Charlotte J. Cavell
Entergy New Orleans Customers Save Estimated $36 Million Over Three Years
NEW ORLEANS – Customers are racking up savings thanks to Entergy New Orleans' membership in MISO, a regional transmission organization.
New Orleanians have saved approximately $36 million in the three years since Entergy New Orleans joined MISO, formally known as the Midcontinent Independent System Operator, Inc.
MISO manages the flow of power on the transmission grid, facilitates the planning of new transmission facilities, and operates markets for the purchase and sale of wholesale energy and other products. Its market footprint stretches from Canada to the Gulf of Mexico.
The estimated $36 million in savings realized between 2014 and 2016 is largely attributable to two factors: (1) the more efficient dispatch of power plants on the transmission grid, resulting in a lower delivered cost of energy; and (2) reducing the number of power plants that the company must maintain in reserve and have ready to run if needed. MISO members share generation reserves across the organization’s footprint, producing long-term benefits and savings for customers.
"Our membership in MISO has been a highly effective tool in helping us control costs," said Charles Rice, president and CEO of Entergy New Orleans. "We believe our participation in MISO will continue to produce significant savings in the years ahead, helping keep energy costs down so we can continue to help grow the New Orleans economy."
Entergy New Orleans residential rates are approximately 20 percent below the national average, according to 2016 data from the U.S. Energy Information Administration.
"Even adjusting for the effects of lower natural gas prices in recent years, which reduce the cost of generating electricity, in just the first three years of our membership in MISO New Orleans customers have saved $22 million more than what was originally projected when the New Orleans City Council approved our joining MISO," Rice said.
This summer, the company will make a filing requesting that the New Orleans City Council approve Entergy New Orleans’ continued participation in the organization, which it formally joined in December 2013.
Entergy New Orleans, Inc. is an electric and gas utility that serves Louisiana's Orleans Parish. The company provides electricity to more than 198,000 customers and natural gas to more than 106,000 customers. Entergy New Orleans is a subsidiary of Entergy Corporation.
Entergy Corporation is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, including nearly 9,000 megawatts of nuclear power. Entergy delivers electricity to 2.9 million utility customers in Arkansas, Louisiana, Mississippi and Texas. Entergy has annual revenues of approximately $10.8 billion and nearly 13,000 employees.