payment under the guarantee. The exposure noted reflects principal only. | ||||||||||||||||||||||||||||||||||||||||||
[9] | PPL Electric entered into contracts with a third party logistics firm that provides inventory procurement and fulfillment services. Under the contracts, the logistics firm has title to the inventory purchased for PPL Electric's use. Upon termination of the contracts, PPL Electric has guaranteed to purchase any remaining inventory that has not been used or sold by the logistics firm at the weighted-average cost at which the logistics firm purchased the inventory. | ||||||||||||||||||||||||||||||||||||||||||
[10] | 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 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. LKE has contested the applicability of the indemnification requirement relating to one matter presented by a counterparty under this guarantee. Another guarantee with a maximum exposure of $100 million covering other indemnifications expires in 2023. In May 2012, LKE's indemnitee received an arbitration panel's decision affecting 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 the December 2012 order of the Henderson Circuit Court, confirming the arbitration award. A decision in the appellate matter may occur during late 2013 or early 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. 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; however, LKE is not aware of formal claims under such indemnities made by any party at this time. LKE could be required to perform on these indemnifications in the event of covered losses or liabilities being claimed by an indemnified party. In the second quarter of 2012, LKE adjusted its estimated liability for certain of these 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. LKE cannot predict the ultimate outcomes of such indemnification circumstances, but does not currently expect such outcomes to result in significant losses above the amounts recorded. | ||||||||||||||||||||||||||||||||||||||||||
[11] | 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 $) | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Oct. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
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] | 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] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | |
PPL Electric [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | PPL Power Insurance [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | PPL Energy Funding [Member] | PPL Energy Funding [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | Services Company Affiliate [Member] | |||
PLR Contracts/Purchase of Accounts Receivable (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit limit with affiliate under a Master Supply Agreement | $35 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit exposure with affiliate under a Master Supply Agreement | 25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allocations of PPL Service Costs (Details) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Service cost allocations from parent to subsidiary | ' | 52 | 49 | 161 | 159 | 37 | 35 | 109 | 116 | ' | ' | ' | 3 | 3 | 11 | 11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intercompany Billings by LKS (Details) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intercompany billings between affiliates | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 53 | 51 | 159 | 132 | 36 | 33 | 146 | 114 |
Intercompany Borrowings (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intercompany borrowings demand note rate on outstanding borrowing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.68% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notes payable to affiliates | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 52 | 25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intercompany note with affiliate maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of capacity reduction to existing affiliate credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75 | ' | ' | ' | ' | ' | ' | ' | ' |
Intercompany Insurance (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds received from insurance settlement | ' | ' | ' | ' | ' | ' | ' | ' | ' | $18.25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other_Income_Expense_net_Detai
Other Income (Expense) - net (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Other Income [Line Items] | ' | ' | ' | ' |
Earnings on securities in nuclear decommissioning trust funds | $4 | $5 | $14 | $17 |
Interest income | 1 | 1 | 2 | 4 |
Allowance for funds used during construction - equity component | 3 | 2 | 8 | 7 |
Earnings (losses) from equity method investments | ' | -1 | ' | -7 |
Miscellaneous - Domestic | ' | 3 | 9 | 8 |
Miscellaneous - United Kingdom | ' | -1 | 1 | 1 |
Other income | 8 | 9 | 34 | 30 |
Other Expense [Line Items] | ' | ' | ' | ' |
Economic foreign currency exchange contracts | 117 | 47 | -6 | 40 |
Charitable contributions | 5 | 1 | 13 | 7 |
Miscellaneous - Domestic | 2 | 4 | 7 | 12 |
Miscellaneous - United Kingdom | ' | 1 | 1 | 2 |
Other expense | 124 | 53 | 15 | 61 |
Other Income (Expense) - net | -116 | -44 | 19 | -31 |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' |
Other Income [Line Items] | ' | ' | ' | ' |
Earnings on securities in nuclear decommissioning trust funds | 4 | 5 | 14 | 17 |
Interest income | 1 | ' | 3 | 1 |
Miscellaneous - Domestic | ' | 2 | 7 | 5 |
Other income | 5 | 7 | 24 | 23 |
Other Expense [Line Items] | ' | ' | ' | ' |
Charitable contributions | 1 | 1 | 3 | 2 |
Miscellaneous - Domestic | 2 | 1 | 3 | 5 |
Other expense | 3 | 2 | 6 | 7 |
Other Income (Expense) - net | 2 | 5 | 18 | 16 |
PPL Electric Utilities Corp [Member] | ' | ' | ' | ' |
Other Expense [Line Items] | ' | ' | ' | ' |
Other Income (Expense) - net | 2 | 3 | 5 | 6 |
LG And E And KU Energy LLC [Member] | ' | ' | ' | ' |
Other Expense [Line Items] | ' | ' | ' | ' |
Other Income (Expense) - net | -4 | -4 | -6 | -14 |
Louisville Gas And Electric Co [Member] | ' | ' | ' | ' |
Other Expense [Line Items] | ' | ' | ' | ' |
Other Income (Expense) - net | -1 | -3 | -3 | -3 |
Kentucky Utilities Co [Member] | ' | ' | ' | ' |
Other Expense [Line Items] | ' | ' | ' | ' |
Other Income (Expense) - net | ($2) | $1 | ($1) | ($5) |
Fair_Value_Measurements_and_Cr3
Fair Value Measurements and Credit Concentration (Assets and Liabilities Measured on Recurring Basis Table) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
Price risk management liabilities: | ' | ' | ||
Total price risk management liabilities | $1,361 | $1,694 | ||
Recurring [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 1,291 | 901 | ||
Restricted cash and cash equivalents | 120 | [1] | 135 | [1] |
Price risk management assets: | ' | ' | ||
Energy commodities assets | 1,480 | 2,068 | ||
Interest rate swaps assets | 86 | 15 | ||
Foreign currency contracts assets | 1 | ' | ||
Cross-currency swaps assets | 28 | 14 | ||
Total price risk management assets | 1,595 | 2,097 | ||
NDT funds | 804 | 712 | ||
Auction rate securities | 19 | [2] | 19 | [2] |
Total assets | 3,829 | 3,864 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 1,235 | 1,566 | ||
Interest rate swaps liabilities | 58 | 80 | ||
Foreign currency contracts liabilities | 67 | 44 | ||
Cross-currency swaps liabilities | 1 | 4 | ||
Total price risk management liabilities | 1,361 | 1,694 | ||
Recurring [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 14 | 11 | ||
Recurring [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 494 | 412 | ||
Recurring [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 74 | 60 | ||
Recurring [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 96 | 95 | ||
Recurring [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 6 | 9 | ||
Recurring [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 75 | 82 | ||
Recurring [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 40 | 40 | ||
Recurring [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 3 | 3 | ||
Recurring [Member] | Receivables Payables Net [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 2 | ' | ||
Recurring [Member] | Level 1 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 1,291 | 901 | ||
Restricted cash and cash equivalents | 120 | [1] | 135 | [1] |
Price risk management assets: | ' | ' | ||
Energy commodities assets | 7 | 2 | ||
Interest rate swaps assets | ' | ' | ||
Foreign currency contracts assets | ' | ' | ||
Cross-currency swaps assets | ' | ' | ||
Total price risk management assets | 7 | 2 | ||
NDT funds | 509 | 437 | ||
Auction rate securities | ' | ' | ||
Total assets | 1,927 | 1,475 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 4 | 2 | ||
Interest rate swaps liabilities | ' | ' | ||
Foreign currency contracts liabilities | ' | ' | ||
Cross-currency swaps liabilities | ' | ' | ||
Total price risk management liabilities | 4 | 2 | ||
Recurring [Member] | Level 1 [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 14 | 11 | ||
Recurring [Member] | Level 1 [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 369 | 308 | ||
Recurring [Member] | Level 1 [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 30 | 25 | ||
Recurring [Member] | Level 1 [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 96 | 95 | ||
Recurring [Member] | Level 1 [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 1 [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 1 [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 1 [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 1 [Member] | Receivables Payables Net [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | -2 | ||
Recurring [Member] | Level 2 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Energy commodities assets | 1,421 | 2,037 | ||
Interest rate swaps assets | 86 | 15 | ||
Foreign currency contracts assets | 1 | ' | ||
Cross-currency swaps assets | 28 | 13 | ||
Total price risk management assets | 1,536 | 2,065 | ||
NDT funds | 295 | 275 | ||
Auction rate securities | ' | 3 | [2] | |
Total assets | 1,831 | 2,343 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 1,226 | 1,557 | ||
Interest rate swaps liabilities | 58 | 80 | ||
Foreign currency contracts liabilities | 67 | 44 | ||
Cross-currency swaps liabilities | 1 | 4 | ||
Total price risk management liabilities | 1,352 | 1,685 | ||
Recurring [Member] | Level 2 [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 2 [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 125 | 104 | ||
Recurring [Member] | Level 2 [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 44 | 35 | ||
Recurring [Member] | Level 2 [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 2 [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 6 | 9 | ||
Recurring [Member] | Level 2 [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 75 | 82 | ||
Recurring [Member] | Level 2 [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 40 | 40 | ||
Recurring [Member] | Level 2 [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 3 | 3 | ||
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 | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Energy commodities assets | 52 | 29 | ||
Interest rate swaps assets | ' | ' | ||
Foreign currency contracts assets | ' | ' | ||
Cross-currency swaps assets | ' | 1 | ||
Total price risk management assets | 52 | 30 | ||
