Tennessee’s Power Producer Gets Lift From Cold Winter, But Still Cuts Jobs

Ice covers TVA's John Sevier gas plant in January. The agency set. Single-digit temperatures created record demand for power at the beginning of 2014. Image: TVA

Ice covers TVA’s John Sevier gas plant in January. Single-digit temperatures created record demand for power at the beginning of 2014. Image: TVA

Record cold this winter means the Tennessee Valley Authority sold more electricity to local power companies in the past six months. But the news comes as the federally owned utility is looking to make big cuts to its workforce.

TVA CEO Bill Johnson says providers like Nashville Electric Service and Middle Tennessee Electric bought 8 percent more power.

This was largely due to extremely cold weather, particularly in the second quarter, but it also reflects a small and encouraging sign of underlying improvement in the economy.”

Overall, TVA’s power sales are on a downward trend. The utility is looking to cut $500 million in expenses.  750 workers have already taken buyouts or early retirement; another thousand vacant jobs will remain unfilled. Johnson says involuntarily layoffs could come later this year.

Tags:
Please keep your community civil. Comments will be moderated prior to posting, and Nashville Public Radio reserves the right to approve them at its discretion. Comments containing links promoting goods, services - even noble organizations - will not be published. Your comments may include external links, but all comments with links will be delayed as they are reviewed. Comments containing profanity will be rejected.