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The pace of change

Few issues seem more polarizing than climate change and renewable energy — even when trying to reach a level of mutual satisfaction. A point I’ve tried to make over the past few months is that you can’t effect change overnight. What I’ve discovered is that readers often interpret my comments through the prism of their own beliefs. I’m not being critical; that tends to occur when we’re passionate about an issue.

Some co-op members aren’t pleased when we voice support for coal-fired generation. One particular reader classified it as unrealistically clinging to the past. Some members aren’t pleased about our support for solar and wind power when we have abundant gas, oil and coal resources in the U.S.

Our position is not about mandating a particular power source but a call for diversity and stability. We don’t hate coal; we don’t want to wreck the environment. Our mission, quite simply, is to keep the lights on. And to do so safely and efficiently.

We make economic-based decisions grounded in reality, not partisanship. Over the years, we’ve had disagreements on energy policy with both sides of the aisle. Principled disagreement doesn’t equate with personal dislike or political opposition.

Some policy shifts are minimally disruptive. But when policy shifts dictate changing energy sources, it’s going to take a long time and a lot of money. And it’s not going to be happen overnight. For example, it can take more than a mile for a fast-moving supertanker to stop and turn around. It’s a matter of physics, not desire.

If we were to immediately shut down all of the coal plants in the U.S., it would make a negligible change in worldwide carbon dioxide levels. We’d also be in the dark. Yet, over the past several years, older coal plants have been shuttered. Huge financial investments have been made to scrub the emissions of those remaining. Investments have been made in renewable energy sources where and when it was economically wise.

Our power supplier, the Tennessee Valley Authority, has moved from having coal represent a majority of its generation to a long-term goal of a mix that is 40 percent nuclear, 20 percent coal, 20 percent natural gas and 20 percent hydropower and renewable sources.

An “all-of-the-above” energy policy isn’t just a slogan. It’s not “code” that means we don’t support renewable energy. Each power source has benefits and drawbacks. Fuel costs vary. Some sources are readily available; some are not. Any type of generation depends on transmission lines to carry the electricity from the source to your local power company. Just planning and building those lines can take years to accomplish.

The sun is free, but solar power isn’t. Wind power is a great option, but the wind does not blow in all the right places at all the right times. Nuclear power is dependable and a steady, long-term power source. It also creates long-term waste problems. Coal is a plentiful and cheap power source. Yet, as we’ve seen in the Valley, it isn’t easy to dispose of coal ash, and we have yet to master the handling of carbon dioxide. Hydropower is inexpensive, clean and totally dependent on the weather. Natural gas burns cleaner than coal, but when overused, supplies dwindle and prices increase.

As we’ve seen this past winter, there are times when all are needed.

Take your pick about which of those sources you dislike. But, if you remove it from the mix, do you have a workable plan to replace it? Changing policy is easy; making the changes required by that policy is not. As frustrating as the pace of change is for some, a change of pace on this level takes time and care.

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The Lesson I Learned from Pat Summitt’s Shoes

Editor’s note: The Tennessee Electric Cooperative Association is losing a valued staff member as Chelsea Rose recently accepted a new position to serve as executive director of the Tennessee Future Farmers of America Foundation Inc. As a going-away present, Mike Knotts gave Chelsea the last word and his April column.

As a high school senior, my parents took me to the campus of Vanderbilt University to watch the Tennessee Lady Vols basketball team take on the Commodores. This was a real treat because I just so happen to be among the biggest Pat Summitt fans around.

I remember stressing over selecting the right Lady Vols T-shirt to wear. I even thought about what I could bring to the game should I get close enough to Coach Summitt to get an autograph. I settled on an orange fleece scarf.

The game was thrilling. I had seen many Lady Vols basketball games on television, but this was special. I was in the same room with these near-celebrities. When the game ended and Coach Summitt was giving radio interviews on the sideline, with my scarf in hand I slipped and snuck my way to the velvet rope separating the living coaching legend from hundreds of adoring fans.

As she wrapped up her last interview and turned toward the locker room, I watched her in amazement, completely taken aback by her intimidating stature. In an attempt to take in every moment near the woman who had been such an inspiration to me in my own athletic career, I looked her over from head to toe and could not believe my eyes. Pat Summitt, coach of the 12-time (now 18-time) Southeastern Conference Champion Lady Vols, and little ol’ me had the same shoes!

This revelation seems like nothing now, but in that moment I finally looked past the seven national championship titles (now eight) and could see a woman I could identify with. Pat Summitt was a human being.

Have you ever brushed shoulders with a famous figure? It can be surreal. I am far from that moment when I got to shake the hand of the woman I had cheered for through so many games and nail-biting moments. However, even now, I get butterflies in my stomach remembering that brief interaction and the instant when I realized that she is human, like me.

In my career, I interact with elected officials from across the state on a regular basis. We, the voters, elected these men and women from our home communities to represent us, and they go to work in the Capitol with our concerns in mind.

However, many constituents visiting their lawmakers are nervous and hesitant to fully voice their policy concerns. I suspect that is because, similar to Pat Summitt, these public figures are constantly seen on television, heard through the radio or featured in newspapers.

Despite the media attention and the larger-than-life imagery sometimes associated with Tennessee’s lawmakers, they are human. We elect them, and they sculpt their political posture based on our feedback. Their reasons for seeking office are varied, but one fact is true about all Tennessee legislators: They are accountable to us, the voters.

As electric cooperative members, we are the caretakers of our low-cost, reliable power supply. That means we should readily communicate with our elected leaders and let them know that the cooperative model of business matters. That model of business was established by our parents and grandparents and, today, gives us ownership of arguably the most important resource we use — electricity.

So, in this election year, let’s abandon our nervousness and confidently approach the elected leaders who are there to defend what matters to us. After all, they are human.

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TECA brings young leaders to Nashville

Forty-six high school juniors from across Tennessee attended the Tennessee Electric Cooperative Association’s 2014 Youth Leadership Summit March 24-26 in downtown Nashville. Two students from each of the state’s 23 electric cooperatives attended the annual event.

“The Youth Leadership Summit teaches these exceptional students how important electric cooperatives are to Tennessee’s communities and provides them an opportunity to see the legislative process in the Capitol,” said Todd Blocker, TECA director of member relations. “Local electric co-ops, school officials and guidance counselors chose these deserving students to attend the summit based on their interests in government and strong leadership abilities.”

