English (United States)
News Releases

NPPD mutually agrees to end services contract with Entergy

March 14, 2022

NPPD remains committed to largest carbon-free generation source in Nebraska supported by tremendous experience within its ranks

Columbus, Neb. – Nebraska Public Power District (NPPD) and Entergy have mutually agreed to end their Support Services Agreement regarding NPPD’s Cooper Nuclear Station. This agreement has been in place since late 2003. While Entergy provided certain personnel for the plant (currently there are five Entergy employees at Cooper Nuclear Station) along with other support services as part of the arrangement, NPPD has maintained ownership of and responsibility for the safe and reliable operations of the plant. NPPD plans to continue operating Cooper Nuclear Station and will utilize Entergy and other available industry resources, as appropriate.

Cooper Nuclear Station is an important part of NPPD’s generation mix. It is NPPD’s largest generating unit and the largest single source of carbon free generation in the state. The station, which began commercial operations in 1974, has the capacity to serve approximately half of the annual energy requirements for NPPD’s retail and wholesale customers with reliable and carbon free electricity. It employs a little more than 600 individuals and has a significant economic impact on Southeast Nebraska.    

Over the past several years, Entergy has been exiting its merchant fleet nuclear operations in the Northeast United States and elsewhere to focus on the nuclear plants in its regulated utility business operations in the Southern United States. Cooper Nuclear Station was the last plant outside of Entergy’s regulated utility business for which Entergy had contractual obligations.  

“This was a mutual decision and is in the best interests of both utilities,” according to a joint statement from Tom Kent, NPPD’s President and CEO and Christopher “Chris” Bakken, Executive Vice President and Chief Nuclear Officer, Entergy Nuclear. “NPPD has had an excellent relationship with Entergy. Its people and processes have played a key role in helping Cooper Nuclear Station achieve improved performance. Over the past two decades, we have built up a tremendous amount of experience and skill within our ranks. We have reached a point where we can meet the high expectations for excellence in the commercial nuclear industry with our team at Cooper Nuclear Station, and as is common in the industry, we can also use supplemental assistance from others in the nuclear industry as needed,” Kent said.    

Cooper Nuclear Station reliably provides carbon-free electricity around the clock for two-year periods between refueling outages. The plant is currently licensed by the Nuclear Regulatory Commission to operate until early 2034.  Over the next few years, NPPD will begin discussing the opportunity to pursue a second license renewal which would extend the operating license an additional twenty years.

About Nebraska Public Power District

For more than 50 years, NPPD has been powering Nebraskans, improving the quality of life in our state with affordable, reliable, sustainable electricity from its diverse generation portfolio. Our nearly 2000 teammates live and work in the communities we serve across the state.  As a publicly owned utility and a political subdivision of the State of Nebraska, NPPD is governed by a Board of Directors elected by the people they serve. NPPD works in partnership with our public power partners to help serve an estimated 530,000 Nebraskans with retail or wholesale electric power and energy-related services. We serve 38 municipalities and 23 rural public power districts and/or cooperatives through wholesale contracts, and 77 Nebraska communities, consisting of more than 92,000 retail customers.  

About Entergy Corporation

Entergy, a Fortune 500 company headquartered in New Orleans, powers life for 3 million customers across Arkansas, Louisiana, Mississippi and Texas. Entergy is creating a cleaner, more resilient energy future for everyone with our diverse power generation portfolio, including increasingly carbon-free energy sources. Entergy’s approximately 12,500 employees are dedicated to powering life today and for future generations. Learn more at entergy.com and follow @Entergy and @EntergyNuclear on social media. #WePowerLife

When are rates set?
NPPD rates are reviewed annually, and any proposed rate changes are normally approved during NPPD’s December Board of Directors Meeting.

Will my bill be higher this month because of the cold weather and rolling outages?
Most NPPD customers can expect to see a higher monthly electricity bill this month due to the recent cold weather event which caused customers to have higher usage.  A higher bill would not be the result of a rate increase however because the rates did not change.

Does my NPPD rate change throughout the year?
When proposing a rate change, NPPD typically sets and approves rates during the December Board of Directors Meeting. The rates that are approved go into effect February 1 of the next year.

The only other time NPPD’s rates change during the year is when the higher summer rates automatically go into effect for the months of June through September. Aside from this, any increase or decrease in your bill is likely tied to increased energy usage during severe cold or hot weather.

NPPD retail rates have remained steady with no overall increase in eight years.

How will February’s cold temperatures and rolling outages impact my rates in future years?
The financial impact of the most recent historic polar vortex events as it relates to rates are unclear at the present time. Many factors, including future weather impacts, load growth, and the cost to generate and deliver electricity will impact NPPD’s financial position and rates.

How will cold temperatures and rolling outages impact my monthly bill?
Simply put, if you use more electricity than “normal” you will have a higher bill. Rates have not changed. Think of it as a consistently priced fuel, that never fluctuates in price per gallon. If you need to fill up more often, it will require a larger amount of product, and as a result you have higher costs.

