Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 173

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 1A
Chunk 173
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 3 to the financial statements for further discussion of the resolution of the 2016-2018 IRS audit.  See Note 2 to the financial statements for discussion of the opportunity sales proceeding.  See Note 8 to the financial statements for further discussion of the ANO stator incident and the approved motion to forgo recovery.

Operating Revenues

Following is an analysis of the change in operating revenues comparing 2024 to 2023:

Amount(In Millions)2023 operating revenues$2,646.4 Fuel, rider, and other revenues that do not significantly affect net income(202.1)Retail one-time bill credit(92.3)Volume/weather37.8 Retail electric price70.4 2024 operating revenues$2,460.2 

Entergy Arkansas’s results include revenues from rate mechanisms designed to recover fuel, purchased power, and other costs such that the revenues and expenses associated with these items generally offset and do not affect net income.  “Fuel, rider, and other revenues that do not significantly affect net income” includes the revenue variance associated with these items.

The retail one-time bill credit represents the disbursement of settlement proceeds in the form of a one-time bill credit provided to Entergy Arkansas’s retail customers during the August 2024 billing cycle through the Grand Gulf credit rider as a result of the System Energy settlement with the APSC.  There is no effect on net income because Entergy Arkansas previously recorded a regulatory liability for the effects of the System Energy settlement with the APSC.  See Note 2 to the financial statements for discussion of the System Energy settlement with the APSC and discussion of the Grand Gulf credit rider.

The volume/weather variance is primarily due to an increase in residential and industrial usage.  The increase in residential usage is primarily due to an increase in customers.  The increase in industrial usage is primarily due to an increase in demand from large industrial customers, primarily new customers in the technology industry, and an increase in demand from small industrial customers.

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Table of ContentsEntergy Arkansas, LLC and SubsidiariesManagement’s Financial Discussion and Analysis

The retail electric price variance is primarily due to an increase in formula rate plan rates effective January 2024.  See Note 2 to the financial statements for discussion of the 2023 formula rate plan filing.

Total electric energy sales for Entergy Arkansas for the years ended December 31, 2024 and 2023 are as follows:

20242023% Change(GWh)Residential