On Tuesday, the Mississippi Public Service Commission unanimously approved the sale of CenterPoint Energy’s natural gas utility assets that serve counties across the state of Mississippi to Delta Utilities, a core-focused natural gas company based in New Orleans. A joint application between the parties requesting approval of the sale was filed with the MPSC on April 25.

This approval authorizes CenterPoint Energy’s regulated natural gas utilities, which serve approximately 135,000 customers across Mississippi, to be acquired by Delta Utilities. The transaction is expected to close in the first quarter of 2025, after other conditions to close are met, at which time Delta Utilities will take ownership and operation of the systems. Approval of the sale does not change gas service or billing for CenterPoint Energy gas customers, and no action is required of customers at this time.

“This approval expands on our ability to deliver safe, reliable and affordable natural gas service to thousands of customers in the near future and to further establish a large, core-focused natural gas utility headquarters in the Gulf South region. We thank the Mississippi Public Service Commission for conducting a diligent regulatory review process and are both ready and eager to begin serving customers across the state of Mississippi after the transaction closes. In the meantime, the Delta Utilities team remains focused on preparing for a seamless transition of service for customers and working with regulators to ensure affordable natural gas service remains available — a key component to increasing community resilience,” said Tim Poché, CEO of Delta Utilities.

The sale includes transferring all of CenterPoint Energy’s natural gas utilities and operations in Mississippi, as well as guaranteeing job offers at Delta Utilities to all local employees who primarily work within the Mississippi gas division.

As detailed in the application to the MPSC, there will be no changes to rates for customers in connection with this approval. Delta Utilities has proposed to “step into the shoes” of CenterPoint Energy and is committed to continuing to operate under the utilities’ existing rates and rate schedules. These commitments will ensure continued rate stability for customers for a significant amount of time.

This transaction is a key piece of Delta Utilities’ vision to create a leading, multi-state utility with a core focus on delivering safe, reliable and affordable natural gas service. The Louisiana Public Service Commission recently approved the sale of CenterPoint Energy’s natural gas systems in Louisiana to Delta Utilities on November 20, in addition to approving the sale of Entergy’s natural gas utility in Baton Rouge to Delta Utilities in August 2024. An application for the sale of Entergy’s New Orleans natural gas distribution system is pending before the City Council of New Orleans.

When considering the CenterPoint Energy and Entergy acquisitions in combination, the Delta Utilities umbrella of regulated natural gas utility operations is set to become a $1.7 billion organization, serving nearly 600,000 customers across the Gulf South and among the top 40 natural gas providers in the U.S.