US-based electric and gas utility company Entergy New Orleans (Entergy) has received approval for building a 128MW gas-fired power plant in New Orleans with an investment of approximately $210m.

Entergy has secured an approval from the New Orleans City Council for building the gas-fired power plant called New Orleans Power Station.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Scheduled to commence its operations from January 2020, the new power station is expected to support the grid facility and also provide a reliable service.

Entergy president and CEO Charles Rice said: “Two years ago, the council charged us with finding a solution to provide reliable, safe and affordable power generation following the deactivation of the former Michoud units.

“The city needs local, reliable power generation that is affordable for all of our customers, and this facility will provide just that.”

The electricity utility company is also planning to issue a full notice-to-proceed to the engineering, procurement and construction contractor this month.

“We appreciate the council members and advisors looking at all of the facts before making a decision, and are glad they came to a reasonable conclusion regarding the need for this unit.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

For the new power station, Entergy New Orleans will be using engines that are predominantly used in cars and trucks.

The engines will have a self-start feature that will allow the utility to start the power unit even if there is no power available on the electric grid.

Upon completion, the plant will reach full power within a quick time period and will support grid stability.

Additionally, the new power unit would facilitate the inclusion of renewable resources, and is expected to create nearly 20 new employment opportunities in the region.

Rice added: “The city needs local, reliable power generation that is affordable for all of our customers, and this facility will provide just that.

“There has been quite a bit of misinformation circulated over the last 18 months by opponents to the plant.

“However, as demonstrated by independent, third-party experts who testified during the council’s December evidentiary hearing, the unit is sound from economic, safety and environmental perspectives.”