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TVA, several local power companies tapped for $250M grant


TVA, several local power companies tapped for $250M grant

TVA along with 10 local power companies were selected for a $250 million grant from DOE's Grid Resilience and Innovation Partnerships (GRIP) Program to fund 84 energy security projects to ensure local communities have access to affordable, reliable and clean electricity. Of those 10 power companies, seven are based in Mississippi:

The investment will help increase grid capacity up to 2,400 megawatts, mitigate extreme weather risks, and speed development of thousands of megawatts of solar and up to 800-megawatts of wind power. These initiatives will have a direct benefit to communities and people across the region.

"We are excited that our coalition has been selected to begin negotiations with DOE's Grid Deployment Office," said Jeff Lyash, TVA President and CEO. "TVA is a clean energy leader, and as our dependency on clean electricity grows, this coalition will leverage this historic funding opportunity to accelerate the delivery of affordable, reliable, and carbon-free energy to the communities we serve. This investment will improve the way we deliver clean energy, while driving greater regional economic prosperity. This is an opportunity to work together with LPC partners to transform our systems and continue our mission of powering growth across the region."

"DOE's Grid Resilience and Innovation Partnerships program continues to prioritize awardees who value middle-class sustaining careers and benefits for their workforces," said Sean McGarvey, President of North America's Building Trades Unions. "Today's selection of the Tennessee Valley Authority under GRIP will not only benefit ratepayers but the strong unionized workforce which continues to strive every day to provide the Tennessee Valley with the power it demands. Our members are proud to continue our decades long partnership with TVA and look forward to improving the resilience of their power systems."

The anticipated outcomes and benefits of the $250 million investment:

* Power grid - Add up to 2,400 megawatts of transmission grid capacity,

reduce TVA's solar interconnection queue, reduce outage times and create

the first interconnection tie between TVA and the Southwest Power Pool,

providing up to 800 megawatts of wind energy.

* Reliability/community - Provide an anticipated 94% reduction in localized

outage durations, providing 360 disadvantaged communities with an

estimated $250 million in economic benefit, with about 50% of the project

benefits flowing directly to disadvantaged communities, in line with the

Justice40 Initiative.

* Job creation - Create approximately 800 jobs over five years, of which 99.7%will be union construction labor. TVA pledges a 33% apprenticeship rate, boosting apprentice wages, and increased engagement with businesses majority owned or controlled by underrepresented groups.

TVA believes this funding is critical as the region's population is growing three-times faster than the national average. In 2023, the region's GDP grew at 3% versus the national average of 2.5%. In addition, the University of Tennessee's Baker School, projects the region's population is expected to grow 22% by 2050.

"The sustained growth across the region calls for innovative solutions to add transmission and distribution capacity to benefit everyone we serve," Lyash said. "With nearly 60% carbon-free generation, we know we can do more, faster."

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