NDT funds | ' | ' | ||
Auction rate securities | 19 | [2] | 16 | [2] |
Total assets | 71 | 46 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 5 | 7 | ||
Interest rate swaps liabilities | ' | ' | ||
Foreign currency contracts liabilities | ' | ' | ||
Cross-currency swaps liabilities | ' | ' | ||
Total price risk management liabilities | 5 | 7 | ||
Recurring [Member] | Level 3 [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
Recurring [Member] | Level 3 [Member] | Receivables Payables Net [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 551 | 413 | ||
Restricted cash and cash equivalents | 54 | [1] | 63 | [1] |
Price risk management assets: | ' | ' | ||
Energy commodities assets | 1,480 | 2,068 | ||
Total price risk management assets | 1,480 | 2,068 | ||
NDT funds | 804 | 712 | ||
Auction rate securities | 16 | [2] | 16 | [2] |
Total assets | 2,905 | 3,272 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 1,235 | 1,566 | ||
Total price risk management liabilities | 1,235 | 1,566 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 14 | 11 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 494 | 412 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 74 | 60 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 96 | 95 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 6 | 9 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 75 | 82 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 40 | 40 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 3 | 3 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Receivables Payables Net [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 2 | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 551 | 413 | ||
Restricted cash and cash equivalents | 54 | [1] | 63 | [1] |
Price risk management assets: | ' | ' | ||
Energy commodities assets | 7 | 2 | ||
Total price risk management assets | 7 | 2 | ||
NDT funds | 509 | 437 | ||
Auction rate securities | ' | ' | ||
Total assets | 1,121 | 915 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 4 | 2 | ||
Total price risk management liabilities | 4 | 2 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 14 | 11 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 369 | 308 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 30 | 25 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 96 | 95 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 1 [Member] | Receivables Payables Net [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | -2 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Energy commodities assets | 1,421 | 2,037 | ||
Total price risk management assets | 1,421 | 2,037 | ||
NDT funds | 295 | 275 | ||
Auction rate securities | ' | 3 | [2] | |
Total assets | 1,716 | 2,315 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 1,226 | 1,557 | ||
Total price risk management liabilities | 1,226 | 1,557 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 125 | 104 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 44 | 35 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 6 | 9 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 75 | 82 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 40 | 40 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 2 [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | 3 | 3 | ||
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 | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Energy commodities assets | 52 | 29 | ||
Total price risk management assets | 52 | 29 | ||
NDT funds | ' | ' | ||
Auction rate securities | 16 | [2] | 13 | [2] |
Total assets | 68 | 42 | ||
Price risk management liabilities: | ' | ' | ||
Energy commodities liabilities | 5 | 7 | ||
Total price risk management liabilities | 5 | 7 | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Cash And Cash Equivalents [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | United States Treasury Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Municipality Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Other Debt Securities [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Receivables Payables Net [Member] | ' | ' | ||
Price risk management assets: | ' | ' | ||
NDT funds | ' | ' | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 225 | 140 | ||
Restricted cash and cash equivalents | 12 | [3] | 13 | [3] |
Price risk management assets: | ' | ' | ||
Total assets | 237 | 153 | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | Level 1 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 225 | 140 | ||
Restricted cash and cash equivalents | 12 | [3] | 13 | [3] |
Price risk management assets: | ' | ' | ||
Total assets | 237 | 153 | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | Level 2 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Total assets | ' | ' | ||
PPL Electric Utilities Corp [Member] | Recurring [Member] | Level 3 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Total assets | ' | ' | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 21 | 43 | ||
Restricted cash and cash equivalents | 22 | [4] | 32 | [4] |
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | 14 | ||
Total price risk management assets | ' | 14 | ||
Total assets | 43 | 89 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | 55 | 58 | ||
Total price risk management liabilities | 55 | 58 | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | Level 1 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 21 | 43 | ||
Restricted cash and cash equivalents | 22 | [4] | 32 | [4] |
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | ' | ||
Total price risk management assets | ' | ' | ||
Total assets | 43 | 75 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Total price risk management liabilities | ' | ' | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | Level 2 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | 14 | ||
Total price risk management assets | ' | 14 | ||
Total assets | ' | 14 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | 55 | 58 | ||
Total price risk management liabilities | 55 | 58 | ||
LG And E And KU Energy LLC [Member] | Recurring [Member] | Level 3 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | ' | ||
Total price risk management assets | ' | ' | ||
Total assets | ' | ' | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Total price risk management liabilities | ' | ' | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 12 | 22 | ||
Restricted cash and cash equivalents | 22 | [4] | 32 | [4] |
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | 7 | ||
Total price risk management assets | ' | 7 | ||
Total assets | 34 | 61 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | 48 | 58 | ||
Total price risk management liabilities | 48 | 58 | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | Level 1 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 12 | 22 | ||
Restricted cash and cash equivalents | 22 | [4] | 32 | [4] |
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | ' | ||
Total price risk management assets | ' | ' | ||
Total assets | 34 | 54 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Total price risk management liabilities | ' | ' | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | Level 2 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | 7 | ||
Total price risk management assets | ' | 7 | ||
Total assets | ' | 7 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | 48 | 58 | ||
Total price risk management liabilities | 48 | 58 | ||
Louisville Gas And Electric Co [Member] | Recurring [Member] | Level 3 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Restricted cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | ' | ||
Total price risk management assets | ' | ' | ||
Total assets | ' | ' | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Total price risk management liabilities | ' | ' | ||
Kentucky Utilities Co [Member] | ' | ' | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Kentucky Utilities Co [Member] | Recurring [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 9 | 21 | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | 7 | ||
Total price risk management assets | ' | 7 | ||
Total assets | 9 | 28 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | 7 | ' | ||
Total price risk management liabilities | 7 | ' | ||
Kentucky Utilities Co [Member] | Recurring [Member] | Level 1 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | 9 | 21 | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | ' | ||
Total price risk management assets | ' | ' | ||
Total assets | 9 | 21 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Total price risk management liabilities | ' | ' | ||
Kentucky Utilities Co [Member] | Recurring [Member] | Level 2 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | 7 | ||
Total price risk management assets | ' | 7 | ||
Total assets | ' | 7 | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | 7 | ' | ||
Total price risk management liabilities | 7 | ' | ||
Kentucky Utilities Co [Member] | Recurring [Member] | Level 3 [Member] | ' | ' | ||
Assets | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Price risk management assets: | ' | ' | ||
Interest rate swaps assets | ' | ' | ||
Total price risk management assets | ' | ' | ||
Total assets | ' | ' | ||
Price risk management liabilities: | ' | ' | ||
Interest rate swaps liabilities | ' | ' | ||
Total price risk management liabilities | ' | ' | ||
[1] | Current portion is included in "Restricted cash and cash equivalents" and the 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 the long-term portion is included in "Other noncurrent assets" on the Balance Sheets. | |||
[4] | Included in "Other noncurrent assets" on the Balance Sheets. |
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) (Recurring [Member], Level 3 [Member], USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | $62 | $59 | $39 | $41 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | 18 | -17 | 23 | -2 | ||||
Included in OCI | -2 | [1] | -7 | [1] | 1 | [1] | 3 | [1] |
Sales | ' | ' | -2 | -5 | ||||
Settlements | -2 | 2 | 1 | -9 | ||||
Transfers into Level 3 | -7 | -2 | 7 | 12 | ||||
Transfers out of Level 3 | -3 | 8 | -3 | 3 | ||||
Balance at end of period | 66 | 43 | 66 | 43 | ||||
Energy Commodities, Net [Member] | ' | ' | ' | ' | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | 40 | 34 | 22 | 13 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | 18 | -17 | 23 | -1 | ||||
Included in OCI | ' | ' | ' | 1 | [1] | |||
Sales | ' | ' | -2 | ' | ||||
Settlements | -2 | 2 | 1 | -9 | ||||
Transfers into Level 3 | -7 | -2 | 1 | 12 | ||||
Transfers out of Level 3 | -2 | 8 | 2 | 9 | ||||
Balance at end of period | 47 | 25 | 47 | 25 | ||||
Auction Rate Securities [Member] | ' | ' | ' | ' | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | 19 | 15 | 16 | 24 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | ' | ' | ' | ' | ||||
Included in OCI | ' | 1 | [1] | ' | ' | |||
Sales | ' | ' | ' | -5 | ||||
Settlements | ' | ' | ' | ' | ||||
Transfers into Level 3 | ' | ' | 3 | ' | ||||
Transfers out of Level 3 | ' | ' | ' | -3 | ||||
Balance at end of period | 19 | 16 | 19 | 16 | ||||
Cross Currency Swaps [Member] | ' | ' | ' | ' | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | 3 | 10 | 1 | 4 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | ' | ' | ' | -1 | ||||
