New Transmission Arrangement Would Benefit Customers, Economy
New Orleans, La. – With an eye on meeting the future energy needs of its
customers, Entergy New Orleans, Inc. filed a formal change of control request
with the New Orleans City Council today to join a regional transmission
organization, the Midwest Independent Transmission System Operator or MISO.
Entergy New Orleans is seeking to transfer functional control of its
transmission facilities to MISO with a target implementation date of December
2013. The utility company will retain ownership of its generation and
transmission facilities, along with responsibility for maintaining them.
Initially announced in April, Entergy New Orleans’ decision to join MISO
followed a lengthy period of study of various alternatives aimed at affordably
and reliably meeting the long-term energy needs of the New Orleans community.
The company projects that joining MISO will yield savings to customers of up to
$46 million over a 10-year period, primarily due to MISO’s organized power
markets, which allow for a more efficient commitment and dispatch of generation
resources, and to the economies of scale offered by an RTO of MISO’s size.
“MISO has a well-documented record of reducing production costs while
strengthening reliability,” said Charles L. Rice, Jr., president and chief
executive officer of Entergy New Orleans, Inc. “Extensive analysis has shown
that joining MISO provides important and sustained benefits for the homes and
businesses we serve in Orleans Parish.
“Becoming part of MISO’s extensive, efficient and reliable energy market will
help keep energy costs affordable for our customers,” he added.
As New Orleans’ retail regulator, the New Orleans City Council will continue
its regulatory oversight of Entergy New Orleans and its facilities.
Additionally, MISO membership brings the opportunity for the City Council to
participate in MISO’s large-scale regional planning process and its Organization
of MISO States, which provides input to MISO’s management team and board of
MISO operates an electrical grid across 12 states; with the addition of the
Entergy New Orleans and the other Entergy operating companies, MISO will reach
from Canada to the Gulf of Mexico.
Entergy New Orleans, Inc. is an electric and gas utility serving Orleans
Parish and is a subsidiary of Entergy Corporation. The company provides
electricity to more than 160,000 customers and natural gas to more than 100,000
customers in Orleans Parish.
For a Frequently Asked Questions document, visit
For more information, Entergy’s online address is
The Midwest Independent Transmission System Operator is a non-profit
501(C)(4) organization that ensures reliable operation of, and equal access to,
interconnected, high-voltage power lines in 12 U.S. states and the Canadian
province of Manitoba.
In this news release, and from time to time, Entergy Corporation makes
certain “forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. Except to the extent required by the
federal securities laws, Entergy undertakes no obligation to publicly update or
revise any forward-looking statements, whether as a result of new information,
future events, or otherwise.
Forward-looking statements involve a number of risks and uncertainties.
There are factors that could cause actual results to differ materially from
those expressed or implied in the forward-looking statements, including (a)
those factors discussed in: (i) Entergy’s Form 10-K for the year ended December
31, 2010 and (ii) Entergy’s other reports and filings made under the Securities
Exchange Act of 1934, (b) uncertainties associated with rate proceedings,
formula rate plans and other cost recovery mechanisms, (c) uncertainties
associated with efforts to remediate the effects of major storms and recover
related restoration costs, (d) nuclear plant relicensing, operating and
regulatory risks, including any changes resulting from the nuclear crisis in
Japan following its catastrophic earthquake and tsunami, and (e) legislative and
regulatory actions, and conditions in commodity and capital markets during the
periods covered by the forward-looking statements, in addition to other factors
described elsewhere in this release and in subsequent securities filings.