Entergy: Meta Deal Will Save Louisiana Ratepayers $2.65 Billion

LAFAYETTE, La. — Entergy Louisiana says Meta will pay for the entire cost of new power infrastructure tied to its data center in Richland Parish, a commitment the utility says will save customers statewide more than $2.65 billion over the next 20 years. Livingston Parish President Randy Delatte shared a letter Sunday from Entergy Louisiana President and CEO Phillip May outlining the arrangement.

May wrote that the deal keeps everyday ratepayers off the hook for Meta’s infrastructure costs, even as the company expands its data center footprint in Louisiana. The letter treats that as proof the state’s AI buildout can keep moving without pushing new expenses onto households and small businesses already paying Entergy bills.

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What Entergy Says Meta Is Paying For

Under the arrangement, Meta covers generation, transmission, battery storage and related grid upgrades required for its Richland Parish facility. Meta has said the site could eventually scale up to 5 gigawatts of capacity. In an earlier announcement of the underlying deal, Entergy said the point was to keep Meta’s power needs from landing on other customers’ bills.

Where the $2.65 Billion Figure Comes From

That savings estimate combines two separate agreements Entergy and Meta reached earlier this year, which the companies say together deliver roughly $2.65 billion in customer benefit through lower storm-recovery charges, reduced grid resiliency costs and general rate relief over 20 years. Entergy has kept citing that same total as recently as June, even as a separate fight plays out over Cottonwood, an aging Texas gas plant Entergy wants to buy for close to $1.8 billion once upgrades are included.

Entergy says Cottonwood is needed for general system growth across all of its customers, not for Meta specifically, which is why it falls outside Meta’s payment guarantee. A consultant hired by the Public Service Commission contends the purchase is driven mainly by the power gap Meta’s data center is creating. If regulators approve it, Cottonwood alone could add $8 to $13 a month to the average Entergy Louisiana bill, separate from the savings math in May’s letter.

Economic Impact Already Showing Up in Richland Parish

May’s letter also points to local economic effects already showing up in Richland Parish. The project has brought thousands of construction jobs and permanent technical positions at the data center, and the added tax revenue has already paid off in one visible way: teachers in the parish recently received annual bonuses of up to $50,000.

Public schools and youth programs in the area have picked up additional support too, through Data Center Community Action Grants tied to the project.

The Ratepayer Protection Pledge Behind the Deal

The agreement is framed as part of a broader “Ratepayer Protection Pledge,” introduced by President Donald Trump earlier this year and signed by roughly 200 companies, including Entergy, aimed at keeping data center growth from driving up household utility costs nationwide. Gov. Jeff Landry signed onto the pledge alongside Entergy, and Entergy has said Louisiana’s approach has been cited by the Trump administration and other federal officials as an example of ratepayer protection done right.

Entergy has not released the full text of the letter Delatte shared. The company’s public statements so far don’t spell out how the promised savings will be verified or show up on individual customer bills over the next 20 years.

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