Greeneville Energy Authority Finalizes Agreement for 140 MW Carroll County Solar Power, Anticipating Over $1 Million Annual Savings
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The Greeneville Energy Authority (GEA) Board has unanimously approved an agreement with the Tennessee Valley Authority (TVA) and Silicon Ranch to procure solar power from a new 140-megawatt farm in Carroll County.
GEA will utilize 3.4 megawatts of the Carroll County project's output, supplementing existing and under-construction solar sites in Greene County, which collectively aim to significantly reduce power purchasing costs.
The innovative power purchasing agreement allows GEA to receive credits on its TVA bill, with officials projecting annual savings of $150,000-$180,000 from the Carroll County site alone, potentially exceeding $1 million annually across all solar assets.
This strategic move follows tightened solar farm regulations in Greene County and underscores GEA's commitment to cost-effective renewable energy integration, with the Carroll County facility targeting completion by 2029.
The Greeneville Energy Authority (GEA) Board has unanimously voted to enter into a pivotal agreement with the Tennessee Valley Authority (TVA) and Silicon Ranch, securing a portion of the output from a new 140-megawatt (MW) solar farm in Carroll County. This strategic decision, finalized by GEA President and CEO Dwayne Wells, marks a significant step in the utility's renewable energy procurement strategy, promising substantial cost savings and enhanced energy independence.
The agreement enables GEA to leverage TVA's permitted but currently unused renewable energy production allotment, specifically securing approximately 3.4 MW from the large-scale Carroll County facility. This new allocation complements GEA's existing renewable portfolio, which includes two operational solar farms in Greene County and a third under construction, slated for completion in October. The Carroll County project, now fully subscribed by various utilities, is targeting a completion date of 2029.
GEA's pursuit of external solar resources gained momentum after the Greene County Commission implemented stricter solar farm regulations in March 2024. This prompted the utility to explore options beyond its immediate service territory to meet its renewable energy goals and maintain cost efficiencies. Power purchased from solar sites consistently costs less than traditional power acquired from TVA, with GEA's two active local solar sites already generating hundreds of thousands of dollars in savings.
The financial mechanism of the Carroll County agreement is designed to optimize these savings. As GEA President and CEO Dwayne Wells explained, "They’re going to generate the power. They send it through a meter back into TVA’s system. We pay Silicon Ranch a fixed rate for the amount of megawatt hours prorated on our allocation versus the total site. We pay that to Silicon Ranch, then in turn TVA takes that same metering data, they pay us for the power plus an adder which is basically a fuel cost adjustment. So they would pay us essentially what we paid to Silicon Ranch plus the fuel cost adder. We get a credit on our power bill. That’s effectively the best way to look at it."
Officials estimate the Carroll County agreement will yield additional annual savings of $150,000 to $180,000 for GEA, with Wells noting that these savings could escalate as TVA's rates are expected to rise. Once all four solar sites are fully operational and integrated, GEA anticipates potential annual savings exceeding $1 million, underscoring the long-term financial benefits of this renewable energy investment. In related business, the board also approved the purchase of 2,500 wireless gateways for its GEA Connect service, costing $737,500.