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Can Clean-Energy Initiatives Support PPL's Long-Term Growth?
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Key Takeaways
PPL is advancing wind, storage and cleaner generation projects to support grid reliability and demand.
PPL's $23 billion capital plan through 2029 supports 10.3% annual rate-base growth and 6-8% EPS growth.
PPL is exploring pumped-storage hydro and small modular reactors to strengthen Kentucky's energy system.
PPL Corporation (PPL - Free Report) is advancing clean-energy initiatives that can strengthen grid reliability and support rising electricity demand. Its growing focus on wind, energy storage and cleaner generation could diversify its energy mix, improve operational flexibility and efficiency.
Recently, PPL’s unit, Rhode Island Energy, conditionally selected 150 megawatts (MW) of renewable energy from Clearway Energy Group’s proposed 800-MW onshore wind project in Aroostook County, Maine. The energy would be procured through a long-term power purchase agreement, subject to contract negotiations and regulatory approval. This would give PPL exposure to additional renewable supply while supporting regional clean-energy goals.
The company is expanding and modernizing its Kentucky generation fleet through natural gas, renewables and other clean-energy technologies. In Kentucky, PPL units Louisville Gas and Electric Company (LG&E) and Kentucky Utilities (KU) are evaluating the 266-MW Lewis Ridge pumped-storage hydro project, which could provide eight hours of energy storage and strengthen grid flexibility. Construction could begin as early as 2027, with commercial operation targeted for 2031.
The utilities are also collaborating with X-energy to explore deploying Xe-100 small modular reactors in Kentucky to meet growing electricity demand with long term, reliable and clean energy These initiatives complement PPL’s broader $23 billion capital investment program through 2029, supporting an expected 10.3% average annual rate-base growth and 6-8% annual earnings per share growth through 2029.
Overall, these renewable and clean-energy initiatives could strengthen PPL’s long-term growth by supporting infrastructure expansion, enhancing system resilience and creating opportunities to increase its regulated asset base.
Clean-Energy Investments Support Utility Growth
Clean-energy investments support utility growth by expanding renewable generation, modernizing grids and improving system resilience. Continued spending on cleaner power and infrastructure can strengthen capacity, reliability and long-term earnings prospects.
NextEra Energy (NEE - Free Report) benefits from expanding clean-energy demand, as Energy Resources added 3.6 gigawatts (GW) of renewables and storage projects, lifting its backlog to approximately 35.1 GW.
AES Corporation (AES - Free Report) benefits from clean-energy expansion, with 19,724 gross megawatts of renewable capacity operating across solar, wind, hydro and storage, strengthening its diversified generation portfolio globally.
The Zacks Rundown on PPL
PPL’s Earnings Estimates
The Zacks Consensus Estimate for 2026 and 2027 EPS indicates a year-over-year increase of 7.18% and 8.32%, respectively.
Image Source: Zacks Investment Research
Debt to Capital
PPL's debt-to-capital currently stands at 57.46%, lower than the electric power industry’s 61.32%.
Image Source: Zacks Investment Research
PPL’s Stock Price Performance
In the past month, the company’s shares have risen 0.2% against the industry’s 0.5% decline.
View the Zacks #1 Rank List
Image: Bigstock
Can Clean-Energy Initiatives Support PPL's Long-Term Growth?
Key Takeaways
PPL Corporation (PPL - Free Report) is advancing clean-energy initiatives that can strengthen grid reliability and support rising electricity demand. Its growing focus on wind, energy storage and cleaner generation could diversify its energy mix, improve operational flexibility and efficiency.
Recently, PPL’s unit, Rhode Island Energy, conditionally selected 150 megawatts (MW) of renewable energy from Clearway Energy Group’s proposed 800-MW onshore wind project in Aroostook County, Maine. The energy would be procured through a long-term power purchase agreement, subject to contract negotiations and regulatory approval. This would give PPL exposure to additional renewable supply while supporting regional clean-energy goals.
The company is expanding and modernizing its Kentucky generation fleet through natural gas, renewables and other clean-energy technologies. In Kentucky, PPL units Louisville Gas and Electric Company (LG&E) and Kentucky Utilities (KU) are evaluating the 266-MW Lewis Ridge pumped-storage hydro project, which could provide eight hours of energy storage and strengthen grid flexibility. Construction could begin as early as 2027, with commercial operation targeted for 2031.
The utilities are also collaborating with X-energy to explore deploying Xe-100 small modular reactors in Kentucky to meet growing electricity demand with long term, reliable and clean energy
These initiatives complement PPL’s broader $23 billion capital investment program through 2029, supporting an expected 10.3% average annual rate-base growth and 6-8% annual earnings per share growth through 2029.
Overall, these renewable and clean-energy initiatives could strengthen PPL’s long-term growth by supporting infrastructure expansion, enhancing system resilience and creating opportunities to increase its regulated asset base.
Clean-Energy Investments Support Utility Growth
Clean-energy investments support utility growth by expanding renewable generation, modernizing grids and improving system resilience. Continued spending on cleaner power and infrastructure can strengthen capacity, reliability and long-term earnings prospects.
NextEra Energy (NEE - Free Report) benefits from expanding clean-energy demand, as Energy Resources added 3.6 gigawatts (GW) of renewables and storage projects, lifting its backlog to approximately 35.1 GW.
AES Corporation (AES - Free Report) benefits from clean-energy expansion, with 19,724 gross megawatts of renewable capacity operating across solar, wind, hydro and storage, strengthening its diversified generation portfolio globally.
The Zacks Rundown on PPL
PPL’s Earnings Estimates
The Zacks Consensus Estimate for 2026 and 2027 EPS indicates a year-over-year increase of 7.18% and 8.32%, respectively.
Image Source: Zacks Investment Research
Debt to Capital
PPL's debt-to-capital currently stands at 57.46%, lower than the electric power industry’s 61.32%.
Image Source: Zacks Investment Research
PPL’s Stock Price Performance
In the past month, the company’s shares have risen 0.2% against the industry’s 0.5% decline.
Image Source: Zacks Investment Research
PPL’s Zacks Rank
PPL currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.