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Released February 18, 2022 | SUGAR LAND
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Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--The Tennessee Valley Authority (TVA) (Knoxville, Tennessee) Board of Directors on February 10 decided to explore next-generation nuclear power technology by investing up to $200 million over the next two to three years, as part of its strategic goal to decarbonize its electricity supply.
"Achieving a carbon-free energy future is a shared priority, and TVA is developing a diverse portfolio of clean energy sources--like advanced nuclear technologies--that will help address this challenge," Jeff Lyash, TVA's president and chief executive officer, said in a statement. "There is no single answer to achieving our nation's clean energy targets--it will require collaboration and innovation. Working alongside industry partners will allow TVA to go further, faster in developing innovative, cost-effective technologies that will not only help the people of the Tennessee Valley, but also support the energy security of the nation."
In an interview with Industrial Info, TVA spokesperson Jim Hopson said, "We need to develop the knowledge, facts and data so we can make a good decision about filing for a construction license with the Nuclear Regulatory Commission (NRC) (Rockville, Maryland) to potentially construct a light-water small modular reactor (SMR) at our Clinch River site near Oak Ridge, Tennessee."
TVA emphasized that no reactor design has been selected as yet, and no commitment to build has been made. The next two to three years will be spent investigating the GE-Hitachi BWRX-300 light-water SMR design.
"While we will continue to support and examine all of the various SMR designs being proposed, we believe that light-water SMR designs, which are closely related to the current generation of TVA's large nuclear units, are more mature and closer to commercial deployment within the next decade," Lyash said in a February 10 statement. "For that reason, we are currently in discussions with GE Hitachi to support their BWRX-300 light-water SMR design, which will help inform a future decision about potential deployment."
TVA, a corporate agency of the U.S., has been working to decarbonize for many years. In a report the agency produced last year, it said it had lowered its carbon dioxide (CO2) emissions to 42.5 million tons in fiscal year 2020, from 116 million tons in fiscal year 2005, while transforming its fuel mix over the same time from 57% coal to 57% carbon-free resources. The agency saved about $1 billion in fuel and purchased power costs over those 15 years by shifting to a lower-carbon generation portfolio.
Coal-fired generation accounted for about 15% of the agency's generation resources as of September 30, 2021, according to TVA's 10-K filing made last November. It plans to close all remaining coal-burning units by 2035. TVA still owns and operates five coal-fired power plants with 25 active units that total about 6,580 megawatts (MW) of generation capacity, according to that Securities and Exchange Commission filing. Paradise Unit 3 was taken offline a year ago, effectively retiring that plant.
Unlike a lot of its utility brethren, TVA did not consider natural gas-fired generation to replace the coal-fired generation it will be retiring. "Natural gas will be used as a bridging fuel to accelerate the retirement of coal units," Hopson said, "but it was never considered as a replacement resource. Natural gas has a role to play, but not a long-term role because of decarbonization. Natural gas will not be a primary source of electric generation as we seek to decarbonize."
Natural gas and oil-fired generation accounted for about 21% of TVA's generation capacity as of September 2021, the 10-K filing said. Nuclear, on the other hand, accounts for about 41% of the agency's generation fleet.
Industrial Info is tracking more than $9.3 billion worth of active TVA projects.
Click on the image at right for a chart showing TVA project activity by fuel type.
In its strategic planning document issued last May, TVA said it aspired to achieve a net-zero carbon future by 2050. It said the agency expected to add about 10,000 MW of solar generation by 2035. Nearly one-quarter of that total, 2,300 MW, is scheduled to begin operating by 2023. TVA and its public power-distribution utilities plan to deploy up to 2,000 MW of distributed solar generation. TVA also is investigating battery energy-storage systems (BESS).
For more on TVA's decarbonization and strategic goals, see June 22, 2021, article - TVA Seeks a Net-Zero Carbon Future by 2050, But More Federal Support for SMRs, CCS Needed, and September 11, 2019, article - TVA Continues Efforts to Clean, Green its Electric Fuel Mix.
TVA's Clinch River site has an NRC early site permit for up to 800 MW of SMR nuclear generation. It is the only permitted SMR site in the nation. Hopson said the plan at this point, assuming the technology and costs pass muster, is to build one GE-Hitachi unit at that site, leaving room for other SMRs to be built there.
Hopson added that new nuclear technology has "the capability to load follow easily. It has the flexibility to backstop intermittent resources," like solar and wind. That raises the interesting possibility that nuclear-backed solar and wind could be a large part of TVA's electric future--assuming the technology is proven and the cost pencils out.
TVA made it clear that it was not going to go explore this next-generation nuclear technology alone. The agency said it will "partner with other utilities, government agencies and research institutes to mitigate costs and risks associated with advancing this new technology."
