The Federal Energy Regulatory Commission (FERC) has released a decision siding with the Louisiana Public Service Commission (LPSC) in its dispute against System Energy Resources, Inc. (SERI), a subsidiary of Entergy Corporation (Entergy).
FERC's decision reaffirms regulatory and advocate concerns that Entergy has systematically overcharged ratepayers across the states of Arkansas, Mississippi, and Louisiana for over two decades for costs related to its ownership, and mismanagement, of the Grand Gulf Nuclear Station in Port Gibson, Mississippi.
Amid wide-ranging allegations that it soaked ratepayers for inflated costs at its troubled Grand Gulf nuclear power plant, which serves customers in three states, Entergy has struck a settlement with Mississippi, agreeing to refund the state $300 million. But it’s not yet clear if regulators in Louisiana will opt into the deal, and some officials are skeptical.
The Alliance's take: This plant has been a problem from the jump. Louisianans are owed far more than this pittance and we’re glad to see regulators in the state indicate the same sentiment.
Many electric utilities – including Entergy Louisiana, Entergy New Orleans, CLECO, and SWEPCO in our state – pay dues toindustry trade associations such as the Edison Electric Institute.
In many instances, the cost of these dues are passed on to ratepayers in ratemaking proceedings, while the trade associations engage in speech and other activities detrimental to the interests of those same ratepayers.
For instance, Edison Electric Institute Chairman Tom Fanning has publicly denied the reality of climate change caused by human activity, and the organization has lobbied against the regulation of greenhouse gas emissions. For us in Louisiana, the reality of climate change is manifest in the devastation across the southern half of our state, and efforts to hinder the ability of government to combat it are quite literally a threat to our lives.
What has consumer watchdogs, environmental advocates, oil and gas companies and the Louisiana Public Service Commission all aligned on the same side? Here’s a hint, it’s not bourbon. Sure enough it’s FERC’s new NOPR!