Included in OCI | -2 | [1] | -8 | [1] | 1 | [1] | 2 | [1] |
Sales | ' | ' | ' | ' | ||||
Settlements | ' | ' | ' | ' | ||||
Transfers into Level 3 | ' | ' | 3 | ' | ||||
Transfers out of Level 3 | -1 | ' | -5 | -3 | ||||
Balance at end of period | ' | 2 | ' | 2 | ||||
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | 56 | 46 | 35 | 32 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | 18 | -17 | 23 | -1 | ||||
Included in OCI | ' | 1 | [1] | ' | 1 | [1] | ||
Sales | ' | ' | -2 | -3 | ||||
Settlements | -2 | 2 | 1 | -9 | ||||
Transfers into Level 3 | -7 | -2 | 4 | 12 | ||||
Transfers out of Level 3 | -2 | 8 | 2 | 6 | ||||
Balance at end of period | 63 | 38 | 63 | 38 | ||||
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | ' | ' | ' | ' | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | 40 | 34 | 22 | 13 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | 18 | -17 | 23 | -1 | ||||
Included in OCI | ' | ' | ' | 1 | [1] | |||
Sales | ' | ' | -2 | ' | ||||
Settlements | -2 | 2 | 1 | -9 | ||||
Transfers into Level 3 | -7 | -2 | 1 | 12 | ||||
Transfers out of Level 3 | -2 | 8 | 2 | 9 | ||||
Balance at end of period | 47 | 25 | 47 | 25 | ||||
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | ' | ' | ' | ' | ||||
Reconciliation of net assets and liabilities | ' | ' | ' | ' | ||||
Balance at beginning of period | 16 | 12 | 13 | 19 | ||||
Total realized/unrealized gains (losses) | ' | ' | ' | ' | ||||
Included in earnings | ' | ' | ' | ' | ||||
Included in OCI | ' | 1 | [1] | ' | ' | |||
Sales | ' | ' | ' | -3 | ||||
Settlements | ' | ' | ' | ' | ||||
Transfers into Level 3 | ' | ' | 3 | ' | ||||
Transfers out of Level 3 | ' | ' | ' | -3 | ||||
Balance at end of period | $16 | $13 | $16 | $13 | ||||
[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. |
Fair_Value_Measurements_and_Cr5
Fair Value Measurements and Credit Concentration (Net Assets and Liabilities Measured on Recurring Basis Level 3 Significant Unobservable Inputs) (Details) (Recurring [Member], Level 3 [Member], USD $) | 9 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | ||
Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 35 | [1] | 24 | [1] |
Fair Value Inputs [Abstract] | ' | ' | ||
Fair value scheduled to deliver within next 12 months | 14 | ' | ||
Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Observable wholesale prices used as proxy for retail delivery points | 100.00% | [2] | 100.00% | [2] |
Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Observable wholesale prices used as proxy for retail delivery points | 13.00% | [2] | 21.00% | [2] |
Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Observable wholesale prices used as proxy for retail delivery points | 80.00% | [2] | 75.00% | [2] |
Energy Commodities, Net [Member] | Power Sales Contracts [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | ' | -4 | [3] | |
Energy Commodities, Net [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Proprietary model used to calculate forward basis prices | ' | 24.00% | [2] | |
Energy Commodities, Net [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Proprietary model used to calculate forward basis prices | ' | 24.00% | [2] | |
Energy Commodities, Net [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Proprietary model used to calculate forward basis prices | ' | 24.00% | [2] | |
Energy Commodities, Net [Member] | Financial Transmission Rights Purchase Contracts [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 3 | [4] | 2 | [4] |
Fair Value Inputs [Abstract] | ' | ' | ||
Fair value scheduled to deliver within next 12 months | 1 | ' | ||
Energy Commodities, Net [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] | 100.00% | [2] |
Energy Commodities, Net [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] | 100.00% | [2] |
Energy Commodities, Net [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] | 100.00% | [2] |
Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 9 | [5] | ' | |
Fair Value Inputs [Abstract] | ' | ' | ||
Fair value scheduled to deliver within next 12 months | 1 | ' | ||
Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Implied correlation, implied volatility, and market implied heat rate | 60.00% | [2] | ' | |
Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Implied correlation, implied volatility, and market implied heat rate | 33.00% | [2] | ' | |
Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Implied correlation, implied volatility, and market implied heat rate | 58.00% | [2] | ' | |
Auction Rate Securities [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 19 | [6] | 16 | [6] |
Fair Value Inputs [Abstract] | ' | ' | ||
Weighted average contractual maturity of auction rate securites (in years) | 22 | ' | ||
Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Modeled from SIFMA Index | 80.00% | [2] | 74.00% | [2] |
Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Modeled from SIFMA Index | 12.00% | [2] | 54.00% | [2] |
Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Modeled from SIFMA Index | 64.00% | [2] | 64.00% | [2] |
Cross Currency Swaps [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | ' | 1 | [7] | |
Cross Currency Swaps [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Credit valuation adjustment | ' | 22.00% | [2] | |
Cross Currency Swaps [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Credit valuation adjustment | ' | 22.00% | [2] | |
Cross Currency Swaps [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Credit valuation adjustment | ' | 22.00% | [2] | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 35 | [1] | 24 | [1] |
Fair Value Inputs [Abstract] | ' | ' | ||
Fair value scheduled to deliver within next 12 months | 14 | ' | ||
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Observable wholesale prices used as proxy for retail delivery points | 100.00% | [2] | 100.00% | [2] |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Observable wholesale prices used as proxy for retail delivery points | 13.00% | [2] | 21.00% | [2] |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Retail Natural Gas Sales Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Observable wholesale prices used as proxy for retail delivery points | 80.00% | [2] | 75.00% | [2] |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Power Sales Contracts [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | ' | -4 | [3] | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Proprietary model used to calculate forward basis prices | ' | 24.00% | [2] | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Proprietary model used to calculate forward basis prices | ' | 24.00% | [2] | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Power Sales Contracts [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Proprietary model used to calculate forward basis prices | ' | 24.00% | [2] | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Financial Transmission Rights Purchase Contracts [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 3 | [4] | 2 | [4] |
Fair Value Inputs [Abstract] | ' | ' | ||
Fair value scheduled to deliver within next 12 months | 1 | ' | ||
PPL Energy Supply LLC [Member] | Energy Commodities, Net [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] | 100.00% | [2] |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [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] | 100.00% | [2] |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [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] | 100.00% | [2] |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 9 | [5] | ' | |
Fair Value Inputs [Abstract] | ' | ' | ||
Fair value scheduled to deliver within next 12 months | 1 | ' | ||
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Implied correlation, implied volatility, and market implied heat rate | 60.00% | [2] | ' | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Implied correlation, implied volatility, and market implied heat rate | 33.00% | [2] | ' | |
PPL Energy Supply LLC [Member] | Energy Commodities, Net [Member] | Heat Rate Call Option [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Implied correlation, implied volatility, and market implied heat rate | 58.00% | [2] | ' | |
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | ' | ' | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ' | ' | ||
Fair value of net asset and (liability) | 16 | [6] | 13 | [6] |
Fair Value Inputs [Abstract] | ' | ' | ||
Weighted average contractual maturity of auction rate securites (in years) | 22 | ' | ||
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Maximum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Modeled from SIFMA Index | 80.00% | [2] | 74.00% | [2] |
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Minimum [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Modeled from SIFMA Index | 12.00% | [2] | 57.00% | [2] |
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | Discounted Cash Flow [Member] | Weighted Average [Member] | ' | ' | ||
Fair Value Inputs [Abstract] | ' | ' | ||
Modeled from SIFMA Index | 63.00% | [2] | 65.00% | [2] |
[1] | At September 30, 2013, retail natural gas sales contracts extend through 2019, and $14 million of the fair value is scheduled to deliver within the next 12 months. As the forward price of natural gas increases/(decreases), the fair value of the contracts (decreases)/increases. | |||
[2] | 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 decrease in fair value due to the unobservable inputs used in the model to calculate the credit valuation adjustment. | |||
[3] | As the forward price of basis increases/(decreases), the fair value of the contracts (decreases)/increases. | |||
[4] | At September 30, 2013, FTR purchase contracts extend through 2015, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the forward implied spread increases/(decreases), the fair value of the contracts increases/(decreases). | |||
[5] | At September 30, 2013, heat rate call options extend through 2020, and $1 million of the fair value is scheduled to deliver within the next 12 months. As the implied correlation in heat rate call options increases/(decreases), the fair value of the heat rate call options (decreases)/increases, as all implied volatilities in heat rate call options increase/(decrease), the fair value of the heat rate call options increases/(decreases), and as the market implied heat rate increases/(decreases), the fair value of the heat rate call options increases/(decreases). | |||
[6] | At September 30, 2013, auction rate securities have a weighted average contractual maturity of 22 years. 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. |
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) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Recurring Fair Value Measurements Valuation Techniques - NDT Funds (Numeric) [Abstract] | ' | ' | ' | ' |
Weighted average coupon of NDT funds debt securities | 3.94% | ' | 3.94% | ' |
Weighted average maturity for debt securities held by NDT funds (in years) | 7.8 | ' | 7.8 | ' |
Recurring [Member] | Level 3 [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | $18 | ($17) | $23 | ($2) |
Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Unregulated Retail Electric And Gas [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 3 | -3 | 18 | 16 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 3 | -2 | 18 | 29 |
Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Wholesale Energy Marketing [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | -8 | -4 | -15 | -7 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | -1 | -1 | ' |
Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Net Energy Trading Margins [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 11 | -8 | 8 | -9 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 17 | 2 | 8 | 2 |
Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Fuel [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 3 | ' | 3 | ' |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | ' | ' | ' |
Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Energy Purchases [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 9 | -2 | 9 | -1 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | ' | 5 | 1 |
Recurring [Member] | Level 3 [Member] | Cross Currency Swaps [Member] | Interest Expense [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | ' | ' | ' | -1 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | ' | ' | ' |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' |
Recurring Fair Value Measurements Valuation Techniques - NDT Funds (Numeric) [Abstract] | ' | ' | ' | ' |
Weighted average coupon of NDT funds debt securities | 3.94% | ' | 3.94% | ' |
Weighted average maturity for debt securities held by NDT funds (in years) | 7.8 | ' | 7.8 | ' |
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 18 | -17 | 23 | -1 |
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Unregulated Retail Electric And Gas [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 3 | -3 | 18 | 16 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 3 | -2 | 18 | 29 |
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Wholesale Energy Marketing [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | -8 | -4 | -15 | -7 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | -1 | -1 | ' |
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Net Energy Trading Margins [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 11 | -8 | 8 | -9 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | 17 | 2 | 8 | 2 |
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Fuel [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 3 | ' | 3 | ' |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | ' | ' | ' |
PPL Energy Supply LLC [Member] | Recurring [Member] | Level 3 [Member] | Energy Commodities, Net [Member] | Energy Purchases [Member] | ' | ' | ' | ' |
Net gains and losses on assets and liabilities [Abstract] | ' | ' | ' | ' |
Total gains (losses) included in earnings | 9 | -2 | 9 | -1 |
Change in unrealized gains (losses) relating to positions still held at the reporting date | ' | ' | $5 | $1 |
Fair_Value_Measurements_and_Cr7
Fair Value Measurements and Credit Concentration (Nonrecurring Fair Value Measurements and Credit Concentration) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | ||
Credit Concentration Associated with Financial Instruments (Numeric) [Abstract] | ' | ' | ||
Gross credit exposure from energy trading partners | $1,100,000,000 | ' | ||
Net credit exposure to energy trading partners | 541,000,000 | ' | ||
Dollar exposure to top ten energy trading counterparties | 292,000,000 | ' | ||
Percentage exposure to top ten energy trading counterparties | 54.00% | ' | ||
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 of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Contract adjustment payments | 32,000,000 | [1] | 105,000,000 | [1] |
Long-term debt | 19,843,000,000 | 19,476,000,000 | ||
Fair Value [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Contract adjustment payments | 32,000,000 | 106,000,000 | ||
Long-term debt | 21,537,000,000 | 21,671,000,000 | ||
PPL Energy Supply LLC [Member] | ' | ' | ||
Credit Concentration Associated with Financial Instruments (Numeric) [Abstract] | ' | ' | ||
Gross credit exposure from energy trading partners | 1,100,000,000 | ' | ||
Net credit exposure to energy trading partners | 540,000,000 | ' | ||
Dollar exposure to top ten energy trading counterparties | 292,000,000 | ' | ||
Percentage exposure to top ten energy trading counterparties | 54.00% | ' | ||
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 of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 2,962,000,000 | 3,272,000,000 | ||
PPL Energy Supply LLC [Member] | Fair Value [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 3,127,000,000 | 3,556,000,000 | ||
PPL Electric Utilities Corp [Member] | Carrying Amount [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 2,315,000,000 | 1,967,000,000 | ||
PPL Electric Utilities Corp [Member] | Fair Value [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 2,505,000,000 | 2,333,000,000 | ||
LG And E And KU Energy LLC [Member] | Carrying Amount [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 4,076,000,000 | 4,075,000,000 | ||
LG And E And KU Energy LLC [Member] | Fair Value [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 4,222,000,000 | 4,423,000,000 | ||
Louisville Gas And Electric Co [Member] | Carrying Amount [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 1,112,000,000 | 1,112,000,000 | ||
Louisville Gas And Electric Co [Member] | Fair Value [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 1,137,000,000 | 1,178,000,000 | ||
Kentucky Utilities Co [Member] | Carrying Amount [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | 1,843,000,000 | 1,842,000,000 | ||
Kentucky Utilities Co [Member] | Fair Value [Member] | ' | ' | ||
Fair Value of Financial Instruments Not Recorded at Fair Value - Other | ' | ' | ||
Long-term debt | $1,940,000,000 | $2,056,000,000 | ||
[1] | Reflected in "Other current liabilities" and "Other deferred credits and noncurrent liabilities" on the Balance Sheets. |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Intro) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
MW | ||
Master Netting Arrangements Numeric [Line Items] | ' | ' |
Obligation to return cash collateral obligation under master netting arrangement | $14 | $112 |
Cash collateral posted under master netting arrangements | 22 | 32 |
Commodity Price Risk Nontrading [Line Items] | ' | ' |
Baseload generation fleet capacity (in MW) | 7,298 | ' |
Intermediate and peaking generation fleet capacity (in MW) | 3,316 | ' |
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 | 47 | ' |
No or insignificant amounts previously recorded in AOCI reclassified to earnings related to commodity price risk cash flow hedge contracts | 'For the three and nine months ended September 30, 2013 and 2012, such reclassifications were insignificant. | ' |
No or immaterial hedge ineffectiveness related to commodity price risk cash flow hedge contracts | 'For the three and nine months ended September 30, 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] | ' | ' |
Master Netting Arrangements Numeric [Line Items] | ' | ' |
Obligation to return cash collateral obligation under master netting arrangement | 14 | 112 |
Commodity Price Risk Nontrading [Line Items] | ' | ' |
Baseload generation fleet capacity (in MW) | 7,298 | ' |
Intermediate and peaking generation fleet capacity (in MW) | 3,316 | ' |
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 | 47 | ' |
No or insignificant amounts previously recorded in AOCI reclassified to earnings related to commodity price risk cash flow hedge contracts | 'For the three and nine months ended September 30, 2013 and 2012, such reclassifications were insignificant. | ' |
No or immaterial hedge ineffectiveness related to commodity price risk cash flow hedge contracts | 'For the three and nine months ended September 30, 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 | ' |
LG And E And KU Energy LLC [Member] | ' | ' |
Master Netting Arrangements Numeric [Line Items] | ' | ' |
Cash collateral posted under master netting arrangements | 22 | 32 |
Louisville Gas And Electric Co [Member] | ' | ' |
Master Netting Arrangements Numeric [Line Items] | ' | ' |
Cash collateral posted under master netting arrangements | $22 | $32 |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities (Commodity Volumes) (Details) | Sep. 30, 2013 | |
MWh | ||
Sales Contracts [Member] | Power [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 9,950,950 | [1],[2] |
Sales Contracts [Member] | Power [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 28,280,182 | [1] |
Sales Contracts [Member] | Power [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 4,110,530 | [1] |
Sales Contracts [Member] | Capacity [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 5,114 | [1],[2] |
Sales Contracts [Member] | Capacity [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 14,418 | [1] |
Sales Contracts [Member] | Capacity [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 309 | [1] |
Sales Contracts [Member] | Gas [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 3,852,725 | [1] |
Sales Contracts [Member] | Coal [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 30,000 | [1] |
Sales Contracts [Member] | Oil [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 15,335 | [1],[2] |
Purchase Contracts [Member] | Power [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 10,991,752 | [1] |
Purchase Contracts [Member] | Capacity [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 1,990 | [1] |
Purchase Contracts [Member] | Gas [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 12,653,279 | [1],[2] |
Purchase Contracts [Member] | Gas [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 18,794,545 | [1] |
Purchase Contracts [Member] | Gas [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 5,320,453 | [1] |
Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 5,056 | [1],[2] |
Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 8,724 | [1] |
Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 1,465 | [1] |
Purchase Contracts [Member] | Oil [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 300,000 | [1] |
Purchase Contracts [Member] | Oil [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 384,334 | [1] |
Purchase Contracts [Member] | Oil [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 371,466 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Power [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 9,950,950 | [1],[2] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Power [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 28,280,182 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Power [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 4,110,530 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Capacity [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 5,114 | [1],[2] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Capacity [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 14,418 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Capacity [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 309 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Gas [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 3,852,725 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Coal [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 30,000 | [1] |