"TVA is taking a bold but measured step towards next-generation nuclear as part of their commitment to decarbonize," said Britt Burt, Industrial Info's vice president of research for the Global Power Industry. "One can only hope it works out better than the unit additions at the Alvin W. Vogtle Nuclear Power Stations, which are years late and billions of dollars over budget."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.
"Achieving a carbon-free energy future is a shared priority, and TVA is developing a diverse portfolio of clean energy sources--like advanced nuclear technologies--that will help address this challenge," Jeff Lyash, TVA's president and chief executive officer, said in a statement. "There is no single answer to achieving our nation's clean energy targets--it will require collaboration and innovation. Working alongside industry partners will allow TVA to go further, faster in developing innovative, cost-effective technologies that will not only help the people of the Tennessee Valley, but also support the energy security of the nation."
In an interview with Industrial Info, TVA spokesperson Jim Hopson said, "We need to develop the knowledge, facts and data so we can make a good decision about filing for a construction license with the Nuclear Regulatory Commission (NRC) (Rockville, Maryland) to potentially construct a light-water small modular reactor (SMR) at our Clinch River site near Oak Ridge, Tennessee."
TVA emphasized that no reactor design has been selected as yet, and no commitment to build has been made. The next two to three years will be spent investigating the GE-Hitachi BWRX-300 light-water SMR design.
"While we will continue to support and examine all of the various SMR designs being proposed, we believe that light-water SMR designs, which are closely related to the current generation of TVA's large nuclear units, are more mature and closer to commercial deployment within the next decade," Lyash said in a February 10 statement. "For that reason, we are currently in discussions with GE Hitachi to support their BWRX-300 light-water SMR design, which will help inform a future decision about potential deployment."
TVA, a corporate agency of the U.S., has been working to decarbonize for many years. In a report the agency produced last year, it said it had lowered its carbon dioxide (CO2) emissions to 42.5 million tons in fiscal year 2020, from 116 million tons in fiscal year 2005, while transforming its fuel mix over the same time from 57% coal to 57% carbon-free resources. The agency saved about $1 billion in fuel and purchased power costs over those 15 years by shifting to a lower-carbon generation portfolio.
Coal-fired generation accounted for about 15% of the agency's generation resources as of September 30, 2021, according to TVA's 10-K filing made last November. It plans to close all remaining coal-burning units by 2035. TVA still owns and operates five coal-fired power plants with 25 active units that total about 6,580 megawatts (MW) of generation capacity, according to that Securities and Exchange Commission filing. Paradise Unit 3 was taken offline a year ago, effectively retiring that plant.
Unlike a lot of its utility brethren, TVA did not consider natural gas-fired generation to replace the coal-fired generation it will be retiring. "Natural gas will be used as a bridging fuel to accelerate the retirement of coal units," Hopson said, "but it was never considered as a replacement resource. Natural gas has a role to play, but not a long-term role because of decarbonization. Natural gas will not be a primary source of electric generation as we seek to decarbonize."
Natural gas and oil-fired generation accounted for about 21% of TVA's generation capacity as of September 2021, the 10-K filing said. Nuclear, on the other hand, accounts for about 41% of the agency's generation fleet.
Industrial Info is tracking more than $9.3 billion worth of active TVA projects.
In its strategic planning document issued last May, TVA said it aspired to achieve a net-zero carbon future by 2050. It said the agency expected to add about 10,000 MW of solar generation by 2035. Nearly one-quarter of that total, 2,300 MW, is scheduled to begin operating by 2023. TVA and its public power-distribution utilities plan to deploy up to 2,000 MW of distributed solar generation. TVA also is investigating battery energy-storage systems (BESS).
For more on TVA's decarbonization and strategic goals, see June 22, 2021, article - TVA Seeks a Net-Zero Carbon Future by 2050, But More Federal Support for SMRs, CCS Needed, and September 11, 2019, article - TVA Continues Efforts to Clean, Green its Electric Fuel Mix.
TVA's Clinch River site has an NRC early site permit for up to 800 MW of SMR nuclear generation. It is the only permitted SMR site in the nation. Hopson said the plan at this point, assuming the technology and costs pass muster, is to build one GE-Hitachi unit at that site, leaving room for other SMRs to be built there.
Hopson added that new nuclear technology has "the capability to load follow easily. It has the flexibility to backstop intermittent resources," like solar and wind. That raises the interesting possibility that nuclear-backed solar and wind could be a large part of TVA's electric future--assuming the technology is proven and the cost pencils out.
TVA made it clear that it was not going to go explore this next-generation nuclear technology alone. The agency said it will "partner with other utilities, government agencies and research institutes to mitigate costs and risks associated with advancing this new technology."
"TVA is taking a bold but measured step towards next-generation nuclear as part of their commitment to decarbonize," said Britt Burt, Industrial Info's vice president of research for the Global Power Industry. "One can only hope it works out better than the unit additions at the Alvin W. Vogtle Nuclear Power Stations, which are years late and billions of dollars over budget."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.
