Will the LPSC rubber stamp $1.9 Billion in ratepayer funding fast enough to go fishing?

04.17.2024
Utility Regulation
Entergy Louisiana
Consumer Protection
Bills & Economics
Reliability & Resilience
Climate Change
By Jessica Hendricks, AAE's State Policy Director

Late Monday, Entergy Louisiana asked the Louisiana Public Service Commission (LPSC) to approve $1.9 Billion in ratepayer funding for grid hardening at the LPSC’s April meeting scheduled for Friday, April 19th held at the remote Cypress Bend Resort in Many, LA.

While most of this filing is public, public notification that the item will be heard came late Tuesday when the final Supplemental Agenda was published.

This $1.9 Billion plan is intended to strengthen Entergy’s electric grid, yet stakeholders were not given an opportunity to offer testimony on this version of Entergy’s plan (see our blog on Entergy’s Initial application here). Not one of the eleven intervening companies or organizations supports this version of the plan as is. To be clear, The Alliance does support funding for resilience upgrades. We filed testimony stating exactly that in Entergy’s original $5 Billion proposal.

The problem with this proposal is how Entergy is circumventing the regulatory process, violating our due process rights and are at risk of compromising the public’s perception of the LPSC and undermining the public trust.

Instead the Commission is using a rule that allows them to make a decision without stakeholder support or input. The purpose of the regulatory application process is to allow stakeholders to ask questions and provide the Commission facts, so they can make a clear-eyed decision. Even the final filing hides the projects all this money would be spent on behind a veil of confidentiality. Imagine asking someone for $1.9 Billion but refusing to tell them what it’s for. We all know the answer is usually ‘no’, unless you’re a Fortune 500 Company.

We cannot even say how much that would increase a monthly residential electric bill, as this new version of their plan doesn’t include a forecast.

We know our climate is changing. Storms are getting stronger and power outages are becoming more deadly. We need an electric grid that can withstand that, and unfortunately, we will have to pay for it but it’s an investment. Poles and wires that can withstand stronger storms will not need to be replaced and in turn save customers money while keeping the lights on. The problem is, this is our investment and we deserve to fully understand what we are investing in. The way Entergy is pushing this plan through the LPSC does not allow for that.

The Commission is expected to vote on this on Friday April 19, at their monthly meeting, and The Alliance is opposing the vote. You can ask your Commissioner to delay, even if only to give the public the opportunity to understand how $1.9 Billion of their money will be spent. Find your Commissioner here.

Read The Alliance's Letter of Opposition

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