Resolution allows Entergy plant to move forward, fines company $5 million for S&WB power improvements

Resolution allows Entergy plant to move forward, fines company $5 million for S&WB power improvements
The City Council will introduce a resolution that will allow the NOPS plant to move forward and fine Entergy $5 million (Source: WVUE)

NEW ORLEANS (WVUE) - The New Orleans Council is set to consider a compromise which fines Entergy $5 million for paying actors to speak at a hearing for a new power plant in the eastern part of the city.

The resolution will be brought up this week. The money will be used to help fix the power crisis at the Sewerage & Water Board and commit to improvements at the NOPS plant.

The compromise allows the new power plant to move forward with changes.

A news release was sent Tuesday by councilmembers Helena Moreno, Jay Banks and Joe Giarrusso.

“I am pushing for the fine to be used for infrastructure at Sewerage and Water Board. We need many things down there. This Windfall will benefit everybody,” said Councilman Jay Banks.

Councilmember Joe Giarusso added, “One of the main things I like is it will give us power for peaking, and the council is accepting sanctions to primarily help Sewerage and Water Board deal with its power problems.”

The resolution on the agenda for this week's Utility Committee is the result of a detailed review of last year's decision to proceed on the NOPS.

“As has been widely reported, this Council has uncovered, investigated, and fully prosecuted the Entergy paid actor scandal; laid out a clearer vision and commitment to renewable power; and begun a comprehensive investigation into Entergy's distribution reliability in order to end the most common power interruption, "clear-skies" outages related to poor maintenance,” councilmember said in the news release.

The resolution will impose cost protections for Entergy customers so they will not have to pay “out-of-control” costs during construction of the plant. It will also ask Entergy to maintain and improve the current system, especially with cost-effective technological improvements.

The new power plant will cost about $210 million that customers will pay for over the next three decades. The former council approved the plant in March.

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