The summit began Monday evening, March 24, with dinner at the group’s hotel, the Millennium Maxwell House. Get-acquainted activities and an introduction to cooperatives followed, led by electric co-op leaders, and the night ended with a leadership development presentation by Amy Gallimore of TRI Leadership Resources LLC.

Students rose early on Tuesday, March 25, for breakfast and preparations for a visit to Legislative Plaza. TECA Director of Government Affairs Mike Knotts introduced Sen. Mike Bell of Riceville and Rep. Cameron Sexton of Crossville, who welcomed the students to Nashville and answered their questions about legislative issues. The 11th-graders then toured the Capitol and saw state government in action at Senate and House committee meetings before posing for photos in front of the historic building.

Following the visit to Capitol Hill, the group enjoyed lunch and leadership activities at a Nashville-area YMCA camp, where the students were also treated to a hot-line trailer demonstration by Sequachee Valley Electric Cooperative and Sunbelt Rentals. SVEC employees showed that electric power does a tremendous amount of work for us, but because it is such a powerful force, we must be careful around it and always exercise safety around power lines. The fun continued with dinner and games at Dave & Buster’s, and the busy day was capped off by special guest speakers Miss Tennessee Shelby Thompson and Tennessee Titans cheerleader Anne Peterson.

Wednesday morning, the students were divided into teams and formed their own co-ops and worked together to “buy” and “sell” power distribution supplies and resolve day-to-day issues local electric co-ops face like power outages and rights-of-way conflicts. Then they got an overview of the history of electric cooperatives and answered trivia questions about electric co-ops and the state in the “Energy Battle” competition.

“These students will soon be our community leaders — and electric cooperative member-owners,” said David Callis, executive vice president and general manager of the Tennessee Electric Cooperative Association. “We want them to see what makes their electric cooperative special, appreciate all their co-op provides for their communities and understand why it was so important to form electric co-ops in the first place.”

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TECA receives Paul Revere award

(NASHVILLE, TENN.) — The National Rural Electric Cooperative Association (NRECA) today awarded the Tennessee Electric Cooperative Association (TECA) its Paul Revere Award. NRECA recognized the association for its ability to mobilize cooperative consumer-members on behalf of the electric cooperative industry.

Tennessee electric cooperatives faced an expensive and difficult fight with the cable industry in 2013 over the issue of pole attachments. The cable industry spent hundreds of thousands of dollars pushing legislation that would have created a $13 million subsidy paid by co-ops to the cable companies and stripped local co-op boards of control.

Cable’s attacks were countered in typical co-op style. TECA’s Government Affairs Director Mike Knotts deployed a grassroots strategy to activate advocates across the state, urging them to contact state legislators, share information on social media channels and write letters to local papers in support of more reasonable legislation. Ultimately neither party prevailed, which amounted to a win for co-ops and a setback for the cable industry.

“The power of a well-implemented grassroots campaign cannot be overstated, and TECA demonstrated that in spades. Against a well-funded opponent, they thoughtfully and effectively tackled the issue legislator by legislator,” said Jo Ann Emerson, CEO of NRECA. “TECA’s approach provides a road map for co-ops across the country on how to organize, educate and execute a plan for a victory.”

“We are honored to receive the award,” says David Callis, executive vice president and general manager of TECA. “Protecting the pocketbooks of our members is our most important mission. We share this award with the co-op members across the state who picked up the phone, sent letters and emails, or otherwise took action to defend their co-op when it was threatened.”

The National Rural Electric Cooperative Association is the national service organization that represents the nation’s more than 900 private, not-for-profit, consumer-owned electric cooperatives, which provide service to 42 million people in 47 states.

The Tennessee Electric Cooperative Association is a trade group representing the interests of 23 electric distribution cooperatives and the 1.1 million members they serve across rural and suburban Tennessee.

More than 8,500 representatives from cooperative electric utilities across the nation are attending the NRECA Annual Meeting March 2-5, during which they will set NRECA’s legislative and organizational agenda for 2014. In addition to considering and acting upon policy resolutions, delegates receive reports from NRECA officials, hear addresses by key public figures and business experts, and attend educational forums on major issues affecting electric cooperatives and their consumer-owners.

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Hometown Heroes

Mike Knotts, director of government affairs for the Tennessee Electric Cooperative Association

Several months ago, I attended a speech given by U.S. Agriculture Secretary and former Iowa Gov. Tom Vilsack. While most of the speech was geared toward the federal government’s involvement in farm policy and agricultural interests, he quoted some statistics that have really stuck with me. He said that while only 16 percent of America’s current population lives in areas that are considered rural, more than 40 percent of our nation’s military personnel come from those rural areas. That disproportionate level of enlistment says a lot to me about the culture of America’s farms and small towns and the values that permeate those communities.

Don’t forget that this is the Volunteer State, a moniker that’s not just a nickname for sports teams at a certain university in Knoxville. We have a well-deserved reputation of providing huge numbers of recruits to fight our nation’s battles, especially in wartime. If you’ve visited the Alamo in Texas, you’ve seen the many state flags that commemorate the fallen from that famous battle. And it is the Tennessee flag that shows the highest price paid.

That tradition continues today. One of the most frequently deployed brigades in the Army calls Tennessee its home. The 3rd Brigade Combat Team of the 101st Airborne Division (Air Assault) is based at Fort Campbell, straddling the Tennessee and Kentucky state line. The “Rakkasans” have spent as much time on the other side of the planet pursuing their “Rendezvous with Destiny” over the past 10 years as they have spent training at Fort Campbell.

Many of you reading this page simply call these folks your neighbors, as Cumberland Electric Membership Corporation provides electric service to so many of these hometown heroes. Fort Campbell is not just home to the 101st but also to numerous other Army and even some Air Force assets. So while we may just think of them as our neighbors, these men and women do some pretty awe-inspiring things.

Few are as impressive as the Night Stalkers, the best helicopter pilots in the world. I have loved aviation since I was a kid and have some experience flying small aircraft in daytime, visual conditions. However, helicopter-flying requires a level of skill I have not mastered. The warriors of the 160th Special Operations Aviation Regiment (SOAR) fly the world’s most advanced helicopters, on the most dangerous missions, usually at night, often without lights, and always under the stress of battle. While the Navy SEALs may get the spotlight of the public’s admiration for high-profile missions (like the assault that resulted in the death of Osama bin Laden), the Night Stalkers frequently give them their rides to and from work. I am in awe of what they do, and they are right here in our backyard.

