This study—commissioned by the Kentucky Resources Council, Metropolitan Housing Coalition, Mountain Association, and Earthjustice with support from the Kentucky Solar Energy Society and Kentuckians for the Commonwealth—provides a comprehensive, integrated assessment of how Kentucky can meet its ratepayers’ electricity needs in the most affordable, reliable, and resilient manner while also mitigating associated risks.

Additionally, the study evaluates the economic impacts of Senate Bill 4 (SB 4) and Senate Bill 349 (SB 349) on ratepayers, including the potential for these laws to delay the retirement of fossil-fuel generation units, and the costs associated with the categorical exclusion of most renewable energy sources as replacement capacity.

Using the GenX modeling platform, the analysis finds:

• The least-cost portfolio includes renewable energy, energy storage, and demand-side resources at significantly higher levels than currently planned by Kentucky’s regulated electric utilities.

• The least-cost portfolio transitions away from coal generation, does not include incremental gas-fired resources, yields billions of dollars in savings for Kentuckians, and delivers significant emissions reductions.

• Renewable energy and demand-side resources are critical for affordable supply and cost stability. Energy storage offers critical reliability benefits and is essential for achieving a more flexible and resilient power system.

• Policy, fuel price, and load growth uncertainties amplify the cost and risks embedded in utilities’ plans. In contrast, renewable energy, energy storage, and demand-side resources perform well in a wide range of future scenarios.

• Recently enacted laws restricting coal retirements threaten to reduce or eliminate potential savings and lock Kentucky into a higher-risk, fossil-fuel-dependent future.