Entergy's Eternal Power Struggle: MISO Move Decades in the Making

by Luke Jones  on Monday, Nov. 26, 2012 12:00 am  

Years of controversy and litigation have led to Entergy Corp. joining a regional transmission operator, which manages Entergy’s power lines, and selling the lines themselves to a third party, ITC Holdings Corp. 

1990s
Middle South Utilities becomes Entergy Corp.; AP&L becomes Entergy Arkansas.

Entergy Corp. determines that transmission elements would be better operated by an independent company. Search for a regional transmission operator begins.

2000-01
Customer rates in Louisiana and Texas driven up due to rising price of natural gas.

2001
Spurred by natural gas prices, Louisiana Public Services Commission enters litigation to declare the system agreement dysfunctional, alleging that production costs of operating companies were not being allocated fairly.

2004
Entergy Arkansas begins considering leaving the system.

2005
Entergy Corp. attempts, unsuccessfully, to form an RTO (regional transmission operator) for the southeastern United States.

Dec. 19, 2005
FERC “final order” determines that production costs outside of certain “bandwidth” to be distributed equally among operating companies. Hugh McDonald, president of Entergy Arkansas, gives eight-year notice of exiting the system agreement.

2006
Southwest Power Pool of Little Rock named as temporary independent coordinator of transmission.

2007
Entergy Arkansas customers begin making equalization payments to other operating companies, appearing as “FERC-imposed payment” on bills. Entergy Mississippi also announces intent to exit system agreement.

April 2011
Entergy Corp. chooses the Midwest Independent System Operator of Carmel, Ind., as its RTO.

May 2011
SPP files protest with Arkansas Public Service Commission against Entergy Corp.’s decision.

July 2011
APSC upholds Entergy Corp.’s decision.

 

 

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