Cameron LNG, Entergy Louisiana advance renewable energy service agreement

Source: press release, 7 December 2022

Cameron LNG, a 13.5 million tonnes per annum (Mtpa) liquefied natural gas export facility operating in Hackberry, Louisiana
Cameron LNG, a 13.5 million tonnes per annum (Mtpa) liquefied natural gas export facility operating in Hackberry, Louisiana (photo: Cameron LNG)

Cameron LNG has announced it has entered into a memorandum of understanding (MoU) with Entergy Louisiana, LLC to negotiate the terms and conditions for a new electric service agreement (ESA) to reduce Cameron LNG’s Scope 2 emissions from the electricity it purchases from Entergy Louisiana.

“Entergy Louisiana is a critical partner in our efforts to reduce our overall direct and indirect GHG emissions. Cameron LNG strives to provide its customers with LNG that has the lowest possible emissions intensity,” says Whit Fairbanks, president of Cameron LNG. “The MoU we have signed allows us to memorialise an agreement to bring on enough renewable power to offset the emissions for our facility, including the Train 4 expansion, when all renewable generations phases are added to the supply portfolio.”

“We’re proud to partner with Cameron LNG on this agreement,” says Phillip May, Entergy Louisiana president and CEO. “Strong businesses lead to a stronger Louisiana for us all. Our customers are continuously seeking carbon-reduction options, and this is another example of us working with an industry leader to meet their own goals as well as our own.”

The MoU is non-binding and sets forth a framework for Entergy Louisiana and Cameron LNG to finalise and sign a minimum 20-year long-term agreement for the procurement of new renewable generation resources in Louisiana over an agreed-upon timeframe, subject to the ultimate approval of the Louisiana Public Service Commission and Cameron LNG. The new electric service agreement is expected to be developed together with a new, renewable tariff option that will be filed for Commission review and approval in the coming months. This new tariff along with Entergy Louisiana’s recently approved optional Geaux Green tariff program will provide customers the opportunity to reduce their scope 2 emissions by subscribing to new renewable generation resources.

Cameron LNG, a 13.5 million tonnes per annum (Mtpa) liquefied natural gas export facility operating in Hackberry, Louisiana, is working with its joint venture partners to develop a cost-effective and lower-emission potential expansion of the facility. The proposed Cameron LNG expansion would include an additional liquefaction train with a maximum production capacity of approximately 6.75 Mtpa that is planned to utilise electric compression, equivalent to adding approximately 300 megawatts (MW) of demand to the Entergy Louisiana system.

Entergy has been an industry leader in voluntary climate action for more than two decades. In 2001, the company was the first US electric utility to commit to voluntarily stabilising greenhouse gas emissions. That goal has since been accelerated with a commitment to achieving net-zero carbon emissions by 2050.