PPL Energy Supply LLC [Member] | Sales Contracts [Member] | Oil [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 15,335 | [1],[2] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Power [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 10,991,752 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Capacity [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 1,990 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 12,653,279 | [1],[2] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 18,794,545 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Gas [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 5,320,453 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2013 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 5,056 | [1],[2] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 8,724 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Financial Transmission Rights [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 1,465 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | 2014 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 300,000 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | 2015 [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 384,334 | [1] |
PPL Energy Supply LLC [Member] | Purchase Contracts [Member] | Oil [Member] | Thereafter [Member] | ' | |
Commodity Volumetric Activity [Line Items] | ' | |
Notional amount (in units) | 371,466 | [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. | |
[2] | Represents balance of the current year. |
Derivative_Instruments_and_Hed5
Derivative Instruments and Hedging Activities (Risk Disclosures) (Details) | 3 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | |
USD ($) | USD ($) | GBP (£) | USD ($) | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Economic Hedges [Member] | Net Investment Hedges [Member] | Net Investment Hedges [Member] | Net Investment Hedges [Member] | Net Investment Hedges [Member] | WPD [Member] | WPD [Member] | WPD [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] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | Kentucky Utilities Co [Member] | |
Interest Rate Swap Contracts [Member] | Cross Currency Interest Rate Swaps [Member] | Interest Rate Swap Contracts [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Intercompany Loans [Member] | Intercompany Loans [Member] | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | USD ($) | USD ($) | Cash Flow Hedges [Member] | Economic Hedges [Member] | USD ($) | USD ($) | Cash Flow Hedges [Member] | Economic Hedges [Member] | USD ($) | USD ($) | Cash Flow Hedges [Member] | ||||||
USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | USD ($) | GBP (£) | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | Interest Rate Swap Contracts [Member] | ||||||||||||
USD ($) | GBP (£) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||
Interest Rate Risk And Foreign Currency Risk [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notional amount | ' | ' | ' | ' | $2,300,000,000 | $1,300,000,000 | $179,000,000 | $505,000,000 | £ 320,000,000 | ' | ' | ' | $464,000,000 | £ 300,000,000 | ' | ' | $500,000,000 | $179,000,000 | ' | ' | $250,000,000 | $179,000,000 | ' | ' | $250,000,000 |
Notional amount of nonderivative instruments | ' | ' | ' | ' | ' | ' | ' | ' | ' | 119,000,000 | 77,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Rate Risk - Cash Flow Hedges (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Year of expiration of the maximum maturity date of interest rate cash flow hedge contracts | ' | '2044 | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2024 | ' | ' | '2043 | ' | ' | ' | '2043 | ' | ' | ' | '2043 | ' | ' |
Latest maturity date of cross-currency cash flow hedge contracts | '2028 | '2028 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Insignificant or no hedge ineffectiveness associated with interest rate cash flow hedges | ' | 'For the three and nine months ended September 30, 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 no such reclassifications for the three and nine months ended September 30, 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 | -11,000,000 | -11,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash settlement on terminated swaps | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 98,000,000 | ' | ' | ' | 49,000,000 | ' | ' | ' | 49,000,000 | ' | ' |
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 | ' | 'November 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Latest settlement date of net investment hedge contracts | ' | 'June 2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net after tax gains (losses) on net investment hedges recognized in the foreign currency translation adjustment component of AOCI | -9,000,000 | -3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Insignificant or no net after tax gains (losses) on net investment hedges recognized in the foreign currency translation adjustment component of AOCI | ' | 'Such amounts for the three and nine months ended September 30, 2012 were not significant. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net after tax gains (losses) on net investment hedges included in the foreign currency translation adjustment component of AOCI | 5,000,000 | 5,000,000 | ' | 14,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign Currency Risk - Economic Activity (Numeric) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total exposure hedged related to foreign currency contracts for anticipated earnings hedges classified as economic activity | $2,100,000,000 | $2,100,000,000 | £ 1,300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earliest termination date of foreign currency contracts for anticipated earnings hedges classified as economic activity | ' | 'October 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Latest termination date of foreign currency contracts for anticipated earnings hedges classified as economic activity | ' | 'October 2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative_Instruments_and_Hed6
Derivative Instruments and Hedging Activities (Fair Values) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 | ||
In Millions, unless otherwise specified | ||||||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | $1,595 | $2,097 | ' | ' | ||
Liability value | 1,361 | 1,694 | ' | ' | ||
Net pre-tax gains (losses) included in AOCI related to derivatives not designated as hedging instruments | 216 | 300 | ' | ' | ||
Accumulated after-tax net gains (losses), excluding net investment hedges, included in AOCI | 87 | 132 | 231 | 527 | ||
Derivatives Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 114 | [1] | 115 | [1] | ' | ' |
Liability value | 29 | [1] | 28 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 84 | [1] | 73 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 83 | [1],[2] | 14 | [1],[2] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 1 | [1] | ' | ' | ' | |
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 59 | [1] | ' | ' | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 30 | [1] | 42 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 3 | [1],[2] | 1 | [1],[2] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 27 | [1] | 14 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 27 | [1] | ' | ' | |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 22 | [1] | 27 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 16 | [1],[2] | 22 | [1],[2] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 1 | [1] | 3 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 5 | [1] | 2 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 7 | [1] | 1 | [1] | ' | ' |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 1 | [1],[2] | ' | ' | ' | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | 1 | [1] | ' | ' | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 6 | [1] | ' | ' | ' | |
Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 1,481 | [1],[3] | 1,982 | [1],[3] | ' | ' |
Liability value | 1,332 | [1],[3] | 1,666 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 961 | [1],[3] | 1,452 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 961 | [1],[3] | 1,452 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 520 | [1],[3] | 530 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 1 | [1],[3] | ' | ' | ' | |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 519 | [1],[3] | 530 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 801 | [1],[3] | 1,038 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 4 | [1],[2],[3] | 5 | [1],[2],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 24 | [1],[3] | 23 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 773 | [1],[3] | 1,010 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 531 | [1],[3] | 628 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 37 | [1],[2],[3] | 53 | [1],[2],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Cross Currency Swaps [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Foreign Currency Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 32 | [1],[3] | 19 | [1],[3] | ' | ' |
Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 462 | [1],[3] | 556 | [1],[3] | ' | ' |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Net pre-tax gains (losses) included in AOCI related to derivatives not designated as hedging instruments | 216 | 300 | ' | ' | ||
Accumulated after-tax net gains (losses), excluding net investment hedges, included in AOCI | 115 | 211 | 312 | 605 | ||
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 86 | [1] | ' | ' | |
Liability value | ' | ' | ' | ' | ||
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 59 | [1] | ' | ' | |
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Assets [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 59 | [1] | ' | ' | |
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 27 | [1] | ' | ' | |
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | 27 | [1] | ' | ' | |
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Current Liabilities [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
PPL Energy Supply LLC [Member] | Derivatives Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | Commodity Contracts [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | ' | ' | ' | ' | ||
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 1,480 | [1],[3] | 1,982 | [1],[3] | ' | ' |
Liability value | 1,235 | [1],[3] | 1,566 | [1],[3] | ' | ' |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 961 | [1],[3] | 1,452 | [1],[3] | ' | ' |
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 | 961 | [1],[3] | 1,452 | [1],[3] | ' | ' |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Assets [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | 519 | [1],[3] | 530 | [1],[3] | ' | ' |
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 | 519 | [1],[3] | 530 | [1],[3] | ' | ' |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 773 | [1],[3] | 1,010 | [1],[3] | ' | ' |
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 | 773 | [1],[3] | 1,010 | [1],[3] | ' | ' |
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 462 | [1],[3] | 556 | [1],[3] | ' | ' |
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 | 462 | [1],[3] | 556 | [1],[3] | ' | ' |
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 | ' | 14 | [1] | ' | ' | |
