Looks like you will have higher electric rates due to data centers

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Entergy Louisiana’s plans to buy a gas-fired power plant for $1.8 billion are drawing concerns from a consultant for the state’s Public Service Commission, who recently warned in a report that the plant is unreliable and needed mostly because of Meta’s massive north Louisiana data center. If approved, the acquisition would cost Entergy Louisiana’s average residential customer roughly $8 a month, according to documents Entergy filed in the case.

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He added that Entergy has been projecting capacity deficits starting in 2027 since well before Meta announced plans for its data center here. He pointed to the company’s 2023 resource plan, initially filed in 2021, which did not mention Cottonwood by name but forecast a 510 megawatt energy shortfall in 2027, growing to more than 5,000 megawatts in the 2040s. “No single customer is driving this acquisition,” he said. “This facility is the best option for all Louisiana customers. The demand for power across the state has accelerated consistently and significantly for a number of years — from the needs of residential customers to larger projects in LNG, steel and other industrial and petrochemical development across the state.”

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