LOUISVILLE, Ky. - E.ON U.S. and the University of Kentucky today announced a three-year research partnership to study technology that could improve air quality worldwide.

E.ON U.S is committing $1.5 million over three years to UK's Center for Applied Energy Research (CAER) for research into the reduction of greenhouse gases. Specifically, researchers will examine technologies to separate, capture and store carbon dioxide emitted by coal-fired power plants.

"We are proud to partner with the University of Kentucky to study ways to improve our environment," said Victor A. Staffieri, Chairman, CEO and President, E.ON U.S. "We have been an environmental leader in the energy industry since the 70s when we were the first to install scrubbers at our plants, and we want to continue to be proactive when it comes to the environment. Part of the reason our rates are among the lowest in the nation is because most of our generation fleet is coal fired. Coal remains an abundant, economical fuel for the foreseeable future in the U.S. This partnership allows us an opportunity to maintain our competitive rates, seek better technologies to utilize this resource, support Kentucky's coal industry and look for ways to reduce greenhouse gases."

The impact of climate change and the need to reduce carbon dioxide emissions is both an environmental and economic issue. Kentucky is the country's third-largest producer of coal. As the most cost-effective fuel, coal is used for about 50 percent of the electricity consumed in the United States and about 90 percent of the electricity consumed in Kentucky. At the same time, carbon dioxide is a principal greenhouse gas and controlling emissions of that gas represents a critically important environmental issue.

"This partnership between one of our country's leading energy companies and leading research universities is a testament to the fact that economic development and protection of the environment are not mutually exclusive. They are, in fact, inextricably linked," said UK President Lee T. Todd Jr. "One of our most important goals in striving to become a Top 20 public research institution is engaging with our state and world in ways that improve the economy, health care and education of all Kentuckians.

"Today's announcement that we are working with E.ON U.S. on ways to control carbon dioxide emissions is another example of how UK is catalyst for a new Commonwealth."

CAER Director Ari Geertsema said the partnership with E.ON U.S. to address carbon management is an example of how the center's research is focused on "practical applications that can assist the state's critical energy industries. We are excited about the opportunity to begin working on this challenging project." He added that the intent is to use this grant from E.ON U.S. as the basis for establishing a broader research platform with more participants from the coal and technology supplier industries. Other interested industries are invited to contact the CAER.


E.ON U.S., headquartered in Louisville, Ky., is a subsidiary of E.ON A.G., the world's largest investor-owned energy services provider. E.ON U.S. is a diversified energy services company that owns and operates Louisville Gas and Electric Company, a regulated utility that serves 321,000 natural gas and 394,000 electric customers in Louisville and 16 surrounding counties, and Kentucky Utilities Company, a regulated electric utility in Lexington, Ky., that serves 525,000 customers in 77 Kentucky counties and five counties in Virginia.

UK's Center for Applied Energy Research (CAER) was established in 1977 when there was great interest in synthetic fuels from coal. Today, the center focuses its research efforts on coal cleaning, coal-ash utilization, coal-to-liquid fuels, bio-and environmental catalysis and high-value carbon materials.