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 | 14 | [1] | ' | ' | ' | |
LG And E And KU Energy LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Liability value | 41 | [1] | 58 | [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 | ' | ' | ' | ' | ||
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 | ' | ' | ' | ' | ||
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 | ' | ' | ' | ' | ||
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 | ' | ' | ' | ' | ||
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 | 4 | [1] | 5 | [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 | 4 | [1] | 5 | [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 | 37 | [1] | 53 | [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 | 37 | [1] | 53 | [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 | ' | 7 | [1] | ' | ' | |
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 | 7 | [1] | ' | ' | ' | |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Asset value | ' | ' | ' | ' | ||
Liability value | 41 | [1] | 58 | [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 | ' | ' | ' | ' | ||
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 | ' | ' | ' | ' | ||
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 | ' | ' | ' | ' | ||
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 | ' | ' | ' | ' | ||
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Current Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 4 | [1] | 5 | [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 | 4 | [1] | 5 | [1] | ' | ' |
Louisville Gas And Electric Co [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Noncurrent Liabilities [Member] | ' | ' | ' | ' | ||
Fair Values by Balance Sheet Location [Abstract] | ' | ' | ' | ' | ||
Liability value | 37 | [1] | 53 | [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] | ' | ' | ' | ' | ||
Liability value | 37 | [1] | 53 | [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 | ' | 7 | [1] | ' | ' | |
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 | $7 | [1] | ' | ' | ' | |
[1] | Represents the location on the Balance Sheets. | |||||
[2] | Excludes accrued interest, if applicable. | |||||
[3] | $216 million and $300 million of net gains associated with derivatives that were no longer designated as hedging instruments are recorded in AOCI at September 30, 2013 and December 31, 2012. |
Derivative_Instruments_and_Hed7
Derivative Instruments and Hedging Activities (Gains and Losses) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Fair Value Hedges [Member] | Interest Rate Swaps [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Hedged items in fair value hedging relationships | ' | ' | 'Fixed rate debt for the three and nine months ended September 30, 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 | ' | ($1) | ' | ' | ||||
Gain (loss) recognized in income on related item | ' | 1 | ' | 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) | 17 | 112 | 190 | 545 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | 1 | 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) | -11 | -55 | 118 | 68 | ||||
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) | 25 | -6 | 102 | -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) | -5 | -4 | -14 | -13 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | ' | ' | ||||
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 | ' | 1 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | ' | ' | ||||
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) | -36 | -49 | 16 | -3 | ||||
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) | -1 | ' | ' | -1 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | ' | ' | ||||
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) | -25 | -40 | 45 | -12 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | ' | ' | ||||
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) | ' | ' | ' | 99 | ||||
Cash Flow Hedges [Member] | Commodity Contracts [Member] | Wholesale Energy Marketing [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 58 | 174 | 198 | 673 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | 1 | -1 | ||||
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) | 1 | 1 | 2 | 2 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | ' | ' | ||||
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) | -11 | -20 | -41 | -105 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | 1 | ' | -2 | ||||
Derivatives Not Designated As Hedging Instruments [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | -80 | -168 | 73 | 171 | ||||
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 | 2 | 1 | 18 | -2 | ||||
Derivatives Not Designated As Hedging Instruments [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 | 12 | ' | 70 | ' | ||||
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 | -2 | -2 | -6 | -4 | ||||
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Wholesale Energy Marketing [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | 104 | -476 | 144 | 900 | ||||
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 | 4 | 6 | 2 | ' | ||||
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 | -86 | 364 | -99 | -717 | ||||
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Unregulated Retail Electric And Gas [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | 3 | -3 | 18 | 20 | ||||
Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Net Energy Trading Margins [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | 14 | [1] | -10 | [1] | 8 | [1] | 12 | [1] |
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 | -117 | -47 | 6 | -40 | ||||
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) | -22 | -4 | -5 | -5 | ||||
PPL Energy Supply LLC [Member] | 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) | 48 | 154 | 159 | 569 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | 1 | 1 | -3 | ||||
PPL Energy Supply LLC [Member] | 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) | ' | ' | ' | 99 | ||||
PPL Energy Supply LLC [Member] | 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) | ' | ' | ' | 99 | ||||
PPL Energy Supply LLC [Member] | Cash Flow Hedges [Member] | Commodity Contracts [Member] | Wholesale Energy Marketing [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) reclassified from AOCI into income on derivative (effective portion) | 58 | 174 | 198 | 673 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | 1 | -1 | ||||
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) | 1 | ' | 2 | 1 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | ' | ' | ' | ||||
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) | -11 | -20 | -41 | -105 | ||||
Gain (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ' | 1 | ' | -2 | ||||
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 | 39 | -119 | 73 | 215 | ||||
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Wholesale Energy Marketing [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | 104 | -476 | 144 | 900 | ||||
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 | 4 | 6 | 2 | ' | ||||
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 | -86 | 364 | -99 | -717 | ||||
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Unregulated Retail Electric And Gas [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | 3 | -3 | 18 | 20 | ||||
PPL Energy Supply LLC [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | Net Energy Trading Margins [Member] | ' | ' | ' | ' | ||||
Amounts Included in Income, OCI or Regulatory Liabilities/Assets [Abstract] | ' | ' | ' | ' | ||||
Gain (loss) recognized in income on derivative | 14 | [2] | -10 | [2] | 8 | [2] | 12 | [2] |
LG And E And KU Energy LLC [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 | 12 | ' | 70 | ' | ||||
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 | 2 | [3] | 1 | [3] | 18 | [3] | -2 | [3] |
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 in income on derivative | -2 | -2 | -6 | -6 | ||||
Louisville Gas And Electric Co [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 | 6 | ' | 35 | ' | ||||
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 | 2 | [3] | 1 | [3] | 18 | [3] | -2 | [3] |
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 in income on derivative | -2 | -2 | -6 | -6 | ||||
Kentucky Utilities Co [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 | $6 | ' | $35 | ' | ||||
[1] | Differs from the Statement of Income due to intra-month transactions that PPL defines as spot activity, which is not accounted for as a derivative. | |||||||
[2] | Differs from the Statements of Income due to intra-month transactions that PPL Energy Supply defines as spot activity, which is not accounted for as a derivative. | |||||||
[3] | Includes both realized and unrealized gains (losses). |
Derivative_Instruments_and_Hed8
Derivative Instruments and Hedging Activities (Offseting Derivative Instruments and Credit Risk-Related Features) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | |
In Millions, unless otherwise specified | |||
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | $1,595 | $2,097 | |
Derivative instruments eligible for offset - assets | 1,169 | 1,432 | |
Cash collateral received eligible for offset - assets | 14 | 111 | |
Net assets | 412 | 554 | |
Gross liabilities | 1,361 | 1,694 | |
Derivative instruments eligible for offset - liabilities | 1,169 | 1,432 | |
Cash collateral pledged eligible for offset - liabilities | 22 | 39 | |
Net liabilities | 170 | 223 | |
Credit Risk-Related Contingent Features [Abstract] | ' | ' | |
Aggregate fair value of derivative instruments in a net liability position with credit risk-related contingent features | 178 | ' | |
Aggregate fair value of collateral posted on these derivative instruments | 39 | ' | |
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 167 | [1] | ' |
Energy Commodities [Member] | ' | ' | |
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | 1,480 | 2,068 | |
Derivative instruments eligible for offset - assets | 1,122 | 1,413 | |
Cash collateral received eligible for offset - assets | 14 | 111 | |
Net assets | 344 | 544 | |
Gross liabilities | 1,235 | 1,566 | |
Derivative instruments eligible for offset - liabilities | 1,122 | 1,413 | |
Cash collateral pledged eligible for offset - liabilities | ' | 9 | |
Net liabilities | 113 | 144 | |
Treasury Derivatives [Member] | ' | ' | |
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | 115 | 29 | |
Derivative instruments eligible for offset - assets | 47 | 19 | |
Cash collateral received eligible for offset - assets | ' | ' | |
Net assets | 68 | 10 | |
Gross liabilities | 126 | 128 | |
Derivative instruments eligible for offset - liabilities | 47 | 19 | |
Cash collateral pledged eligible for offset - liabilities | 22 | 30 | |
Net liabilities | 57 | 79 | |
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 | 115 | ' | |
Aggregate fair value of collateral posted on these derivative instruments | 17 | ' | |
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 127 | [1] | ' |
PPL Energy Supply LLC [Member] | Energy Commodities [Member] | ' | ' | |
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | 1,480 | 2,068 | |
Derivative instruments eligible for offset - assets | 1,122 | 1,413 | |
Cash collateral received eligible for offset - assets | 14 | 111 | |
Net assets | 344 | 544 | |
Gross liabilities | 1,235 | 1,566 | |
