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Defined Benefits | 9 Months Ended
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Sep. 30, 2017
Retirement Benefits [Abstract] |
Defined Benefits | 8. Defined Benefits (PPL, LKE and LG&E) Certain net periodic defined benefit costs are applied to accounts that are further distributed among capital, expense and regulatory assets, including certain costs allocated to applicable subsidiaries for plans sponsored by PPL Services and LKE. Following are the net periodic defined benefit costs (credits) of the plans sponsored by PPL and its subsidiaries, LKE and LG&E for the periods ended September 30:
| Pension Benefits
| Three Months |  | Nine Months
| U.S. |  | U.K. |  | U.S. |  | U.K.
| 2017 |  | 2016 |  | 2017 |  | 2016 |  | 2017 |  | 2016 |  | 2017 |  | 2016
PPL |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Service cost | $ | 17 |  |  | $ | 16 |  |  | $ | 20 |  |  | $ | 17 |  |  | $ | 49 |  |  | $ | 49 |  |  | $ | 57 |  |  | $ | 53 |
Interest cost | 42 |  |  | 44 |  |  | 45 |  |  | 58 |  |  | 126 |  |  | 131 |  |  | 132 |  |  | 182 |
Expected return on plan assets | (58 | ) |  | (57 | ) |  | (130 | ) |  | (124 | ) |  | (173 | ) |  | (171 | ) |  | (382 | ) |  | (389 | )
Amortization of: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Prior service cost | 2 |  |  | 2 |  |  | — |  |  | — |  |  | 7 |  |  | 6 |  |  | — |  |  | — |
Actuarial loss | 18 |  |  | 12 |  |  | 36 |  |  | 34 |  |  | 52 |  |  | 37 |  |  | 107 |  |  | 107 |
Net periodic defined benefit costs (credits) before settlements and special termination benefits | 21 |  |  | 17 |  |  | (29 | ) |  | (15 | ) |  | 61 |  |  | 52 |  |  | (86 | ) |  | (47 | )
Settlements (a) | 7 |  |  | 3 |  |  | — |  |  | — |  |  | 7 |  |  | 3 |  |  | — |  |  | — |
Special termination benefits (b) | — |  |  | — |  |  | — |  |  | — |  |  | 1 |  |  | — |  |  | — |  |  | — |
Net periodic defined benefit costs (credits) | $ | 28 |  |  | $ | 20 |  |  | $ | (29 | ) |  | $ | (15 | ) |  | $ | 69 |  |  | $ | 55 |  |  | $ | (86 | ) |  | $ | (47 | )
(a) | 2017 includes settlement charges of $5 million from the LG&E qualified pension plan and $2 million from the PPL non-qualified pension plan and 2016 includes a settlement charge of $3 million from the PPL non-qualified pension plan. These settlements resulted from lump sum payments that exceeded service cost and interest cost components of net periodic pension cost for the year.
(b) | Enhanced pension benefits offered to certain PPL Electric bargaining unit employees under a one-time voluntary retirement window offered as part of the new five year IBEW contract ratified in March 2017.
| Pension Benefits
| Three Months |  | Nine Months
| 2017 |  | 2016 |  | 2017 |  | 2016
LKE |  |  |  |  |  |  |
Service cost | $ | 6 |  |  | $ | 6 |  |  | $ | 18 |  |  | $ | 18 |
Interest cost | 17 |  |  | 18 |  |  | 51 |  |  | 53 |
Expected return on plan assets | (23 | ) |  | (23 | ) |  | (69 | ) |  | (68 | )
Amortization of: |  |  |  |  |  |  |
Prior service cost | 2 |  |  | 2 |  |  | 6 |  |  | 6 |
Actuarial loss (a) | 8 |  |  | 5 |  |  | 23 |  |  | 15 |
Net periodic defined benefit costs before settlements | 10 |  |  | 8 |  |  | 29 |  |  | 24 |
Settlements (b) | 5 |  |  | — |  |  | 5 |  |  | — |
Net periodic defined benefit costs | $ | 15 |  |  | $ | 8 |  |  | $ | 34 |  |  | $ | 24 |
LG&E |  |  |  |  |  |  |
Service cost | $ | — |  |  | $ | — |  |  | $ | 1 |  |  | $ | 1 |
Interest cost | 3 |  |  | 4 |  |  | 9 |  |  | 11 |
Expected return on plan assets | (5 | ) |  | (5 | ) |  | (16 | ) |  | (15 | )
Amortization of: |  |  |  |  |  |  |
Prior service cost | 1 |  |  | 1 |  |  | 3 |  |  | 3 |
Actuarial loss (a) | 3 |  |  | 2 |  |  | 7 |  |  | 5 |
Net periodic defined benefit costs before settlements | 2 |  |  | 2 |  |  | 4 |  |  | 5 |
Settlements (b) | 5 |  |  | — |  |  | 5 |  |  | — |
Net periodic defined benefit costs | $ | 7 |  |  | $ | 2 |  |  | $ | 9 |  |  | $ | 5 |
(a) | As a result of treatment approved by the KPSC, the difference between actuarial loss calculated in accordance with LKE's accounting policy and actuarial loss calculated using a 15-year amortization period was $3 million and $8 million for the three and nine months ended September 30, 2017 and $4 million for the nine months ended September 30, 2016. The difference between actuarial loss calculated in accordance with LG&E's accounting policy and actuarial loss calculated using a 15-year amortization period was $1 million and $3 million for the three and nine months ended September 30, 2017 and $1 million for the three months ended September 30, 2016. These differences are recorded as regulatory assets.
