MLGW Must Reject TVA Contract That Ties City’s Future to Fossil Fuels

Memphis Needs Clean, Renewable Energy to Ease Energy Burden Citywide.
Contact

Ricky Junquera, ricky.junquera@sierraclub.org, 617.599.7048

Bianca Sanchez, bianca.sanchez@sierraclub.org

MEMPHIS, TN. -- Memphis Light, Gas and Water (MLGW) is expected to make an imminent decision on the best supply option to meet its customers’ electric needs. Today marks the end of a 30 day public comment period during which Sierra Club, the Southern Environmental Law Center, other organizations, and individual residents have spoken out against a Long Term Partnership with current energy provider Tennessee Valley Authority (TVA). MLGW management has previously recommended the utility sign the TVA contract. 

As part of its proposal, TVA has made clear its plan to increase its reliance on gas power plants. Methane gas not only pollutes the air and endangers community health, but is also vulnerable to price fluctuations due to global crisis, abnormal inflation and supply chain problems. The Sierra Club, Southern Environmental Law Center, and other groups have strongly expressed that now is not the time for MLGW to lock itself into a fossil fuel future with TVA. Memphis residents experience some of the highest energy burden in the nation, ranking fourth among U.S. cities. An increased reliance on gas may only worsen energy burden in Memphis.

The upcoming power supply decision is a rare opportunity for the MLGW Board of Commission to reduce health risk and energy burden in the Memphis community. Sierra Club has promoted a clean, renewable energy vision for the city and encouraged MLGW to walk away from the TVA partnership in favor of the current five year contract. 

In anticipation of the decision, the Sierra Club and Southern Environmental Law Center issued the following statements:

“MLGW found through its Power Supply Alternatives process that clean, renewable energy was the cheapest form of power,” said Dennis Lynch, Chair of the Sierra Club’s Chickasaw Group. “MLGW should not make a long-term commitment that will tie customers to decades of volatile price hikes like we saw this year due to fossil fuel use like TVA’s planned giant gas buildout.”

“TVA should work with MLGW to provide an energy mix that will reduce the high energy burden for Memphians - and that means more renewable energy,” said Scott Banbury, Conservation Programs Coordinator of the Sierra Club’s Tennessee Chapter. “We can’t sign a Never-Ending contract that sentences us to decades more of high cost fossil fuel like TVA’s planned gas buildout.”

"The Tennessee Valley Authority's never-ending contracts would eliminate meaningful opportunities for Memphis to explore cheaper or cleaner power options now and in the future. It is critical that the MLGW board doesn't throw away Memphians' negotiating power by signing this perpetual deal,” said Amanda Garcia, Director of the Southern Environmental Law Center’s Tennessee office.

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.