Entergy Louisiana, LLC (South) & Entergy New Orleans, Inc. Proposed Transmission Reliability Projects

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Entergy Louisiana, LLC (South) & Entergy New Orleans, Inc. Proposed Transmission Reliability Projects Entergy Transmission Planning Summit New Orleans, LA July 13, 2006 1

Approved 2006 2010 ELL-South Transmission Reliability Projects Loblolly-Hammond: Build 230kV line (2009 ISD) Hammond-Amite: Convert to 230kV (2007 ISD) DSG Planned Carryover Phase I (completed 2004) Phase II (complete 2005) Phase III (2010 ISD) Improve ASI Capability: Planned Carryover Phase I - Conway-Panama (complete) Phase II- Panama-Dutch Bayou (2010 ISD) Phase III- Coly-Vignes (2010 ISD) Conway-Bagatelle(2010 ISD) Peters Rd-Oakville : Build 230kV line & Station (2010 ISD) Ninemile: Replace 4 breakers (2006 ISD) Oakville-Alliance: Build 230kV line & Auto (2010 ISD) 2 ELL-South

Hammond-Independence-Amite 115kV: Convert to 230kV Scenario: 2005-07 The Hammond-Independence-Amite 115kV line is limited by the Hammond 230/115 kv, 168 MVA autotransformer and an 800 Amp circuit breaker at Amite. This circuit overloads for a single contingency loss of the Franklin- McKnight 500kV line or the loss of the Bogalusa-Franklinton 115 kv line. Recommended Solution: Convert the Hammond-Independence-Amite 115 kv line to 230 kv operation (line constructed to 230kV) and build a new Independence 230kV substation. Install a 230/115 kv, 400MVA autotransformer at Amite and remove the autotransformer at Hammond. NOTE: This project needs to be in place prior to the Loblolly-Hammond 230kV line. Otherwise, overloads cited above will be exacerbated. Estimated Cost: $18 MM 3 ELL-South

Hammond-Independence-Amite 115kV: Convert to 230kV To Franklin To Fancy Point McKnight To Coly Convert to 230kV To SOCO s Plant Daniel 4 ELL-South

Loblolly-Fairgrounds-Hammond: Construct 230 kv Substation and Line Scenario: Entergy s transmission system north of Lake Pontchartrain is primarily supported from the ELL 230kV system between Willow Glen and Waterford. Loss of the Franklin-McKnight 500kV line, or certain other transmission contingencies, causes overloads on the underlying transmission system, primarily on the Gypsy-Madisonville 230kV line. Adding another 230kV source from a location north of Willow Glen reduces loading on the existing system and improves load serving capability north of Lake Pontchartrain and into south Mississippi. Recommended Solution: Convert Coly Loblolly 69 kv (constructed for 230kV) to 230 kv operation. Construct ~23 miles of 230kV line from Loblolly to Hammond. Tie Coly-Loblolly line into new Loblolly-Fairgrounds-Hammond 230 kv line. Construct Fairgrounds 230/69 kv substation and ~ ¾ mile 69 kv line to Fairgrounds 69 kv substation. NOTE: This line cannot be connected until the Hammond-Amite line is converted to 230 kv operation. Estimated Cost: $36 MM 2006-09 5 ELL-South

Loblolly-Fairgrounds-Hammond: Build 230 kv Line To Franklin To Fancy Point McKnight To Coly Build new 230/69kV Fairgrounds substation To SOCO s Plant Daniel Loblolly Build new 230kV line 6 ELL-South / EGSI-LA

7 General Direction of Power Flows in the Amite South Area

2003-10 Scenario: ASI Improvement Plan - Phases 2 & 3 The Amite South Import (ASI) capability has been approximately 2,100 MW during the summer operating season. When generation in the Amite South area is low, loss of the Waterford Willow Glen 500 kv line is most severe contingency. When the above event occurs, the Conway Bagatelle line is the most limiting transmission line that establishes the ASI capability. Phase I (Conway-Panama) was completed in 2005 and increased the ASI capability to approximately 2,450 MW. The construction of Conway-Panama effectively mitigated the Conway Bagatelle limit. Recommended Solution: Based on current load forecasts, Phases 2 and 3 will need to be completed for reliability by 2015 or by 2010 for economics. The 2006 LPSC Transmission Study will determine if performing Phases 2 & 3 will provide economic benefits sufficient enough to advance the in-service dates earlier than 2010. 8 ELL-South / EGSI-LA

