Development of KYMEA
In September 2015, following 18 months of careful study and collaboration, ten municipal electric utilities entered into an Interlocal Cooperation Agreement establishing the Kentucky Municipal Energy Agency (KYMEA) as a joint public agency.
KYMEA was created to help its members work together to meet their current and future power supply needs, strengthen their local control, and access resources and expertise that may be difficult or costly to secure independently.
The Agency is governed by and exists solely to serve its members. Each member chooses to contract with KYMEA for power supply and energy-related services, and has the opportunity to participate in projects designed to meet specific shared needs. The All Requirements Project was established to acquire and manage the power supply resources needed to serve participating member communities.
At its core, KYMEA’s model is built on partnership, flexibility, and local control. By working together, members can pursue reliable and cost-effective energy solutions, share resources, reduce risk, and accomplish more collectively than they could individually.
The objective of KYMEA is to provide cost-effective resources and services for the benefit of its members to enable them to achieve objectives they have set for themselves more efficiently and at lower costs than they could achieve individually.
KYMEA Milestones
2025
June 2025: Ashwood Solar I reached commercial operation in June 2025, adding clean, renewable energy to KYMEA's power supply portfolio. The project reflects KYMEA's continued commitment to resource diversity, long-term value, and responsible planning for the future energy needs of its members.
2025
April 2025: On April 15th, KYMEA marked a major step forward with the groundbreaking of Energy Center I in Madisonville. The 75 MW natural gas-fired RICE generation facility represents KYMEA's first agency-owned and operated generation resource and will provide flexible, reliable capacity to support member communities for years to come.
2025
March 2025: KYMEA Welcomes Olive Hill as its newest member entering into an All Requirements Power Sales Contract with the City.
2024
February 2024: The City of Berea entered into an All Requirements Power Sales Contract with KYMEA.
The Agency executed a 5-year agreement with Hallador Power Company for 35-100 megawatts (MW) of capacity and energy as part of the its AR Project power supply portfolio. Service under the contract will commence on June 1, 2024.
March 2024: The Electric Plant Board of the City of Benham entered into an ALL Requirements Power Sales Contract with KYMEA.
2023
July 2023: KYMEA and RWE Clean Energy break ground for the 86 megawatt (MW) Ashwood Solar I project which will provide the Agency’s AR Project power supply portfolio with renewable solar energy. Ashwood is expected to be on-line mid-2024.
2022
June 2022: The Agency executed a 5-year agreement with Duke Energy Indiana for 60 megawatts (MW) of capacity and energy as part of the Agency's AR Project power supply portfolio. Service under the contract commenced on June 1, 2022.
2021
July 2021: On July 21, 2021, Kentucky Municipal Energy Agency (KYMEA) adopted its Integrated Resource Plan (IRP2020). IRP2020 is a comprehensive report analyzing the Agency's current power supply and future options against risk scenarios to develop a new portfolio for the Agency's near-term needs.
2020
July 2020: The Agency begins its 2nd fiscal year of operation with the KYMEA Board approval of a 4.19% reduction in member power supply and transmission bills. In response to the COVID-19 pandemic, the KYMEA Board approved the COVID-19 Rate Relief Plan (RRP) and the Member Late Payment Protection Plan (LPPP). The RRP shifts power costs and member usage risks, which are typically borne by the members, to KYMEA. The shifting of these risks provides certainty to the member communities that their monthly power bill rates will remain stable as the members’ customers hard hit by the pandemic move to reopen their businesses and begin to recover economically. The LPPP permits the agency to negotiate payment terms and suspend late payment fees for its members who may have difficulty paying their KYMEA power bills due to the pandemic. These programs will stay in effect through June 2021.
2019
May 2019: At the stroke of midnight on May 1, a new electric power era began for eight communities that are members of the Kentucky Municipal Energy Agency (KYMEA). After decades of purchasing electricity from Kentucky Utilities Company, the Frankfort Plant Board and the municipal electric utilities of Barbourville, Bardwell, Corbin, Falmouth, Madisonville, Paris, and Providence are now being served by KYMEA, the joint public agency they created to obtain lower-cost, reliable electricity for their communities.
2018
January 2018: KYMEA hires its first president and CEO.
August 2018: The Agency executes a 20-year agreement with MAP® Energy and Open Road Renewables for 62.5% of the output of the 86MW Ashwood Solar I power plant as part of the Agency's AR Project power supply portfolio. The plant is scheduled to go into service in late 2022.
November 2018: The Agency opens permanent offices in Louisville, Kentucky.
2017
May 2017: Deliveries of electricity to the Benham Power Board and the City of Paris begin using transmission service procured on their behalf by KYMEA.
December 2017 - April 2018: The City of Paris and KYMEA agree to enter into an agreement to utilize the Paris diesel generation as part of the Agency's AR Project power supply portfolio. The all requirements members enter into agreements for KYMEA to use their entitlements to hydroelectric power from the Southeastern Power Administration (SEPA) as part of the AR Project power supply portfolio.
2016
July - August 2016: Eight members (Barbourville, Bardwell, Corbin, Falmouth, Madisonville, Paris, Providence, and the Frankfort Plant Board) enter into All Requirements Power Sales Contracts with KYMEA. The Agency completes the assembly of an initial portfolio of resources consisting of purchase power agreements with Big Rivers Electric Corporation, Illinois Power Marketing Company, and Paducah Power System.
September 2016: The City of Berea (Berea) asks to join KYMEA and the Interlocal Cooperation Agreement is amended to add Berea as its eleventh member. Berea enters into a Transmission Service Agreement with KYMEA.
2015
September 2015: The Cities of Bardwell, Falmouth, Madisonville, Paris, and Providence, the Frankfort Plant Board, the Barbourville Utility Commission, the Benham Power Board, the Corbin City Utilities Commission, and Owensboro Municipal Utilities enter into an Interlocal Cooperation Agreement forming KYMEA. The Agency's Bylaws are adopted on September 24, 2015.