Kentucky Public Service Commission

Order Entered: 1. Duke Kentucky's November 23, 2016 petition for confidential protection is granted. 2. The designated materials shall not be placed in the public record or made available for public inspection for ten years, or until further Orders of this Commission. 3. Use of the designated materials in any Commission proceeding shall be in compliance with 807 KAR 5:001, Section 13(9). 4. Duke Kentucky shall inform the Commission if the designated materials become publicly available or no longer qualify for confidential treatment. 5. If a non-party to this proceeding requests to inspect the designated materials granted confidential treatment by this Order and the period during which the materials have been granted confidential treatment has not expired, Duke Kentucky shall have 30 days from receipt of written notice of the request to demonstrate that the materials still fall within the exclusions from disclosure requirements established in KRS 61.878. If Duke Kentucky is unable to make such demonstration, the requested materials shall be made available for inspection. Otherwise, the Commission shall deny the request for inspection. 6. The Commission shall not make the designated materials available for inspection for 30 days following an Order finding that the materials no longer qualify for confidential treatment in order to allow Duke Kentucky to seek a remedy afforded by law.

Receipt of Payment

Duke Energy Kentucky, Inc. Penalty Payment

Final Order Entered: 1. The Stipulation is adopted and approved in its entirety as a complete resolution of all issues in this case. 2. As a result of the April 3, 2015 incident, Duke Kentucky agrees to pay a civil penalty, pursuant to KRS 278.990, in the amount of $25,000. 3. Duke Kentucky shall pay the amount of $25,000 within 30 days of the date of this Order by cashier's check or money order to be made payable to the Kentucky State Treasurer and to be mailed or delivered to the Public Service Commission, Office of General Counsel, 211 Sower Boulevard, P.O. Box 615, Frankfort, KY 40602. 4. Upon payment of $25,000 by Duke Kentucky, this case shall be closed and removed from the Commission's docket without further Order of the Commission.

Stipulation of Facts and Settlement Agreement

Duke Energy Kentucky Affidavit of Kerim L. Powell

Duke Energy Kentucky Inc. Response to Request for Information and Petition for Confidential Treatment

Order Entered: Duke Kentucky's motion to suspend the hearing scheduled for December 8, 2016, is granted, subject to possible rescheduling at a later date, if necessary, upon the Commission's review of Duke Kentucky's stipulated settlement.

Memorandum dated11/16/2016 for Informal Conference of 11/15/2016; Comments, if any, due within five days of receipt

Order Entered: An IC shall be held on Tuesday, November 15, 2016, at 10:00 a.m. Eastern Standard Time, at the Commission's offices at 211 Sower Boulevard, Frankfort, Kentucky. 2. Duke's motion to suspend the hearing scheduled for December 8, 2016, is held in abeyance until further Order of the Commission. 3. All other provisions of the Commission's October 11, 2016 Order not in conflict with the provisions of this Order shall remain in full force and effect.

Duke Energy Kentucky Inc. Response and Motion to Suspend and Schedule IC

Order Entered: 1. Duke Kentucky shall submit to the Commission a written response to the allegations contained in the Staff Report within 20 days of the date of this Order. 2. Duke Kentucky shall appear on December 8, 2016, at 9:00 a.m., Eastern Standard Time, in Hearing Room 1 of the Commission's offices at 211 Sower Boulevard, Frankfort, Kentucky, for the purpose of presenting evidence concerning the alleged violations of KRS 278.042, the most recent edition of NESC, and the Duke Kentucky Safety Manual and showing cause why it should not be subject to the penalties prescribed in KRS 278.990(1) for these alleged violations. 3. The December 8, 2016 hearing shall be recorded by videotape only. 4. The Staff Report attached hereto as an Appendix to this Order is made a part of the record in this case. 5. At the scheduled hearing in this matter, Duke Kentucky shall also present evidence on the adequacy, safety, and reasonableness of its practices related to the construction, installation, and repair of electric facilities as they relate to the facts of this case and whether such practices require revision as related to this incident. 6. Any request for an informal conference with Commission Staff to discuss the issues in this case shall be set forth in writing and filed with the Commission within 20 days of the date of this Order.