Wednesday, August 09, 2006

Entergy dodging its responsibility.

Entergy Corp. is raking in millions supplying power to New Orleans' suburbs and three other states, so why can't it use that money to help out its customers in Katrina-devastated N.O.?:
"Despite asking for millions of dollars from New Orleans customers and the federal government to rebuild its shattered electric and gas system, Entergy Corp. on Tuesday reported millions in profits for the third quarter in a row since Hurricane Katrina struck.

Though its earnings were slightly down from last year, Entergy Corp. reported earning $282 million between April and June on revenue of $2.63 billion. Why, then, is the company's subsidiary, Entergy New Orleans, asking for rate increases of at least $45 per month per customer, and why is Entergy Corp. taking the firm stance that it can't help bail out its hurricane-ravaged subsidiary and instead is asking for federal aid of $718 million?

'Rain or shine, Entergy has made money from New Orleans. This year it and its parent company has profited again. Isn't it time they gave something back?' said Betty Wisdom, a member of the board of directors for the Alliance of Affordable Energy."

1 comment:

Pondering American said...

I think the show on wwl explained it well. Entergy New Orleans is a seperate enity in a lot of ways. THe main Entergy corporation gives Entergy New orleans the Capital and in turn they give a good bit of the profit back to Intergy shareholders.

Entergy Inc has already set aside 200 million. If they did much more then the shareholders would likely sue Entergy inc for not operating as proper managers