So it was only fitting that Dr. Mark Green spoke to electric cooperative leaders in Nashville in early February about the important role that electric co-ops play in our communities. I will leave the details about the specific public policy and legislation that were discussed that day to a future column because I found his comments to be more inspiring.

Dr. Green’s path to politics is different from that of any elected official I’ve met. A medical doctor who was raised in rural Mississippi and graduated from West Point, Dr. Green came to Tennessee after being assigned to Fort Campbell as a special operations flight surgeon in the 160th SOAR. He examined Saddam Hussein the night he was captured, and during his speech to co-op officials, Dr. Green spoke of that experience as well as the personal relationships he had with many of his fellow Night Stalkers who perished in the mission now immortalized by the book and movie “Lone Survivor.” He noted from firsthand experience that those in the special operations community pay an especially high price for their service.

When Dr. Green’s time in the Army ended, he found Tennessee to be the place he wanted to start a business and raise his children. Now, he is further serving his community by representing them in the legislature as a state senator from Clarksville. In just his first term in the Senate, he serves as vice-chair of the Committee on Commerce and Labor.

The men and women Dr. Green described in such detail serve with dignity and have asked precious little of us in return. They simply feel a duty to make the world, this country and their local communities better. It is my hope that by reading these words you and I may live each day in such a way that we honor the sacrifices they have made for us. God bless them.

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Not a training ground

I really missed the mark in my February column. While writing in early January that “little evidence is left of the record cold weather,” I had no doubt that winter’s cold wouldn’t last much longer. No one anticipated the Tennessee Valley Authority would set five of its top 10 record peak demands in the first few weeks of the year. Unfortunately, I was half-right: High bills continue to strain budgets throughout the region.

On those five coldest days, TVA and the local power companies generated and delivered 3,399 gigawatt-hours. Without delving into the math again (see inset), that’s enough energy to power Nashville for 10 months. Everything didn’t work to perfection, but the power stayed on. It’s quite an accomplishment to achieve once, but to meet the demand again and again is remarkable. And you don’t achieve the remarkable by accident.

Former Defense Secretary Donald Rumsfeld, when discussing the dangers troops were encountering in Iraq, created some new classifications for problems: “There are known knowns … there are known unknowns … there are also unknown unknowns.”

When you lead — whether it’s troops into battle, hikers on an outdoors excursion or utility employees keeping the current flowing — you need a certain amount of technical expertise. Good leadership also knows a thing or two about failure. It’s good to learn early what doesn’t work. Some ideas that look great on paper just don’t turn out so well.

For example, in the early 1990s, many of us in the electric utility industry were certain that fuel cells would eventually allow us to serve remote loads efficiently and inexpensively. The technology was “just a few years away.” A couple of decades later, it’s still just a few years away.

That’s just a small example of how “experts” can miss the mark. With new technologies, it becomes even more challenging. Longtime utility workers may not know that wind turbines can’t operate below certain temperatures or in extremely high wind speeds. There simply aren’t any simple answers. The steady hands at the helm of our utilities have years of seasoned experience. If there were an easier, less-expensive way to do what we do, that’s how we would be doing it.

For our nation to have a workable energy policy, we need experts with true subject-matter knowledge and a few battle scars. What we don’t need is policy designed by people who don’t know what it takes to keep the lights on.

It seems the political leaders driving our nation’s energy policy are following that path. Many simply don’t know enough about our industry to be discussing energy policy — much less drafting it.

In the utility industry, we have our share of “known knowns” and “known unknowns.” We’ve learned to work through those. But building the next century’s energy policy with “unknown unknowns?” Designing the electricity grid that powers our lives shouldn’t be a training ground.

To lean more and become part of the conversation focused on a sensible, balanced approach to the Environmental Protection Agency’s planned new rules for power plants, go to takeactionTN.com.

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MLEC, CoBank Partner in School Grant Program

Meriwether Lewis Electric Cooperative is a recipient of CoBank’s “Sharing Success” matching grant program. MLEC combined the $5000 grant with its existing Adopt-A-School grant program to award $10,000 to local schools.

“Our school grant program makes $1000 available annually in each of the five counties we serve,” says President and CEO Hal Womble. “However, with the help of our partners at CoBank, we are able to give $2000 in each county this year to help more educators and reach more students.”

Winning projects range from establishing reading libraries and science lab materials to electronic tablets and classroom equipment. With the awarding of this year’s grants, MLEC’s Adopt-A-School program reached $100,000 milestone in giving. Since 1991, MLEC has awarded 130 grants through its adopt-a-school program.

“Co Bank is pleased to offer our ‘Sharing Success’ matching grant program to assist our customers in supporting their local communities,” says William D. LaDuca of CoBank. “MLEC’s grant program is an excellent example of how we can assist the cooperative in its efforts to provide financial support for teachers and students in its service territory.”

Meriwether Lewis Electric Cooperative, a Touchstone Energy® cooperative, is a non-profit organization offering reliable, low-cost electricity to over 35,000 members in Hickman, Houston, Humphreys, Lewis and Perry counties. Member – electric power companies of Middle Tennessee. Remember to play it safe around electricity.

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Co-op members deliver powerful message to legislators

One voice can still make a difference, and more than 180 board members and employees representing electric cooperative member-owners across Tennessee spoke with one voice during the 2014 Tennessee Electric Cooperative Association Legislative Conference in Nashville on Monday and Tuesday, Feb. 3 and 4. Attendees met with their legislators on Capitol Hill to help them better understand electric cooperatives and the issues that impact delivering safe, reliable and affordable power to their communities.

Attendees reminded legislators that co-ops are not-for-profit, member-owned and -regulated private businesses. Legislators were told of the enormous impact co-ops have on their communities. Co-ops own and maintain more than $2.8 billion of infrastructure, including 86,000 miles of power lines, pay $63 million in taxes, employ more than 2,600 Tennesseans and have a payroll of $94 million. Tennessee’s electric co-ops kept the power on 99.96 percent of the time in 2013 and secured more than $4 million in economic development loans for their rural communities.

Attendees also shared the results of a recent member satisfaction study. Tennessee co-op members are extremely pleased with the efforts of their local co-op, giving them high marks for satisfaction, trust and loyalty.

“Educated and informed legislators are a key component of low-cost, reliable power in Tennessee,” says Mike Knotts, director of government affairs with TECA. “The collective voice of co-op members makes a powerful impression on Capitol Hill.”

