Entergy Corporation · NYSE:ETR
Entergy — Entergy Louisiana CCCT RFP Technical & Bidders Conference 2024
33 slides from Entergy's conference presentation, Dec 30, 2024
Slide 1: Entergy Louisiana, LLC Combined Cycle Combustion Turbine Request for Proposals
Entergy Louisiana, LLC Combined Cycle Combustion Turbine Request for Proposals Technical & Bidders Conference December 30, 2024 1
Slide 2: LPSC Technical Conference
LPSC Technical Conference: Conducted in Compliance with Section 9 of the LPSC Market Based Mechanisms Order (General Order R-26127 C, dated 10/29/2008) Justin Bello 2
Slide 3: Introduction
Introduction Purpose of the Conference • To give participants an overview of the Entergy Louisiana, LLC ("ELL") Combined Cycle Combustion Turbine Request for Proposals ("RFP"). Questions • Please submit all questions to the Bid Event Coordinator via email at ellrfp@entergy.com • Bidders may submit q
Slide 4: Agenda
Agenda Introductions RFP Scope Summary Schedule RFP Process & Evaluations Process Safeguards Q&A Session 4
Slide 5: Introductions
Introductions Additional Entergy Participants Entergy Presenters Harry Barton ESL Counsel Samuel DeBose RFP Administration Team Meta Danzey ESL Counsel John Woodham Viability Assessment Team James Miller ESL Counsel Jadd Al-Nahhas Economic Evaluation Team Laura Beauchamp ELL Resource Planning Jason
Slide 6: RFP Scope Summary, Schedule & Process
RFP Scope Summary, Schedule & Process 6
Slide 7: RFP Scope Summary
RFP Scope Summary Scope Item Developmental Long-Term Capacity and Energy Target Start (COD) Date On or before December 31, 2030 Eligible Resources Developmental Eligible Technology Commercially-proven CCCT technology with the ability to operate in base load & load- following roles consistent w
Slide 8: Schedule
Schedule RFP Milestone Milestone Date RFP Documents Issued November 11, 2024 Bidders Conference and Q&A Session December 30, 2024 Final RFP Documents Posted* January 27, 2025 Bidder Registration Period* February 3, 2025 to February 6, 2025 Proposal Submission Fee Payment Deadline* Februar
Slide 9: Bidder Communications
Bidder Communications o Prior to Bidder Registration • Communications via ellrfp@entergy.com • Forms available on the ELL CCCT RFP Website • https://spofossil.entergy.com/ENTRFP/SEND/2024CCCTRFP/Documents.htm o Proposal Submission Onward • Communications via PowerAdvocate • Include Bidder, Resource
Slide 10: Bidder Registration
Bidder Registration o Complete the bidder registration process, including the forms below: • Bidder Registration Agreement • Bidder Registration Form • Executed MISO GIA or MISO DPP application o Bidder, Resource, and Proposal ID numbers will be issued after registration is complete • Include these
Slide 11: Proposal Submission Fees
Proposal Submission Fees o $5,000 for each registered proposal o Fees will be invoiced after the conclusion of the Bidder Registration Period o Targeted due dates can be found in Main Body Section 4.1 o Proposals may be subject to elimination if payment deadlines are missed o Proposal packages must
Slide 12: Redactions & Initial Threshold Determination
Redactions & Initial Threshold Determination o Purpose • Ensure evaluation teams receive information relevant to their respective areas • Bid price is removed from the information provided to the Viability Assessment Team and the Transmission Evaluation Team (other than specified pricing approved by
Slide 13: Evaluation Process
Evaluation Process o Process is designed to be fair, impartial, and consistently applied. • An overview of evaluation factors and general decision criteria can be found in Main Body Section 5. • Detailed inputs and evaluation scenarios are considered confidential and highly proprietary and will not
Slide 14: Selections
Selections o ELL will seek to make Selections June 23, 2025* o Bidder(s) with a proposal on the selection list will be invited to negotiate a definitive agreement • Inclusion on selection list is not acceptance of proposal or related contract terms • No requirement for ELL to place any proposal on t
Slide 15: Commercial Terms & Viability Assessment
Commercial Terms & Viability Assessment John Woodham 15
Slide 16: Commercial Terms Overview
