NEWS RELEASE
TVA Launches Initiative to Strengthen Public Power COVID-19 Response
KNOXVILLE - The Tennessee Valley Authority announced Thursday an initiative
to support increased flexibility for local power companies who are responding to urgent community and customer needs during the ongoing response to the COVID-19 outbreak.
TVA will make up to a total of $1 billion of credit support available as an option to
local power companies through the deferral of wholesale power payments based on the
needs of individual local power companies.
“The impact of the COVID-19 outbreak on the communities we serve is
unprecedented and creates a degree of economic uncertainty in the weeks and months
ahead,” said TVA President and CEO Jeff Lyash.
“We recognize that we have a responsibility to leverage TVA’s resources and
expertise to provide local power companies the stability and flexibility to address the
unique challenges faced by their customers.”
Detailed plans will be customized for each participating local power company
based on individual needs and financial impacts. A portion of the local power company’s
monthly TVA wholesale power payments would be deferred for a period during the
ongoing COVID-19 response and an appropriate repayment plan will be put in place.
The new initiative builds on actions TVA has already taken to provide regulatory
flexibility to allow local power companies to halt disconnection of electric service and
respond quickly to their customers’ immediate needs.
“The strength of public power is a passionate commitment to serve people over
balance sheets,” said Lyash. “This is perhaps more critical today than it has ever been.”
“Just as they have through February flooding and March storm recovery, our TVA
team remains committed to working with all 154 of our local power company partners to
benefit the communities and customers we jointly serve, especially during these
challenging times.”
The Tennessee Valley Authority is a corporate agency of the United States that
provides electricity for business customers and local power companies serving nearly 10
million people in parts of seven southeastern states. TVA receives no taxpayer funding,
deriving virtually all of its revenues from sales of electricity. In addition to operating and
investing its revenues in its electric system, TVA provides flood control, navigation and
land management for the Tennessee River system, and assists local power companies
and state and local governments with economic development and job creation.
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Media Contact: Jim Hopson, Knoxville, 865-776-5651
TVA Media Relations, Knoxville, 865-632-6000
www.tva.com/news
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(Distributed: March 26, 2020)