The primary issue discussed with legislators this year was a bill requiring all electric co-ops to join the Tennessee One-Call system, a company that provides services to utilities that own and operate underground infrastructure. While many Tennessee co-ops do participate, a few have virtually no underground utilities, so the service would provide little to no benefit. Co-ops believe that the local board should decide if the co-op should join One Call, not Nashville bureaucrats.

“We believe that our members are best served when local decisions are made by local board members elected to run the cooperative,” says Knotts. “We are concerned when legislation limits a board’s ability to act in the best interests of its members.”

“Tennessee’s electric cooperatives maintain a visible presence in Nashville and Washington, D.C., to be certain that the interests of co-op members are protected,” says David Callis, TECA general manager. “We are here to protect rural Tennesseans. Our legislators make decisions and pass laws that can have serious consequences for Tennessee’s electric cooperatives and the members they serve. It is important that we tell the electric cooperative story and inform and educate legislators on the impacts of proposed legislation.”

[button link=”http://teca.smugmug.com/Legislative/Legislative-Day-2014/i-VNhhbZ3″]View Event Photos →[/button]

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Tightening the Net

Co-ops innovate to secure members’ digital data

Amidst continuing cyber threats from crafty computer hackers, electric cooperatives are mounting sturdy defenses to safeguard members’ digital data and ensure reliable power delivery.

Utilities are bulking up cyber security with tools from the Cooperative Research Network (CRN), the research arm of the Arlington, Va.-based National Rural Electric Cooperative Association (NRECA). CRN’s Guide to Developing a Risk Mitigation and Cyber Security Plan and supporting documents, released in 2011 with funding support from the U.S. Department of Energy (DOE), helps utilities of all types develop a process to shore up cyber defenses.

Three innovations promise to advance cyber security efforts: pattern recognition software, an update of CRN’s revolutionary Guide, and securing data.

Cyber Cooperation

Most home and business computer networks use a firewall— a virtual barrier or hardware—to protect linked computers from hackers, viruses, and other virtual invaders. Utilities use firewalls to secure systems, too. But sophisticated cyber threats make firewalls an aging technology.

“Firewalls are less able to provide the level of security we require,” shares CRN Program Manager Maurice Martin. “We want to make sure that our co-ops have the tools they need to work securely.”

To meet the challenge, CRN’s developing a way to replace firewalls with a security tool that monitors computer network traffic. The system memorizes the normal pattern of operation. When the system detects an abnormal pattern (a possible intrusion), it sounds an alarm.

A DOE grant of $3.6 million, with an additional $1.1 million from CRN and partner Honeywell Corp., funds the research. Allies such as Pacific Northwest National Laboratories, Carnegie Mellon University, and Cigital Inc. will work with CRN to develop the cyber security tool.

“We’ll combine high-level functionality with an easy-to-use platform,” predicts Craig Miller, chief scientist at CRN. “The system will simplify cyber security management for small utilities with limited resources.”

Evolving Guidance

CRN’s Guide to Developing a Risk Mitigation and Cyber Security Plan and accompanying template help utilities of all sizes craft a cyber-security plan. The cooperatively-developed resources, free for any utility, have been downloaded more than 8,000 times. Large and small utilities across America and in countries as far away as India and Italy use the Guide.

“The content and ideas were important to share,” explains Martin. The Guide and tools were developed as part of a $68 million DOE smart grid grant three years ago.

But responding to emerging cyber threats is not a one-time effort. It requires constant education, awareness, and vigilance.  New resources—products, services, and educational tools—are on the way. Expected early this year, an updated Guide will work in harmony with new cyber security initiatives from the DOE.

Securing Data

Threats to security—online and to the power grid—are real. Hackers take pride in undermining computer systems and finding a system’s Achilles’ heel. But thanks to innovative cloud computing, utilities are discovering ways to work together to strengthen co-op security and upgrade IT architecture.

“NRECA turned to the Science Applications International Corp. (SAIC) for its solid understanding of the smart grid marketplace and how new technologies can be used to benefit the consumer member at the end of the line,” explains Martin.

That project aims to shore up technologies that capture, store, and secure data and information. Once completed, this work will benefit both co-ops and their members. SAIC is producing a series of reports to help utilities fully implement the smart grid. The reports will evaluate IT developments (cloud computing, new types of databases, and more) with an eye toward how such developments can support the co-ops and even solve their needs. The goal? SAIC will map out an “IT architecture” to explain how the tools fit together to maximize reliability, customer service, and cyber security.

All utilities are vulnerable to digital invasions. But a continually evolving set of cyber security resources and innovations should help keep co-ops and their members a step ahead of the “bad guys.”

Sources: Cooperative Research Network

B. Denise Hawkins writes on consumer and cooperative affairs for the National Rural Electric Cooperative Association, the Arlington, Va.-based service arm of the nation’s 900-plus consumer-owned, not-for-profit electric cooperatives. Megan McKoy-Noe contributed to this article.  

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Welcome back to Nashville

By Mike Knotts, Director of Government Affairs

One of the things that makes your cooperative different from “a regular old power company” is that it is owned and controlled by its individual members. Good people like you take time out of their lives and put themselves up for election to serve on the board of directors at your co-op. They are your neighbors, and that local connection is what makes a tremendous difference in the priorities that guide their work. While you might hear other utilities owned by huge, multinational corporations talk the talk about things like commitment to community, your electric co-op walks the walk simply because the co-op is your community.

This commitment to serving your community is the reason we devote a lot of effort to communicating with elected officials and why this page is so frequently dedicated to those concerns. We want to ensure that lawmakers understand the important things your co-op does to power our modern lifestyle. Whether in Nashville or Washington, D.C., your co-op has made a commitment to work with lawmakers to ensure that public policy does not impede our ability to provide the reliable and affordable electric service on which you and your family depend.

As the Tennessee General Assembly has recently returned to Nashville to begin its business of considering new laws, I thought I would share with you some of the big issues we believe will take the lion’s share of your state representative’s and senator’s time in Nashville this year. The following summary was prepared by our excellent partner in these efforts, the law firm of Bass, Berry & Sims. And see page 28 to learn how you can contact your elected representatives using our General Assembly app.

Several bills from last session await further consideration by the legislature. The wine-in-grocery-stores bill is a prime example. Both Lt. Gov. Ron Ramsey and Speaker Beth Harwell have said that the time has come for wine in grocery stores and that last year’s bill to allow voters to decide the issue by referendum will likely be resurrected from the House Local Government Subcommittee where it died last session after a surprise “nay” vote by Chairman Matthew Hill (R-Johnson City).

