NEW ORLEANS (WGNO) — A day after a class action lawsuit was filed against Entergy for response to Hurricane Ida in New Orleans, the company is preparing to respond to the New Orleans City Council with four preliminary options regarding the operation and ownership of its subsidiary, Entergy New Orleans, LLC.
Last week City Council President Helena Moreno said she wanted a study about future ownership of the electric and gas operations in the City of New Orleans.
Currently, ENO services 207,000 electric customers and 108,000 gas customers in the city, which according to the company represents $633.8 million or approximately six percent of Entergy Corporation’s total operating revenues.
The four options include:
- Merge with Entergy Louisiana: “Establish one company for all Louisiana customers and regulated by the Public Service Commission
- Form a stand-alone company: “A spinoff without Entergy Corporation’s ownership”
- Sell Entergy: “To another public utility or private entity”
- City of New Orleans Utility: “City can assume direct management of the electric and gas systems for customers”
Moreno took to Twitter on Tuesday morning admonishing Entergy for “accidently” sending her their media plan for their news release regarding the matter.
According to Entergy, the New Orleans subsidiary owns more than 1,800 miles of electric distribution lines, 144 miles of transmission lines and approximately 640 megawatts of power generation. The company also owns 36 miles of natural gas transmission lines and more than 1,700 miles of natural gas distribution lines.
Entergy will propose its options City Council’s Utility Committee is expected to pass its resolution initiating an ownership study on Wednesday, Sept. 22, 2021.