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Entergy Louisiana and Meta Reach $2 Billion Customer Savings Deal
Agreement includes new natural gas plants, transmission lines, and nuclear power updates to power Meta's massive data center.
Apr. 1, 2026 at 11:40am
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Entergy Louisiana has reached a deal with Meta (formerly Facebook) to build seven new natural gas-powered plants, along with new transmission lines and nuclear power updates, to provide enough electricity for Meta's AI data center under construction in Richland Parish. The agreement will deliver an additional $2 billion in customer savings over the life of the contract, according to Entergy President and CEO Phillip May.
Why it matters
The deal aims to ensure that Meta's massive power needs do not raise electricity rates for Entergy's regular customers. Meta is taking steps to support low-income customers and invest in energy efficiency initiatives to mitigate any potential rate increases.
The details
Under the agreement, Meta will pay 100% of the cost of service associated with the new facilities necessary to serve the data center. Additionally, Meta will pay an extra $2 billion on top of that. To assist low-income customers, Meta will contribute $3 million per year to Entergy's 'Power to Care' program, which Entergy will match for a total of $6 million annually. Meta is also investing $140 million in energy efficiency initiatives for vulnerable customers and providing support for additional solar power plants.
- The original Meta project announced plans to build two natural gas turbines and a third power plant in the Baton Rouge area.
- The new agreement includes plans to build seven more natural gas-powered plants on top of the original plans.
The players
Entergy Louisiana
A utility company that provides electricity to customers in Louisiana.
Meta
The parent company of Facebook, which is building a massive AI data center in Richland Parish, Louisiana.
Phillip May
The President and CEO of Entergy Louisiana.
What they’re saying
“We have been very focused on making sure that Meta pays for 100% of the cost of service associated with the facilities necessary to serve them. Plus, they are going to pay an additional $2 billion on top of that.”
— Phillip May, President and CEO, Entergy Louisiana
“Meta will pay $3 million a year, and we'll match that. So, another $6 million to Entergy's 'Power to Care.' That's a program that allows our low income customers, those struggling to pay their bills, to have additional funds to provide them assistance.”
— Phillip May, President and CEO, Entergy Louisiana
“We get a more resilient, more efficient, stronger grid as a result of Meta, and lower costs; $2 billion of benefits over the life of this contract.”
— Phillip May, President and CEO, Entergy Louisiana
What’s next
The Public Service Commission still has to approve Entergy's plan for the new gas and solar plants.
The takeaway
This deal demonstrates how major technology companies can work with local utilities to ensure their power-hungry operations don't burden regular customers. By having Meta cover the full costs and invest in efficiency and low-income assistance, Entergy is able to strengthen the grid and deliver significant savings to its broader customer base.
