Both Entergy Louisiana and the Louisiana Public Service Commission have worked to reduce the impact of storm recovery costs on customers by pursuing alternative methods of cost recovery, including financing the restoration costs and the establishment of a storm reserve. Below are answers to some commonly asked questions.

Why is there a storm restoration charge on my bill? How long will we have to pay for these storms?

The storm restoration charge on your bill represents the monies collected to pay for the financing of the storm costs and storm reserves. The monthly charge related to the 2020 hurricanes, 2021 February winter storms and a portion of Hurricane Ida costs were included on bills starting in June. On average, a typical customer using 1,000 kWh can expect to see a roughly $9 increase on their bills. While the costs for hurricanes Gustav, Ike and Isaac are still being collected, the charges for hurricanes Katrina and Rita rolled off customer bills in 2018. The charges for Gustav and Ike started in 2010 and are expected to expire in 2022. The charges for Isaac started in 2014 and will expire in 2026.

Why do I have to pay for a hurricane that did not affect me?

Like other costs to generate and transmit electricity for customers, the LPSC-approved storm restoration costs are shared among customers who are served by the utility. Because customers are vulnerable to unexpected weather events such as hurricanes in southeast Louisiana and ice storms in northern Louisiana, spreading the costs among all customers keeps the impact of storm recovery on individuals as low as possible.

Don’t you already get federal money to restore your system after these storms?

Entergy Louisiana does not receive federal funding to cover the costs of rebuilding the electrical grid following storms.

Why is there a storm reserve? 

Utilities have to spend large sums immediately after the storm has passed in order to get electricity restored as soon as possible. By funding the storm reserve via the storm restoration charge, the LPSC and Entergy Louisiana were able to establish a reserve for future storms at a low cost to customers to ensure that adequate funds are available.