Groups speak out on data centers, long-term energy plan at TVA’s quarterly board meeting
The Tennessee Valley Authority (TVA) Board approved its 2026 Integrated Resource Plan and a new rate class for data centers, pointing to data centers as a major contributor to electricity demand growth. Environmental groups are concerned the plan will lead to more fossil fuel expansion and higher costs, urging data centers to invest in renewable power.
The Tennessee Valley Authority (TVA) Board of Directors held its third-quarter meeting, where it approved the yearly budget, the final 2026 Integrated Resource Plan (IRP), and a new rate class specifically for data centers. Environmental groups, including Appalachian Voices and CleanUpTVA coalition partners, have actively engaged to influence these decisions.
The 2026 IRP projects higher electricity demand and a potential increase of up to 26 gigawatts of new methane gas capacity by 2040, alongside plans to keep aging coal power plants operational until at least 2039. TVA cited data centers as a primary driver for this anticipated load growth, raising concerns among environmental advocates about increased fossil fuel expansion, higher electricity costs, and local pollution.
Leah McCord, Tennessee Projects Coordinator for Appalachian Voices, emphasized that data centers must contribute equitably without burdening communities with additional gas and coal emissions. She advocated for data centers in the Valley to invest in improving the power grid and utilizing renewable energy and battery storage for clean air and water. LaTricea D. Adams, Founder, CEO & President of Young, Gifted & Green, urged TVA to address the impact of unchecked data center expansion on communities like Boxtown and Westwood in Memphis, highlighting the need to protect local aquifers and unlock solar expansion while making polluters pay.