Entergy Louisiana has reached an agreement with Meta to build seven new natural gas-powered plants, plus new transmission lines and nuclear power updates, so that there’s enough electricity to power the massive AI data center under construction in Richland Parish. Entergy President and CEO Phillip May says the agreement will help keep electricity rates affordable.
“We have been very focused on making sure that Meta pays for 100% of the cost of service associated with the facilities necessary to serve them. Plus, they are going to pay an additional $2 billion on top of that,” May said.
There are concerns that Meta’s need for a huge amount of power will raise rates for utility customers. May says that will not be the case, and the technology giant is taking steps to make sure low income individuals can pay their bills.
“Meta will pay $3 million a year, and we’ll match that. So, another $6 million to Entergy’s “Power to Care.” That’s a program that allows our low income customers, those struggling to pay their bills, to have additional funds to provide them assistance,” May explained.
May says Meta is also investing $140 million for energy efficiency initiatives for vulnerable customers and providing support for additional solar power plants. May says the project represents a significant opportunity to strengthen grid reliability.
“We get a more resilient, more efficient, stronger grid as a result of Meta, and lower costs; $2 billion of benefits over the life of this contract,” May noted.
When the Meta project was first announced, Entergy said it would build two natural gas turbines and a third power plant in the Baton Rouge area. Plans to build seven more natural gas-powered plants are on top of the original plans.
The Public Service Commission still has to approve this plan for new gas and solar plants.
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