Several Republican members may attempt to restore a bill that would prohibit the state from taking advantage of the Affordable Care Act’s Medicaid expansion. The Senate Commerce Committee amended this bill last session to simply require legislative approval for expansion. That amendment could be stripped in the Senate Finance Committee or on the Senate floor to return the original prohibition language to the bill. Any attempt to do so, however, will be opposed by hospitals and business groups that support expansion.

Another issue from last session that the legislature is likely to revisit involves a moratorium on adversarial municipal annexations. In December, the Tennessee Advisory Commission on Intergovernmental Relations recommended that the moratorium be extended for a year. The original moratorium resulted from legislation sponsored by Rep. Mike Carter (R-Ooltewah) and Senate Speaker Pro Tempore Bo Watson (R-Hixson) that required public referendum votes on nonconsensual residential and farm annexations within urban growth boundaries. Rep. Carter intends to push the issue by filing a similar bill in 2014.

A bill requiring prescriptions for products containing pseudoephedrine may get more traction in 2014 than in previous years. A Vanderbilt University poll indicates that 65 percent of registered voters would accept prescriptions to fight illegal methamphetamine production. Law enforcement officials likely will attempt to capitalize on this momentum while the pharmaceutical industry and other retail and business groups will oppose the prescription requirement.

On the education front, the legislature will consider legislation challenging Common Core standards for K-12 schools, giving state entities the power to authorize charter schools, establishing a statewide school voucher program and reviewing the Tennessee Textbook Commission. Higher education initiatives also are expected to be a focus of Gov. Bill Haslam’s legislative agenda for 2014 and include his Drive to 55 effort to encourage more Tennesseans to earn a certificate or degree beyond high school.

The state’s 2014-15 budget will be the toughest yet for Haslam. In recent years, the legislature has eliminated, reduced or phased out taxes such as the gift tax, inheritance tax, unprepared food tax and the Hall income tax on investment earnings. With revenues expected to be down $123 million at the end of the current fiscal year, additional tax cuts and reforms are unlikely in 2014. After the 2014 elections, however, potential areas for legislative action include the franchise and excise tax and the gasoline tax.

With re-election being top of mind, legislators will be inclined to introduce bills that will be popular with their voting bases back in the districts — so stay tuned for bills that may make for interesting late-night entertainment fodder!

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Polar Opposites

By David Callis, Executive Vice President and General Manager

The ice has melted, and burst water lines are repaired. Little evidence is left of the record cold weather — other than high heating bills. As painful as the financial impact is, the alternative could have been much more uncomfortable.

The extreme temperatures pushed the Tennessee Valley Authority to a new record demand as we all tried to stay warm. With heating systems running nonstop, lines and substations were pushed to their limits. In a few instances, the strain caused temporary outages.

Occasionally, experts make harsh assessments about the condition of our electric grid. The fact is, TVA, a very reliable generation and transmission network, successfully handled this challenge.

How much energy?

As the polar vortex moved in on Monday, Jan. 6, consumers in the Tennessee Valley used 683 gigawatt-hours of electricity. The next day was even colder with an average temperature of 4 degrees. TVA reached a peak demand that day of 32,490 megawatts, its second-highest all-time peak. By the end of the day, we set a new use record — 703 gigawatt-hours.

A big number but exactly how much electricity is that? The average home uses about 1,200 kilowatt hours each month. In just 24 hours, we used 703,000,000 kilowatt hours. That’s enough electricity to power almost 50,000 homes for an entire year. That is a lot of power.

Where did TVA get the energy?

On that record-setting day, TVA got electricity from everywhere it could to meet the need. The mix included:

  • 28 percent from coal-fired plants
  • 21 percent from nuclear plants
  • 14 percent from combined cycle natural gas plants
  • 11 percent from hydroelectric dams
  • 10 percent from conventional gas turbines
  • 2 percent from renewables (wind)
  • 13 percent purchased off the competitive power market — and not at bargain-basement prices.

Under normal operations, TVA generates power as cheaply as possible. During periods of high demand, TVA generates or purchases power based on need — not efficiency, not economics. There are a number of responsibilities of an electric utility, and keeping the power on is pretty high on the list, especially during life-threatening temperature extremes.

How close did we come?

When major utilities near their limits of capacity, they’re required to notify the North American Energy Reliability Council (NERC). Nine utilities, including TVA, contacted NERC and declared that they were in an Energy Emergency Alert 2, which is the last step before they run out of energy. The area impacted reached from Texas to Florida to New York. Only South Carolina ultimately had to resort to rolling blackouts.

What lessons are to be learned?

First and foremost is this: It is critically important that we have every available weapon in our arsenal. If you remove coal completely from the energy portfolio, the outcome above is quite different. That’s not a theory; it’s simple math. Every energy source has benefits, limitations and drawbacks.

Second is that utilities are powered by dedicated people. When temperatures finally crested the freezing mark, dispatchers, linemen and plant operators breathed sighs of relief. Some were able to see their families for the first time in several days. But the ultimate praise is that millions of Tennesseans avoided having to experience outages.

Third, the vortex became a stark reminder of what we’ve said for years: By removing coal from the mix, the Environmental Protection Agency (EPA) is doing the opposite of what is needed. Extremes emphasize the need for an all-of-the-above approach to generating electricity from nuclear, coal, natural gas, fuel oil and renewables.

We don’t know when the next polar vortex might arrive. Whenever it does, we’ll be prepared. But an unnecessary, manmade power vortex — created by the EPA — could leave us all in the cold.

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NRECA Responds to EPA letter

Co-ops: Access to All Options in Energy Policy Critical to Reliability, Affordability

(ARLINGTON, VA) — Jo Ann Emerson, CEO of the National Rural Electric Cooperative Association (NRECA), today drew attention to the important role access to all fuels plays in the reliability and affordability of electricity in America.

“We must be deliberate and purposeful with our energy policy to avoid depriving cost-conscious American families and businesses the affordable, reliable energy they count on as a basic component of everyday life. The competitiveness of the U.S. economy depends upon options when it comes to energy and the regional, economic and demographic differences demand flexibility and freedom when deciding which fuels will keep us moving forward.

“As not-for-profit organizations that serve members in 47 states, electric cooperatives recognize the necessity of a diverse fuel mix. And by leading the implementation of efficiency technologies and renewable fuels, especially in rural areas, we’re well aware that getting to a point where innovation is possible requires as strong a foundation as possible.”

The National Rural Electric Cooperative Association is the national service organization that represents the nation’s more than 900 private, not-for-profit, consumer-owned electric cooperatives, which provide service to 42 million people in 47 states.