2010 ASI Improvement Plan - Phase 2 Build 230kV line Panama 9 ELL-South

2010 Coly ASI Improvement Plan - Phase 3 Vignes Upgrade 230kV line Upgrade 230kV line Panama 10 ELL-South / EGSI-LA

Scenario: Downstream of Gypsy (DSG) Area 2005-10 During high load conditions, the loss of certain generation within the DSG area results in inadequate voltage support and thermal overload to area lines. To address the voltage and thermal reliability issues, Entergy proposed the following projects. Recommended Solution: Phase 1, completed in 2004, installed one 151.2 MVAr capacitor bank at Ninemile 230kV and two 84.6 MVAr capacitor banks at Michoud 230kV. Phase 2, completed in 2005, constructed multiple projects across the DSG area. See next slides. Phase 3, including various upgrades, system reconfigurations and a voltage conversion in the DSG area. See next slides. Phase 3 is required for reliability by 2010. The 2006 LPSC Transmission Study, which will include the load loss impact of Hurricane Katrina, will determine if performing Phase 3 will provide economic benefits sufficient enough to advance the in-service dates earlier than 2010. 11 ELL-South / ENOI

2005 DSG Area Transmission Improvements Phase 2 12 Rebuild 230kV line from Gypsy-S. Norco-Prospect Replace underrated breakers and switches Upgrade portion of Waterford- Ninemile 230kV line Rebuild 230kV Ninemile-Waterford up to Churchill Junction Move Avondale line to new bay & rebuild 1.7 miles. Double circuit with Waggaman Install 300 MVAr SVC at Ninemile Relocate Southport ckt 1 to new bay at Ninemile Install 216 MVAr of capacitor banks at Behrman, Napoleon & Destrehan ELL-South / ENOI

2010 DSG Area Transmission Improvements Phase 3 Upgrade 115 kv line segment (Little Gypsy-Claytonia) Upgrade Waterford-Gypsy river crossing #2. Re-terminate reactor on to Waterford UCC 230kV line Reconfigure Hooker Waterford 230kV loop into Hooker Little Gypsy 230kV Upgrade / convert one Gypsy-Luling 115kV double circuit line segments to 230 kv from Waterford to Luling (bypass Luling) Convert Luling-Waggaman-Ninemile 115 kv to 230 kv. Replace underrated switches and breakers. Convert Waggaman Substation to 230kV. Replace under-rated 115kV breakers at Little Gypsy Rebuild Luling-American Cyanamid 115 kv Install 108 MVAr of capacitor banks at Paterson and Snakefarm 13 ELL-South / ENOI

Peters Road-Oakville 230kV: Build New Line and Substation 2008-10 Scenario: The primary transmission sources to lower Lafourche, Lower Jefferson, and Plaquemines Parishes are the Ninemile and Valentine substations. Although lower Plaquemines parish experienced heavy damage during Hurricane Katrina, it is expected that oil refining and pumping facilities in the area will be restored. Additionally, upper Plaquemines Parish, including Belle Chasse and the Naval Air Support facility, is experiencing growth. During a contingency loss of the Ninemile-Barataria 115kV or the Valentine-Clovelly 115kV lines, low voltage and line loading exists. Recommended Solution: Build a new 230kV substation at Oakville and a new radial 230kV line from Peters Road to Oakville Substation. Estimated Cost: $21.3 MM 14 ELL-South

Peters Road-Oakville 230kV: Build new line and substation Peters Rd. Oakville Build Build 230kV 230kV Line Line & Sub & Sub 15 ELL-South

Oakville-Alliance 230 kv: Build New Line 2008-10 Scenario: As described above Recommended Solution: Construct a new 230kV transmission line from Oakville substation to Alliance substation. Add a 150MVA 230/115kV auto at Alliance substation. The overload conditions under the single contingency condition will be eliminated by this new 230kV source to Alliance. This project also provides support for the Fourchon area. Estimated Cost: $35 MM 16 ELL-South

Oakville-Alliance 230 kv: Build new line Peters Rd. Oakville Build 230kV Line & Auto 17 ELL-South

Ninemile Substation: Replace 230kV Breakers 2006 Scenario: Based on asymmetrical fault current analysis, the following circuit breakers have been identified as underrated: Ninemile 230kV breaker # s S2025, S2042, S2045 & S2048 Recommended Solution: Replace identified breakers with IPO, 63kA breakers with 2 cycle interrupting time. Estimated Cost: $1.6 MM 18 ELL-South

ELL-South and ENOI Target Areas 2011 and Beyond Bogue Chitto: Build 500kV Switching Station and 500kV Line Golden Meadow - Fourchon: Build 115kV Line 19

Bogalusa-Daniel-McKnight: Build Bogue Chitto Switching Station & 500kV Line To Franklin To Fancy Point McKnight To Coly Build 500kV Switching Station & Line To SOCO s Daniel 20

Golden Meadow-Fourchon: Build 115kV Line Build 115kV Line 21