Kentucky’s largest utility provider is asking to build two new 645 MW natural gas generating units. A majority of the power will go to new data centers.

LOUISVILLE, Ky. — Over 100 people filled an auditorium in southwest Louisville Monday night to speak against Louisville Gas and Electric and Kentucky Utilities’ (LG&E and KU) plans to build two new natural gas generating units. The utility company has said a main reason it is asking for this is the projected demand for new data centers.

“We as members of the community ask, ‘Why is it that we paid half a billion dollars in the Cane Run Road generating facility that was installed in 2016 for our needs…and now a data center can come in and demand LG&E provide them 72% of that plant?’ That’s our power.” Ken Shapiro, a concerned member of the community said. 

LG&E and KU filed for a certificate of public convenience and necessity (CPCN) with the Kentucky Public Service Commission in February for these plans. The plans call for $3.7 billion in spending to build two new natural gas combined cycle generators, each with a 645 MW generating capacity.

One of the units will be “Mill Creek 6” at the Mill Creek Generating Station in far southwest Jefferson County. The other will be “Brown 12” at the Brown Generating Station in Mercer County. 

The application also asks to build 400 MW of battery storage at the Cane Run Generating facility in Louisville. 

“I would say there is a significant portion that is driven by the interest in data centers. The Kentucky General Assembly passed a sales tax incentive for data centers…they expanded those this year,” Andrew Gardner said, a spokesperson for the utility company. “That has increased the interest that we have heard from data centers. And as a regulated utility, we have an obligation to meet that economic growth in a reasonable and least-cost manner.”

Data centers are supercomputer warehouses that can be used to run artificial intelligence modules (making the AI smarter), or be used as cloud-based data storage centers. Several have been popping up in the Louisville area. 

Facebook owner Meta is building an $800 million data center in Jeffersonville. A “HyperScale” data center being built by Poe Companies and PowerHouse Data Centers is about to be constructed off of Camp Ground Road in the Rubbertown area.

A data center was planned in Oldham County, but the developers backed out after significant community backlash

“Economic development activity that creates jobs and growth and gives people opportunities and creates wealth in the community, that’s one thing. But that’s not what we’re hearing from this data center,” Shapiro said.

Much of the discussion at Monday’s meeting was people speaking negatively about the data center, which was just recently approved, near Rubbertown. People expressed a level of confusion and being “in the dark” on the project. 

Because the land was already zoned industrial, it did not need a zoning change or a vote by Metro Council. All it needed was an approval from the “Development Review Committee” which happened on June 18.

“I have twice submitted a request to PowerHouse Data, Poe Companies and Mayor Greenberg requesting that they host a community meeting. I have not received a single response,” Tina Brunell said, another concerned resident.

According to LG&E, this data center will use 400 MW of electricity at full capacity; that’s equivalent to 280,000 regular residential customers. For comparison, LG&E has 330,000 residential customers total in Jefferson County.

“When you’re talking about building a data center and understanding the massive amount of energy that’s gonna be required, while at the same time, LG&E is asking their ratepayers to conserve energy,” Brunell said. 

The Public Service Commissioners listening to their comments had no control over this project, but the people were likely trying to make a point that they don’t trust these companies, or they don’t think they’re a good use of natural resources.

WHAS11 asked Poe Companies over email Monday if the HyperScale data center project in Rubbertown has a customer or a tenant signed yet. They did not respond by midnight Monday. 

LG&E and KU say these natural gas generators they are asking to build are “highly-efficient” and much better for the environment than coal. “Mill Creek 1”, a coal-fired unit, was retired at the end of 2024. Another Mill Creek coal unit is planned to be retired at the end of 2028. 

“The natural gas combined cycle units produce 65% less carbon emissions per megawatt hour than coal-fired units,” Gardner said.

Gardner says if they get this certificate, their resource mix will shift to 52% coal, 46% natural gas and 2% renewable energy by 2032. Gardner also could not 100% confirm LG&E is still committed to its previously-announced goal of being carbon neutral by 2050.

“We plan to prepare and publish an updated Climate Assessment Report following the decision on the 2025 generation investment plan filing in Kentucky. We will be better suited to frame our net-zero 2050 goal and any updates to our interim targets when we have the results of the analysis for an updated Climate Assessment Report,” he said over email.

If you would like to follow along on LG&E and KU’s request for a certificate in this matter, the public services commission docket number is 2025-00045.

There will be an evidentiary hearing in Frankfort starting August 4. The Public Services Commission is expected to rule by November.