Does it take more energy and cost more to lower my thermostat now, only to raise it later to regain warmth?
This is a myth that many have heard for years. Contrary to belief, your system will operate for longer periods to recover and heat pump systems may switch to supplemental or auxiliary heat, but overall energy use is reduced if the setback occurs over at least a few hours. 

NPPD operators at our control center handle increases and decreases in load and train for these situations. The operators refer to this as the Cold Load Effect. When customers are returned to service from a long outage, there can be a sharp increase in electricity usage that must be accounted for. As motors begin to start when the load is energized and more equipment powers on than was previously when the customer was interrupted. This means, when there are several customers experiencing an outage at the same time, operators need to consider the load when the circuit is restored can be higher than when it was interrupted. The longer a circuit is interrupted, the more pronounced the Cold Load Effect will be.

In the case of this most recent event, homes were using heat so consistently during the day and the interruptions were short enough that there was no significant change in electricity usage when one circuit was brought back online and another was turned off. During the rolling blackouts, when one group of customers was experiencing an outage, a new set of customers would betaken offline before the first group was returned to service. This helped ensure that there were no spikes in electricity usage that would have a negative impact on the generation and load balance. 

Who can I contact for assistance with payment arrangements for my NPPD bill, or information on assistance agencies?
Payment arrangements can be arranged by contacting NPPD at 1-877-ASK-NPPD.

Those in need should also contact NPPD at the above listed number for more information and a listing of energy assistance from local agencies.

What is a rolling blackout outage?
Rolling blackouts, also known as rotating outages, are controlled, temporary interruptions of the electrical service directed by the Southwest Power Pool (SPP). These outages can occur when electricity generating resources cannot meet the electricity demand in the region. NPPD and others must reduce demand in an amount directed by SPP and act upon this within minutes.

When is a rolling blackout necessary?
Rolling blackouts are necessary as a last resort to maintain the reliability of the electrical grid system. SPP directs rotating outages when electricity generating resources cannot meet the electrical demand in the region. They rotate or roll to different systems and areas so we can all absorb a short outage at different times versus a long outage for one specific area.

The recent situation was extraordinary and an unprecedented chain of events, including historic low temperatures across the entire SPP footprint, lack of wind generation, reduced amounts of natural gas because of frozen wells and sky rocking natural gas prices. A situation never seen before in this region since SPP was founded.

Why was there little notice before power was shut off to some customers?
Just like many of our retail and wholesale customers, NPPD received the emergency notices from SPP with little warning, requiring us to load shed with just a few minutes to act.

NPPD did our best in this emergent situation to communicate not only to our large industrial and residential retail customers, but also with as many wholesale customers as we could. This was done with a press release, via emails, regularly scheduled wholesale customer meetings throughout the event, and using social media. Unfortunately, with the short timeframe not all customers were able to be reached before some outages began.

We continue to evaluate and review the events of this situation and will look for ways to learn and improve our process, should it ever be needed again.

Is there an easy way to track my energy usage?
Tracking your energy usage can easily be done by downloading NPPD’s mobile application, “NPPD On The Go!”. Download by searching “NPPD” in the Google Play or Apple App store. Then click “Register” and have your account number, service address zip code, and phone number ready. Finally complete the account information.

What are the benefits of using “NPPD On The Go!”?

  • Fast, easy and secure way to view and pay your bill.
  • View monthly usage and comparison to previous usage.
  • Monitor active outages and report unexpected outages.
  • Direct access to customer support through your mobile device.
  • Request new service or stop current service.
  • Sign up for outage, billing, and usage notifications.

Who and what is Southwest Power Pool (SPP)?
NPPD is a member of the Southwest Power Pool (SPP), a non-profit regional transmission organization in the central part of the United States. SPP is mandated by the Federal Energy Regulatory Commission to ensure customers in the region receive reliable power, adequate transmission infrastructure and competitively priced electricity. SPP and its members coordinate the flow of electricity across more than 65,000 miles of high-voltage transmission lines spanning 14 states.

Why is it important to have a diverse energy mix?
NPPD believes a diverse generation mix serves our customers best. We use wind -- when it is available. We use coal -- which is reliable and helps keep electric rates low. We use water -- one of the oldest forms of renewable energy. We use nuclear -- which offers emission-free, around-the-clock power. We use natural gas -- to complement the portfolio.

NPPD’s diverse energy generation mix helps keep our electricity reliable and keep rates as low as possible.

Public power, as it always does, answered the call to help protect the bulk electric system which serves the central portion of the country and is part of the larger Eastern Interconnect. The system requires real-time balancing of generation and load. In doing so, we also protected our customers from more detrimental, long-term blackouts.

All of NPPD’s plants were available to SPP during this emergency event. They performed as beautifully during the emergency as our NPPD teammates who worked around the clock to manage the safety, health and financial risk for our customers.