Louisiana’s Path to Economic Prosperity and Energy Dominance Runs Through Free Markets

Earlier this month, Entergy Louisiana broke ground on two of three new gas-fired power plants designed to serve Meta’s $10 billion AI-optimized data center in Richland Parish. That project is just one of more than 200 major industrial investments now in Louisiana’s pipeline—and nearly all have the same top concern: access to reliable, affordable electricity.

Louisiana stands at a critical inflection point. Demand for power is rising dramatically across the U.S. and here at home, driven by new manufacturing, steel production, data centers, hydrogen facilities, LNG expansion, and the long-term electrification of transportation and buildings. Yet our electric system, which is built on model dominated by big monopoly utilities—is not keeping pace.

Tens of thousands of people were impacted by not one but two rolling blackouts earlier this year. Meanwhile base rates for Entergy Louisiana customers are projected to rise 90% between 2018 and 2030, as ratepayers are forced to absorb an endless stream of new surcharges for storm recovery, transmission projects, and generation built primarily for industrial customers. At the same time, Louisiana ranks 43rd nationally in renewable generation, leaving global companies with fewer options to meet increasingly stringent clean-energy procurement requirements. The result is a system that is straining families, deterring investment, and threatening Louisiana’s competitiveness at the worst possible moment.

A New Task Force Responds to a Growing Challenge

This is the backdrop for Senate President Cameron Henry’s creation of the Task Force on Energy Infrastructure and Modernization—a bipartisan, stakeholder-driven effort charged with developing real solutions to ensure Louisiana has enough power to meet the coming surge in demand.

Its mission is straightforward: keep the lights on, keep bills down, and keep Louisiana open for business.

As Louisiana Economic Development Secretary Susan Bourgeois put it:

“A modern, reliable and affordable electric grid is foundational not only for attracting new investment but also for supporting existing industries.”

Senate President Henry was even more direct:

“Our economic development opportunities are dependent upon having reliable power. We can’t have all of our projects be beholden to or held up by whether utilities can meet demand. That’s not fair to the taxpayers of Louisiana.”

The Task Force—chaired by Sen. Beth Mizell—is not a venue for conflict. It is a collaborative forum bringing together utilities, regulators, industry leaders, and consumer advocates to evaluate the biggest barriers to growth and identify practical, market-oriented reforms.

What the Task Force Is Exploring

Members are examining solutions that would diversify supply, reduce strain on the central grid, and ensure major industrial users help finance the infrastructure they require. These include:

• Industrial microgrids and onsite generation
• Self-generation and direct power procurement
• Merchant generators serving co-located loads
• Overhauling Louisiana’s slow, outdated permitting process
• Competitive options that reduce costs for residential customers

Industry leaders emphasized that more choice and consumer options is key. As ExxonMobil’s Randy Young explained:

“If you can develop models that allow companies to purchase power without owning or leasing generation, that unlocks new opportunities to bring generation to Louisiana that isn’t just through 

Why Free Markets Must Guide the Path Forward

At the Pelican Institute, we believe abundant, affordable energy comes from competition, not monopoly protectionism. When companies can self-generate, co-generate, or contract directly with competitive suppliers:

• Private capital—not captive ratepayers—finances new generation;
• Pressure on the central grid decreases;
• Industrial costs fall; and
• Residential customers stop footing the bill for billion-dollar projects built for someone else.

Louisiana has an extraordinary opportunity to modernize its electricity market and reclaim our leadership in energy. But doing so requires policymakers to embrace market-driven reforms and reject the status quo that is failing consumers and holding back economic growth.

A Once-in-a-Generation Chance to Get This Right

As the Task Force develops recommendations for the Legislature by March 1, 2026, Pelican urges members to stay focused on core free-market principles that will unlock investment and protect ratepayers:

• No new subsidiesthat distort markets or pick winners
• Remove regulatory barriersthat protect incumbents
• Increase transparencyso costs are understood and justified
• Let competition—not central planning—drive infrastructure decisions.

Louisiana has the natural resources, the workforce, and now the political will to build a more reliable, affordable, and resilient electric system. The Task Force on Energy Infrastructure and Modernization provides an opportunity to establish a comprehensive, competitive energy strategy but it’s up to us—citizens, ratepayers and stakeholders—to help ensure they get it right.

If the Task Force delivers bold, pragmatic reforms rooted in free-market competition, Louisiana can turn today’s energy crunch into tomorrow’s competitive advantage. This effort is not about ideology—it’s about results: more megawatts, faster deployment, greater resilience, and lower long-term costs. A modern grid is not just energy policy, it is the foundation of Louisiana’s next economic boom.