OAK RIDGE, Tenn. (WOKI / WVLT) — The U.S. Department of Energy has announced a major investment aimed at improving electric grid reliability, reducing congestion and supporting future growth across the Tennessee Valley Authority service area.
The award to TVA totals approximately $581 million, including $250 million in federal funding and roughly $331 million in matching applicant cost-share funding. The funding will support 84 transmission and distribution projects across eight states served by TVA, including Tennessee.
According to DOE officials, the projects are expected to add approximately 2.5 gigawatts of grid capacity, helping strengthen the electric system, reduce the risk of outages and improve resilience during periods of high demand and severe weather.
Federal officials said the investment is expected to benefit approximately 2.58 million families and businesses by providing more affordable, reliable and secure electricity. The projects are also projected to support about 800 jobs.
“These investments with TVA will help reduce congestion, improve efficiency, and make better use of our existing transmission system to lower costs for ratepayers while delivering affordable, reliable, and secure energy essential to American prosperity,” said U.S. Deputy Secretary of Energy James P. Danly.
The funding builds on TVA’s previously selected SPARK project. DOE officials said the combined investments represent nearly $741 million in planned grid improvements, including about $330 million in federal support.
Together, the projects are expected to add more than 4,300 megawatts of additional electric capacity, helping meet increasing demand from growing communities, businesses and industrial development throughout the Tennessee Valley.
“America’s electric grid cannot become a roadblock to economic growth,” said Office of Electricity Assistant Secretary Katie Jereza. “By bringing TVA and local utilities together, we’re helping reduce costly outages and deliver more power where it’s needed.”
The Department of Energy emphasized that final federal funding levels, project schedules and overall scope remain subject to completed agreements, environmental reviews, permitting requirements, regulatory approvals and Tribal consultation processes.
TVA, headquartered in Knoxville, serves more than 10 million people across seven southeastern states and continues expanding its transmission network as energy demand grows throughout the region.
