New Orleans Approved Backup Battery Program
The City Council authorized a $26.6 million initiative to enhance residential grid resilience.
Updated on Oct. 1, 2026 in Electric Vehicles
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New Orleans officials have approved a $26.6 million backup battery program funded by an Entergy settlement. This initiative creates a virtual power plant network designed to bolster residential resilience during grid outages.
Why it matters
The program provides critical energy security for residents while utilizing legal settlement funds to offset the high costs of home battery systems. By incentivizing participation, the city aims to maintain essential power during service interruptions.
A single battery, priced at $18,500, can power a home for six to 12 hours without solar. Participants receive $500 annually, with subsidies covering 98% of installation costs for low-income households and over 75% for wealthier ratepayers.
The players
New Orleans City Council
This local governing body holds legislative authority over the city's utility regulations and public policy implementation.
Entergy New Orleans
This is the primary electric utility provider responsible for the delivery and management of power throughout the city.
The details
The program will support 400 low-income households, 250 businesses, and 800 other residential participants. Homeowners will sign contracts with third-party battery owners to manage the network of backup storage.
Timeline
Advocacy groups proposed the virtual power plant in 2024.
City Council approved the program rules on September 24, 2026.
Entergy is required to draft an implementation plan in October 2026.
Entergy will propose a program launch date by March 2027.
Roadmap
This initiative signals a shift in the automotive and energy sectors toward decentralized vehicle-to-grid and residential storage solutions. It positions New Orleans alongside cities leveraging batteries to offset legacy grid reliance as electric vehicle adoption grows.
Eligible residents can access significant subsidies to lower the cost of purchasing and installing home battery backups. Participants will also receive annual payments, helping offset the out-of-pocket costs associated with energy resilience technology.
The takeaway
This program transforms residential homes into a collective energy safety net that helps bridge the gap during power outages. Residents interested in long-term resilience should monitor upcoming city guidance regarding enrollment and eligibility requirements.
What happens next
Entergy is expected to present a formal program launch date to the City Council by March 2027.
Further reading
Learn more about local clean energy initiatives in the Electric Vehicles section.
Live Poll
Should your local government fund backup battery programs to prevent power outages in your community?
