A 300 million dollar settlement between Entergy and the Mississippi Public Service Commission will lead to Entergy bill credits and reductions for Entergy Mississippi Customers starting this summer.
This conclusion was announced Thursday, June 23 and could lead to future bill reductions over several years to come. Mississippi has been part of multi-state rate proceedings with the Federal Energy Regulatory Commission. Customers whose rates have been impacted as a result of “volatile global energy markets” as well as Grand Gulf Nuclear Power Station will now see some big changes since the settlement was approved to end Mississippi’s involvement in the proceedings.
This settlement has been brought on by litigation which started in 2017 when the Commission challenged the accounting and finances of the Nuclear Power Station. The settlement which includes Entergy among other parties involved 13 litigated proceedings before the Commission. Benefits will include rate reductions, refunds and a decrease in regulatory uncertainty at Grand Gulf, according to District Public Service Commission, Brandon Presley.
This is the largest cash settlement in Mississippi’s state history. 90 percent of Grand Gulf is owned and operated by Entergy under System Energy Resources, Inc. Of the $300 million included in the settlement, $200 million will be used to offset high fuel prices being used for electricity as well as an over $15 a month increase in bills that would have began in January 2023. Around $35 million will go towards lump sum benefits for all Entergy Mississippi customers during 2022. This will result in a one time credit of $80 for all residential customers.
The remainder of the benefits will go towards reducing customer bills over the coming years. This is in addition to the $50 million already received in credits by Entergy Mississippi customers via refunds that took place at the same time of the Federal Energy Regulation Commission proceedings.
Entergy, which is the largest electric utility in the state, is currently working with the Mississippi Public Service Commission and has promised to expedite bill credits to over 461,000 customers as quickly as they can. The funds will be dispersed over the coming weeks.
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