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Kentucky Energy Summary

This page provides a summary of energy in Kentucky.  Here you will find an overview of energy consumption, listing of energy efficiency goals under the Energy Policy Act of 2005 (EPAct), a summary of the status of renewable energy and energy efficiency policies, and a list of political leaders and state agency administrators who shape energy policy for Kentucky. You can link to the following subheadings on this page:

Executive Summary

Total Energy Consumption per Capita 1980 - 2005 and EPAct Goal for Kentucky

(million Btu)

1980: 383.736990; 1981: 356.797040; 1982: 345.188260; 1983: 347.846000; 1984: 375.176910; 1985: 362.495740; 1986: 355.680900; 1987: 366.092380; 1988: 387.570560; 1989: 412.604420; 1990: 406.829210; 1991: 420.781780; 1992: 433.579450; 1993: 438.603240; 1994: 445.922510; 1995: 459.393310; 1996: 471.817310; 1997: 473.661880; 1998: 457.694950; 1999: 474.276860; 2000: 465.182380; 2001: 447.820180; 2002: 471.732820; 2003: 456.346260; 2004: 472.522820; 2005: 472.327330;

Section 123 of EPAct requires states to set an energy conservation goal that is 25% below 1990 consumption. DOE is currently considering a per capita goal among other options.

Source: U.S. Department of Energy (DOE) Energy Information Administration State Energy Price, Expenditure, and Consumption Estimates (SEDS) database. Note, that 2005 is the latest year for which state-by-state data is available.

Kentucky has significant coal reserves and ranks third in coal production. One-third of the coal mines operating in the United States are in Kentucky. The state also has minor reserves of petroleum and natural gas.

Read a more complete energy summary for Kentucky, including consumption and production statistics for fossil fuels on the DOE Energy Information Administration (EIA) Kentucky Energy Profile.

Total energy consumption per capita 472
(million Btu)
State rank 6
EPAct per capita goal for 2012 305.1
(million Btu)
State rank 13
Average annual increase in total energy consumption 0.8% State rank 6

Electricity

Fuel Sources for Electric Power Generation

(trillion Btu)

Coal: 920.9; Natural Gas: 17.7; Petroleum: 88.7; Nuclear: 0; Hydroelectric: 29.6; Biomass, Geothermal, Solar, and Wind: 1.1.

Source: EIA SEDS Database.

Annual growth of electricity consumption 2.3% State rank 24
Electricity production from nonhydro renewable energy 433
(million kWh)
State rank 37

Kentucky has a traditional regulated market for electric power. Electricity consumption is growing at 2.3% per year, which is slightly higher than the national average. However, Kentucky's population is growing at 0.5% per year, which is one-half the national average. As a result, per-capita electricity consumption is growing well above the national average.

Kentucky ranks 28th in production of electricity from non-hydro renewable energy resources. Almost all this generation is from biomass. Read more Kentucky electric power and renewable energy statistics published by the DOE Office of Energy Efficiency and Renewable Energy.

Transportation

Motor Gasoline Consumption per Capita 1980 - 2005

(gallons)

1980: 456.929851549; 1981: 459.840048262; 1982: 456.906385056; 1983: 457.885572669; 1984: 463.599330788; 1985: 453.805692357; 1986: 484.208870011; 1987: 491.139113972; 1988: 503.696986777; 1989: 496.055640832; 1990: 490.555022117; 1991: 493.870804707; 1992: 499.609709992; 1993: 504.133336007; 1994: 503.917958691; 1995: 519.776229308; 1996: 466.529076107; 1997: 533.091638826; 1998: 529.319318153; 1999: 532.581610244; 2000: 508.237830861; 2001: 529.31087267; 2002: 522.067175026; 2003: 538.034621084; 2004: 560.67949913; 2005: 542.738307389;

Source: EIA SEDS Database.

Transportation accounts for 24% of all energy consumption in Kentucky, which makes it the second largest energy-consuming sector of the state economy, after industry. You can find data about the consumption of alternative fuels in Kentucky from the DOE Alternative Fuels Data Center.

Motor gasoline consumption per capita 543
(gallons)
State rank 13
Ethanol consumption 76,843,859
(gallons)
State rank 22
Number of alternative fuel stations 30 State rank 43
Population 4,171,000 State rank 26
Percent urban population 48.2% State rank 40
Annual population growth rate 0.5% State rank 35
Per capita personal income $28,272 State rank 45
Gross state product $145,959
(million)
State rank 28

Economic and Demographic Facts that Affect Energy Consumption

The following statistics for Kentucky put energy consumption into perspective in the context of the state economy and the size and growth of the population.

Read more Kentucky energy statistics.

Status of Renewable Energy and Energy Efficiency Policies

Kentucky has the following state-level policies and incentives in place that support the development of renewable energy and energy efficiency technologies. The links give detailed explanations of the policies and incentives published online by the Database of State Incentives for Renewable Energy and Energy Efficiency:

  • Building energy codes for energy efficiency

    The Kentucky Energy Code applies to both residential and commercial buildings in the state. The residential portion of the code is based on the 2006 International Residential Code and the commercial portion is based on the 2006 Commercial Code.

  • Corporate tax credits for renewable energy

    Kentucky offers tax credits to companies that build or renovate facilities that use renewable energy, including a credit of up to 100% of the Kentucky income tax and sales and use tax incentives of up to 100%.

  • Personal tax credits for renewable energy

    Kentucky also offers residents a 30% state income tax credit for investing in solar, wind and geothermal installations on single or multi-family residences. The maximum tax credit allowed is $250 for geothermal and $500 for solar hot water and wind technologies. Residents may take a credit equal to $3.00 per watt of rated capacity for the installation of a PV system, with a maximum credit of $500.  

  • State standards for public buildings for energy efficiency

    Beginning in 2009, new and renovated state buildings must meet efficiency standards and use ENERGY STAR® appliances.