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Entergy N.O. launches $4M pole upgrades in New Orleans
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Entergy New Orleans has begun a $4 million grid-hardening project to replace 94 utility poles across roughly 1.6 miles in the Leonidas and Holly Grove neighborhoods, with work announced at a Sept. 22 groundbreaking. The company says the pole replacements and associated tree trimming are projected to avoid about $7.4 million in outage-related costs over the next 50 years, and more than half the project cost is covered by a U.S. Department of Energy grant. Deanna Rodriguez, Entergy New Orleans president and CEO, led the announcement alongside Katie Jereza of DoE's Office of Electricity and Louisiana Energy Secretary Dustin Davidson, as first reported by NOLA.com.
Every pole that we harden helps us sustain the winds that are higher and faster these days, and it will help us with the storms that come our way and certainly impact our customers so that their power doesn’t go out, If it goes out, we’re able to restore more quickly.
Deanna Rodriguez, Entergy New Orleans president and CEO
Key takeaways
- Project size: Entergy New Orleans is spending $4 million to replace 94 poles across about 1.6 miles.
- Expected savings: The utility projects roughly $7.4 million in avoided outage costs over the next 50 years from the work.
- Federal support: More than half of the project is paid for with a Department of Energy grant from the Grid Resilience State And Tribal Formula Grants.
- Program context: The upgrade is part of Entergy New Orleans' broader $100 million accelerated resilience plan; the company has requested an additional $400 million for five more years.
Table of contents
What Entergy is replacing and who is backing it
Entergy New Orleans described the work as pole replacement plus tree trimming along distribution lines serving the Leonidas and Holly Grove neighborhoods. The utility said crews will replace 94 poles over about 1.6 miles of network, and that the federal grant covers more than half of the $4 million price tag. Katie Jereza, Assistant Secretary for the U.S. Department of Energy's Office of Electricity, spoke at the event and highlighted that the grant comes from the federal Grid Resilience State And Tribal Formula Grants program.
Officials singled out roughly 1,900 residential, commercial and industrial customers that will see improved service continuity after the upgrades; among them is the Sewerage & Water Board power complex, which the announcement noted has a $300 million facility and recent operational scrutiny after a failure during Tropical Storm Arthur.
How the economics are framed
Entergy New Orleans presented an economic case tied to reliability: the company estimates the pole replacements will avert about $7.4 million in outage-related costs over a 50-year horizon. That figure is the company's projection of avoided customer and system costs if the upgraded poles reduce outages and shorten restoration times.
The announcement placed the project inside a larger capital picture. Entergy New Orleans is about halfway through a $100 million accelerated resilience plan; company officials are asking the City Council for another $400 million to extend resilience work for an additional five years. Outside the city, Entergy Louisiana is managing a separate $1.9 billion resilience program; the material states that program's cost is being collected through a surcharge on ratepayers, while Entergy New Orleans' program costs are already included in local rates.
Who spoke and what they emphasized
Deanna Rodriguez, Entergy New Orleans president and CEO, framed the work as resilience against stronger and faster winds, saying the upgrades will reduce outage frequency and speed restoration when outages occur. Rodriguez said the upgrades help sustain the higher winds utilities now face and allow crews to restore power more quickly if outages happen.
Katie Jereza of the Department of Energy emphasized the federal role and described the grants as practical, near-term investments to benefit people and businesses that depend on the grid. Louisiana Department of Conservation and Energy Secretary Dustin Davidson tied the work to regional economic stakes, noting the role of energy and freight moving through the Port of New Orleans and plans for further federally supported hardening in the state's industrial corridor through Bipartisan Infrastructure Law grants.
What this means operationally and in the city budget
Operationally, pole replacement and targeted vegetation management are standard resilience measures that lower the chance of weather-related line failures and improve crew safety and access during restorations. The project is not presented as an island project: Entergy New Orleans says it complements other modernization measures the utility has implemented since Hurricane Ida.
On financing, the material makes a clear distinction between Entergy New Orleans and Entergy Louisiana programs: the larger state program is funded via a surcharge on ratepayers' bills, whereas Entergy New Orleans' existing work is already reflected in local rates; the company is seeking council approval for an additional $400 million extension that would change the city's capital plan if approved.
| Program / asset | Cost | Funding source | Status (as announced) |
|---|---|---|---|
| Entergy New Orleans pole upgrades | $4 million | DOE grant (more than half) + utility | Groundbreaking Sept. 22; 94 poles over ~1.6 miles |
| Entergy New Orleans accelerated resilience plan | $100 million | Included in local rates | About halfway through; city approval sought for $400M extension |
| Entergy Louisiana resilience program | $1.9 billion | Ratepayer surcharge | Ongoing outside New Orleans |
| Sewerage & Water Board power complex | $300 million (facility) | City asset / contractors | Under scrutiny after failure during Tropical Storm Arthur |
Cases for and against broader rollout
The case for
- Upgrading poles and trimming trees is a low‑complexity, proven way to reduce storm outages and can deliver multi‑decade benefits; Entergy projects about $7.4 million in avoided outage costs over 50 years for this scope.
- Federal grants lower local upfront costs and speed work that utilities might otherwise phase over many years, allowing vulnerable circuits to be hardened sooner.
The case against
- The utility still needs City Council approval for a proposed $400 million extension to its resilience program; without that approval the pace of local hardening could slow.
- A focus on pole replacement and vegetation management does not address all failure modes — for example, failures at large centralized facilities such as the Sewerage & Water Board complex remain separate technical and governance challenges.
What to be careful about
- City Council rejection or delay of the requested $400 million would constrain the utility’s ability to scale similar projects in New Orleans.
- Reliance on grant timing and amounts: the project description notes more than half of this work is grant-funded; changes to grant availability could shift costs to ratepayers or slow implementation.
- Repairs at large critical facilities remain a separate exposure; the Sewerage & Water Board complex has had recent failures that pole upgrades alone will not resolve.
The bottom line
The Sept. 22 groundbreaking puts a modest, grant‑backed project into a larger city and state resilience picture: $4 million in pole replacements and tree trimming now, framed as part of a $100 million local program and a $1.9 billion statewide effort. The upgrades aim to reduce outage frequency and speed restorations for roughly 1,900 customers and to protect critical infrastructure, but broader progress depends on City Council decisions about additional funding and on separate fixes at large facilities such as the Sewerage & Water Board complex.
What to watch
- Watch for the New Orleans City Council decision on Entergy New Orleans' request for an additional $400 million to extend the accelerated resilience plan; no date has been set.
- Watch for deployment updates on the DOE Grid Resilience State And Tribal Formula Grants projects across Louisiana; no date has been set.
- Watch for any follow-up actions or repairs at the Sewerage & Water Board power complex related to its recent failure; no date has been set.
Frequently asked questions
How many poles are being replaced and over what distance?
Entergy New Orleans is replacing 94 utility poles across about 1.6 miles in the Leonidas and Holly Grove neighborhoods.
How much does the project cost and who is paying for it?
The project carries a $4 million price tag; more than half of that cost is covered by a U.S. Department of Energy grant from the Grid Resilience State And Tribal Formula Grants program.
Who stands to benefit from the upgrades?
Entergy said approximately 1,900 residential, commercial and industrial customers will benefit, including service to the Sewerage & Water Board power complex.
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