Commercial Terms Overview o All Proposals • Bidders must include any proposed exceptions to the term sheets in their proposal package • ELL is under no obligation to agree to any exception; significant requested changes could affect viability ratings or eligibility for continued RFP participation •
Slide 17: BOT Commercial Terms Overview
BOT Commercial Terms Overview • Bidders are required to provide an all-in purchase (expressed as a single fixed price) Purchase Price • The purchase price will be payable by Buyer to Seller at three major milestones: Closing, Substantial Completion, and Final Completion • Seller will be required to
Slide 18: PPA Commercial Terms Overview
PPA Commercial Terms Overview • Energy rate (expressed in $/MWh), which will be either fixed for the entire Delivery Term or defined annually (as proposed by Bidder) PPA Pricing • Pricing must reflect an “all-in” energy price (including all related fees and expenses) Delivery Term • Delivery Term ma
Slide 19: Viability Assessment
Viability Assessment o The VAT analysis will include a detailed review of non-price attributes of each proposal to assess the risk of key aspects of individual projects in a pre-defined scorecard, leading to a viability rating for each proposal o The review will be based on Bidder-provided informati
Slide 20: Economic Evaluation
Economic Evaluation Jadd Al-Nahhas 20
Slide 21: Economic Evaluation
Economic Evaluation • The EET will conduct an economic evaluation of proposals submitted in the RFP on a present value basis from the perspective of ELL’s aggregate customer base • The evaluation will: – Identify proposals that meet the RFP requirements most economically relative to one another – Ut
Slide 22: Economic Evaluation
Economic Evaluation o The evaluation will include evaluation of the following components, as they apply to the proposal being assessed BOTs and Self-Build Options PPAs ($/kWAC) ($/kWh) Acquisition Cost All-in PPA Energy Pricing Transmission, Interconnection, and Imputed Debt Cost Deliverability Cost
Slide 23: Economic Evaluation
Economic Evaluation • A net cost / benefit calculation will be performed for each proposal • Net cost / benefit will be presented in $M, $/kW, and $/MWh to account for differences in proposal size, expected energy production, and duration 23
Slide 24: Transmission Evaluation
Transmission Evaluation Jason Van Huss 24
Slide 25: Transmission Evaluation
Transmission Evaluation o The objectives of the TET evaluations are to: • Ensure that the addition of a resource will maintain (or enhance) the reliability of the transmission system • Identify any upgrades needed to maintain reliability • Assess the costs of all transmission infrastructure-related
Slide 26: Transmission Evaluation
Transmission Evaluation o Bidders will bear the responsibility for all upgrades and costs to secure full deliverability • Confirm that the resource has ERIS and either NRIS or NITS • Alternatively, confirm that the resource has ERIS without either NRIS or NITS • ERIS-only option is not preferred by
Slide 27: Accounting Evaluation
Accounting Evaluation David Batten 27
Slide 28: Accounting Evaluation
Accounting Evaluation o Review each proposal to determine the accounting treatment and impact. The accounting review specifically addresses, but is not limited to, the following areas • Lease accounting guidance • Variable Interest Entity (VIE) guidance • Derivative guidance o As specified in the RF
Slide 29: Credit Evaluation
Credit Evaluation Laura Hamner 29
Slide 30: Credit Evaluation
Credit Evaluation o The CET will evaluate Bidder credit and other credit-related matters o Individual proposals will be evaluated to determine the amount of liquid credit support required at various milestones to mitigate ELL’s potential exposure o Bidders will be assigned a credit rating by the CET
Slide 31: Process Safeguards
Process Safeguards Samuel DeBose 31
Slide 32: Process Safeguards
Process Safeguards o Code of Conduct • All employees of ESL, any Entergy Operating Company, or any Entergy Competitive Affiliate must adhere to the applicable Affiliate Rules and Codes of Conduct • Links are provided on the ELL CCCT RFP website o Additional Protocols • Each ELL CCCT RFP Evaluation T
Slide 33: Q&A Session
Q&A Session Submit questions to the Bid Event Coordinator at ellrfp@entergy.com. Questions may be submitted anonymously by emailing LPSC Counsel- Justin Bello at Justin.Bello@la.gov 33
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