(b) | Due to the amount of lump sum payment distributions from the LG&E qualified pension plan, a settlement charge of $5 million was incurred. In accordance with existing regulatory accounting treatment, LG&E has maintained the settlement charge in regulatory assets. The amount will be amortized in accordance with existing regulatory practice.
| Other Postretirement Benefits
| Three Months |  | Nine Months
| 2017 |  | 2016 |  | 2017 |  | 2016
PPL |  |  |  |  |  |  |
Service cost | $ | 2 |  |  | $ | 2 |  |  | $ | 6 |  |  | $ | 6 |
Interest cost | 5 |  |  | 6 |  |  | 17 |  |  | 19 |
Expected return on plan assets | (6 | ) |  | (6 | ) |  | (17 | ) |  | (17 | )
Amortization of prior service cost | — |  |  | — |  |  | (1 | ) |  | — |
Amortization of actuarial loss | 1 |  |  | 1 |  |  | 1 |  |  | 1 |
Net periodic defined benefit costs | $ | 2 |  |  | $ | 3 |  |  | $ | 6 |  |  | $ | 9 |
| Other Postretirement Benefits
| Three Months |  | Nine Months
| 2017 |  | 2016 |  | 2017 |  | 2016
LKE |  |  |  |  |  |  |
Service cost | $ | 1 |  |  | $ | 1 |  |  | $ | 3 |  |  | $ | 3 |
Interest cost | 2 |  |  | 2 |  |  | 6 |  |  | 7 |
Expected return on plan assets | (2 | ) |  | (2 | ) |  | (5 | ) |  | (5 | )
Amortization of prior service cost | 1 |  |  | 1 |  |  | 1 |  |  | 2 |
Net periodic defined benefit costs | $ | 2 |  |  | $ | 2 |  |  | $ | 5 |  |  | $ | 7 |
(PPL Electric, LG&E and KU) In addition to the specific plan it sponsors, LG&E is allocated costs of defined benefit plans sponsored by LKE. PPL Electric and KU do not directly sponsor any defined benefit plans. PPL Electric is allocated costs of defined benefit plans sponsored by PPL Services and KU is allocated costs of defined benefit plans sponsored by LKE. LG&E and KU are also allocated costs of defined benefit plans from LKS for defined benefit plans sponsored by LKE. See Note 10 for more information on costs allocated to LG&E and KU from LKS. These allocations are based on participation in those plans, which management believes are reasonable. For the periods ended September 30, PPL Services allocated the following net periodic defined benefit costs to PPL Electric, and LKE allocated the following net periodic defined benefit costs to LG&E and KU:
| Three Months |  | Nine Months
| 2017 |  | 2016 |  | 2017 |  | 2016
PPL Electric | $ | 6 |  |  | $ | 6 |  |  | $ | 19 |  |  | $ | 17 |
LG&E | 3 |  |  | 2 |  |  | 8 |  |  | 7 |
KU | 2 |  |  | 2 |  |  | 7 |  |  | 8 |
Expected Cash Flows - U.K. Pension Plans (PPL) For the nine months ended September 30, 2017, WPD contributed $485 million to its U.K. pension plans. These contributions fund all of 2017 contributions and a portion of 2018 contributions. WPD does not expect to make additional contributions in 2017.

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- Definition The entire disclosure for pension and other postretirement benefits. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -URI http://asc.fasb.org/topic&trid=2235017 + Details
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