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2014 General Assembly

The Tennessee Legislature will tackle several major issues in 2014, all while attempting to adjourn earlier than it ever has. In order to accomplish this, the members of the General Assembly will have to work earlier and faster than in years past. All while preparing to return home and face re-election this fall. In terms of issues that affect electric cooperatives, it is too early to tell the exact number and substance of bills that will require our involvement.

 

TECA staff will remain vigilant, and communicate with you about these matters thorough our weekly update on Legislatiion – A View from the Hill.  Click here to sign up.

The 2014 Legislative Conference has been scheduled for Feb. 3-4 in Nashville.

by Mike Knotts, TECA Director of Government Affairs

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What’s under the hood

By Mike Knotts, Director of Government Affairs

My first car was a 1965 Ford Mustang. My parents bought it for me, even though they were actually buying the same car for a second time. It had been purchased for my older sister, then eventually found itself parked in her driveway and needing work. We agreed to undertake a restoration, Mom and Dad signed what must have been a very bittersweet check, and I began pouring what little money I had into updates and upgrades for every part of the car.

I had the keys to a classic machine and was anxious to make the car shine. And every now and then, maybe just make that big block engine roar. And roar it did. Unlike most of today’s cars, the engine underneath my Mustang’s hood was pretty simple to understand. There was plenty of room to work, and replacing the original carburetor with a new and more efficient model was a simple task. While the car may have been 30 years old, it continued to serve its purpose well, and sensible improvements actually made it better than new. I wish I still had it.

Much like an engine powers the drivetrain of a car, electric power plants provide the horsepower that drives today’s complex and real-time American economy. I don’t believe it is hyperbole to suggest that the massive increase in life expectancy and quality of life across the planet over the past 100 years is directly related to the expansion and use of central-station electric service. The benefits to society provided by power plants are unquestionable, if most certainly under-appreciated.

When power plants are built, they are designed to operate for 50 years or more and cost huge sums of money to construct. The biggest decision is what fuel will power the plant. It’s a huge decision with lots of ramifications. It is not taken lightly by anyone involved.

That decision affects you directly. Approximately 80 cents of every dollar you pay to your cooperative flows directly to the Tennessee Valley Authority, which owns and operates a fleet of power plants. Much like a good stock portfolio, TVA’s plants use a diversified mix of fuels — hydro, nuclear, coal, natural gas, wind, solar and even landfill gas are converted into the electricity you use every minute of every day. This “all-of-the-above” fuel strategy has served us well. Tennesseans enjoy relatively low rates, 99.999 percent reliability and some of the most beautiful landscapes God has blessed us with here on earth.

President Obama has stated that he agrees with this type of strategy. He said as much in a speech on March 15, 2012, in Maryland where he outlined his priorities on energy policy. “We need an energy strategy for the future,” said the president, “an all-of-the-above strategy for the 21st century that develops every source of American-made energy.” We agreed with him then, and this statement appears on the website of the White House to this day.

That is why Tennessee’s electric cooperatives are so disappointed that the president’s administration has abandoned this strategy and replaced it with an “all-but-one” approach that effectively removes coal from the nation’s fuel mix. This is being done by creating standards for carbon dioxide emissions from power plants that are impossible to meet with current technology.

This is not the first time that Washington has sought to pick winners and losers. In 1978, Congress passed a law outlawing the use of natural gas for power generation. The result was that utilities across the country had little choice but to build more coal-fired generation, as they were being encouraged to do by President Carter. Many of these plants are being upgraded and working hard to serve their purpose. Like a restored classic car, the engines are performing well, and many are better than new. Now, these same plants are at risk of being closed by the new regulations even though they may only be halfway through their useful lives.

Join with us and encourage Washington to stick to an “all-of the above” energy policy. Please go to action.coop today take two minutes to share a message with the Environmental Protection Agency. America’s energy infrastructure is just too important and much too expensive to allow history to repeat itself.

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The Power of Potential

By David Callis, Executive Vice President and General Manager

When you ask boxing historians to rank the hardest punchers of all time, Rocky Marciano is usually near the top. One reason: the power in his right hand. A contemporary said getting hit by Marciano was like being hit by a truck.

In his 1952 title fight with Jersey Joe Walcott, Marciano was knocked down in the first round and was behind in the scoring after several rounds. Yet in the 13th round, he knocked out the titleholder with “a right cross that traveled only 6 inches.”

Until the 13th round, Marciano had yet to take full advantage of the power from that right hand. The unleashed power was there, yet it was just potentially dangerous.

We all know a person (or two) whom we describe as “having a lot of potential.” It’s not a comment you want to hear about yourself, especially from a teacher or supervisor. It’s a backhanded way of letting you know that you are wasting the potential you possess.

Tennessee’s electric cooperatives possess a lot of power. We use that power in a variety of arenas: economically, politically, charitably and, of course, the electricity that powers our communities. We could just string up the wires and provide power, but we would be wasting a tremendous potential to do better things.

Your expectations of us —and our expectations of ourselves — go far beyond. Turning the lights on was one accomplishment. Yet today, businesses depend on that power to be on all the time — blinks and momentary outages mean costly shutdowns to many.

The nation’s economy has yet to gain a sure footing. We are more fortunate than many states, but the impact of a slow economy and high unemployment hits rural areas hard. Our cooperatives work closely with the Tennessee Valley Authority and state and federal governments to invest in rural economic development. By providing manpower and resources, we’re able to recruit new industry into our communities and help maintain and grow existing businesses.

New environmental regulations could dramatically increase the cost of electricity. It’s important to us all; higher costs impact the struggling economy and your day-to-day lifestyle. We try to ensure that environmental goals don’t sacrifice affordability for the sake of politics. We can do both, keeping rates reasonable and achieving cleaner standards. We use our political power not to gain an unfair advantage but to ensure that rural areas aren’t shuffled to the end of the line as energy policy is developed.

As you travel about during the holidays, you’re likely to see a lot of lights strung around town squares. It’s just as likely that a co-op truck and lineman put them there. From lighting baseball fields to changing street lights to being part of the local Rotary, our co-ops are good corporate citizens, giving generously to charitable organizations in their communities. Outside of corporate giving, cooperative employees donate their personal time and money to the community.

It’s important to note this spirit of cooperation really begins with you. The co-op starts with the membership. Our concern for community is nothing more than an extension of the members’ concern for one another that started this whole operation. It’s grown from one light to cover a nation.
That’s a lot of potential.

