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If the dam failed at the Ghent Power Station’s coal ash pond, it would only take 20 minutes for the toxic coal ash slurry to reach a residential neighborhood in Carroll County. Near the Brown Power Plant in Central Kentucky, homes on nearby Herrington Lake could get five feet of sludge. And at Louisville’s Mill Creek Power Station, the homes across the street from the plant’s ash pond would have a foot of the contaminated water within 30 minutes.

These are the details included in Emergency Action Plans posted online, required to be made available to the public for the first time last week due to new federal regulations.

LG&E

Louisville Gas and Electric has reached a settlement with intervenors in the company’s rate case that’s pending before state regulators.

LG&E had initially asked the Kentucky Public Service Commission to approve a rate increase that would have raised the average residential customer’s bill by about $13 a month. The settlement agreement calls for a smaller increase — about $8.24.

One of the most controversial provisions of the utility’s proposal was the way it proposed to raise those rates: not by changing the rate people pay for electricity and gas, but by changing the basic service charge. The service charge is the flat rate that all customers pay, regardless of usage.

The Kentucky Public Service Commission was scheduled to hold a public hearing on Tuesday on Louisville Gas and Electric and Kentucky Utilities’ proposed rate increase.

Instead, as WFPL reported, the utilities and all of the intervenors in the case reached a settlement, which is now subject to PSC approval.

Here’s a deeper look at the settlement, what LG&E/KU got—and what they didn’t get.

Monthly Service Charge

This was the most contentious part of the original proposal because it would affect every customer, regardless of how much energy they used. LG&E electric and gas customers would have ended up paying $37 a month, up from $24.25. KU customers would have paid $18 a month, rather than the $10.75 they pay now. Under the settlement, there will be no change to the monthly charge, but the rates of electricity and gas will change slightly. The company estimates that the average LG&E bill will increase by about $1.15 a month, while the average KU customer will pay $9 more each month.

After collecting a year's worth of images of what they say are illegal discharges from one of Louisville Gas & Electric's coal ash ponds into the Ohio River, environmental groups say they plan to sue the company. 

The Notice of Intent to sue filed by the Sierra Club and Earthjustice alleges that even though LG&E's permit allows “occasional” discharges directly into the Ohio River, the company has released water from its coal ash ponds into the river at least daily for the past five years.

"It’s obvious that they think they can operate with impunity," said Tom Pearce, a local Sierra Club organizer. "It’s the reason that we can’t eat fish out of our river. It’s the reason that our river is rates as one of the dirtiest rivers in the country. Is it any wonder?"

State leaders say a nearly $1 billion project to update pollution controls at a massive Louisville power plant will be a boost for Kentucky's coal industry. The upgrades at LG&E's Mill Creek Generating Station in southwestern Jefferson County are expected to add about 700 construction jobs. They will also allow the 1,400-megawatt plant to continue to burn coal by meeting stricter federal air regulations that go in force in 2016.