LITTLE ROCK, Ark. – Entergy Arkansas announced today as part of its continued partnership with Google, a second phase of its service to support Google’s presence in West Memphis. As part of this commitment, Entergy Arkansas will invest in new infrastructure to strengthen the power grid for all Entergy Arkansas customers without additional cost to them. This project will bring at least $500 million in new customer savings starting in 2028 and extending over 20 years, in addition to the previously announced $1.6 billion identified in Entergy’s Fair Share Plus pledge from the first phase of Google’s West Memphis investment.
Protecting our 738,000 customers while supporting the state’s growth
Under the original and updated agreement with Entergy Arkansas, Google will pay the full cost for the power resources it needs, which results in $2.1 billion in net benefits to help cover the fixed costs that all customers share. In a period of increased economic growth, this approach means everyone else’s bills will be lower than they would be otherwise, which is the cornerstone of the Fair Share Plus pledge. Fair Share Plus ensures large customers pay their full cost of service and provide measurable value to all customers.
A generational economic opportunity
West Memphis and Crittenden County already are seeing benefits from Google’s $25 million Energy Impact Fund that supports energy affordability measures and workforce education initiatives. In July, Google announced $5 million in energy affordability initiatives tied to the Steel River project to support local Arkansas residents and K-12 schools.
This announcement further reinforces Arkansas’s position as a destination for technology-driven economic development.
“Google is increasing its investment in West Memphis and building on the significant success of its first phase. We are delivering on our promise to all Entergy Arkansas customers to create value for everyone we serve by ensuring Google is not only paying 100% of its power needs but is also contributing to the existing grid and lowering the costs for everyone else,” said Laura Landreaux, president and CEO of Entergy Arkansas. “This partnership brings even more benefits to the West Memphis community. And our agreement with Google, which covers both the original and expansion project, aligns with Entergy’s Fair Share Plus pledge, and is expected to return more than $2.1 billion in savings back to our 738,000 customers while upgrading the infrastructure Arkansas needs for the future.”
“We are deeply appreciative to be part of the West Memphis community. As we grow our local presence, our priority is to grow in a way that respects and strengthens the local community,” said Amanda Peterson Corio, global head of energy and power at Google. “By funding new solar, battery storage and transmission capacity, we’re helping deliver savings to Entergy Arkansas customers, while directly supporting energy affordability, grid reliability and local economic growth across the West Memphis community.”
“Google’s decision to expand its investment in West Memphis sends a powerful message. This is a great place to do business and a community worth investing in. From day one, Google has been a committed partner, creating jobs, bringing new economic opportunities, and investing in our residents, our schools, and our future,” said West Memphis Mayor Marco McClendon. “This latest investment is another testament to Google’s commitment to accelerating progress toward its goal of operating on 100% carbon-free energy by 2030, and I’m proud to say West Memphis is playing a role in making that vision a reality. This partnership represents more than economic growth. It represents a shared commitment to innovation, sustainability, and creating opportunities for future generations. We’re proud Google continues to see what we’ve always known. West Memphis is a place where businesses grow, investments make a difference, and communities thrive.”
Investing in Arkansas’s energy future
The project will fulfill Google’s plan for data center buildings on the site and accelerate the ramp-up of the original announced project. The system resource upgrades will benefit all Entergy Arkansas customers and require approximately $600 million in planned investment and a power purchase agreement, both of which will be covered by Google, including:
- A 1,000 megawatt-hour battery energy storage system at Driver Solar near Osceola (Driver), expected to be online in 2028.
- A 400 megawatt-hour battery energy storage system near Hot Springs (Jones Mill), expected to be online in 2028.
- A 440 megawatt (ac) solar power purchase agreement from the Big Island solar facility being constructed in Mississippi County. This was added based on Arkansas Public Service Commission guidance from the initial filing of the resource.
- Expansion of the Galet substation near West Memphis and construction of two new 230 kV transmission lines to serve the expanded data center campus.
These incremental resources, combined with the Arkansas Cypress Solar and Battery facility currently under construction in Jefferson County, will add over 1,000 megawatts of solar power and 2,800 megawatt-hours of dispatchable battery storage capacity, strengthening Arkansas’s power grid and benefitting all Entergy Arkansas customers.
These Entergy Arkansas resources are in addition to the Steel River Solar project in Northeast Arkansas, which will provide additional capacity and energy to the grid in an arrangement between Google and Cypress Creek Energy.
“We are thrilled to partner with Entergy and Google as we continue to build the nation’s largest solar energy project, helping meet Arkansas’s growing electricity demand while using 100% U.S. – made solar panels and structural steel, with much of the material proudly sourced right here in the state,” said Kevin Smith, CEO of Cypress Creek. “The Steel River Energy Center will connect to the regional grid, adding new solar generation and battery storage capacity to help power Arkansas’s growing industrial economy, including steel manufacturing, new data centers and other major employers across the region.”
