Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 489

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 489
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 and reasonable and that Entergy Services correctly performed the excess and deficient accumulated deferred income taxes calculations.  With respect to issue (3), however, the presiding ALJ agreed with the LPSC that NOLC ADIT should have been included in MSS-4 replacement tariff rates since September 1, 2016, and as a result, the presiding ALJ ordered that Entergy Louisiana and Entergy Arkansas recalculate bills for the period of September 1, 2016 through November 11, 2023 with surcharges expected to be due to those operating companies from the purchasing operating companies, Entergy New Orleans, Entergy Texas, and Entergy Louisiana (for some Entergy Arkansas sales).  The presiding ALJ also ordered Entergy Services to pay the interest owed to Entergy Louisiana on these surcharges.

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Table of ContentsEntergy Corporation and SubsidiariesNotes to Financial Statements

The surcharge methodology that the presiding ALJ recommended in connection with issue (3) was not supported by any participant in the hearing.  As part of their exceptions to the initial decision, all parties to the proceeding opposed the use of the ALJ’s methodology, except for the FERC trial staff, which took no position.  During the hearing, the LPSC and the FERC trial staff advocated that the alleged tariff violation should be remedied by the application of Entergy Services’ January 2021 proposed methodology.  All other parties, including the PUCT, the City Council, and Entergy Services, opposed any surcharges for the period prior to the March 20, 2021 effective date of the January 2021 filing.Entergy Services disputes the presiding ALJ's rulings on issue (3) and filed exceptions to these rulings in July 2024.  The ALJ's initial decision is not binding on the FERC and is an interim step in the hearing process.  No refunds will be owed in connection with this proceeding unless and until the FERC requires them in a final order.

Complaints Against System EnergySystem Energy’s operating revenues are derived from the allocation of the capacity, energy, and related costs associated with its 90% ownership/leasehold interest in Grand Gulf.  System Energy sells its Grand Gulf capacity and energy to Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans pursuant to the Unit Power Sales Agreement.  System Energy and the Unit Power Sales Agreement have been the subject of several litigation proceedings at the FERC