Kentucky, October 30, 2025
The Kentucky Public Service Commission has approved the construction of two new natural gas-fired power plants in Louisville to support the growing energy demands of regional data centers. The Brown 12 Unit and Mill Creek 6 Unit, each with a capacity of 645 megawatts, are set to begin operations in 2030 and 2031 respectively. This strategic move aims to ensure a reliable energy supply and stimulate economic growth through job creation and increased investments.
Louisville, Kentucky – Regulatory Approval Granted for New Power Plants to Support Data Centers
Louisville Gas and Electric Company (LG&E) and Kentucky Utilities Company (KU) have received approval from the Kentucky Public Service Commission to construct two new natural gas-fired power plants. These facilities are designed to meet the increasing energy demands of data centers in the region.
Details of the Approved Projects
The approved projects include:
- Brown 12 Unit: A 645-megawatt natural gas combined-cycle unit to be built at KU’s E.W. Brown Generating Station in Mercer County, Kentucky. This unit is scheduled to begin operations in 2030.
- Mill Creek 6 Unit: Another 645-megawatt natural gas combined-cycle unit to be constructed at LG&E’s Mill Creek Generating Station in Jefferson County, Kentucky. This unit is expected to be operational in 2031.
These additions aim to address the anticipated surge in energy consumption driven by the expansion of data centers in Kentucky. The state’s favorable business environment and competitive energy rates have attracted significant interest from data center developers. A joint venture between PowerHouse Data Centers and Poe Companies is developing a 400-megawatt data center campus in Louisville, with the first 130 megawatts expected to be available by October 2026.
Strategic Importance of the Projects
The construction of these new power plants is a strategic move to ensure a reliable and sufficient energy supply for Kentucky’s growing data center sector. The state’s location between the Mid-Atlantic and Midwest markets, along with its competitive energy rates, makes it an attractive destination for data center investments. The new facilities will not only support the energy needs of these data centers but also contribute to the state’s economic growth by creating jobs and attracting further investments.
Background Context
In response to the increasing energy demands from data centers, LG&E and KU have been proactive in planning and seeking approval for additional generation capacity. In February 2025, the companies requested approval for a Certificate of Public Convenience and Necessity from the Kentucky Public Service Commission for additional generation capacity and battery storage. This request included plans for two new, highly efficient 645-megawatt natural gas combined-cycle units and 400 megawatts of battery storage to enhance grid reliability.
The approval of these projects underscores the commitment of LG&E and KU to meet the evolving energy needs of Kentucky’s rapidly growing data center industry, ensuring a stable and reliable power supply for the state’s economic development.
Frequently Asked Questions (FAQ)
What are the new power plants approved by the Kentucky Public Service Commission?
The Kentucky Public Service Commission has approved the construction of two new natural gas-fired power plants: the Brown 12 Unit and the Mill Creek 6 Unit. Each unit will have a capacity of 645 megawatts and is scheduled to begin operations in 2030 and 2031, respectively.
Why are these new power plants being built?
These new power plants are being built to meet the increasing energy demands of data centers in Kentucky. The state’s favorable business environment and competitive energy rates have attracted significant interest from data center developers, necessitating additional power generation capacity to support this growth.
How will these projects impact Kentucky’s economy?
The construction of these power plants is expected to contribute to Kentucky’s economic growth by creating jobs and supporting the expansion of the data center industry. The state’s strategic location and reliable energy supply make it an attractive destination for data center investments, further boosting the local economy.
What is the timeline for these projects?
The Brown 12 Unit is scheduled to begin operations in 2030, followed by the Mill Creek 6 Unit in 2031. These timelines are subject to regulatory approvals and construction schedules.
How do these projects fit into LG&E and KU’s broader energy strategy?
These projects are part of LG&E and KU’s broader strategy to enhance Kentucky’s energy infrastructure in response to growing demand from data centers and other industries. The companies have also proposed additional generation capacity and battery storage to further support the state’s economic development and energy needs.
Key Features of the New Power Plants
| Feature | Details |
|---|---|
| Project Name | Brown 12 Unit and Mill Creek 6 Unit |
| Type | Natural gas-fired combined-cycle power plants |
| Capacity | 645 megawatts each |
| Location | Mercer County (Brown 12 Unit) and Jefferson County (Mill Creek 6 Unit), Kentucky |
| Operational Dates | 2030 (Brown 12 Unit) and 2031 (Mill Creek 6 Unit) |
| Purpose | To meet the increasing energy demands of data centers in Kentucky |
Now Happening on X
- @LEX18News (October 30, 2025): A Fortune 100 company’s proposed billion-dollar data center project in Mason County has sparked both excitement and concern among residents. View on X
- @WHAS11 (October 30, 2025): The new power generation from LG&E and KU’s approved plants will primarily serve data centers locating in Kentucky. View on X
- @PowerPlantWorld (October 29, 2025): Kentucky regulators have granted LG&E/KU permission to build power plants specifically for future data centers. View on X
- @byconnorgiffin (October 29, 2025): Kentucky’s largest utility received approval for $3 billion in new energy infrastructure, including two gas-fired units, driven by data center demand with over a dozen projects in the pipeline. View on X
- @heraldleader (October 29, 2025): LG&E and KU are permitted by the regulatory board to construct power plants to support KY data centers. View on X
- @tatecurtis (October 29, 2025): Reviewing the Kentucky PSC’s decision to approve gas plants by LG&E/KU to meet anticipated data center energy needs, with a related story forthcoming. View on X
- @WFPLNews (October 29, 2025): State regulators are allowing Kentucky’s largest power companies to invest $3 billion in two new gas power plants needed for future data centers. View on X
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