Entergy Asking for Another Rate Hike

LITTLE ROCK, Ark. (AP) - Entergy Arkansas Inc. is asking state regulators to approve a temporary rate hike so the utility can recover $26 million it spent to repair damage from storms this year, including hurricanes Gustav and Ike.

Yesterday, Entergy said it expects its third-quarter earnings to fall short of Wall Street expectations because of the hurricanes.

The storms brought lower revenues because so many customers lost power, and the utility had to pay to repair downed and damaged lines.

The proposed Arkansas rate hike would be to cover costs from nine storms this year that left power lines damaged in Arkansas. Entergy filed papers Wednesday with the Arkansas Public Service Commission asking for the increase.

If approved, monthly residential bills for Entergy customers would rise about 1.7 percent during 2009.