Company: EAI
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000065984-25-000046
Chunk: 181

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 7
Chunk 181
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.98% and a gas earned return on equity of 8.96% compared to the authorized return on equity for each of 9.35%.  Without adjustments, this would result in a decrease in electric rates of $13.8 million and no change in gas rates.  The decrease in electric rates is driven by the realignment of regulatory liabilities into the formula from a separate rate mechanism, partially offset by the cost of known and measurable electric capital additions.  The filing also commences the previously authorized recovery of certain regulatory costs and requests a revenue-neutral recovery to offset a proposed reduction in bill payment late fees.  Taking into account these proposed adjustments, the filing presents a decrease in authorized electric revenues of $8.6 million and an increase in authorized gas revenues of $0.5 million.  The filing is subject to a 75-day review period, followed by a 25-day period to resolve any disputes among the parties.  For any disputed rate adjustments, however, the City Council would set a procedural schedule to resolve.  Resulting rates will be effective with the first billing cycle of September 2025 pursuant to the formula rate plan tariff.Filings with the PUCT and Texas Cities (Entergy Texas)Retail RatesDistribution Cost Recovery Factor (DCRF) RiderIn April 2025, Entergy Texas filed with the PUCT a request to amend its DCRF rider.  The proposed rider is designed to collect from Entergy Texas’s retail customers approximately $77.8 million annually, or $29.3 million in incremental annual revenues beyond Entergy Texas’s currently effective DCRF rider based on its capital invested in distribution between July 1, 2024 and December 31, 2024, including distribution-related restoration costs associated with Hurricane Beryl.Transmission Cost Recovery Factor (TCRF) RiderAs discussed in the Form 10-K, in October 2024, Entergy Texas filed with the PUCT a request to amend its TCRF rider, which was previously reset to zero in June 2023 as a result of the 2022 base rate case.  The amended rider was designed to collect from Entergy Texas’s retail customers approximately $9.7 million annually based on its capital invested in transmission between January 1, 2022 and June 30, 2024 and changes in other transmission charges.  In April 2025 the PUCT approved the TCRF rider, consistent with Entergy Texas’s as-filed request