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AN ACT relating to securing affordable, reliable, and clean energy. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
SECTION 1. A NEW SECTION OF KRS CHAPTER 278 IS CREATED TO 3
READ AS FOLLOWS: 4
(1) As used in this section: 5
(a) "Affordable" means the lowest -cost method of providing electricity, 6
factoring in the true and total cost of each generati on source, including but 7
not limited to considerations of: 8
1. Potential costs resulting from foreign and domestic supply chain 9
disruptions; 10
2. The costs of environmental degradation or remediation resulting from 11
the use of the generation source; 12
3. Costs that have been kept artificially low through direct payment to or 13
subsidization of the generation source by any local, state, or federal 14
government entity in the preceding five (5) years; 15
(b) "Clean energy" means: 16
1. The energy sources listed in 42 U.S.C. sec. 15852(b); 17
2. Energy produced using hydrocarbon fuels, including natural gas and 18
coal, in compliance with the relevant requirements of the f ederal 19
Clean Air Act, 42 U.S.C. sec. 7401 et seq.; and 20
3. Energy generated by nuclear reactors; 21
(c) "Dispatchable" means a source of electric power generation that is 22
available on demand, that is not intermittent, and that can be adjusted to 23
increase or decrease its power output upon request of a power grid operator 24
or otherwise upon demand or request, or that can have its power output 25
adjusted in response to market or system needs, except during routine 26
maintenance or repairs; 27
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(d) "Foreign adversary nation " means any country or entity that is designated 1
by the federal government as a foreign adversary or country of concern, 2
including any country or entity that is: 3
1. Designated as a foreign adversary under 15 C.F.R. sec. 7.4 or 4
successor federal regulations; 5
2. Designated as a state sponsor of terrorism by the United States 6
Department of State; 7
3. Subject to comprehensive federal sanctions administered by the Office 8
of Foreign Assets Control; 9
4. Otherwise determined by the Governor, in consultation with the 10
Attorney General, to pose a national security, economic security, or 11
supply chain risk to the United States; or 12
5. Owned, controlled by, or subject to the jurisdiction or direction of a 13
foreign adversary nation, including but not limited to state -owned 14
enterprises, instrumentalities, or companies operating under 15
compulsory foreign national laws. 16
(e) "Reliable" means a source of electricity that: 17
1. Is not subject to intermittent availability, including as a result of 18
routine expected daily weather; and 19
2. Has a performance standard of eighty percent (80%) or greater except 20
during routine maintenance or repairs. 21
(2) Notwithstanding any provision of law to the contrary, the commission shall adopt 22
rules and policies that will permit the commission, in the exer cise of its expertise, 23
to prioritize securing affordable, reliable, and clean energy within the 24
Commonwealth by: 25
(a) Ensuring fuel sources primarily produced within the United States are 26
prioritized, with the exception of nuclear resources and generation; 27
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(b) Prohibiting the use of critical materials as defined by the federal Energy Act 1
of 2020, Pub. L. No. 116 -260, that are sourced or manufactured by or in a 2
foreign adversary nation or that are subject to the prohibitions on the 3
importation of convict-made goods in 19 U.S.C. sec. 1307; 4
(c) Giving preference to infrastructure and components built in the 5
Commonwealth and the United States that are necessary to deliver energy to 6
customers; and 7
(d) Ensuring a sufficient supply of clean energy sources that is di spatchable to 8
meet the demands of residential and commercial customers at all times with 9
minimal interruptions, even during high usage periods. 10
Section 2. This Act takes effect November 1, 2026. 11