PPL Corp. says UK subsidiaries accept cost of equity decision PPL Corporation said that its Western Power Distribution subsidiaries in the United Kingdom have accepted a decision by the Office of Electricity and Gas Markets to set the real cost of equity at 6.4% as part of its ongoing price control review process. Ofgem's decision results in a slightly lower cost of equity than the 6.7% proposed in the business plans submitted by the WPD subsidiaries in July 2013, but by accepting the change they remain in Ofgem's "fast tracking" process, PPL said. The final fast tracking decision is expected Feb. 28. The cost of equity change does not affect the projected earnings ranges for the U.K. Regulated business segment that PPL Corporation announced when the RIIO-ED1 business plans were filed in July 2013, it added.
PPL Corp. Chairman says company poised for growth following spinoff PPL Corporation Chairman William Spence said the company is well-positioned for continued growth and success following the planned June 1 spinoff of its competitive supply business. PPL expects to achieve compound annual earnings growth of 4%-6% percent through at least 2017. The company is set to complete the spinoff of its PPL Energy Supply business on June 1. That business will combine immediately upon spinoff with the competitive generation business of Riverstone Holdings LLC to form a new independent power producer named Talen Energy Corporation.