Kentucky Change Location

Rate Options & Tariffs Kentucky

Net Metering

Net metering is a special metering and billing agreement between utilities and their customers, which facilitates the connection of small, renewable energy-generating systems to the power grid. Our net metering program encourages small-scale renewable energy systems, ensures that customers always have a reliable source of energy from the grid during times when their renewable generators are not producing energy, and provides substantial benefits to the electric power-generating system, the economy, and the environment.

When a net metering customer’s renewable generator is producing more power than is being consumed, the electric meter runs backward, generating credits. When a net metering customer uses more power than is being produced, the meter runs forward. Net metering customers are charged only for the “net” power that they consume from the electricity service provider that has accumulated over a designated period or, if their renewable energy-generating systems make more electricity than is consumed, they may be credited for the excess electricity contributed to the grid over that same period.

It has been shown that customers with net metering systems tend to be much more aware of their energy consumption, so they usually consume less energy than the average retail customer. Net metering is also a way to increase the energy in the power grid to keep up with increases in demand during peak power-use times.

Customers interested in pursuing the net metering option should view Rider NM (Net Metering Rider), as well as information about interconnecting with our grid.

Cogeneration, also known as combined heat and power (CHP), is used at some generating facilities. The process sequentially produces electricity and another form of useful thermal energy – such as heat or steam – that can be used for industrial, commercial, residential or institutional purposes.

All power plants must emit a certain amount of heat during electricity generation. This can be released into the natural environment through cooling towers, flue gas or by other means. By contrast, CHP captures some or all of the by-product heat for heating purposes, either very close to the plant or as hot water for district heating.

Learn more by viewing the following tariffs:

CoGeneration and Small Power Production Sale and Purchase Tariff - 100 kW or Less 

CoGeneration and Small Power Production Sale and Purchase Tariff–Greater than 100 kW