Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 520

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 520
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 2025.  Entergy Louisiana also requested to recover, from its storm reserve escrow account, $33.5 million, which consists of non-capital costs and certain carrying costs.  Entergy Louisiana has also proposed to recover the transmission and generation capital costs through separate ratemaking proceedings.  In February 2025, Entergy Louisiana withdrew the $33.5 million from its storm reserve escrow account.  The period for intervention has expired, and a status conference for the purpose of establishing a procedural schedule has been set for March 2025.

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Table of ContentsEntergy Corporation and SubsidiariesNotes to Financial Statements

Hurricane Laura, Hurricane Delta, Hurricane Zeta, Winter Storm Uri, and Hurricane IdaIn August 2020 and October 2020, Hurricane Laura, Hurricane Delta, and Hurricane Zeta caused significant damage to portions of Entergy Louisiana’s service area.  The storms resulted in widespread outages, significant damage to distribution and transmission infrastructure, and the loss of sales during the outages.  Additionally, as a result of Hurricane Laura’s extensive damage to the grid infrastructure serving the impacted area, large portions of the underlying transmission system required nearly a complete rebuild.In October 2020, Entergy Louisiana filed an application at the LPSC seeking approval of certain ratemaking adjustments in connection with the issuance of shorter-term mortgage bonds to provide interim financing for restoration costs associated with Hurricane Laura, Hurricane Delta, and Hurricane Zeta.  Subsequently, Entergy Louisiana and the LPSC staff filed a joint motion seeking approval to exclude from the derivation of Entergy Louisiana’s capital structure and cost rate of debt for ratemaking purposes, including the allowance for funds used during construction, shorter-term debt up to $1.1 billion issued by Entergy Louisiana to fund costs associated with Hurricane Laura, Hurricane Delta, and Hurricane Zeta costs on an interim basis.  In November 2020 the LPSC issued an order approving the joint motion, and Entergy Louisiana issued $1.1 billion of 0.62% Series mortgage bonds due November 2023.  Also in November 2020, Entergy Louisiana withdrew $257 million from its funded storm reserves.In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana.  Ice accumulation sagged or downed trees, limbs, and power lines, causing damage to Entergy Louisiana’s transmission and distribution systems.  The additional weight of ice