DOE awards $581 million to TVA for 2.5-GW grid expansion across eight states

The Department of Energy announced a partnership with the Tennessee Valley Authority to finance a large-scale grid upgrade spanning eight southeastern states. The $581 million grant, split between $250 million in federal funds and about $331 million in cost-share from the TVA, will add 2.5 gigawatts of transmission capacity and is projected to support roughly 800 jobs. The project, unveiled in Knoxville, falls under the Resilience Amplified: Multi-Market Grid Interconnection Initiative, which seeks to bolster infrastructure against disasters like hurricanes Helene and Milton.

Deputy Secretary of Energy James P. Danly said the investment will ease congestion, improve efficiency and lower costs for ratepayers. The eight states involved are Alabama, Georgia, Kentucky, Missouri, Mississippi, North Carolina, Tennessee and Virginia. Final implementation will depend on further departmental agreements and environmental, permitting and regulatory reviews.