Dive Brief:
- PPL Corporation's first quarter earnings were up across the company's three utility subsidiaries compared to 2013. Earnings from ongoing operations hit $523 million for the first quarter, up from $454 million for the first quarter of 2013. The company cited the adverse weather and regulated utilities' high performance as the main reasons for the boost.
- During an earnings call, PPL renewed its commitment to ending wet coal ash disposal in Kentucky. The company reported that all coal ash ponds in Pennsylvania had already been transferred to dry landfill sites, and that it was in the process of doing the same in Kentucky.
- PPL also hinted at change for PPL Energy Supply, the subsidiary that contains both power plant operator PPL Generation and energy marketer PPL EnergyPlus, due to its stagnant earnings. "There's no specific timeline, but it continues to be a key priority for the company," said CEO William H. Spence.
Dive Insight:
PPL's commitment to getting rid of its coal ash ponds will take about a decade and probably cost $300-400 million, according to the company. However, without base regulations from the Environmental Protection Agency on coal ash disposal, it would be impossible to say exactly how much it will cost the company to fall in line with the law, said Louisville Gas and Electric and Kentucky Utilities CEO Victor Staffieri.
The company's commitment reflects a wider wariness of the impact of coal ash on the environment. "We have confidence we have done the kind of analysis that needs to be done to ensure that we hopefully don't have the problems that have plagued others with respect to these ponds," said Staffieri, alluding to Duke Energy's problematic handling of a coal ash spill into the Dan River in February.