Together, these resources are designed to provide the reliable, resilient and sustainable power needed to support the expanded project while also serving Entergy Arkansas’s broader customer base.
Google is paying for this project under a new contract. The new resources will not be charged through the Generating Arkansas Jobs Act Rider. The expansion project will be submitted to the Arkansas Public Service Commission for approval and will undergo rigorous regulatory review with all provisions of the contract fully visible to the Commission and its Staff and the Arkansas Attorney General, among others. After input from state leaders to help ensure transparency around this contract, the regulatory filing will comply with the Arkansas Public Service Commission’s recommendations for these types of agreements, allowing customers more visibility into the benefits they are receiving from the Google agreement. Pending approval, the expansion project’s expected in-service date is in 2028.
“The partnership demonstrates what is possible when thoughtful planning, responsible investments, strong regulatory oversight and customer protections intersect,” Landreaux said.
Frequently asked questions
Will Entergy Arkansas customers be paying for this phase of the project?
Google will be paying the full cost of the resources needed to support the additional service provided by Entergy Arkansas through the 20-year term of its contract. Customers will receive the capacity and energy from these resources without being responsible for their cost.
How much will a residential Entergy Arkansas customer’s bill go up due to this phase of the project?
There will be no bill increase associated with this project. In fact, Google will contribute revenues above the cost of the new resources that will lower fixed costs of existing and future system resources.
How does Google’s project actually benefit customers?
The project benefits customers in three ways. First, customers receive low cost energy from the new resources without having to pay the cost to build them. Second, customers will pay fewer of the fixed costs of the Entergy Arkansas system because Google will pay its share of these costs. Both of these benefits are on top of the fact that Google is paying the full cost of the resources needed for its service. Third, Google’s investment extends beyond energy infrastructure. Through investments in local schools, workforce development, energy affordability programs, charitable initiatives and other community partnerships, Google is helping create opportunities for residents and strengthening the communities we serve. These investments reflect a long-term commitment to being a neighborhood partner and supporting growth and opportunity across Arkansas.
How much will Entergy Arkansas customers save from this phase of the project?
This project will bring at least $500 million in new customer savings starting in 2028 and extending over 20 years, in addition to the previously announced $1.6 billion identified in Entergy’s Fair Share Plus pledge from the first phase of Google’s West Memphis investment.
What exactly is Google paying for under the new agreement?
Google is paying for the resources identified in this press release together with a share of Entergy Arkansas system costs that include other generation needed to support service to Google and general system costs that all customers share.
Why should Entergy Arkansas customers view a data center project as a benefit rather than a burden on the state’s electric grid?
Service to Google is a win-win, bringing a new, large customer to Arkansas with all of the permanent jobs, tax revenue and other economic benefits while helping drive customer rates lower than they otherwise would be. Service to Google spreads Entergy Arkansas’s fixed costs across more customers, meaning that Google pays costs that existing customers otherwise would pay. Google also is paying the full cost of new generation needed to support service to it, even though all customers benefit from the capacity and energy the new resources provide.
Beyond energy infrastructure, Google has demonstrated a long-term commitment to Arkansas communities through investments in local schools, workforce development, energy affordability programs, low-income customer assistance initiatives and philanthropic efforts. These investments help expand opportunities for residents and reinforce Google’s role as a long-term community partner committed to supporting Arkansas’s growth and prosperity.
Where should I go for more information?
More details and additional questions about Google’s project can be found at EntergyArkansas.com/GeneratingARjobs.
About Entergy Arkansas
Entergy Arkansas provides electricity to approximately 738,000 customers in 63 counties. Entergy Arkansas is a subsidiary of Entergy Corporation. Entergy generates, transmits and distributes electricity to power life for more than 3 million customers through our operating companies in Arkansas, Louisiana, Mississippi and Texas. We’re focused on keeping costs for our customers as low as possible while providing reliable energy that our communities count on. We’re also investing in growth for the future with a more resilient, cleaner energy system that includes modern natural gas, nuclear and renewable energy generation. As a nationally recognized leader in sustainability and corporate citizenship, we deliver more than $100 million in economic benefits each year to the communities we serve through philanthropy, volunteerism and advocacy. Entergy is a Fortune 500 company headquartered in New Orleans, Louisiana, and has approximately 12,000 employees. Learn more at EntergyArkansas.com and connect with @EntergyARK on social media.
Media inquiries:
Lamor Williams
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501-377-3525
