TVA's Draft Energy Efficiency Plan

Despite TVA's seemingly vast nuclear and hydro resources, last summer's hydropower-affecting drought caused suprising tightening of power supply.

The region, somewhat less affected by the economic downturn we're feeling here in California, is continuing to grow at a pretty good clip. With high fuel prices, and inability to build a new nuclear unit in the short term, demand response and energy efficiency has been put on the front burner. TVA recently unveiled (via a multi-city road show) a new plan that features many of the same energy efficiency and demand response projects that are currently being implemented in California and the UK.

Here are some highlights of the plan:

TVA believes there is potential to reduce the growth in peak electricity
demand by up to 1,400 megawatts (4%) by 2012. Reductions could be achieved through energy efficiency, demand response, distributed (end-use) generation, and internal reductions (making TVA more energy efficient)

TVA is looking at defining AMI interoperability standards between TVA and local power distributors; developing, testing and implementing pilot projects on all AMI technology options; and implementing economic demand-reduction tools.

The AMI interoperability question can get tricky. Since TVA is a wholesaler, it remains to be seen exactly how they can influence AMI and retail demand response decisions by their distributors. But, they could look to the deregulated markets of Texas (Reliant/Centerpoint) and the UK (Scottish & Southern, ESB) for potential models.