Help TopicsIndustrial Customer DSM Opt-Out help

How much am I going to be charged?

The following table shows the charges for DSM programs by rate for customers who cannot or do not opt out. This rate is updated (at a minimum) every January and April.

The rates below are effective as of April 1, 2020.






























CGS, IGS, AAGS, SGSS, & FT               


What is the opt-out criteria? And how can industrial customers opt-out if they’re not interested in participating in your programs?

  • In short, industrial customers who are energy intensive and have installed their own energy-efficiency measures can submit an opt-out form stating that they want to opt-out of the DSM rate recovery mechanism for their eligible meters, i.e., those being served under energy-intensive rates.
  • For purposes of the Companies’ DSM/EE Programs, industrial customers with Fluctuating Load Service (FLS), Retail Transmission Service (RTS), and Time-of-Day Primary Service (TODP) electrical rate classes, and Industrial Gas Service (IGS), As-Available Gas Service (AAGS), Substitute Gas Sales Service (SGSS), and Firm Transportation (FT) gas rate classes, are defined as “energy intensive” customers.
  • Industrial customers electing to opt-out of DSM/EE programs must do so on a meter-by-meter basis. For example, an industrial customer with multiple meters will be able to opt out of DSM/EE programs and charges for individual eligible meters, but will not be able to opt-out of DSM/EE programs and charges for any other meters (i.e., meters not served on energy-intensive rates and meters serving facilities for which no energy-efficiency measures have been installed).
  • Industrial customers electing to opt-out of DSM/EE programs must submit documentation to LG&E and KU and will receive an e-mail confirming receipt within five business days on whether the request was approved or declined.  
  • Once the opt-out is approved, the industrial customer’s eligible meters will be exempt from DSM/EE programs and charges for a minimum of one year, and will remain opted-out unless the customer applies to opt back into DSM/EE charges.
  • Additionally, if an industrial customer opts out and subsequently opts back into DSM/EE charges, the customer will be billed under the DSM Cost Recovery Mechanism for each meter opted in for a period of 3 years from the date of opt-in or the last date on which the meter participated in DSM/EE programming, whichever is later, before being eligible to opt out again.
  • Industrial customer representatives indicated during DSM Advisory Group meetings on these topics that they were generally in agreement with this opt-out procedure.

How can I obtain an opt-out form?

Eligible customers may obtain an opt-out form for LG&E and KU at the following:

When is the opt-out form due?

Customers with eligible meters who desire not to have DSM charges appear at all on their bills for those meters must submit their opt-out form to LG&E and KU by Dec. 31, 2018, in either of the following ways:

  • Email to or
  • Mail to:
    LG&E and KU Energy, LLC
    Energy Efficiency Operations
    20th Floor
    220 W. Main St.
    Louisville, KY 40202

Industrial customers with eligible meters may opt out those meters after December 31, 2018, by submitting a fully and correctly completed opt-out form.  Submitting an opt-out form after December 31, 2018 may result in the submitting customer being billed for DSM charges for eligible meters until we can complete processing the opt-out request.  We will complete processing each submitting customer’s request no later than the second full billing period following the customer’s submission of a fully and accurately completed opt-out form.

After I opt-out, can I opt-in at a later date?

Yes. Eligible customers can later submit an opt-in form. Once a customer opts in to the program, they are required to pay into the DSM mechanism for three years.