The Tennessee Valley Authority (TVA), in collaboration with Argo Infrastructure Partners and Brookfield Asset Management, announced a groundbreaking 10-year power purchase agreement (PPA) for clean energy. The deal covers power from the Smoky Mountain Hydroelectric facilities, four dams jointly owned by Argo and Brookfield.
Beginning in 2025, the Smoky Mountain facilities will supply TVA customers with over 14 GWh of carbon-free energy annually. Consequently, this long-term partnership supports TVA’s transition towards achieving net-zero carbon emissions by 2050.
The Smoky Mountain portfolio has a 377-megawatt capacity, generating 1.4 million megawatt-hours of clean energy annually. Thus, this production helps avoid approximately 1.1 million tons of CO2 emissions annually.
Also read: Power supplier TVA to shut down 9 coal-fire plants, rebuild energy complex
Chris Hansen, TVA vice president said, “TVA appreciates this partnership that enables more reliable, clean megawatts to be available when they’re needed.”
He added, “We have a long history of effectively using hydroelectric power to provide affordable, reliable energy to our region, and this agreement builds on that success.”
Also read: Brookfield Asset Management Secures $2.4 Billion for Catalytic Transition Fund
A Strategic Partnership to Meet Growing Energy Demand
Argo’s founder, Jason Zibarras, stated the agreement will help TVA’s customers avoid 11 million tons of CO2 emissions. Brice Soucy highlighted that the deal supports the region’s rising demand for renewable energy, driven by expanding industries.
Stephen Gallagher, CEO of Brookfield Renewable North America, highlighted the role of renewable power in meeting growing energy demand. “We are thrilled to partner with TVA and deliver clean power solutions at scale to accelerate the energy transition,” Gallagher said. Brookfield’s extensive hydroelectric assets, including those in the Smoky Mountain facilities, are vital in providing large-scale dispatchable, clean power.
This PPA marks a significant step forward in TVA’s commitment to reducing its carbon footprint and accelerating the energy transition.