Mississippi (US-MS)
Market Type: Deregulated (Retail Choice)
SSS Relevance: ⭐⭐⭐ High
Grid Carbon Intensity: ~417 gCO₂/kWh
SSS Factors: significant nuclear capacity, hydroelectric resources, no mandatory RPS, regulated market structure
1. Overview
Mississippi's electricity market is characterized by a regulated monopoly structure with a heavy reliance on natural gas. As of 2024–2025, natural gas accounts for approximately 78% of the state's in-state generation, followed by nuclear energy at 14% [2]. The state is a net exporter of electricity, yet it ranks among the top 10 states for per capita electricity sales due to high demand for air conditioning and electric heating [1].
The electric power sector in Mississippi has a carbon intensity of roughly 417 gCO2eq/kWh, which is slightly higher than the U.S. average of approximately 818 lbs/MWh [1]. Low-carbon sources, including nuclear, solar, and wind, comprise about 20% of the total generation mix, while the electric power sector emits approximately 27.9 million metric tons of CO₂ annually [1].
Renewable energy generation remains a small but growing segment of the market, accounting for 4% of total net generation in 2024. This represents an increase from previous years, driven by utility-scale solar expansion and the state's first utility-scale wind farm, the Delta Wind Farm, which opened in April 2024 [3]. Within the renewable mix, solar contributes roughly 2.1% of total generation, biomass accounts for 1.7%, and wind represents 0.5% [3].
Market oversight is provided by the Mississippi Public Service Commission (PSC), and major utilities include Entergy Mississippi, Mississippi Power, and the Tennessee Valley Authority (TVA) [2]. While average retail electricity rates are approximately 13.46¢ per kWh—nearly 20% lower than the national average—average residential bills are higher ($159.63) due to elevated consumption levels [2]. Future trends include a mandate for Mississippi Power to reduce fossil fuel generating capacity by 950 MW by the end of 2027 and continued interest in new nuclear technologies [2].
2. Market Structure
Mississippi operates under a traditionally regulated monopoly model and does not offer retail choice for electricity. Residential and small commercial customers must purchase power directly from the utility assigned to their service area, as the state lacks a deregulated retail market 12.
The utility landscape is divided into three primary categories:
- Investor-Owned Utilities (IOUs): Privately owned corporations regulated by the Mississippi Public Service Commission (MPSC). Major providers include Entergy Mississippi (serving western Mississippi) and Mississippi Power, a Southern Company subsidiary serving 23 counties in the southeast 3.
- Electric Cooperatives: Non-profit member-owned organizations, largely established to serve rural areas. There are 17 distribution cooperatives in the state, supported by Generation and Transmission cooperative Cooperative Energy 34.
- Municipally-Owned Utilities: Publicly owned systems operated by local city governments. Approximately 25 such systems exist in the state, such as the City of Collins 54.
While the retail market is regulated, Mississippi participates in competitive wholesale markets. The state's grid is primarily managed by the Midcontinent Independent System Operator (MISO), specifically the "MISO South" region, which integrated the state's major transmission systems starting in December 2013 65. A secondary presence of the Southwest Power Pool (SPP) also serves portions of the state 5. Regulatory oversight of rates and service is provided by the Mississippi Public Service Commission (MPSC), supported by the independent analysis of the Mississippi Public Utilities Staff (MPUS) 25.
3. Clean Energy Policy
Mississippi does not have a statewide Renewable Portfolio Standard (RPS) or a mandatory net-zero climate goal 7. Instead, the state utilizes an "all-of-the-above" energy strategy and relies on voluntary utility commitments to drive clean energy development 8.
Legislative Framework and Definitions
The state legislature has focused on protecting existing fossil fuel infrastructure while defining "clean energy" for future incentives:
- All Fuels Act of 2021: Prevents local governments from banning specific energy services, such as natural gas hookups, to protect consumer choice [1].
- Mississippi Energy Security and Agricultural Growth Act (2026): Proposed legislation (HB 1534 and SB 2922) defines permissible "clean energy" sources to include solar, wind, nuclear, hydrogen, and Renewable Natural Gas (RNG) from agricultural waste. The act mandates that clean energy investments must be the least-cost option for ratepayers and prohibits the forced retirement of natural gas infrastructure if it raises consumer rates [1].
Utility and State Initiatives
Despite the lack of mandates, major electric utilities have established voluntary corporate targets:
- Entergy Mississippi: Committed to achieving net-zero emissions by 2050, with an interim goal of sourcing nearly one-third of power from renewables by 2027 9.
- Mississippi Power: As a subsidiary of Southern Company, it follows an enterprise-wide goal of net-zero emissions by 2050 [2].
- Tennessee Valley Authority (TVA): Targets net-zero emissions by 2050, with a 70% reduction from 2005 levels by 2030 [2].
State-level strategies include the Priority Climate Action Plan (PCAP), developed by the Mississippi Department of Environmental Quality to identify voluntary greenhouse gas reduction measures [2].
Incentives and Programs
- Net Metering: Administered by the Public Service Commission (PSC), this program allows solar owners to receive bill credits for excess energy. In 2022, it was expanded to include $3,500 rebates for low-to-moderate-income customers [1]. Mississippi Power also utilizes the RENM-3 rate schedule [3].