Derivative instruments eligible for offset - liabilities | 1,122 | 1,413 | |
Cash collateral pledged eligible for offset - liabilities | ' | 9 | |
Net liabilities | 113 | 144 | |
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 | 29 | ' | |
Aggregate fair value of collateral posted on these derivative instruments | 22 | ' | |
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 7 | [1] | ' |
LG And E And KU Energy LLC [Member] | Treasury Derivatives [Member] | ' | ' | |
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | ' | 14 | |
Derivative instruments eligible for offset - assets | ' | ' | |
Cash collateral received eligible for offset - assets | ' | ' | |
Net assets | ' | 14 | |
Gross liabilities | 55 | 58 | |
Derivative instruments eligible for offset - liabilities | ' | ' | |
Cash collateral pledged eligible for offset - liabilities | 22 | 30 | |
Net liabilities | 33 | 28 | |
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 | 29 | ' | |
Aggregate fair value of collateral posted on these derivative instruments | 22 | ' | |
Aggregate fair value of additional collateral requirements in the event of a credit downgrade below investment grade | 7 | [1] | ' |
Louisville Gas And Electric Co [Member] | Treasury Derivatives [Member] | ' | ' | |
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | ' | 7 | |
Derivative instruments eligible for offset - assets | ' | ' | |
Cash collateral received eligible for offset - assets | ' | ' | |
Net assets | ' | 7 | |
Gross liabilities | 48 | 58 | |
Derivative instruments eligible for offset - liabilities | ' | ' | |
Cash collateral pledged eligible for offset - liabilities | 22 | 30 | |
Net liabilities | 26 | 28 | |
Kentucky Utilities Co [Member] | Treasury Derivatives [Member] | ' | ' | |
Offsetting Assets And Liabilities [Line Items] | ' | ' | |
Gross assets | ' | 7 | |
Derivative instruments eligible for offset - assets | ' | ' | |
Cash collateral received eligible for offset - assets | ' | ' | |
Net assets | ' | 7 | |
Gross liabilities | 7 | ' | |
Derivative instruments eligible for offset - liabilities | ' | ' | |
Cash collateral pledged eligible for offset - liabilities | ' | ' | |
Net liabilities | $7 | ' | |
[1] | Includes the effect of net receivables and payables already recorded on the Balance Sheet. |
Asset_Retirement_Obligations_D
Asset Retirement Obligations (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Asset Retirement Obligation [Rollforward] | ' | ' |
Balance at Beginning of Period | $552 | ' |
Accretion expense | 27 | ' |
Obligations incurred | 6 | ' |
Changes in estimated cash flow or settlement date | 123 | ' |
Effect of foreign currency exchange rates | -2 | ' |
Obligations settled | -12 | ' |
Balance at End of Period | 694 | ' |
Susquehanna Nuclear Station ARO (Numeric) [Abstract] | ' | ' |
Susquehanna accrued nuclear decommissioning obligation | 335 | 316 |
Susquehanna NDT funds | 804 | 712 |
PPL Energy Supply LLC [Member] | ' | ' |
Asset Retirement Obligation [Rollforward] | ' | ' |
Balance at Beginning of Period | 375 | ' |
Accretion expense | 22 | ' |
Obligations incurred | 6 | ' |
Changes in estimated cash flow or settlement date | 1 | ' |
Obligations settled | -6 | ' |
Balance at End of Period | 398 | ' |
Susquehanna Nuclear Station ARO (Numeric) [Abstract] | ' | ' |
Susquehanna accrued nuclear decommissioning obligation | 335 | 316 |
Susquehanna NDT funds | 804 | 712 |
LG And E And KU Energy LLC [Member] | ' | ' |
Asset Retirement Obligation [Rollforward] | ' | ' |
Balance at Beginning of Period | 131 | ' |
Accretion expense | 4 | ' |
Changes in estimated cash flow or settlement date | 122 | ' |
Obligations settled | -6 | ' |
Balance at End of Period | 251 | ' |
Louisville Gas And Electric Co [Member] | ' | ' |
Asset Retirement Obligation [Rollforward] | ' | ' |
Balance at Beginning of Period | 62 | ' |
Accretion expense | 2 | ' |
Changes in estimated cash flow or settlement date | 17 | ' |
Obligations settled | -6 | ' |
Balance at End of Period | 75 | ' |
Kentucky Utilities Co [Member] | ' | ' |
Asset Retirement Obligation [Rollforward] | ' | ' |
Balance at Beginning of Period | 69 | ' |
Accretion expense | 2 | ' |
Changes in estimated cash flow or settlement date | 105 | ' |
Balance at End of Period | $176 | ' |
AvailableforSale_Securities_De
Available-for-Sale Securities (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | $508 | ' | $508 | ' | $494 | ||||
Gross unrealized gains | 318 | ' | 318 | ' | 239 | ||||
Gross unrealized losses | 3 | ' | 3 | ' | 2 | ||||
Fair value | 823 | ' | 823 | ' | 731 | ||||
Available-for-Sale Securities Scheduled Maturity Dates of Debt Securities (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost - maturity less than 1 year | 6 | ' | 6 | ' | ' | ||||
Amortized cost - maturity between 1 and 5 years | 92 | ' | 92 | ' | ' | ||||
Amortized cost - maturity between 6 and 10 years | 56 | ' | 56 | ' | ' | ||||
Amortized cost - maturity in excess of 10 years | 77 | ' | 77 | ' | ' | ||||
Amortized cost total | 231 | ' | 231 | ' | ' | ||||
Fair value - maturity less than 1 year | 6 | ' | 6 | ' | ' | ||||
Fair value - maturity between 1 and 5 years | 96 | ' | 96 | ' | ' | ||||
Fair value - maturity between 6 and 10 years | 58 | ' | 58 | ' | ' | ||||
Fair value - maturity in excess of 10 years | 79 | ' | 79 | ' | ' | ||||
Fair value total | 239 | ' | 239 | ' | ' | ||||
Available-for-Sale Securities Proceeds From and Realized Gains and Losses (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Proceeds from sales of NDT securities | 33 | [1] | 23 | [1] | 92 | 102 | ' | ||
Other proceeds from sales | ' | ' | ' | 5 | ' | ||||
Gross realized gains | 3 | [2] | 2 | [2] | 10 | [2] | 15 | [2] | ' |
Gross realized losses | 2 | [2] | 2 | [2] | 6 | [2] | 8 | [2] | ' |
Nuclear Decommissioning Trust Funds [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 488 | ' | 488 | ' | 474 | ||||
Gross unrealized gains | 318 | ' | 318 | ' | 239 | ||||
Gross unrealized losses | 2 | ' | 2 | ' | 1 | ||||
Fair value | 804 | ' | 804 | ' | 712 | ||||
Nuclear Decommissioning Trust Funds [Member] | Cash And Cash Equivalents [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 14 | ' | 14 | ' | 11 | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 14 | ' | 14 | ' | 11 | ||||
Nuclear Decommissioning Trust Funds [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 230 | ' | 230 | ' | 222 | ||||
Gross unrealized gains | 264 | ' | 264 | ' | 190 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 494 | ' | 494 | ' | 412 | ||||
Nuclear Decommissioning Trust Funds [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 31 | ' | 31 | ' | 30 | ||||
Gross unrealized gains | 43 | ' | 43 | ' | 30 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 74 | ' | 74 | ' | 60 | ||||
Nuclear Decommissioning Trust Funds [Member] | United States Treasury Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 90 | ' | 90 | ' | 86 | ||||
Gross unrealized gains | 6 | ' | 6 | ' | 9 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 96 | ' | 96 | ' | 95 | ||||
Nuclear Decommissioning Trust Funds [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 5 | ' | 5 | ' | 8 | ||||
Gross unrealized gains | 1 | ' | 1 | ' | 1 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 6 | ' | 6 | ' | 9 | ||||
Nuclear Decommissioning Trust Funds [Member] | Municipality Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 74 | ' | 74 | ' | 78 | ||||
Gross unrealized gains | 2 | ' | 2 | ' | 5 | ||||
Gross unrealized losses | 1 | ' | 1 | ' | 1 | ||||
Fair value | 75 | ' | 75 | ' | 82 | ||||
Nuclear Decommissioning Trust Funds [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 39 | ' | 39 | ' | 36 | ||||
Gross unrealized gains | 2 | ' | 2 | ' | 4 | ||||
Gross unrealized losses | 1 | ' | 1 | ' | ' | ||||
Fair value | 40 | ' | 40 | ' | 40 | ||||
Nuclear Decommissioning Trust Funds [Member] | Other Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 3 | ' | 3 | ' | 3 | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 3 | ' | 3 | ' | 3 | ||||
Nuclear Decommissioning Trust Funds [Member] | Receivables Payables Net [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 2 | ' | 2 | ' | ' | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 2 | ' | 2 | ' | ' | ||||
Auction Rate Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 20 | ' | 20 | ' | 20 | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | 1 | ' | 1 | ' | 1 | ||||
Fair value | 19 | ' | 19 | ' | 19 | ||||
PPL Energy Supply LLC [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 505 | ' | 505 | ' | 491 | ||||
Gross unrealized gains | 318 | ' | 318 | ' | 239 | ||||
Gross unrealized losses | 3 | ' | 3 | ' | 2 | ||||
Fair value | 820 | ' | 820 | ' | 728 | ||||
Available-for-Sale Securities Scheduled Maturity Dates of Debt Securities (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost - maturity less than 1 year | 6 | ' | 6 | ' | ' | ||||
Amortized cost - maturity between 1 and 5 years | 92 | ' | 92 | ' | ' | ||||
Amortized cost - maturity between 6 and 10 years | 56 | ' | 56 | ' | ' | ||||
Amortized cost - maturity in excess of 10 years | 74 | ' | 74 | ' | ' | ||||
Amortized cost total | 228 | ' | 228 | ' | ' | ||||
Fair value - maturity less than 1 year | 6 | ' | 6 | ' | ' | ||||
Fair value - maturity between 1 and 5 years | 96 | ' | 96 | ' | ' | ||||
Fair value - maturity between 6 and 10 years | 58 | ' | 58 | ' | ' | ||||
Fair value - maturity in excess of 10 years | 76 | ' | 76 | ' | ' | ||||
Fair value total | 236 | ' | 236 | ' | ' | ||||
Available-for-Sale Securities Proceeds From and Realized Gains and Losses (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Proceeds from sales of NDT securities | 33 | [1] | 23 | [1] | 92 | 102 | ' | ||
Other proceeds from sales | ' | ' | ' | 3 | ' | ||||
Gross realized gains | 3 | [2] | 2 | [2] | 10 | [2] | 15 | [2] | ' |
Gross realized losses | 2 | [2] | 2 | [2] | 6 | [2] | 8 | [2] | ' |
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 488 | ' | 488 | ' | 474 | ||||
Gross unrealized gains | 318 | ' | 318 | ' | 239 | ||||
Gross unrealized losses | 2 | ' | 2 | ' | 1 | ||||
Fair value | 804 | ' | 804 | ' | 712 | ||||
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 | 14 | ' | 14 | ' | 11 | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 14 | ' | 14 | ' | 11 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | United States Large Cap Equity Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 230 | ' | 230 | ' | 222 | ||||
Gross unrealized gains | 264 | ' | 264 | ' | 190 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 494 | ' | 494 | ' | 412 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | United States Mid Small Cap Equity Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 31 | ' | 31 | ' | 30 | ||||
Gross unrealized gains | 43 | ' | 43 | ' | 30 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 74 | ' | 74 | ' | 60 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | United States Treasury Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 90 | ' | 90 | ' | 86 | ||||
Gross unrealized gains | 6 | ' | 6 | ' | 9 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 96 | ' | 96 | ' | 95 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | United States Government Sponsored Agency Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 5 | ' | 5 | ' | 8 | ||||
