Entergy Texas, Inc. continues to navigate a complex regulatory environment that governs its cost recovery and rate-setting processes, particularly as it invests heavily to support large data center loads within its Texas service territory. The company’s participation in the Midcontinent Independent System Operator (MISO) regional transmission organization adds operational market complexities beyond traditional utility regulation. Key challenges include potential prudence reviews on capital expenditures, regulatory lag effects, and adapting to increasing penetrations of distributed energy resources. Growth is anchored by sustained load increases from major data center customers and ongoing infrastructure modernization.