- Mississippi Clean Energy Initiative: Offers a 10-year exemption from state income and franchise taxes for manufacturers of clean energy components (e.g., solar panels, wind turbines) that invest at least $50 million and create 250 jobs [1].
Current Energy Mix
Mississippi's electricity generation remains heavily reliant on fossil fuels:
- Natural Gas: Accounts for approximately 78% of in-state net generation [2].
- Nuclear: The second-largest source, providing roughly 14% of electricity [2].
- Renewables: Account for less than 1% of total generation. While Mississippi ranks 37th in installed solar capacity despite being the 13th sunniest state, the PSC has approved major solar projects since 2020 to increase capacity based on market costs 10. Mississippi is one of only three states with no utility-scale hydroelectric facilities [1].
4. Utility Landscape
Mississippi's electricity market is served by a mix of investor-owned utilities (IOUs), electric cooperatives, and municipal utilities. Cooperatives and municipal utilities collectively serve approximately 50% of the state's electric meters 11.
Investor-Owned Utilities (IOUs) The state has two primary electric IOUs regulated by the Mississippi Public Service Commission:
- Entergy Mississippi: A subsidiary of Entergy Corporation, it is the state's largest electricity provider, serving approximately 459,000 to 461,000 customers across 45 counties in western and central Mississippi 12.
- Mississippi Power: A subsidiary of Southern Company, it serves roughly 191,000 customers across 23 counties in southeast Mississippi and provides wholesale power to several large cooperatives 13.
Electric Cooperatives There are 25 to 26 electric distribution cooperatives (often called Electric Power Associations or EPAs) operating in the state 14. These are member-owned, not-for-profit entities.
- Cooperative Energy: The state's only generation and transmission (G&T) cooperative, supplying wholesale power to 11 member distribution cooperatives. It reported approximately $761.4 million in revenue for 2026 15.
- TVA Districts: 14 cooperatives in central, eastern, and northern Mississippi receive wholesale power from the Tennessee Valley Authority (TVA) 11.
- Leading Distribution Cooperatives: Other major cooperatives include Coast Electric Power Association (Gulf Coast, >$232M revenue), Southern Pine Electric (>$220M revenue), and Singing River Electric Cooperative (~$186M revenue) 16.
Municipal Utilities City-owned entities provide electricity within specific limits, with many coordinating through the Municipal Energy Agency of Mississippi (MAEM). While the Mississippi Public Service Commission provides state-level oversight and maintains service maps, these utilities are locally governed by city councils or boards 17.
5. SSS-Eligible Resources
| Resource | Type | Capacity (MW) | SSS Eligible | Notes |
|---|---|---|---|---|
| Grand Gulf Nuclear | Nuclear | 1,500 | ✅ Yes | Operating nuclear |
| Large Hydroelectric (aggregate) | Hydro | 157 | ✅ Yes (pre-RPS) | Legacy hydro facilities |
| existing capacity is derived from conventional | Hydro | 157 | ✅ Yes (pre-RPS) | Legacy hydro |
6. EAC/REC Registry Infrastructure
Mississippi does not have a mandatory Renewable Portfolio Standard (RPS) or a state-specific Renewable Energy Certificate (REC) tracking system. Instead, the state relies on voluntary regional registries to track Energy Attribute Certificates (EACs), commonly referred to as RECs in the United States 1819.
Primary Tracking Systems
- North American Renewables Registry (NAR): Operated by Xpansiv (formerly APX), NAR is the primary tracking platform for renewable energy projects in Mississippi. It serves as the default registry for states without a dedicated regional system, issuing unique, serialized certificates for every megawatt-hour (MWh) of renewable energy generated 201919.
- Midwest Renewable Energy Tracking System (M-RETS): Although originally focused on the Midwest, M-RETS accepts generators from across the U.S. and Canada. It is frequently used by entities in Mississippi for voluntary REC transactions and unbundled RECs 1821.
Registry Functions
These electronic databases manage the lifecycle of RECs to prevent double-counting:
- Issuance: One certificate is issued for every 1 MWh of renewable energy generated 22.
- Transfer: Certificates can be traded or sold between account holders, such as utilities, brokers, and corporations 21.
- Retirement: Certificates are canceled or "retired" when a company claims the renewable energy for sustainability goals (e.g., RE100 or SBTi) to prevent reuse 21.
Oversight and Participation
While there is no state-run registry, the following entities oversee relevant policy and interconnection:
- Mississippi Public Service Commission (MPSC): Regulates public utilities and manages the Mississippi Renewable Energy Net Metering Rule 11.
- Major Utilities: Entergy Mississippi and Mississippi Power participate in these registries to manage renewable assets and offer voluntary green power programs 23.
Certification Standards
For voluntary REC purchases in Mississippi, the Green-e® Energy program provides third-party certification to ensure RECs meet strict environmental and consumer protection standards 18.
7. Grid Emissions
Grid Carbon Intensity: 417 gCO₂eq/kWh (annual average)
Generation Mix
Scope 2 Reporting
- SB 253 requires Scope 2 reporting for companies >$1B revenue
Source: EPA eGRID, EIA, state regulatory filings
References
Sources & Last Updated
Research Date: 2026-03-10
Data Sources: EIA, EPA eGRID, state regulatory filings, SerpAPI research aggregation
This page was generated using automated research and may contain inaccuracies. Verify critical data with primary sources.