Gross unrealized gains | 1 | ' | 1 | ' | 1 | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 6 | ' | 6 | ' | 9 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Municipality Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 74 | ' | 74 | ' | 78 | ||||
Gross unrealized gains | 2 | ' | 2 | ' | 5 | ||||
Gross unrealized losses | 1 | ' | 1 | ' | 1 | ||||
Fair value | 75 | ' | 75 | ' | 82 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Investment Grade Corporate Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 39 | ' | 39 | ' | 36 | ||||
Gross unrealized gains | 2 | ' | 2 | ' | 4 | ||||
Gross unrealized losses | 1 | ' | 1 | ' | ' | ||||
Fair value | 40 | ' | 40 | ' | 40 | ||||
PPL Energy Supply LLC [Member] | Nuclear Decommissioning Trust Funds [Member] | Other Debt Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 3 | ' | 3 | ' | 3 | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 3 | ' | 3 | ' | 3 | ||||
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 | ' | 2 | ' | ' | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | ' | ' | ' | ' | ' | ||||
Fair value | 2 | ' | 2 | ' | ' | ||||
PPL Energy Supply LLC [Member] | Auction Rate Securities [Member] | ' | ' | ' | ' | ' | ||||
Available-for-Sale Securities Balance Sheet (Details) [Abstract] | ' | ' | ' | ' | ' | ||||
Amortized cost | 17 | ' | 17 | ' | 17 | ||||
Gross unrealized gains | ' | ' | ' | ' | ' | ||||
Gross unrealized losses | 1 | ' | 1 | ' | 1 | ||||
Fair value | $16 | ' | $16 | ' | $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 $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ($2,128) | ' | ($1,940) | ' |
Amounts arising during the period | 93 | ' | -48 | ' |
Reclassifications from accumulated other comprehensive income | 28 | ' | -19 | ' |
Net other comprehensive income during the period | 121 | 81 | -67 | -251 |
Balance at end of period | -2,007 | ' | -2,007 | ' |
Foreign Currency Translation Adjustments [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | -401 | ' | -149 | ' |
Amounts arising during the period | 87 | ' | -165 | ' |
Reclassifications from accumulated other comprehensive income | ' | ' | ' | ' |
Net other comprehensive income during the period | 87 | ' | -165 | ' |
Balance at end of period | -314 | ' | -314 | ' |
Available For Sale Securities Unrealized Gains (Losses) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | 135 | ' | 112 | ' |
Amounts arising during the period | 15 | ' | 40 | ' |
Reclassifications from accumulated other comprehensive income | ' | ' | -2 | ' |
Net other comprehensive income during the period | 15 | ' | 38 | ' |
Balance at end of period | 150 | ' | 150 | ' |
Qualifying Derivatives Unrealized Gains (Losses) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | 102 | ' | 132 | ' |
Amounts arising during the period | -9 | ' | 77 | ' |
Reclassifications from accumulated other comprehensive income | -6 | ' | -122 | ' |
Net other comprehensive income during the period | -15 | ' | -45 | ' |
Balance at end of period | 87 | ' | 87 | ' |
Equity Investees Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | 1 | ' | 1 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | -1 | ' | -1 | ' |
Net other comprehensive income during the period | -1 | ' | -1 | ' |
Balance at end of period | ' | ' | ' | ' |
Defined Benefit Plans Prior Service Costs [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | -11 | ' | -14 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | 2 | ' | 5 | ' |
Net other comprehensive income during the period | 2 | ' | 5 | ' |
Balance at end of period | -9 | ' | -9 | ' |
Defined Benefit Plans Actuarial Gain (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | -1,955 | ' | -2,023 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | 33 | ' | 101 | ' |
Net other comprehensive income during the period | 33 | ' | 101 | ' |
Balance at end of period | -1,922 | ' | -1,922 | ' |
Defined Benefit Plans Transition Assset Obligation [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | 1 | ' | 1 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | ' | ' | ' | ' |
Net other comprehensive income during the period | ' | ' | ' | ' |
Balance at end of period | 1 | ' | 1 | ' |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | 14 | ' | 48 | ' |
Amounts arising during the period | 15 | ' | 40 | ' |
Reclassifications from accumulated other comprehensive income | -25 | ' | -84 | ' |
Net other comprehensive income during the period | -10 | -77 | -44 | -257 |
Balance at end of period | 4 | ' | 4 | ' |
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 | 135 | ' | 112 | ' |
Amounts arising during the period | 15 | ' | 40 | ' |
Reclassifications from accumulated other comprehensive income | ' | ' | -2 | ' |
Net other comprehensive income during the period | 15 | ' | 38 | ' |
Balance at end of period | 150 | ' | 150 | ' |
PPL Energy Supply LLC [Member] | Qualifying Derivatives Unrealized Gains (Losses) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | 144 | ' | 211 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | -29 | ' | -96 | ' |
Net other comprehensive income during the period | -29 | ' | -96 | ' |
Balance at end of period | 115 | ' | 115 | ' |
PPL Energy Supply LLC [Member] | Defined Benefit Plans Prior Service Costs [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | -8 | ' | -10 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | 1 | ' | 3 | ' |
Net other comprehensive income during the period | 1 | ' | 3 | ' |
Balance at end of period | -7 | ' | -7 | ' |
PPL Energy Supply LLC [Member] | Defined Benefit Plans Actuarial Gain (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | -257 | ' | -265 | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | 3 | ' | 11 | ' |
Net other comprehensive income during the period | 3 | ' | 11 | ' |
Balance at end of period | -254 | ' | -254 | ' |
PPL Energy Supply LLC [Member] | Defined Benefit Plans Transition Assset Obligation [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income Loss [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | ' | ' |
Amounts arising during the period | ' | ' | ' | ' |
Reclassifications from accumulated other comprehensive income | ' | ' | ' | ' |
Net other comprehensive income during the period | ' | ' | ' | ' |
Balance at end of period | ' | ' | ' | ' |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) (Income (Expense) Effect of Reclassifications) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Wholesale energy marketing | $980 | $1,076 | $2,767 | $3,367 |
Energy purchases | -592 | -583 | -1,855 | -2,253 |
Depreciation | -289 | -278 | -859 | -813 |
Other Income (Expense) - net | -116 | -44 | 19 | -31 |
Interest Expense | -246 | -248 | -755 | -714 |
Total Pre-tax | 494 | 372 | 1,571 | 1,541 |
Income Taxes | -84 | -17 | -344 | -364 |
Total After-Tax | 410 | 355 | 1,227 | 1,177 |
Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Total After-Tax | -28 | ' | 19 | ' |
Available For Sale Securities [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Wholesale energy marketing | ' | ' | ' | ' |
Energy purchases | ' | ' | ' | ' |
Depreciation | ' | ' | ' | ' |
Other Income (Expense) - net | 1 | ' | 4 | ' |
Interest Expense | ' | ' | ' | ' |
Total Pre-tax | 1 | ' | 4 | ' |
Income Taxes | -1 | ' | -2 | ' |
Total After-Tax | ' | ' | 2 | ' |
Qualifying Derivatives [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Wholesale energy marketing | 58 | ' | 198 | ' |
Energy purchases | -11 | ' | -41 | ' |
Depreciation | 1 | ' | 2 | ' |
Other Income (Expense) - net | -25 | ' | 45 | ' |
Interest Expense | -6 | ' | -14 | ' |
Total Pre-tax | 17 | ' | 190 | ' |
Income Taxes | -11 | ' | -68 | ' |
Total After-Tax | 6 | ' | 122 | ' |
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] | ' | ' | ' | ' |
Wholesale energy marketing | ' | ' | ' | ' |
Energy purchases | ' | ' | ' | ' |
Depreciation | ' | ' | ' | ' |
Other Income (Expense) - net | ' | ' | ' | ' |
Interest Expense | -5 | ' | -14 | ' |
Total Pre-tax | -5 | ' | -14 | ' |
Income Taxes | 2 | ' | 6 | ' |
Total After-Tax | -3 | ' | -8 | ' |
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] | ' | ' | ' | ' |
Wholesale energy marketing | ' | ' | ' | ' |
Energy purchases | ' | ' | ' | ' |
Depreciation | ' | ' | ' | ' |
Other Income (Expense) - net | -25 | ' | 45 | ' |
Interest Expense | -1 | ' | ' | ' |
Total Pre-tax | -26 | ' | 45 | ' |
Income Taxes | 7 | ' | -10 | ' |
Total After-Tax | -19 | ' | 35 | ' |
Qualifying Derivatives [Member] | Energy Commodities [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Wholesale energy marketing | 58 | ' | 198 | ' |
Energy purchases | -11 | ' | -41 | ' |
Depreciation | 1 | ' | 2 | ' |
Other Income (Expense) - net | ' | ' | ' | ' |
Interest Expense | ' | ' | ' | ' |
Total Pre-tax | 48 | ' | 159 | ' |
Income Taxes | -20 | ' | -64 | ' |
Total After-Tax | 28 | ' | 95 | ' |
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 | -48 | ' | -146 | ' |
Income Taxes | 13 | ' | 40 | ' |
Total After-Tax | -35 | ' | -106 | ' |
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 | -3 | ' | -8 | ' |
Income Taxes | 1 | ' | 3 | ' |
Total After-Tax | -2 | ' | -5 | ' |
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 | -45 | ' | -138 | ' |
Income Taxes | 12 | ' | 37 | ' |
Total After-Tax | -33 | ' | -101 | ' |
Equity Investees Accumulated Other Comprehensive Income [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Wholesale energy marketing | ' | ' | ' | ' |
Energy purchases | ' | ' | ' | ' |
Depreciation | ' | ' | ' | ' |
Other Income (Expense) - net | 1 | ' | 1 | ' |
Interest Expense | ' | ' | ' | ' |
Total Pre-tax | 1 | ' | 1 | ' |
Income Taxes | ' | ' | ' | ' |
Total After-Tax | 1 | ' | 1 | ' |
PPL Energy Supply LLC [Member] | ' | ' | ' | ' |
Affected Line Item on the Statements of Income [Line Items] | ' | ' | ' | ' |
Wholesale energy marketing | 980 | 1,076 | 2,767 | 3,367 |
Energy purchases | -425 | -421 | -1,277 | -1,715 |
Depreciation | -80 | -73 | -237 | -206 |
Other Income (Expense) - net | 2 | 5 | 18 | 16 |
Interest Expense | -39 | -43 | -131 | -123 |
Total Pre-tax | 199 | 71 | 279 | 585 |
Income Taxes | -74 | -16 | -106 | -202 |
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 | 25 | ' | 84 | ' |
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] | ' | ' | ' | ' |
Wholesale energy marketing | ' | ' | ' | ' |
Energy purchases | ' | ' | ' | ' |
Depreciation | ' | ' | ' | ' |
Other Income (Expense) - net | 1 | ' | 4 | ' |
Interest Expense | ' | ' | ' | ' |
Total Pre-tax | 1 | ' | 4 | ' |
Income Taxes | -1 | ' | -2 | ' |
Total After-Tax | ' | ' | 2 | ' |
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] | ' | ' | ' | ' |
Wholesale energy marketing | 58 | ' | 198 | ' |
Energy purchases | -11 | ' | -41 | ' |
Depreciation | 1 | ' | 2 | ' |
Other Income (Expense) - net | ' | ' | ' | ' |
Interest Expense | ' | ' | ' | ' |
Total Pre-tax | 48 | ' | 159 | ' |
Income Taxes | -19 | ' | -63 | ' |
Total After-Tax | 29 | ' | 96 | ' |
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 | -7 | ' | -23 | ' |
Income Taxes | 3 | ' | 9 | ' |
Total After-Tax | -4 | ' | -14 | ' |
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 | -2 | ' | -5 | ' |
Income Taxes | 1 | ' | 2 | ' |
Total After-Tax | -1 | ' | -3 | ' |
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 | -5 | ' | -18 | ' |
Income Taxes | 2 | ' | 7 | ' |
Total After-Tax | ($3) | ' | ($11) | ' |