Name: A Lawsuit Challenges the Tennessee Valley Authority’s New Program of ‘Never-Ending’ Contracts - Inside Climate News
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A Lawsuit Challenges the Tennessee Valley Authority’s New Program of ‘Never-Ending’ Contracts - Inside Climate News

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Editor’s note: This story has been updated to reflect an announcement on Wednesday by Memphis Light, Gas and Water regarding its relationship to the TVA.municipal power companies serving cities like Nashville, Knoxville and Chattanooga into signing new contracts that, unlike previous ones, would prevent them from ever again negotiating with TVA for cheaper, cleaner electricity, the lawsuit claims in federal court in Memphis.&nbsp;weakening by shortening and limiting environmental reviews.TVA spokesman Scott Brooks responded that the contracts are long-term partnerships developed at the request of its local power company partners. They are “completely voluntary” agreements that provide their customers an annual 3.1 percent discount on wholesale power rates, as well as the flexibility to self-generate a portion of their own power, primarily through renewable energy, Brooks said.&nbsp;for access to more renewable electricity. In cities like Nashville and Knoxville, mayors had pledged to support the emissions-cutting goals of the Paris climate agreement but found themselves at the mercy of TVA.&nbsp;While some environmentalists urge TVA to move away from nuclear power, TVA likes to point to its overall “carbon-free” power supply, which includes nuclear and hydroelectric. It expects its carbon-free electricity to increase from 56 percent of its generation this year to 61 percent by 2030.Eventually, power providers in Nashville, Knoxville and Chattanooga, after raising questions about the new contracts, agreed to sign them.&nbsp;But the utility in Memphis continues to study whether it should breakaway, and in recent weeks, TVA has been&nbsp;sweetening&nbsp;the pot with financial incentives for the city-owned utility there. On Wednesday, J.T. Young, president and CEO of Memphis Light, Gas and Water,&nbsp; said the utility would go on the open market to seek power supply bids to test a study that found it could save on average $122 million a year for 20 years if it broke away from TVA.“These types of decisions do not need to be made hastily,” Young told his board. “They have long term implications.”ICN provides award-winning climate coverage free of charge and advertising. We rely on donations from readers like you to keep going.Inside Climate News uses cookies. By continuing to use this site, you accept this policy.Accept

Editor’s note: This story has been updated to reflect an announcement on Wednesday by Memphis Light, Gas and Water regarding its relationship to the TVA.municipal power companies serving cities like Nashville, Knoxville and Chattanooga into signing new contracts that, unlike previous ones, would prevent them from ever again negotiating with TVA for cheaper, cleaner electricity, the lawsuit claims in federal court in Memphis.&nbsp;weakening by shortening and limiting environmental reviews.TVA spokesman Scott Brooks responded that the contracts are long-term partnerships developed at the...

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A Lawsuit Challenges the Tennessee Valley Authority’s New Program of ‘Never-Ending’ Contracts - Inside Climate News

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