Dive Summary:

• This ruling is backlash from a 2005 Federal Energy Regulatory Commission (FERC) finding that said customers of Entergy Arkansas didn’t pay a fair share of costs, resulting in rate cuts for customers of Entergy Gulf States Louisiana and Entergy New Orleans.
• The Arkansas and Mississippi subsidiaries were obligated to give eight years’ notice before opting out of the agreement; Entergy Arkansas and Entergy Mississippi gave notice in 2005 and 2007 respectively.
• Although the effort by Louisiana’s Public Service Commission and the New Orleans City Council to receive exit fees from the utilities failed, the FERC may still decide to impose other penalties.

From the article:

A federal appeals court on Tuesday rejected an effort by Louisiana utility regulators to make Entergy Corp. subsidiaries in Arkansas and Mississippi pay for ending an agreement with their Entergy counterparts in Louisiana and Texas.

The ruling by an appeals court in Washington deals with an agreement that has proven beneficial to customers of Entergy Gulf States Louisiana and Entergy New Orleans, at the expense of customers of Entergy Arkansas. ...