Amends TCA Title 4; Title 7; Title 12; Title 60; Title 64; Title 65; Title 67 and Title 68.

This bill requires the department of economic and community development ("department"), in coordination with the public utility commission, to develop a program and negotiate with the Tennessee Valley authority, natural gas producers, and cooperatives, for the installation and operation of three combustion turbine power plants to increase the state's electric generation capacity. The program and agreements associated with the program must do the following:<br /> <br /> (1) Provide funding to design, permit, and construct the plants;<br /> <br /> (2) Designate the state as the owner of the plants;<br /> <br /> (3) Designate the Tennessee Valley authority as the entity responsible for operation of the plants for a period of 10 years;<br /> <br /> (4) Allow for a cooperative to assume responsibility for operation of the plants after the 10-year period described in (3) above and transfer ownership of the plants from the state to the cooperative;<br /> <br /> (5) Coordinate and partner with the Tennessee Valley authority, natural gas suppliers, and cooperatives to determine the design and set up the permitting and construction activities required for the program and determine placement of the plants to optimize the physical relationship between the plants, gas supply, and Tennessee Valley authority infrastructure; <br /> <br /> (6) Include a negotiated fee structure to allow purchase of electricity produced by the plants for a period of 10 years;<br /> <br /> (7) Ensure that neither the state nor any cooperatives involved assume any legacy environmental responsibility for Tennessee Valley authority's operational years, or from the selected placement of the plants; and<br /> <br /> (8) Prioritize the provision of routine and surge electrical generating capacity.<br /> <br /> This bill requires the department to coordinate and negotiate with the Tennessee Valley authority, natural gas suppliers, and cooperatives by a date that allows the entities to begin obtaining the necessary authorizations by January 1, 2025, and to begin operation of and supply of electricity from the plants into the Tennessee Valley authority's grid by January 1, 2027. However, this bill provides that the program and any associated agreement approved by the commissioner of economic and community development does not take effect unless subsequently authorized by joint resolution of the general assembly.<br />