The company said System Energy will pay Entergy New Orleans a black box refund of $116 million, of which about $18 million has already been received. It said further refunds of about $98 million would be made if FERC approves the settlement.

1. 01

   The company said System Energy will pay Entergy New Orleans a black box refund of $116 million, of which about $18 million has already been received. It said further refunds of about $98 million would be made if FERC approves the settlement.

2. 02

   The company said the City Council settlement, together with the Arkansas and Mississippi settlements, covers 84% of System Energy's Grand Gulf output, leaving about 16% of its refund exposure.

3. 03

   The company said that under the settlement, Entergy New Orleans's bills from System Energy will be adjusted beginning with the June 2024 service month to reflect an authorized return on equity of 9.65% and a capital structure of no more than 52% equity, consistent with FERC-approved terms for Entergy Mississippi and Entergy Arkansas.

4. 04

   The company said System Energy had recorded a provision and related liability of $588 million for the complaints described above. It said System Energy's remaining regulatory liability was $178 million as of December 31, 2023, and the remaining $98 million of refunds is included within that amount.

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Original filing

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