Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 491

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 491
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 return on equity issue and a FERC hearing judge was assigned in July 2018.  The 15-month refund period in connection with the APSC/MPSC complaint expired on April 23, 2018.In April 2018 the LPSC filed a complaint with the FERC against System Energy seeking an additional 15-month refund period.  The LPSC complaint requested similar relief from the FERC with respect to System Energy’s 

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Table of ContentsEntergy Corporation and SubsidiariesNotes to Financial Statements

return on equity and also requested the FERC to investigate System Energy’s capital structure.  The APSC, the MPSC, and the City Council intervened in the proceeding, filed an answer expressing support for the complaint, and asked the FERC to consolidate this proceeding with the proceeding initiated by the complaint of the APSC and the MPSC in January 2017.  System Energy answered the LPSC complaint in May 2018 and also filed a motion to dismiss the complaint.  In August 2018 the FERC issued an order dismissing the LPSC’s request to investigate System Energy’s capital structure and setting for hearing the return on equity complaint, with a refund effective date of April 27, 2018.  The 15-month refund period in connection with the LPSC return on equity complaint expired on July 26, 2019.The portion of the LPSC’s complaint dealing with return on equity was subsequently consolidated with the APSC and the MPSC complaint for hearing.  The parties also addressed an order (issued in a separate FERC proceeding involving New England transmission owners) that proposed modifying the FERC’s standard methodology for determining return on equity.  In September 2018 the LPSC filed an amended complaint raising the same capital structure claim the FERC had earlier dismissed.  The FERC initiated a new proceeding for the amended capital structure complaint, and System Energy answered the complaint in October 2018.  In January 2019 the FERC set the amended complaint for settlement and hearing proceedings.  Settlement proceedings in the capital structure proceeding commenced in February 2019, but were terminated in June 2019, and the amended capital structure complaint was consolidated with the ongoing return on equity proceeding.  The 15-month refund period in connection with the capital structure complaint was from September 24, 2018 to December 23, 2019.Several rounds of testimony were filed by the parties in these proceedings between January 2019 and August 2020.