County Executive Discusses TVA Response to Data Center Energy Concerns

According to a statement from County Executive David Morgan, the Tennessee Valley Authority is working to address concerns about the impact data centers could have on residential power costs across the Tennessee Valley.

Morgan said he contacted Association of Tennessee Valley Governments Executive Director Mike Arms following confirmation April 1 of a proposed data center location on Flatwoods Road.

According to the statement, county government was not involved in negotiations regarding the proposed project.

Morgan said TVA is considering creation of a separate rate class for data centers to help ensure additional electrical demand costs are borne by those facilities rather than residential customers. TVA is expected to discuss possible actions with its board of directors no earlier than August.

The statement referenced comments from TVA spokesman Scott Brooks to Knoxville television station WATE, saying TVA wants to ensure local power systems can handle additional electrical demand “without putting a strain or an additional burden on their customers.”

According to Morgan, the proposed Lawrence County data center is projected to use approximately 5 megawatts of power. He also stated the substation expected to serve the project has a 150-megawatt capacity and is currently using about 40 megawatts.

Morgan also noted he serves on the Association of Tennessee Valley Governments board representing Middle Tennessee.