Erath moves one step closer to building its own electrical substation

ERATH — The town of Erath has taken two important steps to reduce the electricity bills that residents have been complaining about for years.
At this month’s August city council meeting, the council voted to introduce an ordinance that would allow the town to approve receiving an $800,000 grant that would be used to purchase LED lighting.
Erath residents pay an added monthly fee on their bill to help cover the town’s electrical bill for street lighting.
Mayor Taylor Mencacci said the LED lights will be paid for with $800,000 from the  Louisiana Department of Natural Resources. Having LED lighting will save the town money because the lights will burn less electricity, which in turn will save the residents money, Mencacci explained.
Then, the council had to approve another introduction ordinance for the town to borrow around $1.3 million to help pay for an electrical substation it will be building over the next 10 months. The total price to build the new electrical substation will be around $3 million. The town is having to borrow $1.3 million and the rest of the $3 million be paid for by a grant.
The Entergy substation is located on Lastie Road (the old La. 14). The town was leasing the land where the Entergy electrical substation is located. When Erath’s new electrical substation arrives, Entergy will remove its equipment and the town will purchase the land from Entergy and will put its new electrical equipment.
By April of next year, Erath should be using its new electrical substation.
 According to Erath Mayor Taylor Mencacci, having its electrical substation would allow the town to buy electricity at a cheaper rate, which is good news for Erath residents. There would be no middleman, he said.
Abbeville residents also do not have a “fuel charge” on their electricity bill. They have a flat rate. When Erath builds its electrical substation, the words “fuel charge” would go away on people’s bills, Mencacci said.
In the past, municipalities like Erath, tried to negotiate the lowest rate possible with companies like Cleco, Slemco or Entergy.
That is where Erath is today. They are shopping around for the lowest electrical rate possible and running into a snag. Large electrical companies are not offering cheaper rates.
“We have to continue this route to lower the cost of electricity for Erath residents,” the Mayor explained to the audience at the end of the city council meeting.