Rocky Marciano not only had tremendous power in his punch, he had an endurance that kept him in the ring, punishing his opponents. His tenacity propelled him to achieve an unparalleled 43 knockouts during his 49-0 career.

We’d like to think that we have that same staying power. With your help — your cooperation — we can harness that power to continue meeting the needs of our communities.

Let’s not waste the power of that potential.

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What member ownership means

by David Callis
Executive Vice President and General Manager

The more you use a phrase, the more apt you are to experience weariness or fatigue with it. We experienced this in October, repeatedly hearing the terms “default,” “defund” and “shutdown.” In everyday life, any one of those words will usually make you snap to attention. Yet when the use becomes repetitious, we tend to miss what it truly means.

For those of us involved in the electric cooperative business, it’s good to periodically take stock of how important the term “member-owner” truly is. To us on the supply side of the equation, the member-owners (that’s you) are the people for whom we work. We try to not lose sight of that.

Our central focus is to manage our systems for the good of the community. Safe, efficient and cost-effective operation of the system are rightly expected of us by the member-owners. That encompasses every aspect of the co-op, from the engineering design to line construction to accounting and customer service.

When our job requires handling legislative and regulatory affairs, we don’t focus on maximizing profits. Cooperatives are nonprofit companies that recover the money needed to operate the business and build for the future — no more, no less. In analyzing the impact of regulations, we focus on the impact to you. Our concern is your bottom line — your wallet and your well-being.

We’re currently facing a number of challenges — more than just keeping the lights on. The use of sensitive electronic devices has increased, so it’s critical to have a clean, uninterrupted supply of electricity. More than ever, technologies allow all of us to monitor and manage our use remotely. That helps improve service and lower costs for everyone, but technology comes at a price, as does adding renewable energy sources and making the emissions from older power plants cleaner.

So, what about the other side of the equation? There are responsibilities required of you as a member-owner.

Mostly, you need to stay informed.

We use every avenue possible to do that: The Tennessee Magazine, newsletters, newspapers, radio, television, your co-op’s website and social media outlets, emails and text messages. Many co-ops have customer meetings, and every co-op has an annual membership meeting.

Financial reports and legislative updates aren’t much of a drawing card, so we try to entice you to attend annual meetings, where members are more than happy to get free stuff — food, entertainment, door prizes and other giveaways.

We also want you to take away something else that’s free: information. You need to stay informed about the cooperative’s financial condition and how it is meeting the needs of the community. Our boards are composed of member-owners, so it’s a pretty good idea for you to keep tabs on how your fellow members are managing the co-op.

A lot of members take an active interest in the ownership of their cooperative. I’ve seen that firsthand this year. At a mid-sized co-op, a board election resulted in a five-vote margin of victory for the challenger. Nearly 1,500 members were motivated enough to actively participate. Three years earlier, that same challenger lost by the same five-vote margin.

Stay informed and be an active member-owner. Above all, don’t be an uninformed member or voter; we’ve seen the path that takes us down. Remember October’s shutdown?

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Rules of the game

by Mike KnottsDirector of Government Relations

Sport is a great metaphor for life and does a fantastic job of relating important lessons. Not only does participating in your favorite game provide needed physical exercise for your body, sport also feeds our minds and satisfies the natural human need for competition. During the game, our brain, without even realizing it, works hard to analyze and react to multiple situations that are occurring at a rapid pace. We make decisions in the blink of an eye. We don’t agonize over the potential negative consequences of a mistake. We just play.

This is especially true of team sports. The added interaction with teammates and opposing players alike only magnifies the positive attributes of sport. Understanding that your actions affect others and can make their experience either better or worse can teach us a lot about considering others in the way we live. It takes nine players to field a baseball team. Counting both teams, 22 square off on the football field. Each player has a role to fulfill, and subtracting just one from the total can result in an embarrassing result or even a complete forfeit.

But we don’t usually participate in sport because of its mental stimulation or because “it’s good for us.” We do it because it is fun and we want to win. Tennessee has for two straight years been represented in the Little League World Series, the best-known and most widely viewed youth athletic event. Do you think those 12-year-olds are worried about how the game is maturing their minds and molding their personalities? Of course not!

And whether on the golf course or at church-league basketball, there are rules we have to follow. Albert Einstein aptly simplified this: “You have to learn the rules of the game. And then you have to play better than anyone else.”

But what if those rules change? For instance, this past year the National Football League moved up the spot where the kicker places the ball to kick off to the opposing team (effectively eliminating the kickoff return as a part of the game — regrettably, in my opinion). How does that change affect the way we play the game? Continuing my example of the NFL kickoff, the rule change was made well in advance of the season, and teams altered their strategies and tactics to compensate. But what if the change were made in the middle of the game? That would be unfair, and the teams would certainly protest. How can you expect to be successful if the rules change as you play?

And what if the rule change was so unreasonable it made the game unplayable? Suppose a study concluded that a 20-inch-wide basketball would reduce the risk of injury in the game, so your church league decided that all basketballs would now be that size. Since the larger ball seems to be a safer alternative, how could anyone oppose such a sensible change? The obvious answer to my question is that a 20-inch ball couldn’t possibly work in the game of basketball because the hoop is only 18 inches in diameter.

You might be thinking that these examples are a little far-fetched. But in today’s political and regulatory environment, changing the rules midstream happens all the time. While Congress may be struggling to legislate these days, the rulemaking apparatus of the federal government continues to churn out regulations that carry the force of law but lack the accountability that an elected official faces through the election process. These rules are often contradictory and change the way our industry produces its product and conducts its business. More frequently than ever, these rule changes are being implemented to accomplish what appears to be a well-meaning purpose, but the new requirements may be so onerous that the easiest decision may be to simply quit the game. Or, in one case that affects your cooperative, the mandate is to utilize a technology that doesn’t even exist.

While some of these new “rules of the game” may sound good inside the marble meeting rooms of Washington, D.C., they often conflict with the harsh reality of the real world. And when you consider the billions of dollars, millions of man-hours and thousands of pieces of equipment that are required to power the lifestyle that separates our society from the 19th century, the electric power industry does not have the luxury of guessing what “might” work. Our job is to deliver a 21st-century lifestyle and do it 99.999 percent of the time.

That is why we take so much time and effort to monitor and influence the decisions made by our state and federal governments that affect your co-op. Simply put, our product is too important to society to quit the game. So we will fight to be sure the rules are fair.

