Reports related to this article:
Project(s): View 1 related project in PECWeb
Plant(s): View 5 related plants in PECWeb
Released June 26, 2025 | SUGAR LAND
en
Written by John Egan for Industrial Info Resources (Sugar Land, Texas) -- New-build nuclear and longer use of coal will be key elements of the energy future for the Tennessee Valley Authority (TVA) (Knoxville, Tennessee), alongside gas-fired generation and renewables. The agency's planned extended use of coal reverses a longstanding decarbonization effort.
On May 20, TVA became the first U.S. utility to submit a construction permit application (CPA) to the U.S. Nuclear Regulatory Commission (NRC). The agency wants to build a 300-megawatt (MW) small modular reactor (SMR) at its Clinch River site, near Oak Ridge, Tennessee. The proposed project plans to use the SMR reactor technology developed by GE Vernova Hitachi Nuclear Energy (Wilmington, North Carolina), the BWRX-300. Preliminary site preparation could begin in 2026, TVA said. For more on that, see May 30, 2025, article - TVA Seeks Construction Permit for Small Nuclear Reactor.
The TVA provides wholesale power to 153 local power companies located in in the agency's seven-state Southeastern U.S. service area.
The TVA has been investigating SMRs for more than a decade. One part of the agency's original plan was to build up to 800 megawatts (MW) of SMR generation at the Clinch River site, using the mPower reactors designed by Babcock & Wilcox (Akron, Ohio), at an estimated cost of about $2.6 billion. But Babcock & Wilcox terminated that reactor design project in 2017 after Bechtel (Reston, Virginia) left the consortium developing it. TVA then switched to reactors designed by GE Vernova Hitachi Nuclear Energy. Earlier this year, the project was downsized to one 300-MW SMR, at a projected cost of about $5.4 billion, according to IIR's Global Market Intelligence platform.
Sargent & Lundy LLC (Chicago, Illinois) is providing design engineering services for the Clinch River SMR project while Bechtel is providing engineering, procurement and construction (EPC) services. Assuming the NRC issues a permit, construction could begin in mid-2028, and the project could be generating emission-free electricity by the end of 2033.
"This is a significant milestone for TVA, our region and our nation because we are accelerating the development of new nuclear technology, its supply chain and delivery model to unleash American energy," Don Moul, TVA president and chief executive, said in a May 20 statement when the NRC permit application was filed.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more by viewing the project report.
The agency's Clinch River project is one of about 30 SMR projects being developed across the U.S., valued collectively at about $72.3 billion, according to IIR's Global Market Intelligence platform. TVA is developing several other SMR projects, as is Dominion Energy Incorporated (Richmond, Virginia). Other power companies are developing single SMR projects. These include: Duke Energy Corporation (Charlotte, North Carolina); Indiana Michigan Power Company (Fort Wayne, Indiana), a unit of American Electric Power Company (Columbus, Ohio); Nebraska Public Power District (Scottsbluff, Nebraska); and Energy Northwest (Richland, Washington), according to the intelligence platform.
Coal is expected to play a more important part of the TVA's future energy resource portfolio, reversing an extended effort to close coal-fired generators. In a May 1 earnings call, Moul said four coal-fired power plants scheduled to be closed by 2035 may continue "for the foreseeable future" as long as regulations permit it. The four plants in question are: Shawnee Power Station in West Paducah, Kentucky; Gallatin Power Station in Gallatin, Tennessee; Cumberland Fossil Power Station in Cumberland City, Tennessee; and Kingston Power Station in Harriman, Tennessee.
TVA originally announced its 2035 coal-fired plant retirement goals during the first year of former President Joe Biden's term. Part of those plans include retiring Kingston's coal-fired units by 2027 and both of the units at the Cumberland plant by 2028.
But all four of those plants, and potentially many more, could continue operating thanks to an April 8 executive order from President Donald Trump, which exempted coal-fired generators owned by 47 organizations from the requirements of the Mercury and Air Toxics Standards (MATS) program for two years. For more on that, see April 9, 2025, article -- Trump Executive Order Seeks to Reverse Decline of Coal.
In his April order, the president said the two-year extension was needed to prevent potential "electricity shortages, increased reliance on foreign energy and heightened vulnerability during crises." He blasted his predecessor's environmental record, saying it "jeopardize(d) America's energy reliability, economic vitality and national security."
All told, nearly 100 coal-fired units, over 33% of all U.S. coal-fired generation, received a two-year life extension under the April 8 executive order.
On the May 1 earnings call, TVA chief Moul said: "We're evaluating these executive orders with respect to coal and the regulatory environment. What I will tell you is that we are re-evaluating the end-of-life study that we did on our coal fleet and we're taking a hard look at our asset strategy with respect to what the regulatory environment is in front of us."
