Entergy Arkansas Bound by Pact Through 2013

JULY 7, 2006 - Posted at 8:07 a.m. CDT

LITTLE ROCK, AR - The president of Entergy Arkansas says the state's largest electric utility will need at least until 2013 to withdraw from an agreement with other Entergy companies in Louisiana, Mississippi and Texas.

Regulators in Arkansas are concerned that continuing the system agreement could cost Arkansas ratepayers millions of dollars.

Entergy Arkansas president Hugh McDonald is to appear before the state Public Service Commission next week.  He provided written testimony to the panel in advance of his appearance.

McDonald says the Arkansas utility gave notice in December of its intent to leave the system agreement.  But he says the contract requires an eight-year notice to leave.

(Copyright 2006 by The Associated Press.  All Rights Reserved.)