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Chickasaw EC recognized as solar leader

Somerville, Tenn.—A renewable energy survey recognizes the customers of Chickasaw Electric Cooperative as one of the top consumers of solar-generated power in the nation. According the report from the Solar Electric Power Association, CEC generates an average of 216.7 watts of solar energy per customer, the fifth most of any utility in the nation.

This is the first time Chickasaw EC has ranked on the survey. The recognition follows the installation of the West Tennessee Solar Farm in early 2012, which generates 5 megawatts of solar power brought onto the TVA power grid through Chickasaw EC.

The West Tennessee Solar Farm, located in Haywood County, is a cooperative program between the University of Tennessee, Chickasaw EC, TVA and others. It adds about five megawatts of solar power onto the TVA grid, which is enough to power 500 homes. The power harnessed at the solar farm enters the TVA grid through Chickasaw EC lines. The West Tennessee Solar Farm is the largest single source of solar power in the TVA system.

John Collins, General Manager for Chickasaw EC accepted a plaque to mark the occasion at the utility’s August 6 annual meeting in Somerville.

“It is a true honor to be recognized by SEPA for our efforts to add solar power to the TVA system,” Collins said. “The West Tennessee Solar Farm is a tremendous asset to our community and to know it is one of the top per capita generating systems in the country is a feather in our cap.”

TVA currently owns or purchases more than 6,315 megawatts of renewable generation capacity, including 77 megawatts of solar energy.

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Freedom to choose

Choices. Not quite as American as apple pie, but pretty close. Given the foundations and the relative wealth of our nation, we’re accustomed to having lots of choices in just about everything we do. We like to have choices, whether it’s selecting a movie to watch, buying a car, or deciding on chocolate, vanilla, strawberry or one of the 28 other flavors.

Other choices are more complex and have long-lasting consequences. One of our most complicated choices involves producing enough energy and getting that energy into your home. This continuous process involves thousands of co-op member- owners and employees across the nation every single day.

The Tennessee Valley Authority generates the electricity we deliver, and its task is as challenging as ours. Some decisions in the past may have knocked TVA from its perch as the lowest-cost provider, but TVA has a long history of providing dependable, low-cost power to Tennesseans.

Generating and delivering electricity to your home involves a lot of difficult choices — a difficult-to-achieve balance of providing enough energy and doing so with a limited impact on the environment. It takes a balance of engineering, design and operational efficiency against environmental and safety concerns. Add cost-effectiveness to that list, and you’ve set some tough goals.

Sometimes, we don’t get to choose. There have been countless attempts to craft energy policy at the federal level. Past efforts would have punished the Southeast for our geography. The wind and sun don’t create as much energy in our region as they do in the West and Midwest. And they never will. Tax credits and financial incentives can’t make the wind blow or the sun shine.

To put it succinctly, we don’t need — or want — Washington policymakers making decisions on how we generate our electricity. Political machinations are a poor substitute for meticulous planning and analysis. Even worse, the choices made by outsiders are ours to live with for decades.

Effective energy policy should be about providing choices. Different solutions work better for different parts of the country.

One example: TVA and the Department of Energy recently entered into a partnership developing small modular nuclear reactors (SMRs). Together with Babcock & Wilcox, this cooperative effort could lead to a new generation of lower-cost, clean generation capacity. TVA has been evaluating small nuclear reactors for several years. The Clinch River site, which TVA had once slated for a much larger, costlier facility, is where the SMR project will be located.

This type of project is among those needed for a balanced energy future. Energy policy shouldn’t be about picking winners and losers; it should be focused on providing you with an affordable, reliable supply of electricity.

The nation’s electric utilities will need a variety of energy sources, from solar arrays to SMRs, to meet those needs. We can achieve our energy goals; we just need the freedom to make the right choices.

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Watching wind grow

Wind energy development in the United States is rushing past recent growth records. For example, 6,819 megawatts of generating capacity were installed in 2011; in 2012, that figure jumped to more than 13,000 MW, according to the American Wind Energy Association. In total, the U.S. has more than 60,000 MW of installed wind power capacity.

Since 1 MW powers 750 to 1,000 average homes, more than 45 million American residences could be powered by wind. I say “could be” because wind doesn’t blow constantly. In fact, in our part of the country, there are very few places where the wind blows consistently enough for it to be a reliable power source. While we can’t rely on wind 24/7, it is one tool to have as part of a balanced generation fuel mix.

The industry boomed thanks to federal subsidies for construction of wind farms, sharp drops in production costs and rural economic development projects. Construction of the turbines themselves, however, is not the full cost associated with installing wind production on the electric grid.

Across the country, 50 electric co-ops either own wind turbines or buy output from wind farms, amounting to 4.3 gigawatts, or about 9 percent of the U.S. wind generating capacity. Of course, states in the Upper Midwest and Great Plains enjoy more opportunities for wind power than most others.

The Tennessee Valley Authority’s wind power site is on Buffalo Mountain near Oak Ridge. In 2004, TVA greatly expanded its wind-generating capacity by adding 15 very large turbines to the three original smaller ones at the site.

The newer turbines expanded the capacity of the Buffalo Mountain site to 29 MW of generation, or enough to power about 3,780 homes, according to TVA. The turbines are about 260 feet tall, and the blades are 135 feet long. They have a capacity of 1.8 MW each. The three original turbines, with a capacity of 660 kilowatts each, are 213 feet tall, and their blades are 75 feet long. Generally, the higher the tower, the better the access to the wind.

The primary federal subsidy for wind power project development — federal production tax credits — is available only to for-profit electric utilities. That means not-for-profit electric cooperatives can’t take advantage of the subsidies. Extension of the production tax credit is a hot topic in Washington, D.C., and the credit is likely to end soon.

To get competitive prices, electric co-ops and their wholesale power providers must sign agreements to buy electricity from private-sector wind projects or arrange long-term leasing agreements with a developer who qualifies for the federal incentives, rather than developing wind projects on their own. This would include the expense of transmitting the power from the Midwest to Tennessee.

While the idea of generating electricity from the wind seems to be a no-brainer — the fuel is free, after all — its costs rob wind power of some of its luster. If your cooperative were to rely upon wind generation to power your home, the utility would also require some form of backup power source to combat the intermittency of the wind. In essence, the utility must have redundant sources of generation. And that is very expensive.

Electric cooperatives are no strangers to innovation. As technology continues to advance, we will work hard to provide you with affordable, reliable electric power in a way that makes the most sense for your community.
To learn about other ways we’re looking out for you, visit www.tnelectric.org.

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