"Right now, we see Shawnee and Gallatin as a strong potential to continue to operate for the foreseeable future as long as we have the regulatory allowance," Moul continued. "We're going to take a close look at Kingston and Cumberland as well with respect to some of the regulatory environment right now. Effluent limitation guidelines, regulations are much more limiting [at Kingston and Cumberland], but more work to be done, and more decisions to be made in the future."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
On May 20, TVA became the first U.S. utility to submit a construction permit application (CPA) to the U.S. Nuclear Regulatory Commission (NRC). The agency wants to build a 300-megawatt (MW) small modular reactor (SMR) at its Clinch River site, near Oak Ridge, Tennessee. The proposed project plans to use the SMR reactor technology developed by GE Vernova Hitachi Nuclear Energy (Wilmington, North Carolina), the BWRX-300. Preliminary site preparation could begin in 2026, TVA said. For more on that, see May 30, 2025, article - TVA Seeks Construction Permit for Small Nuclear Reactor.
The TVA provides wholesale power to 153 local power companies located in in the agency's seven-state Southeastern U.S. service area.
The TVA has been investigating SMRs for more than a decade. One part of the agency's original plan was to build up to 800 megawatts (MW) of SMR generation at the Clinch River site, using the mPower reactors designed by Babcock & Wilcox (Akron, Ohio), at an estimated cost of about $2.6 billion. But Babcock & Wilcox terminated that reactor design project in 2017 after Bechtel (Reston, Virginia) left the consortium developing it. TVA then switched to reactors designed by GE Vernova Hitachi Nuclear Energy. Earlier this year, the project was downsized to one 300-MW SMR, at a projected cost of about $5.4 billion, according to IIR's Global Market Intelligence platform.
Sargent & Lundy LLC (Chicago, Illinois) is providing design engineering services for the Clinch River SMR project while Bechtel is providing engineering, procurement and construction (EPC) services. Assuming the NRC issues a permit, construction could begin in mid-2028, and the project could be generating emission-free electricity by the end of 2033.
"This is a significant milestone for TVA, our region and our nation because we are accelerating the development of new nuclear technology, its supply chain and delivery model to unleash American energy," Don Moul, TVA president and chief executive, said in a May 20 statement when the NRC permit application was filed.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more by viewing the project report.
The agency's Clinch River project is one of about 30 SMR projects being developed across the U.S., valued collectively at about $72.3 billion, according to IIR's Global Market Intelligence platform. TVA is developing several other SMR projects, as is Dominion Energy Incorporated (Richmond, Virginia). Other power companies are developing single SMR projects. These include: Duke Energy Corporation (Charlotte, North Carolina); Indiana Michigan Power Company (Fort Wayne, Indiana), a unit of American Electric Power Company (Columbus, Ohio); Nebraska Public Power District (Scottsbluff, Nebraska); and Energy Northwest (Richland, Washington), according to the intelligence platform.
Coal is expected to play a more important part of the TVA's future energy resource portfolio, reversing an extended effort to close coal-fired generators. In a May 1 earnings call, Moul said four coal-fired power plants scheduled to be closed by 2035 may continue "for the foreseeable future" as long as regulations permit it. The four plants in question are: Shawnee Power Station in West Paducah, Kentucky; Gallatin Power Station in Gallatin, Tennessee; Cumberland Fossil Power Station in Cumberland City, Tennessee; and Kingston Power Station in Harriman, Tennessee.
TVA originally announced its 2035 coal-fired plant retirement goals during the first year of former President Joe Biden's term. Part of those plans include retiring Kingston's coal-fired units by 2027 and both of the units at the Cumberland plant by 2028.
But all four of those plants, and potentially many more, could continue operating thanks to an April 8 executive order from President Donald Trump, which exempted coal-fired generators owned by 47 organizations from the requirements of the Mercury and Air Toxics Standards (MATS) program for two years. For more on that, see April 9, 2025, article -- Trump Executive Order Seeks to Reverse Decline of Coal.
In his April order, the president said the two-year extension was needed to prevent potential "electricity shortages, increased reliance on foreign energy and heightened vulnerability during crises." He blasted his predecessor's environmental record, saying it "jeopardize(d) America's energy reliability, economic vitality and national security."
All told, nearly 100 coal-fired units, over 33% of all U.S. coal-fired generation, received a two-year life extension under the April 8 executive order.
On the May 1 earnings call, TVA chief Moul said: "We're evaluating these executive orders with respect to coal and the regulatory environment. What I will tell you is that we are re-evaluating the end-of-life study that we did on our coal fleet and we're taking a hard look at our asset strategy with respect to what the regulatory environment is in front of us."
"Right now, we see Shawnee and Gallatin as a strong potential to continue to operate for the foreseeable future as long as we have the regulatory allowance," Moul continued. "We're going to take a close look at Kingston and Cumberland as well with respect to some of the regulatory environment right now. Effluent limitation guidelines, regulations are much more limiting [at Kingston and Cumberland], but more work to be done, and more decisions to be made in the future."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
