Company: EAI
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0000065984-25-000087
Chunk: 253

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 7
Chunk 253
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 recoveryEntergy ArkansasEnergy Cost Recovery RiderIn March 2025, Entergy Arkansas filed its annual redetermination of its energy cost rate pursuant to the energy cost recovery rider, which reflected an increase in the rate from $0.00882 per kWh to $0.01333 per kWh.  The annual redetermination included a credit related to the remaining balance due to retail customers from the System Energy settlement with the APSC, plus carrying charges and interest.  See “Retail Rate Proceedings - Filings with the APSC (Entergy Arkansas) - Retail Rates - Grand Gulf Credit Rider” below for further discussion.  The primary reason for the rate increase is an adjustment to account for projected increases in natural gas prices in 2025.  This adjustment is expected to reduce the rate change that will be reflected in its 2026 energy cost rate redetermination.  The redetermined rate of $0.01333 per kWh became effective with the first billing cycle in April 2025 through the normal operation of the tariff.

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Table of ContentsEntergy Corporation and SubsidiariesNotes to Financial Statements

Entergy LouisianaAs discussed in the Form 10-K, in January 2023 the LPSC staff provided notice of an audit of Entergy Louisiana’s purchased gas adjustment clause filings.  The audit includes a review of the reasonableness of charges flowed through Entergy Louisiana’s purchased gas adjustment clause for the period from 2021 through 2022.  In April 2025 the LPSC staff issued its audit report (for Entergy Louisiana’s gas operations), which included several prospective recommendations but no financial disallowances.  The LPSC accepted the report in June 2025.Entergy TexasAs discussed in the Form 10-K, in September 2024, Entergy Texas filed an application with the PUCT to reconcile its fuel and purchased power costs for the period from April 2022 through March 2024.  During the reconciliation period, Entergy Texas incurred approximately $1.6 billion in eligible fuel and purchased power expenses to generate and purchase electricity to serve its customers, net of certain revenues credited to such expenses and other adjustments.  Entergy Texas’s cumulative under-recovery balance for the reconciliation period was approximately $30 million, including interest, which Entergy Texas requested authority to carry over as part of the cumulative fuel balance for the subsequent reconciliation period beginning April 2024.  In November 2024 the PUCT referred the proceeding to the State Office of Administrative Hearings